GoConqr has a new look! Let us know what you think.

Sign up free

Flashcards

Untitled

alexandra ortiz English 107 cards

Untitled

Cards in this deck (107)

  1. 1ProcessAny activity or group of activities that takes one or more inputs, transforms them and provides one or more outputs for its customers.
  2. 2OperationsA group of resources performing all or part of one or more processes
  3. 3Supply ChainAn interrelated series of processes within and across firms that produces a service or product to the satisfaction of customers
  4. 4GoodsPhysical items that include raw materials,
    parts, subassemblies, and final products
  5. 5ServicesActivities that provide some combination of
    time, location, form or psychological value
    e.g. air travel, education, haircut, etc.
  6. 6Manufacturing process characteristics*Physical, durable output
    *Output can be inventoried
    *Low customer contact
    *Long response time
    *Capital intensive
    *Quality easily measured
  7. 7Service process characteristics*Service process characteristics
  8. 8Products are typically neither purely service- or purely goods-basedTrue
  9. 9Inputs*Land
    •Labor
    •Capital
    •Information
  10. 10Outputs*Goods
    •Services
  11. 11ProductivityA measure of the effective use of resources, usually expressed as the ratio of output to input
  12. 12Productivity measures are useful forTracking an operating unit’s performance over time
  13. 13Productivity EquationOutput/ Input
  14. 14Partial measures equationsPartial measures equations
  15. 15Multifactor measures equationOutput/Multiple Inputs; output/ labor + machine; Output/ Labor + Capital + Energy
  16. 16Total measure equationGoods or services produced/ All inputs used to produced them
  17. 17Determine the productivity for these cases: 1) Four workers installed 720 square yards of carpeting in eight hours.  What is labor productivity?ANSWER: 22.5
    EXPLANATION= 720/ (4*8)= 22.5
  18. 18Determine the productivity for these cases: 2) A machine produced 70 pieces in two hours. However, two pieces were unusable.  What is the machine productivity?ANSWER: 34
    EXPLANATION: 70-2= 68
    70/68= 34 pieces per hour
  19. 19Determine the productivity for these cases: 3) A machine produced 7040 units with consumption of labor ($1000), Materials ($520) and overhead ($2000).  What is the multifactor productivity?ANSWER: 2
    EXPLANATION: 7040/ (1,000 + 520 + 2,000)= 2
  20. 20Productivity growth[(Current Productivity - previous productivity) / previous productivity] X 100%
  21. 21CompetitivenessHow effectively an organization meets the wants and needs of customers relative to others that offer similar goods or services.
  22. 22Hierarchical PlanningMission--> Goals--> Organizational strategies--> Function strategies--> Tactics
  23. 23MissionThe reason for an organization's existence
  24. 24Mission statement*States the purpose of the organization
    *The mission statement should answer the question of “What business
    are we in?”
  25. 25Goals*Provide details and the scope of the mission
    *Goals can be viewed as organizational destinations
  26. 26StrategyA plan for achieving organizational goals
  27. 27Organizations haveOrganizational strategies:
    *Overall strategies that relate to the entire organization
    *Support the achievement of organizational goals and mission
    Functional level strategies:
    * Strategies that relate to each of the functional areas and that support achievement of the
    organizational strategy
  28. 28Tactics* The methods and actions taken to accomplish strategies
    * The “how to” part of the process
  29. 29OperationsThe actual “doing” part of the process
  30. 30Effective strategy formulation requires taking into account:1. Core competencies
    2. Environmental scanning
    3. Order qualifiers
    4. Order winners
  31. 31Core CompetenciesThe special attributes or abilities that give an organization a competitive edge
    e.g.Flexibility, Time, Cost, Quality, Service
  32. 32To be effective core competencies and strategies need to be alignedT
  33. 33Environmental scanningis necessary to identify SWOT
  34. 34Internal FactorsStrengths and weaknesses:
    1. Human resources
    2. Facilities and equipment
    3. Financial resources
    4. Customers
    5. Products and services
    6. Technology
    7. Suppliers
  35. 35External FactorsOpportunities and Threats:
    1. Economic conditions
