Business · Topic 2: Building a business
Making operational decisions
How businesses make their products, manage stock and suppliers, keep quality high and look after customers before, during and after a sale.
Lessons
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1
Business operations
Businesses make products in one of three ways - job, batch or flow production - depending on how many they make and how different each one is. Technology is…
6 terms -
2
Working with suppliers
A business needs the right materials, at the right time, at the right price. That means managing stock - with bar gate stock graphs or just-in-time - and…
8 terms -
3
Managing quality
Businesses manage quality in two ways: quality control checks finished products for faults, while quality assurance builds quality into every stage of…
5 terms -
4
The sales process
The sales process covers everything from the first time a customer asks a question to the help they get after buying. Good customer service - product…
6 terms
Downloads
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- Business operations.pptx Built from the lesson script on 28 September 2026. View
- Business operations - Completed Notes.docx The full notes for the lesson, to revise from. Built from the lesson script on 28 September 2026. View
- Business operations - Exam Questions.docx Built from the lesson script on 28 September 2026. View
- Working with suppliers.pptx Built from the lesson script on 28 September 2026. View
- Working with suppliers - Completed Notes.docx The full notes for the lesson, to revise from. Built from the lesson script on 28 September 2026. View
- Working with suppliers - Exam Questions.docx Built from the lesson script on 28 September 2026. View
- Managing quality.pptx Built from the lesson script on 28 September 2026. View
- Managing quality - Completed Notes.docx The full notes for the lesson, to revise from. Built from the lesson script on 28 September 2026. View
- Managing quality - Exam Questions.docx Built from the lesson script on 28 September 2026. View
- The sales process.pptx Built from the lesson script on 28 September 2026. View
- The sales process - Completed Notes.docx The full notes for the lesson, to revise from. Built from the lesson script on 28 September 2026. View
- The sales process - Exam Questions.docx Built from the lesson script on 28 September 2026. View
Key terms in this chapter
All 25, gathered from every lesson.
- Operations
- The activities that turn inputs into goods and services.
- Job production
- Making one unique product at a time, usually to order.
- Batch production
- Making a group of identical products together before switching to another batch.
- Flow production
- Making identical products continuously on a production line.
- Productivity
- Output per worker or per machine in a period of time.
- Automation
- Using machines and computers to carry out tasks with little human input.
- Stock
- Raw materials, components and finished goods held by a business.
- Bar gate stock graph
- A graph showing how stock levels rise and fall over time.
- Reorder level
- The stock level at which a new order is placed.
- Buffer stock
- The minimum stock kept for emergencies.
- Lead time
- The time between ordering stock and it arriving.
- Just-in-time (JIT)
- Ordering stock to arrive exactly when it is needed, holding little or none.
- Procurement
- Finding and buying the materials and services a business needs.
- Logistics
- Managing the movement of materials and products into and out of a business.
- Quality
- Meeting or exceeding customers' expectations, consistently.
- Quality control
- Checking finished products for faults.
- Quality assurance
- Checking quality at every stage of production to prevent faults.
- Product recall
- When a business asks customers to return a product because it is faulty or dangerous.
- Competitive advantage
- Anything that makes a business more attractive to customers than its rivals.
- Sales process
- All the stages of selling, from the first enquiry to after-sales help.
- Customer service
- How a business looks after its customers before, during and after a sale.
- Product knowledge
- Staff understanding of the products they sell.
- Customer engagement
- How a business interacts with and builds relationships with customers.
- Post-sales service
- Help given to customers after they have bought, such as repairs and warranties.
- Customer loyalty
- When customers keep buying from the same business.