Unit 3 AOS 3 - operations management Flashcards
Operations management
Involves coordinating and organising the activities involved in producing the good or service that a business sells to customers.
Efficiency
is how productively a business uses its resources when producing a good or service.
Productivity
is the number of goods or services that are produced compared to the number of resources used in the production of that good or service.
Effectiveness
is the extent to which a business achieves its stated goals and objectives.
Inputs
are the resources used by a business to produce a good or service.
Processes
are the actions performed by a business to transform inputs into outputs.
Outputs
are the final goods or services produced as a result of a business’s operations system, that are delivered or provided to customers.
Manufacturing business
Uses resources and raw materials to produce a finished physical good.
Service business
utilise their operations systems to produce intangible (cannot be touched) products.
Automated production line
Involve machinery and equipment that are arranged in a sequence and the product is developed as it proceeds through each step.
Robotics
Are the programable machines that are capable of performing specified tasks.
Computer aided design (CAD)
is digital design software that aids the creation, modification, and optimisation of a design and the design process.
Computer aided manufacturing (CAM) techniques
Involve the use of software that controls and directs production processes by coordinating machinery and equipment through a computer.
Artificial intelligence
involves using computerised systems to stimulate human intelligence and mimic human behaviour.
Online services
services that are provided by the internet.
Master production schedule
Is a plan that outlines what a business intends to produce, in specific quantities within a set period of time.
Materials requiering planning
is a process that itemises the types and quantities of materials required to meet production targets set out in the master production schedule.
Just in time
is an inventory control approach that delivers the correct type and quantity of materials as soon as they are needed for production.
Quality
is a good or service’s ability to satisfy a customer’s need.
Quality control
involves inspecting a product at various stages of the production process, to ensure it meets designated standards, and discarding those that are unsatisfactory.
Quality assurance
involves a business achieving a certified standard of quality in its production after an independent body assesses its operation systems.
Total quality management
is a holistic approach whereby all employees are committed to continuously improving the business’s operations system to enhance quality for customers.
Waste minimisation
Is the process of reducing the amount of unused materials, time or labour within the business.
reduce
aims to decrease the number of resources, labour and time used during production.
Reuse
aims to make use of items which would have otherwise been discarded.
Recycle
aims to transform items which would have otherwise been discarded.
Lean management
Is the process of systematically reducing waste in all areas of a business’s operations system whilst simultaneously improving customer value.
Pull
involves customers determining the number of products a business should produce for sale.
One piece flow
processing a product individually through a stage of production and passing it into the next stage of production before processing the next product
Takt
involves synchronising the steps of a business’s operation system to meet customer demand
Zero defects
Involves a business preventing errors from occurring in the operations system by ensuring there is an ongoing attitude of maintaining a high standard of quality for the final output
Corporate social responsibility (CSR)
is the ethical conduct of a business beyond legal obligations, and the consideration of social, economic and environmental impacts when making business decisions.
Global sourcing outputs
Involves a business acquiring raw materials and resources form overseas suppliers.
Overseas manufacturing
involves a business producing goods outside of the country where its headquarters are located.
Global outsourcing
Involves transferring specific business activities to an external business in an overseas country.
