Mgmt 4330 Test 3 Red

Front 1

Predicting future customer demand

Back 1

Demand Forecasting

Front 2

Influencing (proactive) either pattern or consistency of demand

Back 2

Demand Management

Front 3

Up and down pattern of demand (i.e, housing industry)

Back 3

Seasonal Cycle

Front 4

Input from those with experience (i.e. launch of a radically new product

Back 4

Executive Judgment

Front 5

Tomorrow's demand will be same as today's demand

Back 5

Naiive Model

Front 6

Simple average of demand from some number of past periods

Back 6

Moving Average

Front 7

Assigns different weights to each period's demand based upon its importance

Back 7

Weighted Moving Average

Front 8

A moving average approach that put less weight on further back in time data

Back 8

Exponential Smoothing

Front 9

1. Short term forecasts are more accurate than long term forecasts
2. Aggregate forecasts are more accurate than detailed forecasts
3. Information from more sources yields a more accurate forecast

Back 9

3 Areas to Forecast Process Performance.

Front 10

Allows managers to move from build-to-stock to assemble or make-to-order operations.

Back 10

Postponable Products.

Front 11

Supply chain partners share forecast, and demand and resource plans to reduce risk

Back 11

Collaborative, planning, forecasting and replenishment (CPFR)
Improving Demand Planning

Front 12

Changes to products, locations, pricing, and promotions. Demand and resource planing

Back 12

Market Planning.

Front 13

CHAPTER 13

Back 13

CHAPTER 13

Front 14

Balancing Objectives 3 Keys

Back 14

Finance
Operations
Marketing/Sales

Front 15

1. Aggregate planning
2. Many Product Variations
3. Fast Response, High Service
4. Maximize Revenue

Back 15

Marketing / Sales
Keys

Front 16

4 Quantitative Benefits of Sales and Operations Planning.

Back 16

1. Improved forecast accuracy
2. Higher Customer Service (with lower inventory)
3. More stable supply
4. Better new product introduction

Front 17

4 Qualitative Benefits of Sales and Operations Planning.

Back 17

1. Better organizational teamwork
2. Faster and better aligned decision making
3. Greater accountability for performance
4. Better business visibility

Front 18

Balances production, inventory, resources and demand

Back 18

Aggregate Production Planning

Front 19

having inventory on hand

Back 19

Holding Inventory

Front 20

Average labor and benefits

Back 20

Regular Production

Front 21

Working more hours than standard

Back 21

Overtime

Front 22

Finding, acquiring and training new employees

Back 22

Hiring

Front 23

Separation packages

Back 23

Fire/Layoff

Front 24

Expediting supply, lost good-will

Back 24

Backorder/Lost Sales

Front 25

Unit cost and loss of control

Back 25

Subcontracting

Front 26

Aggregate Production Planning Costs Focus On 3 Things.

Back 26

1. Intermediate-term rather than the very short-term
2. Product lines rather than specific items
3. Inventory levels rather than new plants

Front 27

A make to stock firm with highly seasonal demand should follow a level strategy. If use chase strategy,the firm will have higher capital investment

Back 27

Level Strategy

Front 28

A company using a level strategy will minimize hiring and layoff costs (chase strategy) level will have higher inventory carrying costs than a chase strategy.

Back 28

(see other side)

Front 29

Usually used by services since their plans are based primarily on labor requirements

Back 29

Chase Strategy

Front 30

Creating a CHASE aggregate plan

Back 30

Change production to match demand, inventory remains relatively stable and low.

Front 31

3 Options to consider when creating a chase aggregate plan

Back 31

1. Produce everything in house, vary the workforce level
2. Produce everything in house, workforce level to meet lowest demand period, use overtime for higher demand
3. Produce everything in house, workforce level to met lowest demand period, use subcontractor to produce higher demand.

Front 32

Adjusting prices in respond to demand levels

Back 32

Yield Mangement

Front 33

Ex. You book a flight to LA for $800 3wks before leaving. (What? no one wants to go to la! Your friend decides to go with you and buys their ticket for $200 3 days before leaving.

Back 33

Yield Management Example

Front 34

CHAPTER 14

Back 34

CHAPTER 14

Front 35

Demand is beyond control of the organization

Back 35

Independent Demand.

Front 36

Independent Demand Use to Determine What 3 things?

Back 36

1. When to buy and how much
2. How to reduce stock outs
3. Stock levels for regular and 1 time buys.

Front 37

Storing and risk of having inventory

Back 37

Holding Costs

Front 38

Placing orders and receiving supply

Back 38

Ordering Costs

Front 39

Reducing lot sizes

Back 39

Managing Cycle Stock

Front 40

Using ABC analysis and reducing lead time, & implement demand management approaches

Back 40

Managing Safety Stock

Front 41

Balancing inventory, lead time and service levels

Back 41

Managing Locations

Front 42

Matching management system to specific items

Back 42

Implementing Inventory Models.

Front 43

CHAPTER 16

Back 43

CHAPTER 16

Front 44

Infrequent set of activities with cost and schedule constraints

Back 44

Project

Front 45

5 Keys To Projects and Project Management

Back 45

1. Unique, this a discrete beginning and end
2. Often multidisciplinary
3. Often staffed with people pulled from other tasks
4. Often compete for resources
5. Typically a one-time event.

Front 46

Systems, equipment and processes that define how project work is done.

Back 46

Technological Factors

Front 47

Includes both soft (organizational structure and reward systems) and hard technologies (equipment facilities, and communication systems)

Back 47

Technological Factors

Front 48

4 Project Life Stages

Back 48

1. Definition
2. Planning
3. Execution
4. Completion

Front 49

(Project Life Stage)
1. Goals
2. Specifications
3. Tasks
4. Responsibilities
5. Teams

Back 49

Definition

Front 50

(Project Life Stage)
1. Schedules
2. Budgets
3. Resources
4. Risks
5. Staffing

Back 50

Planning

Front 51

(Project Life Stage)
1. Status reports
2. Changes
3. Quality
4. Forecasts

Back 51

Execution

Front 52

(Project Life Stage)
1. Train Customer
2. Transfer Documents
3. Release Resources
4. Reassign Staff
5. Lessons Learned

Back 52

Completion

Front 53

Stage with greatest resource load

Back 53

Execution

Front 54

Managed outside functional department with people dedicated to specific projects (WHEN SPEED IS IMPORTANT)

Back 54

Pure (autonomous) Project

Front 55

Calculating early start/finish

Back 55

Forward Pass

Front 56

Latest early finish for all predecessors

Back 56

Earliest Start

Front 57

Early start + task duration

Back 57

Earliest Finish

Front 58

Calcuation late start/finish

Back 58

Backward Pass

Front 59

Earliest late start of all successor activities

Back 59

Latest Finish

Front 60

Latest finish-task duration

Back 60

Latest Start