RSM100Y1 Chapter Notes - Chapter 10: Mass Production, Operations Management, Critical Path Method
Document Summary
Production: use of resources, such as workers and machinery, to convert materials into finished goods and services. Production and operations management: process of overseeing the production process by managing the people and machinery that convert materials and resources into finished goods and services. Utility: want-satisfying power of a good or service. > mass production: system for manufacturing products in large quantities by using combinations of employees with specialized skills, mechanization, and standardization. > products available in large quantities at lower prices. > led to assembly line manufacturing method = faster. > flexible production: manufacturing method for producing smaller quantities. > three resources used: information technology, programmable equipment, and skilled people. > customer-driven production: assesses customer demands to ensure that products being manufactured are the products people want to buy. > reduces raw materials to its component parts to extract marketable products. Petroleum refining = gasoline, heating oil, and aviation fluid.
