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Global Management Studies
GMS 401
Kirk Bailey

Ch6Process Design and Facility LayoutGMS401 Introduction and Process TypesProcesses convert inputs into outputs they are at the core of operations management They affect the entire organization and its ability to achieve its mission Process design determining the form and function of how goods or services are produced It has major implications for layout of facilities equipment and design of work systems it matters when new products are being designed or existing products are redesigned also occurs due to technological changes in equipment and methods improvement The first step in process design make or buy decide whether to make a part or product in house or to buy it or a segment of production process from another companyMake or buy decisions are often strategic based on existing or desired core capabilities Can classify processes into four basic types job shop batch repetitive and continuous JOB SHOPJob shop a process type used when a low quantity of highvariety customized goods or service is needed The process is intermittent work shifts from one small job to the next Example pg166BATCHBatch process a type of process used when a moderate volume and variety of goods or services is desired The equipment need not be as flexible as in a job shop but process is still intermittent The skill of workers doesnt need to be as high as in a hob shop because there is less variety in jobs Example pg168REPETITIVERepetitive process a type of process used when higher quantities of more standardized goods or services are needed The standardized output means only slight flexibility of equipment is needed Examples of this type of process include o Production line a sequence of machinesworkstations that perform operations on a partproducto Assembly line a production line where parts are added to a product sequentiallyExamples of repetitive automatic carwash ticket collectors Example pg170CONTINUOUSContinuous process used hen a high volume of highly standardized output is required
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