WGU C215 Operations Management -Objective Assessment Prep Guide & Terminologies Combo Study Guide

WGU C215 Operations Management -Objective Assessment Prep Guide & Terminologies Combo Study Guide 1. customer focus 2. continuous improvement 3. employee empowerment 4. use of quality tools 5. product design 6. process management 7. managing supplier 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 Third-Party 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-to-order 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 break-even analysis