SCMT 364

the best operating point is near ____ of maximum capacity

70%

a parallel approach can reduce flow time by as much as ____ and produces _____

80% ; a better result

___ of time is required to serve a customer is spent just waiting, so eliminating wait time can improve the performance of the process

90%

inventory turnover =

Inventory Turnover = COGS / Avg. Inventory

means the firm is obtained to compensate shareholders who provide capital through stock purchases and other financial instruments via a competitive return on investment

economic prosperity

idea that the plant gets larger and volume increases, the average costs per unit of output drops

economies of scale

exists when multiple products can be combined and produced at one facility at a lower cost than they can be produced separately

economies of scope

doing the right things to create the most value for the company

effectiveness

means doing something at the lowest possible cost

efficiency

ratio of the actual output of a process relative to some standard ; also can be used to measure the loss or gain in a process

efficiency

1990's - 2000's; use of internet as an essential element of business activity

electronic commerce

indirect method; sums times from a database of similar combinations of movements to arrive at job time

elemental data

when works done in conjunction with fixed processing time equipment , ____ is used to reduce need of direct observation

elemental data

____ survey range from employee satisfaction surveys to suggestion surveys

employee survey

the firm works with the customer to design the product, which is then made from purchased materials, parts, and components

engineer to order

the need for engineering resources in _____ cases determines what materials will be required and what steps will be required in manufacturing

engineer to order

related to the criteria such as carbon dioxide emissions, use of non-renewable resources or other factors that relate to sustainability

environmental impact

firm impact on the environment; should cause no harm

environmental stewardship

in a perfectly balanced plant, the 3 production stages would provide the :

exact output needed for the following stage

the expected outcome multiplied the probability of its occurrence

expected value

overdesigned products are too _____ and under designed products have too little ____

expensive; value

common consulting portfolio of specialties in service include:

financial services, health care, transportation, hospitality

partners or senior consultants whose primary function is sales and client relations

finders

3 categories are referred to as the :

finders, minders, and grinders

(cause and effect diagram) are a great way to organize one's first cut at a consulting problem

fishbone diagram

a set up in which an item is produced through a fixed sequence of work stations, designed to achieve a specific production rate ; examples: assembly of toys or cars

assembly line

highly standardized product produced at high volumes should be produced as

assembly line or continuous process

____ are used in high volume items where specialized processes can be justified

assembly lines

amount of sales generated for every dollars worth of assets

asset turnover

measures a firms efficiency at using its assets in generating sales revenue - the higher the number the better

asset turnover

asset turnover =

asset turnover = revenue (sales) / total assets

use embedded floor wires to direct driver less vehicles to various location in the plant

automated guided vehicle (AGV) systems

simply computer based information systems that help plan, schedule, and monitor a manufacturing operation

automated manufacturing planning and control systems (MP and CS)

improves efficiency of transportation, storage, and retrieval of materials ; example : computerized conveyors

automated materials handling (AMH) system

any expenses that are not incurred if an investment is made but that must be incurred if the investment is not made

avoidable costs

_____ are used to structure or map the key problems to be investigated and provide a working initial hypothesis as to the likely solution to the problems

fishbone diagram

_____ starts with a general problem and goes level by level until potential sources of the problem are identified and project plan is then specified

fishbone diagram

the five forces are buyer power, potential entrants, raw material suppliers, substitutive products, and industry rivals ; consultant applies model by developing a list of factors that fit under each of these headings

five force models

any expense that remains constant regardless of level of output

fixed cost

the ability of a company to offer wide variety of products to its customers

flexibility

______ processes are epitomized by flexible manufacturing system and easily set up equipment which permits rapid low cost switching of one product to another enabling economics of scope

flexible

internal consulting arms are common in _______ and are often affiliated with planning departments

large companies

time needed to respond to a customer order

lead time

1980's ; used to refer to the set of concepts JIT and TQC

lean manufacturing

To achieve high customer service with minimum levels of inventory investment

lean manufacturing

small consulting firms generate _____ in revenue and do specialize

less than $1 million

process is operating in "_____" meaning that over a long enough period of time, the amount that is produced by the factory is equal to the amount shipped to customers

"steady state"

cost of common stock

( dividend per shape / value per shape) + growth rate of dividends

long term debt yield to maturity

( nominal interest + (discount or premium/ years) / ( issue price + maturity value / 2))

zone of service= ____ critical zone = ____ nonservice = _____ equation to solve :

-0 to 70% -70% to 100% -above 100% = arrival rate / service rate

____ is used to assess the client's performance relative to the expectations of its customers or relative to the performance of its competitors

GAP analysis

_____ is another form of survey; its benchmarking particular client company processes against exemplars in the process and measuring the differences

GAP analysis

_____ tradeoff, of cost of inventory and level of customer service , can be improved by estimates of customer demand by more rapid transportation alternatives by speedier production and flexible manufacturing

make to stock

a production environment where the customer is served on demand from finished goods inventory

make to stock

a production environment where the customer is served on-demand from finished goods inventory

make to stock

focus of _____ environment is on providing finished goods where and when the customer wants them

make to stock

issue in satisfying customers in the _____ environment is to balance the level of finished inventory against the level of service to the customer

make to stock

another way to characterize a process is whether the process is _____ or _____

make to stock or make to order

total factor measure of productivity =

outputs / inputs goods and services produced / all resources used

2 common strategies used by organizations when using external sources of operations and supply capacity is :

outsourcing and sharing capacity

a final method of categorizing a process is by whether it is _____

paced or non paced

movement of items through a process is coordinated through a timing mechanisms

pacing

in assembly lines there is usually some form of ___

pacing by which the amount of time allowed at each station is managed

often, activities, stages, and even entire processes are operated in ___

parallel

is applied to inventory management under the heading of ABC analysis

pareto analysis

because consulting firms are engaged in multiple projects at once, the percentage of billable employee hours assigned to all projects, the target utilization will be _____

less than 100%

the purpose of the analysis is critical to setting the _____ in modeling the process

level of details

states a mathematical relationship between throughput rate, flow time and the amount of work in process inventory ; the relationship is: inventory = throughput rate* flow time

littles law

______ capacity involves purchases of highly capital intensive items like buildings, equipment and other assets

long range

greater than one year; require top management participation and approval ; example: productive resources, like buildings

long range

a ____ inventory turnover ratio is a signal of inefficiency because inventory ties up capital that could be used for other purposes - implies poor sales or excessive inventory relative to sales

low

____ standardization, low product volume -> project, work center, manufacturing cell, assembly line, continuous process -> ___standardization , high product volume

low ; high

in every industry, there is usually a segment of the market that buys solely on the basis of ____

low costs

a _____ can indicate poor liquidity, possible overstocking, and obsolescence, but may reflected planned inventory build up in the case of material shortages or in anticipation of rising prices

low inventory turnover ratio

optimal utilization rates - ______ are appropriate when there is a degree of uncertainty and stakes are high

low rates

practices that deal with more procedural, low risk work will be inefficient if they do not have a ______ because high priced staff should not be doing low risk tasks

lower ratio of partners to juniors

investment decisions are made with regard to the ____

lowest acceptable rate of investment

____ captures the flavor of how well an organization is performing according to the 3 critical market measures: customer retention, share of wallet, and price sensitivity relative to competitors

loyalty

examples of major types of hardware technologies are numerically controlled:

machine tools, machining centers, industrial robots, automated materials, handling systems and flexible manufacturing systems

