Learning Objectives

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When you complete the following chapters you should be able to:

CHAPTER 1 – Operations and Productivity
1. Define operations management
2. Explain the distinction between goods and services
3. Explain the difference between production and productivity
4. Compute single-factor productivity
5. Compute multifactor productivity
6. Identify the critical variables in enhancing productivity

CHAPTER 2 – Operations Strategy in a Global Environment
1. Define mission and strategy
2. Identify and explain three strategic approaches to competitive advantage
3. Understand the significant key success factors and core competencies
4. Use factor rating to evaluate both country and provider outsources
5. Identify and explain four global operations strategy options

CHAPTER 3 (4) – Forecasting
1. Understand the three time horizons and which models apply for each use
2. Explain when to use each of the four qualitative models
3. Apply the naive, moving average, exponential smoothing, and trend methods
4. Compute three measures of forecast accuracy
5. Develop seasonal indices
6. Conduct a regression and correlation analysis
7. Use a tracking signal

CHAPTER 4 (5) – Design of Goods and Services
1. Define product life cycle
2. Describe a product development system
3. Build a house of quality
4. Explain how time-based competition is implemented by OM
5. Describe how products and services are defined by OM
6. Describe the documents needed for production
7. Explain how the customer participates in the design and delivery of services
8. Apply decision trees to product issues

CHAPTER 5 (S5) – Sustainability in the Supply Chain
1. Describe corporate social responsibility
2. Describe sustainability
3. Explain the 3Rs for sustainability
4. Calculate design for disassembly
5. Explain the impact of sustainable regulations on operations

CHAPTER 6 – Managing Quality
1. Define quality and TQM
2. Describe the ISO international quality standards
3. Explain what Six Sigma is
4. Explain how benchmarking is used in TQM
5. Explain quality robust products and
Taguchi concepts
6. Use the seven tools of TQM

CHAPTER 7 (S6) – Statistical Process Control
1. Explain the purpose of a control chart
2. Explain the role of the central limit theorem in SPC
3. Build    -charts and R-charts
4. List the five steps involved in building control charts
5. Build p-charts and c-charts
6. Explain process capability and compute Cp and Cpk
7. Explain acceptance sampling

CHAPTER 8 (7) – Process Strategy and Sustainability
1. Describe four process strategies
2. Compute crossover points for different processes
3. Use the tools of process analysis
4. Describe customer interaction in service processes
5. Identify recent advances in production technology

CHAPTER 9 (S7) – Capacity and Constraint Management
1. Define capacity
2. Determine design capacity, effective capacity, and utilization
3. Perform bottleneck analysis
4. Compute break-even
5. Determine the expected monetary value of a capacity decision
6. Compute net present value

CHAPTER 10 (8) – Location Strategies
1. Identify and explain seven major factors that effect location decisions
2. Compute labor productivity
3. Apply the factor-rating method
4. Complete a locational break-even analysis graphically and mathematically
5. Use the center-of-gravity method
6. Understand the differences between service- and industrial-sector location analysis

CHAPTER 11 (9) – Layout Strategies
1. Discuss important issues in office layout
2. Define the objectives of retail layout
3. Discuss modern warehouse management and terms such as ASRS, cross-docking, and random stocking
4. Identify when fixed-position layouts are appropriate
5. Explain how to achieve a good process-oriented facility layout
6. Define work cell and the requirements of a work cell
7. Define product-oriented layout
8. Explain how to balance production flow in a repetitive or product-oriented facility

CHAPTER 12 (11) – Supply Chain Management
1. Explain the strategic importance of the supply chain
2. Identify six sourcing strategies
3. Explain issues and opportunities in the supply chain
4. Describe the steps in supplier selection
5. Explain major issues in logistics management
6. Compute percent of assets committed to inventory and inventory turnover

CHAPTER 13 (12) – Inventory Management
1. Conduct an ABC analysis
2. Explain and use cycle counting
3. Explain and use the EOQ model for independent inventory demand
4. Compute a reorder point and safety stock
5. Apply the production order quantity model
6. Explain and use the quantity discount model
7. Understand service levels and probabilistic inventory models


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