Bs Unit 4 Advantages and Disadvantages

What are the advantages of multi-site locations?

• Greater convenience for customers

• Cost advantage of multi-sites in different countries

What are the disadvantages of multi-site locations?

• Coordination problems between the locations

• Different cultural standards and legal systems in different countries

What are the reasons for offshoring?

• Avoiding Trade Barriers

• Reducing Costs

What are the problems of offshoring?

• Communication/Language Barriers

• Cultural Differences

What are the positive impacts of Quality Control?

• Less costly compared to Quality Assurance

• Faster production process due to limited stoppages for quality checks

What are the negative impacts of Quality Control?

• Negative culture as it focuses on finding faults

• Demotivating for inspectors due to tedious work

• Faulty products may pass through several stages before detection

What are the positive impacts of Quality Assurance?

• Promotes teamwork and motivation by involving all staff

• Sets quality standards for all production stages

What is the impact of TQM on business?

• Aims for zero defects by involving all employees in quality improvement

What are the benefits of Benchmarking?

• Identifies key areas for customer satisfaction

• Increases international competitiveness

• Encourages workforce participation and motivation

What are the limitations of Benchmarking?

• Difficulty in obtaining relevant and up-to-date information

• May discourage original ideas by copying others

• Can lead to excessive focus on competitors instead of internal improvements

What is operational flexibility?

• Adapt output volume to demand changes

• Change delivery times as needed

What are the benefits of ERP?

• Improved inventory management

• Enhanced departmental coordination

• Better delivery times and customer service

What are the limitations of ERP?

• High implementation costs

• Resistance from departments to change existing systems

• Long implementation time (1–3 years)

What are the aims of Lean Production?

• Reduce waste, duplication, and non-value-added activities

What are the benefits of JIT (Just-In-Time)?

• Lower inventory holding costs

• Less obsolete stock

What are the disadvantages of JIT

• Heavy reliance on suppliers

• High initial setup costs

What are the main advantages of Lean Production?

• Reduced waste and unit costs

• Faster new product launches

What are the limitations of Lean Production?

• Resistance to change

• Unsuitable for unpredictable demand or expensive production startups

What are the benefits of Critical Path Analysis (CPA)?

• Reduces risk and costs of complex projects

• Identifies accurate project completion dates

What are the drawbacks of Critical Path Analysis (CPA)?

• Relies on accurate estimates

• Complex to implement for large projects