1.37 Production, Productivity and Efficiency Flashcards
(40 cards)
What is production?
The process of transforming resources like land, labour, capital, and enterprise into goods and services.
What is job production?
Producing a single product from start to finish, usually to a customer’s specification.
State two advantages of job production.
High quality products and motivated workers.
State two disadvantages of job production.
High labour costs and slow production time.
What is batch production?
Producing goods in groups (batches) rather than continuously.
Give an example of batch production.
Baking loaves of bread in batches.
State two advantages of batch production.
Workers can specialise and unit costs are lower.
State two disadvantages of batch production.
Careful planning is needed and motivation may be lower due to repetitive work.
What is flow production?
Continuous production of identical items, often on an assembly line.
Give an example of flow production.
Car manufacturing or newspaper printing.
State two advantages of flow production.
Low costs due to economies of scale and fast production speed.
State two disadvantages of flow production.
Very high setup costs and low worker motivation.
What is cell production?
Dividing production into teams (cells) where each group completes a part of the whole product.
Give two advantages of cell production.
Better teamwork and improved quality control.
Give one disadvantage of cell production.
Requires skilled and trained workers.
What is productivity?
Output per unit of input (usually labour) per time period.
How is labour productivity calculated?
Total output ÷ number of workers.
How is capital productivity calculated?
Output ÷ capital employed.
What is the difference between productivity and efficiency?
Productivity is output per input
Give two ways productivity can be improved.
Better education/training and motivation of workers.
What is specialisation?
Dividing production into specific tasks to improve efficiency and skills.
Give one advantage of specialisation.
Increases productivity by making tasks quicker and more consistent.
What is labour flexibility?
Workers’ ability to perform different tasks and adapt to changing work patterns.
What is capital productivity?
The efficiency of using machinery and equipment to produce output.