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This page Class Notes was uploaded by Erika Briggs on Wednesday February 17, 2016. The Class Notes belongs to BUS 351 at Indiana State University taught by Kym Pfrank in Spring 2016. Since its upload, it has received 24 views. For similar materials see Intro to Operations Management in Business at Indiana State University.
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Date Created: 02/17/16
Chapter 6 Production Processes Step 1 Source the parts needed Step 2 Make the product Step 3 deliver the product used to make any manufactured item 0 Lead time the time needed to respond to a customer order 0 Customer order decoupling point where inventory is positioned to allow entities in the supply chain to operate independently Lean manufacturing a means of achieving high levels of customer service with minimal inventory investment Types of Firms Make to Stock examples televisions clothing packaged food products Assemble to order Make to Order commercial air craft Engineer to Order Little39s Law ow of items through a production process can be described Inventory Throughput rate x Flow time Inventory turns the cost of goods sold divided by the average inventory value Days of supply the inverse of inventory turns scaled to days Organization of Production Processes Project the product remains in a xed location equipment is moved to the product Workcenter similar equipment or functions are grouped together Manufacturing a dedicated area where products that are similar in processing are put together Assembly Line Continuous process Task Splitting Possibilities Split the task Share the Task Use parallel workstations Use a more skilled worker Work overtime Redesign
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