1. customer focus
2. continuous improvement
3. employee empowerment
4. use of quality tools
5. product design
6. process management
7. managing suppl... [Show More] ier quality ✔✔Total Quality Management (TQM) Philosophy
Basic function of Six Sigma. Measures the process potential and performance of processes. The
higher the range of Cpk, the improved is the ability of the process to complete its necessities. Uses
both the process variability and the process specifications to determine whether the process is
"capable." ✔✔Process Capability Index (Cpk)
A disciplined, data-driven approach and methodology for eliminating defects (driving toward six
standard deviations between the mean and the nearest specification limit) in any process - from
manufacturing to transactional and from product to service. ✔✔Six Sigma
The theoretical maximum output of a system in a given period under ideal conditions. ✔✔Design
Capacity
The capacity a firm expects to achieve given its current operating constraints. ✔✔Effective
Capacity
proximity to customers, transportation, source of labor, community attitude, proximity to
suppliers, and many other factors. ✔✔Location Analysis
A type of process used to produce a large volume of a standardized product. ✔✔Line Processes
A type of process used to produce a small quantity of products in groups or batches based on
customer orders or specifications. ✔✔Batch Processes
A type of process used to make a one-at-a-time product exactly to customer specifications.
✔✔Project Processes
A type of process that operates continually to produce a high volume of a fully standardized
product. ✔✔Continuous Processes
Longest task in the process. ✔✔Bottleneck
A type of automated system that combines the flexibility of intermittent operations with the
efficiency of continuous operations. ✔✔Flexible Manufacturing System (FMS)
A technique for monitoring the flow of jobs between work centers. ✔✔Output/Input Control
The net increase created during the transformation of inputs into final outputs. ✔✔Value-Added
Layouts that combine characteristics of process and product layouts. ✔✔Hybrid Layouts
Table that reflects opinions of managers with regard to the importance of having any two
departments close together. ✔✔Relationship Chart (REL)
The shortest distance between two locations using north-south and east-west movements.
✔✔Rectilinear Distance
Table that gives the number of trips or units of product moved between any pair of departments.
✔✔From-To Matrix
Schematic showing the placement of resources in a facility. ✔✔Block Plan
The average of the observation times for each of the work elements. ✔✔Mean Observed Times
The mean observed time multiplied by the performance rating factor by the frequency of
occurrence. ✔✔Normal Time
The length of time it should take a qualified worker using appropriate process and tools to complete
a specific job, allowing time for personal fatigue and unavoidable delays. ✔✔Standard Time
A philosophy designed to achieve high-volume production through elimination of waste and
continuous improvement. Based on a "pull" system rather than a "push" system. The three elements
are just-in-time manufacturing, total quality management, and respect for people. ✔✔Just-in-Time
(JIT)
A card that specifies the exact quantity of product that needs to be produced. ✔✔Kanban card
A philosophy of neverending improvement. ✔✔Continuous Improvement
Supplies materials or services directly to the processing facility. ✔✔Tier One Suppliers
Directly supplies materials or services to a tier one supplier in the supply chain. ✔✔Tier Two
Suppliers
Directly supplies materials or services to a tier two supplier in the supply chain. ✔✔Tier Three
Suppliers
Management of the flow of materials from suppliers to customers in order to reduce overall cost
and increase responsiveness to customers. ✔✔Supply Chain Management (SCM)
Determines the labor and machine resources needed to fill the open and planned orders generated
by the MRP. ✔✔Capacity Requirements Planning (CRP)
A system that uses the MRP, inventory record data, and BOM to calculate material requirements.
✔✔Material Requirements Planning (MRP)
Large software programs used for planning and coordinating all resources throughout the entire
enterprise. ✔✔Enterprise Resource Planning (ERP)
Includes the budgeted levels of finished products, inventory, backlogs, workforce size, and
aggregate production rate needed to support the marketing plan. ✔✔Aggregate Plans
Businesses to outsource elements of the company's distribution and fulfillment services. specialize
in integrated operation, warehousing and transportation services customized to customers' needs
based on the demands and delivery service requirements for their products and material ✔✔ThirdParty Logistics (3PL)
the world's leading supply chain framework, linking business processes, performance metrics,
practices and people skills into a unified structure. The goals are to increase the speed of system
implementations, support organizational learning goals, and improve inventory turns. ✔✔Supply
Chain Operations Reference model (SCOR)
Initiation, Planning, Execution and Closure. ✔✔Project Life Cycle Phases
A plan for produced in each time period such as production, staffing, inventory, etc.
linked to manufacturing where the plan indicates when and how much of each product will be
demanded.
