Term
Manufacturing in the US
(overview of production and operations management)
- Years and increase in US output?
-World leading Manufacturer?
-Top6 US states for exports?
-Top 10 Manufacturers?
-US Economy Manufacturing or service Based? |
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Definition
- 2001-2009 US outbuse rose 4% each year
- US still world's leading manufacturer (25%)
-6 States: CA, TX, Ohio, Michigan, NY, Illinois
- Exxon, Chevron, Conoco Phillips, Gen.Electirc,Gen Motors, Ford motor, Valero Energy, Hewlett Packard, IBM, Proctor and gamble
- US no longer manufacturing based, 85% now services |
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Term
The "Green" Movement
-Green Economy |
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Definition
- Movement improves the economy
- Green economy - worth more than 200 billion annually
- Consumers like products that "all natural" | "grown local"
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Term
Vocab: (Production and Operations)
-Production
-Production Management
-Operations Management |
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Definition
- Production:creation of goods using land, labor, capital, entrepreneurship and knowledge (FOP)
- Production Management: all the activities managers do to help firms creat firms
- Operations Management: specialized area in management that converts or transforms resources into goods and services
-(inventory management, quality control, production shecduling, follow up) |
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Term
Production Process
-The production process
-Form Utility
-Process Manufacturing |
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Definition
- Production Process: inputs (land, labor, capital, entrepreneurship, knowledge) -> production control (planning, routing, scheduling, dispatching, follow up) -> outputs (goods, services, ideas)
-form utility: value producers add to materials in the creation of finished goods and services
-process manufacturing: part of production that physically or chemically changes materials |
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Term
Procution -
Assembly Process (2 parts) |
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Definition
-1 Continuous process: long production runs turn out finished goods over time
-2 Intermittent Process: production runs are short and the producer adjusts machines frequently to make different products |
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Term
Production Developments which make US companies more competitive
- 4 parts |
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Definition
1 -CAD: Computer-aided design
2 -CAM: Computer aided manufacturing
3 -Lean Manufacturing
4 - Mass customization
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Term
1 -CAD: Computer-aided design
2 -CAM: Computer aided manufacturing
3 -Lean Manufacturing
4 - Mass customization
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Definition
1. CAD: use of computers in the design of products
2. CAM: use of computers in the manufacturing of products
3. Lean Manufacturing: using less of everything than in mass production
-take half the human effort, half defects in finished products, requred one third the engineering effort, use half the floor space, and carry 90% less inventory
4. Mass Customization: tailoring products to meet the needs of a large number of individual customers
-more manufacturers are learning to customize - exist in the service sector too |
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Term
Operations Management
- operation management
- facility location |
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Definition
- Operations management: planning helps solve problems like facility location, facility layout, materials requirement planning, purchasing, inventory control, and quality control
-facility location: process of selecting a geographic location for a company's operations
-operations management on the internet - sometimes businesses outsource engineering design and manufacturing to other companies (often these relationships are managed through the internet)
-(telecommuting: working from home via computer and modem) |
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Term
Operation Management
-Facility Layout
(Assembly line layout)
(Modular layout)
(Fixed position layout)
(process layout) |
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Definition
-Facility Layout: physical arrangement of resources, including people, to most efficiently produce goods and provide services
-depends on process performed: Service: help customers find products | Manufacturing: improve efficiency
-Assembly: workers do only a few tasks at a time
-Modular: teams of workers produce more complex units of the final product
-Fixed position: allows workers to congregate around the product (building a house would mean everyone comes to the house site to built it - architect, painting contractor, finish carpentry, plastic contractor, electric contractor, etc)
-Process layout: similar equipment and functions are grouped together |
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Term
Operation Management Control
- MRP
- ERP
- Purchasing
- JIT |
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Definition
-MRP: Materials requirement planning: computer based operations management system that uses sales forecasts to make sure parts and materials are available when needed
-ERP: Enterprise Resource planning: new version of MRP, combines computerized functions into a single integrated software program using a single database
-Purchasing: function that searches for high quality material resources, finds the best suppliers and negotiaties the best price for goods and servies (internet has transofrmed purchasing)
- JIT: Just in Time Inventory Control: process in which a minimum of inventory is kept and parts, suppliers and other needs are delivered just in time to go on the assembly line
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Term
Operations Management
-Quality Control
(Six sigma quality)
(statistical quality control)
(Statistical process control)
(ISO 9000, and 14000) |
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Definition
- Quality Control: consistently producing what the customer wants while reducing errors before and after delivery
(Six sigma quality) - quality measure that allows only 3.4 defects per million opportunities
(statistical quality control) -process used to continually monitor all phases of the production process
(Statistical process control) - process testing statistical samples of product components at each stage of production (during process = less needed at end)
(ISO 9000, and 14000) - ISO: international organization for standardization; 9000- common name to quality management and assurance standards; 14000- best practices for managing an organization's impact on enviornment |
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Term
(Operations) Project Management
-PERT
-Critical path
-Gantt Chart |
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Definition
-PERT: Program Evaluation and Review Technique: a method for analyzing the tasks involved in completeing a given project and estimating the time needed
-Critical Path: sequence of tasks that takes the longest time to complete
-Gantt Chart: bar graph that shows what projects are being worked on and how much has been completed |
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