Flashcards in Unit 3 AOS 3 SAC Deck (65)
Computer-aided design (CAD)
Computer-aided design (CAD) is a software designing tool that allows a businesses to generate and modify a product.
How can Computer-aided design increase efficiency?
It can reduce the time and labour resources used to design a product which improves productivity
How can Computer-aided design increase effectiveness?
A business can use CAD to develop the best designs to produce which can enable the business to manufacturer the highest quality design possible. This can, therefore, meet business objectives such as customer needs and make a profit.
Advantages and disadvantages of computer-aided design: Business
• Greater accuracy in the design process
results in a consistent level of quality which
can improve the business’s reputation.
• Customers have the flexibility to
modify a design to suit their needs. This
customisation can attract more customers
for the business.
Disadvantages: If Computer-based designs replace employees it can cause a negative reputation to the company due to redundancies.
Advantages and disadvantages of computer-aided design: Employee
• Removes tedious processes involved in the
the design process which could be boring for
employees and mind straining.
• Allows employees to be more creative in the workplace.
• Employees may be made redundant due to replacement by CADs.
Advantages and disadvantages of computer-aided design: Time
Decreases design process times
Advantages and disadvantages of computer-aided design: Money
• Improved accuracy results in a consistently high-quality product which can increase customer satisfaction and may increase the number of sales.
• Expensive in the short term due to
purchasing and installing this technology.
• Updating software for technology can be expensive
• There can be expenses associated with
technical employee training on how to use
Automated production lines
Automated production lines are machinery and equipment which are arranged in a sequence,
where the product is developed as it proceeds through each step.
How do automated production lines improve efficiency?
Can perform at a constant repetitive speed which is usually much faster than humans, improving productivity
How can automated production lines improve effectiveness?
It allows for a high degree of accuracy in production. Reducing the number of errors enhances the overall quality of the completed product which can meet the objective of increasing customer satisfaction and sales maximizing effectiveness within the buisness.
Advantages and disadvantages of automated production lines: Buisness
• Increased accuracy provides a consistent
level of the quality of products which can
improve the business’s reputation.
• Improved accuracy can reduce waste from
errors which can improve the business’s
reputation for minimizing its impact on the
• The business can develop a poor reputation if automated production lines make numerous
Advantages and disadvantages of automated production lines: Employee
• Allows employees to avoid mundane,
repetitive and potentially dangerous tasks.
• Employees can be made redundant due to
this technology replacing their role.
Advantages and disadvantages of automated production lines: Time
• Usually performs tasks much faster than
• Production can run 24/7.
• Malfunctions of technology can halt production and compromise productivit
Advantages and disadvantages of automated production lines: Money
• Improvements inaccuracy can enhance
the overall quality of a product which can
lead to an increase in sales.
• Minimises the number of employees
needed which reduces wage expenses.
• high setup costs in purchasing and installing automated production lines.
• Can be expensive to repair and update this
• There may be expenses associated with
training employees to use this technology
Forecasting is a materials planning tool that predicts customer demand for an upcoming period using past data and market trends.
How does forecasting improve efficiency?
Forecasting decreases the chance of ordering and storing excessive stock which optimises the use of resources by reducing wastage.
Forecasting can also ensure enough materials are supplied to minimise halts to production which improves productivity.
How does forecasting improve effectiveness?
Forecasting can increase effectiveness as through minimising resources and materials yet still maintaining customer demand to ensure customer satisfaction it can allow for optimised production within the workplace whilst not causing unnecessary waste through overproduction of products or services.
Advantages and disadvantages of forecasting: Business
• Informed decisions about materials can
improve a business’s ability to meet
customer demand which improves its
• Improves a business’s reputation by having
a minimal impact on the environment by preventing excessive waste whilst also gaining a reputation for always being properly supplied with stock.
• A business may be unable to meet
unexpected increases in customer demand
which may damage their reputation.
• Amount of materials ordered may be
incorrect as historical data and market
trends may not reflect current
Advantages and disadvantages of forecasting: Money
• Can reduce the cost of storage as it prevents
the need for a large space to store materials.
• Businesses may need to hire employees
specifically for forecasting which incurs
training and wage costs.
If a buisness fails to have enough prodcuts or servcies it can cause reduced sales and effect revenue
Advantages and disadvantages of forecasting: Time
• It can be time-consuming to analyze
historical data and market trends.
• Production may be brought to a halt if the
the business has insufficient materials due to
Just in time (JIT)
Just in time (JIT) is an inventory control approach that delivers the correct type and quantity of materials as soon as they are needed for production.
How does "just in time" improve efficiency?
Through holding minimal stock can free up space that can now be optimised to increase production and allow for a more organised work spaces within operations.
How does "just in time" improve effectiveness?
Through ordering a set amount of stock by a particualr time period the costs saved from reducing storage
space can be used in other areas of the business, such as sales and marketing, which can meet the
the objective of increasing sales.
JIT can also aid effectiveness as in not holding idle stock it can reduce expenses associated with waste which can meet the objective of increased profits.
Advantages and disadvantages of just in time: Business
• Improves a business’s reputation by having
a minimal impact on the environment. This
reputation is achieved as JIT eliminates idle
stock which reduces the amount of stock
wasted from expiry or damage in storage.
• Able to switch to the production of a
different product without high wastage as
there is minimal material on hand to
• A business may fail to meet customer
demand from a lack of reserve stock and
damage a business’s reputation.
• There may be less time to check the quality
of stock as it must be used as it arrives,
which could result in errors or defects
Advantages and disadvantages of just in time: Time
• If suppliers are unreliable and fail to deliver the correct materials at the right time,
production may be brought to a halt.
Advantages and disadvantages of just in time: Money
• Reduces storage costs and costs
associated with waste meaning this money
can be used in other areas of the business.
• Discounts from bulk buying supplies may
• Delivery costs may increase due to more
Quality control is inspections at various stages of the production process to ensure products meet designated standards and unsatisfactory products are discarded.
What are the steps for quality control to be implemented properly?
1. Standards of quality are established.
2. Inspections are regularly conducted.
3. A good or service is compared against set standards.
4. A good or service is removed if it does not meet the set standards.
5. The cause of the error is fixed to prevent further errors
How does quality control improve efficiency?
Quality control can help identify and fix reoccurring errors in producing products which can help in reducing wastage and optimizing resources. This can also reduce any errors that may halt or slow production which can then enable for production to operate with minimal interference.