...Homework #1 Solution Process Analysis and Capacity Management BUAD311- Operations Management Fall 2014 Q1 (15 points) At a make-to-order hamburger shop, there is one worker who cooks patties, two workers who assemble burgers, and one cashier. The oven can cook patties in 4 minutes and the oven can cook up to 20 patties at one time. Each burger assembler can assemble a burger in 40 seconds. It takes the cashier 6 seconds to collect payment. a) (5 points) What is the capacity of the hamburger restaurant in customers per minute?1 What is the bottleneck? COOK: Cycle Time CT=(4/20) min/burgerCapacity=20/4 = 5 burgers/min Capacity per worker=60/40 burgers/min Capacity of Assembly workstation= 2 workers* (60/40)=3 burgers/min CASHIER: C T= 6 sec/b capacity=(1/6)*60=10 burgers/min Assembly is the bottleneck. b) (5 points) If two more burger assembler is hired, what is the capacity of the burger store? What is the bottleneck? ASSEMBLE: 60/40 burgers/min * 4 = 6 burgers/min Capacity = 5 burgers/min. Cooking is the bottleneck. c) (5 points) Disregarding part b), if the restaurant buys another oven,2 what is the capacity of the restaurant? What is the bottleneck? COOK: 5 burgers/min * 2 = 10 burgers/min Capacity = 3 burgers per minute. Assembly is the bottleneck. Q2 (25 points): Q 2.5 on page 42 of the textbook. a) (10 points) The hourly demand is 3 grilled veggie, 11 veggie only, and 4 cream cheese, with a total of 18 bagels. To satisfy the hourly demand, the...
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...Title OPERATIONS MANAGEMENT Courses with numerical and conceptual focus Course Planner 16031::Gurpreet Kaur Lectures 3.0 Tutorials Practicals Credits 1.0 0.0 4.0 TextBooks Sr No T-1 Title Operations Management Reference Books Sr No R-1 R-2 Other Reading Sr No OR-1 OR-2 OR-3 OR-4 OR-5 OR-6 OR-7 OR-8 OR-9 OR-10 OR-11 OR-12 Journals articles as Compulsary reading (specific articles, complete reference) The four things that a service Business must get right HBR Article , Bang & Olufsen Design Driven Innovation : HBR , Smart Product Design : HBR , Mishina, Kazuhiro. Toyota Motor Manufacturing, U.S.A., Inc. HBS Case No. 9-693-019. Harvard Business School Publishing, Boston, 1995. , Hammond, Janice H. Barilla SpA (A). HBS Case No. 9-694-046. Harvard Business School Publishing, Boston, 1994. , Latour, Almar. Nokia Handles Supply Shock with Aplomb as Ericsson of Sweden Gets Burned. The Wall Street Journal. Dow Jones & Company, Inc., 2001. , National Cranberry Cooperative HBS #688122. From Case Map , John Crane UK Ltd Case : The CAD CAM Link . HBS #691021,24p , To Move or not to Move .Case of Cathay Pacific Airways . University of Hong Kong HBS #HKU003,22p , Note on Quality: The Views of Deming, Juran, and Crosby HBS .687011 , Process Control at Polaroid , HBS, #693047 , LL Bean Item Forecasting and Inventory Management HBS, #893003, 5p , Johson Control Automotive Systems , HBS,#69308623p , Title Operations Management Concepts, Techniques & Applications Operations Management Author...
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...Chapter 1 Competing with Operations Foundations of Operations Management, Ritzman & Krajewski © What Is a Process? • Process – Activities that transform inputs, add value and generate output(s) • Examples: – Manufacturing process • Furniture manufacturing: cutting or staining wood – Non-Manufacturing Process • Checking in passengers Foundations of Operations Management, Ritzman & Krajewski © 1-2 Processes & Operations Internal and external customers Inputs • • • • • • • • Workers Managers Equipment Facilities Materials Services Land Energy Processes and operations 1 3 5 2 4 Outputs • Services • Goods Figure 1.1 Information on performance 1-3 Foundations of Operations Management, Ritzman & Krajewski © Nested Processes at a Large Bank BANK Operations Cash Management Loan operations Trading operations Others ATM Support Customer transactions Service quality Others Maintain Cards Research problems Site analysis Others Retail Distribution Compliance Finance Human resources Teller Line Transactions Track branch sales ATM hotline Others Process Deposits Cash checks Safe deposit boxes Others Products Auto Finance Cards Mortgages Others Credit Applications Manage retail products Originate lease portfolio Others Loan Documentation Review credit standing Obtain manager approval Others Wholesale Trading Loan administration Leasing Others Fund Management Market making spot Dealer support Others Prepare Reports Attend meetings...
