Key Idea: A business can make things one at a time, in groups, or on a line that never stops. This topic is the four operations methods, how to choose between them, and how to keep quality right.
The methods
- Job: one unique item at a time, like Lena's birthday cakes.
- Batch: groups of identical items, like Mill Lane's loaves by type.
- Mass/flow: a continuous line, like Goldcrust's Seren factory.
Mass customization
- Standard parts made on a line, finished to each customer's choice.
- Near mass-production cost with a personal product.
- Needs flexible machines and a good ordering system.
Choosing, and quality
- Choose by volume, variety, demand and cost.
- Quality control checks at the end; quality assurance builds quality in.
- A growing business may change method.
Managing quality (HL)
- Quality circles: small groups of workers who meet to solve quality problems.
- Benchmarking: comparing with the best performers and copying what works.
- TQM: everyone responsible for quality; standards such as ISO 9001 prove it.
The words to know
| Word | Means | Do not confuse with |
|---|---|---|
| Job production | making one unique product at a time to a customer's order | a small batch |
| Batch production | making a group of identical items, then switching to another group | mass production, which never switches |
| Mass/flow production | continuous production of identical items on a line | any large business |
| Mass customization | mass-producing standard parts, then tailoring them to each customer | job production, which is one-off from the start |
| Quality control | checking finished output and removing faulty items | quality assurance, which prevents faults during production |
| Quality assurance | building quality into every stage so faults are prevented | quality control |
| Benchmarking | comparing performance with the best in the industry to find improvements | market research |
| Total quality management (TQM) | a culture where every employee is responsible for quality | a quality inspector |
Name the method from what the case describes (one item, groups, a continuous line), then say why it suits or does not suit this product and demand.
Exam-style question
Lena's Bakery Ltd makes birthday cakes to each customer's design and bakes its loaves at Mill Lane in groups of white, wholemeal, sourdough and rye. Describe two operations methods used by Lena's Bakery Ltd.
Model answer plan
See the mark-by-mark plan — for / against / judgement, with marking guidance — in study mode.
Important: A large business can use batch production, and a small one can run a line. Decide the method from how the product is made, not from how big the business is.
Tap each card to check yourself.
One disadvantage of job production? High cost per unit: each item takes skilled time and cannot share set-up costs.
Why does Mill Lane bake in batches, not on a line? It makes several kinds of bread in modest amounts; a line suits one product in huge volume.
One disadvantage of flow production? A breakdown stops the whole line, and the product cannot easily be varied.
Give an example of mass customization. A cake made from standard sponges and fillings, iced to the customer's choice ordered online.
Quality control or assurance: checking every tray before the vans leave? Quality control. It checks finished output.
When might a business switch from job to batch? When demand for similar items grows enough to make them in groups more cheaply.
One benefit of ISO 9001 for Lena's? (HL) Some customers, such as a hotel chain, buy only from certified suppliers, so it can win new contracts.
Exam tips
- Name the method from how the product is made.
- Say why the method suits the product's volume and variety.
- Mass customization combines a standard base with a personal finish.
- Quality control checks the output; quality assurance prevents faults.
- Every point needs a detail from the case.