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FMgtch21

Terms

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operations management
the total set of managerial activites used by an organization to transform resource inputs into products, services, or both
manufacturing
a form of business that combines and transforms resources inputs into tangible outcomes
service organization
an organization that transforms resources into an intangible output and creates time or place utility for its customers
product-service mix
how many and what kinds of products or services (or both) to offer
capacity
the amount of products, services, or both that can be produced by an organization
facilities
the physical location where products or services are created, stored, and distributed
location
the physical positioning or geographic site of facilities
layout
the physical configuration of facilities, the arrangement of equipment within facilities, or both
product layout
a physical configuration of facilities arranged around the product; used ewhen large quantities of a single product are needed
process layout
a physical configuration of facilities arranged around the process; used in facilities that create or process a varitey of products
fixed-position layout
a physical configuration of facilities arranged around a single work area; used for the manufacture of large and complex products such as airplanes
cellular layout
a physical configuration of facilities used when families of products can follow similar flow paths
technology
the set of processes and systems used by organizations to convert resources into products or services
automation
the process of designing work so that it can be completely or almost completely performed by machines
computer-assisted manufacturing
a technology that relies on computers to design or manufacture products
robot
any artifical device that is able to perform functions ordinarily thought to be appropriate for human beings
supply chain management
the process of managing operations control, resource acquisition, and inventory so as to improve overall efficiency and effectiveness
purchasing management
buying materials and resources needed to produce products and services
inventory control
managing the organization's raw materials, work in process, finished goods, and products in transit
just in time method
an inventory system that has necessary materials arriving as soon as they are needed so that the production process is not interrupted
quality
the totality of features and characteristics of a product or service that bear on its ability to satisfy stated or implied needs
malcolm balrige award
named after former secretary of commerce, this prestigious award is given to firms that achieve major quality improvements
total quality management
a strategic commitment by top managment to change its whole approach to business in order to make quality a guiding factor in everything it does
value added analysis
the comprehensive evaluation of all work activities, materials flows, and paperwork to determine the value that they add for customers
benchmarking
the process of learning how other firms do things in an exceptionally high quality manner
outsourcing
subcontracting services and operations to other firms that can perform them more cheaply or better
cycle time
the time needed by the organization to accomplish activites such as developing , making, and distributing products or services
ISO 9000:2000
a set of quality standards created by the international organization for standardization and revised in 2000
ISO 14000
a set of standards for environmental performance
statistical quality control
a set of statistical techniques that can be used to monitor quality; includes acceptance sampling and in-process sampling
productivity
an economic measure of efficiency that summarizes what is produced relative to resources used to produce it

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