Lecture 4: Process Perspectives

Question 1

Forecasting

Answer 1

• the aim to forecast as accurately as possible but demand is unpredictable
• forecasting is where capacity planning and control kicks in

Question 2

choosing the best type of process

Answer 2

• Consider: overall demand, changes in demand, product design, variability in design, product quality, product lifecycle, skill and experience, customer involvement

Question 3

Making the right design decision

Answer 3

1. Layout and flow: - physical location of the creating of products or services and the allocation of tasks creating products or services
2. Process technology: - the machines, equipment and devices that create/deliver products or services
3. Job design: - how each job is structured

Question 4

Primary Processes

Answer 4

• A process is a set of logically related tasks or activities performed to achieve a defined business outcome
• a value of chain is a collection of processes that are performed by a company to create value for its customers

Question 5

Porter’s value chain (primary and secondary processes)

Answer 5

Primary processes: New Product development > Inbound logistics > marketing and sales > operations > distribution > after-sales service

Secondary processes: Finance, accounting, legal information, technology, human resources

Question 6

Suppler chain operations Reference (SCOR) model (SMDR)

Answer 6

-Your company has a plan to source, make, deliver and make return

Question 7

Mapping out a business process

Answer 7

To change the activities and prices to improve you need to: cost – reduce activities, quality – reduce daisy at each activity, speed – improve cycle time so they are completed faster, flexibility- design more options at each activity and environment impact – reduce waste created