Entrepreneurship

Topic Area:Business growth and ethics
Sub-topic area: Standardisation
Key unit competence: To be able to apply basic concepts of metrology and quality testing


Review activity
In Senior 1, you were introduced to standardisation.
1. Give a definition of the following terms: standards, standardisation, standards body, standards harmonisation?
 2. Why is standardisation important?
3. Name different types of standards.
Introductory activity
Study a bottle of water. Discuss the following:
1. How much water is in the bottle?
2. At what temperature was the water kept at the shop?
3. What does the ‘sell by date’ on the bottle mean?
4. Milk sold in Rwanda should be safe for our consumption. Use the pictures below to explain how milk is kept safe at every stage. What do you think this is? Use the pictures below to make suggestions for quality testing the production of milk.

8.1 Metrology in entrepreneurship

Metrology is the study of measurements. In entrepreneurship, we learn metrology so that we can manage the production of goods and services. Metrology is used to control the quality of goods and services.
Activity 8.1
 Study the quotation below. Discuss how accurate measurements are linked to good standards in a business.
“ We use many different types of measurements. For example, to make food products we need to know how many litres or kilograms to use. We also need to know at what temperature to store fresh produce. To make clothes, you need to know how many metres of fabric you need. To make furniture, you need to know what length of wood to cut. ”

8.1.2 Accurate measurements

It is important to use accurate measurements. Imagine what would happen if one bicycle tyre was larger than the other. Imagine if the fridge at the store was not cold enough to keep milk or cheese. Accurate measurements ensure that we can control the quality of products.

Exercise 8.1
 Look at Figure 8.2. Identify the accurate measurements that were used to produce the items in the picture.

Activity 8.3
 Keza wants to sell pancakes at the school fair. She uses the recipe below. She has two cups to use for measuring flour and milk. She needs to calibrate the cups so that they measure the correct quantities.
Pancake recipe
You will need:
• 100 g flour
• 2 eggs
• 300 ml milk
• 1 tbsp vegetable oil
 • pinch of salt
Instructions
1. Mix the flour and salt in a mixing bowl.
 2. Crack the eggs and pour in the milk and oil.
 3. Whisk the mixture until the batter is smooth.
4. Heat oil in the pan and ladle some batter into the pan. Cook for about ½ minute and then use a spatula to gently flip the pancake. Cook for another ½ minute. Serve with cinnamon, sugar and lemon.
Calibrate tools
You will need:
• scale
 • graduated cylinder
• two cups
• flour
Instructions
1. Use a scale to measure 100 g of flour. Add the flour to the cup and mark the level on the cup.
 2. Use a graduated cylinder to measure 100 ml of water. Add the water to the second cup and mark the level. You now have two calibrated cups.



Activity 8.4
Your class is planning a hiking trip to the canopy walk at Nyungwe Forest National Park. Develop a checklist of the kit that you will need for your hiking trip.


Activity 8.5
 Arrange a field visit where you can investigate measurements in a business.
1. Ask the person responsible for applying measurements and quality testing to share his or her knowledge.
2. Do a presentation after the visit where you explain how the business used the measurements.

8.4 Quality and safety controls in a laboratory

Quality control is important in a laboratory. We also need to ensure that we work safely, so all laboratories have rules and safety controls.

Case study 8.2

Read the case study and answer the questions that follow.
Testing for quality and safety
The Rwanda Standards Board conducts tests at the National Quality Testing Laboratories (NQTL) in Kigali. Here, technicians measure the mass and volume of different products. The food laboratory tests the quality of products, including tea, coffee, animal feeds, meat and cereal. The laboratory measures fat content, carbohydrates (sugar content) and protein in the different food products. The laboratory also conducts tests to ensure that there are no diseases in the food. Aside from food, the laboratory also conducts tests on the content of fertilisers. These tests ensure that the fertiliser contains the correct plant nutrients, such as nitrogen, phosphorous and potassium. The laboratory tests ensure that the food sold in the stores is safe to eat.
                                                          Source: http://www.rsb.gov.rw/~rbs/main-nav/testing.html
Questions
 1. List some of the measurements that NQTL technicians do.
2. What unit of measurement do you think the laboratories use to test plant nutrients?
3. What would happen if a fertiliser did not contain the correct plant nutrients?
4. Why do you think that it is important to know the fat content of a food product?
 5. Why is quality testing important for:
a) Manufacturers
b) Exporters
c) Customers?
6. Explain the relationship between metrology, quality testing and accurate measurement.
Activity 8.6
The Rwanda Coffee Company is a new company that exports ground coffee to many countries in Europe. The company has asked your class to design a new logo and paper packaging. The bag must contain 250 g of ground coffee.
1. Design a logo for the Rwanda Coffee Company.
2. Draw your design on paper.
3. Make paper packaging by following the instructions below.
4. Conduct quality control on your bags. Measure the size of each bag and ensure that it can contain 250 grams of coffee.
 5. Display your paper bags in the class.
How to make paper packaging
You will need:
• a ruler
 • scissors
• paper
• glue
 • a few books
• coloured pencils
Dimensions for packaging

