Brainscape's Knowledge GenomeTM

Browse over 1 million classes created by top students, professors, publishers, and experts.


See full index

Business Studies 🏢💴 > Operations (Mr Gibbins) > Flashcards

Operations (Mr Gibbins) Flashcards

1
Q

Operations

A

The area of management concerned with designing and controlling the process of production and redesigning of goods/services.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

Name 3 factors that impact operations objectives.

A

Size/legal structure of the business, competition, state of the economy, government, legislation.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

Name 4 external factors impacting operational strategy.

A

Political, economic, social, technological, ethical, legal, environmental.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

Job Production

A

Producing a single product/service, one by one.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

Name two benefits of job production.

A
  • Can meet customer needs exactly.
  • Flexible to produce whatever.
  • Higher quality generally.
  • Less stock storage needed.
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

Name two drawbacks of job production.

A
  • No opportunities to gain from economies of scale.
  • Higher costs of production.
  • Labour hard to find and more expensive.
  • Slower process
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

Batch Production

A

When there is stages that the production process needs to go through in order to create a product.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

Name two benefits of batch production.

A
  • Able to produce larger quantities than job.
  • Economies of scale.
  • Faster than job.
  • More flexibility than flow.
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

Name two limitations of batch production.

A
  • Time delay between batches.
  • ## More stock needs to be held, more storage needed.
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

Flow Production

A

Provides a continuous process to produce vast quantities of a standardised product.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

Name two benefits of flow production.

A
  • Business able to gain benefits from economies of scale and therefore lower unit costs.
  • The business can benefit from division of labour.
  • Can produce a standardised product in very large numbers much more quickly.
  • Little downtime so production levels optimised.
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

Name 3 limitations of flow production.

A
  • Initial set up costs high.
  • Takes a considerable amount of planning to organise.
  • Lacks flexibility to produce wide range.
  • If the line stops all production stops.
  • Employees are less likely to be motivated.
  • Large amounts of stock.
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

Name 4 factors that influence a business’ selection of production method.

A

Nature of products, cost of machinary, workforce, finance, customers, competition, stakeholders/objectives, size of business.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

Research & Development

A

The process that enables the creation of new and improved products to meet the needs of customers.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

Name 3 problems with research and devlopment.

A

Risk, copying, limited production of ideas, changes in technology, cost and customer wants.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

Morphological Studies

A

A method that generates ideas cheaply and quickly, grid system with a range of alternatives to be considered.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
17
Q

Market Orientated

A

An approach to business that prioritises identifying the needs/desires of consumers and creating products/services that satisfy them.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
18
Q

Product Orientated

A

Means that business concentrates its activities on improving the quality of efficiency of the products.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
19
Q

Name two factors that influence research and development.

A
  • Level of competition.
  • External environment.
  • Product.
  • State of the economy.
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
20
Q

Value Analysis

A

An approach to improving the value of a product or process by understanding its components and costs.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
21
Q

What are the three main types of research and development?

A

Function, cost and aesthetics.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
22
Q

Critical Path Analysis

A

Project management technique that requires mapping out every key task that is necessary to complete a project in shortest possible time.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
23
Q

Float Time

A

Amount of time necessary to finish each activity and whether they can be delayed.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
24
Q

Total Float

A

Amount of time that an activity can be delayed from its start date without delaying the finish time.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
25
Q

Free Float

A

The amount of time an activity can be delayed without causing delay to the next.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
26
Q

How to find total float?

A

LFT - duration - EST.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
27
Q

How to find free float?

A

EST - duration - EST.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
28
Q

Name two advantages of CPA.

A
  • Helps reduce the risk and costs of complex projects.
  • Encourages careful assessment of the requirements of each activity.
  • Better allocation of resources.
  • Links well with other aspects of business planning.
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
29
Q

Name two disadvantages of CPA.

A
  • Reliability of CPA largely based on estimates and assumptions.
  • CPA does not gurantee success of a project.
  • Resources may not actually be flexible.
  • Network of activities can become complicated.
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
30
Q

PERT

A

Similar to CPA but more pessimistic.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
31
Q

Name a benefit of PERT.

A
  • More realistic.
  • Simple formula to apply.
  • A lot of data can be visually represented.
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
32
Q

Main drawback of PERT.

A

Can be difficult to judge.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
33
Q

Division of Labour

A

The allocation of labour into specific tasks, intended to increase productivity.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
34
Q

Specialisation.

A

Where workers perform specific tasks.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
35
Q

Name a benefit of division of labour.

A
  • Tasks should be able to be performed more quickly.
  • Output will be increased while lowering unit costs.
  • Improves profit margin.
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
36
Q

Name a drawback of division of labour.

A
  • Tasks may become repetitive leading to errors and demotivation.
  • Automation may take over resulting in redundancies.
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
37
Q

Diseconomies of scale

A

Beyond a certain level of output it may become less likely that further cost reductions can be achieved and unit costs may rise.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
38
Q

Name two examples of diseconomies of scale.

