Operations Management Exam 2 (Ch. 5, 8, 9 & 11)
Servicescapes has three elements that must be considered. What are they?
-The ambient conditions -The spatial layout and functionality -The signs, symbols & artifacts
Using the assembly-line balancing procedure, which of the following is the required cycle time if the production time in minutes per day is 1,440 and the required output per day in units is 2000? -0.72 -1.388 -250 -500 -Cannot be determined from the information given
0.72 1,440/2000
If the best operating level of a piece of equipment is at a rate of 400 units per hour and the actual output during an hour is 300 units, which of the following is the capacity utilization rate? -0.75 -1.00 -1.33 -2.33 -300
0.75 300/400
You have just determined the actual number of workstations that will be used on an assembly line to be 8 using the assembly-line balancing procedure. The cycle time of the line is 10 minutes, and the sum of all that tasks required on the line is 60 minutes. Which of the following is the correct value for the resulting line's efficiency? -0.500 -0.650 -0.750 -0.850 -None of these
0.750 [60/(8 × 10)]
You have just determined the actual number of workstations that will be used on an assembly line to be 6 using the assembly-line balancing procedure. The cycle time of the line is 5 minutes, and the sum of all that tasks required on the line is 25 minutes. Which of the following is the correct value for the resulting line's efficiency? -0.500 -0.833 -0.973 -0.990 -None of these
0.833 [25/(6 × 5)]
What are the steps in balancing an assembly line?
1. Specify the sequential relationships among tasks using a precedence diagram 2. Determine the required workstation cycle time 3. Determine the theoretical minimum number of workstations required to satisfy the workstation cycle time constraint using the formula 4. Select a primary rule by which tasks are to be assigned to workstations and a secondary rule to break ties 5. Assign tasks, one at a time, to the first workstation until the sum of the task times is equal to the workstation cycle time or no other tasks are feasible because of time or sequence restrictions. 6. Evaluate the efficiency of the balance derived using the formula. 7. If efficiency is unsatisfactory, rebalance using a different decision rule.
How are capacity requirements determined?
1. Use forecasting techniques to predict sales for individual products within each product line. 2. Calculate equipment and labor requirements to meet product line forecasts. 3. Project labor and equipment availabilities over the planning horizon.
If the actual output of a piece of equipment during an hour is 500 units and its best operating level is at a rate of 400 units per hour, which of the following is the capacity utilization rate? -0.75 -1.00 -1.25 -1.33 -100
1.25 500/400
If the best operating level of a piece of equipment is at a rate of 400 units per hour and the actual output during an hour is 300 units, which of the following is the capacity cushion? -25 percent -100 units per hour -75 percent -125 percent -133 percent
100 units per hour capacity cushion is an amount of capacity in excess of expected demand
Using the assembly-line balancing procedure, which of the following is the theoretical minimum number of workstations if the task times for the six tasks that make up the job are 4, 6, 7, 2, 6, and 5 minutes, and the cycle time is 10 minutes? -3 -5 -6 -8 -None of these
3 (4 + 6 + 7 + 2 + 6 + 5)/10
A firm is using assembly line. They need to produce 500 units in 8 hour shift. What is the required cycle time? -480 -57.6 -4,000 -360 -None of the above
360 8 x 60 x 60/500
Using the assembly-line balancing procedure, which of the following is the theoretical minimum number of workstations if the task times for the eight tasks that make up the job are 7, 4, 7, 8, 9, 4, 3, and 6 minutes, and the cycle time is 8 minutes?
6 (7 + 4 + 7 + 8 + 9 + 4 + 3 + 6)/8
What is efficiency rate for an assembly line that has 25 works and cycle time of 45 seconds if each unit produced in 16 minutes to be completed? 56% 27% 64% 85% 36%
85% 16 x 60/25x45
Using the assembly-line balancing procedure, which of the following is the required cycle time in minutes per unit if the daily production time is 480 minutes and the required daily output is 50 units? -0.104 -50 -9.6 -480 -Cannot be determined from the information given
9.6 480 minutes/50 units
Which of the following is the most appropriate answer regarding a manufacturing cell layout? -allocates dissimilar machines into cells to produce product families (similar shapes and processing requirements). -Improves operator expertise -reduces cost -A, B and C -A and B only
A & B only Cellular layouts allocate dissimilar machines into cells to produce products with similar shapes and processing requirements. The overall objective (of a manufacturing cell layout) is to gain the benefits of product layout in job-shop kinds of production. These benefits include: Better human relations. Improved operator expertise. Less in-process inventory and material handling. Faster production setup.
