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Operations Management Solutions Paper 1

Production of Goods and Services Solutions ✍🏽

Delishjuice is a small business and produces a range of fruit juice made from fruit using batch production. Delishjuice uses specialisation in its factory. The business has grown quickly over the last two years. Delishjuice has increased the number of production workers from 10 to 20 . This has increased the span of control for each manager. It has been difficult for Delishjuice to keep workers motivated.

(d) Identify and explain two possible reasons why Delishjuice uses batch production. [6]

Reason 1:            Range of products can be made

Explanation:       So able to change product easily to meet changes in customer demand for different fruit flavours.

Reason 2:            Can make use of specialist skills

Explanation:       so able to take advantage of specialisation in the factory to increase output of fruit juices.

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Check out Unit 1 Business Activity, Topic Guides, Questions and Solutions