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Operations And Supply Chain Management > Test 2 > Flashcards

Test 2 Flashcards

1
Q

Total quality management definition

A

Managing the entire organization so that it excels on all dimensions of products and services they are important to the customer

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2
Q

TQM fundamental operational goals

A

Design of of the product/service

Design of the system

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3
Q

Malcolm baldridge national quality award

A

Established by department commerce given to companies that excel in quality

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4
Q

What does it take to apply for Malcom Baldrige National Award?

A

Submit 50 pages on approach, deployment, and results of their quality under 7 major categories

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5
Q

7 categories of winning the Malcom baldrige award

A

Leadership
Strategic planning
Customer and market focus
Information and analysis
Human resource focus (how much the organization cares about its employees)
Process management (must be well designed)
Business results (does it make money)

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6
Q

The quality gurus

A

Crosby
Deming
Juran

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7
Q

How to achieve outstanding quality…

A

Leadership from senior management
Customer focus
Total involvement of the workforce
Continuous improvement based on analysis of processes

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8
Q

Design quality

A

The inherent value of the product in the marketplace

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9
Q

Dimensions of design quality

A 
Performance
Features
Reliability/durability
Serviceability
Aesthetics
Perceived quality
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10
Q

Conformance quality

A

Degree to which the product design specifications are met

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11
Q

Quality at the source

A

The person who does the work takes responsibility for ensuring everything is met

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12
Q

Justifying costs of quality

A

Failures are caused
Prevention is cheaper
Performance can be measured

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13
Q

Cost of quality classification

A

Appraisal costs
Prevention costs
Internal failure costs
External failure costs

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14
Q

What does six sigma do?

A

Seeks to reduce variation in the processes that lead to product defects
Refers to no more than 3.4 defects per million units

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15
Q

What is DPMO

A

Defects per million opportunities

A metric used to describe the variability of a process

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16
Q

Six sigma methodology (DMAIC)

A 
Define 
Measure
Analyze 
Improve
Control
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17
Q

Analytical tools for six sigma

A 
Flowcharts
Run charts
Pareto charts
Check sheets
Cause and effect diagram 
Opportunity flow diagram 
Process control charts
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18
Q

What are run charts

A

Depict trends in data overtime

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19
Q

What do Pareto charts do

A

Break down a problem into the contributions of the problem. Believe a large percent of problems are due to small percent of causes

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20
Q

Cause and effect diagrams (fishbone)

A

Show hypothesized relationships between potential cause and the actual problem. Then finds what is actually the problem

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21
Q

Opportunity flow diagram

A

Used to separate value added from non value added steps in a process

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22
Q

Failure mode and effect analysis

A

Calculates a Risk priority number (RPN) based on the occurrence and severity of the problem. High RPMs should be target for improvement first

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23
Q

Six sigma roles

A

Executive leaders committed to six sigma
Corporatewide training in six sigma concepts
Setting objects for improvements
Continuous reinforcement and rewards

