TOPIC 3.1

chapter 6

What is meant by “design” (general definition)?

To ‘design’ is to conceive the looks, arrangement and workings of something before it is created; it is a conceptual exercise that must deliver a solution that will work in practice.

How can design be approached (levels of detail)?

Design can be approached at different levels of detail: one may envisage the general shape and intention before defining details.

At the start of process design, what is important to understand?

It is important to understand the design objectives, especially when the overall shape and nature of the process is being decided.

What is the most common way of setting the overall shape of a process (as stated)?

By positioning it according to its volume and variety characteristics.

What must eventually be done to ensure a process fulfils objectives?

The details of the process must be analysed to ensure that it fulfils its objectives effectively.

How are process design and product/service design related?

They are interrelated; it would be foolish to commit to detailed product/service design without considering how it is to be produced, and process design can constrain product/service designers.

What can small changes in product/service design imply for operations?

Small changes in the design of products and services can have profound implications for the way the operation eventually has to produce them.

Why is overlap between product/service and process design greater in services?

Because many services involve the customer in the transformation process, so the service cannot be separated from the process the customer experiences.

What example is given to show designers thinking about production constraints?

In the early days of flight, engineers who designed aircraft were also the test pilots.

Operations principle: What cannot be done independently?

The design of processes cannot be done independently of the services and/or products that are being created.

What is a process network (in this chapter’s context)?

An internal network where many processes transform items and transfer them to other internal processes; within it are many ‘process chains’ (threads of processes within the network).

What is a ‘process chain’?

Threads of processes within a process network.

What is a first advantage of thinking about processes as part of a network?

Understanding how and where a process fits into the internal network helps establish appropriate objectives for the process.

What is a second advantage of thinking about processes as part of a network?

It allows checking that everyone has a clear ‘line of sight’ forward to end customers, helping people see how they contribute to satisfying customers; and asking how each process can help intermediate processes operate effectively.

What is a third advantage of thinking about processes as part of a network?

A clear ‘line of sight’ backwards through to suppliers makes the role and importance of suppliers easier to understand.

What is the overall point of process design (as stated)?

To make sure that the performance of the process is appropriate for whatever it is trying to achieve.

If an operation competes primarily on fast response, what should many processes be designed for?

Fast throughput times.

If an operation competes on low price, what should dominate process design objectives?

Cost-related objectives.

What should link operation-level aims and process-level objectives?

Some kind of logic should link what the operation as a whole is attempting to achieve and the performance objectives of its individual processes.

Why is sustainability included as an operational objective of process design (as stated)?

It is included even though it is a broader societal issue that is part of the organisation’s ‘triple bottom line’.

Operations principle: How should any process design be judged?

On its quality, speed, dependability, flexibility, cost and sustainability performance.

What is meant by “micro” process objectives (focus)?

A more detailed set of objectives largely concerned with flow through the process.

Why is throughput time longer than transforming activity time?

Because between activities items may dwell in inventories waiting to be transformed by the next activity.

Why may process resources not be used all the time?

Not all items require the same activities and resource capacity may not match demand.

Why is output flow unlikely to match input flow exactly?

Because neither items nor resources may be fully utilised and items wait in inventories.

Define throughput rate (flow rate).

The rate at which items emerge from the process; number of items passing through per unit time.

Define cycle time.

The reciprocal of throughput rate; the time between items emerging from the process.

What is takt time?

The same as cycle time but normally applied to paced processes like moving-belt assembly lines; the ‘beat’ or tempo required to meet demand.

Define throughput time.

The average elapsed time taken for inputs to move through the process and become outputs.

Define work-in-progress (process inventory).

The number of items in the process, as an average over a period of time.

Define utilisation of process resources.

The proportion of available time that resources are performing useful work.

Operations principle: Which process flow objectives should be included and what is their relationship?

Throughput rate, throughput time, work-in-progress and resource utilisation; all are interrelated.

What is standardisation of processes (definition in this context)?