Work station cycle time in an assembly line balancing problem, (choose the most appropriate answer from the choices below)? -will decrease as the required production per day increases, other things remaining the same. -will increase as the required production per day increases, other things remaining the same. -will decrease as the production time per day increases, other things remaining the same. -will increase as the production time per day increases, other things remaining the same. -A and D
A & D Cycle time decrease as the required production preproduction is needed, implies faster production and hence smaller cycle time. If oyu had more time per day, then we can take more time per unit, that is cycle time will increase. Hence, E.
What is the concept of focused factory?
A facility designed around a limited set of production objectives. Typically, the focus would relate to a specific product or product group. Should select a limited set of tasks that contribute the most to corporate objectives. Allows capacity to be focused on producing specific items.
What is a workcenter (job-shop or functional layout)?
A process structure suited for low-volume production of a great variety of nonstandard products. Sometimes are referred to as departments and are focused on a particular type of operation. Ex. Hospitals, where areas dedicated to particular types of medical care, such as maternity wards and intensive care units
What is a decision tree?
A schematic model of the sequence of steps in a problem and the conditions and consequences of each step Composed of decision nodes with branches extending to and from them with squares representing decision points and circles representing change events. Branches from decision points show the choices available to the decision maker; branches from chance events show the probabilities for their occurrence.
We would expect to see in a manufacturing cell layout which of the following? -Large teams who collectively do a small part of a finished product -A small team of workers who turn out complete units of work -More in-process inventory -Long production setup times -None of these
A small team of workers who turn out complete units of work The overall objective (of a manufacturing cell layout) is to gain the benefits of product layout in job-shop kinds of production. These benefits include: Better human relations. Improved operator expertise. Less in-process inventory and material handling. Faster production setup.
What is systematic layout planning (SLP)?
A technique for solving process layout problems when the use of numerical flow data between departments is not practical. The technique uses an activity relationship diagram that is adjusted by trial and error until a satisfactory adjacency pattern is obtained.
What is an important difference between capacity planning in services and capacity planning in manufacturing operations? -Time -Location -Demand volatility -Utilization affects service -All of these
All of these Although capacity planning in services is subject to many of the same issues as manufacturing capacity planning, and facility sizing can be done in much the same way, there are several important differences. Service capacity is more time and location dependent, it is subject to more volatile demand fluctuations, and utilization directly affects service quality.
What is plant within a plant (PWP)?
An area in a larger facility that is dedicated to a specific production objective (for example, product group). This can be used to operationalize the focused factory concept.
Which of the following basic types of production layout formats is one in which equipment or work processes are arranged according to the progressive steps by which the product is made? -Job-shop layout -Functional layout -Assembly line layout -Group technology layout -Process layout
Assembly line layout
Some of the suggestions for a good layout for manufacturing and back-office operations include which of the following? -Backtracking kept to a minimum -Plenty of interstage materials storage to avoid starving downstream workstations -Workstations separated so operators don't spend time socializing -Adequate waiting facilities -None of these
Backtracking kept to a minimum Marks of a good layout for manufacturing and back-office operations include: Straight-line flow pattern (or adaptation). Backtracking kept to a minimum. Production time predictable. Little interstage storage of materials. Open plant floors so everyone can see what is happening. Bottleneck operations under control. Workstations close together. Orderly handling and storage of materials. No unnecessary rehandling of materials. Easily adjustable to changing conditions.
Which of the following is not among the suggestions for a good layout for manufacturing and back-office operations? -Production time predictable -Straight-line flow pattern -Open plant floors so everyone can see what is happing -Brightly colored walls and good lighting -Workstations close together
Brightly colored walls and good lighting
What formula is used to determine the required workstation cycle time (C)?
C = production time per day/required output per day (in units)
In a decision tree problem involving capacity planning, there was a random outcome node with three random outcomes (A,B, and C) which followed a decision node. The probabilities for A, B and C: P(A)=0.4, P(B) = 0.6 and P(C) = 0.2. Payoff following A,B and C respectively are $10000, $5000 and $2000. Expected value of that random outcome node is:
Cannot be determined since there is something wrong with the data given. Since the probabilities of a random outcome node should add up to 1.0 and in this example , it adds up to 1.2, there is something wrong with the given problem data.
