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, TABLE OF CONTENTS
Solutions Manual: Principles of Operations Management: Global
Edition, 12th Edition
Authors: Jay Heizer, Barry Render, Chuck Munson
ST
PART 1: INTRODUCTION TO OPERATIONS MANAGEMENT
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1. Operations and Productivity
2. Operations Strategy in a Global Environment
3. Project Management
4. Forecasting
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PART 2: DESIGNING OPERATIONS
5. Design of Goods and Services
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Supplement 5: Sustainability in the Supply Chain
6. Managing Quality
Supplement 6: Statistical Process Control
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7. Process Strategies
Supplement 7: Capacity and Constraint Management
8. Location Strategies
9. Layout Strategies
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10. Human Resources, Job Design, and Work Measurement
PART 3: MANAGING OPERATIONS
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11. Supply Chain Management
Supplement 11: Supply Chain Management Analytics
12. Inventory Management
13. Aggregate Planning and S&OP
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14. Material Requirements Planning (MRP) and ERP
15. Short-Term Scheduling
16. Lean Operations
17. Maintenance and Reliability
, Part 1: Solutions Manual Answers
1
C H A P T E R
Operations and Productivity
ST
UV
DISCUSSION QUESTIONS
1. The text suggests four reasons to study OM. We want to understand (1) how people organize themselves for productive enterprise,
(2) how goods and services are produced, (3) what operations managers do, and (4) this costly part of our economy and most enterprises.
LO 1.1: Define operations management
AACSB: Application of knowledge
IA
2. With some 40% of all jobs being in the OM field, the career opportunities are prolific. The text suggests many career opportunities. OM
students find initial jobs throughout the OM field, including supply chain, logistics, purchasing, production planning and scheduling, plant layout,
maintenance, quality control, inventory management, etc.
_M
LO 1.3: Identify career opportunities in operations management
AACSB: Application of knowledge
3. Possible responses include: Adam Smith (work specialization/ division of labor), Charles Babbage (work specialization/division of labor),
Frederick W. Taylor (scientific management), Walter Shewart (statistical sampling and quality control), Henry Ford (moving assembly line),
ED
Charles Sorensen (moving assembly line), Frank and Lillian Gilbreth (motion study), and Eli Whitney (standardization).
LO 1.1: Define operations management
AACSB: Application of knowledge
GE
4. See references in the answer to Question 3.
LO 1.1: Define operations management
AACSB: Application of knowledge
E
5. The actual charts will differ, depending on the specific organization the student chooses to describe. The important thing is for students
to recognize that all organizations require, to a greater or lesser extent, (a) the three primary functions of operations, finance/accounting, and
K
marketing; and (b) that the emphasis or detailed breakdown of these functions is dependent on the specific competitive strategy employed by
the firm.
LO 1.1: Define operations management
AACSB: Application of knowledge
??
6. The basic functions of a firm are marketing, accounting/ finance, and operations. An interesting class discussion: “Do all firms/organizations
(private, government, not-for-profit) perform these three functions?” The authors’ hypothesis is yes, they do.
LO 1.1: Define operations management
AACSB: Application of knowledge
, 2 CHAPTER 1 O P E R A T I O N S AND PR O D U C T I V I T Y
7. The 10 strategic decisions of operations management are product design, quality, process, location, layout, human resources, supply chain
management, inventory, scheduling (intermediate and short-term), and maintenance. We find this structure an excellent way to help students
organize and learn the material.
LO 1.1: Define operations management
AACSB: Application of knowledge
ST
8. The 10 decisions as applied to Amazon: (1) Product design—defining the product may initiate an interesting discussion. Is the product
the over 12 million products available, or is the product the ease of order entry, convenience, and home delivery? Probably both.
(2) Quality management—quality is built into every aspect of the Amazon culture, from item and order identification, and from the supplier
through receipt, process design, human resource training, inventory tracking, etc. Multiple checks of items are standard. Errors in order
receipts or shipment are very expensive. (3) Process strategy—receipt, movement to storage, and pulling of product for shipment are all state
UV
of the art. Amazon’s process mimics in many ways an assembly line … where the workers stand still and the product is brought to the worker,
rather than movement of personnel up and down aisles to “pull” merchandise. (4) Location strategy—Amazon’s facilities are strategically
located worldwide to facilitate rapid delivery. (5) Layout strategy—facilities are designed and redesigned to meet the changing state-of-the-
art innovations, from Kivas (moving storage bins) to “pull to light.” (6) Human resources—a non-union workforce has allowed continuing
innovation in job design, work assignments, flexible short-term and long-term (seasonal) work schedules, and benefits.