‘Doing things in the same way’, or adopting a common sequence of activities, methods and use of equipment.

Why is standardisation a significant issue in large organisations?

Because different ways of carrying out similar or identical tasks often emerge over time across parts of the organisation.

What is the argument for allowing many different ways of doing the same thing?

It could give autonomy and freedom for individuals and teams to exercise discretion.

What is the problem with allowing numerous ways of doing things?

It causes confusion, misunderstandings and inefficiency; in healthcare it can even cause preventable deaths.

What hospital chart example is given regarding standardisation?

More than 100 different charts were used for monitoring patients’ vital signs in UK hospitals, leading to confusion when clinicians move; standardised charts/processes could prevent deaths.

What is the practical dilemma for organisations regarding standardisation?

How to draw the line between processes required to be standardised and those allowed to be different.

Operations principle: What is true about standardising processes?

Standardising processes can give significant advantages, but not every process can be standardised.

Why must process designers consider environmentally sensitive design?

Because environmental protection issues are becoming more important and legislation provides basic standards.

List fundamental environmental input issues to consider (sources of inputs).

The sources of inputs: rainforests damage, scarce minerals, exploitation/child labour concerns.

List energy issues to consider in process design.

Quantities and sources of energy consumed; e.g., energy comparison of plastic vs glass bottles; recovering waste heat for fish farming.

List waste issues to consider in process design.

Amounts and type of waste material created; whether waste can be recycled efficiently or must be burnt/buried in landfill.

List product life issues to consider.

The life of the product itself (long useful life vs shorter life resource consumption).

List end-of-life issues to consider.

End-of-life disposal and whether redundant products are difficult to dispose of in an environmentally friendly way.

What challenge do designers face when considering environmental factors?

Complex trade-offs between factors and difficulty obtaining all needed information.

What is life cycle analysis (as described)?

A technique analysing all production inputs, life cycle use and final disposal in terms of total energy used and emitted wastes; evaluates inputs and wastes at every stage starting from extraction/farming of raw materials.

Operations principle: What should process design include regarding sustainability?

Consideration of ethical and environmental issues.

How do volume and variety range across processes (examples given)?

High volume (credit card transaction processing) to low volume (funding a large complex takeover deal); low variety (electricity utility) to high variety (architects’ practice).

How do volume and variety usually relate (as stated)?

They usually go together in a reversed way: low volume often high variety; high volume narrow variety.

What continuum is described for positioning processes?

From low-volume–high variety through to high-volume–low variety.

Can one operation contain processes at different volume–variety positions?

Yes; within a single operation processes can have very different positions on the spectrum.

What medical example illustrates different volume–variety positions?

Mass immunisation programmes versus transplant surgery designed for one person.

What key conclusion is stated about one best process design?

No one type of process design is best for all requirements; different volume–variety positions require different processes.

Operations principle: What should govern the design of any process?

The volume and variety it is required to produce.

What are process types?

General approaches to managing activities shaped by a process’s position on the volume–variety continuum.

Do process type terms differ between manufacturing and services?

Yes; different terms are used and manufacturing terms are sometimes used in service industries.

Define project processes.

Discrete, highly customised products; long timescale between items; well-defined start/finish; low volume, high variety; activities ill-defined/uncertain; resources organised for each item; complex; discretion/professional judgement; examples: software design, movie production, construction, large fabrication (turbo generators).

Define jobbing processes.

High variety, low volume; products share resources with many others; series of items with differing needs; many one-offs; complex but smaller products; fewer unpredictable circumstances; examples: made-to-measure tailors, specialist toolmakers, furniture restorers, local event ticket printer.

Define batch processes.

Lower variety than jobbing; produce more than one at a time; repeated activity during batch; can range from small batches (like jobbing) to large repetitive batches; examples: machine tool manufacturing, gourmet frozen foods, most components for mass assemblies like vehicles.

Define mass processes.

