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C H A P T E R. 13. Production and Business Operations. 13-1 Types of Production 13-2 Production Planning 13-3 Planning and Managing Business Operations. 13-1 Types of Production. Goal 1 Describe the role of producers in the economy and the forms of production.
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C H A P T E R 13 Production and Business Operations 13-1 Types of Production 13-2 Production Planning 13-3 Planning and Managing BusinessOperations
13-1 Types of Production Goal 1 Describe the role of producers in the economy and the forms of production. Goal 2 Differentiate among the various types of manufacturing.
KEY TERMS • extraction and cultivation • processing • manufacturing • mass production • custom manufacturing • materials processing
PRODUCTION AS AN ECONOMIC ACTIVITY • Role of producers • Forms of production • Extraction and cultivation • Processing • Manufacturing
Checkpoint • What are the three forms of production? • Extraction and cultivation • Processing • Manufacturing
MANUFACTURING • A manufacturing process • Types of manufacturing procedures • Mass production • Custom manufacturing • Materials processing
Checkpoint • What is the difference between custom manufacturing and materials processing? • Custom manufacturing is building a unique product to meet the needs of one customer. • Materials processing is changing the form of raw materials so they can be used to make other products. • Custom manufacturing involves a smaller amount of materials; materials processing involves larger quantities.
13-2 Production Planning Goal 1 Identify the activities involved in production planning. Goal 2 Describe how manufacturing is organized.
KEY TERMS • applied research • pure research • production process • continuous process improvement • benchmarks
PRODUCTION ACTIVITIES • Product development • Product research • Product design • Production planning • Production process • Production resources • Personnel • Inventory management
Checkpoint • Describe the three activities that are a part of production planning. • Developing a production process • Obtaining production resources • Identifying and preparing production personnel
MANUFACTURING PROCEDURES • Organizing the work area • Improving manufacturing
CONTINUOUS PROCESS IMPROVEMENT • Involve everyone. • Identify process activities. • Establish quality performance standards. • Select measurement tools. • Monitor performance continuously. • Improve process quality.
Checkpoint • Why have manufacturers implemented continuous process improvement (CPI)? • Manufacturers have implemented CPI because it can help meet the need for faster production, increased quality, and reduced costs. • CPI increases the quality of work by reducing errors, inefficiencies, and waste.
13-3 Planning and Managing Business Operations Goal 1 Discuss the importance of effective business operations. Goal 2 Describe tools used to manage business operations.
KEY TERMS • logistics • just-in-time • operational plan • schedule • standard
THE IMPORTANCE OF BUSINESS OPERATIONS • Types of business operations • Facilities management • Logistics • Scheduling • Safety and security • Information management
Checkpoint • Identify four important types of business operations. • Facilities management • Logistics • Scheduling • Safety and security
TOOLS FOR BUSINESS OPERATIONS • Management tools • Using technology to manage operations
COMMON TYPES OF OPERATIONS SOFTWARE • Project management • Budgeting • Scheduling • Inventory • Computer security • Document management • Manufacturing automation
Checkpoint • What are the benefits of using technology to help manage business operations? • Technology makes planning and decision-making more accurate, rapid, and timely.