Business Studies – Operations, Marketing, Finance & HR Vocabulary

Vocabulary flashcards covering major concepts, definitions and practices across Operations, Marketing, Finance and Human Resources from the lecture notes.

Operations Objectives

The six performance goals of quality, speed, dependability, flexibility, customisation and cost.

Cost Leadership

Strategy of outperforming rivals by offering the lowest price through an efficient cost structure.

Goods & Services Differentiation

Winning customer loyalty by creating a perceived uniqueness in a product or service.

Technology (Operations)

Design, construction and application of innovative devices or methods within the operations process.

Environmental Sustainability

Operating practices that use resources without compromising future access to them.

Globalisation

Removal of trade barriers and increased integration between national economies.

Government Policies (Operations)

Measures used by governments to encourage innovation and competitiveness in business operations.

Legal Regulation

Legislation that sets operational requirements businesses must follow.

Quality Expectations

Consumers’ minimum requirements regarding product features, durability and service professionalism.

Cost-Based Competition

Competing by reducing costs to enable low pricing close to break-even levels.

Corporate Social Responsibility (CSR)

Open, accountable actions that respect people, society and the environment beyond legal compliance.

Transformed Resources

Inputs actively changed during production, such as materials, information and customers.

Transforming Resources

Inputs that carry out the transformation process, e.g., human resources and facilities.

Improvement (Operations)

Analysing processes to optimise efficiency and remove bottlenecks before faults occur.

Controlling (Operations)

Correcting operational problems using KPI information compared against targets.

Monitoring (Operations)

Tracking actual performance versus planned performance to inform corrective action.

Process Layout

Arranging machines or workstations so required tasks are grouped sequentially.

Task Design

Specifying how a task will be completed to produce an output efficiently.

Gantt Chart

Horizontal bar chart used to schedule, coordinate and track project progress.

Critical Path Analysis

Scheduling method identifying the shortest time to complete all project tasks.

4Vs – Volume

How much of a product is made; influences lead times and economies of scale.

4Vs – Variety

The range of products offered; higher variety increases complexity and cost.

4Vs – Variation in Demand

Changes in customer demand levels; high variation requires extra capacity.

4Vs – Visibility

Degree to which customers can see or interact with the operations process.

Customer Service

How well a business meets or exceeds customer expectations in all interactions.

Warranty

Promise to correct defects in goods or services within a stated period.

Performance Objectives

Specific KPIs linked to quality, speed, dependability, flexibility, customisation and cost.

Quality of Design

How well a product is conceived to meet consumer expectations.

Quality of Conformance

Extent to which production meets prescribed design specifications.

Quality of Service

Reliability, customisation and timeliness of a service delivered to clients.

Dependability

Consistency and reliability of a product or service over time.

Flexibility (Operations)

Speed with which operations can adjust to market changes.

Customisation

Creation of individualised products or services to meet specific customer needs.

New Product Design & Development

Process of creating new goods/services driven by consumer preferences or technology.

Supply Chain Management (SCM)

Coordinating the flow of supplies through inputs, transformation and outputs.

Logistics

Physical distribution, transportation and storage of inventories.

E-Commerce (SCM)

Online sourcing of supplies and direct customer sales via B2B or B2C links.

Global Sourcing

Purchasing inputs from international suppliers to gain cost or quality advantages.

Outsourcing

Contracting external vendors to perform internal business processes more efficiently or cheaply.

Leading-Edge Technology

Most advanced, innovative technology available at a given time.

Established Technology

Widely accepted, standard technology used to ensure baseline productivity.

Inventory Management

Controlling raw materials, work-in-progress and finished goods held by a business.

LIFO

Last-In-First-Out inventory valuation where newest stock is recorded as sold first.

FIFO

First-In-First-Out inventory valuation where oldest stock is recorded as sold first.

JIT

Just-In-Time system that minimises inventory by receiving goods only as needed.

Quality Control

Inspection, measurement and intervention to ensure products meet standards.

