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Operations MGT 1

TermDefinition
OSCM design, operation, and improvement of systems that create and deliver firm's primary products and services
Planning processes needed to operate on existing supply chain
Sourcing selection of suppliers that will deliver the goods and services needed to create the firm's product
Making producing the major product or service
Delivering logistics processes such as selecting carriers, coordinating the movement of goods and info, and collecting payments from customers
Returning receiving worn-out, excess, and defective products back from customers
Goods tangible, less interaction with customers, homogeneous, not perishable
Pure Goods food products, chemicals
Core Goods A/C equipment, appliances, automobiles
Services intangible, interaction with customers, heterogeneous, perishable
Pure Services teaching, medical advice, financial accounting
Core Services hotels, airlines, cell phone providers
Goods-Services Continuum pure goods--core goods--core services--pure services
Current Issues in OSCM 1. coordinating relationships between members of SC 2. optimizing global network of suppliers, producers, and distributors 3. managing customer touch points 4. raising awareness of oscm as a competitive weapon 5. sustainability and triple bottom line
Competitive Dimensions Price, quality, delivery speed, delivery reliability, coping with change in demand, flexibility and new product intro speed
Order Qualifiers dimensions necessary for firm's products to be considered for purchase by customers
Order Winners criteria used by customers to differentiate products and services of one firm from those of other firms
Essential conditions for linear programming limited resources, must be explicit objective, linearity, homogeneity, divisibility
Core competencies the one thing that a company can do better than its competitors
Characteristics of core competencies provides potential access to wide variety of markets, increases perceived customer benefits, hard for competitors to imitate
Frederick Taylor credited for principles of scientific management, time study and work study
Walter Stewart credited for quality control, sampling inspection and stat tables for quality control
Deming and Key credited for JIT and TQC
Pure Project self contained team works full time on project
advantages for pure project project manager has full authority, team members report to one boss, short communication lines, team pride is high
disadvantages for pure project duplication of resources, organization goals ignored, no functional area, lack of technology transfer
Functional Project responsibility for project lies within one functional area of the firm, employees work part time
advantages of functional project member can work on different projects, technical expertise maintained in functional are, functional area is home after project completed, critical mass of specialized projects
disadvantages of functional project aspects not related to functional area get short-changed, motivation is weak, client needs are secondary
Matrix Project blend of pure and functional project structures-- people from different functional areas work on project part time
advantages of matrix project better communication between functional areas, project manager responsible for success, functional home, minimized duplication of resources, policies of organization are followed
disadvantages of matrix project too many bosses, depends on project managers negotiation skills, potential for sub optimization
Phase 0: Planning procedes project approval, begins with corporate strategy, output is mission statement, includes assessment of technology developments and market objectives
Phase 1: Concept Development needs of target market are identified, alternatives are generated, one or more concepts selected for development
Phase 2: System-Level Design definition of product architecture, decomposition of product into subsystems and components, final assembly scheme identified, output is geometric layout and functional specifications for subsystems
Phase 3: Design Detail complete specifications of geometry, materials, tolerances; identification of parts purchased from suppliers, establish process plan, output is drawings describing geometry, specifications of purchased parts, and process plan
Phase 4: Testing and Refinement construction and evaluation of multiple preproduction versions and prototypes tested
Phase 5: Production Ramp Up product is made using production system, train workers and resolve problems, products supplied to customers for evaluation
Technology Push Products firm begins with new technology and looks for market
Platform Products built around preexisting technological system
Process-Intensive Products production process has impact on properties of product; product design can't be separated from process design
Customized Products new products are slight variations of existing configurations
High Risk Products technical or market uncertainties create high risk of failure
Quick Build products rapid modeling and prototyping enables many design-build-test cycles
Created by: jennafarnsworth
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