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PRIDE HUGHES KAPOOR INTRODUCTION TO BUSINESS ELEVENTH EDITION. Chapter Ten. Producing Quality Goods and Services . 10 | 1. Learning Objectives. Explain the nature of production
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PRIDE HUGHES KAPOOR INTRODUCTION TO BUSINESS ELEVENTH EDITION Chapter Ten Producing Quality Goods and Services 10 | 1
Learning Objectives • Explain the nature of production • Outline how the conversion process transforms raw materials, labor, and other resources into finished products or services • Describe how research and development lead to new products and services • Discuss the components involved in planning the production process. Explain how purchasing, inventory control, scheduling, and quality control affect production • Summarize how productivity and technology are related 10 | 2
What Is Production? • Define • Operations Management • Operations Manager • What is Planning and when does it take place? 10 | 3
How American Manufacturers Compete in the Global Marketplace • Be able to discuss the U.S. in terms of productivity and competitiveness post-WW II • What are the factors that have led to increased productivity? • What are common traits of the most successful U.S. firms? • What has been their focus? • What has happened to manufacturing employment levels in recent decades? 10 | 4
Careers in Operations Management • Be able to discuss the manufacturing process • Mass Production • Analytical Process • Synthetic Process • What are traits of successful operations managers? • What must they be able to do? 10 | 5
The Conversion Process • What is the purpose of manufacturing? • Be able to discuss theConversion Process • Define Utility • Know the Four Types of Utility • Define • Form Utility • Focus • Magnitude of Change 10 | 6
Services • What is a Service Economy? • Why are services increasing in importance in the United States? • How does the production of services vary from the production of goods? 10 | 7
Where Do New Products and Services Come From? • Be able to discuss where new products and services come from • Define • Research and Development • Basic Research • Applied Research • Development and Implementation 10 | 8
Where Do New Products and Services Come From? (cont’d) • Define and be able to discuss • Product Life Cycle • What are the phases of the product life cycle? • Product Refinement • Product Extension 10 | 9
How Do Managers Plan for Production? • Define • Design Planning • Product Line • Product Design • Capacity • What are the three phases a manager uses to convert an idea into a product or service? 10 | 10
Design Planning • Discuss how technology helps in Design Planning • What is the difference between • Labor-Intensive Technology • Capital-Intensive Technology 10 | 11
Facilities Planning • Define Facilities Planning • What are the factors that influence • The decision to use an existing facility or to construct a new facility? • The location decision for a production facility? 10 | 12
Human Resources Managers • What role do Human Resources Managers play in operations management? • What relationship do human resources and operations managers have? 10| 13
Plant Layouts • Know and be able to explain different Plant Layouts • The Process Layout • The Product Layout (Assembly Line) • The Fixed Position Layout • When are each of these layouts used? 10 | 14
Operational Planning • Be able to discuss the Four Steps in Operational Planning • Step 1: Selecting a planning horizon • Step 2: Estimating market demand • Step 3: Comparing market demand with capacity • Step 4: Adjusting products or services to meet demand 10 | 15
Operations Control • Be able to name and discuss the Four Aspects of Operations Control • Purchasing • Inventory Control • Scheduling • Quality Control 10 | 16
Inventory Control • Name the different types of inventory • Raw Materials • Work-in-Process • Finished Goods • What are the costs of inventory? • Know and be able to explain the inventory control methods • Materials Requirements Planning (MRP) • Manufacturing Resource Planning (MRP II) • Enterprise Resource Planning (ERP) • Just-In-Time Inventory System 10 | 17
Scheduling • Be able to discuss the significance of • Routing of materials • Timing of materials • Follow-up • Be able to recognize and explain • Gantt Chart • PERT (Program Evaluation and Review Technique) 10 | 18
Quality Control • Define • Statistical Process Control (SPC) • Statistical Quality Control (SQC) • Inspection • Know how the following improve quality • Quality Circle • Total Quality Management (TQM) • Six Sigma • What is the International Organization for Standardization (ISO)? 10 | 19
Productivity Trends • Define Productivity • Be able to discuss Productivity Trends in the U.S. • What was the effect of the most recent recession on productivity? • How does government regulation affect productivity? • How can productivity be improved? 10 | 20
Improving Productivity with Technology • Define • Automation • Robotics • How have robotics and technology increased productivity? • Be prepared to discuss the advantages and disadvantages of automation and robotics 10 | 21
Computer Manufacturing Systems • Define and explain • Computer-Aided Design (CAD) • Computer-Aided Manufacturing (CAM) • Computer-Integrated Manufacturing (CIM) • Continuous Process • Flexible Manufacturing Systems (FMS) • Intermittent Process • What is Technological Displacement? 10 | 22