using a supplier to manufacture part or all of a firms product or service
Materials or finished goods held by a firm as needed to supply customers demand
reorganisating resources to cut costs -often leading to a cut back in capacity.
when a business has a great production capacity than is likely to be used in the foreseeable future
Staff working beyond their contracted hours in exchange for a higher hourly wage
Is the proportion that the current output is of full capacity output.
The average cost per unit of output
a product or service that meets customers expectations and is therefore 'fit for purpose'
the expectations of customers expressed in terms of the minimum acceptable production or service standards
this is bases on inspection of the products or a sample of the products
this is a system of agreeing and meeting the quality standards at each stage of production to ensure consumer satisfaction
This is an internationally recognised certificate that acknowledges the existence of a quality procedure that meets certain conditions
Total Quality management
An approach to quality that aims to involve all employees in the quality improvement system
these are links with the companies that supply a business with goods and service
The provision of service to customers before, during and after purchase to the standard that meets customer expectation
people within the organisation who depend upon the quality of work being done by other
Service level agreement
agreements or contracts with suppliers that clearly lays down the service that they must provide
The use of electronic technology to gather, store, process and communicate information
computer controlled machine able to perform a physical task
production systems that prevent waste by using the minimum of non-renewable resources so that levels of production can be sustained in the future
there are specific and usually measurable objectives set for each operations activity of a business