Supply Chain Management Chap 5
Early supplier involvement (ESI)
get involved in the early stages of product design Ideas can come from commpetitors
Service concept has 3 elements
physical element of service psychological benefits of the service sensual elements of the service
Facility layout
Deciding the physical layout of the production facility
Process Facility layout
many different types of products in low volume
Product Design process
1) idea development 2) product screening 3) preliminary design and testing 4) final design
Factors impacting product design decisions
- design for manufacture (DFM) - Product life cycle -concurrent engineering -remanufacturing
Facility Layouts
- fixed - process - product - cellular
processes can be grouped into two broad categories
- intermittent - repetitive DIFF in product volume and degree of product standardization
2 primary distinctions between the production of goods and the production of services
1) manufacturing organizations produce physical goods that can be stored in inventory 2) manufacturing organizations most customers have no direct contact with the operation
Facility location
Deciding on the best location for facilities
Repetitive processes - Line process - Continuous process
Line process - designed to produce a large volume of a standardized product for mass production Continuous process - operate continually to produce a very high volume of a fully standardized product
Transformation role
OM is a transformation role in the organization by converting a company's inputs into finshed goods and services.
7 types of OM decisions
Product design Process design Quality management Inventory management Facility layout Facility location Scheduling
Intermittent processes - project process - batch process
Project process - used to make one of a kind products exactly to customer specifications Batch process - used to produce small quantities of products in groups or batches based on customer orders or product specifications
Degree of product standardization
amount of product variety
Product Facility layout
arrange resource in sequence
Reverse engineering
buy competitors product then analyze its parts and features
Scheduling
creating schedules for workers, machines , and facilities
Process design
creating the production process to produce the designed products
Inventory managment
decisions on amounts of inventory to carry and when to order
Product design
designing unique product features
Process design
developing a production process that can create the exact product that has been designed
Cellular Facility layout
efficiency and repetition product layouts flexibility of process
Quality management
establishing and implementing quality standards
Operations Management (OM)
is the business function responsible for producing a company's goods and services in an efficient and cost effective way
Product Design
is the process of specifying the exact features and characteristics of a company's product
Repetitive Processes
produce one or a few standardized products in high volume
Fixed position Facility layout
product can't be moved during productions ( due to size)
Product volume
quantity produced and can range from making few one of a kind customized products to producing large quantities of products in batches
Concurrent engineering
requires all the functions to work together simultaneously to design and evaluate the product
Design for manufacture (DFM)
series of guidelines that should be followed to produce a product easily and profitably
Product Life Cycle
series of stages of changing product demand Four stages - introduction - growth - maturity - decline
Intermittent Process
used to produce a large variety of products with different processing requirements in lower volumes.
Remanufacturing
uses components of old products in the production of new ones
