2.3 Operational Decisions

Multiple Choice

Continuous production of identical products, therefore giving scope for high levels of automation

• Job production

• Productivity

• Flow production

• Batch production

Multiple Choice

Producing a limited number of identical products

• Flow production

• Batch production

• Productivity

• Job production

Multiple Choice

A measure of efficiency, measured as output per person in a particular time period

• Productivity

• Automation

• Product quality

• Competitive advantage

Multiple Choice

One-off production of a one-off item for a single customer

• Quality

• Competitive advantage

• Batch production

• Job production

Multiple Choice

An increase in morale and motivation can lead to what?

• Reduction of costs

• Improvements in quality

• Increased productivity

• Decreased productivity

Multiple Choice

A business makes 28,000 items a week and employs 35 staff.

Calculate the productivity per worker.

• 1500 units/week

• 35 units/week

• 800 units/week

• 900 units/week

Multiple Choice

Management salaries are an example of what?

• Quality control

• Fixed Costs

• Variable costs

• Material costs

Multiple Choice

The ability to switch quickly and easily from one task to another

• Flexibility

• Quality

• Flow production

• Batch production

Multiple Choice

Running the business with so little stock that new supplies have to arrive just before existing supplies run out

• Bar gate stock graph

• Just in case

• Just in time

• Stock levels

Multiple Choice

The minimum stock level held at all times to avoid running out completely

• Re-order quantity

• Lead time

• Buffer stock

• Maximum stock level

Multiple Choice

Items held by a business for use or for sale

• Lead time

• Stock

• Warehouse

• Just in time

Multiple Choice

What is an advantage of ‘just In time’?

• Less of the business’s capital is tied up in stocks.

• There is a greater risk of running out of stock.

• Buying smaller quantities more often means losing out on bulk buying discounts.

• It can lead to higher levels of quality.

Multiple Choice

What is procurement?

• Knowing how to get the right supplies quickly

• Obtaining the right supplies from the supplier

• Ensuring that the right supplies will be ordered and delivered on time

• Building a business relationship with suppliers

Multiple Choice

The level of stock that triggers the business reordering new supplies

• Buffer stocks

• Re-order level

• Re-order quantity

• Lead time

Multiple Choice

Who needs to be satisfied with the quality of products?

• Rivals
• Suppliers
• Customers

Multiple Choice

A business checks products after they are made. What is this an example of?

• Quality Control

• Quality Circles

• Quality Assurance

Multiple Choice

When products are checked at each stage of production, what is this an example of?

• Quality Control

• Quality Circles

• Quality Assurance

Multiple Choice

When products are checked at the end of the production process this is called

• Quality Assurance

• Quality Circles

• Quality Control