What is capacity planning in the long range?
Capacity planning that is greater than one year. Where productive resources (such as buildings, equipment, or facilities) take a long time to acquire or dispose of, long-range capacity planning requires top management participation and approval.
What is capacity planning in the short range?
Capacity planning that is less than one month. This is tied into the daily or weekly scheduling process and involves making adjustments to eliminate the variance between planned and actual output.
What is capacity planning in the intermediate range?
Capacity planning that is monthly or quarterly for the next 6 to 18 months. Capacity may be varied by such alternatives as hiring, layoffs, new tools, minor equipment purchases, and subcontracting.
How is capacity utilization rate calculated?
Capacity used/best operating level Expressed as a percentage and requires that the numerator and denominator be measured in the same units and time periods
Which of the following is not considered an input to the layout decision in facility layout analysis? -Cost per square foot of alternative facilities -Space requirements for the elements in the layout -Specification of objectives and corresponding criteria to be used to evaluate the design -estimates of product or service demand on the system -processing requirements in terms of the number of operations and the flow between elements in the layout
Cost per square foot of alternative facilities
Which of the following refers to the physical presence of the customer in a service system? -Creation of the service -Customer contact -Intermittent production -Continuous production -None of these
Customer Contact
Which of the following models uses a schematic model of the sequence of steps in a problem and the conditions and consequences of each step? -Probability indexing -Johnson's sequencing rule -Decision trees -Activity system maps -Decision mapping
Decision trees
Compared with a service operation, a manufacturing operation's capacity is which of the following? -More dependent on time and location -Subject to more volatile demand fluctuations -Utilization more directly impacts quality -Demand can be smoothed by inventory policies -More capable of reacting to demand fluctuations
Demand can be smoothed by inventory policies Service capacity is more time-and location-dependent (than manufacturing capacity); it is subject to more volatile demand fluctuations, and utilization directly affects service quality. Also, unlike goods, services cannot be stored for later use.
Which of the following is not a step in developing a manufacturing cell layout? -Grouping parts into families that follow a common sequence of steps -Identifying dominant flow patterns of parts families as a basis for location of processes -Physically grouping machines and processes into cells -Disposing of leftover machinery and outsourcing ungrouped processes -None of these
Disposing of leftover machinery and outsourcing ungrouped processes Shifting to a cellular layout entails three steps: Grouping parts into families that follow a common sequence of steps. Identifying dominant flow patterns of parts families as a basis for location of processes. Physically grouping machines and processes into cells.
What is an assembly line (flow-shop layout)?
Equipment or work processes are arranged according to the progressive steps by which the product is made Ex. Shoes, chemical plants, and car washes
What is strategic capacity planning?
Finding the overall capacity level of capital-intensive resources (facilities, equipment, and overall labor force size) to best support the firm's long-term strategy
Which of the following is not a step used in determining production capacity requirements? -Forecasting to predict product sales -Forecasting raw material usage -Projecting availability of labor -Calculating equipment and labor needs -Projecting equipment availability
Forecasting raw material usage In determining capacity requirements, we must address the demands for individual product lines, individual plant capabilities, and allocation of production throughout the plant network. Typically this is done according to the following steps: Use forecasting techniques to predict sales for individual products within each product line. Calculate equipment and labor requirements to meet product line forecasts. Project labor and equipment availabilities over the planning horizon.
What is a manufacturing cell?
Groups dissimilar machines to work on products that have similar shapes and processing requirements. Cells are designed to perform a specific set of processes (like workcenter), and cells are dedicated to a limited range of products (like an assembly line)
What is capacity flexibility?
Having the ability to rapidly increase or decrease production levels, or to shift production capacity quickly from one product or service to another. Plants, processes & workers
When deciding to add capacity to a factory, which of the following need not to be considered? -Maintaining system balance -The frequency of capacity additions -Use of external capacity -Immediate product demand -Availability of raw materials
Immediate Product Demand Many issues must be considered when adding or decreasing capacity. Three important ones are maintaining system balance, frequency of capacity additions or reductions, and the use of external capacity. In many cases, the size of a plant may be influenced by factors other than the internal equipment, labor, and other capital expenditures. A major factor may be the cost to transport raw materials.
