Managing operations across the supply chain

Cover
Managing Operations: Across the Supply Chain
Dedication
About the Authors
Preface
Acknowledgments
Walkthrough
Brief Contents
Contents
PART 1: SUPPLY CHAIN: A PERSPECTIVE FOR OPERATIONS MANAGEMENT
	CHAPTER 1: Introduction to Managing Operations Across the Supply Chain
		A Broad Definition of Supply Chain Operations Management
			Get Real: Why You Need to Study Operations Management
			Important Decisions in Supply Chain Operations Management
			Differences in Goods and Services Operations
			Processes and Process Thinking
		Operations Management Yesterday and Today: Growth of the Supply Chain Management Perspective
			Advances in Technology and Infrastructure
			Reduction in Governmental Barriers to Trade
			Focus on Core Capabilities
			Collaborative Networks
		Viewing Operations Management from a Supply Chain Management Perspective
			Operations Management Partners Across the Supply Chain
			Cross-Functional Relationships in Operations Management
			Get Real: Jobs in Operations Management
			The Changing Nature of Supply Chains
			Levels of Operational Planning Across the Supply Chain
		How This Book Is Structured
			Chapter Summary
			Key Terms
			Discussion Questions
			Case: Business Textbook Supply Chain
			Case: Cemex’s Digital Transformation
			Selected Readings & Internet Sites
	CHAPTER 2: Operations and Supply Chain Strategy
		Levels of Strategic Planning
			Corporate Strategic Planning
			Business Unit Strategic Planning
			Functional Strategic Planning
		Developing Operations Strategy: Creating Value Through Strategic Choices
			Key Customers
			Get Real: Huffy Bikes Targets Its Key Customers
			Assessing Customer Wants and Needs
			Value Propositions and Competitive Priorities
			Get Real: Bosch CS20: Finding a New Order Winner by Changing the Way Customers Cut Straight Lines
			Product-Related Competitive Priorities
			Process-Related Competitive Priorities
			Get Real: IKEA: Growth through Supply Chain Innovation
			Capabilities: Strengths and Limitations of Supply Chain Operations
			Get Real: Seven Cycles: Building a Bicycle Your Way
			Get Real: Don’t Expect a Salad at Five Guys Burgers and Fries
			Maintaining the Fit between Customer Outcomes, Value Propositions, and Capabilities
		Deploying Operations Strategy: Creating Value Through Execution
			Feedback/Measurement: Communicating and Assessing Operations Strategy
			The Strategic Profit Model
			Chapter Summary
			Key Terms
			Discussion Questions
			Solved Problem
			Problems
			Case: Otis Toy Trains Explores the Supply Chain
			Case: Steinway & Sons Piano
			Case: Trail Frames Chassis
			Case: Lil’ Me Dolls Deals with the Millions of Toys (MOT) Proposal
			Selected Readings & Internet Sites
			Additional Photo Credits
PART 2: FOUNDATIONS OF OPERATIONS MANAGEMENT
	CHAPTER 3: Managing Processes and Capacity
		Cleaning Up Dry Cleaners
		Processes and Process Thinking
		Anatomy of a Process
			Activities of a Process
			Inputs, Outputs, and Flows
			Get Real: States Reduce Waiting Times for Car License Renewals and Registrations
			Structure
			Management Policies
		Capacity Planning
			Get Real: Capacity Planning Contributes to iPad’s® Success
			Economies and Diseconomies of Scale
		Process Capacity and Utilization
		Principles of Process Performance: The Theory of Constraints
			Principle 1: Every Process Has a Constraint
			Estimating Capacity Requirements
			Principle 2: Every Process Contains Variance That Consumes Capacity
			Get Real: Storyboarding: The Key to Success at Pixar
			Principle 3: Every Process Must Be Managed as a System
			Principle 4: Performance Measures Are Crucial to the Process’s Success
			Principle 5: Every Process Must Continuously Improve
			Chapter Summary
			Key Terms
			Discussion Questions
			Solved Problems
			Problems
			Case: Evergreen Products
			Case: Midas Gold Juice Company
			Case: American Vinyl Products
			Selected Readings
	CHAPTER 3S: Chapter Supplement: Process Mapping and Analysis
