LO5-1 Compare and contrast the process structures
LO5-2 Compare and contrast the goals and challenges associated manufacturing and service processes
LO5-3 Describe how and why each of the operations layouts is designed
LO5-4 Analyze a product layout using line balancing
LO5-5 Explain how technology is used in the supply chain
LO5-6 Use indifference analysis in process selection decisions
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Copyright © 2014 McGraw-Hill Higher Education. All rights reserved.CHAPTER 5Manufacturing and Service Process StructuresMcGraw-Hill/IrwinLearning Objectives5–2LO5-1 Compare and contrast the process structuresLO5-2 Compare and contrast the goals and challenges associated manufacturing and service processesLO5-3 Describe how and why each of the operations layouts is designed LO5-4 Analyze a product layout using line balancingLO5-5 Explain how technology is used in the supply chainLO5-6 Use indifference analysis in process selection decisionsProduct-Process Matrix5–3Figure 5-1LO5-1Process Structure and Market Orientation5–4Engineer to Order (ETO): unique, customized productsMake to Order (MTO): similar design, customized during productionAssemble to Order (ATO): produced from standard components and modulesMake to Stock (MTS): goods made and held in inventory in advance of customer ordersLO5-1Service Process Matrix5–5LO5-2Service BlueprintingCustomer actions: all actions done by customers during service deliveryFront office: employee actions in the face-to-face encounterBack office: behind the scenes activitiesSupport processes: activities necessary for the service, done by employees without direct customer contactPhysical evidence: tangibles the customers see or collect from the organization5–6LO5-2Operations LayoutFixed position: product cannot be moved during productionFunctional: groups together similar resourcesProduct: resources arranged by regularly occurring sequence of activities5–7LO5-3Line Balancing in Product LayoutsUsed to assign individual tasks to work areas for a desired output rateDetermine precedence relationshipsCalculate Takt timeDetermine minimum number of work stations Determine efficiency5–8LO5-4Supply Chain Technologies5–9LO5-5Manufacturing/Service Process SummaryProduct-process matrix classifies processes based on volume and varietyService are categorized by customization and labor/capital intensityServices processes can be front or back officeLayouts should fit with processes usedProcess automation and technology affects costs and capabilities5–10
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