Management Fundamentals

Concepts, Applications, Skills Development

Operations, Quality, Technology, and Information Control Systems

15 A

Time-Based Competition
Strategies to increase the speed of going from creativity to delivery.
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Operations
I. Classifying Operations Systems II. Designing Operations Systems III. Managing Operations Systems

Tangibility of products Customer involvement Flexibility Resources and technology

Product mix and design Facility layout Facility location Capacity planning

Organizing and leading Forecasting and scheduling Inventory control Materials requirement planning Quality control

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Customer Involvement
Operations are make-to-stock, make-to-order, or assembleto-order.

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Operations Flexibility
Products are produced continuously, repetitively, in batches, or individually.
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Product Mix
Includes:
Number of product lines Products within each line. Mixture of goods and services within each line.
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Facilities Layout
Product Layout
Inputs Transformation Transformation Transformation Output

Process or functional layout

Transformation

Inputs ............................ Transformation ............................ Output

Transformation

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(continued)
Cellular layout

Transformation

Inputs Transformation

Output

Fixed-position layout

Inputs

Output
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Priority Scheduling
Continuous evaluation and reordering of the sequence in which products will be produced by using 3 priorities:
First come-first served Earliest due date Shortest operating time

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Inventory Control
The process of managing raw materials, workin-process, finished goods, and in-transit goods.
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Inventory Control within the Systems Process

Inputs Raw Materials Inventory Preliminary Control Transformation Work-in-Process Inventory Concurrent Control Outputs Finished Goods Inventory Rework Control Delivery to Customer In-Transit Inventory Damage Control

Feedback
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Quality Control
The process of ensuring that all 4 types of inventory meet standards.
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1. Put people before things. 2. Always be nice -- no matter how busy you are.

3. Take your time with people.

4. Be polite. Say please, thank you, youre welcome.

5. Dont discriminate with your service. 6. Avoid jargon.

6 Rules of Customer Human Relations

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Statistical Process Control (SPC)

Aids in determining if quality is within the acceptable standard range.
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The Information Systems Process

External Environment
Labor Force Shareholders Society Technology Government Economy Customers Competitors Suppliers

Internal Information Department

Inputs Data

Computer Input Devices Keyboard Modem Disk/CD-ROM Mouse Scanner Light Pen Tape Other Computers

Computer Storage RAM Hard Drive Disk/CD-ROM Tape Computer Processor CPU

Transformation Process Data

Computer Output Devices Video Monitor Printer Modem Disk/CD-ROM Tape Other Computers

Outputs Information

Other Internal Departments

Marketing Operations Finance Human Resources Other

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Transaction processing
3 Types of Information Systems

Management information

Decision support
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Information Network
Remote facilities/Telecommuters

Customers

Headquarters Facility

Suppliers

Databases

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