____ focuses on analyzing a manufacturing operation should be the identification of activities that can be minimized or eliminated, such as movement and storage within the process

process flowchart

denotes what happens to the product as it progresses through the productive facility

process flowchart

analyzing a process in a diagram showing the basic elements of a process - tasks, flows, and storage areas

process flowcharts

represent an increased level of automation and complexity relative to NC machines; provides automatic control of machine and carry many tools that can be automatically changed depending on the tool required for each operation

machining centers

a production environment where the product is build directly from raw materials and components in response to a specific customer order

make to order

a production environment where the product is built directly from raw materials and components in response to a specific customer order

make to order

response time is slow and inventory is kept to a minimum

make to order

services, by nature, usually use _____ processes

make to order

___ and ___ environments, the customer order decoupling point could be in either raw material at manufacturing site or possibly even the supplier inventory

make to order and engineer to order

in _____& ___ environments is more toward managing capacity of critical resources such as engineering and construction crews

make to order and engineer to order

____ examples : TV, clothing, packaged food

make to stock

____ has a speedy delivery time and when demand is seasonal

make to stock

in ____,the focus is on employing analytical tools and methods to help operating managers enhance performance of their department

process improvement

______ gives the operation managers a guage on how productivity a process is currently operating and how productivity is changing over time

process performance metrics

____ goal is to produce defect free products and services

process quality

relates directly to the reliability of the product or service ; want products without defects

process quality

strategic decision of selecting what kind of production processes to use to produce a product or provide a service

process selection

the ratio of the value added time to the flow

process velocity ( throughput rate)

operations and supply chain _____ can be categorized particularly from the view of a producer of consumer products and services as planning, sourcing, making, delivering, and returning

processes

technology evaluations, process improvement, and reengineering

processes

understanding how _____ work is essential to ensuring the competitiveness of the company

processes

real capacity depends on what is to be ____

produced

a company building service activities into its product offerings for its customers

product - service bundling

_____ - horizontal dimensions relates to the volume of a particular products or groups of standardized products

product process matrix

a frame work depicting when the different production process types are typically used, depending on product volume and how standardized the product is

product process matrix

high level map of process which can be useful to understand how materials flow and where inventory is held

production process mapping

____ improvements occur because contains a mix of tasks ; not as big of an improvement as quality

productivity

a measure of how well resources are used . Goldratts definition : all actions that bring a company closer to its goal

productivity

common measure of how well a country industry, or business unit is using its resources or factors of production

productivity

productivity =

productivity = outputs / inputs

since operations and supply chain management focus on making the best use of the resources available to a firm ________ is fundamental to understanding operation - related performance

productivity measurement

______ for things with rigid sequences, assembly is from ground up

project layout

a set up in which the product remains at one location and the equipment is moved to the product; example: construction site

project layout

in ____, a high degree of task ordering is common

project layout

consulting firm uses CMT/PERT and Gantt charts to plan and monitor the entire portfolio of consulting engagements of the firm, as well as individual consulting projects

project management techniques

the format by which a facility is arranged is defined by the general pattern of workflow, 5 structures :

project, work center, manufacturing cell, assembly line, and continuous process

____ need little in the way of facilitating goods but what they do use are critical to their performance

pure services

_____ improves because individuals are responsible for their own work output and take ownership of it and do it better and have broader understanding of work process so more likely to catch errors and make corrections rather than when job is narrow

quality

mid 1980's ; pioneered by McDonald's has been so successful that it stands as a reference point in thinking about how to deliver high volume standardized services

quality and productivity

organization benefits of job enrichment occur in both ____

quality and productivity

there is a trade off where _____ response to customer demand comes at the expense of greater inventory investment because finished goods inventory is more expensive than raw material inventory

quicker

workers who find a better way of doing the job get penalized by having a revised rate set

rate cutting

measures the number of times receivables are collected on average, during the fiscal year

receivable turnover

receivable turnover =

receivable turnover = annual credit sales / average accounts receivable

measures a companies efficiency in collecting it sales on credit

receivable turnover ratio

productivity increases during ______

recessions and technological advances

occurs when a company seeks to match the competitive dimensions of a competitor while maintaining its existing position; adding new features, services, or technologies into activities it already performs

straddling

if a process can be _____, it ,ay be possible to perform all of one step before the next step, eliminating the back and form

steamlined

projects impact in some way each of five types of stakeholders: customers, stockholders, employees, supplier, and community

stockholders anaylsis

1st step in process analysis is to clearly define ____

the purpose of the analysis

The output rate that the process is expected to produce over a period of time

throughput rate

______ of the process is equal to the average demand and the process is not producing any excess or shortages

throughput rate

when job boils down to doing the work quickly with little need for creativity, _____ are appropriate

tightly engineered, professional set standards

critical processes are subject to the well known rule that ____

time is money

direct methods uses a stop watch to time the work

time study

highly detailed, repetitive work usually calls for ______

time study and predetermined motion - time data analysis

4 basic techniques for measuring work and setting standards, 2 direct methods : ______ and 2 indirect methods: ____

time study and work sampling ; predetermined motion time data systems (PMTs) and elemental data

the total average investment in raw materials, WIP, and finished goods inventory

total average value of inventory

to make the firms operations activities efficient, the firm must minimize its _____ without compromising ____

total cost ; customer needs

ratio of all outputs to all inputs; used for measure of productivity of an entire organization or a nation

total factor measure of productivity

such highly automated and integrated manufacturing goes under the name ____

total factory automation and factory of the future

1980's ; aggressively seeked to eliminate causes of production defects

total quality control (TQC)

late 1980's and 90's ; helping this movement was Baldrige National Quality Award, started in 1987 under the direction of the National Institute of standards and technology; Baldrige Award recognizes companies for outstanding quality management

