Production Management Flashcards
(43 cards)
What is the primary goal of Lean Operations?
To eliminate non-value-added activities from the supply chain, reducing waste and improving efficiency.
Who pioneered the Just-in-Time (JIT) philosophy?
Taiichi Ohno at Toyota, as part of the Toyota Production System.
What are the three core principles of JIT philosophy according to Harrison (1992)?
- Eliminate waste, 2. Involve everyone, 3. Continuous improvement.
Name the seven types of waste identified by Ohno (1988).
Overproduction, Waiting time, Transport, Process, Inventory, Motion, Defective goods.
What does “Kaizen” refer to in Lean Management?
A philosophy of continuous improvement through small, incremental changes over time.
What is a ‘Kanban’ system?
A pull-based production system where signals (like cards) manage inventory and production flow.
How does JIT supplier networks support Lean Management?
By forming close, long-term relationships with a small number of suppliers to ensure frequent, small-batch deliveries.
Define Total Preventative Maintenance (TPM).
A proactive approach combining maintenance with quality and employee involvement to reduce equipment downtime and improve reliability.
What is the purpose of Setup Reduction (SUR) in JIT?
To drastically reduce machine setup times to accommodate small-batch production.
What is the difference between push and pull production systems?
Push systems schedule production based on forecasts; pull systems produce based on actual demand.
How does cellular manufacturing align with JIT principles?
It reduces transportation and material handling costs by grouping different types of equipment into a U-shaped cell for specific product production.
What does the ‘Chase Strategy’ in production management aim to do?
Adjust workforce levels (hiring and firing) to match fluctuating demand without building inventory.
What is a key trade-off of the ‘Level Strategy’ in production management?
It keeps workforce constant, avoiding hiring/firing costs but may incur higher inventory costs.
What is Linear Programming (LP) used for in production management?
To optimize resource allocation and decision-making within constraints for objectives like cost minimization.
Production management definition
have the right product, in the right amount, in the right place, in the right quality
2 core concepts of production management
- Manufacturing resource planning: a top-down approach
–> if I have a business plan, how do I come ultimately to machines and machine scheduling: very broad understanding of what I want to produce to a detailed execution - bottom-up concept: lean management and just-in-time production
MRP II (Manufacturing Resource Planning) : top down approach
is a method for efficient planning of all resources of manufacturing companies
Difference between MRP I and MRP II
MRP II must be distinguished from MRP I (Material Requirement Planning), which is part of MRP II. Although MRP II can help to select suitable suppliers, this does not reflect the core of MRP II.
Steps of MRP II (Manufacturing Resource Planning):
- Business Planning
- Aggregated Planning
- Master Production Schedulting (MPS)
- Material Requirements Planning (MRP)
- Scheduling
Business planning
sales planning and demand planning (how many products will we sell in which region, which, which month, which quarter)
Aggregated Planning
about the resources: assure that we can delivery
–> make sure we can fulfil expected demand
Master Production Scheduling (MPS)
product level : planning on a product level
Material Requirements Planning (MRP)
we are talking about parts (parts of product)
—> complexity increases because we are not talking about one car but a thousand Parts that have to be available to manufacture
Why are Chase and Level Strategies often associated with large costs?
Both strategies rely entirely on in-house production, leading to significant costs related to workforce or inventory management.