PRODUCTION REVISION QUESTIONS PART 1

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What is Production ?
Production is when a business makes a product i.e. it manufactures/ creates something
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What are the 4 methods of Production?
Job Production, Batch Production, Flow/Continuous Production and Process Production
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What is Job Production ?
Making 1 unique product from start to finish
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list an advantage of Job Production
Products are usually high quality
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list an advantage of Job Production
Made to meet the needs of individual customers
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list an advantage of Job Production
Organisation is simple as only 1 job is done at a time
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list an advantage of Job Production
A wide variety of tasks often means that work is more interesting & therefore motivation is high
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list an advantage of Job Production
Workers often get more satisfaction from working on something until its finished
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list a disadvantage of Job Production
High Labour Costs- as workforce needs to be skilled
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list a disadvantage of Job Production
The business doesn't get paid until it has finished the job. may take a while to complete the job.
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list a disadvantage of Job Production
High Production Costs- due to the variety of tasks a range of machinery needs to be purchased
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What is Batch Production?
Items are produced in large batches of similar items. The business will make one type of product for a while and then change to another type before switching back
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list an advantage of Batch Production
The needs of different customers can be met by making batches of different goods
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list an advantage of Batch Production
Might only need Semi-skilled workers- these get paid less
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list an advantage of Batch Production
Possible to use automation and machinery
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list a disadvantage of Batch Production
It takes time to switch production from a batch of one product to be a different batch. Machinery may need to be reset etc
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list a disadvantage of Batch Production
Careful planning is needed to avoid machinery & people becoming idle
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list a disadvantage of Batch Production
The tasks can be repetitive and boring for the workers
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list a disadvantage of Batch Production
It may be necessary to keep stocks of materials and components to be able to switch production when required. Holding stocks cost money.
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What is Flow/Continuous Production ? (also called mass production)
Continuous production of identical items: each unit moves from one operation to the next without waiting for a batch to be completed. this method of production uses an assembly line
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list an advantage of Flow/ Continuous Production
Often called Mass Production- excellent to produce large amounts of products quickly.
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list an advantage of Flow/ Continuous Production
Reduced labour costs as you only need a semi skilled workforce
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list an advantage of Flow/ Continuous Production
Possible to automate the processes using machines this keeps the running costs low
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list an advantage of Flow/ Continuous Production
Can quickly respond to changes in demand
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list a disadvantage of Flow/ Continuous Production
High set up costs- machinery
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list a disadvantage of Flow/ Continuous Production
Can only produce standard products
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list a disadvantage of Flow/ Continuous Production
Jobs on a assembly line can be repetitive and boring
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list a disadvantage of Flow/ Continuous Production
Large stocks of materials need to be kept to keep the production line supplied and this may be expensive
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What is Process Production?
Involves a series of automated processes which, when applied to a variety of raw materials results in a large quantity of finished product
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list an advantage of Process Production
Large amounts can be made
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list an advantage of Process Production
Most processes can be automated to allow production costs to be kept low
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list a disadvantage of Process Production
It is very expensive to set up a process system of production
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list a disadvantage of Process Production
A problem with one part of the production process stops the whole process
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What is Value Added ?
Value Added refers to the difference between the price of the finished product/ service and the cost of the inputs involved in making it. Therefore value added is the increase in value that a business creates by undertaking the production process
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list some ways to add value
build a brand, deliver excellent service, product features and benefits and offering convenience
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Explain how Building a brand can add value
a reputation for quality, value are what customers are prepared to pay for
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Explain how Delivering excellent service can add value
high quality, attentive personal service can make the difference between achieving a high price or a medium one
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Explain how Product features and benefits can add value
for example, additional functionality in different versions of software can enable a software seller to charge higher prices; different models of motor vehicles are designed to achieve the same effect
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Explain how Offering convenience can add value
customers will often pay a little more for a product that they can have straightaway, or which saves them time
