Documentos de Académico
Documentos de Profesional
Documentos de Cultura
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Organizational Charts
Airline Operations
Ground support equipment Maintenance Ground Operations Facility maintenance Catering Flight Operations Crew scheduling Flying Communications Dispatching Management science
Finance/ accounting
Accounting Payables Receivables General Ledger Finance Cash control International exchange
Marketing
Traffic administration Reservations Schedules Tariffs (pricing) Sales Advertising
Figure 1.1(B)
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Finance/ accounting
Disbursements/ credits Receivables Payables General ledger Funds Management Money market International exchange Capital requirements Stock issue Bond issue and recall
Marketing
Sales promotion Advertising Sales Market research
Design
Product development and design Detailed product specifications
Industrial engineering
Efficient use of machines, space, and personnel
Process analysis
Development and installation of production tools and equipment
Figure 1.1(C)
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Table 1.2
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Opportunities
Figure 1.2
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Significant Events in OM
Figure 1.3
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New Challenges in OM
From
Local or national focus Batch shipments Low bid purchasing Lengthy product development Standard products Job specialization
To
Global focus Just-in-time Supply-chain partnering Rapid product development, alliances Mass customization Empowered employees, teams
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75
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50
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25
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0
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25
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50
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75
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100%
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United State
Canad Franc
Ita Brita
Japa W. German
40
50
1970
2010 (est)
60 70 Percent
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Productivity Challenge
Productivity is the ratio of outputs (goods and services) divided by the inputs (resources such as labor and capital) The objective is to improve productivity!
Important Note! Production is a measure of output only and not a measure of efficiency
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Operations improvements have helped Starbucks increase yearly Stop requiring signatures Saved 8 seconds revenue per on credit card purchases outlet by $200,000 to per transaction $940,000 in six years. under $25 Productivity Change the size of the ice has improved by 27%, Saved 14 seconds or about 4.5% per year. scoop per drink New espresso machines Saved 12 seconds per shot
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Productivity
Units produced Productivity = Input used Measure of process improvement Represents output relative to input Only through productivity increases can our standard of living improve
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Productivity Calculations
Labor Productivity
Units produced Productivity = Labor-hours used 1,000 = = 4 units/labor-hour 250 One resource input single-factor productivity
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MultiMulti-Factor Productivity
Output Productivity = Labor + Material + Energy + Capital + Miscellaneous
Also known as total factor productivity Output and inputs are often expressed in dollars
Multiple resource inputs multi-factor productivity
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8 titles/day Old labor = productivity 32 labor-hrs = .25 titles/labor-hr 14 titles/day New labor = productivity 32 labor-hrs labor1 - 22
8 titles/day Old labor = productivity 32 labor-hrs = .25 titles/labor-hr 14 titles/day New labor = = .4375 titles/labor-hr productivity 32 labor-hrs % change :
0.4375 0.25 new old v100% ! 75% increase v100% ! 0.25 old 1 - 23
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8 titles/day Old multifactor = .0077 titles/dollar = productivity $640 + 400 14 titles/day New multifactor = productivity $640 + 800
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8 titles/day Old multifactor = .0077 titles/dollar = productivity $640 + 400 14 titles/day New multifactor = = .0097 titles/dollar productivity $640 + 800 % change :
0.0097 0.0077 new old v100% ! 26% increase v100% ! 0.0077 old
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Productivity Variables
1. Labor - contributes about 10% of the annual increase 2. Capital - contributes about 38% of the annual increase 3. Management contributes about 52% of the annual increase
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Problem 1
A company that makes shopping carts for supermarkets and other stores recently purchased some new equipment that reduces the labor content of the jobs needed to produce the shopping carts. Prior to buying the new equipment, the company used five workers, who produced an average of 80 carts per hour. Workers receive $10 per hour, and machine cost was $40 per hour. With the new equipment, it was possible to transfer one of the workers to another department, and equipment cost increased by $10 per hour while output increased by four carts per hour. a) Compute labor productivity of the system. Use carts per worker per hour as the measure of labor productivity. b) Compute the multifactor productivity under each system. Use carts per dollar cost (labor plus equipment) as the measure. c) Comment on the changes in productivity according to the two measures, and on which one you believe is the more pertinent for this situation.
Problem 2
A company offers ID theft protection using leads obtained from client banks. Three employees work 40 hours a week on the leads, at a pay rate of $25 per hour per employee. Each employee identifies an average of 3,000 potential leads a week from a list of 5,000. An average of 4 percent actually sign up for the service, paying a one-time fee of $70. Material costs are $1,000 per week, and overhead costs are $9,000 per week. Calculate the multifactor productivity for this operation in fees generated per dollar input.
Problem 3
An operation has a 10 percent scrap rate (i.e. 10% of the pieces produced are discarded because of defects). As a result, 72 pieces per hour are produced. What is the potential increase in labor productivity that could be achieved by eliminating the scrap (i.e. 0% scrap rate)?
