Managing Production and ServiceOperations Ch10 - Engineering Management labor.What Operation is • Any process that accepts inputs and uses resources to change those inputs in a useful ways • Inputs include : land. . capital and entrepreneurship. organizing.What Operation Management is •“the process of planning. and controlling operations to reach objectives efficiently and effectively” – Aldag and Sterns . Types of Transformation Process Manufacturing Process: Service Process: a) Job shop b) Batch Flow c) Worker-paced line flow d) Machine paced line flow e) Batch/continuous flow hybrid f) continuous flow a) Service factory b) Service Shop c) Mass Service d) Professional Service . MANUFACTURING PROCESS Job Shop Batch Flow Worker-paced line flow Machine-paced line flow Batch/continuous flow hybrid Continuous flow 5 . The equipment used are general purpose type. Labor intensive and machines are frequently idle. May produce a lot consisting of 20 to 200 or more similar parts. .Job shop Production is based on sales orders for a variety of small lots. Products may be manufactured in a short notice. Not all procedures performed on all products. . The type of equipment used are mostly for general purpose. with less machine idleness. The operation is labor intensive.Batch Flow There is flexibility to produce either low or high volumes. The size of operation is generally medium-sized. The process layout is used. There is a clear process pattern. The type of layout used is the line flow. The process is worker-paced. Labor is still a big cost item. Specialized equipment is used.Worker-Paced Assembly Line The products manufactured are mostly standardized. . The size of operation is variable. The line flow layout is used. Specialized type of equipment used. Operation is large. rigid pattern. Capital equipment is a bigger cost item than labor. The process is machine-paced. .Machine-Paced Assembly line The process of clear. . Uses two layouts.Batch/Continuous Flow Hybrid Combination of batch and the continuous flow. Very large size in operation. for batch and for continuous flow. resulting to low per unit cost of production. The line flow layout is used. Processing is fast. The size of operation is very large. Operations are highly capital expensive.Continuous Flow There is economy of scale in production. . The process is clear and very rigid. Specialized equipment are used. SERVICE PROCESS Service factory Service Shop Mass Service Professional Service 12 . : McDonalds and Shakeys) .Service Factory • offers limited mix of services • Uses process layout (Ex. Service Shop • Provides a diverse mix of services. • Layout: job shop or fixed position (ex: Megashell) . Mass Service • Provides services to a large number of people simultaneously • Layout : Process layout . Professional Services • companies that provide specialized services to other firms or individual .
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