total quality management (TQM)

occurs when activities are incompatible so that more of one thing necessitates less of another

tradeoffs

activity based costing is referred to as _____ because it improves traceability of OH costs and results in more accurate cost data

transaction costing

2000's ; have to consider mandates related to on going economic employee, and environmental viability of the firm

triple bottom line

considers evaluating the firm against social, economic, and environmental criteria ; with sustainability added into each dimension

triple bottom line

the lowest acceptable rate of return may be considered to be the cost of investment capital needed to

underwrite the expenditures

achieving a perfect balanced plant is _______ because operating levels for each stage differ and variability in product demand and processes themselves lead to imbalance

undesirable

the most common method for improving efficiency is the use of _____ to each consulting jobs

uniform approaches

littles law is a relationship between _____

units and time

risk: regulatory risk (licensing) risk mitigation strategy :

up front research, good legal advice, compliance

risk: supplier failures risk mitigation strategy :

use multiple suppliers

is the ratio of the time that a resource is actually being used relative to the time it is available for use

utilization

most common process metric is ____

utilization

the ratio of the time that a resource is actually activated relative to the time that it is available for use

utilization

quality divided by price

value

assuming all activities in the process are value added activities, ______ should be the sum of the activity operation times in the process

value added time

the time in which useful work is actually being done of the unit

value added time

expenses that fluctuate directly with changes in level of output

variable costs

_____ job enrichment attempts to broaden workers influence in the transformation process by giving them certain managerial powers over their own activities

vertical

materials in a process have 2 states:

when the material is moving ( in transit) or sitting, waiting to be used (buffer)

work flow software provides 4 basic functions:

work assignment and routing, scheduling, work list management and automatic status, and process metrics

most common approach to developing a _____ is to optimize movement of materials ; Ex: drilling holes and grinding ground and painted area

work center

if we produce non standard products at relatively low volumes, then ____ should be used

work centers

the management consulting industry can be catagorized in 3 ways:

1. by size 2. by specialization 3. buy in house and external consultants

productivity comparison can be made in 2 ways:

1. compare itself to similar operations within its industry 2. measure productivity over time within same operation

3 step risk management process :

1. identity sources of potential disruptions 2. access potential impact of risk (quantity risk) 3. develop plans to mitigate the risk

flow time can be changed in 3 ways:

1. perform activities in parallel 2. change the sequence of activities 3. reduce interruptions

investment decisions can be grouped into 6 categories:

1. purchase of new equipment or facility 2. replacement of existing equipment or facilities 3. make or buy decisions 4.lease or buy decisions 5. temporary shutdowns or plant abandonment decisions 6. addition or elimination of a product or product line

the volatility of demand on a service delivery system is much higher than that on a manufacturing production system for 3 reasons:

1. services can not be stored 2. customers interact directly with the production system - requiring a number of things, for different customers 3. it directly affected by consumer behavior

market leadership can be attained in 3 ways:

1. through product leadership 2. operational excellence 3. customer intimacy

can address demands for capacity by :

1. use forecasting techniques to predict sales for individual products 2. calculate equipment and labor requirements to meet forecasts 3. project labor and equipment availabilities over planning horizon

throughput rate =

= 1 / cycle time

total number of combinations

= N1 x N2 x N3

efficiency =

= actual output / standard output

cycle time =

= average time between completions of units

flow time =

= average time for a unit to move through a system

cost of short term debt

= interest paid / proceeds received

productivity =

= output/input

operation time

= setup time + run time

Utilization =

= time activated / time available

velocity =

= value added time / flow time

in excel : =PV(rate, nper, pmt) = ____ =FV ( rate, nper, pmt) = ____ =NPV (rate, value 1, value 2) = ____ =IRR (value)= _____

=present value =future value based on periodic constant payments and constant interest rate =net present value based on periodic cash flows and discount flows =internal rate of return for series of cash flows

is the standard starting point of production control consultants when examining inventory management problems

ABC analytics

a main goal of OSCM career is becoming the ______ who works with the CEO and company president to determine the companies competitive strategy. ______ determine an organizational location, its facilitates which vendors to use, the implementation of the hiring policy, manage the supply chain service

Chief Operating Officer (COO) ; COO

CAD covers ____ to examine visual characteristics of a product and _____ to evaluate engineering characteristics

Computer graphics ; computer aided engineering (CAE)

____ a comprehensive computer control system is used to run the entire system

FMS

1980's ; pioneered by Japanese and is an integrated set of activities designed to achieve high volume production using minimal inventories of parts that arrive exactly when they are needed

Just in time (JIT)

good process flowcharts are made in ______

Microsoft office programs

3 problems currently facing _____ : 1. uncertainty in global tariffs and regulations 2. difficulty hiring and keeping employees 3. adapting to change in business technology and infrastructure

OSCM

specialize in managing the planning, production, and distribution of goods and services

OSCM careers

_____ are called in to address problems identified by customer surveys performed by marketing consultants or marketing staff

OSCM consultants

on the buying side hands - on working with people and figuring out the best way to do things

OSCM jobs

tool similar to the five forces model is _____ strengths, weaknesses, opportunities, and threats

SWOT analysis

uses information presented in the assembly drawing and defines how parts go together, their order of assembly and the overall material flow pattern

assembly chart

an exploded view of the product showing its components parts

assembly drawings

the activities in the stage must stop because there is no place to deposit the item just completed

blocking

most common production management tools used in planning and designing the process flow to improve operations during the steady state of production system are ____

assembly drawings, assembly charts, and route sheets and flow processes charts

some risks may be deemed ______ and the related costs considered a normal cost of doing business

acceptable

represents the indirect interest free loans that a company is providing its clients

accounts receivables

a competitive advantage comes from the way the firms _____ fits with and reinforce one another

activities

overhead allocation process more directly related to actual proportions of overhead consumed by production activity

activity based costing

is usefule in understanding how good the fit is between the system of activities and the companies strategy

activity system map

show how a company's strategy is delivered through a set of tailored activities

activity system maps

feedback control loops, determine the position of the machine tooling during the work, constantly compare the actual location with the programmed location and correct as needed

adaptive control

when process is operating at capacity, the only way to take on more jobs without increasing the wait time is by

adding more capacity

the process of ______ of productivity measures provides a means of shifting the level of analysis to suit a variety of productivity measurement and improvement needs

aggregation and disaggregation

finished goods inventory contains all ___

all raw materials needed to produce the item; cost of materials plus cost to fabricate the finished item

allocation of cost over the useful life of intangible assets such as patents

amortization

receipt of a constant sum each year for a specified number of years

annuity

refers to the average number of customers that come to a facility during a specific time period

