Designing and Operating Production System

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DESIGNING AND OPERATING PRODUCTION SYSTEM

System Design- involves decisions that relate to system capacity, the geographic location of facilities, arrangement of the departments and placement of equipment within physical structure, product and service planning, and acquisition of equipment. System Operation-involves management of personnel, inventory planning and control, scheduling, project management, and quality assurance. DIFFERENTIATING FEATURES OF PRODUCTION SYSTEMS

Three ways described are:
1. Degree of standardization
2. Types of operation
3. Manufacturing VS. service operations
Degree of standardization
Productions systems produce output that ranges from highly standardize to highly customize. Standardized output
It is a high degree of uniformity in goods or services.
Examples of standardized goods:
*
* Radios
* Televisions
* Computers
* Newspapers
* Canned foods
* Automobile tires

Examples of standardized services:
*
* Automatic car washes
* Televised newscats
* Taped lectures
* Commercial airline service
Customized Output
Product or service was designed for specific case or individual. Examples of customized goods:
* Eyeglasses
* Custom-fitted clothing
* Window glass ( cut to order )
Examples of customized services:
* Tailoring
* Taxi rides
* Surgery
TYPES OF OPERATION
1. PROJECT – a set of activities directed toward a unique goal, usually large scale, with a limited time frame. 2. JOB SHOP – an organization that renders unit or lot of production or service with varying specifications, according to customer needs. 3. BATCH PROCESSING – a system used to produce moderate volume of similar items. 4. REPETITIVE PRODUCING – a production system that renders one or a few highly standardized products or services. 5. CONTINOUS PROCESSING - a system that produces highly uniform products, continous services, often performed by machines....
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