Ch.15- Production of goods and services Flashcards
Production
The process of converting inputs such as land, labour and capital into saleable goods
Productivity
A measure of the efficiency of inputs used in the production process, especially labour and capital
Inventories
The stock of raw materials, work-in-progress and finished goods held by a business.
Lean production
The production of goods and services with the minimum waste of resources
Job production
The production of items one at a time
Batch production
The production of goods in batches. Each batch passes through one stage of production before moving on to the next stage.
Flow production
The production of very large quantities of identical goods using a continuously moving process
Capital intensive
Production process that uses a high quantity of capital equipment compared with labour input