Bài giảng Economics - Chapter 9 Production and Operations Management

Chapter NineProduction andOperations ManagementOperations ManagementThe development and administration of the activities involved in transforming resources into goods and services.9-1The Transformation Process9-2CustomerControl standards(Feedback)Inputs land labor capital raw materials time information energyTransformation or Conversion procedures equipment facilities technology knowledgeOutputs goods services ideasInputs, Outputs, and Transformation Processes in the Manufactureof Oak Furniture9-3Inputs oak trees labour information/ knowledge stain or varnish router/saw warehouse space/timeTransformation cutting or sawing routing measuring assembling staining/varnishing storingOutputs oak furnitureOperations in Service BusinessesService providers use human and mechanical processes to provide products that are intangible.The transformation process requires inputs such as employees, equipment and supplies.Outputs provide a benefit from a performance, event or type of involvement with the service provider.9-4Differences between Manufacturers and Service ProvidersNature and consumption of outputUniformity of inputsUniformity of outputsLabour requiredMeasurement of productivity9-5Steps in Planning and Designing Operations Systems1. Planning the product2. Designing the operations process a. standardization b. modular design c. customization3. Planning capacity9-6aSteps in Planning and Designing Operations Systems4. Planning facilities a. facility location b. facility layout 1. fixed position layout 2. process layout 3. product layout c. technology 1. CAD 2. CAM 3. flexible manufacturing 4. CIM9-6bFacility LayoutsFixed-position layout All resources needed for a product are brought to a  central location.Process layout Layout is organized into departments that group related processes.Product layout Production is broken down into relatively simple tasks assigned to workers positioned along a line.9-7Logistics9-8PurchasingInventory ControlRouting and SchedulingDistributionPBB Global Logistics Provides Integrated Solutions9-9Types of Inventory9-10rawmaterialsfinishedgoodswork inprocesstransformation processManaging InventoryEconomic order quantity (EOQ)modelJust-in-time inventory management (JIT)Material-requirements planning (MRP)9-11Roadway Assistswith Transportation and Inventory Management9-12A Hypothetical PERT Diagram for a McDonald’s Big Mac9-13214556783Remove buns, 2 beef patties, cheese, sauce, lettuce, onions, pickle (20)Grill beef patties (120)Apply sauce to bun (10)Place cooked patties on bun (5)Top with cheese and vegetables (15)Place Big Mac in package (5)Place package in heated bin (5)Serve to customer (5)Critical pathActivityEvent(185) Time to complete event (seconds)StartE n dNational Quality InstitutePrinciples of Business ExcellenceLeadership through involvementPrimary focus on stakeholders/customers and the market placeCooperation and teamworkPrevention based on process management9-14aNational Quality InstitutePrinciples of Business Excellence5. Factual approach to decision making6. Continuous learning and people involvement7. Focus on continuous improvement8. Fulfillment of obligations to all stakeholders and society9-14bTotal Quality ManagementA philosophy and set of guiding principles that provide a foundation for the continuous improvement of an enterprise.9-15Enterprise Resource PlanningThe integration of all departments and functions of a company into one computer system9-16IS0 9000Internal Organization for StandardizationDesigned to ensure consistent qualityRequires documenting record keeping on training, testing and responding to defectsIndependent auditor must verify standards required by ISOISO 9002 certification has been established for service providers9-17Solve the Dilemma9-18What mistake did McKing make in approaching the introduction of pizza? How could this product introduction have been coordinated to avoid the problems that were encountered? If you were an executive at McKing, how would you proceed with the introduction of pizza into the restaurants?Explore Your Career OptionsHow can an understanding of total quality management (TQM) or ISO 9000 series certification assist in developing a career?9-19Additional Discussion Questions and Exercises9-20a1. What is the purpose of inventory control?2. PERT charts can show a sequence of activities in days rather than seconds. Draw a PERT chart for the chairperson of a banquet committee showing the most efficient path for these projected events: January 5 Confirm banquet room reservation. January 6 Publicize banquet. January 19 Count number of banquet reservations; phone in total to hotel. January 20 Phone chairpersons of banquet decorating committee and hospitality committee to review preparations for banquet. Additional Discussion Questions and Exercises9-20bQuestion 2 continued. January 27 Decorating committee places decorations on tables. (2-4 p.m.) Hospitality committee prepares registration table and banquet booklets. January 27 Banquet(6 p.m.) January 30 Send thank-you notes to all committee persons and hotel staff. Additional Discussion Questions and Exercises3. Prepare a Gant Chart for the sequence of activities described in question #29-20cChapter 9 Quiz9-21a1. An assembly line is an example of a. a product layout b. a process layout c. a fixed-position layout d. an intermittent organization2. Which of the following identifies the optimum number of items to order to minimize the cost of ordering them? a. just-in-time (JIT) b. material-requirements planning (MRP) c. economic-order quantity model d. program evaluation and review technique (PERT)Chapter 9 Quiz9-20b3. Which of the following characteristics is most typical of a continuous manufacturing organization? a. The firm manufactures customized products. b. The firm has a low volume of production. c. The firm has a relatively low unit cost of production. d. The firm creates many different products with many different characteristics.4. Inspection is concerned with a. standards of quality. b. labor and energy. c. routing and scheduling. d. modular design and customization.