MGMT361Reivew - part I - MGMT 361: Exam I Review 1 Covered...

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1 MGMT 361: Exam I Review
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2/9/2011 2 Covered on the Exam A. Fundamentals Chapter 1: Introduction to Operations Management Chapter 2: Process Analysis Chapter 3: Process Selection & Facilities Design B. Production Planning & Control ½ Chapter 4: Aggregate Planning (standard units/aggregate requirements) + all 3 videos (What is OM, Shouldice Hosp, King Soopers, The Product Process Matrix) 24 points qualitative information 76 points quantitative Time will be a concern for most of you
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Mgmt 361 Chapter 1 - Introduction to OM 3 Level of detail Process design Capacity planning Aggregate planning Master production schedule Material Requirement Planning Order scheduling OM functions Time Horizon Strategic Tactical Operational Decision making levels
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Process Fundamentals 4 A. Make-to-order B. Assemble-to-order C. Make-to-stock Volume (Productivity) Customization (Flexibility) Projects Job Shop Batch Flow Line Flow Or Repetitive process Continuous
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5 5 Classification II: Comparison Job shop Batch Repetitive Continuous Description Customized Semi- standardized Standardized Highly standardized Advantages Wide Variety Flexible Low unit cost, high volume, efficient Very efficient, very high volume Disadvantages Slow, high unit cost, complex planning & scheduling Moderate cost/unit , moderate scheduling complexity Low flexibility, high cost of downtime Very rigid, lack of variety, costly to change, very high cost of downtime
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6 Process comparison Custom Cake Job process. Low volume Low / no automation Easy and inexpensive to change capacity …. Labor: skilled Pastry Batch process. Moderate volume Moderate automation Moderately difficult / expensive to change capacity Labor: Semi-skilled Bread Line process. High volume More automation Difficult and expensive to change capacity Labor: Little skill Custom Cake Pastry Bread
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7 Process parameters: Design Capacity : Maximum rate of transaction processing. (Design) Cycle Time = 1/( capacity). Minimum T hrough p ut T ime ( TPT ) – How fast a transaction goes through the process when the process is empty. Run time Input Rate : transaction arrival rate Output Rate : Current rate of processing Actual Cycle Time = 1 / (output rate) Average TPT : Avg. time for a transaction to go through a stable process. Average WIP : Avg. number of transactions in the process . Design parameters indicate what a process can achieve. Run time parameters indicate what the current values are for a specific schedule. These values change with the schedule.
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Example 1-envelop stuffing 5 workers, bottleneck: 1, capacity: 120 units / hour (1/30 )*60 *60 2 workers, bottleneck: 1, capacity: 120 units / hour (1/30 )*60 *60 3 workers, bottleneck: both capacity: 225 units / hour (1/16) * 60 *60 1 30 4 5 3 8 2 2 5 3 Pr. 1 1 30 2, 3, 4, 5 18 Process 2 1, 2 32 3, 4, 5 16 1, 2 32 Process 3 1,30 2,2 3,8 4,5 5,3 Which process is best ? Process Productivity=Capacity/#Workers 1 2 3 24 Units per hour per worker ( per labor hour) 60 Units per hour per worker 75 Units per hour per worker
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Process Flow Diagrams Example 2 1 20 4 40 3 10 2 50 5 30 7 20 6 30 A 1: 20 2: 50 M1 2: 50 M2 3: 10 4: 40 P1 4: 40 P2 5: 30 7: 20 6: 30 B 2 50 6, 7 50 3, 4 50 1, 5 50 C 2, 3 60 7 20 5, 6 60 1, 4 60
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This note was uploaded on 03/03/2012 for the course MGMT 361 taught by Professor Panwalker during the Spring '10 term at Purdue University-West Lafayette.

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MGMT361Reivew - part I - MGMT 361: Exam I Review 1 Covered...

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