key term definitions 2.4 Flashcards
what is the definition of batch production?
a method that involves completing 1 operation at a time on all units before performing the next
what is the definition of capital intensive?
production methods that make more use of machinery relative to labour
what is the definition of capital productivity?
the amount of output each unit of capital produces
what is the definition of cell production?
involves producing a family of products in a small self-contained unit (a cell) in a factory
what is the definition of division of labour?
specialisation is specific tasks or skills by an individual
what is the definition of downsizing?
the process of reducing capacity usually by laying off staff
what is the definition of efficiency?
producing a level of output where average cost is minimised
what is the definition of flow production?
large scale production of a standard product where each operation on a unit is performed continuously 1 after the other usually on a production line
what is the definition of job production?
a method of production that involves employing all factors to complete 1 unit of output at a time
what is the definition of Kaizen?
a Japanese term that means continuous improvement
what is the definition of labour intensive?
the production method that makes more use of labour relative to machinery
what is the definition of labour productivity?
the amount of output each unit of labour produces
what is the definition of lean production?
an approach to operations that focuses on the reduction of resource use
what is the definition of outsourcing?
giving work to sub-contractors to reduce costs
what is the definition of production?
the transformation of resources into goods or services
what is the definition of productivity?
the output per unit of input per time period
what is the definition of specialisation?
in business the production of a limited range of goods
what is the definition of standardisation?
using uniform resources or activities or producing a uniform product
what is the definition of capacity utilisation?
the use that a business makes of its resources
what is the definition of excess or surplus activity?
when a business has too many resources such as labour and capital to produce its desired level of output
what is the definition of full capacity?
the point where a business cannot produce any more output
what is the definition of mothballing?
leaving machines, equipment or building space unused but maintained so they could be brought back into use if necessary
what is the definition of over-utilisation?
the position where a business is running at full capacity and ‘straining’ resources
what is the definition of rationalisation?
reducing the number of resources particularly labour and capital put into the production process usually undertaken because a business has excess capacity