(7) Supply chain management—volume has given Amazon substantial negotiating flexibility. Amazon has also been willing to design and
IA
produce its own “copycat” products when it seems advantageous. (8) Inventory management—sophisticated item receipt and storage over
multiple facilities, along with customer order tracking that facilitates shipment of orders from multiple locations to ensure complete orders,
gives Amazon a huge advantage. (9) Scheduling—the combination of inventory management, superior software, and a great process allows
Amazon to ship in 15 minutes … the time from the customer’s keyboard order click to shipment is 15 minutes. (10) Maintenance—the
facility maintenance is rather simple as factories go … it is complex, but they are not making rockets either. However, the software for
_M
customer order entry, Kiva control, inventory, and order management—over multiple facilities—is complex and requires ongoing
development, backups, and updating.
LO 1.1: Define operations management
AACSB: Application of knowledge
ED
9. Production deals with the transformation of inputs into outputs. Productivity is the ratio of outputs (goods and services) to inputs (resources
such as labor and capital). Increase in production can be attained by engaging more labor, adding more equipment, etc., regardless of the cost of
attaining this increase, while higher productivity can be achieved through the efficient and effective use of resources. Therefore, an increase in
production does not necessarily mean an increase in productivity. For example, if 90 people are employed in a meat food production line and
produce the same volume of goods over the same period as 70 people working in another meat food production line, the quantities of output
(production) of the two lines are equal, but the productivity of the latter is higher than that of the former.
GE
LO 1.8: Identify the critical variables in enhancing productivity
AACSB: Application of knowledge
10. Productivity is harder to measure when the task becomes more intellectual. A knowledge society implies that work is more intellectual
E
and therefore harder to measure. Because the U.S. and many other countries are increasingly “knowledge” societies, productivity is harder
to measure. Using labor-hours as a measure of productivity for a postindustrial society versus an industrial or agriculture society is very
different. For example, decades spent developing a marvelous new drug or winning a very difficult legal case on intellectual property rights
K
may be significant for postindustrial societies, but not show much in the way of productivity improvement measured in labor-hours.
LO 1.8: Identify the critical variables in enhancing productivity
AACSB: Analytical thinking
??
11. Productivity is difficult to measure because precise units of measure may be lacking, quality may not be consistent, and exogenous
variables may change.
LO 1.8: Identify the critical variables in enhancing productivity
AACSB: Reflective thinking
12. Mass customization is the flexibility to produce to meet specific customer demands, without sacrificing the low cost of a product-oriented
process. Rapid product development is a source of competitive advantage. Both rely on agility within the organization.
EK
GE
ED
_M
IA
UV
ST
, TABLE OF CONTENTS
Solutions Manual: Principles of Operations Management: Global
Edition, 12th Edition
Authors: Jay Heizer, Barry Render, Chuck Munson
ST
PART 1: INTRODUCTION TO OPERATIONS MANAGEMENT
UV
1. Operations and Productivity
2. Operations Strategy in a Global Environment
3. Project Management
4. Forecasting
IA
PART 2: DESIGNING OPERATIONS
5. Design of Goods and Services
_M
Supplement 5: Sustainability in the Supply Chain
6. Managing Quality
Supplement 6: Statistical Process Control
ED
7. Process Strategies
Supplement 7: Capacity and Constraint Management
8. Location Strategies
9. Layout Strategies
GE
10. Human Resources, Job Design, and Work Measurement
PART 3: MANAGING OPERATIONS
EK
11. Supply Chain Management
Supplement 11: Supply Chain Management Analytics
12. Inventory Management
13. Aggregate Planning and S&OP
??
14. Material Requirements Planning (MRP) and ERP
15. Short-Term Scheduling
16. Lean Operations
17. Maintenance and Reliability
, Part 1: Solutions Manual Answers
1
C H A P T E R
Operations and Productivity
ST
UV
DISCUSSION QUESTIONS
1. The text suggests four reasons to study OM. We want to understand (1) how people organize themselves for productive enterprise,
(2) how goods and services are produced, (3) what operations managers do, and (4) this costly part of our economy and most enterprises.
LO 1.1: Define operations management
AACSB: Application of knowledge
IA
2. With some 40% of all jobs being in the OM field, the career opportunities are prolific. The text suggests many career opportunities. OM
students find initial jobs throughout the OM field, including supply chain, logistics, purchasing, production planning and scheduling, plant layout,
maintenance, quality control, inventory management, etc.
_M
LO 1.3: Identify career opportunities in operations management
AACSB: Application of knowledge
3. Possible responses include: Adam Smith (work specialization/ division of labor), Charles Babbage (work specialization/division of labor),
Frederick W. Taylor (scientific management), Walter Shewart (statistical sampling and quality control), Henry Ford (moving assembly line),
ED
Charles Sorensen (moving assembly line), Frank and Lillian Gilbreth (motion study), and Eli Whitney (standardization).