Question: What are effective ways to motivate hourly employees vs. salaried managers?
If productivity of these workers is below expectation, what are good and poor ways to try to motivate them? What methods might work well with blue collar employees but not white collar employees, and vice-versa? What methods might work well in the short run but not in the long run, and vice-versa?
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OPMG 310 Fall 2011
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Outline
Developing Missions And Strategies
Mission Strategy
Global Strategies
Boeing sales and production are worldwide Benetton moves inventory to stores around the world faster than its competition by building flexibility into design, production, and distribution Sony purchases components from suppliers in Thailand, Malaysia, and around the world
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Reasons to Globalize
Reasons to Globalize Tangible 1. Reduce costs (labor, taxes, tariffs, etc.) Reasons 2. Improve supply chain 3. Provide better goods and services 4. Understand markets Intangible 5. Learn to improve operations Reasons 6. Attract and retain global talent
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Mission
Mission - where are you going?
Organizations purpose for being Answers What do we provide society? Provides boundaries and focus
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Mission of the Management Department Our mission is to develop business leaders who are dedicated to the betterment of society by providing a high quality business education to top caliber students from all segments of Egyptian society as well as from other countries while focusing on continuous improvement and a commitment to excellence in learning, intellectual contributions and service.
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Public Image
Sample Missions
Sample Company Mission
To manufacture and service an innovative, growing, and profitable worldwide microwave communications business that exceeds our customers expectations.
Figure 2.3
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Sample Missions
Sample OM Department Missions
Product design To design and produce products and services with outstanding quality and inherent customer value. To attain the exceptional value that is consistent with our company mission and marketing objectives by close attention to design, procurement, production, and field service operations To determine, design, and produce the production process and equipment that will be compatible with low-cost product, high quality, and good quality of work life at economical cost.
Figure 2.3
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Quality management
Process design
Strategic Process
Organizations Mission
Marketing
Operations
Finance/ Accounting
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Strategy
Action plan to achieve mission Functional areas have strategies Strategies exploit opportunities and strengths, neutralize threats, and avoid weaknesses
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Competitive Advantage
Differentiation (better)
Figure 2.4
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(AUC Management Department)In support of this mission the department: -Provides a high quality contemporary-style business education that blends a global perspective with national cultures and is relevant to the business needs of Egypt and the region. -Provides programs that encourage the development of an entrepreneurial spirit that emphasizes creativity, innovation, individual initiative and teamwork -Provides a learning environment that fosters faculty/student communication and promotes lifelong learning and career development -Encourages faculty development activities that improve teaching, maintain competence and that keep faculty current with ideas and concepts in their field. -Seeks to develop a portfolio of intellectual contributions to learning and pedagogy, to practice, and to the theory and knowledge base of the disciplines. -Encourages the establishment of close partnerships with the business community through consultancies and service that enhance the intellectual and economic quality of Egypt while enriching the learning process.
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Process Design
High Process-focused Mass Customization JOB SHOPS Customization at high Volume (Print shop, emergency room, machine shop, (Dell Computers PC, fine-dining Repetitive (modular) cafeteria) restaurant) focus ASSEMBLY LINE (Cars, appliances, TVs, fast-food Product focused restaurants) CONTINUOUS (Steel, beer, paper, bread, institutional kitchen)
Variety of Products
Moderate
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Growth
Practical to change price or quality image Strengthen niche
Maturity
Poor time to change image, price, or quality
Decline
Cost control critical
Internet search engines iPods Xbox 360 Sales Avatars Boeing 787 Twitter LCD & plasma TVs
restaurants CD-ROMs
Growth
Forecasting critical Product and process reliability
Maturity
Decline
Little product differentiation Cost minimization Overcapacity in the industry Prune line to eliminate items not returning good margin Reduce capacity
Standardization Fewer product changes, more minor changes Optimum capacity Competitive product Increasing improvements stability of and options process Increase capacity Long production runs Shift toward product focus Product improvement Enhance and cost cutting distribution
OM Strategy/Issues
Figure 2.5
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SWOT Analysis
Mission Internal Strengths Analysis Internal Weaknesses Strategy External Threats External Opportunities
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Form a Strategy
Build a competitive advantage, such as low price, design, or volume flexibility, quality, quick delivery, dependability, aftersale service, broad product lines. Figure 2.6
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Decisions Product Quality Process Location Layout Human resource Supply chain Inventory Schedule Maintenance
Sample Options Customized, or standardized Define customer expectations and how to achieve them Facility size, technology, capacity Near supplier or near customer Work cells or assembly line Specialized or enriched jobs Single or multiple suppliers When to reorder, how much to keep on hand Stable or fluctuating production rate Repair as required or preventive maintenance
Figure 2.7
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