SCM 303 Final Cumulative Review

SCM 303 Final - Part 1 Chapter 2 Dimensions of product quality Quality A products quality is its fitness for consumption by the customer who bought

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Part 1 Chapter 2 – Dimensions of product quality Quality- A products quality is its fitness for consumption by the customer who bought it. It is an assessment of how well the customers expectations are met. Dimensions of Product-Related Competitive Priorities (Table 2-1) 1.Performance(Superior) Attributes 2. Features (unique attributes) 3. Conformance (no defects) 4. Reliability (long time to failure) 5. Durability ( long useful life) 6. Aesthetics (appeal) 7. Service/Support (ancillaries/intangibles) 8. Perceived quality (image) Timeliness- Timeliness- The degree to which a product is delivered or available when the customer wants it. 1.Reliability (on-time) 2. Speed (Lead time) 3. Availability (always on or in-stock) Cost- 1.Purchase (price) 2. Transacton ( acquisition costs) 3. Maintenance Repair
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4. Operating (cost of consumables) 5. Salvage /Disposal Chapter 3- Principles of Process Performance : the Theory of Constraints Theory Of Constraints – The overall management system that strives to improve system performance by identifying, focusing on, and managing constraints Principle 1 – Every Process has a constraint Bottle Neck Serial/Sequential Structure – A process structure where the activities occur one after the other in sequence Parallel Structure – A process where there are two or more resources doing the same task simultaneously Flow time – The time it takes one unit to get through a process Cycle Time The time that it takes to process one unit at an operation in the overall process Principle 2 : Every process contains variance that consumes capacity Variance or variability exists in outputs,inputs or in the process activities themselves. Essentially, variability of different sorts introduces complexity and uncertainty into processes, which in turn increase the difficulty of efficiently and full utilizing resources Principle 3 : Every process must be managed as a system The elements of the system include process activites, input, and output flows, structure and management policies. All of these elements need to be aligned to the needs of the customers that the process serves. Activites within a process are connected, so that wha happens in one area of a process can affect what happens elsewhere. Principle 4 : Performance Measures are crucial to the process’s success Process performance measures needs to address the aspects that are important to the customer as well as to the firm. Simply stated, a metric should be a verifiable quantitive measure that closes the gap between what is valued by the customer and what is intended by the firm. Principle 5: Every process must continuously improve
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Process flow analysis Business process reengineering A radical businesswide redesign of processes with the goal of improving customer service and the strategic position of the firm Kaizen Event – A short term approach to enhancing efficiency that focuses on improving an existing process or an activity within a process Focuses- Team Oriented, Short Term and focused , action oriented
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This note was uploaded on 02/09/2012 for the course SCM 303 taught by Professor Bixbycooper during the Fall '09 term at Michigan State University.

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SCM 303 Final - Part 1 Chapter 2 Dimensions of product quality Quality A products quality is its fitness for consumption by the customer who bought

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