Orange Booklet Flashcards
What is a trade union?
An association of workers in a trade or a precession, formed to defend and advance their rights and interest, e.g. negotiating pay
What is collective bargaining?
Where a business negotiated with representatives of employees, such as trade unions, regarding the terms and conditions of employment
What is industrial action?
Where employees, usually in the form of a trade union, protest over some element of working conditions
Give 3 forms of industrial action:
- Overtime ban (refuse to work any extra hours)
- Work-to-rule (stick very closely to rules in workplace)
- Strikes (withdrawal from labour) e.g miners strike 1984
How can the employee and employee attempt to dispute resolution? (3)
- Negotiation
- Consultation
- ACAS
What does ACAS stand for?
Advisory
Conciliation - discuss dispute
Arbitration - use impartial adviser to settle dispute
Service
What is meant by operations management? Give an example
The methods used by a business to create products and services that are efficiently delivered to the customer to maximise profits and reduce costs
E.g. Tesla = in process of making worlds largest battery production facility for its electrical cars
What is added value? With calculation
Enhancing the gap between the production cost and selling price
Added value = selling price of product - cost of production
What is the definition of production?
The total amount of output produced in a specific time period,
More produced in a specific time period the more efficient the business
Give 3 methods of production:
- Job production
- Batch production
- Flow production
What is job production? Give an example
A method of production in which a business concentrated in producing a single unit at a time, usually for a unique product.
E.g. wedding dresses
What is batch production?
Manufacturing a number of goods at the same time, usually identical products
What is flow production?
A method of production in which units move directly from one operation to the next in a conitinous sequence
What is productivity?
A measurement of the efficiency with which a business turns inputs into outputs.
The more productive a business is the better it can compete = competitive advantage and increased market share
What is the calculation for labour productivity?
Output per period / no. of employees per period
What is the calculation for capital utilisation?
( Actual output / max. possible output ) x 100
What is capacity utilisation?
Measure the proportion of current output compared with the maximum possible output in a given period
What does capacity utilisation tell us? If it’s high
High = lower unit costs, using assets effectively, making the business more competitive should mean higher profits
Give 3 ways of increasing capacity utilisation:
- Increasing workforce’s hours (extra shifts or temp. staff)
- Improve marketing = increase demand for products
- Cutting capacity of factories (buy smaller premises)
What is spare capacity?
When a business is working at less than 100% capacity
Give 4 problems with spare capacity:
- Demotivation of staff
- Increase costs to business e.g redundancy payments
- Reduced profits
- Lack of return on capital investment
How to resolve space capacity: (3)
- Getting someone else to produce goods for you
- Concentrating on core products
- Increasing use of assets (e.g. sublet some of ship floor)
Give 4 advantages of technology:
- Improved quality
- Faster innovation
- More effective marketing sales
- Less dependency on labour
What is lean production?
Philosophy which aims to minimise costs and enhance quality by using a tango of waste-saving measures
