opperations - term 2 Flashcards
what makes up the production process
- inputs
- process/transformation
- output
what are inputs?
refers to the resources used in the production process
what are the different types of resources in inputs
- material
- capital equipment
- labor
- information from a variety of sources
- time
- money
what are transformed resources
inputs that are changed or converted in the operations process
what are examples of transformed resources
MATERIALS: the basic elements used in the production process
INFORMATION: the knowledge gained from research investigation and instruction which results in an increased understanding
CUSTOMERS: customers become transformed resources when their choices shape the business
what are transforming resources
they enable change and value-adding to occur
(focus on the corporate business side)
what are examples of transforming resources
HUMAN RESOURCES: the people that are employed by the business
FACILITIES: the plant (factory or office) and machinery used in the operations process
transformation process
- the conversion of resources into services
- varies from business to business
- the manufacturing is far more visible and easily quantified
transformation processes in manufacturing businesses
- manufacturing processes may involve different kinds of processing
- some may take basic resources and transform them into the final goods sold
what are outputs
- refers to the end result of a business’s efforts the (good or service that is delivered to the customer)
- the operations manager must be able to link transformation processes to the activities performed by other areas of the business
- output must always be responsive to customer demands
- issues of quality, efficiency and flexibility must be balanced against the resources and the strategic plan of the business
what is the transformation process
- Scheduling and sequencing tools are used to identify all steps in the transformation process and organise them into the most efficient order to complete
sequencing = the order in which the activities in the operations processes occur
scheduling = the length of time activities take within the operations process
what are two tools that determine the most efficient and effective sequence of tasks
- gantt charts
- critical path analysis (CPA)
what are Gantt charts
- used for any processes that has several steps and involves a number of different activities that need to be performed
- they can help managers plan as it allows them to complete tasks and shows the time required for each task
what do gant charts outline
- the activities that need to be performed
- the order in which they should be performed (in relation to the other activities)
- how long each activity is expected to take
- how long the whole project should take
what is a critical path analysis
- a network diagram or critical path diagram is used to show the order and sequence of tasks that need to be completed for one certain project
what does a critical path analysis show
- What tasks need to be done
- How long they take
- What order is necessary to complete those tasks
what is the critical path
The critical path is the path that takes the longest time because it is the minimum time it takes to fully complete the job (all tasks/steps)
Some tasks can be performed simultaneously (for example painting and testing components, or making the circuitry and assembling the components)
Because each activity on the schedule must be completed to make the final product the critical path is the shortest path through the process (having completed all tasks)
what are outputs
Outputs are the end result of the operations process
for manufacturing operations, outputs are represented by finished goods (tangible)
for service operations outputs are not as visible (intangible and are taken into consideration)
what are factors that are useful for assessing outputs
- The quality of customer service on delivery
- The guarantees or warranties provided by the business
- The amount of warranty claims on a good
- The after-sales service delivered by the business
customer service
customer service refers to how well a business meets and exceeds the expectations of customers in all aspects of its operations
different ways of communicating with customers (customer service)
How the business communicates and interacts with the customers:
- Pre-sale
- post-sale
creates a personal relationship between the buyer and the seller
based on product knowledge, expertise, and the interaction between personalities
what is a “pre-sale” (customer service)
‘pre-sale’ when sales staff can answer queries and provide advice before purchase
what is a “post-sale” (customer service)
‘post-sale’ when a business can follow up a customer to ensure they are satisfied.
what are warranties
A warranty is an agreement and a period of time when a manufacturer must repair or replace a product that has broken down after purchase
It is the legal obligation of the business to either repair the item or refund its cost to the consumer
It is an extension of the service offered by the business. Once the financial transaction has occurred, the warranty ensures the relationship still exists