3. Management of Operations

Question 1

why is operations vital to a business?

Answer 1

as making products and producing services to sell is vital to an organisations objectives of making a profit and generating wealth

Question 2

what is the role of operations?

Answer 2

-purchasing of raw materials to meet production requirements
-ensuring appropriate methods of production are being used
-using quality techniques to ensure maximum quality output is achieved from minimum inputs
-warehousing and distribution of end products
-managing control of inventory

Question 3

what are the key elements of operations?

Answer 3

purchasing
system design
system operation

Question 4

what does purchasing include?

Answer 4

-what inventory to buy
-how much to buy
-who to buy from

Question 5

what does system design include?

Answer 5

-factory layout
-production process
-efficient flow
-plan staffing
-staff roles
-labour v’s capital

Question 6

what does system operation include?

Answer 6

-control flow of inventory
-production process/customer requirement met
-sufficient storage
-appropriate storage

Question 7

what are the three sages of operating systems?

Answer 7

input
process
output

Question 8

what does input include?

Answer 8

raw materials
labour

Question 9

what does process include?

Answer 9

-inventory
-pass through a production process
-undergo quality checks
-methods of paying staff are determined

Question 10

what does output include?

Answer 10

actual goods and services produced and warehouse and distributed