Production Methods
Name one production method we talked about in manufacturing
Make to Order, Mass Customization, Mass Production
Factors to consider when choosing a site selection for manufacturing
shipping costs, workers, good place to live, cost of resources, labor, or favorable business climate
The process of acquiring the materials and services to be used in production is called ____
purchasing
Purchase of graphical tools
To control the timing of all operations, managers set up schedules: they select jobs to be performed during the production process, assign tasks to work groups, set timetables for the completion of tasks, and make sure that resources will be available when and where they’re needed.
why is inventory control important
if they do not have something, everything stops
what is products were customized to meet the needs of the buyers who ordered them
low-volume, high-variety goods
make to order
example - print shops
maximum number of goods that it can produce over a given time under normal working conditions
capacity requirements
another name for purchasing is
procurement
easy-to-use graphical tool that helps operations managers determine the status of projects
Gantt Chart
the manufacturer arranges for materials to arrive at production facilities just in time to enter the manufacturing process.
Just In Time Production
producing high volumes of identical goods at a cost low enough to price them for large numbers of customers
mass production
example: target
what happens when you set capacity too low (and so produce less than you should), you won’t be able to meet demand
lose sales and customers
costs of materials make up about ?? percent of total manufacturing costs
50%
What does PERT stand for
Program Evaluation and Review Technique
relies on sales forecasts and ordering lead times for materials to calculate the quantity of each component part needed for production and then determine when they should be ordered or made.
MRP - Material Requirement Planning
which combines the advantages of customized products with those of mass production.
mass customization
example: BK - Have It Your way or NIKE id, oakley
what happens if you set capacity too high (and turn out more units than you should)
you’ll waste resources and inflate operating costs.
companies use the Internet to interact with suppliers.
e procurment
is designed to diagram the activities required to produce a good, specify the time required to perform each activity in the process, and organize activities in the most efficient sequence, used for more complex systems
PERT
helps take the design from paper into the computer, able to maneuver and see from all angels
CAD - computer aided desgin
Give an example of all production methods
mass customization, mass production, make to order
answers will vary
what is capacity planning
forecasting the demand for your product by understanding the industry, estimate your share of the market, calculate how much you can make in your facility
Two questions to consider when selecting suppliers
Can the vendor supply the needed quantity of materials at a reasonable price?
Is the quality good?
Is the vendor reliable (will materials be delivered on time)?
Does the vendor have a favorable reputation?
Is the company easy to work with?
Which tools gives a critical path
PERT
This program talks with CAD programs to help build components that satisfy exactly the requirements set by the computer-generated model
CAM - Computer Aided Manufacturing