CHAPTER 8

Scheduling

the assignment of required tasks to departments or even specific machines, workers, or teams

Locate a facility involves the evaluation of many factors

- proximity to market - availability of raw materials, transportation, power, and labor - Climatic influences and community characteristics - Taxes and inducements

Facility layout

- the physical arrangement of resources (including people) in the production process - fixed-position, process, and product - Selection of a facility location is significant due to high costs involved.

Fabulous Fixtures manufactures custom lighting for its clients. Along with finished pieces, the company's warehouse houses tools, electrical components, glass and metal housings, and a wide array of decorative materials. All of these items are part of Fabulous Fixtures' ______.

inventory

Inspection

reveals whether a product meets quality standards

The -------------- integrates firms such as raw material suppliers, manufacturers, retailers to serve customers and generate a competitive advantage.

supply chain

A major function of operations is _____, which refers to connecting and integrating all parties or members of the distribution system in order to satisfy customers.

supply chain management

Operations

the activities and processes used in making both tangible and intangible products

production

the activities and processes used in making tangible products; also called manufacturing.

Manufacturing

the activities and processes used in making tangible products; also called production

Modular Design

the creation of an item in self-contained units, or modules, that can be combined or interchanged to create different products

Computer-assisted design (CAD)

the design of components, products, and processes on computers instead of on paper CAD software develop a 3D image-> printer use layers of liquid, power, paper, or metal to construct a 3D model

Operation Management

the development and administration of the activities involved in transforming resources into goods and services

Flexible manufacturing

the direction of machinery by computer to adapt to different versions of similar operations

Planning capacity

the maximum load that an organizational unit can carry or operate Ex: a worker, a department, a branch, or even an entire plant.

Quality control

the processes an organization uses o maintain its established quality standards

Transformation process

through which inputs (resources such as labor, money, material, and energy) are converted into outputs (good, services, and ideas)

To ensure the process generates quality products efficiently, operations managers control the process

by taking measurements (feedback) at various points in the transformation process and comparing them to previously established standards.

Julie just invested in a new, high-quality elevator for her apartment construction project. She chose an elevator that could carry a maximum load of 1,400 pounds per trip. This measurement refers to the elevator's ______.

capacity

Planning the Product

firstly determine what customers want and design a product to satisfy that want

For all organizations, the ultimate objective is

for the produced outputs to be worth more than the combine cost of the inputs

Total Quality Management

A philosophy that involves everyone in an organization in a continual effort to improve quality and achieve customer satisfaction.

Project organization

a company using a fixed-position layout because it is typically involved in large, complex projects such as construction or exploration.

ISO 19600

a comprehensive set of guidelines for compliance management that address risks, legal requirements, and stakeholder needs

Inventory

all raw materials, components, completed or partially completed products, and pieces of equipment a firm uses -finished-goods, work-in process, raw materials

continuous manufacturing organizations

companies that use continuously running assembly lines, creating products with many similar characteristics Ex: automobiles, television sets, vacuum cleaners, toothpaste, and meals from a cafeteria.

Sustainability

deals with conducting activities in such a way as to provide for the long-term well-being of the natural environment, including all biological entities.

Computer assisted manufacturing (CAM)

manufacturing that employs specialized computer systems to actually guide and control the transformation processes.

Most companies use _____ to determine which goods and services to provide and the features they need to possess.

marketing research

An automobile manufacturer

may rely on an assembly line( product layout) but may also use a process layout to manufacture parts

intermittent organization

organizations that deal with products of a lesser magnitude than do project organizations, their products are not necessarily unique but possess a significant number of differences Ex: Doctors, makers of custom-made cabinets, commercial printers, and advertising agencies.

product layout

production be broken down into relatively simple tasks assigned to workers, who are usually positioned along an assembly line.

ISO 9000 is designed, in part, to ______.

provide a framework for documenting how a business tests products and fixes defects

Trying to obtain quality items in the right quantities at the lowest possible cost is the aim of ______.

purchasing

Operations

represent an interest in viewing the operations function as a whole rather than simply as an analysis of inputs and outputs

Designing the Operations Processes

standardization, modular design, customization

Standardization

the making of identical, interchangeable components or products.

To obtain ISO 9000 certification, an independent _____ must verify that a business's factory, laboratory, or office meets quality standards.

auditor

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.

a competitive advantage

process layout

a layout that organizes the transformation process into departments that group related processes

Total quality management (TQM)

a philosophy that uniform commitment to quality in all areas of an organization will promote a culture that meets customers' perceptions of quality

ISO 9000

a series of quality assurance standards designed by the ISO to ensure consistent product quality under many conditions

When does routing take place for operations managers?

After materials have been purchased and their use determined

Facility location

the process of selecting a geographic location for a company's operations

Sampling

is likely to be used when inspection tests are destructive

Which term describes the act of buying of all materials needed by the organization?

Purchasing

Which term refers to a company deciding where to establish its operations?

Facility location

True or false: In a manufacturing process, capacity is always measured in outputs, never in inputs.

False

True or false: It is typical for an organization to only inspect work-in-process and finished items that the company produced. It is not typical to inspect purchased items.

False

True or false: Quality of life is never a reason for a facility location decision.

False

_____ for businesses was once primarily used as a cost-cutting tactic. It is now used, as well, to develop a competitive advantage for a company.

Outsourcing

____ reflects the degree to which a good or service meets the demands and requirements of customers.

Quality

_____ is the sequencing of operations through which a product must pass.

Routing

_____ is appropriate for an organization when it is infeasible to inspect every part manufactured by a company.

Sampling

computer-integrated manufacturing (CIM)

a complete system that designs products, manages machines and materials, and controls the operations function.

ISO 14000

a comprehensive set of environmental standards that encourages a cleaner and safer world by promoting a more uniform approach to environmental management and helping companies attain and measure improvements in their environmental performance

Blockchain

alter process throughout virtually every industry including supply chain, health care, and even online advertising.

Fixed-position layout

brings all resources required to create the product to a central location

In order to be a quality organization, a firm must _____.

consistently produce what the customer wants

Planning facilities

location, layout, technology

Customization

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

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.

outsouce

Sustainability issues

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