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2.4 Resource management - Coggle Diagram

- - - - Making a single item, usually according to a customer’s specification or detailed description of measurements, design
        
        One off item produced
        
        Undertaken by small businesses
        
        Advantages:
        
        High quality and skill
        
        Employees can be more motivation- mroe job satisfcation
        
        Disadvatages:
        
        Unit costs are high and labour csots- labour itensive
        
        Close consultation with the client
    - - Producing large quantities of the same item, each batch does on stage before it moves onto the next
        
        Concentrated skills
        
        Achieve better use of equipment and so produce good quality product more economically than manufacturing them individually
        
        Advantages:
        
        Cost saving can be achieved by buying in bulk- economie of scale
        
        Products can be worked on by specialist staff or equipment at each stage
        
        Disadvanatges:
        
        Requires the business to maintain higher stock of raw material and work in progress
        
        Tasks may become boring – reducing motivation in staff
    - - The continuous production of a large quantity of items on a production line, where each worker does the same job time
        
        When one task is finished next task must start immediately
        
        Therefore, time taken on each task must be the same
        
        Advanatges:
        
        Cost per unit of production reduced through improved work and material flow
        
        Capital intensive which means it can work constantly
        
        Disadvantages:
        
        Production is shut down if the flow is stopped and this causes high costs involved
        
        Goods are mass produced- less differentiation for the customer
    - - Production of items are organised into teams/cells. Each cell is responsible for making different parts of the product
        Advantages:
        
        Reduces wastage- between stations (time) and product
        
        There may be a safer working environment and more efficient maintenance
        
        Product flexibility improved
        
        Disadvantages:
        
        Output may not be as high as a 'flow' production system
        
        Different 'cells' may work at different speeds (leading to conflict and tension)
        
        The business may need to invest heavily in new machinery and equipment, as each cell will require the same capital items.
    - - Nature of product- complexity of design
        
        Factors- Costs, land, labour and capital
        
        Scale- market size and segment
        
        Labour- job
        Capital- flow
        No land- no flow
- - - - Quality is built into every stage of the production process. Quality assurance is reliant on workers self-checking their work in order to make sure there are no mistakes. This is referred to as a zero defect policy.
      - Advantages:
        
        Stops customer complaints/gives better customer satisfaction Costs are reduced because there is less wastage and re-working of faulty products as the product is checked at every stage
        
        It can help improve worker motivation as workers have more ownership and recognition for their work- Herzberg
        
        Disavantages:
        
        More pressure on employee- time consuming
        
        Costs a lot of money to train your staff
      - Better in the long term as customers will be more satisfied, however in the short term it is very time consuming and expensive to train staff
    - - Group of people meet on a daily basis in order to suggest improvements to the production process or solve any current problems. Often include employees as they are likely to have the most knowledge of what could be improved. By allowing employees to suggest improvements it is likely to result in increased motivation.
        
        A steering Committee to oversee the whole programme
        
        At least one person on the committee should be accountable
      - Advantages:
        
        Increased motivation- team spirit
        
        Improves leadership skills
        
        Disadvantages:
        
        Volunteers- people can readily drop out
        
        Can solves insufficient problems- wasting time and energy
    - - Ensures product quality is maintained or improved through the reduction in mistakes. Checking products after they have been made through inspection, sampling or testing in order to detect faulty products.
      - Benefits:
        
        Prevents defective products reaching customers- specially trained inspectors, rather than every individual being responsible for his or her own work- inspectors may be better placed to find widespread problems across an organisation.
        
        Disadvantages:
        
        Individuals are not necessarily encouraged to take responsibility for the quality of their own work.
        
        Highly effective at preventing defective products from reaching the customer. However, if defect levels are very high, the company's profitability will suffer unless steps are taken to tackle the root causes of the failures.
    - - Put's quality at the heart of everything in the business. Involve features such as quality circles, zero defect policy
      - Quality is tested throughout- everyone's job – problems can be solved quickly and issues do not spread
        Kaizen (Continuous Improvement) – employees and managers are constantly seeking how they can improve quality by making continual changes
        Systems in place to ensure quality – workers aim to produce quality and managers aim to ensure it
        Zero Defects – the ultimate aim, where no errors are made