Maximum Inventory Level - The most amount of inventory a business should hold, Lead Time - The time taken between an order being placed and inventory arriving, Buffer Inventory - Extra inventory below the agreed minimum for emergencies, Centralised Storage - Storing inventory in one central location in a large purpose built warehouse, Decentralised Storage - Storing inventory in many locations in smaller warehouses, Capital Intensive - Involves producing products primarily by machines, Automation - Production that is fully automated, Mechanisation - Labour and machines working together to produce a product, Quality Assurance - Products are checked at different stages for high quality, Quality Control - Raw materials or finished goods are checked for quality, Continual Improvement - Known as Kaizen, Quality Circles - Employees and line managers meet to discuss problems in the production process, Quality Standards - Proves a product has met an agreed standard, Quality Management - Holistic approach incorporating many quality methods and aiming for zero errors, Mystery Shopper - Often employed through an agency to behave as a customer and feedback to organisation, Benchmarking - Copying the quality and techniques of the market leader, Philanthropy - Helping those in need, Behaving Ethically - Showing moral consideration for others, Being Environmentally Friendly - Showing consideration for the environment,

HBM Operations

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