Production Flashcards

Question

Productivity is ...

Answer 1

the amount of output per given input in a given time period

Answer 2

Total output/total input

Answer 3

Outputs/average no. of employees

Answer 4

``` Training Improved motivation More or better capital equipment Better quality raw materials Improved organization of production Target setting Factory layout Teamwork ```

Answer 5

Unit cost falls as output increases

Answer 6

An economy of scale arising from growth of the business its self

Answer 7

Economies of scale which occur within the industry

Answer 8

``` Purchasing Technical Specialisation Marketing Managerial Financial Network Risk-bearing ```

Answer 9

Development of local facilities New research Relocation of suppliers Agglomeration economies

Answer 10

Discounts offered on large orders

Answer 11

Large businesses can afford to invest in the latest technology

Answer 12

It is when production can be broken up into tasks which are then completed by specialists

Answer 13

If they offer a large range of products it gives them power when negotiating with suppliers, also some products might provide passive benefits to others

Answer 14

Large businesses are often more creditworthy and floated on the stock market

Answer 15

The cost to add one new user is often negligible to large companies

Answer 16

Risks are spread across a large company with a range of products

Answer 17

when a businesses growth causes a rise in unit cost

Answer 18

Poor communication Lack of motivation Lack of direction Loss of organization

Answer 19

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

Answer 20

(Actual level of output/maximum possible output)*100

Answer 21

Lower maximum possible output Increase demand (marketing, price) Differentiate product

Answer 22

Competition Stage in product life cycle Seasonality Alternative costs

Answer 23

``` Fall in average costs Less wastage Increased profit Employee motivation Increased competitiveness ```

Answer 24

Coping with maintenance and breakdowns Cannot accommodate additional orders High-pressure environment Reduced quality

Answer 25

The process used by a business to ensure that it has sufficient stock for its purpose

Answer 26

Raw materials Work in progress Finished goods

Answer 27

Maximum stock is the highest amount a company is willing to hold and minimum is the lowest amount

Answer 28

A reserve of stock which is maintained to allow for changes in demand

Answer 29

The difference between the order time and when the company receives the goods

Answer 30

Trigger point for when the next order for stock should be placed

Answer 31

When you run out of stock

Answer 32

Can be damaged as hard to monitor Takes up space (increased costs) Money tied up (opportunity cost) Raw materials and work in progress hard to liquidate Depreciation of stock Space for storage cannot be used for anything else (opportunity cost)

Answer 33

Allows you to meet demand Buffer stock allows for fluctuations in demand Economies of scale

Answer 34

Maximum stock level + minimum stock level / 2

Answer 35

Cannot meet demand Cannot hold buffer stock Bad reputation Cash flow issues

Answer 36

The first stock in should be the first out

Answer 37

Most recent stock in should be first out (cannot use for perishable goods)

Answer 38

A computerized system including barcodes and scanners which tracks the volume of a stock

Answer 39

A traffic light system in which stock is only brought forward when the light is green

Answer 40

When goods are received only when they are needed but relies upon dependable suppliers

Answer 41

The order quantity in that minimizes total inventory holding cost and ordering cost

Answer 42

An approach to management that focuses on cutting out waste, whilst ensuring quality

Answer 43

A method of looking to reduce wasted time allowing for; quicker response time, faster product development and reduced staff costs

Answer 44

Increasing your workers desire to perform and increasing productivity

Answer 45

Means "continuous improvement" and is employee lead small changes to improve production

Answer 46

When the production line is spilt into cells responsible for a part allowing the people in the cells to rotate their roles

Answer 47

An attitude to quality where there are zero defects and total customer satisfaction. It is achieved through regular checking and removing defects early

Answer 48

Building into production the ability to detect faults

Answer 49

Groups of employees and external counsel brought together to identify potential improvements

Answer 50

A culture for change A budget/suitable finances Customer and employee centered Good relationship with suppliers

Answer 51

Over-production Waiting time Stock Defects

Answer 52

``` Labour costs Land costs Energy costs Transport costs community factors - local amenities, local government ```

Answer 53

``` Customer convenience Labour skills Site suitablity Image Expansion potential ```

Answer 54

The general commercial activity of transporting, storing and acquiring goods

Answer 55

Storage facilities Customer requirments Information systems Transportation

Answer 56

``` Specific product requirements Location of demand and supply Size and type of product Nature of demand Cost of modes of transport Cost of storage Lead time ```

Answer 57

``` Greater control Cheaper in the long run Don't rely on third party Greater flexibility Increases asset value ```

Answer 58

``` Doesn't have a setup cost Predictable expenses Lower unit cost Specialist firm Easier to adapt to demand ```

Answer 59

the act of reintroducing domestic manufacturing/processes

Answer 60

the process of relocating a business process from one country to another

Answer 61

an agreement where one company contracts out part of an internal process to another company

Answer 62

Shorter delivery times Minimise risk in supply chain Reduce complexity of supply chain Easier to collaborate with domestic suppliers Cost advantage of offshoring not as great as it once was

Answer 63

``` Lowers cost Access skilled and higher quality labour Use additional capacity Take advantage of different laws Move closer to target markets ```

Answer 64

Longer lead time Additional management cost Must consider exchange rates communication barriers

Answer 65

Reduced cost Improvement in quality Meet changes in demand

Answer 66

When the production of a particular part of production is completed by another firm

Answer 67

Reduction in cost Increase in quality (specialized firm) Allows for an increase in production

Answer 68

Loss of control - reliant on another business Risk lower quality Potentially longer lead times

Answer 69

It is meeting the needs and expectations of all customers

Answer 70

Design, functionality, reliability, consistency, durability, after sales and value for money

Answer 71

Increases competitiveness Modern customers are knowledgeable and demanding Customers are prepared to complain about poor quality Customers are able to share information about quality

Answer 72

``` High customer loyalty Customer satisfaction Repeat purchases Customer recommendations Lower marketing costs ```

Answer 73

The process that ensures production quality meets the requirements of customers

Answer 74

Kitemark ISO 9000 Wool mark

Answer 75

Staff training costs Downtime between change Demotivation from change Recruitment costs

Answer 76

A general approach for a business to improve by looking at the best practice in the industry

Answer 77

No. of rejects/total produced * 100

Answer 78

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

Answer 79

Assurance is based on the processes and looks to make sure no defects occur and quality control is based on inspection and takes defects out

Answer 80

``` Bad reputaion Loss of customers Cost to replace goods Wasted materials Less competitive ```

Answer 81

Activities that other people or businesses do for you