arrival rate

____ companies have applied lean manufacturing principles to decrease time required to assemble finished goods so they appear to be make to stock firms

assemble to order

____, primary task is to define a customers order in terms of alternative components and options, since its these components carried in the inventory

assemble to order

a production environment where preassembled components, subassemblies, and modules are put together in response to a specific customer order

assemble to order

one capability required for success in the _____ environment is an engineering design that enables as much flexibility as possible in combining components, options, and modules to finished products

assemble to order

when _____ there are significant advantages from moving customer order decoupling point from finished goods to components because finished products goods is greater than the number of components combined to produce finished products

assembling to order

process in which one company studies the processes of another company ( or industry) to identify best practices

benchmarking

when a process is designed in where 2 stages are directly linked, the most common problems are ____

blocking and starving

cost reduction (labor cost, material cost, inventory costs, quality costs, maintenance costs) and other benefits (increased product variety, improved product features, shorter cycle times and greater product output)

benefits of technology investments

level of capacity for which the process was designed and thus the volume of output at which average unit cost is minimized

best operating level

as a rule, the fewer the moves, delays, and storages in process, the ___

better the flow

you work ___ on the decision tree and calculate expected values at each step and eliminate branches except the ones with the highest payoffs

backwards

reflect the particular needs of each stakeholder group in performance measurement system; accountants developed

balanced scorecard

comparing the metrics of one company to another

benchmarking

a resources that limits the capacity or maximum output of the process

bottleneck

consultant has to specify how available capacity is related to required capacity for some product or service in order to identify and eliminate the bottle neck

bottleneck analysis

critical processes often depend on specific limited resources resulting in _____

bottlenecks

_____ from decision points show the choices available to the decision maker and branches from chance events show their probability's for occurrence

branches

a standard approach is choosing among alternative processes or equipment is ___

break even analysis

the _____ method is most suitable when processes and equipment entail a large initial investment and fixed cost and when variable costs are reasonably proportional to the number of units produced

break even analysis

_____ visually present alternative profits and losses due to the number of units produced or sold and the choice depends on anticipated demand

break even chart

a storage area between stages where the output of a stage is placed prior to being used in a downstream stage

buffer

inventory acts as a _____ to separate the customer from the manufacturing process

buffer

2010's ; involves analysis of data to better solve business problems

business analytics

advertising, education, arts and entertainment

business directed at peoples minds

freight transport, laundry, environmental landscaping

business directed at physical products

insurance, legal services, banking

business directed at risk and money management

1990's ; approach seeks to make revolutionary changes, as opposed to evolutionary changes; does this by taking a fresh look at what the organization is trying to do in all its business processes and then eliminating non-value added steps and computerizing the remaining ones to achieve the desired outcome

business process reengineering (BPR)

beauty salons, fitness center, health clinic

business that impacts human bodies

services can be categorized as 4 main types:

business that impacts human bodies, business directed at physical products, business directed at peoples mind, and business direct at risk and money management

products and services sold strictly on the basis of cost are typically ______ in other words, customers can not distinguish the product or service of one firm from another

commodity like

requires innovation and creativity

complex projects

compute the total amount created over the time period into the future as the ____

compound value

_______ has to be stated relevant to a specific period of time: long range, intermediate range, and short range

capacity

ability to hold, receive, store accommodate; viewed as the amount of output that a system is capable of achieving over a specific period of time

capacity

implies an attainable rate of output

capacity

relative term; the amount of resource inputs available relative to output requirements over a particular period of time

capacity

when adding or decreasing _______ 3 important issues are : maintaining system balance is ; frequency of capacity additions or reductions; use of external capacity

capacity

when looking at ____, operation managers need to look at both resources inputs and product outputs

capacity

capacity in excess of expected demands

capacity cushion

having the ability to rapidly increase or decrease production levels or shift production capacity quickly from one product or service to another can achieve this through flexible plants, processes, and workers

capacity flexibility

capacity utilization rate =

capacity used/best operating level = %

reveals how close a firm is to its best operating level

capacity utilization rate

risk: major quality failure risk mitigation strategy :

carefully select and monitor suppliers

the time it takes for a company to convert the money that it spends for raw materials into the profits it receives for the products that are sold and use those raw materials ; the smaller the number, the better

cash conversion cycle

company buys raw materials on credit, converts materials into finished products, sell the products to customers on credit, gets paid by customers in cash and then reuses cash to purchase more raw materials, the quicker the better

cash conversion cycle (cash to cash cycle time)

cash conversion cycle =

cash conversion cycle = day sales outstanding + days inventory -payable period

____ roles are most effective in operation management consulting projects

collaborative or process consultant

to increase productivity, we want the productivity ratio to be as _____ as practical

large

data integration allows CAD systems to be linked to ______ which consists of numerical control part programs and manufacturing planning and control systems can be linked to automated material handling systems to facilitate parts pick list generations

computer aid manufacturing (CAM)

CAD is also associated with manufacturing process design called ____ which is used to design computer part programs that serve as instructions to computer controlled machine tools and to design programs used to sequence parts through machine centers and other processes these programs are called ___

computer aid process planning (CAPP) ; process plans

is an approach to product and process design that utilizes the power of the computer

computer aided design (CAD)

automated version of the manufacturing process, where the 3 major manufacturing functions - products and process design, planning and controlling , and the manufacturing process itself, are replaced by the automated technologies

computer integrated manufacturing (CIM)

____ roles range from expert , to pair or hands, to collaborative or process consultants

consultant

risk: natural disaster (climate change) risk mitigation strategy :

contingency planning, insurance

a _____ is similar to an assembly line except that the product continuously moves through the process ; usually a liquid that flows through the system

continuous or flow process

process that converts raw materials into finished products in one continuous process; highly automated

continuous process

companies ability to respond to increases and decreases in demands is important to its ability to compete

coping with changes in demands

already provide a significant service as part of the business

core good providers

providers must integrate tangible goods

core services

used as means for allocating overhead activity based costing involves a 2 step allocation process: 1. assign overhead costs to cost activity pools 2. cost assigned from pools to activities based on the number of pool related activity is required for completion

cost drivers

calculated from weighted average of debt and equity security costs

cost of capital

when setting up a process you must consider: ___

cost of raw materials, cost of preparation, and cost of labor

depends on interest rate of loan and whether the loan is discounted

cost of short term debt

2 costs to consider when adding capacity:

cost of upgrading too frequently and upgrading too infrequently both are expensive

the choice of which specific equipment to use in the process can often be based on the analysis of _____ ; tradeoff is more or less specialized

