CH. 9 - PRODUCTION AND OPERATIONS MGMT

FACILITY LAYOUT OPTIONS

1. ASSEMBLY LINE LAYOUT - Few tasks at a time 2. MODULAR LAYOUT - Teams of workers 3. FIXED-POSITION LAYOUT - Allows congregate around product 4. PROCESS LAYOUT - Similar equipment and functions are grouped together

PERTSTEPS

1. Analyzing and sequencing tasks 2. Estmatng the time needed to complete each task 3. Drawing a PERT network illustrating the first two steps 4. Identifying the critical path

GROVE'S BASIC PRODUCTION REQUIREMENTS

1. Build and deliver PRODUCTION s in response to the demands of the customer at the scheduled delivery time 2. To provide an acceptable quality level 3. To provide everything at the lowest possible cost

DEVELOPMENTS MAKING U.S. COMPANIES MORE COMPETITIVE

1.Computer aided design and mfg 2. Flexible mfg 3. Lean mfg 4. Mass customization

GANTT CHARTS

A bar graph that shows what projects are being worked on and how much has been completed

ISO 14000

A collection of the best practices for managing an orgs impact on the environment

PROGRAM EVALUATION & REVIEW TECHNIQUE (PERT)

A method for analyzing the tasks involved in completing a given project and estimating the time needed

ENTERPRISE RESOURCE PLANNING (ERP)

A newer version of MRP, combines computerized functions into a single integrated software program using a single database

STATISTICAL PROCESS CONTROL

A process of testing statistical samples of product components at each stage of production

STATISTICAL QUALITY CONTROL

A process used to continually monitor all phases of the production process

SIX SIGMA QUALITY

A quality measure that allows only 3.4 defects per million opportunities

OPERATION MGMT

A specialized area in mgmt that converts or transforms resources into goods and services.

FIXED-POSITION LAYOUT

Allows workers to congregate around the product

QUALITY CONTROL

Consistently producing what the customer wants while reducing errors before and after delivery

FLEXIBLE MFG

Designing machines to do multiple tasks so they produce a variety of products.

OPERATIONAL MGMT PLANNING SOLVES?

Facility location, Facility layout, Materials requirement planning, Purchasing, Inventory Control, Quality Control

WHAT IS ISO?

International Organization of Standardsization (ISO) is a worldwide federation of national standard bodies

WHAT DOES OPERATIONAL MGMT INCLUDE?

Inventory mgmt, Quality Control, Production Scheduling, Follow-up Services

INVENTORY CONTROL

Just-In-Time (JIT) Inventory Control -- The production process in which a minimum of inventory is kept and parts, supplies and other needs are delivered just in time to go on the assembly line

WHAT ARE THE FACTORS OF PRODUCTION?

LAND, CAPITAL, LABOR, ENTREPRENEURSHIP, KNOWLEDGE

CONTINUOUS PROCESS

Long production runs turn out finished goods over time.

BALDRIDGE AWARDS

Mfg/Services/Sm Business/Non-Profit-Govt/Education/Healthcare

INTERMITTENT PROCESS

Production runs are short and thd producer adjusts machines frequently to make different products.

PROCESS LAYOUT

Similar equipment and functions are grouped together

MASS CUSTOMIZATION

Tailoring products to meet the needs of a large number of individual customers.

ISO 9000

The common name given to quality mgmt and assurance standards

PRODUCTION

The creation of finished goods and services using the factors of production: LAND, CAPITAL, LABOR, ENTREPRENEURSHIP, KNOWLEDGE

FACILITY LAYOUT

The physical arrangement of resources, including people, to.most efficieny produce goods and provide services

FACILITY LOCATION

The process of selecting geographic location for a company's operations.

JUST-IN-TIME INVENTORY CONTROL

The production process in which a minimum of inventory is kept and parts, supplies and other needs are delivered just in time to go on the assembly line

CRITICAL PATH

The sequencebof tasks thatbtakes the longest time to complete

COMPUTER-INTEGRATED MFG (CIM)

The uniting of computer-aided design with computer-aided mfg.

COMPUTER-AIDED DESIGN (CAD)

The use of computers in the day sign of products

COMPUTER-AIDED MFG (CAM)

The use of computers in the manufacturing of products.

FORM UTILITY

The value producers add to materials in the creation of finished goods and services.

OPERATIONS MGMT VIA INTERNET

1. Sometimes business outsource engineering, design and mfg to other companies. 2. Often these relationships are managed through the internet 3. Many companies are developing internet-focused strategies.

MATERIALS REQUIREMENT PLANNING (MRP)

A computer-based operations mgmt system that uses sales firecasts to make sure parts and materials are available when needed

PRODUCTION PROCESSES ARE

Either continuous or intermittent

PRODUCTION PROCESS

INPUTS (land/labor/Capital) PRODUCTION CONTROL (Planning/Scheduling/Follow-up) OUTPUTS (Goods/Services/Ideas)

MODULAR LAYOUT

Teams of workers produce more complex units of the final.product

PRODUCTION MGMT

Term used to describe all the activities managers do to help their firms create goods.

PURCHASING

The function that searches for high-quality materials resources, finds the best suppliers and negotiates the best prices for goods and services

PROCESS MFG

The part of production that physically or chemically changes materials.

ASSEMBLY PROCESS

The part of the production process that puts together components.

ASSEMBLY LINE LAYOUT

Workers do only a few tasks at a time