5.1 Operations Management Review

Flashcards designed to review key concepts and implications of operations management.

What is Operations Management?

The provision of goods and services in the right quantities and quality, in a cost-effective and timely manner.

What are the Five Ms in operations management?

A tool used in devising marketing and production plans by viewing factors of production as inputs.

What is the importance of production methods?

They affect the quality and individuality of the product and determine pricing strategies.

What are the Human Resource Management implications of production methods?

Changes in workforce size, training and development needs, and recruitment challenges for skilled workers.

What are some financial implications of operations management?

Investment in machinery, need for investment appraisal, contingency funds for emergencies, and labor costs.

What does the primary sector involve?

Businesses involved in the extraction, harvesting, and conversion of natural resources.

What is the role of the secondary sector?

Businesses that are engaged in the manufacturing or construction of products.

What does the tertiary sector specialize in?

Provision of services to the general population.

What is the focus of the quaternary sector?

Intellectual and knowledge-based activities that generate and share information.

What is a key ethical consideration in business operations?

Diversity and inclusion policies ensuring that everyone feels valued by the firm.

What needs to be developed for operational crises in HR management?

Contingency plans.

What does investment appraisal assess?

Different investment options and the financial viability of significant fixed costs.