    2. Political conditions
    3. Legal environment
    4. Technology
    5. Competition
    6. Markets
  36. 36Forecast*a statement about the future value of a
    variable of interest
    *We make forecasts about such things as weather, demand, and resource availability
  37. 37Forecasting ApproachesQualitative Forecasting (subjective inputs):
    *Qualitative techniques permit the inclusion of soft information such as:
    * Human factors
    * Personal opinions
    Quantitative forecasting:
    *These techniques rely on hard data
    * Quantitative techniques involve either the projection of historical data or
    the development of associative methods that attempt to use causal
    variables to make a forecast
  38. 38Time Series ForecastsForecasts that project patterns identified in recent time-series observations
  39. 39Time-Series Behaviors* Trend
    * Seasonality
    * Cycles
    * Irregular variations
    * Random variation
  40. 40Naïve forecastUses a single previous value of a time series as the basis for a forecast
  41. 41Forecasting methods:1. Moving average
    2. Weighted moving average
    3. Exponential smoothing
  42. 42Moving AverageTechnique that averages a number of the most recent actual
    values in generating a forecast
    *Fewer data points used—more responsive*
    * More data points used—less responsive*
  43. 43Moving Average EquationF6 = (A3+A4+A5)/3
    Fx= (adding last 3) / by 3
  44. 44Weighted Moving AverageThe most recent values in a time series are given more weight in computing a forecast
  45. 45Compute a weighted average forecast for the Week 6 using a weight of .40 for the most recent period, .30 for the next most recent, .20 for the next, and .10 for the nextF6 = A5*w5+A4*w4+A3*w3+A2*w2 = 41*0.4+40*0.3+43*0.2+40*0.1 = 41
  46. 46Exponential SmoothingA weighted averaging method that is based on the previous forecast plus a percentage of the forecast error.
  47. 47Exponential smoothing equationFt= Ft-1+ α (At-1 - Ft-1)
    Ft= Forcast for period t
    Ft-1= Forcast for the previous period
    α= Smoothing constant
    At-1= Sales from the previous period
  48. 48According to the demand table above, forecast the demand of Week 6 using exponential smoothing method (α = 0.1)F3 = F2+0.1*(A2-F2)= 42+0.1*(40-42)=41.8
    F4 = F3+0.1*(A3-F3)= 41.8+0.1*(43 41.8)=41.92
    F5 = F4+0.1*(A4-F4)= 41.92+0.1*(40-41.92)=41.728
    F6 = F5+0.1*(A5-F5)=41.728+0.1*(41-41.728)=41.6552
  49. 49Linear TrendA simple data plot can reveal the existence and nature of a trend
  50. 50Linear Trend EquationFt= a+bt
    Ft= Forcast for period t
    a= value of Ft at t=0
    b= slope of the line
    t=specified number of time periods fromt=0
  51. 51Forecasts are not perfect because random variation is always presentT
  52. 52Forcast Accuracy EquationError = Actual − Forecast
  53. 53Forecast Accuracy Metrics* Mean Absolute Deviation (MAD): the average absolute error, weights all errors evenly
    * Mean Squared Error (MSE): weights errors according to
    their squared values
    LOOK AT CHEAT SHEET FOR ACTUAL EQUATIONS
    * Mean Absolute Percent Error (MAPE):
    weights errors according
    to relative error
  54. 54Strategic Product and Service Design*The essence of an organization is the goods and services it offers
    * Every aspect of the organization is structured around them
  55. 55Manufacturabilitythe capability of an organization
    to produce an item at an acceptable profit
  56. 56Serviceabilitythe capability of an organization to
    provide a service at an acceptable cost or profit
  57. 57Idea generation for product designStep 1: Idea Generation:
    -Supply chain-based
    Competitor based
    -Research based
    Step 2: Legal Considerations:
    *Product liability
    Step 3: Sustainability
    Considerations:
    *Sustainability
    Step 4: Reliability:
    *The ability of a product, part, or system to perform its intended function under a prescribed set of conditions
    *Robust design
    Step 5: Quality Management:
    *Quality Function Deployment (QFD)
    * An approach that integrates the “voice of the customer” into both product and service development
  58. 58Product or Service Life StagesIntroduction, Growth, Maturity, Decline
  59. 59ReliabilityThe ability of a product, part, or system to perform its intended function under a prescribed set of conditions
  60. 60Reliability is expressed as a probabilityT
