AOS3 Flashcards
(37 cards)
operations management
involves coordinating and
organising the activities
involved in producing
the goods or services
that a business sells to
customers
efficiency
is how
productively a business
uses its resources when
producing a good
or service.
effectiveness
is the
extent to which a business
achieves its stated
objectives.
inputs and examples
are the
resources used by a
business to produce
goods and services.
ingredients
labour
time
processes and examples
are the
actions performed by a
business to transform
inputs into outputs.
baking
constructing
outputs and examples
are the final
goods or services
produced as a result of
a business’s operations
system, that are delivered
or provided to customers.
pizza
chair
cups
Manufacturing Business
use resources and raw
materials to produce a
finished physical good.
service business
provide intangible products,
usually with the use of
specialised expertise.
manufacturing business characteristics
- capital intensive
- can be stored as inventory
-tangible
service business characteristics
- labour intensive
-high degree of customer contact - intangible
-cant be stored
automated production lines
involve machinery
and equipment that are
arranged in a sequence,
and the product is
developed as it proceeds
through each step.
+ precise and accurate increasing reputation
+replaces employees using dangerous and tedious tasks
+timely
-high set up costs
-may cause employees to be redundant.
-productions can be halted
robotics
are
programmable machines
that are capable of
performing specified tasks.
+timely
+precise and accurate
+remove dangerous tasks
-employees may be redundant
-expensive for a business to repair
-poor business rep
computer aided design (CAD)
is digital design
software that aids the
creation, modification, and
optimisation of a design
and the design process.
+greater accuracy
+sales can increase with higher levels of quality
+speed up
- poor reputation if employees are redundant
-high set up costs
-to repair costly
computer aided manufacturing techniques
involve the
use of software that
controls and directs
production processes by
coordinating machinery
and equipment through
a computer.
+labour expenses reduced
+removes dangerous tasks
+timely
-redundant
-high set up costs
-can cause halts in production
artificial inteligence
involves using
computerised systems
to simulate human
intelligence and mimic
human behaviour.
+precise
+fast and timely
+increase customer satisfaction
- employees can be redundant
-can be costly
-poor repuation
online services
are
services that are provided
via the internet.
Forecasting- materials strategies
is a materials
planning tool that predicts
customer demand for an
upcoming period using past
data and market trends.
+reduce storage costs
+prevents excessive ordering of materials
-time consuming
-may have to hire specialists
Master production schedule
is a
plan that outlines what
a business intends to
produce, in specific
quantities, within a set
period of time.
+employees develop a positive relationship with work.
+increase sales
-time consuming
=costly to maintain
materials requirement planning
is a
process that itemises the
types and quantities of
materials required to meet
production targets set out
in the master production
schedule.
+reduces associated costs with storage
+less production halts
+improve reputation as less halts. in production
- time consuming
-costly to maintain
-
Just in time
is an
inventory control approach
that delivers the correct
type and quantity of
materials as soon as they
are needed for production.
quality control
involves inspecting
a product at various
stages of the production
process, to ensure it meets
designated standards, and
discarding those that are
unsatisfactory
quality assurance
involves a business
achieving a certified
standard of quality in
its production after an
independent body assesses
its operations system
Total quality management
is a holistic approach
whereby all employees are
committed to continuously
improving the business’s
operations system to
enhance quality
for customers.
waste minimisation
is the process of reducing
the amount of unused
material, time, or labour
within a business.