Which of the following is an alternative possible service encounter included in the service-system design matrix? -Face to face distance -Internet -Questionnaire response -Automated teller (ATM) -Response card encounter
Internet
Some of the suggestions for a good layout for face-to-face services include which of the following? -Workstations close together -Lack of clutter -Orderly handling and storage of materials -No unnecessary rehandling of materials -None of these
Lack of clutter Marks of a good layout for face-to-face services include: Easily understood service flow pattern. Adequate waiting facilities. Easy communication with customers. Easily maintained customer surveillance. Clear exit and entry points with adequate checkout capabilities. Departments and processes arranged so that customers see only what you want them to see. Balance between waiting areas and service areas. Minimum walking and material movement. Lack of clutter. High sales volume per square foot of facility.
Capacity planning involving acquisition or disposal of fixed assets such as buildings, equipment or facilities is considered as which one of the following planning horizons? -Intermediate range -Long range -Short range -Current -Upcoming
Long range: greater than one year. Where productive resources (such as buildings, equipment, or facilities) take a long time to acquire or dispose of, long-range capacity planning requires top management participation and approval.
At a decision point in a decision tree, which machine would you select when trying to maximize payoff when the anticipated benefit of selecting machine A is $45,000, with a probability of 90%; the expected benefit of selecting machine B is $80,000, with a probability of 50%; and the expected benefit of selecting machine C is $60,000, with a probability of 75%? -Machine A -Machine B -Machine C -You would be indifferent between machines A and C -You would be indifferent between machines A and B
Machine C Machine A = 0.90 x 45,000 = 40,500 Machine B = 0.50 x $80,000 = $40,000 Machine C = 0.75 x 60,000 = $45,000
Which of the following are alternative possible service encounters included in the service-system design matrix? -Mail contact -Warranty -Sales call -Field service -None of these
Mail contact
Which of the following is a basic type of production layout format? -Process flow diagram -Workcell center -Systematic plan -Simo charts -Manufacturing cell
Manufacturing cell The formats by which departments are arranged in a facility are defined by the general pattern of work flow; there are three basic types (workcenter, assembly line, and project layout) and one hybrid type (manufacturing cell)
Which company is mentioned as *pioneer* of production line? -Ritz Carlton Hotel -McDonald's -Insurance company -Southwest Airlines -Banking system
McDonald's
What is capacity utilization rate?
Measures how close the firm's current output rate is to its best operating level (percent)
What is the formula to determine the theoretical minimum number of workstations required to satisfy the workstation cycle time constraint?
N = sum of task times (T)/cycle time (C)
Precise capacity design or therate of service utilization (ρ), is application specific. -It could be close to 100% for a sports arena. -it could be as low as 0.5 for hospital emergency room. -As the degree of uncertainty in demand increases, higher ρ may be appropriate. -A, B, and C are correct. -Only A and B are correct.
Only A and B are correct
What is spacial layout and functionality in servicescapes?
Planning the circulation path of the customers and grouping the merchandise
The capacity focus concept can be put into practice through a mechanism called which of the following? -Best operating level (BOL) -Plant within a plant (PWP) -Total quality management (TQM) -Capacity utilization rate (CUR) -Zero changeover time (ZXT)
Plant within a plant (PWP)
Which of the following is not a basic type of production layout? -Workcenter -Process layout -Manufacturing cell layout -Project layout -Assembly line
Process layout
The way to build in greater flexibility in your workers is to do which of the following? -Pay higher wages to motivate a willingness to do a variety of tasks -Provide a broader range of training -Provide a wide variety of technology to augment workers skills -Institute a "pay for skills" program -Use part-time employees with specialized skills as needed
Provide a broader range of training. Flexible workers have multiple skills and the ability to switch easily from one kind of task to another. They require broader training than specialized workers.
Which of the following is not a benefit of a manufacturing cell layout? -Better human relations -Improved operator expertise -Less in-process inventory and material handling -Faster production setup -Reduced cost
Reduced cost The overall objective (of a manufacturing cell layout) is to gain the benefits of product layout in job-shop kinds of production. These benefits include: Better human relations. Improved operator expertise. Less in-process inventory and material handling. Faster production setup.
Which of the following is not part of "the service triangle"? -Employees -Support systems -Customers -Service strategy -Service encounter
Service encounter
Which one of the following is not a major factor distinguishing service design and development from manufacturing design and development? -The process and product must be developed at the same time -Many service organizations can change their service offerings virtually overnight -Many parts of the service package are often defined by the training that individuals receive before they become part of the service organization. -The service package, rather than a definable good, is the output of the development process. -Service operations can be protected by patents; manufacturing operations cannot
Service operations can be protected by patents; manufacturing operations cannot
Which one of the following is not a major factor distinguishing service design and development from manufacturing design and development? -The process and product must be developed at the same time. -Many service organizations can change their service offerings virtually overnight. -Many parts of the service package are often defined by the training that individuals receive before they become part of the service organization. -The service package, rather than a definable good, is the output of the development process. -Service operations can be protected by patents; manufacturing operations cannot.