cost trade offs

many businesses now conduct ______ assessments of products to determine what the true environmental costs are from processing the raw materials to manufacture to distribution to eventual disposal by the final customer

cradle to grave

in the ______, customers are served but service quality declines; above the critical zone, customers are arriving faster than they can be served

critical zone

customer surveys key use is _______, although in reality customers are not so much loyal as earned through effective performance

customer loyalty analysis

where inventory is positioned in the supply chain

customer order decoupling point

the average time between completions of successive units in a process

cycle time

the number of days that it takes for a company to collect cash from customers

day sales outstanding

number of days worth of inventory the company holds in operation and supply chain processes; includes raw materials, WIP, and finished goods

days inventory

the number of days of inventory of an item ; inverse of inventory turn

days of supply

schematic model of the sequence of steps in a problem and the conditions and consequences of each step

decision tree

represent a fundamental tool from the broad area of risk analysis and used in examining plant and equipment investments and R and D projects

decision trees

accelerated depreciation decreased by reducing its book value by a constant % each year

declining balance method

selection of _____ is an strategic decision that determines customer lead times and impact inventory investment ; the closer the point to the customer, the quicker the customer can be served

decoupling points

can ____ capacity temporarily by scheduling fewer hours or scheduling an extended shut down period more permanently by sale of equipment or liquidation

decrease

in some markets , a firms ability to ____ more quickly than its competitors is critical

deliver

also referred to as logistics processes. carriers are picked to move products to warehouses and customers, coordinate and schedule the movement of goods and information through the supply network, develop and operate a network of warehouses and run the information systems that manage the receipt of orders from customers and invoicing systems that collect payments from customers.

delivering

firms ability to supply the product or service on or before a promised delivery due date

delivery reliability

the allocation of costs due to the physical or functional deterioration of tangible assets such as buildings or equipment

depreciation

straight line method

depreciation amount = cost - salvage value / estimated useful life

attempt to gear depreciation charges to actual use and thereby coordinate expense charges with productive output more accurately

depreciation by use

_____ goals is to establish the proper level of _____ to focus on the requirements of the customer

design qualities

relates to the set of features the product or service contains ; relates directly to design of product/ service

design quality

2 characteristics of a product or service that define quality:

design quality and process quality

total stream of payments that an asset will generate in the future, discounted to the present time

discounted cash flows

assembly lines deal with

discrete products

at some point the size of the plant becomes too large and _____becomes a problem

diseconomies of scale

risk caused by natural or manmade disasters such as earthquakes, hurricanes, and terrorisms; highly random and virtually impossible to predict with any precision

disruption risk

conventional strategy focuses on the ______ part of the triple bottom line

economic

of a machine is the period over which it provides the best method for performing its tasks. when a superior method is developed, the machine becomes obsolete and thus the book value is a meaning less figure

economic life

totally automated manufacturing system that consists of machining centers with the automotive loading and unloading of parts , an automated guide vehicle system for moving parts between machines and other automated elements to allow the unattended production of parts

flexible manufacturing systems (FMS)

______ have multiple skills and the ability to switch easily from one kind of task to another, need a broader training

flexible workers

____ used in service - service blueprints - but added the important distinction of the line of visibility to clearly differentiated activities that take place with the customer vs. those behind the scenes

flow charts

in practice, the word "cycle time" is used to mean ____

flow time

the average time it takes a unit to move through an entire process

flow time

great insight is obtained by drawing a simple _____ showing the flow of materials or information through an enterprise -> it should include all operating elements and show how they fit together and show where the materials are stored and orders are queued

flowchart

can be used in both manufacturing and services to track materials, information, and people flow

flowcharts

holds that a production facility holds best when it focuses on a fairly limited set of production objectives; allows capacity to be focused on producing those specific items

focused factory

______ calls for changes in attitudes and cultures, which takes longer to yield measurable results

general management consulting

less specialized equipment is referred to as ______ meaning it can be used easily in many different ways if it set up in the proper manner

general purpose

_____ are homogenous

goods

captures the main focus of the business and spans from firms that just produce products to those that only provide services : pure goods, core goods, core services, and pure services

goods - services continuum

_____ require a great deal of experience but little in the way of innovation

grey hair projects

junior consultants whose primary function is to do the work

grinders

technology advances can be categorized in 2 ways:

hardware system and software system

_____ have resulted in greater automation of processes ; they perform labor intensive tasks originally performed by humans

hardware technologies

risk: country risks risk mitigation strategy :

hedge currency, produce/ source locally

indicated pricing strategies : those with low profit margins tend to have ____ asset turnover, while those with high profit margins have ____ asset turnover

high ; low

a _____ can indicate better liquidity or shortage or inadequate inventory levels

high inventory turnover ratio

a practice that specializes in cutting edge, high client risk work must be staffed with a _____ because lower level people will not be able to deliver the quality of services required

high partner to junior ratio

optimal utilization rates - ______ are appropriate when there are predictable services without customer contact and sports teams

high rates

a ____ receivable ratio implies either company operates on cash basis or the extension of credit and collection methods are efficient

higher

other companies seek to attract people who want _____ in terms of performance, appearance or features, even though it means higher prices

higher quality

the longer the material is kept in inventory, the _____

higher the investment cost

____ job enrichment is intended to counteract oversimplification and permit the worker to perform a whole unit of work

horizontal

a job is enlarged ______ is a worker performs a great number or variety of tasks ; enlarged _____ if the worker is involved in planning, organizing, and inspecting his or her own work

horizontally ; vertically

Combines the features of both make-to-order and make-to-stock.

hybrid

____ process provides flexibility to respond to customer preferences through the assemble to order backened process

hybrid

common ____ form, a generic product is made and stocked at some point in the process and units are finished in a final process based on actual orders

hybrid

ways to deal with ____: add capacity to stages that are bottlenecks (ex: overtime) ; use of buffer inventory's in front the bottleneck stage to ensure it has something to work on; duplicating or increasing facilities of one department in which another is dependent on; supply planning to reduce imbalances for supply partners and customers

imbalances

______ refers to whether a company maintains its own consulting organization or buys consulting services from the outside

in house and external consultants

if capacity is _____ a company may lose customers through slow service but if capacity is excessive, company might have to reduce prices to stimulate demand

inadequate

if too many jobs are pumped into a process, the time it takes to complete a job will _____ because the waiting time will ____

increase ; increase

buffering allows stages to operate ____

independently

when determining capacity requirements. we address demands for

individual product lines, individual plant capabilities, and allocation of production through out plant network

used as substitutes for workers for many repetitive manual activities and tasks that are dangerous, dirty, or dull

