transformation | | the mutural dependence that the key functions have on one another. |
value adding | | refers to how quickly operations processes can adjust to changes in the market |
lean production | | the process of measuring actual performance against planned performance |
strategic | | the arrangement of equipment, machinery and staff within the facility |
cost leadership | | refers to creation of individualised products to meet the specific needs of the customers |
economies of scale | | a term broadly referring to distribution but includes transportation, the use of storage, warehousing and distribution centres, materials handling and packaging. |
product differentiation | | the conversion of inputs (resources) into outputs (goods and services) |
interdependence | | is characterised by the manaufacturing of a high volume of constant quality goods |
suply chain | | theose inputs that carry out the transformation process |
global web | | aiming to have the lowests cost or to be the most price-competitive in the market |
fixed costs | | involves the use of a system to ensure that set standards are achieved in production |
varibale costs | | involves the use of inspections at various points in the production process to check for problems and defects |
outsourcing | | affecting all key business areas; that is, the management involves operations managers contributing to the stategic direction or strategic plan of the business |
inputs | | specific criteria used to measure the efficiency and effectiveness of the business's performance |
raw materials | | a process that allows a standard, mass produced item to be personally modified to specific customer requirements |
intermediate goods | | distinguishing products in some way from its competitors |
information | | an inventory managment approach which ensures that the exact amount of material inputs will arrive only as they are needed in the operation process |
key performance indicators (KPIs) | | assumes that the first goods purchased are also the first goods sold |
transforming resources | | involves integrating and managing the flow of supplies throughout the inputs, transformation processes and outputs in order to best meet the needs of customers |
lead time | | an operational arrangement in which employees and equipment come to the product |
sequencing | | refers to the length of time activities take within the operations process |
scheduling | | those costs that vary in direct relationship to the level of business activity |
gantt chart | | assumes that the last goods purchased are also the first goods sold |
critical path analysis | | the network of suppliers a business has chosen on the basis of lowest overall cost, lowest risk and maximum certainty in quality and timing of supplies |
task design | | where the equipment arrangement relates to the sequence of tasks performed in manufacturing a product |
plant layout | | the resources used in the transformation process |
process layout | | somebody who initiates change or facilitates the change process |
product production | | the cost advantages that can be created as a result of an increase in scale of business operations. |
product layout | | eliminating waste at every stage of production |
fixed position layout | | the scheduling method or technique that shows what tasks need to be done, how long they take and what order is necessary to complete those tasks |
monitoring | | a term that describes a psychological resistance to change |
control | | the knowledge gained from research, investigation and instruction, which results in an increase in understanding |
bottleneck | | an aspect of the tranformation process that slows down the overall processing speed or creates an impediment leading to a backlog of incompletely processed products |
dependability | | concept focuses on managing the total business to deliver quality to customers |
flexibility | | refers to the order in which activities in the operations process occur |
customisation | | adding value as inputs are transformed into outputs |
mass customisation | | the use of outside specialist to undertake one or more key business functions |
supply chain management | | are those costs that did not change regardless of the level of business activity |
sourcing | | a type of bar chart that shows both the scheduled and competed work over a period of time |
supplier rationalisation | | a performance objective, refers to how consistent and reliable a business's products are |
logistics | | the arrangement of machines such that the machines and equipment are grouped together by the function they perform |
LIFO | | refers to the purchasing of inputs for the transformation processes |
FIFO | | classifying job activities in way that make it easy for an employee to successfully perform and complete the task |
JIT | | the essential substances in their unprocessed state |
quality management | | the time it takes for an order to be fulfilled from the moment it is made |
quality control | | an ongoing commitment to improving a business's goods or services |
quality assurance | | refers to those processes that a business undertakes to ensure consistency, reliability, safety and fitness of purpose of product |
continuous improvement | | involves assessing the number of suppliers in order to reduce the number of suppliers to the least amount |
total quaility management | | occurs when KPIs are assessed against perdetermined targets and corrective action is taken if required |
inertia | | the range of suppliers a business has and the nature of its relatiosnhip with those suppliers |
change agent | | the goods manufactured and used in further manufacturing or processing |