Business Keywords 2.3

Batch production

Batch production

Producing a limited number of identical products

Flow production

Continuous production of identical products, which give scope for high levels of automation.

Job production

One-off production of a one-off item for a single customer

Productivity

A measure of efficiency, usually output per person per time period (for examples Nissan UK's 98 cars per worker per year).

Automation

Using machines that can operate without people

Flexibility

The ability to switch quickly and easily from one task to another

Robots

Machines that can be programmed to do tasks that can be done by humans, such as welding, spray painting and packing.

Bar gate stock graph

A diagram to show changes in the level of stock over time

Buffer stock

The minimum stock level held at all times to avoid running out

Just in Time (JIT)

Running the business with so little stock that new supplies have to arrive 'just in time' before they run out.

Stock(s)

Items held by a firm for use of sales, for examples components for manufacturing or sellable products for a retailer

Availability

Knowing how to get the right supplies quickly- just when you need them

Logistics

Ensuring that the right supplies will be ordered and delivered on time

Procurement

Obtaining the right supplies from the right supplier

Trust

Building a business relationship in which both sides know that the other won't let them down.

Culture

'The way we do things round here'; or the accepted attitudes and practices of staff at a workplace

Quality control

Putting measures in place to check that the customer receives an acceptable level of quality

Warranty

The guarantee by the producer that it will repair any faults in a product for a specific period of time - often one year.

Customer engagement

The attempt to make a customer feel part of something rather than an outsider

Customer feedback

Comments, praise or criticisms given to the company by its customers

Post-sales service

Service received after the purchase is completed, perhaps because something has gone wrong or as a way of promoting customer engagement.

Product knowledge

How well staff know all the features of the products and the service issues surrounding the products such as the precise terms of Kia's seven-year warranty on its new cars