Operations Management

the ratio of outputs to inputs during production

• production

• level of production

• productivity

Ways to increase productivity

• motivate the workers

• hire a manager

• use more advanced technology

• train the workers

producing output at the highest ratio of output to input

• effectiveness

• efficiency

• labor intensive

• capital intensive

involving a high quantity of capital equipment compared with about input

• effectiveness

• efficiency

• labor intensive

• capital intensive

Operations planning decisions are influenced by

• technology

• market demand

• skills of the labor

• availability of resources

the use of computer programs to control machine tools and related machinery in manufacturing of products.

• CAD

• CAM

• advanced technology

• automation

producing a one-off item specially designed for the customer

• mass customisation

• flow production

• batch production

• job production

the use of flexible computer-aided production systems to produce items to meet individual customer's requirements at mass-production cost levels

• mass customisation

• flow production

• batch production

• job production

An advantage of batch production

• high level of worker motivation

• some flexibility in design of product in each batch

• low unit costs due to constant working machine and high labour productivity

• ability to undertake specialist projects or jobs

A disadvantage of flow production

• high unit production costs

• high levels of stocks at each production stage

• expensive to set up flow-line machinery

• wide range of tolls needed