    The probability that the product or system will function
    when activated
  61. 61Rule 1 of ReliabilityIf two or more events are independent and success is defined as the probability that all of the events occur, then the probability of success is equal to the product of the probabilities of the events
  62. 62A machine has two buttons. In order for the machine to function, both buttons must work. One button has a probability of working of .95, and the second button has a probability of working of .88. What is the machine reliability?P (Bottom 1 works) x P (Button 2 works)
    =.95 x .88 =.836
  63. 63RedundancyThe use of backup components to increase reliability
  64. 64Rule 2If two events are independent and success is defined as the probability that at least one of the events will occur, the probability of success is equal to the probability of either one plus 1.00 minus that probability multiplied by the other probability
  65. 65A restaurant located in area that has frequent power outages has a generator to run its refrigeration equipment in case of a power failure. The local power company has a reliability of .97, and the generator has a reliability of .90. The probability that the restaurant will have power is?P (Power CO.) + (1-P(Power Co.)) x P(generator)
    =.97 + (1-.97) (90)
    ANSWER=.997
  66. 66Rule 3If two or more events are involved and success is defined as the probability that at least one of them occurs, the probability of success is 1 - P(all fail)
  67. 67A factory has three machines (with reliabilities of .85, .80, and .75). Only one of them needs to function for the company to be able to produce the product. What is the probability that the factory will have a functioning machine?FORMULA: [1- (1-P1) x (1- P2) x (1-P3)]
    [1-(1-.85) x (1-.80) x (1-.75)]=
    ANSWER =.9925
  68. 68A production system has 5 machines. Machine 1, 2, 3 must be functioning together to complete a product. Machine 4 is a backup for machine 2 if machine 2 stops working. Machine 5 is a backup for machine 3 if machine 3 stops working. The reliability of each machine is given in the figure. What is the reliability of this operating system?A: 0.98
    B: 0.9+(1-0.9)*0.9 = 0.99
    C: 0.95+(1-0.95)*0.92 = 0.996
    System reliability = A*B*C = 0.98*0.99*0.996 = 0.9663192
  69. 69CapacityThe upper limit or ceiling on the load that an operating unit can
    handle
  70. 70Capacity needs include Equipment
     Space
     Employee skills
  71. 71Goal of strategic Capacity planningTo achieve a match between the long-term supply capabilities of an organization and the predicted level of long -term demand:
    • Overcapacity: operating costs that are too high
    • Undercapacity : strained resources and possible loss of
    customers
  72. 72Two useful definitions of capacity Design capacity: The maximum output rate or service capacity an operation, process, or facility is designed for
     Effective capacity: Design capacity minus allowances such as personal time and
    maintenance
  73. 73Measure capacity in units that require updatingF
  74. 74Measuring System Effectiveness (MEASURED AS A PERCENTAGE)Efficiency= actual output/ effective capacity
    Utilization: actual output/ design capacity
  75. 75• Design Capacity = 50 cars per day • Effective Capacity = 40 cars per day • Actual Output = 36 cars per dayEfficiency= 36/ 40= 90%
    Utilazation: 36/ 50= 72%
  76. 76Break-Even Point (BEP)The volume of output at which total cost and total revenue are equal
  77. 77BEP EQUATION= Q(R – v) – FC
    = FC/R-v
  78. 78CAPACITY CUSHION Extra capacity used to offset demand uncertainty
     Capacity cushion = 100% - utilization
     Capacity cushion strategy
     Organizations that have greater demand uncertainty typically have greater capacity cushion
  79. 79CAPACITY STRATEGIESLeading:
     Build capacity in anticipation of future demand increases
     Following:
     Build capacity when demand exceeds current capacity
     Tracking:
     Similar to the following strategy, but adds capacity in relatively small increments to keep pace with increasing demand
  80. 80Constraint ManagementSomething that limits the performance of a process or system in achieving its goals
    * Categories:
     Market: Insufficient demand
     Resource: Too little of one or more resources (e.g., workers,
    equipment, space etc.
  81. 81Cost-Volume AnalysisFocuses on the relationship between cost, revenue, and volume of output