High volume, relatively narrow variety (fundamentals); repetitive and predictable; examples: frozen food production, automatic packing lines, vehicle plants, television factories.

Define continuous processes.

Even higher volume and usually lower variety than mass; operate for long periods; sometimes literal endless flow; inflexible capital-intensive technologies; highly predictable flow; smooth flow; examples: water processing, petrochemical refineries, electricity utilities, steel making, some paper making.

Define professional services.

High-contact; customers spend considerable time; high customisation; people-based; staff discretion; examples: management consultants, lawyers, architects, doctors, auditors, inspectors, some computer field service operations.

Define service shops.

Mid volume/variety and customer contact between professional and mass services; mix of front- and back-office activities; examples: banks, high-street shops, tour operators, car rental, schools, most restaurants, hotels, travel agents.

Define mass services.

Many transactions; limited contact time; little customisation; defined division of labour; set procedures; examples: supermarkets, rail network, airport, telecoms service, library, TV station, police service, utility enquiry desk; call centres use carefully designed enquiry processes (scripts).

Operations principle: What do process types indicate?

The position of processes on the volume–variety spectrum.

What is the product–process matrix used for?

Illustrating the relationship between a process’s volume–variety position and its design characteristics; usable for products or services.

What is the underlying idea of the product–process matrix?

Important elements of process design are strongly related to volume–variety position: tasks, flow, layout, technology, job design are influenced.

What is the “natural” diagonal or “line of fit” in the product–process matrix?

The diagonal representing the fit between the process and its volume–variety position; most processes should lie close to it.

Critical commentary: why can process types be simplistic?

No clear boundary between types; real processes blur categories (e.g., mass production in batches; service shop with professional advice); volume/variety may be more realistic descriptors.

What happens when a process moves off the natural diagonal (cost)?

A process on the natural diagonal normally has lower operating costs than one off the diagonal with the same volume–variety position.

What are processes to the right of the natural diagonal typically like and what happens?

They are more flexible than warranted for their volume–variety position; not taking advantage of standardisation; costs likely higher than if closer to diagonal.

What are processes to the left of the natural diagonal typically like and what happens?

Over-standardised and too inflexible; lack of flexibility can lead to high costs because process cannot change activities as readily.

What is suggested as a first step in examining an existing process design?

Check whether it lies on the natural diagonal of the product–process matrix.

Operations principle: What does moving off the natural diagonal incur?

Excess cost.

What is detailed process design at its simplest?

Identifying all individual activities needed to meet objectives, deciding their sequence, and who will do them.

What constraints affect sequencing and assignment in detailed process design?

Some activities must precede others; certain people/equipment can only do some activities.

Why are there usually many alternative process designs?

Because even with constraints, for processes of reasonable size the number of alternatives is large.

What is a common visual approach used for process design?

Process mapping.

What is process mapping?

Describing processes in terms of how activities relate; identifying activity types and showing the flow of materials/people/information using symbols.

Are there many techniques for process mapping?

Yes; also called process blueprinting or process analysis.

Where do many mapping symbols derive from (as stated)?

Early ‘scientific’ management (~a century ago) or information system flowcharting.

How are mapping symbols used?

Arranged in order, and in series or parallel, to describe any process.

Operations principle: Why is process mapping needed?

Process mapping is needed to expose the reality of process behaviour.

Why are processes mapped at different levels?

For large processes, detailed maps can be complex, so high-level maps are drawn first.

What is high-level process mapping (as described)?

An aggregated map (input–transformation–output) showing inputs and outputs without transformation details.

What is an outline process map (as described)?

Shows the sequence of activities in a general way; detailed sub-processes reduced to single activities.

What is a detailed process map?

Shows all activities in detail, including activities within sub-activities (e.g., install and test).

Why might some activities not be mapped further?

Too straightforward (e.g., return to base) or too variable/complex and reliant on discretion (e.g., rectify faulty equipment).

Why might some activities need more detailed mapping?

To ensure quality or protect company interests; e.g., safety checking customer site for legal compliance.