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...Business Services – Operations Management Session 1 – Introduction & Overview Business Services – Operations Management Session 1 – Introduction & Overview Facilitator: Dr. Jonathan Farrell 1 This Evening’s Program Introductions Unit outline Lecture - Introduction to Operations Management Case Studies – Concept Design Services, Central Evaluation Unit class discussion • Little’s Law Little’ • • • • 2 1 Business Services – Operations Management Session 1 – Introduction & Overview Plagiarism • • • • • Plagiarism: “using the work of another person and presenting it as your own” If you use any source material from another source (e.g. text graphics, charts, diagrams, etc.) you must acknowledge that source Contrary to popular belief, Plagiarism is easy to detect Your assignments will be checked for plagiarism, both manually and electronically For more information, go to www.student.mq.edu.au/plagiarism 3 Introductions (1 minute maximum) • • • • • Name Organisation Position Type of operation Why are you here? 4 2 Business Services – Operations Management Session 1 – Introduction & Overview Course Objectives Gain an appreciation of technologies available, and how they are applied to operations. Develop an ability to integrate these technologies with corporate and operations strategies. Recognise how successful operations management can lead to Recognis operations sustainable competitive advantage. dvantage. Understand the dynamics of...
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...Part One Introduction 1. The Operations Function 3. Product Design The introductory part of this book provides an overview of the operations management field and some of the prerequisites for decision making in operations: operations strategy and product design. After reading this part, the student should have an appreciation for the importance of operations to the firm, the major decisions made in operations, the linkages of operations decisions to other functions, and the need for strategy to guide all operations decision making. New-product design is treated as a cross-functional decision responsibility that precedes production of goods or services. 2. Operations and Supply Chain Strategy Chapter One The Operations Function Chapter outline 1.1 1.2 1.3 1.4 1.5 1.6 1.7 1.8 Why study operations management? Definition of operations management Decisions at Pizza U.S.A. Operations decisions—a framework Cross-functional decision making Operations as a process Contemporary operations themes Key points Student Internet exercises Discussion questions Selected bibliography “What Is OM?” Vol. XI 2 Operations management, as a field, deals with the production of goods and services. Every day we come in contact with an abundant array of goods or services, all of which are produced under the supervision of operations managers. Without effective management of operations, a modern industrialized society cannot exist. Operations is the engine that creates profit for the enterprise...
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...Competing with Operations 1Copyright ©2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter 1 Competing with Operations TRUE/FALSE 1. Operations management refers to the direction and control of inputs that transform processesinto products and services. Answer: True Reference: Operations Management Across the Organization Difficulty: Easy Keywords: operations management, inputs, process, transformation2. As a functional area of a business, Operations translates materials and services into outputs. Answer: True Reference: Operations Management Across the Organization Difficulty: Easy Keywords: operations management, inputs, process, transformation3. The three main line functions of any business include Operations, Finance and Marketing. Answer: True Reference: Operations Management Across the Organization Difficulty: Easy Keywords: operations management, inputs, process, transformation4. Support functions in an organization include Operations, Finance and Marketing. Answer: False Reference: Operations Management Across the Organization Difficulty: Easy Keywords: operations management, inputs, process, transformation5. Support functions in an organization include Accounting, Human Resources and Engineering. Answer: True Reference: Operations Management Across the Organization Difficulty: Easy Keywords: operations management, inputs, process, transformation6. A process involves transforming...
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...Fundamental of Operation Management 1 1 FUNDAMENTAL OF OPERATION MANAGEMENT 2 Operation Management OVERVIEW What you will learn in this unit: what is operations management? operations management heritage. the roles of operation managers. the function of operations within the organisation. service operations management. manufacturing operations management. Fundamental of Operation Management 3 1.0 INTRODUCTION Operations Management is the science of managing and integrating different form of resources and transform it into service delivery or a product. It involves three core functions of an organisation, basically: finance, operation and marketing. Operations Management heritage was developed from the practice of production management and it encompasses the full spectrum of managerial roles and responsibilities. Both manufacturing and service based operations management has two set of distinct characteristics. 4 Operation Management 1.1 WHAT IS OPERATIONS MANAGEMENT? Operations Management is a set of activities that create value in the forms of goods and services by transforming input into outputs. The types of activities carry out would depend on the nature of the organisation and their business focus. For example a manufacturer’s key focus is to generate output of physical goods, which requires the utilisation of raw material, labour, machinery and management capabilities in order to create an economic value. The key word in understanding...
