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