U3: AOS3 (Operations Management) Flashcards
What is the relationship between Operations Management and Business Objectives?
The higher quality a product is, the more it will sell. The more efficient the process is, the less it will cost.
1) What are inputs?
2) Examples
1) Equipment/materials that are required to make/develop a product.
2)
- Raw materials
- Labour
- Capital resources
What are processes?
Operations stage whereby inputs are transformed into finished outputs. Led by Operations Manager, uses technology and equipment to efficiently make the most quality product.
1) What are outputs?
2) Examples
1) The final products/results of the Operations Process.
2)
- Tangible goods (physical good = toy)
- Intangible services (non-physical service = haircut).
1) What are Automated Production Lines?
2) How do they increase efficiency and effectiveness?
1) Process whereby raw materials are transformed into products by technological equipment with little or no human intervention.
2) - Lower labour costs - Quicker production - Overall lower cost of production - More stable, accurate production (no defects) - Increased workplace safety -
1) What is Computer-aided Design (CAD)?
2) How does it increase efficiency and effectiveness?
1) Computer program that facilitates the creation/modification of a product design.
2)
- Increases product design process speed
- Increases accuracy (3D models)
- Saves time and money
- Designs can be shared easier
1) What are Computer-aided Manufacturing techniques?
2) How do they increase efficiency and effectiveness?
1) The control of machinery, tools and equipment through a computer. Includes Computer-integrated manufacturing (program that controls/directs planning) and flexible manufacturing systems (program that controls/directs operations system)
2)
- Greater percision
- Less defects/fewer mistakes made
- Quicker
- Less labour costs
1) What is Website Design?
2) How does it increase efficiency and effectiveness?
1) Designing a business website in a manner where it is more accessible, resourceful, and appealing.
2)
- Brings more traction/customers to business
- Gain competitive advantage
- Improved communication between business and customer
- Gain increased profit off advert revenue
1) What is Forecasting?
2) How does it increase efficiency and effectiveness?
1) The use of previous data to determine how many inputs will be needed to make a certain amount of outputs.
2)
- No excess or lack of materials
- Idea of how many products will be sold
1) What is a Master Production Schedule?
2) How does it increase efficiency and effectiveness?
1) Statement of how many outputs a business intends to produce within a specific period of time.
2)
- Identify what materials are needed
- No excess of materials
1) What is Materials Requirement Planning?
2) How does it increase efficiency and effectiveness?
1) Inventory management system established to estimate and schedule orders for materials.
2)
- Correct quantities produced
- Ensures sufficient amount of inputs
- Info on any materials lost/misplaced
1) What is Just in Time?
2) How does it increase efficiency and effectiveness?
1) Inventory management system which aims to avoid holding any stock: suppliers arrive just as they are needed for production, and products are immediately sold to customers.
2)
- Reduction/minimisation of inventory levels
- Eliminates storage costs
- Saves space
What is Quality Control?
System established to detect/eliminate Defects before products leave production.
What is Quality Assurance?
System established to avoid the occurrence of Defects.
What is Total Quality Management (TQM)?
Management-led concept whereby all staff in a business have responsibilities for improving production processes in their work/tasks.