Service operations can be protected by patents; manufacturing operations cannot.
Which of the following is a characteristic that can be used to guide the design of service systems? -Services cannot be inventoried. -Services are all similar. -Quality work means quality service. -Services businesses are inherently entrepreneurial. -Even service businesses have internal services.
Services cannot be inventoried In designing service organizations, we must remember one distinctive characteristic of services: We cannot inventory services.
Capacity planning involving consideration of production scheduling and inventory position is characterized by which one of the following time durations? -Intermediate range -Long range -Short range -Current -Upcoming
Short range Tied into the daily or weekly scheduling process and involves making adjustments to eliminate the variance between planned and actual output
When balancing an assembly line, which of the following is not a way to reduce the longest task time below the required workstation cycle time? -Upgrade the equipment -Assign a roaming helper to support the line -Split the task between two workstations -Speed up the assembly line transfer mechanism -Use a more skilled worker
Speed up the assembly line transfer mechanism There are several ways that we may be able to accommodate a 40-second task in a 36-second cycle. Possibilities are: Split the task. Share the task. Use parallel workstations. Use a more skilled worker. Work overtime. Redesign. Other possibilities to reduce the task time include an equipment upgrade, a roaming helper to support the line, a change of materials, and multiskilled workers to operate the line as a team rather than as independent workers.
Which of the following production process terms describes a situation when activity is in one stage of the production must stop because there is no work?
Starving
What formula do you use to evaluate the efficiency of the balance derived?
Sum of task times (T)/actual number of workstations (N) x Workstation cycle time (C)
What is the basic notion of economies of scale?
The idea that as the plant gets larger and the volume increases, the average cost per unit drops. At some point, the plant gets too large and cost per unit increases.
What is best operating level?
The level of capacity for which the process was designed and the volume of output at which average unit cost is minimized. Determining this minimum is difficult because it involves a complex trade-off between the allocation of fixed overhead costs and the cost of overtime, equipment wear, defect rates & other costs
What is capacity?
The output that a system is capable of achieving over a period of time Implies an attainable rate of output, but says nothing about how long that rate can be sustained
The term "servicescape" refers to which of the following? -The schematic diagram of the service flows of material, information, and customers -The emergency exit plan from a service facility -The physical surroundings in which the service takes place -The network of government rules regulating the service -The broadest concept of the service business
The physical surroundings in which the service takes place
What is servicescapes?
The physical surroundings in which the service takes place and how these surroundings affect customers and employees. An understanding of this is necessary to create a good layout for the service firm (or the service-related portions of the manufacturing firm)
What is assembly-line balancing?
The problem of assigning tasks to a series of workstations so that the required cycle time is met and idle time is minimized.
What is the precedence relationship?
The required order in which tasks must be performed in an assembly process.
Which of the following is a major factor that distinguishes service design and development from manufacturing design and development? -The service process and service product can be developed independently. -The service package has the same legal protection available to manufactured goods. -The service package is the major output of the development process. -Manufacturing is far more capital intensive than services. -Capacity decisions are much more critical in manufacturing operations.
The service package is the major output of the development process. The service package, rather than a definable good, constitutes the major output of the development process.
According to Little's Law, which of the following can be used to estimate inventory? -Process time over cycle time -Process time over flow time -Through put rate multiplied by flow time -Sit up time over through put rate
Through put rate multiplied by flow time = inventory
What is the objective of a retail service layout (as is found in stores, banks & restaurants)?
To maximize net profit per square foot of store space
What is the concept of economies of scope?
When multiple products can be produced at lower cost in combination than they can be separately
Which of the following basic types of production layout formats is one that has similar equipment or functions are grouped together? -Production line layout -Assembly line layout -Workcenter layout -Group technology layout -Manufacturing cell layout
Workcenter layout
Using the assembly-line balancing procedures for any assembly line balancing problem, comparing the theoretical number of work stations (call it X) and the actual number of work stations required using shortest processing time first rule (call it Y), which of the following is most appropriate? -X is always less than Y -X is sometimes more than Y -X is never less than Y -X is sometimes less than Y and sometimes more than Y -X is always less than or equal to Y.
