Production key Terms Flashcards
Batch Production
A method that involves completing one operation at a time on all units before performing the next.
Capital Intensive
Production methods that make more use of machinery relative to labour.
Capital Productivity
The amount of output each unit of capital (eg. one machinery) produces.
Cell Production
Involves producing a family of products in a small self-contained unit (a cell) within a factory.
Division of Labour
Specialisation in specific tasks or skills by an individual.
Downsizing
The process of reducing capacity, usually by laying off staff.
Efficiency
Producing a level of output where average cost is minimised.
Flow Production
Large-scale production of a standard product, where each operation on a unit is performed continuously one after the other, usually on a production line.
Job Production
A method of production that involves employing all factors to complete one unit of output at a time.
Kaizen
A Japanese term that means continuous improvement.
Labour Productivity
The amount of output each unit of labour (eg. one worker) produces.
Lean Production
An approach to operations that focuses on the reduction of resource use.
Outsourcing
Giving work to sub-contractors to reduce costs.
Production
The transformation of resources into goods or services.
Productivity
The output per unit of input per time period.
