Topic 4-Operations Flashcards
What are the three main methods of production?
- Batch production.
- Flow production.
- Job production.
What is job production?
When a product is made individually from start to finish.
What are job production products usually described as?
Bespoke.
What are two advantages to job production?
- Products are high quality.
- Skilled labour is used meaning the workers are motivated.
What are three disadvantages to job production?
- Output cost is high.
- Expensive labour.
- Difficult to speed up production.
What is batch production?
When products are produced in bulk but not continuously.
What are batch production products like?
They are the same in each batch.
What are two advantages to batch production?
- Can still address specific customer needs.
- Making in batches reduces unit costs.
What are two disadvantages to batch production?
- Need to keep a stock of raw materials.
- Potentially de-motivating for staff.
What is flow production?
Production that is continuous and produces a product in mass.
What are two Advantages to flow production?
- It is capital intensive meaning more products are made at a low cost.
- Production is much quicker.
What are two disadvantages to flow production?
- Capital intensive means that they have to buy machinery which is expensive.
- Work can become boring to staff.
What is automation?
When production can be controlled automatically by programming a computer to control machinery.
What are the workers role with automation?
They oversee the computers and ensure that production is running correctly.
What is robotion?
When a computer is programmed to control a robot to do specific tasks.
What is an example of a business which has used automation in production?
Lowes’ Oshbots.
What does quality production mean?
When a product is fit for its purpose,meets legislative rules and meets customer expectations.
What are the four main reasons why the quality of goods and services are important?
- Avoids waste.
- Affects reputation.
- Avoids recalls.
- Avoids disrupted production.
What is quality control?
Checking the that the product or service meets the required standards.
Give an example of quality control…
Physical inspection.
How can the quality of a service be checked?
Through a customer satisfaction survey.
Give an example of a business that uses physical inspection for their quality control…
Toyota.
Give two advantages to quality control…
- Can helps prevent faulty goods or services being sold.
- May improve reputation for the quality.
What are two disadvantages to quality control?
- Can be costly.
- Doesn’t encourage workers to be responsible for quality.
How can quality control be costly?
Because of the wages of inspectors.
What is a mystery shopper?
When a person pretends to be a normal customer but will check that the service provided is up to the right standard.
What is quality assurance?
It is about preventing problems with quality rather than spotting them.
What are two advantages to quality assurance?
- May be less wastage.
- Workers may feel valued as they have been given additional responsibility.
Why is less wastage good for a business?
It reduces production costs.
What are two disadvantages to quality assurance?
- Production may be slower as workers have to stop to check the quality.
- Training costs may be high.
What is e-commerce?
The process of bringing the buyer and the seller together electronically.
What is another way of saying e-commerce?
Online sales.
Is e-commerce referring to buying something tangible or intangible?
Tangible.
How does e-commerce affect the location of a business?
It means that the location can be more adaptable because they can locate in a different place away from customers.
How does e-commerce affect the delivery options?
It means that the speed is competitive and that there may be new problems with security.
What are two advantages of e-commerce?
- Open at all times.
- Lower operation cost.
What are two disadvantages to e-commerce?
- There may be problems with security.
- Lack of personal contact.
What are the two main methods of selling other than e-commerce?
- Face to face.
- Telephone sales.
What is a disadvantage to face to face sales?
Shops are expensive to operate.
What is an advantage of face to face selling?
It gives the business an opportunity to use good customer service.
What is an advantage to over the phone sales?
Some customers may not feel comfortable with online shopping but be happy to talk with someone over the phone.
What is customer service?
Helping customers and how staff present themselves.
What are the two main important things with customer service?
Speed and quality.
Why is customer service important?
It helps maintain or increase sales.
What will happen if the service is bad?
Customers will not return.
Give an example of after sales service…
Giving returns.
What are three factors that may affect business location?
- Costs.
- Proximity to market.
- Labour.
How do costs affect business location?
The price of the land my vary significantly so they may choose to locate due to this.
Why may a business choose to locate where the location cost is high?
There will more likely be richer customers near by that might pop in.
What does proximity to market mean?
How close the business is to a customer.
How can the proximity to market affect business location?
Some business’ don’t need to be near their market.
What is procurement?
The management of the buying or purchasing in a business.
What are the two roles of procurement?
- Identifying goods and services to buy.
- Choosing suppliers and ordering the goods and services.
What is a factor that can affect procurement?
The time of year.
