SCM300 - Module 9

SCM300 - Module 9 - SCM 300 MODULE 09 Study Packet Module...

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SCM 300 – MODULE 09 Study Packet Module 9: Business Processes Reading Assignments: Text: MARBLE Text Reading Assignment: Pages: 198-200, 212-229 (198-200) Process Examples - Custom, or make-to-order, goods and services are generally produced and delivered as one-of-a- kind or in small quantities, and are designed to meet specific customers’ specifications. - Option, or assemble-to-order, goods and services are configurations of standard parts, subassemblies, or services that can be selected by customers from a limited set. - Standard, or make-to-stock, goods and services are made according to a fixed design, and the customer has no options from which to choose. (212) Goals in Process Design. Impact of good/bad design - The goal of process design is to create the right combination of equipment, work methods, and environment to produce and deliver goods and services that satisfy both internal and external customer requirements. Process design can have a significant impact on cost (and hence profitability), flexibility (the ability to produce the right types and amounts of products as customer demand or preferences change), and the quality of the output. (212) Six Activities of Process Design - Define the purpose and objectives of the process. - Create a detailed process or value stream map that describes how the process is currently performed (sometimes called a current state or baseline map). Of course, if you are designing and entirely new process, this step is skipped. - Evaluate alternate process designs. That is, create process or value stream maps (sometimes called future state maps) that describe how the process can best achieve customer and organizational objectives. - Identify and define appropriate performance measures for the process. - Select the appropriate equipment and technology. - Develop and implementation plan to introduce the new or revised process design. This includes developing process performance criteria and standards to monitor and control the process. (213-4) Identify Process Objectives - What is the process intended to accomplish? - What are the critical customer and organizational requirements that must be achieved? - Is the process designed for high levels of efficiency, flexibility, or fast response? (214) Process Map and Process Map Symbols - A process map (flowchart) describes the sequence of all process activities and tasks necessary to create and deliver a desired output or outcome. - A rectangle denotes a task or work activity - A triangle indicates writing - An oval denotes the “start” or “end” of the process and defines the process boundaries, also called a terminator - An arrow denotes movement, transfer, or flow to the next task or activity - A double-headed arrow denotes an input or arrival into a process - A diamond denotes a decision that might result in taking alternate paths (214-5) Line of Visibility 1
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SCM 300 – MODULE 09 Study Packet - Defined as the separation between the back office and the front office. Important because front
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SCM300 - Module 9 - SCM 300 MODULE 09 Study Packet Module...

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