Business Operations Flashcards
What does a supply chain consist of?
The group of firms involved in the processes required to make a finished product or service available to the customer.
What factors should businesses consider when choosing their suppliers?
- Price of the product
- Quality of the product
- Reliability of the suppliers
What does procurement mean?
Finding and buying things that a firm needs from suppliers
What does logistics mean?
Getting goods or services from one part of the supply chain to another
List some benefits of a good supply chain
- Good relationship with suppliers
- Finding the best price and value
- Reducing waste
When is job production used?
When a firm manufactures individual, unique products.
Are high-skilled workers required for job production?
Yes
Give an example of a product made with job production
Tailored clothes
What is flow production?
Products are identical and the aim is to make as many as possible on an assembly line
What is lean production?
A strategy used to make production more efficient
Give a benefit and drawback of maintaining quality
+ Increased sales
- Staff training
Give benefits of good customer service
Satisfied customers, Repeat purchases
What is just-in-time production?
JIT aims to keep stock levels low - preferably 0