    Total Cost:= FC + VC
    Total Revenue: Revenue per unit (R) x Q
  82. 82Process Selection:Refers to deciding on the way production of goods or services will be organized
    * It has major implications for:
     Capacity planning
     Layout of facilities
     Equipment
     Design of work systems
  83. 83Process strategy*Capital intensity:
     The mix of equipment and labor that will be used by the organization
    *Process flexibility:
     The degree to which the system can be adjusted to changes in
    processing requirements
  84. 84Process Types*Job Shop
    * Batch
    * Repetitive
    * Continuous
    * Project
  85. 85Job Shop*High variety, Low volume
    * A job shop usually operates on a relatively small scale
    * Processing is intermittent
    * Work includes small jobs, each with a somewhat different processing requirements
    e.g. repair shop, hospital
  86. 86BatchModerate variety, Moderate volume
     The equipment need not be as flexible as in a job shop, but processing is still intermittent.
     The skill level of workers doesn’t need to be as high as in a job shop
    because less variety in products and services.
     Example:
     Bakeries
     Airlines
  87. 87RepetitiveLow variety, High volume
     Higher volumes of more standardized goods or services
     Repetitive processing
     Only slight flexibility of equipment is needed
     The skills of workers are low
     Example:
     Production lines for computers
     Assembly lines for automobiles
  88. 88ContinuousLow variety, very High volume
     Non-discrete, highly standardized output
     No need for equipment flexibility
     Example:
     Petroleum products
     Steel
     Sugar
     Flour
     Services: air monitoring, supplying electricity, internet
  89. 89Projectvariety and volume range from low to high
     Non-routine, with a unique set of objectives to be accomplished in a
    limited time frame.
     Example:
     Consulting
     Launching a new product
     Publishing a book
  90. 90Product layout The layout uses standardized processing operations to achieve
    smooth, rapid, high-volume flow
  91. 91Facilities Layout The configuration of departments, work centers, and equipment, with
    particular emphasis on the movement of work (customers or materials)
    through the system
  92. 92Cycle timeThe maximum time allowed at each workstation to complete
    its set of tasks on a unit.
  93. 93Designing Process Layout• The main issue in designing process layouts concerns the relative placement of the departments
  94. 94Measuring DPL Effectiveness A major objective in designing process layouts is to minimize transportation cost, distance, or time
  95. 95EXAMPLEEXAMPLE
  96. 96Output rate equationOutput Rate = Operating time per task / Cycle time
    IF THEY ARE SEPARATED THEN PICK THE HIGHEST TASK RATE
  97. 97EQUATION FOR MINIMUM NUMBER OF STATIONSEQUATION FOR MINIMUM NUMBER OF STATIONS
  98. 98Measuring Line Balancing EffectivenessMeasuring Line Balancing Effectiveness
  99. 99Location Decision: General ProcedureSteps:
    1. Decide on the criteria to use for evaluating location alternatives
    2. Identify important factors, such as location of markets or raw materials
    3. Develop location alternatives
    4. Evaluate the alternatives and make a decision
  100. 100Evaluating Location Alternatives Locational cost-volume-profit analysis
     Factor rating
     Center of gravity method
  101. 101Locational Cost-Profit-Volume Analysis1. Determine the fixed and variable costs for each alternative
    2. Plot the total-cost lines for all alternatives on the same graph
    3. Determine the location that will have the lowest total cost (or highest
    profit) for the expected level of output
  102. 102Locational Cost-Profit-Volume EquationLocational Cost-Profit-Volume Equation
  103. 103EXAMPLEEXAMPLE
  104. 104Factor Rating A general approach to evaluating locations that include quantitative and qualitative inputs
  105. 105Center of gravity method Method for locating a distribution center that minimizes distribution costs
  106. 106CENTER OF GRAVITY METHODCenter of gravity method
  107. 107a.Single factor b.Multifactor c. Growth rate

Information

Description
Flashcards on Untitled, created by alexandra ortiz on 12/03/2024.
Created by
alexandra ortiz · Mar 2024
Updated
Mar 13, 2024
Views
4
Rating

Feedback

What is it about?

What do you think of the new look?

How do you like it?