A
  • Communication problems.
  • Large scale production is difficult to manage.
  • Reduction in morale.
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
39
Q

Name two costs of diseconomies of scale.

A
  • Overtime costs.
  • Machine breakdowns due to over use.
  • DOS must be monitored carefully.
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
40
Q

Simple equation for productivity.

A

Productivity = output/input.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
41
Q

Labour Productivity

A

Concerned with the volume of outputs or value produced by each employee.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
42
Q

Name 3 benefits of productivity.

A
  • Better customer service.
  • Economies of scale.
  • Same output with less units of labour, reducing costs.
  • Less staff to be trained and supervised, reducing costs.
  • Encourages investment.
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
43
Q

Name two ways of calculating productivity.

A
  • Labour productivity.
  • Capital productivity.
  • Capacity Utilisation.
44
Q

Capacity Utilisation Equation

A

Output/maximum output x 100

45
Q

Capacity Utilisation

A

The percentage of total capacity that is actually being achieved in a given period.

46
Q

Name two ways a business could reach 100% capacity utilisation.

A
  • Increase in demand.
  • Differentiate the product.
  • Reduce capacity.
47
Q

Why might capacity utilisation decrease? (2 ways)

A
  • Competition.
  • Stage in the product life cycle (decline).
  • Seasonality.
  • Alternative products (superior).
48
Q

Name 2 benefits of capacity utilisation.

A
  • Fall in average costs.
  • Increased profits.
  • Increased competitiveness.
  • Employee motivation.
49
Q

Stock Control

A

The processes and controls used by a business to ensure that it has sufficient stock for purpose.

50
Q

Economic Order Level.

A

Trying to balance up the cost of holding stock with the amount that is ordered.

51
Q

Name two benefits of holding stock.

A
  • Meet demand.
  • Fluctuations of demand.
  • Economies of scale.
  • Buffer stock.
52
Q

Name 3 costs of holding stock.

A
  • Storage.
  • Opportunity cost (stops alternative spending and utilisation)
  • Depreciation (product may become obsolete/perishable)
  • Security
  • Administration (checking stock).
  • Insurance costs.
53
Q

Name two advantages of just in time.

A
  • Reduction in storage space, less costs.
  • Less working capital.
  • Less likelihood of stock perishing.
  • Avoids build up of unsold product with sudden changes of demand.
  • Less time spent checking and supervising stock.
54
Q

Name a disadvantage of ‘Just In Time’

A
  • Little room for mistakes as minimal stock is kept.
  • Production is very reliant on suppliers, they might be delayed.
  • No spare finished product available to meet unexpected orders.
55
Q

Lean Production

A

An approach to management that focuses on cutting out waste, whilst ensuring quality and improving efficiency.

56
Q

Kaizen

A

Continuous improvement (constant small changes to improve quality/efficiency)

57
Q

Name an advantage of Kaizen.

A
  • Less likely to require major capital investment.
  • Encourages employees to take ownership of their work, increasing teamwork and motivation.
  • Will help the business remain competitive.
58
Q

Name a disadvantage of Kaizen

A
  • Employees may be reluctant to make any suggestions as jobs may be affected.
  • Employees may feel under pressure, demotivated.
59
Q

Cell Production

A

A form of team working where production processes are split into cells.

60
Q

Name an advantage of cell production.

A
  • Closeness of cell members should improve communication.
  • Workers can become multi-skilled.
  • Greater employee motivation.
  • Quality improvements as each cell has ownership.
61
Q

Name a disadvantage of cell production.

A
  • Closeness of cell members could lead to disagreements.
  • Workers may not be interested in becoming multi skilled.
  • Employees may not want to take responsibility.
62
Q

Ergonomics

A

Looks at the relationship between the employee and capital equipment being used.

63
Q

Name an advantage of ergonomics.

A
  • Time based savings in using machines/equipment.
  • Employees may feel more motivated, equipment available to hand.
  • Savings will add up.
64
Q

Name a disadvantage of ergonomics.

A
  • Potential breakdown of ergonomic equipment, increased down time.
  • Employer has to be willing to pay for the cost of ergonomic analysis and implementation.
65
Q

Total Quality Management

A

Considers the efficient usage of all resources used within the production process. All employees responsible.

66
Q

Name an advantage of TQM

A
  • Employees may feel empowered.
  • Improves quality of end product.
  • Increases customer loyalty.
67
Q

Name the disadvantage of TQM.

A

Workers may feel resistant to change, demotivation.

68
Q

Time based management

A

A general approach that recognises the importance of time and seeks to reduce level of wasted time.

69
Q

Name an advantage of TBM

A
  • Quicker response times to changing market and customer needs.
  • Faster new product development.
70
Q

Name a disadvantage of TBM

A
  • Employees may feel under pressure to complete products on time leading to stress, demotivation.
  • Workers may not be interested in becoming multi-skilled.
  • Employees may be resistant to change.
71
Q

Jidoka

A

The process for building into the production process an ability to detect and reject faulty goods at the earliest possible moment.

