1. ABC classification ANS >>> Process of classifying items in descending order
based on annual dollar volume or some other criteria. The list is then split into 3
classes - A, B, and C. A represents 10-20% of items but 50-70% of dollar volume;
B represents 20% of items and 20% of dollar volume; C represents 60-70% of items
but 10-30% of dollar volume. This principle states that effort and money can be
saved by applying looser controls to the low dollar volume items (C class) than the
higher dollar volume items (A & B classes) and applies to inventory, purchasing,
sales, etc.
2. Advance ship notice (ASN) ANS >>> Electronic data interchange (EDI)
notification of shipment of goods
mailto:https://www.stuvia.com/en-us/user/techgrades
, 3. Andon ANS >>> Electronic board that provides visibility of floor status and gives
info to help coordinate efforts linked to work centers; green light = running, red light
= stop, yellow light = needs attention
4. Anticipation inventories ANS >>> Any additional inventory above basic
pipeline stock to cover projected trends of increased sales, planned promo
programs, seasonal fluctuation, plant shutdowns, and vacations
5. Assemble-2-order ANS >>> Production environment where a good or service
can be assembled after receipt of a customer's order. The key components (or
ingredients) used in assembly or finishing process are planned and stocked in
anticipation of
a customer order. Receipt of order initiates assembly of the customized product.
Useful strategy when a large number of end products can be assembled from
common components
6. Available inventory ANS >>> On-hand inventory balance minus allocations,
reservations, backorders, and quantities held for quality problems
7. Backflush ANS >>> Method of inventory bookkeeping where the book inventory
is auto- matically reduced after completion of activity on component's upper-level
parent item based on what should have been used as specified on the BOM and
allocation records; disadvantage is difference between book inventory and physical
OH inven- tory
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, 8. Backhauling ANS >>> Process of transportation returning from original
destination point to point of origin; can be full, partial, or empty load
9. Backlog ANS >>> All customer orders received but not yet shipped (open orders
or order board)
10. Backorder ANS >>> Unfulfilled customer order or commitment. An immediate
(or past due) demand against an item whose inventory is insufficient to satisfy the
demand
11. Back scheduling ANS >>> Technique for calculating operation start dates and
due dates; start with order due date and work backwards to calculate required start
date and/or due dates for each operation
mailto:https://www.stuvia.com/en-us/user/techgrades
, 12. Batch ANS >>> Qty scheduled to be produced or in production; type of mfg
process used to produce items with similar designs & cover wide range of order
volumes; items ordered are of a repeat nature
13. Bill of lading ANS >>> Document issued by a carrier which details a shipment
of mer- chandise and gives title of that shipment to a specified party.
14. Bill of material (BOM) ANS >>> Listing of all the subassemblies, intermediates,
parts, and raw materials that go into a parent assembly showing the quantity of
each required to make an assembly; used in conjunction with the master
production schedule to determine the items for which purchase requisitions and
production orders must be released; list of all the materials needed to make one
production run of a product, by a contract manufacturer, of piece parts/components
for its customers
15. Bonded warehouse ANS >>> Buildings or parts of a building designated by
Sec of Treasury for storing imported goods, operated under supervision of US
Customs
16. Bottleneck ANS >>> Facility, function, department, or resource whose
capacity is less than the demand placed upon it; machine or work center
mailto:https://www.stuvia.com/en-us/user/techgrades
based on annual dollar volume or some other criteria. The list is then split into 3
classes - A, B, and C. A represents 10-20% of items but 50-70% of dollar volume;
B represents 20% of items and 20% of dollar volume; C represents 60-70% of items
but 10-30% of dollar volume. This principle states that effort and money can be
saved by applying looser controls to the low dollar volume items (C class) than the
higher dollar volume items (A & B classes) and applies to inventory, purchasing,
sales, etc.
2. Advance ship notice (ASN) ANS >>> Electronic data interchange (EDI)
notification of shipment of goods
mailto:https://www.stuvia.com/en-us/user/techgrades
, 3. Andon ANS >>> Electronic board that provides visibility of floor status and gives
info to help coordinate efforts linked to work centers; green light = running, red light
= stop, yellow light = needs attention
4. Anticipation inventories ANS >>> Any additional inventory above basic
pipeline stock to cover projected trends of increased sales, planned promo
programs, seasonal fluctuation, plant shutdowns, and vacations
5. Assemble-2-order ANS >>> Production environment where a good or service
can be assembled after receipt of a customer's order. The key components (or
ingredients) used in assembly or finishing process are planned and stocked in
anticipation of
a customer order. Receipt of order initiates assembly of the customized product.
Useful strategy when a large number of end products can be assembled from
common components
6. Available inventory ANS >>> On-hand inventory balance minus allocations,
reservations, backorders, and quantities held for quality problems
7. Backflush ANS >>> Method of inventory bookkeeping where the book inventory
is auto- matically reduced after completion of activity on component's upper-level
parent item based on what should have been used as specified on the BOM and
allocation records; disadvantage is difference between book inventory and physical
OH inven- tory
mailto:https://www.stuvia.com/en-us/user/techgrades
, 8. Backhauling ANS >>> Process of transportation returning from original
destination point to point of origin; can be full, partial, or empty load
9. Backlog ANS >>> All customer orders received but not yet shipped (open orders
or order board)
10. Backorder ANS >>> Unfulfilled customer order or commitment. An immediate
(or past due) demand against an item whose inventory is insufficient to satisfy the
demand
11. Back scheduling ANS >>> Technique for calculating operation start dates and
due dates; start with order due date and work backwards to calculate required start
date and/or due dates for each operation
mailto:https://www.stuvia.com/en-us/user/techgrades
, 12. Batch ANS >>> Qty scheduled to be produced or in production; type of mfg
process used to produce items with similar designs & cover wide range of order
volumes; items ordered are of a repeat nature
13. Bill of lading ANS >>> Document issued by a carrier which details a shipment
of mer- chandise and gives title of that shipment to a specified party.
14. Bill of material (BOM) ANS >>> Listing of all the subassemblies, intermediates,
parts, and raw materials that go into a parent assembly showing the quantity of
each required to make an assembly; used in conjunction with the master
production schedule to determine the items for which purchase requisitions and
production orders must be released; list of all the materials needed to make one
production run of a product, by a contract manufacturer, of piece parts/components
for its customers
15. Bonded warehouse ANS >>> Buildings or parts of a building designated by
Sec of Treasury for storing imported goods, operated under supervision of US
Customs
16. Bottleneck ANS >>> Facility, function, department, or resource whose
capacity is less than the demand placed upon it; machine or work center
mailto:https://www.stuvia.com/en-us/user/techgrades
