Operations Processes Flashcards
Globalisation
the removal of barriers of trade between nations. Globalisation is characterised by an increasing integration between national economies and a high degree of transfer of capital, labour, intellectual capital and ideas, financial resources and technology.
Supply Chain
range of suppliers a business has and the nature of its relationships with those suppliers
Global Web
network of suppliers a business has chosen on the basis of lowest overall cost, lowest risk and maximum certainty in quality and timing of supplies
Technology
the design, construction and/or application of innovative devices, methods and machinery upon the operations process.
Technology at a processing level
used in in manufacturing, logistics, distribution, inventory management and sourcing.
Processing at an administrative level
Gantt charts, critical path analysis, computers, word-processing, graphics assist with organisation, planning & decisions making.
Quality Expectations
a specific reference to how well designed, made and functional goods are, and the degree of competence with which services are organised and delivered. Customers will expect a certain level of quality based on brand and price
Cost-based competition
derived from determining breakeven point (the level at which the firm’s total revenue is exactly equal to it total costs) and applying strategies to create cost advantages over competitors.
Fixed costs
costs which do not change, regardless of production output
Variable costs
costs which vary according to quantity produced
Government Policies
Political decisions affect the business rules and regulations which directly affect the management of key business functions. Examples include: taxation rates, WHS standards, environmental policies and industry training requirements
Legal Regulations
Laws and regulations are an external factor that has a significant influence on the operations processes within a business. The expenses associated with meeting the requirements of legal regulations are called compliance costs. Laws affecting operations include: environmental protection, consumer protection, trade practices and WHS for employees
Environmental sustainability
business operations should be shaped around practices that consume resources today without compromising access to those resources for future generations (reducing carbon footprint)
CSR (Corporate Social Responsibility)
refers to open and accountable business actions based on respect for people, community/society and the broader environment. It involves businesses doing more than just complying with laws and regulations
Triple Bottom Line
financial returns, social responsibility and environmental sustainability (CSR)