Quality Assurance

Applying recognised standards (e.g., ISO 9000) to guarantee consistent quality.

Quality Improvement

Continuous efforts such as total quality management to enhance products and processes.

Financial Costs of Change

Expenses from new equipment, redundancies, retraining and plant reorganisation when changing operations.

Inertia

Psychological resistance of managers or employees to organisational change.

Economies of Scale

Cost advantages gained by increasing production volume.

Scanning & Learning

Adopting best practice by monitoring global business trends and competitors.

Research & Development (R&D)

Activities aimed at innovation, product improvement and competitive advantage.

Profit Maximisation

Marketing objective of achieving maximum difference between revenue and costs.

Market Share

Proportion of total sales in an industry captured by a business.

Marketing Plan

Document listing activities to achieve defined marketing outcomes for a product.

Production Approach

Early marketing focus on mass production with little regard to customer needs.

Sales Approach

Marketing focus (1920s-60s) on aggressive selling to overcome competition.

Marketing Approach

Modern focus on researching and satisfying customer needs.

Resource Market

Market for raw materials such as agriculture or mining products.

Industrial Market

Businesses that purchase products for further processing or resale.

Intermediate Market

Wholesalers and retailers that buy finished goods for resale.

Consumer Market

Individuals or households purchasing goods for personal use.

Mass Market

Large, undifferentiated group of consumers wanting similar products.

Niche Market

Narrowly defined, specialised segment of a larger market.

Psychological Influences

Individual perceptions, motives and attitudes affecting purchase decisions.

Sociocultural Influences

Social class, culture, family and peer groups affecting buying behaviour.

Economic Influences (Marketing)

Consumer spending ability linked to economic cycles of boom or recession.

Government Influences (Marketing)

Policies and laws shaping business activity and consumer protection.

Deceptive & Misleading Advertising

Illegal promotion that creates false impressions to influence customers.

Price Discrimination

Charging different prices for the same product in separate markets.

Implied Conditions

Unwritten terms in a sales contract guaranteeing acceptable product quality.

Sugging

Selling under the guise of a survey; considered unethical marketing.

AANA Code of Ethics

Australian guidelines regulating advertising standards of practice.

SWOT Analysis

Tool assessing strengths, weaknesses, opportunities and threats of a business.

Product Life Cycle

Stages of introduction, growth, maturity and decline a product passes through.

Primary Data

Original information collected first-hand for a specific marketing problem.

Secondary Data

Information previously collected by other organisations or sources.

Target Market

Group of present and potential customers a business aims to serve.

Market Segmentation

Dividing a total market into distinct groups with common characteristics.

Marketing Mix

Combination of product, price, promotion and place strategies.

Product (Marketing)

Good or service offered to satisfy customer needs.

Price (Marketing)

Amount a customer pays or pricing method/strategy used by a business.

Promotion

Methods used to inform, persuade and remind customers about products.

Place / Distribution

Activities that move products from producer to customer.

Implementation (Marketing)

Putting marketing strategies into operation.

Monitoring (Marketing)

Checking actual progress of the marketing plan.

Controlling (Marketing)

Comparing planned versus actual performance and taking corrective action.

Brand

Name, symbol or design identifying a seller’s product and distinguishing it.

Packaging

Container and graphic design of a product used for protection and promotion.

Price Skimming

Charging the highest possible price during product introduction.

Price Penetration

Charging the lowest price to gain large market share quickly.

Loss Leader

Product sold at or below cost to attract customers to other purchases.

Price Points

Selling at predetermined prices to suit different consumer budgets.

Intensive Distribution

Saturating the market by using all available outlets.

Selective Distribution

Using only a moderate number of outlets.

Exclusive Distribution

Offering a product through a single outlet in a large area.

People (Extended Marketing Mix)

Quality of interaction between customers and service staff.

Process (Marketing)

Flow of activities followed in delivering a service.

Physical Evidence

Tangible cues (environment, signage, brochures) supporting a service experience.