Process design Flashcards
Business process
A sequence of complimentary activities of a repetitive nature to achieve a set of performance objectives.
Key elements in the design of a business process
-Task design
-Workflow design
-Organizational design
Task design
Defining tasks needed to achieve performance objectives.
Allocating resources to tasks, or assigning tasks to resources
Workflow design
Determining flows of resources to be transformed.
Identifying storage points for these resources
Organizational design
Coordinating, controlling, and planning tasks and workflows.
Monitoring performance and taking corrective action
Project
A one off operation. Meant to result in a single product. Usually highly complex and unique.
Uses its own transforming resources.
E.g. CalMac ferries
Jobbing production system
High variety
Low volumes
Complex products but less complex than a project
Shares transforming resources
E.g. specialist machine tools, garments for fashion shows.
Batch production system
Specific products made at the same time. wide range of variety and volume levels.
E.g. machine tools or most types of garment
Mass production system
High degree of repeatability.
High volumes.
Low variety.
E.g. car assembly plants, whiskey bottling line, canned foods.
Continuous production system
Similar to mass production but even higher volumes and even less variety.
Typically has its own transforming resources.
No discrete units but continuous flow e.g. litres/hour.
E.g. petrochemical plants or sugar refineries.
Fixed position layout
The to-be-transformed resources (materials, customers)do not move but are instead fixed e.g. operating theatre. Transforming resources (labour, tools etc) are brough to the fixed location.
Functional layout
Similar activities or processes are grouped together into departments or areas e.g.all sanders being grouped together in tech.
Advantages of a functional layout
High flexibility
Robust to disruption
Varied work for employees (higher skill level)
May allow superior quality of product design
Disadvantages of a functional layout
-Low efficiency - low speed
-Complex scheduling -low dependability
-High WIP inventory
-Low resource utilization
-Low specialization of transforming resources
-Low standardization of to be transformed resources
-High unit cost
WIP inventory
Partially completed goods that are still in the production process
Product (or line) layout
Products move along a linear assembly path. Machinery arranged in the sequence of the production process
Advantages of a line (product) layout
-High efficiency and productivity
-Consistent quality
-High dependability
-Low WIP
Disadvantages of line (product) layout
-Low flexibility
-Not very robust to disruption
-Monotonous work for employees
-High level of capital investment
Finding common routing
Finding areas within each process where the order aligns e.g if B goes to C and E to D in multiple processes they will be together in the production line.
Feasibility
Availability of the required finance for investment or access to necessary technology.
Vulnerability
Risks or weaknesses. Product may not perform as expected
Acceptability
In terms of ROI. Determining whether the expected returns justify the costs and risks associated with developing, producing, and marketing the product.
‘Fit’ with strategy
How well alternatives fit with competitive priorities of an organisation.
Service process types
Professional services
Service shop
Mass services
Professional services
Low volume
High variety
Highly skilled professionals
E.g Legal services
Service shop
Still variety however less so than professional services. Higher volume. More standardized. e.g. hair salon salons or car repair shops
Mass services
Low variety
High volume
e.g. supermarkets, airports etc.