It gives production, planning, purchasing, and top management the information needed to plan and
control the manufacturing operation. ✔✔Master Production Schedule (MPS)
The meaning of quality as defined by the customer. ✔✔Total Quality Management (TQM)
network diagramming notation that places activities in the nodes and arrows to signify precedence
relationships ✔✔activity-on-node
provides users with information on services and products and provides an opportunity for suppliers
to advertise ✔✔advertising revenue model
companies receive a referral fee for directing business to an affiliate ✔✔affiliate revenue model
includes the budgeted levels of finished products, inventory, backlogs, workforce size, and
aggregate production rate needed to support the marketing plan ✔✔aggregate plan
computer software packages for designing process layouts ✔✔ALDEP and CRAFT
the amount of time the analyst allows for personal time, fatigue, and unavoidable delays
✔✔allowance factor
brings work to the worker rather than the worker to the workplace ✔✔alternative workplace
inventory built in anticipation of future demand ✔✔anticipation inventory
sets up and runs ERP systems ✔✔application service provider (ASP)
costs incurred in the process of uncovering defects ✔✔appraisal costs
produces standard components that can be combined to customer specifications ✔✔assemble-toorder strategy
causes that can be identified and eliminated ✔✔assignable causes of variation
a method using telephone models to send digital orders to suppliers ✔✔automated order entry
system
unfilled customer orders ✔✔back orders
starts with the due date for an order and works backward to determine the start date for each activity
✔✔backward scheduling
scheduling method that determines when the job must be started to be done on the due date
✔✔backward scheduling
a type of process used to produce a small quantity of products in groups or batches based on
customer orders or specifications ✔✔batch process
degree to which the job is intrinsically satisfying to the employee ✔✔behavioral feasibility
studying the business practices of other companies for purposes of comparison ✔✔benchmarking
the volume of output that results in the lowest average unit cost ✔✔best operating level
typically represents project activities ✔✔beta probability distribution
lists all the subassemblies, component parts, and raw materials that go into an end item and shows
the usage quantity of each required ✔✔bill of material (BOM)
schematic showing the placement of resources in a facility ✔✔block plan
longest task in the process ✔✔bottleneck
technique used to compute the amount of goods that must be sold just to cover costs ✔✔breakeven analysis
a philosophy that encompasses the entire organization ✔✔broad view of JIT
tasks and procedures are important only if they meet the company's overall goals ✔✔broad view
of the organization
inaccurate or distorted demand information created in the supply chain ✔✔bullwhip effect
a long-range plan for a business ✔✔business strategy
electronic commerce between businesses ✔✔business-to-business (B2B)
businesses selling to and buying from other businesses ✔✔business-to-business e-commerce
on-line businesses sell to individual consumers ✔✔business-to-consumer e-commerce (B2C)
electronic commerce between businesses and their customers ✔✔business-to-customers (B2C)
the maximum output rate that can be achieved by a facility ✔✔capacity
additional capacity added to regular capacity requirements to provide greater flexibility
✔✔capacity cushion
the process of establishing the output rate that can be achieved by a facility ✔✔capacity planning
a rough-cut capacity planning technique. MPS items are multiplied by historically determined
planning factors for key resources ✔✔capacity planning using overall planning factors (CPOPF)
determines the labor and machine resources needed to fill the open and planned orders generated
by the MRP ✔✔capacity requirements planning (CRP)
percentage measure of how well available capacity is being used ✔✔capacity utilization
a group of options that allow the firm to change its current operating capacity ✔✔capacity-based
options
a chart that identifies potential causes of particular quality problems ✔✔cause-and-effect diagram
placement of dissimilar machines and equipment together to produce a family of products with
similar processing requirements ✔✔cell manufacturing
a planning approach that varies production to meet demand each period ✔✔chase aggregate plan
a list of common defects and the number of observed occurrences of these defects ✔✔checklist
random causes that cannot be identified ✔✔common causes of variation
capabilities that the operations function can develop in order to give a company a competitive
advantage in its market ✔✔competitive priorities
parts or subassemblies used in the final product ✔✔components
how well a product or service meets the targets and tolerances determined by its designers
✔✔conformance to specifications [Show Less]
