A level business operations management

Production

The total amount of output produced in a specific time period

Job production

A method of production in which a business concentrates on producing a single unit at a time

Batch production

Manufacturing a number of goods at the same time

Flow production

A method of production in which units move directly from one operation to the next in a continuous sequence

Capacity utilisation

Measures the proportion of current output compared with the maximum possible output

Lean production

An approach which aims to minimise cost by cutting out wasteful practices whilst maintaining high quality

Kaizen

Practices to promote continuous improvement such as asking groups of workers to share ideas about working more efficiently

JIT (just in time)

A stock management strategy which aims to increase efficiency by receiving raw materials only when they are needed in the production process

Cell Production

A system in which the production line consists of small teams (cells), with each cell responsible for a significant part of the end product

Quality control

The process of inspecting products to ensure that they meet the required quality standards

Quality assurance

TQM (total quality management)

An approach in which all workers are meant to take responsibility for improving the quality of their work

Quality circles

Groups of employees who meet regularly to identify potential improvements in quality

Stock Control

How businesses try to ensure that stock levels are managed efficiently

Stock control diagram

measure the level of stock overtime

Lead time

The total time it takes to manufacture and or deliver a product

Innovation

The process of translating an idea or invention into a good or service that creates value for which the customers will pay

research and development

The investigation, invention and development of products including their testing, feedback and launch

Economies of Scale

Savings a business can make by increasing its level of production, which can reduce its average costs

Internal economies of scale

relate to the growth of an individual business

External economies of scale

a result of a whole industry growing in size

diseconomies of scale

When managerial inefficiencies put upwards pressure on costs per unit