		The “Process” of Process Mapping and Analysis
		American Health and Medical Products (AHMP)
			Step 1: Identify the Desired Outcomes in Advance
			Step 2: Identify and Bound the Critical Process
			Step 3: Document the Existing Process (the “Current State” Map)
			Step 4: Analyze the Process and Identify Opportunities for Improvement
			Step 5: Recommend Appropriate Changes to the Process (the “Future State” Map)
			Step 6: Implement the Changes and Monitor Improvements
		Other Process Mapping Tools
			Supplement Summary
			Key Terms
			Problems
			Case: Midwestern Lighting
			Selected Readings
	CHAPTER 4: Product/Process Innovation
		The Role of Product/Process Innovation in Supply Chain Operations Management
			The Product Life Cycle
			How Product/Process Innovation Affects Firm Performance
		Innovation Competencies
			Idea and Opportunity Development
			Get Real: LEGO: Crowdsourcing for Product Ideas and Customer Engagement
			Innovation Portfolio Planning
			Innovation Project Management
			New Product/Process Launch and Learning
			Codevelopment
			Get Real: Codeveloping with a Competitor: Clorox Aligns Its Business Model with P&G
		Product/Process Design and Development
			The Stage-Gate Process
			Integrated Product/Process Design and Development: Concurrent Engineering
			Design for the Customer
			Design for Supply Chain Operations
		Enabling Technologies for Product/Process Innovation
			Get Real: Lockheed Martin Makes the Most of VR in Product Development
			Chapter Summary
			Key Terms
			Discussion Questions
			Problems
			Case: The ALPHA Timer Development Project (A)
			Case: The ALPHA Timer Development Project (B)
			Case: The ALPHA Timer Development Project (C)
			Selected Readings & Internet Sites
	CHAPTER 5: Manufacturing and Service Process Structures
		Process Structures
			Product-Process Matrix
			Processes within a Supply Chain
			Get Real: Adidas Reinvents Athletic Shoe Manufacturing
			Aligning Process Structure and Market Orientation
		Unique Aspects of Service Processes
			Service Process Matrix
			Managing Front-Office and Back-Office Processes
		Operations Layout
			Fixed-Position Layout
			Functional Layout
			Product Layout
			Line Balancing in Product Layouts
			Cellular Layout
		Capability Enabling Technologies
			Get Real: Shopping Goes Hi-Tech
			Information Processing and Sharing
			Process Automation
			Challenges to Digital Transformation
			Chapter Summary
			Key Terms
			Discussion Questions
			Solved Problems
			Problems
			Case: Coffee Roasters
			Case: Sonnie’s Gourmet Sandwich Café
			Selected Readings & Internet Sites
	CHAPTER 6: Managing Quality
		Defining the Dimensions of Quality
			Get Real: Ritz-Carlton: Where Quality Is First and Foremost
			Functional Roles in Quality Management
			Core Values and Concepts of Quality Management
			Get Real: Food Safety in Global Supply Chains—A Real Challenge
		TQM: A “Total” View of Quality
			Recognizing the Total Impacts of Quality Performance
			Get Real: Cost of Quality Analysis Applies to Both Services and Manufacturing
			An Inverted View of Management
			Process-Oriented Focus on Prevention and Problem Solving
			Viewing Quality Management as a Never-Ending Quest
			Building an Organizational Culture around Quality
			Quality Goes Digital
			Get Real: Social Media Are Making Big Impacts on Quality
		Guiding Methodologies for Quality Management
			Plan-Do-Check-Act Cycles (Deming Wheel)
			Six Sigma: A Systematic Approach to Quality Management
			DMAIC: The Six Sigma Process
			Design for Six Sigma
			Get Real: Applying DMAIC to Cough Drops
			Implementing Six Sigma
		Certifying Progress in Quality Management
			ISO 9000: An International Quality Standard
			Attaining ISO 9000 Certification
			Industry Interpretations of ISO 9000
			Chapter Summary
			Key Terms
			Discussion Questions
			Problems
			Case: Aqua-Fun
			Case: A Comment on Management Attitude
			Selected Readings & Internet Sites
	CHAPTER 6S: Chapter Supplement: Quality Improvement Tools
		Overview
