Exam 1 Study Questions - Strategic Policy | MGT 430, Exams of Introduction to Business Management

Download Exam 1 Study Questions - Strategic Policy | MGT 430 and more Exams Introduction to Business Management in PDF only on Docsity! Just in Time 1. JIT origin and philosophy 2. JIT key elements 3. Implementation issues 4. Job design basics 1. Introduction  Just-in-time (JIT) manufacturing: To produce only what is needed, when it is needed. JIT inventory, JIT purchasing, lean manufacturing (get rid of all wastes). 精实生产  JIT philosophy: Eliminate all waste in the organization  JIT system: A management system that aims to improve the manufacturing or service process by eliminating waste. 1.1 Origin of JIT systems In the 1950s, the Japanese were short on capital and space. For Toyota, (Taiichi Ohno), to improve performance meant to reduce inventory. (GOAL) Inventory hides problems-------reduce inventory Reducing inventory led to reducing all kinds of waste 1.2 Types of waste(IMPORTANT) Waste: Anything other than the minimum amount resources that is essential to add value to the product. 1. Process -Scrap -non-value –added cost -wrong tools/equipment 2. Key elements of JIT systems 2. Waiting time (when you spend time on waiting, it wastes time) -unplanned -Planned queue -Waiting for other parts in batch 6. Movement -material handling -Receiving -storing -retrieving ? *Do it once 一步到位 7. Product defects -interrupted flow -Lost capacity -Wait for replacement 5. Inventory -Storage -Capital costs 4. Methods -Searching for tools -Poor layout -Walking ? 3. Over-production -Extra inventory -Inappropriate use of resources -Work cells- efficiency within a process, multi-functional worker -Pull system- coordination between processes  To improve the pull system, reduce the variability associated with supply and demand.  To control supply variability -small lot sizes (smaller lot the better/Quick-set up time “kanban”) -preventive maintenance -High quality -Reliable suppliers  To control demand variability -Uniform loading (divide big part into small &equal parts) 2.1 Work Cells -Eliminate work inefficiency  increase worker productivity -Operation of a number of different machines- highly utilized, multi-functional workers. -Cellular facility layout: work is moved within a cell (mostly U shaped) according to a prescribed path.  Traditionally automobile production is mass production of standardized products using assembly lines. -Flexible machines  Automated, general purpose machines 自动化  Quick setup time 有时间设置  Flexible Manufacturing System (FMS) Work Cell Example Product route machines-- Exit -Workers can be moved around as needed -Operate more than 1 machine at a time -Reduce waste of time -If we have skilled workers, can we change the line?  Max, machinery efficiency  Max, multifunctional workers Cell: grouping of products based on similar requirements 2.2 Pull Production system -Improve poor coordination between processes- Eliminate the need for large inventory  Major problem in automobile manufacturing Push system: Each workstation produces according to a schedule and “pushes” its completed work to the next workstation. -Traditional approach to production; builds inventory Pull system: Each workstation requests, or “pulls”, items from the previous workstation only when needed. -The fewer kanbans, the less production -At Toyota, container size is at most 10% of daily demand. Uniform loading: arrange daily production mix in the same ratio as monthly demand  Always have some quantities of each product  Steady demand on components (e.g. hotel reservation) 3. *BEFORE and AFTER JIT 4. *BENEFIT of JIT system Reduced inventory Reduced space requirements Improved quality (without a quality, nothing to seal) Improved process Better use of human resources (JIT is powerful than training them) Better relations with suppliers Increased employee participation Shorter cycle time Shorter lead time Greater flexibility More product variety Increased productivity Increased machine utilization (get most an tech employed & machine) 4. JIT implementation Issues  All key elements must be present and integrated for the system to work well.  Must balance technical and behavior aspects.  Each organization must mould a JIT system to suit its own environment ( cannot use one firm’s JIT and plug into another firm)  Not suited for -Very high volume Before- After  Inventory to protect against problems & uncertainty-- reduce inventory  Assembly lines-- cells  Push manufacturing-- pull manufacturing  Tolerate defects-- Zero defects  Tolerate setup times- Reduce setup times  Emphasize work of individuals, following manager instruction ---- Emphasize team-oriented employee involvement  Treat suppliers as independent entitles---Suppliers as partners -Very low volume, unique products -Highly fluctuating demands, or true make-to-order products. 6. Job Design -Job design: specifies the contents of the job -Automation:  Good for repetitive, computational, precise, or physical tasks  Not good for people interaction, creativity, multiple variables -Specialization Workers/ Management -Job rotation: shifts workers to different jobs to increase understanding of the total process -Job enlargement: expansion of the job through increasing the scope of the work assigned. -Job enrichment: expansion of the job through increasing the worker responsibility -Teams  Problem-solving teams  Special-purpose teams  Self-directed teams -Method analysis: the study of how a job is done -Time study method: sets a standard time based on timed observations of one worker over several cycles. ?? Management: Readily available labour Minimal training Reasonable wage High productivity High absenteeism High turnover rates Grievances filed （定期检修）贵不满） Workers: Minimal credentials 证书 Minimal responsibilities Minimal mental effort Reasonable wage Boredom Little growth opportunity Little control or initiative Little intrinsic satisfaction