Intro to Business Chapter 9
operations management
applies many of the same techniques used in manufacturing companies to service
quality
consistently producing what the customer wants while reducing errors before and after delivery
production
creation of finished goods and services using the factors of production
ISO 14000 series
environmental management
quality control
focuses on inspecting output for errors and either fixing or scrapping the faulty output. the weakness with this approach is it does not improve quality
facility layout
focuses on the physical arrangement of resources including people to most efficiently produce goods and provide services
malcom baldrige national quality award
initiated in 1987 to motivate service and manufacturing companies in the US to focus on impairing the quality of products and services
The production process
inputs to production control to output
International organization of standardization (ISO)
is a nongovernmental organization established in 1947 to promote the development of world standards to facilitate the international exchange of goods and services
production process inputs
land labor capital entrepreneurship knowledge
JIT inventory control
production process in which a minimum of inventory is kept on the premises and parts supplies and other needs are delivered just in time to go on the assembly line
customer relationship management
provides a model for managing a companies interactions with current and future customers
ISO 9000 series
quality management
statistical process control
tests statistical samples of output at each stage of production process and looks for variations from quality standards
production management
the management activities that hemp firms create goods