industrial robots

most large consulting companies are built on ____

information technology (IT) and accounting work

major step that needs to be taken to drive success in the firm; activities are refined and updated as often as four times a year

initiatives

the corporate strategy is operationalized through a set of operations and supply chain ____

initiatives

risk: theft and vandalism risk mitigation strategy :

insurance, security precautions, knowledge of likely risk, patent protection

monthly or quarterly plans for the next 6 to 18 months; example: hiring, new tools, subcontracting , minor equipment

intermediate range

interest rate that equates the present value of an income stream with the cost of an investment

internal rate of return

a multiple stage process may be buffered ____

internally

2010's; billions of devices that are connected to the internet

internet of things

a measure of the expected number of times inventory is replaced over a year ; higher the better = COGS / average inventory value

inventory turn

measures the average number of times inventory is sold and replaced during the fiscal year

inventory turnover

is controlled by operations and supply chain processes

inventory turnover ratio

measures the companies efficiency in turning its inventory into sales; purpose is to measure the liquidity or speed of inventory usage

inventory turnover ratio

____ objective is to develop job structures that meet the requirements of the organization and its technology and that satisfy job holders personal and individual requirements

job design

specification of the work activities of an individual or group

job design

use _____ techniques so that it meets the physical and psychological needs of the worker

job design

specialized work is made more interesting by giving the worker a greater variety of tasks

job enrichment

at the bottom of the pyramid are ____ who carry out the consulting work as part of the consulting team

juniors

is where the major produced or the service provided. the step requires scheduling processes for workers and the coordination of material and other critical resources such as equipment to support producing or providing the service. metrics that measure speed, quality, and worker productivity are used to monitor these processes.

making

a common set of financial indicators that wall street tracks to benchmark companies are called

management efficiency ratio

in the middle of the pyramid are _____ who manage consulting projects or engagement

managers

____ are major undertakings, entailing measurements of all aspects of the production facility and processes and supportive activities such as maintance and inventory stock keeping ; requires several weeks

manufacturing audits

____ examples : computer chip manufacturing, assembly line, and metal fabricating

manufacturing cell

groups dissimilar machines to work on products that have similar shapes and processing requirements

manufacturing cell

___ are used for a wide range of applications and has a popular layout structure that's employed by manufacturing engineers

manufacturing cells

____ are designed to perform a specific set of processes and cells are dedicated to a limited range of products

manufacturing cells

_____ are scheduled to produce as needed in response to customer demand

manufacturing cells

___ is the method to evaluate the specific processes that raw materials, parts, and subassemblies follow as they move through the plant

manufacturing process flow design

late 1970's and early 1980's the _____ was developed which emphasized how manufacturing executives could use their factories capabilities as a strategic competitive weapons. central to this thinking was the notion of manufacturing trade offs, among such performance measures as low cost, high quality, and high flexibility

manufacturing strategy paradigm

incremental cost of each new acquisition of funds from outside sources

marginal cost

a well designed interface between _____ is necessary to provide a business with an understanding of its markets from both perspectives

marketing and operations

because consulting firms are partnerships, the goal is to ______, achieved by leveraging the skills of the partners through the effective use of mid levels and junior level consultants, which its presented as a ratio of partners to mid level and junior consultants for the average project

maximize profits for the partners

a firm may be required to coordinate with other firms on complex projects. in such cases, manufacturing may take place while development work is still being completed coordinating work between firms and working simultaneously on a project will reduce the total time required to complete the project

meeting a launch date

____ tells a firm if progress is being made toward improvements

metrics

managers of consulting firms whose primary function is managing consulting projects

minders

depending on the strategy of the firm, the capabilities of manufacturing and the needs for customers, these activities are organized to ____

minimize costs while meeting the competitive priorities necessary to attract customer orders

total factory productivity usually is measured in ____

monetary units

ratio of some output to a group of inputs ( but not all inputs)

multifactor productivity measure

has multiple groups of activities that are linked through flows

multiple stage process

risk: commodity price risks risk mitigation strategy :

multisource, commodity, hedging

partial productivity measure

output/ labor output/ capital output/ materials output/ energy

if design capacity is less than the capacity required to meet its demand, it has a _____ capacity cushion

negative

decisions are based on the amount by which the present value of a projected income stream exceeds the cost of the investment

net present value

earnings an investment yields after gross earnings have been reduced by the cost of the funds used to finance the investment

net return

a successful strategy will anticipate change and formulate ______ in response

new initiatives

an important element of flexibility is the time required for the company to develop a _____ and convert its processes to offer the new product

new product

long term debt simple yield

nominal interest / issue price of bond

are comprised of (1) a typical machine tool used to turn, drill, or grind different types of parts (2) a computer that controls the sequence of processes performed by the machine

numerically controlled (NC) machines

questions addressed in ______ firms: how can a client cut lead times? how can inventory be reduced? how can better control be maintained over the shop floor?

operating consulting firms

specifies operations and process routing for a particular part; it conveys information as the type of equipment, tooling, and operations required to complete this part

operation and route sheet

companies seek out _____ when they are faced with major investment decisions or when they believe they are not getting maximum effectiveness from their productive capacity

operation consultants

____ leads to changes in physical or information processes whose yield are measurable immediately

operation consulting

the sum of the setup time and runtime for a batch of parts that are run on a machine

operation time

managers can stimulate growth by innovations in ____ which is reliable and has a low cost

operations

manufacturing and service processes used to transform the resources employed by a firm into products desired by customers

operations

the design, operation, and improvement of the systems that create and deliver the firms primary products and services

operations and supply chain management (OSCM)

concerned with setting broad policies and plans for using resources of a firm and must be integrated with corporate strategy; major focus on operations effectiveness

operations and supply chain strategy

____ focuses on strategic level or tactical level and the process itself generally requires extensive interviewing of employees, managers, and frequently customers

operations consulting

an effective job of _____ results in the alignment between strategy and process dimensions that enhance the business performance of the client

operations consulting

assisting clients in developing operations strategies and improving processes

operations consulting

performing activities in a manner that best implements strategic priorities at a minimum cost

operations effectiveness

central to the concept of operations and supply chain strategy is the notion of ______ because an operation can not excel on all competitive dimensions

operations focus and trade offs

the ability to effectively deal with dynamic market demand over the long term is an essential element of

operations strategy

the benefit forgone or advantage lost that results from choosing one action over the best known alternative course of action

opportunity cost

a screening criterion that permits a firms products to even be considered as possible candidates for purchase

order qualifier

criterion or a set of criteria that differentiates the product or services of one firm from those of another

