Mind map
Operations
Map content
Operations
objectives
- managing process of production
- decisions
- output level
- product range
- how to produce
- how to provide
- use of suppliers
- adding value
- inputs to outputs
- outputs worth more
- types
- quality
- meets needs
- speed of response
- provide faster
- gives competitive advantage
- dependability
- deliver reliably on time
- costs
- lower cost for profit
- flexibility
- meet needs more precisely
- environmental
- interest in impact of decisions
- aware of environmental impact
- defect rates
- safety targets
- limit health risks
- quality
- influences
- internal
- marketing
- what is produced
- human resources
- number and skills of staff
- finance
- avaliable tech
- marketing
- external
- legal
- greater health and safety regulations
- economy
- source globally
- social
- demand for choice and variety
- tech
- new operations - quicker to develop test and launch
- competition
- greater demand for customer service
- legal
- internal
- 4 V's
- volume of output
- variety of output
- visibility of production
- Variability of demand
analysis
- labour productivity
- output per employee
- influenced by rewards and training
- unit costs
- cost per item produced
- influenced by suppliers, resources, waste and processes
- capacity utilisation
- output as % of max output
- low
- low demand
- cost per unit high
- uses
- low productivity used to identify cause and invest training or rewards
- unit costs higher then cause found - supplier costs, low productivity, defects
- low capacity = invest in expansion
- high capacity = increase demand
- labour productivity
efficiency
- getting more output from inputs
- capacity
- if capacity isn't fully used resources are wasted which increases unit costs
- marketing increases demand to achieve higher utilisation
- efficient level is enough to meet demand but have remaining to cover future
- decisions
- low utilisation
- improve marketing
- reduce capacity
- high utilisation
- outsource
- reduce short term demand
- low utilisation
- productivity
- invest in tech to complete tasks
- improve training
- change work organsiation
- difficulties
- could reduce quality
- employee resistance
- demand higher pay
- change rewards
- optimal resources
- capital intensive or labour intensive
- dependent factors
- process
- what is affordable/achieveable
- lean production
- reduce waste, increase efficiency
- waste reduction
- improved quality
- reduce inventory
- reduce time held waiting for products to move
- reduce time when moving from one stage to another
- processes used
- Kaizen
- emphasises continuous improvement, small regular changes
- work in groups to find possible improvements
- Andon
- cord above the process to be pulled when problems present to stop production
- transparent production - organisation learns when theres a mistake
- change in layout to store or factory and changes in processes used
- Kaizen
- difficulties
- vulnerable with reduced inventory if disrupted production
- employees expected to be more active in checking work needing more training and engagement
- technology
- flexibility for needs
- reduce costs with less errors
- innovation
- finance needed
- training to use efficiently
- may change jobs
- analyse if useful in long term
quality
- importance
- makes business competitive
- market research to find needs
- careful selection of suppliers
- training
- invest in tech
- review working systems
- assurance
- maintain quality through attention to detail at every stage
- aims to achieve 0 defects
- control
- maintain standards by testing/inspecting the output against standards
- employees are responsible for quality in their area
- benefits
- process is controlled
- competitive
- brand image
- difficulties
- may not see an issue to change
- may view as extra work
- unwilling to suggest improvement
- unwilling to undertake all administration required
- requires
- employee agreement
- training investment
- possibly changing suppllier
- developing a right first time culture
- consequences
- costs to recall
- damage reputation
- costs to rework
- legal costs if sued
- importance
inventory and supply chains
- mass customisation
- inventory
- influence
- warehousing space and security
- opportunity cost
- use by date
- control charts
- buffer inventory
- min amount of inventory wanted to hold
- lead time
- time between order placed and arrival
- re-order level
- level at which new supplies must be ordered
- re-order quantities
- amount ordered at one time
- problems
- delayed supplies
- faster usage
- failure to reorder
- buffer inventory
- tech
- better control over inventory
- better communication with suppliers
- goods or stock held
- materials, supplies
- semi-finished items
- finished products
- influence
- supply to match demand
- supply chain
- all the providers of resources at different stages
- managing supply chain
- what to buy and produce your self
- which businesses to work with
- supplier strategy
- Ts and Cs of suppliers
- assurances
- direct involvement level
- how centralised purchasing is
- value of management(affects)
- extent suppliers reach requirements
- costs
- flexibility
- ethics
- vertical intergration
- combination of 2 or more stages of production normally operated by 2 different companies
- influences on supplier choice
- costs and quality
- dependability
- ethical considerations
- flexible workforce
- wait list
- increase price
- outsource
- produce to order
- supply chain
- outsourcing
- use of other provider for some of its goods or services
- makes use of specialist skills
- increases capacity
- costs and quality affects business
- held accountable for suppliers
- must pay for supplier to make profit, could be more costly
Information
- Description
- AS - Level Business Studies (Operations) Mind Map on Operations, created by Abbie Murray on 04/04/2016.
- Created by
- Abbie Murray · Apr 2016
- Updated
- Apr 20, 2016
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