- •1. Four basic factors necessary for any business. Give the arguments for (or against) the statement that business is essential for all economies.
- •2. Advantages and risks of entrepreneurship. How would you initiate the business if you were an entrepreneur?
- •3. Similarities and differences between a sole proprietor and a partnership.
- •4. Favorable and unfavorable points of a corporation. Which of the three businesses would you prefer to work for?
- •5. The difference between intermittent and continuous production.
- •6. Which method of production would you choose for a) custom-made goods and b) standard goods? What are the most important factors in these methods?
- •7. What two methods do employers use to select applicants for an interview? Suppose you are to employ a manager for your firm. Which method would you use?
- •8. The functions of the personnel department. Your first steps as the Head of the pd if you happen to be appointed to this post.
- •9. The general concept of marketing, its constituent parts. Types of markets.
- •10. Modern marketing – new principles.
- •11. The function of distribution from the view of a business manager. The role of a middleman in distribution.
- •12. The distribution system from the view of a customer. Different types of retail outlets.
- •13. The concept of promotion, its main activities. What type of advertising would you use for promoting a new kind of product your firm has just launched?
- •14. Personal selling – what way does it differ from other forms of promotion? Try to persuade a foreign firm to buy a new passenger airliner constructed in Russia.
- •15. Two types of sales promotion activities. What would you do to promote a new type of tea or coffee?
- •16. Interdependence of promotion and market situation. What would you do if the market turns out to be saturated with your goods?
- •17. Four aspects of international business. What is the main difference between Smith’s theory and Ricardo’s theory?
- •18. Discuss the activities of an exporting company and the reactions of the country importing products. How should the country protect its domestic industries?
- •19. The importance of computers. Your opinion about the advantages and disadvantages of using computers. The prospective ways of computer development.
- •20. Types of layout. Compare product layout and process layout.
20. Types of layout. Compare product layout and process layout.
Layout is the arrangement of work space, equipment, products, and so on in a place of business. In a well planed factory layout everything is arranged so that the product and workers move in an orderly manner and with the least possible confusion. An efficient layout helps to increase workers productivity and keep costs down by reducing walking distances for employees and keeping supervisors and maintenance personnel close to their areas of responsibility.
Two general types of factory layout are associated with two basic methods of production. The continuous production method, which is used for petroleum, chemicals, and mass produced items such as automobiles and airplanes, uses what is called a product layout. Intermittent production, used for example in a furniture factory, employs [uses] a process or functional layout. With product layout the factory is set up to suit the particular product being manufactured. Employees and machines perform their operations on the product as it moves along an assembly line from start to finish. In intermittent type of layout, machines, materials, and workers are grouped according to the particular process each performs. In a furniture factory, for example, the cutting, gluing, and painting would all be done in different areas using different tools.
Let’s compare product layout and process layout by considering their advantages and disadvantages.
An advantage of product layout is that the use of assembly lines usually has lower unit costs than other methods have. The unit cost is the cost for producing one individual item. Another advantage is that by controlling and coordinating the use of machines, scheduling and routing are simplified so that bottlenecks are eliminated. Also, control and supervision are simplified by using product layout since each worker has a specific assignment on the line.
A disadvantage of product layout is that a breakdown at any point on the assembly line usually results in a total shutdown of the line. Then, employee attitude and workmanship can suffer because assembly line work is generally routine and boring.
An advantage of process layout is that there is flexibility in the types of products manufactured, the assignments of workers, and the uses of the machines. Machines operate independently of each other, and a breakdown of the machine would not result in a total line shutdown and, therefore, a complete halt in production. Different jobs are done in different areas; in this way interference is reduced. Furniture finishing, for example, must be done in a dust-free environment away from the saws and sanders. An advantage for workers is that they each have a specific job which they can identify with and take pride in.
A disadvantage of process layout is that there is no definite line in which materials move; therefore, they tend to move less efficiently. Special routing and cost analysis are necessary for each job order. Generally, there is slower productivity with process layout, and production volume us restricted.