order winner

describes market oriented dimensions that are key to competitive success

order winner and order qualifier

the standard first step in analyzing any production system is to map the flows and operations using one or more techniques, these are called ___

organization charts

includes factors such as color, available, size, weight, locations of fabrication site, customization available and product mix options

other dimensions

multifactor productivity measure

output / labor + capital output / labor + capital + materials

measured based on individual input. most common is labor ; how much output can we get with a given level of input

partial factor productivity

have to use _____ of productivity when wanting to have units rather than dollars

partial measures

ratio of some output to a single input

partial productivity measure

the hierarchy of a typical consulting firm can be viewed as a pyramid:

partners , then managers, then juniors

at the top of the pyramid are the ______ whose primary function is sales and client relations

partners and seniors

make or buy decisions, vendor selection decisions

parts

having a large ______ might not make the firm very attractive to suppliers

payable period

indicates how quickly supplies are paid by a company

payable periods

ranks investments according to the time required for each investment to return earnings equal to the cost of the investment

payback period method

quality improvement, setting/ revising, work standards, learning curve analysis

people

consist of the processes needed to operate an existing supply chain strategically; firm must determine how anticipated demands will be met with available resources. a major aspect of ______ is developing a set of metrics to monitor the supply chain so that it is efficient and delivers high quality and value to customers

planning

supply chain management, ERP, MRP, shop floor control, warehousing, distribution

planning and control system

operations and supply chain strategy can be viewed as part of the ____ that coordinates operational goals with those of the larger organization

planning process

a process that involves a set of activities that are repeated at different intervals over time

planning strategy

adding and locating new plants ; expanding, contracting, and refocusing existing facilities

plant

less detailed and can be done in half a day, its to get an understanding of the manufacturing process before focusing on particular problem area

plant tours

an area in a larger facility that is dedicated to a specific production objective (ex: product group). this can be used to operationalize the focused factory concept

plant within a plant (PWP)

manufacturing consulting area (5 P's of production):

plant, people, parts, processes, and planning and control systems

risk: inventory risks risk mitigation strategy :

pool inventory, safety stock

arguments against improving society and preserving the environment is :

potential loss of efficiency because conflicting criteria and goals are only for rich societies that can afford to contribute to society and the environment

indirect method, sums data from tables or generic movement times developed in the laboratory to arrive at a time for the job

predetermined motion time data systems (PMTs)

remove interest rate effect over time by reducing all future sums to present day dollars or ____

present value

pareto analysis, fishbone diagram, run charts, scatter diagrams, and control charts are fundamental tools in virtually every continuous improvement project

problem analysis (SPC tools)

operation consulting tools can be catagorized as tools for _____

problem definition, data gathering, data analysis, and solution development, cost impact, and payoff analysis and implementation

____ where the general nature of the problem is well known and the activities necessary to complete it are similar to those performed on other projects

procedures project

activities associated with a ______ often affect one another, so its important to consider the simultaneous performance of a number of activities, all operating at the same time

process

any set of activities performed by an organization that takes inputs and transforms them into outputs ideally of greater value to the organization than the original inputs

process

______ is a basic skill needed to understand how a business operates

process analysis

designed to provide summary, performances updates for specific processes; consists of a selection of performance metrics presented in graphical form, color, coding or trend lines, alarms in the form of exclamation marks to show when key indicators are nearing a problem level

process dashboard

productivity is a _____ which means to be meaningful, it needs to be compared to something else

relative measure

used in planning task responsibilities for a project; takes the form of matrix with tasks listed at the top and project team members down the side

responsibility chart

involves processes for receiving worn-out, defective, and excess products back from customers and support for customers who have problems with delivered products. in the case of services, this may involve all types of follow up activities required for after sales support

returning

productivity is on the _____ for many years now which is good for the economy

rise

involves the assessment of the probability or relatively frequently of an event against the aggregate severity of the loss

risk mapping

technological risks, operational risks, organized risks, environmental or market risks

risks of technology investments

a programmable multifunctional machine that may be equipped with an end effector such as a gripper to pick things up

robot

are tools that one is simply expected to know when doing operation consulting

run charts, scatter diagrams, and control charts

the time required to produce a batch of parts = the time required for each unit * batch size

run time `

risk: logistic failures risk mitigation strategy :

safety stock, detailed tracking, alternative suppliers

capacity level _____ has a critical impact on the firms response rate, cost structure, inventory policies, and management and staff support requirements

selected

_____ capacity must be located near a customer

service

specifications of a ______ are defined and evaluated as a package of features that affect the 5 senses 4 categories: 1. supporting facility ( location, decoration) 2. facilitating goods (variety, quality of physical good that goes with service) 3. explicit services (training, access to survey) 4. implicit service (attitude of server, wait time)

service

risk: loss of customers risk mitigation strategy :

service / product innovations

the capacity to deliver the ____ must be first distributed to the customer, then the _____ can be produced

service ; service

is more time and location dependent, its subject to more volatile demands fluctuations and utilization directly impacts service quality

service capacity

are a major undertaking and they focus on the customers experience as much as on the utilization of resources

service facility audits

walk throughs can often be done as a mystery shopper, where the consultant actually partakes of the service and records his experiences

service facility tour

average number of customers that can be processed over the same period of time when the facility is operating at maximum capacity

service rate

service utilization =

service utilization = mean arrival rate / mean service rate

planning capacity levels for service must consider day to day relationship, between

service utilization and service quality

______ require some degree of interaction with customers, therefore a _____ facility must be designed to handle customers presence; whereas ____ are produced in a facility separate from customers

service; service; goods

unlike goods, _____ can not be stored for later use, therefore managers must consider time as one of their supplies

services

_____ are inherently heterogeneous - they vary from day to day as a function of the attitudes of customers and servers which produces unpredictable outcomes with the exception of hard technology and information technology ; whereas _____ are produced to meet very tight specifications day in and day out with zero variability

services ; goods

correlation analysis, and regression analysis, hypothesis testing, queuing theory, and forecasting

statistical tools

_____ are an intangible process that cannot be weighed or measured, whereas a _____ is a tangible output of a process that has physical dimensions; important because a ____ innovation cannot be patented

services ; goods; services

_____ as a process are perishable and time dependent and can not be stored unlike ____

services; goods

_____ is catagorized like downtime caused by repair or some other disruption to the process and its usually not considered in utilization

set up time

the time required to prepare the machine to make a particular item

setup time

those individuals or companies that legally own one or more shares of stock in the company

shareholders

less than one month; daily or weekly scheduling; example: overtimes, transfers. make adjustments to eliminate the variance between planned and actual output