X is always less than or equal to Y Theoretical number of work stations is always less than or equal to actual number of stations.
In designing a general service facility, capacity should be such that the target rate of service utilization (ρ), in order to get the best general purpose design, should be -less than 0.6 (or 60%) so that your system would be within the zone of service with maximum possible utilization within that -more than 0.6 (or 60%) so that your system would have a good utilization -(about 0.7 (70%) so that your system would be in the zone of service with maximum possible utilization within that. -more than 1.0 (100%) so that the servers are fully utilized, even if the customers had to wait a little -between 0.9 (90%) and 1.0 (100%) so that the utilization of the system is ideal
about 0.7 (70%) so that your system would be in the zone of service with maximum possible utilization within that. Above 0.7, congestion builds up. Above 1.0 there will be infinite queue. 0.6 or less may be less than ideal.
What are ambient conditions in servicescapes?
background characteristics such as noise level, music, lighting, temperature, and scent that can affect employee performance and morale as well as customers' perceptions of the service, how long they stay, and how much money they spend Areas near food preparation will smell like food, lightning in a hallway outside a theater must be dim, tables near a stage will be noisy, and locations near an entrance will be drafty
What is capacity cushion?
capacity in excess of expected demand
The ability to rapidly and inexpensively switch production from one product to another enables what are sometimes referred to as: -Economies of scale -Economies of size -Economies of shape -Economies of scope -Economies of shipping
economies of scope
Capacity planning that involves hiring, layoffs, some new tooling, minor equipment purchases, and subcontracting is considered as which one of the following planning horizons? -Intermediate range -Long range -Short range -Current -Upcoming
intermediate range: monthly or quarterly plans for the next 6 to 18 months. Here, capacity may be varied by such alternatives as hiring, layoffs, new tools, minor equipment purchases, and subcontracting.
In the design of retail service layouts, the term "ambient conditions" could refer to which of the following? -Signs -Symbols -Artifacts -Lighting -Speed of service
lighting
In the service-system design matrix, a face-to-face total customization service encounter is expected to have which of the following? -Low sales opportunity -Low production efficiency -High production efficiency -Low degree of customer/server contact -None of these
low production efficiency
These three important issues must be considered when adding or decreasing capacity
maintaining system balance, frequency of capacity additions or reductions, and use of external capacity
When the firm's capacity is less than the capacity required to meet its demand, it is said to have a __________________________.
negative capacity cushion
Dell Computer using a Chinese company to assemble its notebook computers is an example of __________________.
outsourcing
Decision trees need ___________________ & ________________ to reach a solution.
profitabilities and payoffs
Two domestic airlines flying different routes with different seasonal demands exchanging aircraft (suitably repainted) when one's routes are heavily used and the other's are not is an example of ________________________.
sharing capacity
In the design of retail service layouts, the term "ambient conditions" does not refer to which of the following? -Noise level -Music -Lighting -Scent -Staffing
staffing
In the design of retail service layouts, the term "ambient conditions" could refer to which of the following? -Temperature -How much money a customer spends -How long the customer stays -Employee morale -Customers' perceptions of the service
temperature The term "ambient conditions" refers to background characteristics such as the noise level, music, lighting, temperature, and scent that can affect employee performance and morale as well as customers' perceptions of the service, how long they stay, and how much money they spend.
What is the service rate?
the average number of customers can be processed over the same period of time when the facility is operating at maximum capacity
What is the arrival rate?
the average number of customers that come to a facility during a specific period in time
What is a workstation cycle time?
the most common assembly line which is a moving conveyor that passes a series of workstations in a uniform time interval. At each workstation, work is performed on a product either by adding parts or by completing assembly operations. The work performed at each station is made up of many bits of work (tasks). also the time between successive units coming off the end of an assembly line
What is group technology?
the parts classification and coding system used to specify machine types that go into a cell
What are signs, symbols, and artifacts in servicescapes?
the parts of the service that have social significance. These are often a characteristic of the design of the building, although the orientation, location, and size of many objects and areas can carry special meaning
What is a project layout?
the product (by virtue of its bulk or weight) remains at one location. Manufacturing equipment is moved to the product rather than vice versa Ex: construction sites & movie lots
Types of costs to consider when adding capacity
upgrading too frequently and upgrading too infrequently