72
Q

Name an advantage of Jidoka.

A
  • Saves money.

- Targets more likely to be met.

73
Q

Name the disadvantage of Jidoka.

A
  • Initially could disrupt production in the short term.
74
Q

Kanban - JIT

A

Helps to organise the flow of components onto the production line at the right place and right time.

75
Q

Name an advantage of Kanban

A
  • Lower stock hold.
  • Less working capital is tied up in stock.
  • Stock less likely to perish.
76
Q

Name a disadvantage of Kanban.

A
  • Little room for mistakes.
  • High reliance on suppliers.
  • No spare product available to meet unexpected orders.
77
Q

Quality

A

Meeting the needs and expectations of customers.

78
Q

Name 3 aspects of quality.

A

Functionality, aesthetics, value for money, durability, after sales service, reliability.

79
Q

Quality Assurance.

A

Processes that ensure production quality meets the requirements of customers, with zero defects and right first time.

80
Q

Name a benefit of quality assurance.

A
  • Costs are reduced as there is less wastage.
  • Can improve worker motivation.
  • Break down barrier between managers and workers.
81
Q

Benchmarking

A

A general approach to business improvement based on best practice in the industry.

82
Q

Name a limitation to benchmarking.

A
  • Limited access to sensitive material.
  • Difficult to find which business offers best practice.
  • Difficult for a business to implement improvements to reduce gaps.
83
Q

Customer Service

A

The support offered to customers that helps them have an easy and enjoyable experience with you.

84
Q

Name 4 aspects of customer service.

A

Empathy, patience, authenticity, communication, positivity, professionalism, product knowledge, confidence.

85
Q

Name two reasons why customer service is important.

A
  • Adds value.
  • Employee motivation.
  • Improves reputation.
  • Retains customers.
  • Word of mouth.
86
Q

Name 2 impacts of poor customer service.

A

Damaged reputation, increased costs, loss of sales, loss of profits.

87
Q

Name 2 ways to measure customer service.

A

Speed, complaints, customer satisfaction, price, customer loyalty, quality.

88
Q

Name two ways a business could improve customer service.

A

Learn from mistakes, role-play, advice from others, ask, training and benchmarking.

89
Q

Quality Control

A

The process of inspecting products to ensure they meet the required quality standards.

90
Q

Name an advantage of quality control.

A
  • Prevents faulty products reaching the customer.
  • More reliable than employees.
  • Inspectors better placed to find widespread problems across an organisation.
91
Q

Name a disadvantage of quality control.

A
  • Individuals are not encouraged to take responsibility for work.
  • Rejected product is expensive due to full costs but no sale.
  • If defect levels very high, profitability will suffer unless steps are taken.
92
Q

Name a cost of poor quality.

A
  • Product fails.
  • Product does not perform as promised.
  • Product is delivered late.
  • Unresponsive customer service
93
Q

Name two benefits of improved quality.

A
  • Improved reputation.
  • Greater production volumes.
  • Lower unit costs, less waste and rejected output.
  • Fewer customer complaints.
  • Higher selling prices.
94
Q

Name 5 factors to consider when choosing a business location.

A

Energy costs, transport costs, labour costs, land costs, community factors, customer convenience, labour skills, site suitability, image and expansion potential.

95
Q

Supply Chain Management

A

The integration of the procurement of supplies, production, warehousing and transportation.

96
Q

Name two key factors of supply chain management.

A
  • Warehousing storage depots.
  • Customer requirements. (Goods perishable)
  • Information systems (ICT)
  • Transportation.
97
Q

Reshoring

A

A business returning production/operations to the host country that had previously been moved to a different international location.

98
Q

Name a reason for re-shoring.

A
  • Greater certainty around delivery time.
  • Minimising risk of supply chain disruptions.
  • Greater certainty about the quality of inputs.
99
Q

Offshoring

A

Relocation of business activities from the home country to a different international location.

100
Q

Name a reason for offshoring.

A
  • Lower manufacturing costs.
  • Better skilled and higher quality supply of labour and goods.
  • Avoids protectionism.
101
Q

Name a potential drawback of offshoring.

A
  • Longer lead times for supply and risks of poorer quality.
  • Additional management costs.
  • Impact of exchange rates.
  • Communication (language/time zones)
102
Q

Outsourcing

A

Hiring a party outside a company to perform services or create goods traditionally done by staff.

103
Q

Subcontracting

A

The production of a particular part of the product is undertaken by another firm.

104
Q

Name a benefit of subcontracting.

A
  • Important if there is an inability to perform the service in house.
  • Helps to meet deadlines and in some cases control costs.
105
Q

Name a drawback of subcontracting.

A
  • The business never develops expertise themselves.

- Subcontractors usually paid higher than employees leading to resentment.

Business Studies 🏢💴 (10 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2024 Bold Learning Solutions. Terms and Conditions