Business Unit 3 AOS 3

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thissvi

Cards (51)

  • Operations management

    Involves coordinating + organising activities involved in producing goods/services a business sells to customers
  • Efficiency

    How productively a business uses its resources when producing a good/service
    -optimising the use of a business's resources, such as time, money, materials, and employees.
  • Effectiveness

    The extent to which a business achieves its stated objectives
    (predetermined targets)
  • Relo between operations management + achievement of business objectives

    Without it a business would have no product and, therefore, would not be able to achieve its objectives.

    A business's operations area maximises efficiency + effectiveness through the use of strategies. These operations strategies should influence the cost, quality and availability of a business's product supporting the attainment of its business objectives.

    The operations area will also work closely with other areas in the business to achieve objectives, and in a large business, the operations manager will work with managers of other areas to ensure that operations objectives align with business objectives.
  • Input
    resources used in the process of production.
    -Natural resources, HR, Physical, Financial, Info from variety of sources, time
    Manufacturing: capital equipment + materials
    Service: Location of work (buildings, computers where info can be stored) HR + INFO important
  • Transformation process
    Conversion of inputs (resources) into outputs (goods or services)
    Man: converts input to tangible product - operations system highly automated/mechanised
    Service: Rely on customer interactions + labour intensive processes (staff crucial, intangible)
  • Output
    Final goods/services provided as a result of a business’ operations system, that are delivered/provided to customers.
    Man: Inputs to tangible good/product, homogenous
    Service: Inputs to services (differentiated/modified)
  • Automated Production Lines
    •Involves machinery and equipment that are arranged in a sequence and product is developed as it proceeds through each step. Conveyor belt → stations perform specific operation. Replaces dangerous, repetitive tasks, may need monitoring, maintaining + supplying w inputs
  • Online services
    •Services that are provided via the internet (booking platforms, online marketplaces, food ordering platforms) → utilise existing like UberEats or develop own such as booking platform
    Efficiency: remove need for employees to perform certain tasks, efficient labour resource use
    Effectiveness: improve customer convenience, increase levels of customer service, sales, ms
    +process bookings faster
    +increased job satisfaction when tedious tasks are taken care of
    -techincal difficulties, disrupt operations
    -if fully online, deter customers without tech skills
  • Robotics
    Programmable machines that can perform specified tasks (high precision + accuracy)
    Efficiency: Quick + high accuracy → reduce time and waste → resources used optimally → improving productivity
    Effectiveness: quick + high precision → reduce errors → enhance quality (satisfaction, sales, ms)
    +Work for extended periods without break
    + increased precision → increased quality → generate more sales revenue
    -high initial setup costs (program, purchase, install)
    -cause employee redundancies (bad rep)
  • Computed aided design (CAD)
    Digital design software that aids the creation, modification + optimisation of a design + design process.
    -Facilitates + streamlines design process
    • Enables 3D designs for multiple angles of plan before producing
    • Assists with time, cost, materials of design
    • Allows clients to modify design
  • Efficiency

    Reduce time + labour (r optimal + p)
  • Effectiveness

    Use to develop prototypes + choose best design to produce → manufacture highest quality design → (satisfaction, sales, ms)
  • CAD speeds up product design process Facilitates + streamlines design process
    • Enables 3D designs for multiple angles of plan before producing
    • Assists with time, cost, materials of design
    • Allows clients to modify design
  • CAD allows employees to generate advanced, sophisticated designs → more innovative product design process
  • Operations management

    Involves coordinating + organising activities involved in producing goods/services a business sells to customers
  • Efficiency

    How productively a business uses its resources when producing a good/service-optimising the use of a business's resources, such as time, money, materials, and employees.
  • Effectiveness

    The extent to which a business achieves its stated objectives(predetermined targets)
  • Input
    resources used in the process of production.
    -Natural resources, HR, Physical, Financial, Info from variety of sources, time
    Manufacturing: capital equipment + materials
    Service: Location of work (buildings, computers where info can be stored) HR + INFO important
  • Transformation process
    Conversion of inputs (resources) into outputs (goods or services)
    Man: converts input to tangible product - operations system highly automated/mechanised
    Service: Rely on customer interactions + labour intensive processes (staff crucial, intangible)
  • Output

    Final goods/services provided as a result of a business’ operations system, that are delivered/provided to customers.
    Man: Inputs to tangible good/product, homogenous
    Service: Inputs to services (differentiated/modified)
  • Automated Production Lines

    Involves machinery and equipment that are arranged in a sequence and product is developed as it proceeds through each step. 
    Moves components over conveyor belt where stations perform specific operation. Replaces dangerous, repetitive tasks, may need monitoring, maintaining + supplying w inputs
  • Automated Production Lines (Efficiency)
    Performs faster than humans, reducing time, improving productivity
  • Automated Production Lines (Effectiveness)

    High accuracy (decreasing errors) → enhances quality (satisfaction, sales, ms)
  • Automated Production Lines (Advantages)

    +No. of employees needed can be minimised so reduces wage expenses
    +Increased accuracy reduces no. of wasted resources that need to be repurchased
  • Automated Production Lines (Disdvantages)

    -Business has poor rep if it makes employees redundant
    -High initial set-up costs with purchasing and installing
  • Online services

    Services that are provided via the internet (booking platforms, online marketplaces, food ordering platforms) → utilise existing like UberEats or develop own such as booking platform
  • Online services (efficiency)

    Remove need for employees to perform certain tasks, enable efficient labour resource use
  • Online services (effectiveness)

    Improve customer convenience, increase levels of customer service, sales and market share
  • Online services (Advantages)
    +process bookings faster
    +increased job satisfaction when tedious tasks are taken care of
  • Online services (disadvantages)
    -Technical difficulties, disrupt operations
    -If fully online, deter customers without tech skills
  • Robotics

    Programmable machines that can perform specified tasks (high precision + accuracy)
  • Robotics (efficiency)

    Quick and high accuracy which reduces time and waste. Therefore resources are used optimally, improving productivity
  • Robotics (effectiveness)

    Quick with high precision which reduce errors and enhances product quality (increasing satisfaction, sales, market share)
  • Robotics (advantage)

    +Work for extended periods without break
    + Increased precision → increased quality → generate more sales revenue
    +Improved accuracy, precision means products are consistently produced to high standard, improving business rep
  • Robotics (disadvantage)

    -High initial setup costs (program, purchase, install)
    -Cause employee redundancies (bad rep)
  • Computer Aided Design

    Digital design software that aids the creation, modification + optimisation of a design + design process.  -facilitate + streamline design process, 3D designs for multiple angles of plan before producing, assists Operations Manager with time, cost, materials of design, allow clients to modify design
  • CAD (Efficiency)

    Reduces time and labour needed to design a product, allowing resources to be used more optimally and productively
  • CAD (Effectiveness)

    Use to develop prototypes and choose best design to produce leading to manufacture highest quality design (improves customer satisfaction, sales, market share)
  • CAD (Advantages)

    +Speeds up product design process
    +Employees can generate advanced, sophisticated designs → more innovative product design process