short range

the analysis must be kept as _____

simple as possible

long term debt

simple yield = nominal interest / issue price of bond

the first way to catagorize a process is to determine whether it is a ___or ____ process

single stage or multiple stage

in 1990's saw a dramatic expansion as an extensive set of diagnostic tools we developed; applied to environmental, health, safety services and is now being utilized in R&D ( research and development), finance, information systems, legal, marketing, public affairs, and human resources processes

six sigma

fair and beneficial business practices towards labor, the community, and the region in which the firm conducts its business; example: do not use child labor, pay fair salaries, give back by contributing to health care and education

social responsibilities

work measurement and standards depend on ____ aspects of work

sociotechnical

_____ technologies include computer aided design and automated manufacturing planning and control systems

software

______ based technologies aid in design of manufactured products and the analysis of planning of manufacturing activities

software

_____ where parts are procured from one or more supplier; ____ where manufacturing takes place;_____ where the products are shipped to the customer

source step ; make step; deliver step

involves the selection of the suppliers that will deliver the goods and services needed to create the firms product. A set of pricing, delivery, and payment processes are needed, along with metrics for monitoring and improving the relationships between partners of the firm. these processes include receiving shipment, verifying them, transferring them to manufacturing facilities , and authorizing supplier payments

sourcing

3 steps required to make something:

sourcing the parts we need, followed by actually making the item, then sending the item to the customer

more specialized equipment is referred to as _____ is an alternative to general purpose machine

special purpose

simple, repetitive jobs are assigned to each worker; benefits: high speed and low cost and disadvantage: how much is enough

specialization of labor

all though large consulting firms provide a variety or services, they also ____

specialize

on a decision tree ____ represent decision points and ______ represent chance events

square ; circle

used to indicate multiple activities have been pulled together for analysis purposes

stage

those individuals or organizations that are influenced, either directly or indirectly by the actions of the firm

stakeholders

____ is shown as the vertical axis and refers to the variations in the product that is produced

standardization

_____ products are highly similar in the manufacturing processing point of view, whereas _____ products require different processes

standardized products ; low standardization

work measurements and work standards have criticism from unions that argues that management often sets _____

standards that can not be regularly achieved

the activities in the stage must stop because there is no work

starving

the assembly line steps are done in areas referred to as ____

stations and typically the stations are linked by some form of materials handling devices

performed at least yearly and its where the overall strategy is developed ; this step involves looking out and forecasting how business conditions that impact the firms strategy are going to change in the future

strategic analysis

changes in customer preferences, impact of new technology, changes in population demographs and anticipation of new competitors

strategic analysis step

the objective of _____ is to provide an approach for determining the overall capacity level of capital intensive resources - facilities, equipment and overall labor force size - that best supports the company's long term competitive strategy

strategic capacity planning

the uncertainty in the global environment where most supply chains operate requires ______ to evaluate the relative riskiness of their operations and supply chain strategies

strategic planners

in companies with a clear strategy, a number of high ordered ______ can be identified and implemented through clusters of tightly linked activities

strategic themes

_____ should describe how a firm intends to create and sustain value for its current shareholders

strategy

a firms ______ must focus on the economic viability of its shareholders and the environmental and social impact on key stakeholders

strategy

in _____ the focus is on analyzing the capabilities of operations in light of the firms competitive strategy

strategy development

success involves the clever integration of a great operations related ____, ____, that can deliver products and services and _____ that supports the on going decisions needed to manage the firm

strategy, processes, and analytics

reduce book value of assets rapidly in early years and at a lower rate in later years

sum of years digit

past expenses or investments that have no salvage value and therefore should not be taken into account in considering investment alternatives ; or can be current costs that are fixed

sunk cost

important competitive dimension is the ability of a firm to support its product after the sale this involves the availability of replacement parts and modification of older , existing products

supplier after sale support

processes that move information and material to and from the manufacturing and service process of the firm

supply chain

can catagorize risks by viewing the inherent uncertainty related to operations and supply chain management along with 2 dimensions :

supply chain coordination risk and disruption risk

risk associated with day to day management of the supply chain, which are normally dealt with using safety stock, safety lead time, overtime, and etc.

supply chain coordination risks

are unplanned and unanticipated events that disrupt the normal flow of goods and materials within a supply chain, and which exposes firms within the supply chain to operational and financial risks

supply chain disruptions

late 1990's ; central idea of _____ is to apply a total system approach to managing the flow of information. materials and services from raw material suppliers through factories and warehouses to the end customers. trends such as ______ are forcing companies to find flexible ways to meet customer demand

supply chain management ; outsourcing and mass customization

the likelihood of a disruption that would impact the ability of a company to continuously supply products or services

supply chain risk

risk: network provider failure risk mitigation strategy :

support redundant digital network

2000's; ability to maintain balance in a system

sustainability

by adding ______ to the strategy concept, we added the requirement to meet these current needs without compromising the ability of future generations to meet their own needs

sustainability

hot areas of manufacturing strategy consulting are :

sustainability, outsourcing, supply chain management, and global manufacturing networks

to the extent of ____, it determines production stages, project layout may be developed by arranging materials according to assembly priority

task ordering

process flow charts - _____ are rectangles, _____ are arrows, and _____ are inverted triangles, _____ are diamonds

tasks ; flows ; storage of goods; decision points

a supplier may be expected to provide technical assistance for product development, particularly during the early stages of design and manufacturing

technical liaison and support

_____ often referred to as a job shop, a process structure suited for low volume production of a great variety of non standard products. ______ sometimes are referred to as departments and are focused on a particular type of operations

work centers ; workcenters

consulting firms typically _____, selected according to client needs and preferences of the project managers and first line consultants

work in project teams

setting time standards for the job

work measurement

_____ are used to determine the most efficient means of performing a given task , as well as to set reasonable standards for performing it

work measurement methods

_____ are necessary for 4 reasons: 1. schedule work and allocate capacity 2. to provide an objective basis for motivating the work force and measuring workers performance 3. to bid for new contracts and to evaluate performance on existing one 4. to provide benchmarks for improvement

work measurements

direct method, entails recording random observations of a person or team at work

work sampling

entails random sampling observations of work activities, designed to give a statistically valid picture of how time is spent by a worker or the utilization of equipment

work sampling

when work is infrequent or entails a long cycle time, ____ is used

work sampling

where jobs require work groups to function as teams and create improvements , _______ make sense

worker set standards

ultimate in plant flexibility is ______ plant, using movable equipment, knockdown walls, and easily assessible and reroutable utilities, such that a plant can quickly adapt to change

zero change over time