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Processes, Technology, and Capacity Beni AsllaniUniversity of Tennessee at Chattanooga Process Selection - Manufacturing Projects one-of-a-kind production of a product to customer order Batch production systems process many different jobs through the system in groups or batches Mass production produces large volumes of a standard product for a mass market Continuous production used for very-high volume commodity products See pages 40-44, 223-227, and Table 6.1 Product-Process Matrix (2) For traditional manufacturing processes, high flexibility results in high unit costs It is not cost-effective to use mass production or continuous processes for low-volume products Newer processes (Just-in-time and flexible manufacturing systems reduce the cost penalty for product variety) Service Strategy:Processes and Technology Professional Service highly customized and very labor intensive Service Shop customized and labor intensive Mass Service less customized and less labor intensive Service Factory least customized and least labor intensive Process Analysis Process flowcharts (also called process charts) Symbolic representation of processes Incorporate nonproductive activities (inspection, transportation, delay, storage) productive activities (operations) See Figures 6.4, 6.5, 6.6 Flow Chart and Process Chart Symbols Oval – People or goods enter or exit the process. Rectangle – used for an operation – a step that adds value. At least 1 arrow in. Only one arrow out. Triangle pointing down - inventory Flow Chart and Process Chart Symbols (2) Diamond – used for a decision – must have at least 2 possible outcomes. For each outcome, there must be one arrow from the symbol. Each arrow is labeled with its outcome. See Figures 6.4-6.10 Principles for Redesigning Processes Remove waste, simplify, and consolidate similar activities Link processes to create value Let the swiftest and most capable enterprise execute the process Flex process for any time, any place, any way Captu
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