business gcse-2.3

Business operations

the part of the business that provides customers with the goods or services that they ordered.

job production

Individual products are made one at a time to meet specific customer needs.

Batch production

involves making a set quantity of identical products.

Flow production

involves continuously making identical products.This allows the production process to be heavily automated

Job-advantages (3)

High profit margins for bespoke products.

Employees may gain enjoyment from using their specialist skills

Customers get exactly what they want

Job- disadvantages (2)

Highly skilled staff are required, which increases costs

Highly skilled staff may not be available, which can make training staff very expensive

Batch-advantages (3)

-Able to make a variety of sizes or flavours

-Can be partially automated

-Can produce more products than job production

Batch-disadvantages (2)

-Not as flexible regarding customers’ tastes as job production

-As batch production is not fully automated, costs may be higher than in flow production

Flow-advantage(3)

-Able to make far larger quantities

-Consistency in production means products are identical, which means customers know exactly what they are buying

-Highly automated process

Flow-disadvantage (3)

In competitive markets for similar mass-produced goods, profit margins can be very low

-Customers like products that are tailored to their specific preferences

--Expensive to buy all the machinery needed for automation