		Standard Problem Solving Approach
		Quality Improvement Tools
			Pear Computers: Using Quality Tools to Improve Performance
			Histograms
			Cause-and-Effect Diagrams
			Check Sheets
			Pareto Analysis
			Scatter Diagram
			Process Flow Diagram
			Process Capability Analysis: Cp and Cpk
			Process Control Charts
			Taguchi Methods/Design of Experiments
			Moments of Truth Analysis
			Other Quality Control Tools
			Supplement Summary
			Key Terms
			Solved Problems
			Problems
			Case: The Tragedy of RMS Titanic
			Case: The Bully Boy Bagging Line
			Selected Readings & Internet Sites
	CHAPTER 7: Managing Inventories
		Types and Roles of Inventory
			Types of Inventory
			The Roles of Inventory
		The Financial Impact of Inventory
			Balance Sheet Considerations
			Costs Related to Inventory
		Measures of Inventory Performance
			Asset Productivity: Inventory Turnover and Days of Supply
			Service Level
		Inventory Management Systems
		The Continuous Review Model
			The Case of No Variability
			How Much to Order: Economic Order Quantity
			When to Order: The Reorder Point
			EOQ Extensions
			Enter Variability and Uncertainty
			Determining the Standard Deviation of Demand During Lead Time
			Determining a Service Level Policy
			Revisiting ROP and Average Inventory
		The Periodic Review Model
		Single Period Inventory Model
		Impact of Location on Inventory Requirements
			Location and Inventory/Service Trade-offs
		Managing Inventory
			Managing Cycle Stocks
			Managing Safety Stocks
			Managing Locations
			Inventory Information Systems and Accuracy
			Get Real: Robots and Drones: Automating Inventory Control
			Implementing Inventory Models
		Managing Inventory Across the Supply Chain
			Inventory Value in the Supply Chain
			The Bullwhip Effect
			Integrated Supply Chain Inventory Management
			Get Real: Supplier-Managed Inventory at Stryker Instruments
			Chapter Summary
			Key Terms
			Discussion Questions
			Solved Problems
			Problems
			Case: Inventory at Champion Electric
			Case: Tasty Treats
			Case: Dexter’s Chicken
			Selected Readings & Internet Sites
	CHAPTER 8: Lean Systems
		Lean Systems Defined
			Origins of Lean Systems and Just-in-Time Production
			Strategic Benefit of Lean Systems
			Lean Systems Objectives, Culture, and Guiding Principles
			Get Real: “Picturing” Waste and Value: A Process Mapping Story
		Implementing Lean Systems: Tools and Techniques
			Total Productive Maintenance (TPM)
			Group Technology—Cellular Manufacturing
			Focused Factories
			TAKT Time Flow Balancing
			Get Real: Applying the Focused Factory Idea to an Insurance Firm
			Kanban (Pull) Scheduling
			Get Real: Using Kanbans to Schedule a Steel Mill
			Level, Mixed-Model Scheduling
			Setup Reduction
			Statistical Process Control
			Visual Control
			Quality at the Source
			Get Real: Visual Control in Action: An Andon Board
			Kaizen Events
			Get Real: Delta Faucet Uses a Kaizen Event to Improve Quality and Reduce Scrap
			Process Analysis/Value Stream Mapping
			Poka-Yoke
			Get Real: Eliminating Forgetting Cards at ATMs
			5-S Program
			Simplification/Standardization
		Lean Systems: Range of Application
			Applying Lean Systems within the Firm
			Applying Lean Systems to Services
			Applying Lean Systems Across the Supply Chain
			Applying Lean Systems to Product Innovation
			Chapter Summary
			Key Terms
			Discussion Questions
			Case: Good Guy Hospital Supply
			Case: Purchasing at Midwestern State University
			Case: Western Telephone Manufacturing
			Selected Readings
PART 3: INTEGRATING RELATIONSHIPS ACROSS THE SUPPLY CHAIN
	CHAPTER 9: Customer Service Management
		Basic Service
			Product Availability
			Order-to-Delivery Lead Time
			Service Reliability
			Service Information
			Get Real: JJ’s Dishwasher Delivery Travails
			The Perfect Order
			Technology Enablement of Basic Service
			Limitations of Basic Service
		Customer Satisfaction
			Customer Expectations
			Customer Satisfaction Model
			Limitations of Customer Satisfaction
