Week 2- Operations Process Flashcards
What are the five major process types?
1) Projects
2) Jobbing
3) Batch production
4) Line production
5 Continuous processing
Describe project production
Large scale, complex products or services that can no be physically moved. Example: civil engineering projects - building a new runway
Describe jobbing production:
- made for one-off (unique) products
- made by skilled people
Describe batch production:
Used for previously provided products, hence have a higher sales volume
Repeat orders- reduces cost as can use same machines for products
Examples: Bakery, banking, hospitals
Describe line production
Higher volume requires more investment. dedicated to customer requirements
- product range often narrower than batch production ( think Warburtons vs birds bakery)
- Production line split into more sequential steps eg. line processed bakery can only cook cookies on one line
describe continuous processing
One or several basic materials are processed through successive stages and refined into one or more eg Gasoline production
describe the difference between project and continuous processing in terms of variety and production volume
Project processing: High variety, low production volume
Continuous processing: low variety, high production volume
Job, batch and line production are in between these two extremes
Describe make to stock production:
Producers make goods to be placed in stock prior to receiving an order. Typical of line production and continuous processing eg. milk manufacturer
Describe assemble to order production:
Producer hold stock or raw materials and then work in progress to quickly assemble orders as required by customer. Typical of line and batch production. The customers order has penetrated the process somewhat
Describe make to order production:
Material ordered and product or service made only after the buyer’s order is received. Typical of batch production. Eg customised name plates
Describe engineer to stock:
Repeat business of low volume products allows generic engineering plans to be developed. Typical of jobbing. Eg. the firm has several kitchen designs and the customer picks one of them
Describe engineer to order:
The customer specifies the requirements and the operations manager delivers the requested product eg. custom made kitchen
what is a product focussed business?
When a firm bases its strategies, operations and admin systems around the products
higher volume products are usually product focused
what is a process focused business?
When a firm bases its strategies, operations and admin systems around the processes eg . a small baker is dependant on his machines
what is process mapping?
the process of identifying which processes add value and which do not. Any process that does not add value is a waste so should be got rid of to develop a simpler/ more efficient system