Brainscape's Knowledge GenomeTM

Browse over 1 million classes created by top students, professors, publishers, and experts.


See full index

Business Studies EDEXCEL IGSCE > Business Operations: Unit 40 - 42 > Flashcards

Business Operations: Unit 40 - 42 Flashcards

1
Q
  1. What is economies of scale?
A

financial advantages(falling in average costs) of producing something in very large quantities.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q
  1. What is diseconomies of scale?
A
  • rising average costs when a firm becomes too big.
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q
  1. What is internal economies of scale?
A

cost benefits that an individual firm can enjoy when it expands.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q
  1. What are 6 reasons/ types of economies of scale?
A
  • purchasing economies
    -marketing economies
  • technical economies
  • financial economies
  • managerial economies
  • risk bearing economies
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q
  1. What is external economies of scale?
A

cost benefits that all firms in the industry can enjoy when the industry expands.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q
  1. What are the 4 reasons for external economies of scale?
A
  • skilled labor
  • infrastructure
  • ancillary(less important but main part of services) and commercial services
  • cooperation (when firms in the same industry are likely to cooperate with each other)
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q
  1. What are the reasons for diseconomies?(3)
A
  • bureaucracy
  • labor relations
  • control and coordination
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q
  1. What are the 4 barriers that might prevent a business from growing in size?
A
  • lack of finance.
  • nature of the market.
  • lack of managerial skills.
  • lack of motivation.
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q
  1. What is bureaucracy?
A

system of administration that uses a large number of departments and officials.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q
  1. What is ancillary?
A
  • are services that are connected with something but less important than the main part of it.
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q
  1. What is a scale?
A

size of business.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q
  1. What is production?
A
  • the transformation of resources into a final product.
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q
  1. What are the 3 methods of production?
A
  • job production
  • batch production
  • flow production
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q
  1. What is job production?
A

method of production that involves employing all factors to complete one unit of output at a time.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q
  1. What is batch production?
A
  • method that involves completing one operation at a time on all units before performing the next/
  • method that involves completing the production of a number of products to the same design and then to another product of a different design.
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q
  1. What is flow production?
A

large-scale production of a standard product, where each operation on a unit is performed continuously one after the other, usually on a production line.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
17
Q
  1. What are the 4 features of flow production?
A
  • large quantities are produced.
  • a standardized product is produced.
  • a semi-skilled workforce.(specializing in one operation only is employed)
  • large amounts of machinery and equipment are used.
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
18
Q

1. * **

  1. What is another form of flow production? define it.
A

process production:- a form of flow production where materials pass through a plant and a series of processes are carried out in order to change the product.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
19
Q

19 What are two types of production?

A
  • labor-intensive production
  • capital intensive production
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
20
Q
  1. What is labor- intensive production?
A

production methods that make more use of labor relative to machinery.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
21
Q
  1. What is capital-intensive production?
A

production methods that make more use of machinery relative to labor.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
22
Q
  1. What are the four advantages of job production?
A
  • Value added product tailor-made for the customer.
  • high level of customer satisfaction
  • can be sold for a premium price
  • increased job satisfaction.
23
Q
  1. What are the four disadvantages of job production?
A

 High avg. cost of production, no economies of scale.
 time-consuming because you’re tailoring the job
 A wide range of tools, machinery, and equipment required
 Highly skilled labor is required
 Workers demand high pay

24
Q
  1. What are the 3 advantages of batch production?
A

Economies of scale – lower average cost of production
- Division of labor and specialization
- Batches can be varied to meet customers’ needs.

25
Q
  1. What are the 4 disadvantages of batch production?
A
  • High level of WIP and stock holding cost at the end of every process.
  • Boring work – repetition of work therefore workers will be demotivated.
  • More complex machinery maybe needed.
  • Careful planning and co-ordination is needed
26
Q
  1. What are the 4 advantages of flow production?
A
  • It is the high output of standardized product
    ▪ Costs are lower leading to lower prices
    ▪ Goods are produced quickly and cheaply
    ▪ Automated production lines can operate 24 hours a day
27
Q
  1. What are the 4 disadvantages of flow production?
A

