General Management

 

  • Manage all the departments
  • Perform management tasks
  • POLC
  • Formulate Vision, mission, objectives and strategies
  • Different leadership styles
  • Autocratic
  • Democratic

 

Purchasing

 

  • Buys goods and services for all departments
  • Source suitable suppliers
  • Ensure best ROI by keeping costs low
  • Return on Investment
  • Economies of scale
  • Check that goods ordered are correct quality and quantity on delivery
  • Maintain stock levels

 

 

Production

 

  • Combines factors of production to provide a product to the consumer
  • Keep manufacturing costs low and maintain quality
  • Combine with marketing department to meet consumer demands through innovation

 

Production (Automation)

 

  • Automation: activities performed by hands are now performed by machines
  • Advantages
  • Lower labor costs and machines continue to work without breaks or holiday
  • Faster production times
  • Disadvantages
  • Large capital investment
  • Job losses
  • Possible monotonous job causing dissatisfaction
  • Additional costs in retraining

 

Production (Quality Control)

 

  • Influenced by raw materials, layout machinery, working conditions
  • Sampling
  • A few products of a batch are tested
  • Inspections
  • Each product is tested
  • Advantages of quality control
  • Eliminate problems in production and therefore reduces costs
  • Encourage workers to deliver goods at a high standard
  • Basis for remuneration decisions
  • Create confidence in the product and result in repeat orders

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