Chapter 7- Process Thinking Flashcards
The variety volume graph?
Directly proportional to the negative, variety on the y, volume on the x
One off jobs- high variety Jobbing Batches Mass production Continuous production - high volume
Generally, Higher the volume lower the variety
Characteristics of an efficient process?
Low work content (total amount of work required in minutes)
Throughput time - time for unit to move through process
Cycle time- average time between units of output emerging from process
What is work in progress ?
Amount of units within a process waiting to be processed further (WIP)
WIP represents money tied up in part finished goods that need storing
Low WIP is more efficient
Measuring the process
Littles law= WIP * cycle time
%throughput efficiency= work content / throughput time
Bad to have money tied up in stock that hasn’t been sold- costs company money
Better to take less time to complete operations
Have fewer items in process at any time
What is Cycle time ?
Average rate in which products outputted
What factors lead to process variability ?
Arrival time at process - work to be processed may arrive early