Ch 1_Campus Club Cupcakes Flashcards
What is a process flow chart
rectangles arrows to rectangles
What is throughput time
TOTAL TIME it takes to run a process from start to finish!
How does knowing the capacity number help?
1) helps us figure out customer order promisings (dont accept more orders than you can deliver)
2) pricing/ profit per unit (need to make enough profit per unit to be worth doint it)
3) inventory supplies (how much raw materials are needed on hand)
What is cycle time
the time between two consecutive customer orders being completed (think of the last rectangles in ccc)
->process time for the slowest step
What causes the cycle time interval?
THE BOTTLENECK
WHAT is the bottle neck
the slowest part of aprocess constraints the capcacity!!
the bottleneck processing time =
cycle time for the entire process
bottlenecks processing time= cycle time for the entire process
!!!
How do you determine if you should offer a discount for specific orders?
ONLY if it can help the bottleneck increase output
do this activity again and retry slide 13
what are the 4 types of risks possible?
legal risks
financial risks
org risks
technical risks (equipment breaking)
What is MTO, ATO,MTS
make to order
assemble to order
make to stock
what is level of outsourcing in MTO
no outsourcing! making to order
what is level of outsourcing in ATO
Semi Outsourcing- because you are customizing one thing not all
what is level of outsourcing in MTS
make to stock you are outsourcing everything!
