Section D - business management

Types of Business Analysis:

• Descriptive Analysis: Looks at historical data for trends.

• Diagnostic Analysis: Explores causes of past issues.

• Predictive Analysis: Forecasts future trends.

• Prescriptive Analysis: Offers actions based on insights.

Types of Decisions:

• Strategic Decisions involve long-term planning.

• Operational Decisions are based on real-time data.

• Tactical Decisions require short-term analysis.

Methods for Evaluating Production Schedules

• Key Performance Indicators (KPIs): Track metrics like lead time and capacity utilization.

• Bottleneck Analysis: Identifies constraints in production that slow down processes.

• Gantt Charts: Visual tools for mapping the production schedule and task durations.

• Root Cause Analysis: Uses methods to discover reasons for inefficiencies.

• Simulation Modeling: Software tools simulate processes under various conditions.

• Feedback and Audits: Collect insights from people involved in production.

factors to be considered when selecting supplieers

1. Quality of Products or Services

2. Price and Cost Efficiency

3. Delivery Reliability and Lead Time

4. Supplier Reputation and Reliability

5. Technical Capabilities

Inventory control

involves managing the stock of goods and materials in a business to meet customer needs while keeping costs low. It includes monitoring inventory levels, predicting future demand, ordering stock, and using resources efficiently to avoid shortages or excess inventory.

Components of Inventory Control:

• Inventory Levels: Setting minimum, maximum, and reorder points.

• Inventory Classification: Organizing stock using methods like ABC analysis.

• Forecasting Demand: Using past data and market trends to predict needs.

• Tracking Systems: Utilizing barcoding and inventory software for real-time updates.

• Auditing: Regular inventory checks to match physical counts with records.

Types of Inventory Control Systems:

• Perpetual Inventory System: Continuously updates inventory in real-time but can be costly.

• Periodic Inventory System: Updates inventory at intervals but can lead to inaccuracies.

• Just-in-Time (JIT) System: Orders materials as needed to lower storage costs, but relies heavily on accurate forecasting.

• Vendor-Managed Inventory (VMI): Suppliers manage stock levels, reducing workload but giving up some control.