Operations Performance Flashcards
Social bottom line
the element of the triple bottom line that assesses the performance of a business in relation to the people and the society with which it has contact; and/or environmental mission and a legal responsibility to respect the interests of workers, the community and the environment as well as shareholders
Economic bottom line
the part of the triple bottom line that assesses an organisation’s economic performance, usually in financial terms
Environmental bottom line
the element of the triple bottom line that assesses an organisation’s performance in terms of how it affects the natural environment
Triple bottom line
(also known as people, plants, and profit) the idea that organisations should measure themselves on social and environmental criteria as well as financial ones
Agility
the ability of an operation to respond quickly and at low cost as market requirements change
B Corps
an abbreviation for Benefit Corporations; those that have a clear and unequivocal social benefit
Stakeholders
the people and groups of people who have an interest in the operation and who may be influenced by, or influence, the operation’s activities
Performance objectives
the generic set of performance indicators that can be used to set the objectives or judge the performance of any type of operation; although there are alternative lists proposed by different authorities, the five performance objectives as used in this book are quality, speed, dependability, flexibility and cost
Quality
there are many different approaches to defining this. We define it as consistent performance to customers’ expectations
Speed
the elapsed time between customers requesting products or services and their receiving them
Dependability
delivering, or making available, products or services when they were promised to the customer
Product/service flexibility
the operation’s ability to introduce new or modified products and services
Volume flexibility
the operation’s ability to change its level of output or activity to produce different quantities or volumes of products and services over time
Delivery flexibility
the operation’s ability to change the timing of the delivery of its services or products
Mix flexibility
the operation’s ability to produce a wide range of products and services
Flexibility
the degree to which an operation’s process can change what it does, how it is doing it, or when it is doing it
Quality-related costs
an attempt to capture the broad cost categories that are affected by, or affect, quality, usually categorized as prevention costs, appraisal costs, internal failure costs and external failure costs
Productivity
the ratio of what is produced by an operation or process to what is required to produce it, that is, the output from the operation divided by the input to the operation
Innovation
the act of introducing new ideas to products, services, or processes
Polar diagram
a diagram that uses axes, all of which originate from the same central point, to represent different aspects of operations performance
Mass customisation
the ability to produce products or services in high volume, yet vary their specification to the needs of individual customers or types of customer
Efficient frontier
the convex line which describes current performance trade-offs between (usually two) measures of operations performance
Trade-off theory
the idea that the improvement in one aspect of operations performance comes at the expense of deterioration in another aspect of performance, now substantially modified to include the possibility that in the long term different aspects of operations performance can be improved simultaneously
