Chapter 11 Operations Mng Flashcards
4 Advantages of operations management?
1) reduce costs (efficiency)
2) increase revenue (offering superior prod / services)
3) reduce investment needed (better overview to ensure efficient facilities / machines)
4) can provide impetus for new innovation (using ops skills and knowledge)
3 more reasons Ops Management is important?
1) improve productivity
2) satisfy customer needs efficiently
3) decisive for general reputation of business
Name 3 defining terms used in Ops Management
1) primarily aimed at UTILISATION OF RESOURCES to manufacture products or render services
2) directly responsible for MANAGING THE OPERATIONS FUNCTION
3) process include OPERATIONS PLANNING OPERATION ORGANISING OPERATION SCHEDULING OPERATION CONTROL
What are the 6 main customer / client needs?
1) higher quality
2) lower costs
3) shorter lead time
4) flexibility
5) reliability (lower variability to specifications)
6) high overall service
Name 6 general Operations Management PERFORMANCE OBJECTIVES
1) do things right the 1st time
2) do things right every time
3) do things cost effectively
4) do things fast
5) make changes quickly
6) do things better
In ops management “doing things right the first time” will lead to:
Higher quality
In Ops management “doing things cost effectively” will lead to:
Lower costs
In ops management “doing things fast” can lead to:
Shorter lead time
In ops management “changing things quickly” will lead to:
Greater adaptability
In ops management “ doing things right the every time” will lead to:
Lower variability
In ops management “doing things better” will lead to :
Better service
What is the Operations Function of a business?
Aimed at executing the transformation process - creating products and providing services as objective of the business
In the TRANSFORMATION MODEL Resources and Aids are the main INPUTS. What are the 3 more specific input under resources and aids?
RESOURCES
material
customers / clients
info
AIDS
hr
equipment and facilities
technology
What are the 2 outputs in the Transformation Model?
Products and Services
Name some of the characteristics of PRODUCTS produced by manufacturers.
Physically tangible and durable Output kept in stock Little customer contact Manufactured before use Long response time Local and int markets Large production facilities Capital intensive production Quality easily measurable
Name some of the characteristics of SERVICES.
Intangible and perishable Not kept in stock Plenty client contact Provision (delivery) and consumption simultaneously Short response time Mainly local markets Small service provision facility Labour intensive Quality difficult to measure
Name the 4 differences in characteristics for different operations (the 4 V’s)
Volume of output
Variety of output (diff items)
Variation of output (unpredictable demand)
Visibility output
Name the 5 classification of process types for MANUFACTURERS.
1) Project (construction)
2) Jobbing (jeweller)
3) Batch (appliances)
4) Mass (poultry)
5) Continuous (paper manufacturing)
Name the 3 classifications of process types for SERVICE PROVIDERS.
1) Professional services (doctor)
2) Service Shops (banks / hotels)
3) Mass service (post and telecommunication)
Operations design entails 2 interdependent aspects. What are they?
1) design of product / service
2) design of manufacturing process / service delivery process
What is the primary aim of operations design?
To provide products / services and processes that satisfy the needs of customers best
What are the operations management objectives being achieved through design?
Quality Cost Lead time Adaptability Variability Service
A good design can ensure a …… advantage
Competative
All products and services consist of 3 interdependent components. What are they?
1) a Concept (idea)
2) Package (eg tangible physical object)
3) a Process (process to create product)