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PowerPoint Presentation by Charlie PowerPoint Presentation by Charlie Cook Cook Copyright © 2005 Prentice Hall, Copyright © 2005 Prentice Hall, Inc. Inc. All rights reserved. All rights reserved. Managing Managing Operations and Operations and Improving Quality Improving Quality

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  • PowerPoint Presentation by Charlie CookCopyright 2005 Prentice Hall, Inc. All rights reserved.Managing Operations and Improving Quality

    Copyright 2005 Prentice Hall, Inc. All rights reserved.

  • Copyright 2005 Prentice Hall, Inc. All rights reserved. 7*There are many ways of going forward, but only one way of standing still.Franklin D. Roosevelt

    Copyright 2005 Prentice Hall, Inc. All rights reserved.

  • Copyright 2005 Prentice Hall, Inc. All rights reserved. 7*Key TopicsOperations and the utility provided by operations processesService operations vs. goods productionOperations planningTotal quality management toolsThe supply chain strategy vs. traditional strategies for coordinating operations

    Copyright 2005 Prentice Hall, Inc. All rights reserved.

  • Copyright 2005 Prentice Hall, Inc. All rights reserved. 7*Defining OperationsService Operations: Produce tangible and intangible services.Goods Production:Produces tangible products.

    Copyright 2005 Prentice Hall, Inc. All rights reserved.

  • Copyright 2005 Prentice Hall, Inc. All rights reserved. 7*Growth in the Goods and Services Sectors

    Copyright 2005 Prentice Hall, Inc. All rights reserved.

  • Copyright 2005 Prentice Hall, Inc. All rights reserved. 7*Integration of Global OperationsTechnology has pushed operations to become cleaner, faster, and saferon a global scale.The internet has integrated production with global suppliers and customers.

    Copyright 2005 Prentice Hall, Inc. All rights reserved.

  • Copyright 2005 Prentice Hall, Inc. All rights reserved. 7*Products and Services Create UtilityTo Satisfy Human WantsTime UtilityPlace UtilityOwnership utilityForm Utility Operations managers create utility for customers through production, inventory, and quality control.

    Copyright 2005 Prentice Hall, Inc. All rights reserved.

  • Copyright 2005 Prentice Hall, Inc. All rights reserved. 7*Resource Transformation ProcessFigure 71

    Copyright 2005 Prentice Hall, Inc. All rights reserved.

  • Copyright 2005 Prentice Hall, Inc. All rights reserved. 7*Operations Processes Are Methods Used in ProductionGoods-Manufacturing:Analytic processesSynthetic processesService DeliveryHigh contact processesLow contact processes

    Copyright 2005 Prentice Hall, Inc. All rights reserved.

  • Copyright 2005 Prentice Hall, Inc. All rights reserved. 7*Service Operations Differ Markedly From ManufacturingFocus on:PerformanceProcess and outcomeService characteristicsCustomer-service linkService quality considerations

    Copyright 2005 Prentice Hall, Inc. All rights reserved.

  • Copyright 2005 Prentice Hall, Inc. All rights reserved. 7*Operations Planning and ControlFigure 72

    Copyright 2005 Prentice Hall, Inc. All rights reserved.

  • Copyright 2005 Prentice Hall, Inc. All rights reserved. 7*Operations Planning

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  • Copyright 2005 Prentice Hall, Inc. All rights reserved. 7*Layout of a Typical Piccadilly CafeteriaFigure 73

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  • Copyright 2005 Prentice Hall, Inc. All rights reserved. 7*Operations SchedulingScheduling Goods OperationsScheduling Service Operations

    Copyright 2005 Prentice Hall, Inc. All rights reserved.

  • Copyright 2005 Prentice Hall, Inc. All rights reserved. 7*Gantt ChartFigure 74

    Copyright 2005 Prentice Hall, Inc. All rights reserved.

  • Copyright 2005 Prentice Hall, Inc. All rights reserved. 7*PERT ChartFigure 75

    Copyright 2005 Prentice Hall, Inc. All rights reserved.

  • Copyright 2005 Prentice Hall, Inc. All rights reserved. 7*Operations Control Monitors Results, Which Ensures PerformanceMaterials managers plan, organize, and control the flow of materials from design through distribution.TransportationWarehousingPurchasingSupplier SelectionInventory Control

    Copyright 2005 Prentice Hall, Inc. All rights reserved.

  • Copyright 2005 Prentice Hall, Inc. All rights reserved. 7*Tools for Operations Process ControlWorker TrainingJust-in-time Production Systems (JIT)Material Requirements PlanningQuality Control

    Copyright 2005 Prentice Hall, Inc. All rights reserved.

  • Copyright 2005 Prentice Hall, Inc. All rights reserved. 7*Total Quality Management

    Always Delivering High QualityPlanning for qualityOrganizing for qualityDirecting for qualityControlling for quality

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  • Copyright 2005 Prentice Hall, Inc. All rights reserved. 7*Tools for Total Quality ManagementStatistical Process ControlQuality/Cost StudiesGetting Close to the CustomerProcess ReengineeringISO 9000Outsourcing

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  • Copyright 2005 Prentice Hall, Inc. All rights reserved. 7*Process Control Chart at Honey Nuggets CerealFigure 76

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  • Copyright 2005 Prentice Hall, Inc. All rights reserved. 7*Supply Chain for Baked GoodsFigure 77

    Copyright 2005 Prentice Hall, Inc. All rights reserved.

  • Copyright 2005 Prentice Hall, Inc. All rights reserved. 7*The Supply Chain StrategySupply Chain ManagementWorking with the supply chain as a whole to improve overall flow.Supply Chain ReengineeringImproving the process for better results.

    Copyright 2005 Prentice Hall, Inc. All rights reserved.

  • Copyright 2005 Prentice Hall, Inc. All rights reserved. 7*Chapter ReviewExplain operations and the utility that operations processes provide.Distinguish service operations from goods production.Describe the five decision areas involved in operations planning.Identify the key tools for total quality management.Explain the supply chain strategy.

    Copyright 2005 Prentice Hall, Inc. All rights reserved.

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