U3A3 operations management Flashcards
relationship between operations management and business objectives
- create a product/service
- do this productively and better than competitors
- business objectives met
operations system
series of procedures and processes an organisation undertakes in order to create outputs through the transformation of a range of inputs.
inputs of an operations system
resources used in the process of production. eg, raw materials, labour, capital resources, information, knowledge, time.
processes of an operations system
conversion of inputs into outputs. eg, transformation into tangibles or intangibles
outputs of an operations system
result of the operations system
6 characteristics of manufacturing and service businesses
- outputs
- production/consumption
- storage
- type of production
- customer contact
- production techniques
compare manufacturing and services based on outputs.
manufacturing: outputs are tangible. productivity and quality is easy to measure
services: outputs are intangible. productivity and quality is harder to measure
compare manufacturing and services based on production/consumption.
manufacturing: production and consumption is seperate.
services: production and consumption occurs simultaneously.
compare manufacturing and services based on storage.
manufacturing: stored prior to distribution, sold at a later date.
services: difficut to store, however records of service can be sold.
compare manufacturing and services based on customisation
manufacturing: standardised and mass produced.
services: customised to meet individual customer requirements.
compare manufacturing and services based on customer contact.
manufacturing: no/minimal customer contact during production.
services: high level of customer contact during production.
compare manufacturing and services based on production techniques.
manufacturing: capital intensive (greater use of machinery and equipment)
services: labour intensive (requires significant interaction with customers)
6 types of technological developments to increase efficiency and effectiveness
- automation
- robotics
- computer-aided design
- computer-aided manufacturing techniques
- artificial intelligence
- online services
define and evaluate automated production lines for increasing efficiency and effectiveness
an automated production line is a process in which raw materials enter and finished products leave with little/no human intervention.
pros: improved efficiency, increased safety, precision and accuracy.
cons: huge initial costs, ongoing maintenance, social+ethical costs due to redundancies.
define and evaluate robotics for increasing efficiency and effectiveness
programmable machine is capable of doing several different tasks.
pros: great level of efficiency
cons: can be costly to set up
define and evaluate computer-aided design for increasing efficiency and effectiveness
program that improves creating and modifying the design of products by varying inputs to see possible outputs.
pros: efficient, increased accuracy and flexibility, allows for customer input
cons: costly to introduce, increased training, potentially increased redundancies
define and evaluate computer-aided manufacturing techniques for increasing efficiency and effectiveness
control of machinery, tools and equipment. machines are fed programmed instructions from a central computer.
pros: saves costs and time, less margin of error
cons: initially expensive, increased training, potentially increased redundancies
define artifical intelligence for increasing efficiency and effectiveness
ability of a computer to do tasks that are usually done by humans.
define online services for increasing efficiency and effectiveness
use of a website for interaction with potential customers.
4 materials strategies
- forecasting
- master production schedule (MPS)
- materials requirement planning (MRP)
- just in time (JIT)
define and evaluate forecasting as a materials strategy
predicting what materials and quantities will be required based on historical data.
pros: gives suppliers warning, prepared for times of higher demand.
cons: not always accurate, over- or under- stocked.
define and evaluate master production schedule (MPS) as a materials strategy
shows exactly what will be produced in what quantities over a set time frame.
pros: allows operations manager to picture what needs to be achieved and ensure there are enough supplies, all staff are clear on goals, increased motivation.
cons: time consuming and expensive, not flexible, may not be accurate
define and evaluate materials requirement planning (MRP) as a materials strategy
uses MPS to determine exact materials required. shows specific materials and quantities needed and times they will be delivered (itemised)
pros: ensures enough inputs ordered to meet production requirements, minimises inventory costs and storage, reduces waste.
cons: initially time-consuming to set up, may not be accurate
define and evaluate just in time (JIT) as a materials strategy
materials delivered just as needed for production, immediately dispatched to customers.
pros: waste reduced, no storage required, theft and damage costs reduced.
cons: dependant on reliable frequent deliveries of materials, strong supplier relationship, less time for quality checks.