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...2 Task 1: Nature and the Importance of Operation Management 2 Task 2: The Link between Operation Management and Strategic Planning 4 Task 3: Organizing a Typical Production Process 6 Task 4: Application of Relevant Technique to the Production of an Operational Plan for an Organization 7 Conclusion: 9 References: 10 Introduction Operation management is a part of overall function of a business organization. It means planning, organizing, staffing, leading and controlling the resources of a company those are used to make goods or services of that particular organization. So it can also be said as a part of management function. Operation management is important for any kinds of company including for- profit, not-for-profit, social, commercial etc. IT performs the prime managerial activities of any organization. Weather the organization is service oriented or profit oriented to achieve goals it needs to manage its resources like human, technological, informational etc. organizational management makes the way for a better combination of these resources. In this assignment the nature and importance of operation management will be described. The importance of organization management for an organization, its operation in a selected organization and evaluation of operational management of a selected organization by using a process model also will be described. There is a link between operation management and strategic management it will also be explained. The importance...
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...different. Michael Porter, view on 8th April 2014, (www.brainyquote.com/quotes/quotes/m/michaelpor381643.html) In the long term, the major objective for operations and processes is to provide the business with some form of strategic advantage. This is why the management of business’s processes and operations and its intended overall strategy must be logically connected. Operations strategy can be defined as a pattern of decisions and actions that shapes the long- term vision, objectives and capabilities of the operation and its contribution to overall strategy. But strategies are not always easy to identify. This is because of their intangible nature and the length of time taken for them to be realized. Nevertheless operations strategies can be identified by what they should do. First it should provide a vision for the operation’s resources to contribute to the business as a whole. Secondly it should define the exact means of the operation’s performance objectives. Third it should identify the broad decisions that will help the operations achieve its objectives. The operations strategy must connect from top (Corporate level) and the bottom (experience learnt) of the business. Strategic operations must align market requirements with operations resources. Dell is a good example of market-resource alignment. Operations strategy must set a path for improvement which clearly indicating how the improvement is to take place. This is best addressed by the trade-off between performance...
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...Material Management Proposal OPS/HC571 December 12, 2011 Christopher Kelley Material Management Proposal Material management department is typically responsible for directing the supply chain. Material management is an umbrella department that has many other functions (e.g., central store, laundry and linen operations, and sterile processing). The core purpose of material management is to direct and control the movements of goods in an efficient manner through a hospital system (Langabeer, 2008). This material management proposal document will elaborate on the role materials management plays within a hospital and the role of operations managers in this process. This document will further identify possible constraints a hospital may experience in its supply chain, the potential effects and justification on implementing a new collaborative planning process, and provide suggestions on how to manage a hospital supplied during a disaster. Role of Materials and Operations Management The role of materials and operations management plays within a hospital system is vital to the success of any health care organization. According to Langabeer (2008) material management controls significant resources and have total expenditures, or spending at 50% of a hospital budget. Materials management not only directs and controls the supply chain of a health care organization it is responsible for managing the flow of goods throughout the hospital and carry out supply and resource logistics...
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...CHAPTER 2: Company Overview 5 CHAPTER 3: Operation Management an Introduction at ETA 6 3.1 Managing the 5Ps 6 3.1.1 Concept of 5Ps In Operation Management 6 3.1.2 Managing the 5Ps of Operation Management by ETA 7 3.2 Transformation Process 8 3.2.1 Concept of Transformation Process 8 3.2.2 Practice Of Transformation Process In ETA 9 3.2.3 Implication & Analysis On Transformation Process in ETA 9 3.3 Vs Of Operations 11 3.3.1 Concept Of 4Vs in Operations 11 3.3.2 Implications of 4Vs in ETA 12 CHAPTER 4: Process Design 13 4.1 Concept of Process Design 13 4.2 Process Design In ETA 14 4.2.1 Production Process Involved 14 4.2.2 Production Strategies Involved 15 4.3 Implication and Analysis of Process Design in ETA 15 CHAPTER 5: Plant Layout 17 5.1 Concept Of Plant Layout 17 5.2 Plant Layout Used In ETA 17 5.2.1 Cellular Layout 18 5.2.2 Process or Functional Layout 18 5.3 Implications And Analysis of Plant Layout in ETA 18 CHAPTER 6: Capacity Management 19 6.1 Concept Of Capacity Management 19 5.2 Capacity Management In ETA 20 5.3 Implication And Analysis of Capacity Management In ETA 20 CHAPTER 7: Conclusion 21 Reference 22 CHAPTER 1: Executive Summary CHAPTER 2: Company Overview Operation management involves the management of the systems and process that are required to create the goods and/or services. Stevenson (2007) stated that operation management is the management of the part of the organisation that...
