Unit 3 AOS 3

Question 1

Operations management

Answer 1

op manment: The coordination of resources to efficiently and effectively produce goods and/or services

Question 2

IPO’s

Answer 2

Inputs: Are the resources used by a business to make goods and services
Processes: Are the actions performed by the business to transform inputs into outputs
Outputs: The final goods or services produced as a result of a businesses operations system

Question 3

Characteristics of manufacturing and service businesses

Answer 3

Manufacturing
* Capital intensive
* production and consumption occur seperately
* Low degree of customer contact during production
* Tangible output
* Storable output
* Standardised production
Service
* Labour intensive
* production and consumption occur simultaneously
* High degree of customer contact during production
* Intangible output
* non storable output
* Tailored production

Question 4

Technological strategies

Answer 4

Automated production lines: Automated production lines involve machinery and equipment that are arranged in a sequence,
and the product is developed as it proceeds through each step.
+Low margin of error
+High quality outputs
+Can work long amounts of time
+Can be faster than human labour
-May cause redundancy
-can breakdown and hault production
-High initial set up costs
Robotics: Robotics are programmable machines that are capable of performing specified tasks.
As above
+Employees dont need to perform potentially dangerous tasks
+Less human labour to be paid
-Expensive repairs
-May need to train employees to work the tech
Computer Aided Design:Computer-aided design (CAD) is digital design software that aids the creation, modification, and optimisation of a design and the design process.
As above
+More innnovative product design
+Customer can customize design
+Increased customer satisfaction
-Costly to update and repair software
-Training for employees to use software
Computer-aided manufacturing(CAM): involve the use of software that controls
and directs production processes by coordinating machinery and equipment through a computer.\
As above
+Could remove dangerous tasks
+Speedy
+cheaper
-Poor repeutation if it causes lots of redundacys
-costly to update or repair
Artifcial Intelligence: involves using computerised systems to simulate human
intelligence and mimic human behaviour. AI is a powerful tool that allows machines to perform
functions that would otherwise require human input.
+24/7 availability
+Can perform complex functions
+fast
-May be costly to recalibrate and maintain
Online services: are services provided by the internet
+customer convenience
+could gain more customers
+could remove tedious tasks
-Technical difficulties
-may deter old heads
-setup may be costly and time consuming

Question 5

Materials Strategies

Answer 5

Forecasting: is a materials planning tool that predicts customer demand for
an upcoming period using past data and market trends.
+Allows businesses to anticipate seasonal
changes
+It can help to prevent over-ordering
-unexpected events can still catch you out.
-Time consuming
Master production schedule: is
a plan that outlines what a business intends
to produce, in specific quantities, within
a set period of time.
+very accurate ordering quantities and timings
+very clear
+works well for standardised production
+reduces wastage
-Initially time consuming and expensive to create
-Difficult to account for every situation.
-not very flexible
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.
+reduce wastage and expenses.
+can improve a company’s environmental reputation.
-initially expensive to set up a dedicated system
-time consuming to constantly measure the stock
Just In Time(JIT): an inventory control system that delivers the correct type and
quantity of materials, just as they are needed
for production.
+No storage space required.
+No raw material wastage.
-Hugely reliant on suppliers to deliver on time, all of the time.
-Delivery costs may increase

Question 6

Quality Strats

Answer 6

Quality Control: involves the use of a series of checks at different stages of the production process to ensure that goods and services meet predetermined standards.
+Reduce number of faults
+less waste, omore competitive
+inexpensive to set up
-can be time consuming
-defective goods can still reach the customers
-boring task
Quality Assurance: involves a business achieving a certified standard of quality in its production, after an independent body assesses its operations system.
+Great for marketing
+gives competitive advantadge
+credibility
+customer confidence
-expensive
-training and documentation
Total quality management: is a holistic approach to quality and a commitment to excellence where all employees are involved in the continuous pursuit of quality in everything they do.
+Zero defects
+customer focus
+price and quality competitiveness
-expensive
-time consuming
-may need additional training

Question 7

Waste minimisation strategies

Answer 7

Reduce: To reduce in the context of waste
minimisation is to decrease the amount
of products, raw materials, resources, labour,
or time discarded during production.
Reuse: To reuse is to make multiple uses of items that would otherwise have been discarded.
Recycle: To recycle is to transform items which would otherwise have been discarded
into another product.

Question 8

Lean Management

Answer 8

Lean management involves systematically eliminating waste so that, from the customer’s perspective, they are getting the most value from fewest resources.
Principles:
Pull: involves production of the good
or service only starting when a customer places
an order.
One-piece flow: involves the operations process focusing on one good or service at a time.
Takt: The takt strategy seeks to create a rhythm, whereby all the steps in the production of the good or service are synchronised to create
a ‘continuous flow’.
Zero defects: involves striving for perfection by continuously improving until the operations process achieves zero defects.
Strengths:
+Increased efficiency, effectiveness, and quality of processes.
+Lowers the cost of production.
+Improves customer satisfaction.
+Reduced wastage.
+Improves business reputation
Limitations:
-Requires a cultural shift and training to identify
added value and reconfigure production or service processes.
-Requires continuous improvement mentality to achieve zero defects.