COMMERCE 2OC3 Chapter Notes - Chapter 7: Advantageous, Flowchart, Inventory Control
29 Mar 2017
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Classic assembly line: has more structure and less flexibility than process focused facility, modules: parts or components of a product previously prepared, often in a continuous process c. i. Continuous processes because they have very long continuous production runs: some are discrete, others are non-discrete, some are services c. It is about making exactly what the customer wants when the customer wants it economically. Advantages to mass customization and bto: by meeting demands of the marketplace, firm win orders and stay in business, trim costs that exist because of inaccurate sales forecasting. Each of the processes when marched to volume and variety can produce low cost advantages. Equipment utilization in a process focused facility is often in the range of 5% - 25: when utilization goes above 15%, moving towards repetitive or product focus or mass customization may be advantageous. Crossover charts: a chart of costs at the possible volumes for more than one process.
