Production Management Basics
The creation of goods and services.
What is production?
What it is called when traditional company activities are transferred to outside vendors.
What is outsourcing?
The father of labor specialization (assembly lines).
What is a quantity discount.
Generates the demand for a product or service in production management.
The process of transferring inputs into outputs.
What is operations management?
This adds about 8-10% to the cost of production and is a significant expense for most firms.
What is warehousing?
Study which was done at Western Electric to look at the impact of lighting on productivity.
What is the Hawthorne study?
The most commonly used inventory model for independent demand.
What is the EOQ model?
Includes planning, organizing, staffing leading and controlling.
What is the management process?
This is the largest economic sector in post-industrial societies.
The two types of vertical integration.
This is the study of work.
Ergonomics.
The time between placement and receipt of an order.
What is lead time?
These industries are considered low-paying, but truly not all of them are.
What are service industries?
This theorist believed management should assume responsibility for: matching employees to right job, providing proper training, providing proper work methods, establishing legitimate incentives.
Who is Frederick Taylor?
Name of a concept used by Japanese manufacturers that is part collaboration, part purchasing from a few suppliers, and part vertical integration.
What is Keirtsu Networks?
A process where a worker's tasks and performance are measured repeatedly to create a standard.
What is a time study?
Inventory model where a firm receives its supplies over a period of time.
What is the production order quantity model?
The ratio of outputs divided by inputs.
These include labor, capital and management.
What is productivity variables?
The three types of negotiation strategies in supply chain management.
What are cost-based price model, market-based price model, and competitive bidding.
This process estimates the amount of time a worker spends on various tasks.
What is work sampling?
Principle used in inventory control where a company has "a critical few and a trivial many" inventory items.
What is the Pareto principle?
The most commonly used benchmarking system in supply chain management.
What is SCOR?