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GMS 401 (200)
Chapter 6

Chapter 6

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Global Management Studies
GMS 401
Kirk Bailey

CHAPTER 6PROCESS DESIGN AND FACILITY LAYOUT TINTRODUCTION AND PROCESSYPES Process design determining the form and function of how goods or services are produced Make or buy the first step in the process design decide whether to make a part or product inhouse or to buy it or a segment of production process from another company Job Shopa process type used when a low quantity of highvariety customized goods or services is needed oThe process is intermittent work shifts from one small job to the next each with somewhat different requirements oThe managerial challenge in a job shop is to schedule the jobs so that the due dates are met and the resources are utilized as much as possible oExample the emergency room which is able to process a verity of injuries and diseases Batch Process a type of process used when a moderate volume and variety of goods or services is desired oThe equipment need not be as flexible as in job shop oThe skill level of workers doesnt need to be as high as in job shop because there is less variety in the jobs oExample baking cookies or movie theatresRepetitive Process a type of process used when high quantities of more standardized goods or services are needed oStandardized output means only slight flexibility of equipment is needed oSkill of workers is lowoExamples Production lines a sequence of machinesworkstations that perform operations on a partproduct Assembly line a production line where parts are added to a product sequentially The line can either be machinepaced same speed or workerpaced variable speed Automatic carwash Continuous when a very high volume of highly standardized output is desired oAlmost no variety oLow skilled workers oProduct is usually continuous and therefore cannot be counted oExamples paper sugar flour Major characteristics of the four types of production processes Job ShopBatchRepetitiveAssContinuousemblyProduct VarietyCustomized SemiStandardized Highly standardizedstandardizedVolumeLowLowmoderateHighVery highEquipment Very high ModerateLowVery low FlexibilityThe productprocess mix
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