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To compete in a competitive business environment (market) businesses need to maximize what?
the value they add to their products. The more competitive the market you are in the more pressure you are under to add value.
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A business that is adding substantial value must be what?
operating profitably. Findings ways to add value is a really important activity for a start-up or small business- it can make the difference between survival and failure; between profit and less
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State a key benefit of adding value
charging a higher price
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State a key benefit of adding value
product differentiation
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State a key benefit of adding value
protecting from competitors trying to steal customers by charging lower prices
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State a key benefit of adding value
focusing a business more closely on its target market
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State a key benefit of adding value
the customers will get very high quality products
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State a key benefit of adding value
it will help the business to overcome their competitors
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Businesses need to be what?
as efficient as possible. In practise this means trying to get as much produced as possible with what you've got. More specifically the business wants to manufacture as much as possible whilst minimising costs, staffing,space etc.
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State a benefit of efficiency
higher production output/ levels
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State a benefit of efficiency
Lower unit costs (i.e. it can make each product more cheaply)
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State a benefit of efficiency
The ability to be more competitive in the market place
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State a benefit of efficiency
Have the ability to undercut competitors and win their customers or keep the prices the same but enjoy higher profit margins
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What does the division of labour involve?
employing specialist employees to do specialist work. Individuals are able to concentrate on what they do best for the benefit of the business
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The production manager cannot do all of the work of the production department him or herself. What does production instead depend on?
a range of specialist operatives- e.g. to set up a production line, to check that the line is running smoothly, to check products off the line, to repair the line, to make adjustments
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What is Specialisation based on?
the idea when individuals concentrate on what they do best all benefit as a result
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State one of the major advantages of flow production
is that the production can be broken down into repetitive tasks. As a result of breaking down the production process into a number of small repetitive tasks the amount of time needed to train a worker to do the task is not very long
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What happens by allowing staff to specialise in a particular area of production?
they become very good at it
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Technology is what?
expensive to employ
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What has happened throughout history?
businesses have tried to replace labour with machines in order to save money and in order to produce products quicker. Humans make mistakes but machines rarely do, they just carry on doing the job
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What does the Internet mean for Businesses?
they can advertise to their customers 24 hours a day from anywhere in the world. Most new websites allow customers to buy their products online. This helps businesses increase many different types of technology that we could talk about
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What does Email mean for employees?
they can communicate fair quicker in the business. Instead of writing letters and memos employees can send files instantly. This means that businesses have better communication, become more efficient and can respond to change quicker
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What does CAD stand for?
Computer aided design
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What does CAM stand for?
Computer aided manufacture
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What can businesses do using cad/cam?
they can do all of their design work on a computer. This means that designs can be created and altered much quicker which saves the business a lot of money
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Businesses can buy machinery for their production lines which is what?
automated. This means that robotics and machinery make most of the product instead of people. Employees just check to make sure that everything is ok. This means that businesses can make products faster and cheaper as they don't need to hire lots
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State a benefit of technology in a production environment
large amounts can be made
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State a benefit of technology in a production environment
the productivity of workers increases
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State a benefit of technology in a production environment
quality improves as human error is reduced
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State a benefit of technology in a production environment
repetitive or dangerous jobs can be completed by machines
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State a problem of technology in a production environment
buying and installing machines is expensive
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State a problem of technology in a production environment
when a firm introduces new technology it may need to make some staff redundant
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State a problem of technology in a production environment
the business may need to retrain staff to work on the new machines
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Other cards in this set

Card 2

Front

Job Production, Batch Production, Flow/Continuous Production and Process Production

Back

What are the 4 methods of Production?

Card 3

Front

Making 1 unique product from start to finish

Back

Preview of the back of card 3

Card 4

Front

Products are usually high quality

Back

Preview of the back of card 4

Card 5

Front

Made to meet the needs of individual customers

Back

Preview of the back of card 5
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