Unit summary

What is metrology 

• Metrology is the study of measurements. 

• Metrology is used to control the quality of goods and services 

Base units used in accurate measurement 

• The International System of Units (SI) is a standard system with seven base units.

Accurate measurement 

• Accurate measurements ensure the production of high quality products. 

• When measuring tools are checked to see if they still work correctly, it is called calibration. 

• Verification of products can be done by completing checklists or conducting inspections.

The quality testing process

 • Products are quality tested against a predetermined set of standards by using a sample of the products. 

• Once the tests are completed a report is written to state the findings of the tested sample. 

• When sample testing takes place in a laboratory, safety rules and controls must be adhered to.

Self-assessment

 Muteteli is a tourist guide. She takes tourists to see Volcanoes National Park. Muteteli has asked you to develop a quality testing process where she can check the quality of her tours. 

1. What is a sample and what type of sample can Muteteli use? 

2. Suggest a test method that she can use to evaluate her tours. 

3. Develop a checklist for quality testing. 

4. Explain why quality testing is important for businesses that offer services.

Topic area: Summative assessment (Unit 8) 

Read the text. Then answer the questions that follow. 

Section A

Road safety and entrepreneurial opportunities

 Rwanda is located just south of the equator, so night falls quickly here all year around. The roads are mountainous and often poorly lit. It is often hard for motorists to see pedestrians and cyclists. An effective way to improve road safety is to wear a safety reflector. A safety reflector reflects the light from headlights of vehicles. The motorist can now see the pedestrian.

1. What is metrology? (2) 

2. List five base units and their symbols. (5) 

3. Which problem does the text above discuss? (4) 

4. How will a reflector band help to solve this problem? (2) 

5. What is a sample and what type of sample can you use to test the reflector band? (5) 

6. Suggest another solution for improving road safety in Rwanda. (2)

                                                                                                         [20]

Section B

 When we test safety measures in a car we can use a crashtest dummy.

 1. Explain why we use a dummy and not a real person to test safety measures in cars. (4)

 2. Suggest a test method that you can use to evaluate safety using crashtest dummies. (6)

 3. How would you ensure that the test method for evaluating safety, using crashtest dummies, is effective? (4) 

4. Explain the relationship between metrology, quality testing and accurate measurements. (4) 

                                                                                                                                                 [20] 

Section C 

Design a product that is aimed at improving road safety. Set standards for your product and draw up a quality testing process that you will use to ensure that your product follows the standards. (10) 

                                                                                                                                      Total marks: 50

Glossary

account – a record of spending and receipts relating to a particular period or purpose

 accountant – a person who keeps and inspects financial records 

Accounting – the process of keeping financial records 

Accounting Equation – the formula that shows the relationship between a firm’s Assets and its Owners’ Equity and Liabilities

adjustment – make change to get a better result 

advocate – publicly support or recommend a particular cause or idea 

ambitious – have a strong desire and determination to succeed 

analogy – a comparison between one thing and another, typically used to explain or clarify 