			Get Real: Overpromising Leads to Dissatisfied Customers
		Customer Success
			Achieving Customer Success
			Get Real: Procter & Gamble’s Service Program
			Customer Relationship Management
			Get Real: Tesco’s Virtual Store
			Get Real: Amazon’s Automated CRM Technology
		Customer Service Strategy
			Chapter Summary
			Key Terms
			Discussion Questions
			Solved Problem
			Problems
			Case: Tiler Industries
			Case: Johnson Snacks
			Selected Readings & Internet Sites
	CHAPTER 10: Sourcing and Supply Management
		Supply Management’s Impact on Firm and Supply Chain Performance
			Supply Management Goals
			Get Real: Resilinc Uses Machine Learning to Increase Supply Chain Resilience
			Get Real: Airbag Supplier Responsible for Largest Recall in U.S. History
			Get Real: Sourcing Increases Sustainability for Caribou Coffee
		Making an Insourcing/Outsourcing Decision
			Get Real: Boeing Reverses Course on Outsourcing
		Supply Category Management
			Identify Purchase Categories
			Develop Strategies Using Portfolio Analysis
			Get Real: K’Nex® Reshoring Toy Production
			Get Real: Self-Driving Cars Are Reshaping Buyer-Supplier Relationships
		Examining the Sourcing Process
			Identify Need and Develop Specifications
			Identify Potential Suppliers
			Assess and Select Suppliers
			Manage Ongoing Supplier Relationships
			Chapter Summary
			Key Terms
			Discussion Questions
			Solved Problems
			Problems
			Case: Category Management at Best Banks
			Case: Trail Frames Chassis: Insourcing/Outsourcing Decision
			Case: Dining Services Sourcing at Midwest University
			Selected Readings & Internet Sites
	CHAPTER 11: Logistics Management
		The Role of Logistics in Supply Chain Management
		Order Processing
		Inventory Management
			Get Real: Walmart Turns to Suppliers to Reduce Inventory
		Transportation Management
			Government’s Role in Transportation
			Transportation Economics
			Consolidation
			Transportation Modes
			Get Real: Mobile Apps Are Transforming the Trucking Industry
			Last Mile Delivery
			Get Real: Tuesday Morning Shifts Modes
			Transportation Service Selection
		Distribution/Fulfillment Management
			Primary Functions of Distribution Centers (DCs)
			DC/FC Operations
			Get Real: GameStop Depends upon Reverse Logistics
		Materials Handling and Packaging
		Logistics Network Design
			Number of Facilities
			Facility Location
			Get Real: Logistics Change Leaves KFC without Chicken
			Center-of-Gravity Method
		Third-Party Logistics Service Providers
			Chapter Summary
			Key Terms
			Discussion Questions
			Solved Problems
			Problems
			Case: Spartan Plastics
			Case: Lear Corporation
			Selected Readings & Internet Sites
PART 4: PLANNING FOR INTEGRATED OPERATIONS ACROSS THE SUPPLY CHAIN
	CHAPTER 12: Demand Planning: Forecasting and Demand Management
		Demand Planning: An Overview
			The Role That Demand Planning Plays in Operations Management
			Planning Activities
		Demand Forecasting
			Components of Demand
			Designing a Forecasting Process
			Judgment-Based Forecasting
			Get Real: Two Examples of Grassroots Forecasting
			Statistical Model–Based Forecasting
			Estimating Trends
			Adjusting Forecasts for Seasonality
			Causal Models
			Simulation Models
			Artificial Intelligence
			Get Real: Lennox Uses Artificial Intelligence to Improve Demand Planning
		Assessing the Performance of the Forecasting Process
			Tracking Forecast Error Acceptability
			Situational Drivers of Forecast Accuracy
		Demand Management
		Improving the Constraints on Demand Planning
			Improving Information Breadth, Accuracy, and Timeliness
			Get Real: Destination Maternity Corporation
			Reducing Lead Time
			Redesigning the Product
			Get Real: Calyx and Corolla Delivers Freshness by Redesigning the Supply Chain
			Get Real: HP Improves the Constraints on Forecasting through Postponement
			Collaborating and Sharing Information
			Chapter Summary
			Key Terms
			Discussion Questions
			Solved Problems
			Problems
			Case: Rachel’s Breakfast Café
			Case: C&F Apparel, Inc.
