Chapter 8 Flashcards
All activities required to produce goods and services
Operational management
A situation in which U.S. manufacturers bring jobs back to the U.S.
Reshoring
Primary reasons for reshoring
Increasing labor cost Shipping cost Quality/safety issues Faster product development Federal and stat subsidies
Aanufacturing process that lowers the cost required to produce a large number of identical or similar product over a long period of time
Mass production.
A process in operations management in which raw materials are broken down into different components
Analytical process
Process in operations management in which raw materials are combined to creat a finished product
Synthetic process
The ability of a good or service to satisfy a human need
Utility
Four types of utility
Form
Place
Time
Possession
Utility created by people converting raw materials/ resources into finished products
Form utility
More effort is devoted to producing services than goods
Service economy
The development of a plan for converting an idea into an actual good or service
Design planning
A group of similar products that differ only in minor characteristics
Product line
The process of creating a set of specifications from which a product can be produced
Product design
The amount of products or services that an organization can produce in a given time
Capacity
A process in which people do most of the work
Labor intensive technology
A process in which machines and equipment do most of the work
Capitol intensive technology
The arrangement of machinery and personnel within a production facility
Plant layout
The period during which an operational plan will be in effect
Planning horizon
All activities involved in obtaining required materials supplies from other firms
Purchasing
The process of merging inventories in such a way as to minimize inventory cost including holding cost and stock out cost
Inventory control
MRP
Materials requirements planning
Materials requirements planning (MRP)
Computer system the integrates production planning and inventory control
Computer system that integrates production planning and inventory control
MRP
Materials requirements planning
Designed to insure that materials arrive just when they are needed to minimize storage and holding costs
Just-in-time inventory system
The process of ensuring that materials are at the right place at the right time
Scheduling
An award given by the president to outstanding organizations in improving quality
Malcolm Baldrige National quality award
The process of ensuring that goods and services are produced in a ordnance with specs
Quality control
Team of employees that meet on the clock to solve problems of product quality
Quality circle
The examination of quality of work-I’m-progress
Inspection
Network of national standards institutes which develop standards for quality products and services that are traded globally
ISO
ISO
International organization for standardization
Concept of eliminating waste from all production activities
Lean manufacturing
Total or near total use of machines to do work
Automation
Use of programable machines to do work
Robotics
CAD
Computer aided design
Computer aided manufacturing
CAM
cIM
Computer integrated manufacturing
Manufacturing process that produces the same products over a long period of time
Continuous process
Single manufacturing process that combines use of computer integrated design with machines
Flexible manufacturing process
Combines machines and equipment to produce different products
Intermittent process
Three types of facilities layouts
Process
Product —–
Fixed position
