Operations Process Definitions

Question 1

Materials

Answer 1

The basic elements used in the operations process

How - Raw and Intermediate

Question 2

Information

Answer 2

Knowledge gained from research and investigation resulting in an increase in understanding

How - External(Marker Reports) and Internal (KPI)

Question 3

Customers

Answer 3

Individuals who purchase goods or services from a business to satisfy their needs and wants

How - Customer relations -> A system used to maintain customer contact and receive feedback

Question 4

Human Resources

Answer 4

The mental and physical labour that apply their efforts, skills and knowledge

How - Cultivative Culture, employing comprehensive job designs

Question 4

Facilities

Answer 4

Plant and machinery used in the operations process

Question 5

Volume

Answer 5

Quantity of products made or services provided

How - High and low volume (Can link to established and leading technology)

Question 6

Variety

Answer 6

The mix of products made or services delivered through the transformation process

How - High (Customisation) and low variety (Standardised products - economies of scale)

Question 7

Variation in Demand

Answer 7

Changes over time, seasons, trends, innovations, economic cycles

How 1 — High variation in demand -> business to forecast in order to best manage

P: Correct adjustments -> Less wastage -> increase costs
N:Incorrect adjustments ->excess wastage -> insufficient supply (Lost Sales)

How 2 — Low variation in demand

P: Less flexibility -> More routine and sustained operations -> efficiency and speed

Question 8

Visibility

Answer 8

Exposure of internal workings to customers

How - High and Low visibility

Question 9

Technology

Answer 9

Design or application of innovative devices and systems

Question 10

Task Design

Answer 10

Classifying job activities in a way that makes it simple for an employee to successfully perform and complete the task

Question 11

Process layout

Answer 11

the physical arrangement of equipment and people within the operations of the business, typically grouped together by the function/processes they perform.

Question 12

Monitoring

Answer 12

measuring actual against planned performance within business operations.

Question 13

Controlling

Answer 13

assessing KPI’s against predetermined targets and taking corrective action to ensure objectives are met

Question 14

Improvement

Answer 14

the systematic processes, strategies and business culture used to eliminate bottlenecks and achieve key performance objectives.

Question 15

Customer Service

Answer 15

How well a business meets and exceeds the needs of customers

How - Customer training and establish a complaints department

Question 16

Warranties

Answer 16

A promise made by a business to repair or replace defective products

How - Going beyond legal regulation under Aus Consumer laws by increasing warranty time length

P: - Increases confidence and brand trust in the product
- Supports quality expectation of the product

N: If product is faulty, results in repairs and replacements resulting in signficant costs