Assets – item of value owned by a person or business

base unit – one of the seven fundamental SI units 

bookkeeper – a person who records financial transactions in a business 

budget – summary of your likely income and expenses for a time period 

bursary – a grant awarded to a student to pay for university 

calibrate – match with a standard scale 

capital account – general ledger account that shows the money invested by the owner

cash crop – crops that are planted and sold for cash 

cash payment journal – journal to keep track of payments of goods or services when cash is paid

cash receipt journal – journal to keep track of sales of goods or services when cash is received chronological – record of events in the order that they occurred 

circular flow model – a diagram that represents the flow of money and goods and service in an economy

collateral – something offered as security for repayment of a loan, to be forfeited if the loan is not paid commemoration – a ceremony in which an event is remembered 

consumables – components used in a testing process

contracting – enter into a formal agreement

 consumption tax – a tax on spending on good or service 

corporate tax – tax on the income or capital of corporations 

credit – accounting entry that either increases a liability or equity account or decreases an asset or expense account

current asset – cash and other assets that can easily be converted to cash 

debate – formal discussion on a topic where opposing arguments are put forward 

debit – accounting entry that shows an expense resulting in the increase of an asset or a decrease in liability or owner’s equity 

debt – money that is owed to others 

debt repayment – paying money back according to a schedule

declares –state something in an official way 

demand – need or want for a product 

demand curve – a graph showing how the demand for a product or service varies with changes in its price. 

direct tax – tax, such as income tax, which is levied on the income of a person or profit of a business

dividend – sum of money paid annually (every year) by a company to its shareholders 

double entry bookkeeping system – system of Accounting where every entry is recorded in two different accounts 

economics – a social science studying how people choose to use resources 

economist – a person who studies economics

 equilibrium – a state where opposing forces or influences are balanced 

equity – money invested by the owner of a business

evidence – facts 

excise tax – indirect tax charged on the sale of a good 

expenses – unbold on p74 extend – make longer 

failure rate – how often something fails

 financial risk – the possibility of losing money 

fixed asset – assets which are purchased for longterm use such as land, buildings or equipment fraudulent – definition: dishonest and illegal please unbold cheque in lb

 fringe benefit – extra benefit supplementing a salary such as a company car or health care

genocide – the deliberate killing of a large group of people, such as those of a particular nation or ethnic group households – an economic unit of everyone living under one roof 

indirect – not directly caused by something

indirect tax – a tax levied on goods and services rather than on income and profit 

innovative – original and creative thinking

 insure – arrange for compensation in the event of loss of or damage to property

 interdependent – two or more things depending on each other

interest – money paid or received at a regular rate for the use of money borrowed or repayment of debt inverse – opposite 

irregular – not fixed 

laboratory – room for scientific experiment and research

ledgers – book of financial accounts 

levy – money that you have to pay to a government or organisation 

Liabilities – money owed 

livestock – farm animals

 long-term liability – debt that must be paid over a long period of time

market – any environment that exists when buyers and sellers come together to exchange goods and services 

maternity leave – period during pregnancy and shortly after childbirth 

metrology – study of measurements 

negotiation – discussion aimed at reaching an agreement

overexploit – make use of excessively or in an unfair way 

overfishing – to catch too many fish so that the fish are depleted 

peat – decomposed vegetable matter that is dried and used as fuel 

personal tax – tax paid by individuals that varies with the income of the taxpayer 

prime books – a record of a business transaction arranged according to the type of transaction

priority – more important 

property tax –annual tax paid on the value of a property

raw materials – basic material from which a product is made, for example, wood or iron 

reagent – substance used for chemical reactions 

rental tax – a tax on income from renting property, livestock or machinery 

retail trade – selling products directly to the consumers

retained earnings – money not paid out to shareholders but reinvested in the company

 reputation – the estimation in which a person is held in the community or the opinion that is held about someone or something 

review – assess and change if necessary 

sample – a small part or quantity that represents the whole

self-reliance – reliance on one’s own abilities and resources rather than those of others 

short-term liability – debt that must be paid within one year

social makeup – the relationships between social groups 

socio-economic – the interaction of social and economic factors

 source documents – slip, invoice or other document that is evidence of a business transaction

 stipend – fixed regular sum paid as a salary 

strategy – a plan of action designed to achieve a long-term or overall aim 

supply – the amount of products that producers will sell at a certain price 

supply curve – graph showing how the supply of a product or service varies with changes in its price

tariff – tax or duty paid on imported goods 

tax – a compulsory contribution to state revenue 

trading – buying and selling goods and services 

wholesale trade – market where goods are bought and sold in large quantities