Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
76 Cards in this Set
- Front
- Back
- 3rd side (hint)
|
Supply Chain |
a network of facilities that procure raw materials, transform them into intermediate goods, final products and deliver the products to customers. |
Topic 7 |
|
|
4 step process for choosing a facility location |
1) Select CSFs 2) Research location specific info on the CSFs 3) Rate each locations ability to support each CSF on a scale of 1-5, 5 being best 4) Calculate locations total score by multiplying the weight by rating for each CSF and adding them together |
Topic 7 |
|
|
Vertical Integration |
proportion of supply chain owned by the organization (make or buy) |
Topic 7 |
|
|
Green Sourcing |
Environmentally responsible supply chain
|
Topic 7 |
|
|
6 step process for sourcing (procurement) |
1) Assess the opportunity 2) Engage Sourcing Agents 3) Asses the supply base 4) Develop sourcing strategy 5) Impement Sourcing Strategy 6) Institutionalize the strategy |
Topic 7 |
|
|
Centralized Purchasing |
Goods for multiple locations are bought at once and distributed from a single purchase |
Topic 7 |
|
|
Stockless Purchasing |
supplier delivers material directly to the production area rather than a stockroom |
Topic 7 |
|
|
Blanket Purchase Orders (POs) |
Long term purchase commitment to a supplier for items that are to be delivered upon receipt of a shipping requisition |
Topic 7 |
|
|
Vendor Managed Inventory (VMI) |
vendors manage customers inventory of the products they supply, includes ordering, stocking shelves |
Topic 7 |
|
|
Time Utility |
when; provides good when wanted, not produced |
Topic 7 |
|
|
Place Utility |
where; provides good where its needed, not produced |
Topic 7 |
|
|
Form Utility |
What; physical/chemical change in goods and/or packaging |
Topic 7 |
|
|
Logistics Cost (4 components) |
the sum of transportation, inventory, packaging, and damage costs |
Topic 7 |
|
|
Cross Docking |
Shipping strategy; remove intermediate step of storage by distributing them immediately after they are received |
Topic 7 |
|
|
Drop Shipping |
Retailer can tell supplier to ship directly to the customer if they don't have it in stock |
Topic 7
|
|
|
Postponement of place utiity |
avoid positioning the inventory down the supply chain (warehouse instead of at the retail locations) |
Topic 7 |
|
|
4 types of postponement |
place utility, form utility, labeling, packaging |
Topic 7 |
|
|
what are four levels of outsourcing? |
1PL, 2PL, 3PL, 4PL (# Party Logisitics) |
Topic 7 |
|
|
differences b/w humanitarian and commercial supply chains (6) |
1) Cost not as important as speed 2) high inventory levels 3) perishable items expire and need to be replaced 4) many stakeholders 5) high visibility of performance 6) Job Satisfaction |
Topic 7 |
|
|
prepositioning resources |
having resources ready at multiple warehouses in case of emergency; used in humanitarian supply chain |
Topic 7 |
|
|
5 steps in reverse supply chain |
1) Product Acquistion 2) Reverse Logistics 3) Testing, Sorting, Dispostion 4) Refurbishing 5) Remarketing |
Topic 7 |
|
|
2 Supply Chain Designs |
1) Functional 2) Innovative |
Topic 7 |
|
|
Functional Supply Chain Product Characteristics |
Product life cycle long low CM low product variety avg stockout rate low |
Topic 7 |
|
|
Innovative Supply Chain Product Characteristics |
Product life cycle short high CM high product variety avg stockout rate high |
Topic 7 |
|
|
Effects of poor quality goods/services (5) |
1) higher transformation costs 2) Higher warrantee costs 3) Loss of Sales 4) Loss of Reputation 5) Lawsuits |
Topic 8 |
|
|
Quality Management Process (3 steps) |
1) Alarm Bell 2) Investigate 3) Prevent |
Topic 8 |
|
|
Two prevention measures |
Checklists and Failsafe |
Topic 8 |
|
|
Two forms of Investigative Quality Analysis |
Root Cause Analysis and Fish Bone Diagrams |
Topic 8 |
|
|
What is the cost trade off when ensuring quality? |
Tradeoff between failure costs and control costs |
Topic 8 |
|
|
Failsafing |
creating a control condition where the customer/employee can only take correct action while performing the process |
Topic 8 |
|
|
6 Methods of Defining Quality |
1) Design Quality 2) Conformance Quality 3) Technical Quality 4) Functional Quality 5) Customer Satisfaction 6) Service Gaurantees |
Topic 8 |
|
|
Design Quality |
Product Quality |
Topic 8 |
|
|
Conformance Quality |
Process Quality |
Topic 8 |
|
|
Technical Quality |
Quality of the core elements or the product/ service |
Topic 8 |
|
|
Functional Quality |
Customer perception of the delivery/use of product or service |
Topic 8 |
|
|
Customer Satisfaction |
Prior Expectations and perception of performance after the fact. Satisfaction = Perception of performance - Expectations |
Topic 8 |
|
|
5 characteristics of effective service garuntees |