LO 1.1: Define operations management
AACSB: Application of knowledge
GE
4. See references in the answer to Question 3.
LO 1.1: Define operations management
AACSB: Application of knowledge
E
5. The actual charts will differ, depending on the specific organization the student chooses to describe. The important thing is for students
to recognize that all organizations require, to a greater or lesser extent, (a) the three primary functions of operations, finance/accounting, and
K
marketing; and (b) that the emphasis or detailed breakdown of these functions is dependent on the specific competitive strategy employed by
the firm.
LO 1.1: Define operations management
AACSB: Application of knowledge
??
6. The basic functions of a firm are marketing, accounting/ finance, and operations. An interesting class discussion: “Do all firms/organizations
(private, government, not-for-profit) perform these three functions?” The authors’ hypothesis is yes, they do.
LO 1.1: Define operations management
AACSB: Application of knowledge
, 2 CHAPTER 1 O P E R A T I O N S AND PR O D U C T I V I T Y
7. The 10 strategic decisions of operations management are product design, quality, process, location, layout, human resources, supply chain
management, inventory, scheduling (intermediate and short-term), and maintenance. We find this structure an excellent way to help students
organize and learn the material.
LO 1.1: Define operations management
AACSB: Application of knowledge
ST
8. The 10 decisions as applied to Amazon: (1) Product design—defining the product may initiate an interesting discussion. Is the product
the over 12 million products available, or is the product the ease of order entry, convenience, and home delivery? Probably both.
(2) Quality management—quality is built into every aspect of the Amazon culture, from item and order identification, and from the supplier
through receipt, process design, human resource training, inventory tracking, etc. Multiple checks of items are standard. Errors in order
receipts or shipment are very expensive. (3) Process strategy—receipt, movement to storage, and pulling of product for shipment are all state
UV
of the art. Amazon’s process mimics in many ways an assembly line … where the workers stand still and the product is brought to the worker,
rather than movement of personnel up and down aisles to “pull” merchandise. (4) Location strategy—Amazon’s facilities are strategically
located worldwide to facilitate rapid delivery. (5) Layout strategy—facilities are designed and redesigned to meet the changing state-of-the-
art innovations, from Kivas (moving storage bins) to “pull to light.” (6) Human resources—a non-union workforce has allowed continuing
innovation in job design, work assignments, flexible short-term and long-term (seasonal) work schedules, and benefits.
(7) Supply chain management—volume has given Amazon substantial negotiating flexibility. Amazon has also been willing to design and
IA
produce its own “copycat” products when it seems advantageous. (8) Inventory management—sophisticated item receipt and storage over
multiple facilities, along with customer order tracking that facilitates shipment of orders from multiple locations to ensure complete orders,
gives Amazon a huge advantage. (9) Scheduling—the combination of inventory management, superior software, and a great process allows
Amazon to ship in 15 minutes … the time from the customer’s keyboard order click to shipment is 15 minutes. (10) Maintenance—the
facility maintenance is rather simple as factories go … it is complex, but they are not making rockets either. However, the software for
_M
customer order entry, Kiva control, inventory, and order management—over multiple facilities—is complex and requires ongoing
development, backups, and updating.
LO 1.1: Define operations management
AACSB: Application of knowledge
ED
9. Production deals with the transformation of inputs into outputs. Productivity is the ratio of outputs (goods and services) to inputs (resources
such as labor and capital). Increase in production can be attained by engaging more labor, adding more equipment, etc., regardless of the cost of
attaining this increase, while higher productivity can be achieved through the efficient and effective use of resources. Therefore, an increase in
production does not necessarily mean an increase in productivity. For example, if 90 people are employed in a meat food production line and
produce the same volume of goods over the same period as 70 people working in another meat food production line, the quantities of output
(production) of the two lines are equal, but the productivity of the latter is higher than that of the former.
GE
LO 1.8: Identify the critical variables in enhancing productivity
AACSB: Application of knowledge
10. Productivity is harder to measure when the task becomes more intellectual. A knowledge society implies that work is more intellectual
E
and therefore harder to measure. Because the U.S. and many other countries are increasingly “knowledge” societies, productivity is harder
to measure. Using labor-hours as a measure of productivity for a postindustrial society versus an industrial or agriculture society is very
different. For example, decades spent developing a marvelous new drug or winning a very difficult legal case on intellectual property rights
K
may be significant for postindustrial societies, but not show much in the way of productivity improvement measured in labor-hours.
LO 1.8: Identify the critical variables in enhancing productivity
AACSB: Analytical thinking
??
11. Productivity is difficult to measure because precise units of measure may be lacking, quality may not be consistent, and exogenous
variables may change.
LO 1.8: Identify the critical variables in enhancing productivity
AACSB: Reflective thinking
12. Mass customization is the flexibility to produce to meet specific customer demands, without sacrificing the low cost of a product-oriented
process. Rapid product development is a source of competitive advantage. Both rely on agility within the organization.
