JOB PRODUCTION
produce 1 at a time to meet specific needs
S and L of job production
S- charge high price for bespoke products
L- skilled staff inc labour cost
Batch production
group of the same products produced before moving onto a different group
S and L of batch production
S- can make a variety of products with different features
L- time cons to switch between batches
Flow production
Product created in series of stages on an assembly line
S and L of flow production
S- highly automated, low labour cost
L- machinery is expensive to inc start up cost
Cell production
workplace is divided into cells. Each cell contains skilled team that are responsible for certain part of production process
S and L of cell production
S- inc efficiency bc specialists
L- humans so high labour costs
Producivity
amount a worker or machine produces in a time period
Efficiency
ability of a bus to use resources as cost effectively as possible
Lean production
reduction of waste while maintaining quality
S and L of lean production
S- dec costs so comp advantage
L- high initial investment in equipment and training
Capital intensive
products produced by machines
S and L of capital intensive
S- work 24/7
L- break downs are expensive
Labour intensive
products produced by a human
S and L of labour intensive
S- flexible to be tailored
L- skilled workers so labour costs increase
Capacity utilsation
% of total capacity thats actually being achieved in given period
Capacity
max output bus can produce in time period with available resources
S and L of operating at 100% capacity
S- minimise waste due to eos
L-rushed and poor quality may demotivate stafff
S and L of operating at low capacity
S- flexible to change output if need to
L- higher cost per unit
Buffer stock
inventory business hold as a safeguard against uncertainty
Just in case
maintain high levels of stock to prepare for unexpected demand
S and L of just in case
S- reduce risk and able to fufill cust orders
L- obselecence
Just in time
raw material and stock arrive JIT for when needed
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2.1.1 Internal finance6
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2.1.2 External finance9
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2.1.3 Liability9
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2.1.4 Planning11
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2.2 formulas9
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2.2.1 Sales forecasting19
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2.2.2 Sales, revenue and cost8
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2.2.3 Break even15
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2.2.4 Budgets14
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2.3.1 Profit27
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2.3.2 Liquidity25
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2.3.3 Business Failure10
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2.4.1 Production, productivity and efficiency28
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2.4.2 Capacity utilisation18
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2.4.3 Stock control14
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2.4.4 Quality management16
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2.5.1 Economic influences40
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2.5.2 Legislation19
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2.5.3 Competitive environment13
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2.1+ 2.2 KEY TERMS26
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2.3 KEY TERMS12
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2.4 KEY TERMS34
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2.5 KEY TERMS30