			Selected Readings & Internet Sites
	CHAPTER 13: Sales and Operations Planning
		Sales and Operations Planning
			S&OP Benefits
			Get Real: One-Number Forecasting at Heinz
			The S&OP Process
			Get Real: Whirlpool and Lowe’s Integrate Their Planning
			S&OP: Recent Trends and Developments
		Aggregate Production Planning
			Relevant Aggregate Planning Costs
			Aggregate Production Strategies
			Get Real: Nintendo Ramps Up Production of the Switch
		Creating an Aggregate Production Plan
			Level Production Plan
			Chase Plan
			Hybrid Plan
			Comparing Aggregate Production Plans
		Aggregate Planning for Service Industries
			Yield Management
			Get Real: Yield Management in the Hotel Industry
			An Example of a Service Aggregate Plan
			Chapter Summary
			Key Terms
			Discussion Questions
			Solved Problem
			Problems
			Case: Med-Chem Products: Hospital Division
			Case: Fitch and Hughes, P.C.
			Selected Readings & Internet Sites
	CHAPTER 14: Materials and Resource Requirements Planning
		Materials Requirements Planning (MRP)
			Get Real: MRP in Services: Using MRP for Surgical Kits
		MRP Inputs
			Master Production Schedule (MPS)
			Bill of Materials (BOM)
			Inventory Records
		MRP Process
		MRP Outputs and Use
		Distribution Requirements Planning (DRP)
			DRP Planning Process
		Capacity Requirements Planning (CRP)
		Advances in Planning Systems
			Enterprise Resource Planning (ERP)
			Get Real: ERP Supports Growth at MOD Pizza
			Advanced Planning and Scheduling (APS)
			Extending Planning across the Supply Chain
			Chapter Summary
			Key Terms
			Discussion Questions
			Solved Problems
			Problems
			Case: QP Industries—The Challenges of Integration
			Case: The Casual Furniture Company
			Selected Readings & Internet Sites
PART 5: MANAGING CHANGE IN SUPPLY CHAIN OPERATIONS
	CHAPTER 15: Project Management
		Projects and Project Management
			How Projects Succeed
			Stages in the Life of a Project
		Project Definition
			Organizing the Project: Pure, Functional, and Matrix Projects
			Selecting a Project Manager
			Organizing Project Teams
			Get Real: The Case of Mistaken Spray-N-Wash
			Establishing a Project Charter
		Project Planning
			Budgeting for Time and Cost
			Detailed Scheduling Using the Critical Path Method
			Get Real: Project Management Software Helps Get the Job Done
			Analyzing Resources and Trade-Offs
			Making Time-Cost-Scope Trade-Offs
			Planning for Uncertainty
		Project Execution
			When to Kill a Project
		Project Completion
		Managing a Portfolio of Projects
			Chapter Summary
			Key Terms
			Discussion Questions
			Solved Problem
			Problems
			Case: Derek’s European Tour
			Case: Monolith Productions
			Selected Readings & Internet Sites
	CHAPTER 15S: Chapter Supplement: Advanced Methods for Project Scheduling
		Project Crashing: Making Time-Cost Trade-Offs
		Scheduling a Project with Probabilistic Task Duration Estimates
			Supplement Summary
			Key Terms
			Discussion Questions
			Solved Problem
			Problems
			Selected Readings & Internet Sites
	CHAPTER 16: Sustainable Operations Management—Preparing for the Future
		The Triple Bottom Line
		The First P—Planet
			Get Real: Disney Sustainability
			Implications for Operations Management: A Broader View of Waste
			Get Real: Tesco Drops Its Carbon Label Pledge
			Get Real: Paper or Plastic?
			ISO 14000—The Standard for Environmental Management Systems
			Challenges of Being Environmentally Sustainable
		The Second P—People
			Get Real: Starbucks and “Fair Trade”
			Organizational Culture
			Get Real: Zappos Culture Sows Spirit
			National Culture
			Get Real: Dabbawallahs—Managing the Lunchtime Food Supply Chain in Bombay, India
		The Third P—Profit and Long-Term Competitive Advantage
			Changes in Key Customers
			Changes in Value Propositions
			Changes in Operational Capabilities
			Get Real: Starbucks Reserve
			Balancing the 3 Ps
			Get Real: Patagonia Outdoor Sportswear
			Measuring and Reporting Sustainability through the Triple Bottom Line
			Chapter Summary
			Key Terms
			Discussion Questions
			Case: EuroConstellation Electronics
			Case: The Problem with Plastics
			Case: The Hypercar
			Case: Sourcing Outside the Cage
			Selected Readings & Internet Sites
APPENDIX A
APPENDIX B
Key Themes
INDEXES
	NAME INDEX
	SUBJECT INDEX