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...1. Both product design and process design are interrelated. The process design means ‘the process by which some functional requirement of people is satisfied through the shaping or configuration of the resources and/or activities that compose a product, or a service, or the transformation process that produces them’. Slack et al., (2010, pp.86) All operation managers are designers of the products and operation management is an activity that manage resource which is devoted for production and delivery of products and services. Additionally (Slack et al, 2008) lecture notes of I G Perera. ‘It is about the way in which organisations produce goods and services.’ The below assignment will show how IKEA’ operations management has made IKEA to one of the most successful furniture retailer in the world. The assignment is divided into three parts. The first part will analyze the elements of IKEA and operation management. The second part will identify the main V’s used by IKEA and design process. The third part will identify how IKEA has met customer needs and will explain how the business objectives of IKEA is met. At the end, recommendations for IKEA will be provided and a conclusion is drawn. Every organization has a part for the operations functions as all organization produce products or services. Research has noted that most important element in IKEA furniture’s is that they are self-assembled. A view of the IKEA furniture is outlined in Why You Love That IKEA Table, Even If...
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...Assignment in Production and Operation Management 1. Production/operations management is the process, which combines and transforms various resources used in the production/operations subsystem of the organization into value added product/services in a controlled manner as per the policies of the organization. Therefore, it is that part of an organization, which is concerned with the transformation of a range of inputs into the required (products/services) having the requisite quality level. Production function is that part of an organization, which is concerned with the transformation of a range of inputs into the required outputs (products) having the requisite quality level. Production is defined as “the step-by-step conversion of one form of material into another form through chemical or mechanical process to create or enhance the utility of the product to the user.” Thus production is a value addition process. At each stage of processing, there will be value addition. 2. Operations Management The study of set of activities comprising supervision, planning and designing of business operations in the field of manufacturing of goods and services is termed as operations management. The purpose of operations management is to make certain that the operations of a business are efficient and effective and result in minimum of wastage. Operations management tries to cut down resources involved in operations while at the same time making operations more effective and productive...
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...Topic 1 I Operations Management 1 List of Key Topics 1. Introduction to Operations Management 2. Performance Objectives & Operations Strategy 3. The Design of Products and Services 4. Facilities Location 5. Demand Forecasting and Capacity Management 6. Process Types 7. Facilities Layout and Flow 8. Process Design and Technology 9. Performance Improvement o Operations Management All organizations have an operations function Operations Function of an Airline – Fly passengers Operations Function of a Hotel – To provide accommodation 1 Operations Management is broad term for a range of activities to ensure that function is carried out efficiently and effectively The Evolution of Operations Management The Production Era; The Sales Era; The Marketing Era Operations differ in terms of The Volume of their output The Variety of their output The Variation of their output The Visibility which customers have of the process 2 Topic 2 Performance Objectives & Operations Strategy The Systems Approach 1 Synistanai – “bring together” or “combine” 2 Bringing together a set of interrelated parts to accomplish a set of objectives. 3 4 Transformational Model 5 Inputs Transformation Outputs 6 7 Operations Performance Objectives Quality – Doing things...
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...Operations Management: Processes and Supply Chains Chapter 1 Using Operations to Compete 1) Operations management refers to the direction and control of inputs that transform processes into products and services. Answer: TRUE Reference: Operations and Supply Chain Management Across the Organization Difficulty: Easy Keywords: operations management, inputs, process, transformation 2) As a functional area of a business, Operations translates materials and services into outputs. Answer: TRUE Reference: Operations and Supply Chain Management Across the Organization Difficulty: Easy Keywords: operations management, inputs, process, transformation 3) The three main line functions of any business include Operations, Finance and Marketing. Answer: TRUE Reference: Operations and Supply Chain Management Across the Organization Difficulty: Easy Keywords: operations management, inputs, process, transformation 4) Support functions in an organization include Accounting, Human Resources and Engineering. Answer: TRUE Reference: Operations and Supply Chain Management Across the Organization Difficulty: Easy Keywords: operations management, inputs, process, transformation 5) A process involves transforming inputs into outputs. Answer: TRUE Reference: A Process View Difficulty: Easy Keywords: process, inputs, outputs 6) Inputs to a process can include human resources. Answer: TRUE Reference: A Process View Difficulty: Easy Keywords:...
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