1) unconditional 2) easy to understand 3) meaningful 4) easy and painless to invoice 5) Easy and quick to collect on |
Topic 8 |
|
|
Two Quality Management Philosophies |
Six Sigma and PDCA cycle |
Topic 8 |
|
|
Six Sigma |
Quality management philosophy where organization tries to reduce process variation to only 3.4 defects/million |
Topic 8 |
|
|
DMAIC |
derived from six sigma, it means to define, measure, analyze, improve, and control |
Topic 8 |
|
|
PDCA Cycle |
quality process management philosophy, developed by Walter Shewhart. principle of continuous improvement: Plan, Do, Check, Act |
Topic 8 |
|
|
3 Quality Certifications |
ISO 9000, ISO 14000, and ISO 26000 |
Topic 8 |
|
|
ISO 9000- |
certification that the organization meets generic system process standards |
Topic 8 |
|
|
ISO 14000 |
environmental management certification in regards to 1. minimizing harmful effects of activities 2. continual improvement on environmental performance |
Topic 8 |
|
|
ISO 26000 |
guidance on social and environmental responsibilities |
Topic 8 |
|
|
Steps of the Pareto Analysis |
1) Create a check sheet, with complaints and corresponding ticks in order of importance 2) Graph frequencies and cumulative % of complaints |
Topic 8 |
|
|
How to do a Root Cause Analysis |
Fish Bone Diagram; keep asking why |
Topic 8 |
|
|
2 subgroups of Statistical Quality Control |
Acceptance Sampling and Process Control |
Topic 8 |
|
|
Acceptance Sampling |
A form of appraisal; acceptance or rejection of goods which already exist |
Topic 8 |
|
|
Process Control |
A form of prevention; set standards to indicate when adjustments should be made while the service/good is being produced |
Topic 8 |
|
|
Type I Error |
Producers risk; Say its a bad product and scrap/reject it when actually it is fine |
Topic 8 |
|
|
Type II Error |
Consumers Risk; Accept product when it is actually defected |
Topic 8 |
|
|
Measurement of control by Attributes |
Measuring data which is counted. use proportions; UCL/LCL = P +/- Z(SD) |
Topic 8 |
|
|
Measurement of control by Variables |
Measuring Data which is measured (kg, cm, etc); UCL/LCL= X double bar +/- A2(Rbar) |
Topic 8 |
|
|
External Factors Affecting Capacity (3) |
Government Regulations, Union Agreements, and Supplier Capabilities |
Topic 9 |
|
|
5 Internal Factors Affecting Capacity (there are more) |
Product/Service Design, Quality Control Systems, Personnel and Jobs, Equipment Capabilities, and Plant Layout |
Topic 9 |
|
|
Revenue/ Yield management |
Adjusting demand patterns to maximize capacity utilization, yielding increased revenue |
Topic 9 |
|
|
What kinds of organizations use revenue/ yield management? |
organizations with high fixed costs and low variable; where unused revenue is lost revenue. Ex: Planes, hotels, car rentals |
Topic 9 |
|
|
Capacity Flexibility |
Adjusting capacity to include a wider range of products and volumes with short lead times |
Topic 9 |
|
|
internal ways of increasing capacity flexibility |
obtain flexible workers, facilities, and processes |
Topic 9 |
|
|
external ways of increasing capacity flexibility |
use of external capacity; subcontracting; sharing equipment capacity |
Topic 9 |
|
|
3 Capacity Strategies |
Proactive, Reactive, and Combination. |
Topic 9 |
|
|
4 types of facility layouts |
process layout, product layout, group technology (cellular) layout, and fixed position |
Topic 9 |
|
|
Group Technology (Cellular) Layout |
dissimilar machines grouped together to work on a product family |
Topic 9 |
|
|
Formula to minimize C: Process Layout Design |
C= (L)*(D)*(K) ; # of loads being moved * distance * cost per distance |
Topic 9 |
|
|
Production/ Assembly Line Balancing |
Product Layout design method which aims to assign tasks to workstations w/in a given cycle time and with minimum idle time. |
Topic 9 |
|
|
How to calculate cycle time |
C = Time available /Demand |
Topic 9 |
|
|
How to calculate minimum required number of stations in a product layout (N) |
N= T/C, where T is time per unit and C is cycle time |
Topic 9 |
|
|
How to calculate efficiency |
%= T /NaC |
Topic 9 |
|
|
Process Chart Symbols (3) |
Rectangle- task /operation Inverted Triangle- storage area/queue Diamond- decision point |
Topic 10 |
|
|
3 categories of benchmarking |
1) Internal 2) Competitive 3) Functional |
Topic 10 |
|
|
2 process improvement approaches |
1) Continuous process improvement 2) Business Process Improvement |
Topic 10 |
|
|
CPI |
Continuous Process Improvement; never ending process of achieving incremental improvements |
Topic 10 |
|
|
BPR |
Business Process Reengineering; process of rethinking and restructuring. It requires discontinuous thinking |
Topic 10 |
|
|
Just in Time/ Lean Production |
reduces waste while also improving quality (ex. cutting unnecessary transportation) |
Topic 10 |
|
|
Just in Time "Pull" Kanban System |
workers produce only when the kanban ahead of them is empty |
Topic 10 |
