C215 - Operations Management Study Guide

These flashcards cover key concepts in Operations Management, including Total Quality Management, Statistical Process Control, Capacity Planning, Just-in-Time philosophy, and more.

What is the total quality management philosophy?

Total quality management focuses on the root causes of quality issues and correcting them before they become issues; it aims to deliver products that meet customer expectations and continuously improve on them.

What are the five definitions of quality?

1. Conformance to specifications; 2. Fitness for use; 3. Value for price paid; 4. Support services; 5. Psychological criteria.

What are the differences of quality between manufacturing and service organizations?

Manufacturing organizations focus on conformance to specifications, performance, consistency, reliability, features, durability, serviceability, and quality is measurable. Service organizations, on the other hand, focus on intangible factors, responsiveness to customer needs, courtesy, friendliness, timeliness, and atmosphere.

What are the different quality standards outlined in the text?

1. Leadership; 2. Strategic Planning; 3. Customer & Market Focus; 4. Information & Analysis; 5. Human Resources Focus; 6. Process Management; 7. Business Results.

Who are the quality gurus and their contributions to TQM?

Walter A. Shewhart - process variability; W. Edwards Deming - management responsibility for quality; Joseph M. Juran - fitness for use; Armand V. Feigenbaum - total quality control; Philip B. Crosby - quality is free; Kaoru Ishikawa - cause-and-effect diagrams; Genichi Taguchi - product design quality.

What are the seven quality control tools used for analyzing quality problems?

1. Cause-and-effect diagram; 2. Flowchart; 3. Checklist; 4. Control charts; 5. Scatter diagrams; 6. Pareto analysis; 7. Histogram.

What are the different costs of quality?

1. Prevention costs; 2. Appraisal costs; 3. Internal failure costs; 4. External failure costs.

What is the Plan-Do-Study-Act cycle used for?

It incorporates continuous improvement into operations, evaluating current processes and implementing changes.

How does total quality management impact other functional areas of the company?

It requires changes across all areas such as product design, job design, and supply chain management to align with the commitment to quality.

What is statistical quality control (SQC)?

SQC describes a set of statistical tools used for process evaluation and includes descriptive statistics, Statistical Process Control (SPC), and acceptance sampling.

Explain the two causes of variation.

Common Causes of Variation are random and unidentifiable, while Assignable Causes can be identified and eliminated.

What is process capability?

The ability of a production process to meet or exceed preset specifications.

What is the Six Sigma concept?

A high level of quality associated with approximately 3.4 defects per million.

What are the five steps of the Six Sigma plan?

1. Define the quality problem; 2. Measure current performance; 3. Analyze process to identify root causes; 4. Improve process; 5. Control process.

What are the characteristics of Repetitive and Intermittent operations?

Repetitive operations produce high volumes of standardized products, while Intermittent operations produce a variety of products with different requirements in lower volumes.

What is a process flowchart used for?

To illustrate the sequence of steps in producing a product or service.

What is capacity planning?

The process of establishing the output rate achievable by a facility.

What is the primary distinction between design capacity and effective capacity?

Design Capacity is the maximum output under ideal conditions, while Effective Capacity is the maximum output sustained under normal conditions.

What is the difference between infinite and finite loading for scheduling work?

Infinite loading calculates required capacity without considering available capacity, while finite loading limits work center loads to predetermined capacity.

What is the JIT philosophy?

Just-In-Time philosophy focuses on producing the right quantity of goods at the right time.

What are the benefits of a JIT system?

Reductions in inventory, improved quality, shorter lead times, lower production costs, and increased flexibility.

What is the Supply Chain Operations Reference (SCOR) model?

A model that standardizes measurement of supply chain performance across various operational perspectives.

What are the objectives of materials requirement planning (MRP)?

To determine the quantity and timing of material requirements and maintain schedule priorities.

What is work measurement?

Work measurement determines how long it should take to do a job.

What is the role of capacity requirements planning (CRP)?

CRP checks whether available capacity is sufficient to complete scheduled orders.

What are the phases in the project life cycle?

Concept, feasibility analysis, planning, execution, and termination.