Ch.8 Vocab

Make-to-Stock (MTS) -

means to manufacture products for stock based on demand forecasts. Push system

Line Flow Production (a.k.a., Mass Production)

For standardized products with a limited number of variations Product moves on an assembly line through various stages of production When one task is finished the next task must start immediately, therefore, time taken on each task must be the same

Continuous Flow Production

High capital investment - frequently dedicated to one specific product Involves a series of processes which raw materials flow through. These processes are very inflexible Generally highly automated, and workers act as monitors rather than as active participants

TCM includes:

Manufacturing and Procurement activities Inventory and Warehousing activities Transportation activities

Batch Production

Manufacturing of a small fixed quantity of an item in a single production run Each individual item in the batch goes through one stage of the production process before the whole batch moves on to the next stage

TCM is the complete cost of producing and delivering products to your customers

True

Six Sigma -

a disciplined, statistical-based, data-driven methodology for identifying and removing the causes of defects (errors) and minimizing variability in manufacturing and in business processes

Make-to-Order (MTO)

is a manufacturing strategy in which manufacturing starts only after a customer's order is received

Engineer-to-Order (ETO)

is a manufacturing strategy in which the product is designed, engineered, and built to the customer's specifications after receipt of the order.

Assemble-to-Order (ATO)

is a manufacturing strategy where products ordered by customers are produced quickly and are customizable to a certain extent

Manufacturing Management

is the management of all the processes which are involved in manufacturing

Operations management refers to

managing the process to convert resources into goods and services, in alignment with the company's business strategy as efficiently and effectively as possible, while also controlling costs

Manufacturing

to process or make raw materials or components into a finished product, especially by means of a large-scale industrial operation, i.e., mass production

Intermittent Processes -

used to produce a large variety of products with different processing requirements in lower volumes

Repetitive Processes -

used to produce one, or a few, standardized products in high volumes

The manufacturing strategy defines

what cycle time (i.e., lead time) the customer will experience for delivery