Operations and Supply Chain Management for MBAs

Cover......Page 1
Title Page......Page 5
Copyright......Page 6
Contents......Page 9
Part 1 Strategy and Execution......Page 19
Chapter 1 Operations and Supply Chain Strategy for Competitiveness......Page 20
1.1 Operations......Page 22
1.1.1. Systems Perspective......Page 23
1.1.3. Transformation Processes......Page 24
1.1.4. Outputs......Page 25
1.1.6. Operations Activities......Page 27
1.1.7. Trends in Operations and Supply Chain Management......Page 28
1.2.1. Costs......Page 29
1.2.3. Innovativeness......Page 30
1.2.5. Quality......Page 32
1.2.6. Customization......Page 33
1.2.7. Responsiveness......Page 36
1.3.1. Global Trends......Page 37
1.3.2. Strategy......Page 39
1.3.3. Strategic Frameworks......Page 40
1.3.4. Core Capabilities......Page 46
Chapter 2 Executing Strategy: Project Management......Page 52
2.1 Defining a Project......Page 55
2.2.1. The Project Portfolio......Page 56
2.2.2. The Project Life Cycle......Page 59
2.2.4. Organizing the Project Team......Page 60
2.2.5 Project Plans......Page 61
2.3 Scheduling the Project......Page 64
2.3.1. Project Scheduling with Certain Activity Times: A Process Improvement Example......Page 65
2.3.2. Project Scheduling with Uncertain Activity Times......Page 68
2.3.3. Project Management Software Capabilities......Page 73
2.3.4. Goldratt’s Critical Chain......Page 74
2.4 Controlling the Project: Earned Value......Page 76
Part 2 Process and Supply Chain Design......Page 83
Chapter 3 Process Planning......Page 84
3.1.1. Continuous Process......Page 86
3.1.2. Flow Shop......Page 87
3.1.3. Job Shop......Page 93
3.1.4. Cellular Production......Page 97
3.2 Selection of a Transformation System......Page 101
3.2.1. Considerations of Volume and Variety......Page 102
3.2.2. Product and Process Life Cycle......Page 104
3.2.3. Service Processes......Page 105
Chapter 4 Capacity and Scheduling......Page 115
4.1 Long-Term Capacity Planning......Page 117
4.1.1. Capacity Planning Strategies......Page 118
4.2 Effectively Utilizing Capacity Through Schedule Management......Page 122
4.2.1. Scheduling Services......Page 124
4.3.1. Process-Flow Analysis......Page 127
4.3.2. Short-Term Capacity Alternatives......Page 133
4.3.3. Capacity Planning for Services......Page 135
4.3.4. The Learning Curve......Page 137
4.3.5. Queuing and the Psychology of Waiting......Page 140
Chapter 5 Supply Chain Planning and Analytics......Page 144
5.1 Importance of Supply Chain Planning and Analytics......Page 146
5.2 Demand Planning......Page 147
5.2.1. Forecasting Methods......Page 148
5.2.2. Factors Influencing the Choice of Forecasting Method......Page 149
5.2.3. Time Series Analysis......Page 150
5.2.4. Causal Forecasting with Regression......Page 159
5.2.5. Assessing the Accuracy of Forecasting Models......Page 165
5.3 Sales and Operations Planning......Page 166
5.3.1. Aggregate Planning Strategies......Page 167
5.3.2. Determining the Service Level: An Example Using the Newsvendor Problem......Page 168
5.3.3. Collaborative Planning, Forecasting, and Replenishment......Page 171
Chapter 6 Supply Chain Management......Page 175
6.1 Defining SCM......Page 178
6.2 Supply Chain Strategy......Page 180
6.2.1. Strategic Need for SCM......Page 181
6.2.2. Measures of Supply Chain Performance......Page 183
6.3 Supply Chain Design......Page 184
6.3.1. Logistics......Page 185
6.4 Sourcing Strategies and Outsourcing......Page 193
6.4.1. Purchasing/Procurement......Page 195
6.4.2. Supplier Management......Page 197
6.5 Inventory and Supply Planning......Page 198
6.5.1. Functions of Inventories......Page 199
6.5.2. Forms of Inventories......Page 200
6.5.3. Inventory-Related Costs......Page 201
6.6 Role of Information Technology......Page 203
6.6.1. ERP......Page 204
6.7 Successful SCM......Page 206
6.7.1. Closed-Loop Supply Chains and Reverse Logistics......Page 207
Supplement A—The Beer Game......Page 213
Part 3 Managing and Improving the Process......Page 217
Chapter 7 Monitoring and Controlling the Processes......Page 218
7.1 Monitoring and Control......Page 219
7.2.1. Stages of Operational Effectiveness......Page 221
7.2.2. Balanced Scorecard......Page 222
7.2.3. The Strategy Map......Page 224
7.2.4. ISO 9000 and 14000......Page 225
7.2.5. Failure Mode and Effect Analysis (FMEA)......Page 226
7.3 Process Control......Page 227
7.3.1. Statistical Process Control......Page 228
7.3.2. Constructing Control Charts......Page 231
7.4 Controlling Service Quality......Page 234
7.4.1. Service Defections......Page 235
Chapter 8 Process Improvement: Six Sigma......Page 243
8.1 Approaches for Process Improvement......Page 246
8.2 Business Process Design (Reengineering)......Page 247
8.3 Six Sigma and the DMAIC Improvement Process......Page 249
8.3.1. Example Six Sigma Project......Page 250
8.4.1. Benchmarking......Page 253
8.4.2. Quality Function Deployment......Page 254
8.5 The Measure Phase......Page 256
8.5.1. Defects per Million Opportunities (DPMO)......Page 257
8.5.2. Measurement Systems Analysis......Page 259
8.6 The Analyze Phase......Page 261
8.6.1. Brainstorming......Page 262
8.6.3. Process Capability Analysis......Page 264
8.7.1. Design of Experiments......Page 267
8.9.1. Six Sigma Roles......Page 269
8.9.3. The Need to Customize Six Sigma Programs......Page 270
Chapter 9 Process Improvement: Lean......Page 276
9.1 History and Philosophy of Lean......Page 279
9.1.1. Traditional Systems Compared with Lean......Page 280
9.2 Specify Value and Identify the Value Stream......Page 284
9.2.1. Identify the Value Stream......Page 286
9.3 Make Value Flow......Page 289
9.3.1. Continuous Flow Manufacturing......Page 290
9.3.2. The Theory of Constraints......Page 291
9.4 Pull Value through the Value Stream......Page 293
9.4.1. Kanban/JIT in Services......Page 294
9.5.2. The Visual Factory......Page 295
9.5.5. Total Productive Maintenance......Page 296
9.6 Benefits of Lean and Lean Six Sigma......Page 297
9.6.1. Lean Six Sigma......Page 298
BPO, Incorporated: Call Center Six Sigma Project......Page 302
Peerless Laser Processors......Page 315
General Micro Electronics, Inc.: Semiconductor Assembly Process......Page 320
Heublein: Project Management and Control System......Page 333
D. U. Singer Hospital Products Corp.......Page 345
Automotive Builders, Inc.: The Stanhope Project......Page 349
Glossary......Page 356
Index......Page 361
EULA......Page 374