Business Management HL
Business Management HL
6
Chapters
223
Notes
Unit 1 - Introduction To Business Management
Unit 1 - Introduction To Business Management
Unit 2 - Human Resource Management
Unit 2 - Human Resource Management
Unit 3 - Finance & accounts
Unit 3 - Finance & accounts
Unit 4 - Marketing
Unit 4 - Marketing
Unit 5 - Operations management
Unit 5 - Operations management
Unit 6 - Assessment
Unit 6 - Assessment
IB Resources
Unit 5 - Operations management
Business Management HL
Business Management HL

Unit 5 - Operations management

Mastering Defect & Productivity Rates Boost Your Business Efficiency Now!

Word Count Emoji
662 words
Reading Time Emoji
4 mins read
Updated at Emoji
Last edited onย 14th Jun 2024

Table of content

๐Ÿง What's that?

  • Imagine buying a brand-new shirt and finding a stain on it. Ew, right? Or spotting a scary nail sticking out of your new picture frame. That's what we call a "defect"!

  • Defect = A fault or issue with a product made during its creation.

๐Ÿค” Why should we care?

  • Defective products can't be sold (who'd buy that stained shirt?). They're usually trashed.

  • The defect rate tells us what portion of products end up with these pesky issues.

๐Ÿ“ Math break

Defect Rate =\(\biggl(\frac{number \,of\, defective\, units}{total\, output}\biggl) โ€‹ \)× 100

 

๐Ÿ‘‰ The LOWER the defect rate, the HAPPIER we are! It's like a game where we aim for the lowest score possible.

 

๐ŸŒ Real-World Example

Imagine a toy factory that produces 1,000 toys, but 20 of them have missing parts. The defect rate is

\((\frac{20}{1000})\) × 100 = 2%

๐Ÿ” Why is this rate important?

  • Shows areas needing better quality control. Aim is to lower the score, like getting your golf game on point! Ideal score = 0% (a dream, right?).

โ€‹โ€‹โ€‹โ€‹๐Ÿš€ Productivity Rate (again, for the awesome HL peeps)

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IB Resources
Unit 5 - Operations management
Business Management HL
Business Management HL

Unit 5 - Operations management

Mastering Defect & Productivity Rates Boost Your Business Efficiency Now!

Word Count Emoji
662 words
Reading Time Emoji
4 mins read
Updated at Emoji
Last edited onย 14th Jun 2024

Table of content

๐Ÿง What's that?

  • Imagine buying a brand-new shirt and finding a stain on it. Ew, right? Or spotting a scary nail sticking out of your new picture frame. That's what we call a "defect"!

  • Defect = A fault or issue with a product made during its creation.

๐Ÿค” Why should we care?

  • Defective products can't be sold (who'd buy that stained shirt?). They're usually trashed.

  • The defect rate tells us what portion of products end up with these pesky issues.

๐Ÿ“ Math break

Defect Rate =\(\biggl(\frac{number \,of\, defective\, units}{total\, output}\biggl) โ€‹ \)× 100

 

๐Ÿ‘‰ The LOWER the defect rate, the HAPPIER we are! It's like a game where we aim for the lowest score possible.

 

๐ŸŒ Real-World Example

Imagine a toy factory that produces 1,000 toys, but 20 of them have missing parts. The defect rate is

\((\frac{20}{1000})\) × 100 = 2%

๐Ÿ” Why is this rate important?

  • Shows areas needing better quality control. Aim is to lower the score, like getting your golf game on point! Ideal score = 0% (a dream, right?).

โ€‹โ€‹โ€‹โ€‹๐Ÿš€ Productivity Rate (again, for the awesome HL peeps)

Unlock the Full Content! File Is Locked Emoji

Dive deeper and gain exclusive access to premium files of Business Management HL. Subscribe now and get closer to that 45 ๐ŸŒŸ