▪ Very expensive machinery is required. Start-up capital cost is high.
▪ Worker motivation can be low – repetitive tasks.
- Takes a long time to set up the machines to make a product.
▪ Breaks in production can be very expensive

28
Q
  1. What is productivity?
A
  • the rate at which goods are produced and the amount produced, in relation to the work, time and money needed to produce them.
29
Q
  1. What is labor productivity?
A
  • output per worker in a given time period.
30
Q
  1. How to calculate labor productivity?
A

Total output/ no. of workers

31
Q
  1. How to calculate capital productivity?
A

total output/ capital employed

32
Q
  1. What is flexitime?
A

system in which people work a fixed number of hours each week or month, but change the times at which they start and finish each day.

33
Q
  1. What are the four ways labor productivity be improved?
A
  • government invests more in education by providing more equipment.
  • People are better motivated at work.
  • Labor is organized and managed more effectively
  • Labor is more flexible.
34
Q
  1. What are the 4 ways to increasing productivity of capital?
A
  • downsizing
  • relocation
    -outsourcing
  • lean production
35
Q
  1. What is downsizing?
A
  • a process of reducing capacity, usually by laying off staff.
36
Q
  1. What is outsourcing?
A
  • contracting out of work that might otherwise have been performed within the organization to other businesses.
37
Q
  1. What are the 4 impacts on business of productivity improvements?
A

(as a result of efficiency)
- financial impact
- competitiveness
- workforce
- customers

38
Q
  1. What is lean production?
A
  • an approach to production aimed at reducing the quantity of resources used.
39
Q
  1. What are the 4 benefits of lean production?
A
  • raises productivity
  • reduces costs and cuts lead times
  • reduces the number of defective products
  • improves reliability and speeds up product design.
40
Q
  1. What is just-in-time?
A
  • a production technique that is highly responsive to customer orders and uses very little stock holding.
41
Q
  1. What are the 6 advantages of JIT?
A
  • cash flow is improved.
  • no waste, out of date or damaged stock
  • space is released
  • no stock holding costs
  • Stronger links with suppliers
  • fewer suppliers
42
Q
  1. What are the 5 disadvantages JIT?
A
  • high ordering and administration costs
  • relies hugely on suppliers’ reliability
  • advantages of bulk- buying may be lost.
  • hard to cope with changes in demand
  • vulnerable to a break in supply.
43
Q
  1. What is tailor made?
A
  • where a product has been designed so that is exactly right for someone’s needs.
44
Q
  1. What is stockpile?
A
  • a large supply of goods and so forth that are being kept for use or possible use in the future.
45
Q
  1. What is Kaizen?
A

KAIZEN is a Japanese term meaning ‘continuous improvement’ through the elimination of
waste.

46
Q
  1. What are the 3 examples of waste in Kaizen?
A
  • time wasted while staff waits around.
  • time wasted when workers move unnecessarily in the workplace.
  • the irregular use of a machine.(using once a month)
47
Q
  1. What are the 5S?
A
  • Sort - get rid of clutter
  • Set in order - organize the work area
  • Shine- work area and equipment are clean
  • Standardize - adopt effective working practices,
  • Sustain - adopt the systems of 4s
48
Q
  1. What are the 6 practices adopted as a result of kaizen?(SSTEMQ)
A
  • standardization
  • teamworking
  • empowerment
  • suggestion schemes
  • quality circles
  • multi-skilling
49
Q
  1. What are the 4 benefits of teamworking?
A
  • workers develop team spirit may improve motivation and productivity.
  • flexibility might improve.
  • Quick decision-making and more ideas
  • Communication and labor relations might also improve.
50
Q
  1. What is empowerment?
A

-is when workers in a company are given more responsibility by being allowed to organize their own work and make decisions without asking their managers.

51
Q
  1. What are quality circles?
A

small group of factory workers who meet regularly to discuss ways to improve working methods and to solve problems.

52
Q
  1. What are the 4 importance of using resources effectively/ lean production?
A
  • financial benefits
  • improved competitiveness
  • positive environmental effects.
  • improved customer service.
53
Q
A

Business Studies EDEXCEL IGSCE (13 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2024 Bold Learning Solutions. Terms and Conditions