Chapter 8 – Achieving World Class Operations Management.pptVIP

Chapter 8 – Achieving World Class Operations Management Chapter 8 Learning Goals Why is production and operations management important in both manufacturing and service firms? What types of production processes are used by manufacturers and service firms? How do organizations decide where to put their production facilities? What choices must be made in designing the facility? Why are resource planning tasks like inventory management and supplier relations critical to production? Chapter 8 Learning Goals (cont’d.) How do operations managers schedule and control production? How can quality management and lean manufacturing techniques help firms improve production and operations management? What roles do technology and automation play in manufacturing and service industry operations management? What key trends are affecting the way companies manage production and operations? Production Operations Management Production Operations Management are important because Consumers demand quality products/services at reasonable prices in a timely fashion Consumers also demand better service and individualized attention Production Operations Management, cont. 3 Main types of decisions Production Planning Production Control Improving Production Operations Production Planning Find the best production methods to meet and balance company goals 3 phases Long term Medium term Short term Important decisions/elements Production Process Site Selection Facility Layout Resource Planning Supply Chain Management Production Process How should the goods be made? Mass Production Mass Customization Customization Job shop How should the inputs be converted into outputs? Process manufacturing Assembly process Production Process, cont. What should the timing of the process be? Continuous Process Intermittent Process Site Selection Affects operating cost, price of the product/service, ability to compete Factors to consider Availability of inputs Marketing factors Local incentives Manufacturing