ISOM Chapter 8

Basic components of a material-requirements planning (MPR) system?

-a master production schedule -a bill of materials -an inventory status file

What are some reasons why a company would adopt CIM in their organization?

-boost productivity and quality -reduce cost

What are steps used in PERT?

-identifies all the major activities or events required to complete a project -arranges them in a sequence or path -determine the critical path -estimates the time required for each event

Items that are considered inputs to the transformation process:

-labor -money -materials -energy

Sustainability issues include:

-pollution of the land, air and water -climate change -waste management -deforestation -urban sprawl -protection of biodiversity -genetically modified foods

What makes measurement of productivity for services more challenging than for manufactured products?

-variations in demand -variations in service requirements from job to job -the intangibility of the product

Computer-assisted manufacturing _____________

....uses computer systems to guide and control the transformation process.

Type of product being manufactured: Process layout

A metal fabrication plant or a hospital

When does routing take place for operations managers?

After materials have have been purchased and their use determined.

Type of product being manufactured: Fixed-position layout

Bridge construction, house, or office building

Type of product being manufactured: Product layout

Companies that produce automobiles, television set, or toothpaste

Using computers in place of paper to design components, products, and processes is referred to as ___________ (an acronym)

Computer assisted design (CAD)

example of the service characteristic: customer contact

Restaurants; direct selling such as Tupperware parties

example of the service characteristic: perishable

Seats at a speaker's presentation

the maximum load that an organizational unit can carry or operate

capacity

A manufacturer is typically more _______-intensive because of the machinery and technology used in mass production of highly similar goods.

capital

Outsourcing, once used primarily as a cost-cutting tactic, has increasingly been linked with the development of _________ through improved product quality, speeding up the time it takes products to get to the customer, and overall supply-chain efficiencies.

competitive advantage

Flexible manufacturing uses

computers to direct machinery to adapt to different versions of similar operations.

Companies using an assembly line are referred to as a _________ _______ organizations.

continuous manufacturing

A group of tasks along a PERT path that will take the longest and will cause the project or production run to be late if slowed is referred to as the _________ path.

critical 'path'

The manufacturing process known as ________ means to make a unique product or provide a specific service to specific individuals

customization

making products to meet a particular customer's needs or wants

customization

Which term is LEAST LIKELY a sustainablility-related issue for businesses?

employee benefits

A layout that brings all resources required to create the product to a central location is known as _______

fixed-position layout

Arranging the physical layout of a facility is a complex, highly technical task and there are three basic layouts

fixed-position, process, and product

example of the service characteristic: intangible

going to a concert of sports event such as baseball, basketball or football

A restaurant is an example of an organization that produces both _______ and ________.

goods 'and' services

example of the service characteristic: customize

haircut; legal services

Examples of high-contact services

health care, real estate, and tax preparation

A service provider's intangible product requires a(n) _______ degree of costumer contact than do the majority of tangible products.

higher

maximum capacity can be stated in the terms of

inputs or outputs provided

Doctors, makers of custom jewelry, and commercial printers are all ________ organizations; they create products to customers' specifications and produce relatively few units of each product.

intermittent

The term "________" implies a firm that makes tangible products.

manufacturer

Another inventory management technique is _________-________ planning (MRP), a planning system that schedules the precise quantity of materials needed to make the product.

material-requirements 'planning (MPR)'

making an item in self-contained units that can be combined or interchanged to create different products

modular

Producing different components that can later be installed into a wide array of configurations is a description of _______ production.

modular design

Examples of low-contact services

online auctions services like eBay which often have a strong high-tech component.

_________ describes processes used to create both tangible and intangible products.

operations

Uniformity of _______, consistency of the final product, is often more difficult for service providers since the human element is part of the picture.

output

Many companies elect to __________ some aspect of their operations to companies that can provide these products more efficiently, at a lower cost, and with greater customer satisfaction.

outsource

The contracting of manufacturing or other tasks to independent companies outside of the firm is referred to as _________

outsourcing

Seats on an airplane or attendance at a play are said to be ______ since they cannot be saved, resold, or returned.

perishable

A layout that organizes the transformation process into departments that group related processes is known as a ____

process layout

A metal fabrication plant may have a cutting department, a drilling department, and a polishing department. A company organized in this way is utilizing a _________ layout.

process layout

The layout that requires production to be broken down into relatively simple tasks assigned to workers, who are usually positioned along an assembly line is a _____ layout

product

_______ is defined as the making of identical interchangeable components or products

standardization

making identical, interchangeable components or products.

standardization

In terms of the transformation process, feedback is defined as _________.

taking measurements at various points in the transformation process and comparing them to previously established standards

At the heart of operations management is the ________ process through which resources such as labor, money, materials and energy are converted into goods, services and ideas

transformation

The difference between CAD and CAM is that CAD uses computers to design products while CAM __________.

uses computers to manufacture products