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54 Cards in this Set

  • Front
  • Back
Product layout
refers to the specific arrangement of physical facilities
product layout
is an arrangement based on the sequence of operations that is performed during the manufacturing of a good or delivery of a service.
process layout
consists of a functional grouping of equipment or activities that do similar work
cellular layout
the design is not according to the functional characteristics of equipment but rather by self-contained groups of equipment called cells needed for producing a particular set of goods or services
Facility-layout studies are necessary whenever
1. a new facility is constructed 2. there is a significant change in demand or throughput volume 3. a new good or services is introduced to the customer benefit package 4 different processes or equipment or technology is installed
Limitations to process layout
-high movement and transportation costs
-more complicated planning and control systems
-longer total processing time and higher worker-skill reqirements
group technology
the procedure of classifying parts into such families is called group technology
Fixed position layout
consolidates the resources necessary to manufacture a good or deliver a service such as people, materials and equipment in one physical location
-synonymous with "project" classification of processes
Flow-blocking delay
occurs when a work center completes a unit but cannot release it because the in progress storage at the next stage is full
Lack-of-work delay
occurs whenever one stage completes work and no units from the previous stage are awaiting processing
Assembly line
product layout dedicated to combining the components of a good or service that has been created previously
assembly line balance
a technique to group tasks among work stations so that each workstation has - in the ideal case - the same amount of work
to balance must know
1. the set of tasks to be performed and the time required to perform each task
2. the precedence relations among the tasks - that is, the sequence in which tasks must be performed
3. the desired output rate or forecast of demand for the assembly line
cycle time
the interval between successive outputs coming off the assembly line
CT = A/R
Programs for designing layouts
CRAFT (computerized relative allocation of facilities technique)
ALDEP (Automated layout DEsign Program)
CORELAP (Computerized RElationship LAyout Planning)
Questions to be addressed at the work station level
who will use the work place?
how will the work be performed?
what technology is needed?
what must the employee be able to see?
what must the employee be able to hear?
what environmental and safety issues needed to be addressed?
Ergonomics
concerned with improving productivity and safety by designing workplaces, equipment instruments computers workstations and so on that take into account the physical capabilities of people
job
the set of tasks an individual performs
job design
involves determining specific job tasks and responsibilities the work environment and the methods by which the tasks will be carried out to meet the goals of operations
job enlargement
the horizontal expansion of the job to give the worker more variety - although not necessarily more responsibility
postproduction services
billing, shipping, installation warranty and field repair, on-line training services, servicing loans/financing, returns/recycling, technical support
contract manufacturer
firms that specializes in certain types of goods-producing activities such as customized design manufacturing and works under contract for end users
efficient supply chains
are designed for efficiency and low cost by minimizing inventory and maximizing efficiency in process flow
responsive supply chain
focus on flexibility and responsive service are able to react quickly to changing market demand and requirements
push system
produces goods in advance of customer demand using a forecast of sales and moves them thru the supply chain to points of sale where they are stored as finished goods inventory
pull system
produces only what is needed at upstream stages in supply chain in response to customer demand signals from downstream stages
push-pull system
the point in the supply chain that separates the push system from the pull system
postponement
the process of delaying product customization until the product is closer to the customer at the end of the supply chain
multisite management
is the process of managing geographically dispersed service-providing facilities
order amplification
a phenomenon that occurs when each member of a supply chain orders up to buffer its own inventory
supply chain metrics
-delivery reliability
-responsiveness
-customer related measures
-supply chain efficiency
-financial measures
center of gravity method
determines the X and Y coordinates for a single facility
issues in supply chain management
-selecting transportation services
-supplier evaluation
-technology
-inventory management
Vendor-managed inventory (VMI)
where the vendor (a consumer goods manufacturer for example) monitors and manages inventory for the customer (a grocery store for example)
capacity
the capability of a manufacturing or service resources such as a facility process, workstation or piece of equipment to accomplish its purpose over a specified time period.
economies of scale
are achieved when the average unit cost of a good or service decreases as the capacity and/or volume of throughput increase
capacity can be viewed 2 ways
1. as the maximum rate of output per unit of time
2. as units of resource availability
diseconomies of scale
occur when the average unit cost of the good or service begins to increase as the capacity and/or volume of throughput increase
focused factory
a way to achieve economies of scale without extensive investments in facilities and capacity by focusing on a narrow range of goods or services, target market segments and or dedicated processes to maximize efficiency and effectiveness
focused facilities can be dedicated to
1 a few key products
2 a specific technology
3 a certain process design and capability
4 a specific competitive priority objective such as next day delivery
5 particular market segments or customers and associate volumes
safety capacity (capacity cushion
an amount of capacity reserved for unanticipated events such as demand surges material shortages and equipment breakdowns
Capacity required =
Setup time + (processing time * order size)
complementary goods and services
can be produced and delivered using the same resources available to the firm but whose seasonal demand patterns are out of phase with each other
4 strategies for expanding capacity over time
1. one large capacity increase
2 small capacity increases that match average demand
3 small capacity increases that lead demand
4 small capacity increases that lag demand
managing capacity by adjusting short therm capacity levels
-add or share equipment
-sell unused capacity
-change labor capacity and schedules
-change labor skill mix
-shift work to slack periods
managing capacity by shifting and stimulating demand
-vary the price of goods or services
-provide customers with information
-advertising and promotion after holiday
-add peripheral goods and/or services
-provide reservations
reservation
a promise to provide a good or service at some point in the future
Theory of constraints
set of principles that focus on increasing total process throughput by maximizing the utilization of all bottle--neck work activities and work stations
throughput
the amount of money generated per time period through actual sales
constraint
anything in an organization that limits it from moving toward or achieving its goal
physical constraint
associated with the capacity of a resource such as a machine employee or workstation
bottleneck work activity
one that affectively limits the capacity of the entire process
non-bottleneck work activity
one in which idle capacity exists
non-physical constraint
environmental or organizational such as low product demand or an inefficient management policy or procedure