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24
Q

Black belts

A

Lead a six sigma improvement team

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25
Master black belts
Perform same functions as black belts. They have in depth training process improvement
26
Green belts
Employees who have received enough six sigma training to be apart of a team
27
Statistical quality control
Different techniques designed to evaluate quality from a conformance view
28
Assignable variation
Deviation in the output of a process that can be clearly identified and managed (Ex: improper machine adjustments)
29
Common variation
Deviation in the output of a process that is random and cannot be fixed
30
Traditional view view of the cost of variability
If it is in the range of lower and upper specifications then it’s good. Doesn’t focus on continuous improvement
31
Taguchi’s view of the cost of variability
The farther away you are from the target the more cost it is to the society
32
Process capability
Want variance to be small Ability of process to consistently produce a good with a low probability of generating a defect
33
Statistical process control
Testing a random sample of output to determine if it is correct
34
Attributes
Quality characteristics that are classified as conforming or not Ex: a lawnmower either runs or it doesn’t
35
Variables
Quality characteristics that are measured in actual weight, volume, and inches
36
What is the lean logic
Nothing is produced until needed Sale of an item pulls replacement Requires quality, strong vendor relationships, and predictable demand
37
Two dimensions of Toyota production systems
Elimination of waste | Respect for people
38
7 waste examples
``` Overproduction Transportation Processing Product defects Waiting time Inventory Motion ```
39
Characteristics of respect for people
``` Lifetime employment Company unions Workers as assets Maintain level payroll Bonuses ```
40
Value stream
The value adding and non value adding activities required in the supply chain
41
What are the lean focused supply chain components
``` Lean suppliers Lean procurement Learn warehousing Lean logistics Lean customers ```
42
Lean procurement
A key is automation | Visibility, suppliers must be able to see each customers operations
43
Lean supply chain processes
Lean layouts Lean production schedule Lean supply chains
44
What goes into lean layouts?
Group technology Quality at the source JIT production
45
Group technology
Similar parts are grouped into families, the processes required to make the parts are in a manufacturing cell
46
Lean production schedules
Uniform plant loading Kanban Minimizing set up time
47
How to create a lean productions?
Level scheduling Freeze windows Underutilization of capacity
48
Freeze window
Period of time during which scheduled is fixed and no further changes are possible
49
Backflush
Calculating how much of each part was used in production. | This eliminates the need to actually track each part used in production
50
Uniform plant loading
Smoothing production flow to dampen schedule variation
51
Kanban pull system
System that uses a signaling device to regulate flows
52
What goes into lean supply chains?
Specialized plants Collaboration with suppliers Building a lean supply chain
53
Value stream mapping as a two part process
Depicting the current state of the process Predicting a future state process with suggested improvements
54
Kaizen (continuous improvement bursts
Identify short term products (kaizen events) for teams to work on
55
Lean services reasons they are are to control
Uncertainty in task times Uncertainty in demand Customers production roles
56
Successful techniques applied to service companies
``` Problem solving groups Upgrade housekeeping Upgrade quality (consistency) Clarify processes flows Revise equipment Level the facility load Eliminating unnecessary activities Reorganize physical configuration Introduce demand pull scheduling Develop supplier networks ```
57
Define logistics
Obtaining producing and distributing material in the proper place and in the proper quantities
58
Third party logistics
A company that mangages part of another company’s product delivery operations (ex: fedex)
59
6 aspects in the logistics system
``` Highway Water Air Rail Pipelines Hand delivery ```
60
Define cross docking
Used in consolidation warehouses where large shipments are broken down into small shipments for local delivery in an area
61
Warehouse consolidation
When shipments from various sources are pulled together (uses economy of scale and scope)
62
Hub and spike systems
Sorts good and sends them to a consolidation area
63
What things does logistic management manage?
``` Transportation Warehouse Material handling Packaging Inventory management Logistic info ```
64
Locating logistics facilities
Proximity to customers, business climate, total costs, infrastructure, quality of labor, suppliers, other facilities, free trade zones, political risks, government barriers, trading blocs, environmental regulations, host community, competitive advantage
65
Plant location methods
Factor rating system Centroid method Transportation method of linear programming
66
What is factor rating system
An approach for selecting a facility by evaluating it base on criterion with points
67
Centerpiece method
A technique for locating single facilities that considers the existing facilities
68
What is postponement warehousing
Allows fines to put off inal assembly until the last possible moment (assemble to order)
69
What caused deregulation of logistics?
MCA-80
70
Why forecast?
Asses long term capacity needs Develope budgets Plan productions
71
Strategic forecast
Medium forecasts that are used for decisions related to strategy and aggregate demand
72
Tactical forecasts
Short term forecasts used for making day to day decisions related to meeting demand
73
Types of forecasts
Qualitative Time series analysis Casual relationship Simulation
74
Components of demand
Average demand Trend Seasonal element Cyclical element (influenced by elections) Random variation Autocorrelation (used the past to predict future)
75
Common trend types
S-curve (like life cycle of a product) Asymptotic (most of the demand is at the beginning) Exponential
76
Time series analysis
Try to predict future based on past data
77
Which forecasting model a company should choose depends on...
``` Time horizon to forecasts Data availability Accuracy required Size of forecasting budge Availability of qualified persons ```
78
Simple moving average
A forecast based on average past demand

Operations And Supply Chain Management (3 decks)

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