Resource Management Flashcards
What does resource management require?
planning and control and every stage in supply chains
What is considered during the design of a product?
- market research
- competition
- available finance
- past products
- product differentiation
- target audience
What is considered when establishing a new supply chain?
- Distribution channel
- external factors i.e currency
- delivery costs
- sustainability
- costs
- availability
What is considered when working with suppliers?
- possible trade credit
- relationships
- budget –> cost per unit
- design
- capacity and volume
- deadlines
- spread risk
What is considered when managing quality?
- TQM
- Quality assurance (as you go)
- Quality control (end)
- Quality circles
- skilled labour
- motivate workforce
- training
What is considered when achieving high levels of efficiency?
- Kaizen (continuous improvement)
- new technology
- training
- targets/motivators
- minimise waste
- labour productivity
- lower unit costs and low variable costs per unit
What is production?
measures the quantity of output
What are the two methods of production?
labour and capital intensive
What is labour intensive production?
automation using machinery
What is capital intensive production?
using highly skilled people and workforce
What are the different types of production?
Job
Batch
Flow
Cell
Which type of production has the highest labour costs and lowest?
most job
cell
batch
least flow
What is job production?
Where low volumes of goods are produced which are tailored to high customer expectations using a skilled workforce.
What are positives and negatives of job production?
+ altered for customers, higher quality, motivation, flexible, high profit margin
- Increase variable cost per unit and fixed costs per unit , labour intensive, requires close consultation, high training, Long lead-time, hard to deal with.
What is batch production?
Producing a large number of identical products created in stages before moving onto the next stage that’s related to it
What are positives and negatives of batch production?
+ economies of scale, customer choice, specialist, allows unexpected orders, lower cost per unit, utilise assets
- takes time between production, requires higher stock levels, tasks may be repetitive, size depends on capacity utilisation
What is flow production?
Where production is continuous and progressive through stages where only one type of product is being produced.
What are positives and negatives of flow production?
+ capital intensive, low costs, mostly autonomous, economies of scale, time efficient, less training.
- competitive, obsolete technology, repair and maintenance, demotivating for staff, high initial costs, requires constant demand and supply, high risk
What is cell production?
Methods where workers are organised into multi-skilled teams each responsible for a particular part of the production.
What are positives and negatives of cell production?
+ improved communications, efficient management, workers become multi-skilled, low stock requirement (just in time), improved lead time
- reduces use of machinery, more hierarchy and increased costs, create competition, may be slow, has to build trust.
What are factors to consider when deciding on method of production?
Skills required Competition Desired quality Finance available Capacity required Ethical stance Legal issues Size of organisation Dyamics PESTLE Trends and traditions
How do you work out output per work ?
Total output / number of employees
How do you work out productivity per time?
Output / time period
What is productivity?
Important measure of efficiency.
What are methods of improving productivity?
Motivational incentives Team-working Change production style Leadership style Training Increased work houses Investment equipment Change work practices
What are positives and negatives of motivating employees?
+ better relations, staff retention, increase value of staff, better communication
- can be costly, not work for every employee, take time, hard to sustain,
What are positives and negatives of training?
+ worthwhile over a long time, cheaper, improve staff, better skills, motivate workers, flexible production, multi skilled, dynamic, less defective products
- takes time, can be costly, may not be suitable, retention, bad training
What are positives and negatives of increased work hours?
+ more output, longer serving staff (higher retention), short term gains
- employee welfare, increased wage, lower quality, hard to manage
What are positives and negatives of investing into equipment or technology?
+ better competition, can differentiate, advantage, efficiency, better waste management, customers and increased volume, lower unit costs, 24/7
- quickly outdated, needed finance, maintenance, to train, obsolete, reputation, mass market
What are positives and negatives of changing work practices?
+ suit staff, efficiency, waste management, reduce unit costs, introduce tea working, allow flexibility
- expensive, resistance by employees, trust staff, make communication difficult
How would great specialisation of labour improve productivity?
This helps focus workers on one area of production which helps speed up processes since highly skilled workers can easily complete work.
How can financial incentives improve productivity?
Motivates workers as they will increase their productivity which increases job rotation allowing staff to become mor efficient.
How can greater labour flexibility improve productivity?
Motivates workers as they will be given more control increasing trust between employee and employee - better communication
How can the introduction of technology improve productivity?
Increases the productivity of the workers as it allows staff to get through more products. This is also cheaper in the long run making economies of scale more applicable.
