UNIT 3 AOS 3 Flashcards
(18 cards)
Operations Management
The responsibility of managers engaged to production of goods or provision of services. It is concerned with overseeing the process that transforms resources into finished goods and services to satisfy customer demand.
Key Elements
Inputs
Processes
Outputs
Inputs
Resources used in the process of production
Processes
The conversion of resources into the final good or service
Outputs
The end result of an organisations efforts- the service or product that is delivered or provided to the consumer.
Business Competitiveness
Competing on cost means being able to reduce the cost of making the product or providing the service or being able to generate more outputs using machinery or technology
Competing on quality means providing the best product or service to satisfy the customers demand. This can happen by using quality inputs from suppliers, attempting to reduce defects and put in a quality checks throughout the processes
Productivity
The amount of output produced compared to a set amount of inputs. It can be used to measure efficiency in the way an LSO uses its resources.
Materials Management
- Master Production Scheduling
- Materials Requirements Planning
- Just in Time
- Supply Chain Management
Master Production Scheduling
Details what is to be produced and when. The schedule links to specific delivery dates or contracts for delivery in the future
Materials Requirement Planning
Developing an itemised list of all materials involved in production to meet the specified orders
Just in Time
The right amount of material inputs will arrive only as they are needed in the operations process. This can reduce storage costs and reduce the risk of large amounts of waste occurring. (arrive as you use them)
Supply Chain
Range of suppliers from which the organisation purchases materials and resources
Facilities Design and Layout
Planning the layout of workspace to streamline the production process
Fixed Position Layout: construction
Product Layout: manufacturing of goods using an assembly line
Process Layout: high variety of products by grouping activities, equipment and machinery of a similar function together
Management of Quality
Quality Control
Quality Assurance
Total Quality Management
Quality Control
The use of inspections at various points in the production process
Quality Assurance
The use of a system so that an organisation achieves set standards in production
Total quality Management
Ongoing, organisation wide commitment to excellence that is applied to every aspect of the organisations operation
Use of Technology
Optimise operations with the use of up to date technologies. maximise the use of raw materials. Speed up/shorten the process. Less Labour and cost effective.
