Words 2.4 Flashcards
Capacity utilisation
The use that a business makes of its resources
Rationalisation
Reducing resources usually because of excess capacity
Batch production
Products passed through each production stage in batches
Flow production
Continuous production where products are assembled in a series of standardised products and are produced in stages
Job production
One off production, usually unique products or services
Lean production
An approach of operations that focus on the reduction of resource use
Cell production
Involves producing a family of products in a small self contained unit (cell) within a factory
Capital intensive
Production methods that make more use of machinery relative to labour
Labour intensive
Production methods that make more use of labour relative to machinery
Division of labour
Specialisation in specific tasks or skills by an individual
Production
Measure of quantity of output
Productivity
Measure of efficiency calculated by dividing output by the inputs per time period eg labour productivity at Nissan uk 100 cars per worker per year
Efficiency
Producing a level of output where average cost is minimised eg less mistakes
Kaizen
Japanese term that means continuous improvement
Buffer stocks
Stock held as a caution to cope with unforeseen demand
Tqm
A Constant company wide culture of total quality management
Lead time
Time between placing an order and the delivery of goods
Re-order level
Level of current stock when new orders are placed
Re-order quality
Amount of stock ordered when an order is placed
Stock rotation
Flow of stock into and out of storage
Work in progress
Partly finished goods
Quality
Feature of a product that allow it to satisfy customer needs. It may refer to some standard of excellence
Quality assurance
A method of working for businesses that takes into account customers want when standardising quality
Quality circles
Group of workers meeting regularly to solve problems and discuss work issues
Quality chains
When employees form a series of links between customers and suppliers in business both internally and externally
