STUDENTS WILL BE ABLE TO UNDERSTAND PRODUCTION AND OPERATIONS

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Essential Standard 2.00POB-F Objective 2.03

TOPICS Types of productions and

manufacturing Production and manufacturing planning Business operations

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TYPES OF PRODUCTIONS AND MANUFACTURING

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The forms of production:1. Extraction and cultivation -most basic form of production-obtaining products from nature or-using natural resources to grow

Examples: -agricultural products- fish, chicken, tomatoes, and broccoli- Natural products- iron ore, bauxite, raw diamonds, oil

Forms of Production

2. Processing – changing and improving the form of another product– Increases its value and usefulness

Examples: honey removed with comb and packaged

-Fresh mangoes processed at cannery

-Oil sent to refineries to be processed into gasoline, heating oil, motor oil

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Forms of Production

3. Manufacturing – combining raw materials and processed goods

into finished products–either other businesses or consumers may use

finished productsExamples: -Craftsman using tools and materials to build cabinets in a

kitchen-Design of a computer microchip-Building high speed rail system-Manufacturing cosmetics, china, shoes, furniture

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TYPES OF PRODUCTIONS AND MANUFACTURING

Mass production - using assembly processes to produce large quantities of identical products Employees have precise tasks, specialized tools

and equipment Can result in monotonous work & reduced

motivation Companies use computers and robotics to

perform many repetitive proceduresExamples: Krispy Kreme donuts, Maybelline lipstick,

and Nike sneakers, automobiles

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http://www.youtube.com/watch?v=uztA6JCKB4s

TYPES OF PRODUCTIONS AND MANUFACTURING

Custom manufacturing - process of producing a specific and exclusive product for a customer When customer has unique needs or

product has a specific use Designers, tool makers, and assemblers

work together Examples: ceramics, prosthetic limbs,

signs, buildings, landscapes, bridges, dentures, vehicles

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Eclipse GSX Wide Custom Body Kit Transformation

TYPES OF PRODUCTIONS AND MANUFACTURING

Materials processing- process of changing raw materials to another form in order to be consumed or used to make other products

Examples: Oil companies refine crude oilMills process wheat into flour

Film processors convert into photographs

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PRODUCTION ACTIVITIES

Production and manufacturing involve the following activities in order to produce products:1. Product development2. Production planning3. Inventory management

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WHAT IS PRODUCT DEVELOPMENT?

Product development is the process of creating or improving the form of another product.

Why do companies develop new product? Consumer demand Keep up with trends New technology Retain sales

NEW PRODUCT IDEASWork with your partner to brainstorm an

idea for a new/improved product that you could sell.

Ideas: Toothpaste, writing instrument, shoes, clothing, deodorant, frozen food, athletic equipment, writing instrument, etc.

No video games, software, plays What are your products features? What will it

do special? What colors does it come in. Draw a pic and label its features.

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LIFE CYCLE OF A PRODUCT Introduction Growth phase Maturity phase Decline obsolete

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Product researchperformed by engineers and other

scientists to develop new products or to discover improvements for existing

products.

Goal: to develop new products that will meet the needs of customers and improve current products offered by the company

WHAT IS PRODUCT RESEARCH?

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1. Scientist develop idea2. Design engineers create models-

prototypes 3. Models are tested and revised4. Best model is chosen5. Materials selected to make usable

product6. Financial experts determine costs of

production

WHAT ARE STEPS IN PRODUCT DESIGN?

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APPLIED RESEARCH

Marketing research that studies existing products to develop design improvements or new product uses

Auto manufacturers study current design to improve efficiency of engines or improve product safety

Engineers experiment with solar designs for renewable energy sources

Improved athletic shoes designed especially for runners, aerobics, walking, etc.

Development of formulas for corn based ethanol as an alternative fuel

PURE RESEARCH Discovers new solutions to problems

Drug manufacturers study diseases and immune systems to uncover treatment or cures

Scientists at the CDC (Center for Disease Control)

Doctors at Duke U Medical Research Center No specific product in mind Goal- to uncover new treatments or cures

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PRODUCTION PLANNING ACTIVITIES Production process –identifying the

steps/activities, equipment, and resources needed to manufacture products – what are the steps in the production activity?

Production resources – setting up machines, tools, and other equipment needed for production

Personnel – determines # of employees and skills needed for completion of production, hires and trains additional staff if required

PRODUCT DESIGN Product design is

first creating a model and then deciding the best possible design.

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http://www.learn360.com/ShowVideo.aspx?ID=148028http://www.learn360.com/ShowVideo.aspx?ID=148382

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WHAT IS CONTINUOUS PROCESS IMPROVEMENT ?

Continuous Process Improvement (CPI) -ongoing effort to improve manufacturing processes to increase the quality of work

Purpose: to reduce Errors Inefficiencies Waste

Continuous reviewing with goal of finding ways to improve

Not just manufacturing: Disney, McDonalds, teacherswww.thomasgroup.com/eLibrary/case-studies.aspx

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Continuous Process Improvement (CPI) has the following six steps:

1. Involve everyone.2. Identify process activities.3. Establish quality performance standards

aka benchmarks.4. Select measurement tools.5. Monitor performance and compare to

standard continuously.6. Look for ways to improve process

quality.

Would Continuous Process Improvement affects prices that consumers pay for products?How might you apply the CPI concepts to your personal goals?

TOAST AND DELL http://www.youtube.com/watch?v=cdg

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9JJ991pE http://www.youtube.com/watch?v=Q89

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BUSINESS OPERATIONS

Common business operations: Inventory management Facilities management Logistics Scheduling Safety and security Information management

INVENTORY MANAGEMENT Inventory- detailed account of a

company’s materials, supplies and finished product

Inventory management maintains the supply of all resources

needed ensures that each item need to make

product is available at time and place needed

keeps record of supply and costs of resources

Keeps accurate record of all merchandise23

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WHAT IS FACILITIES MANAGEMENT?

Why would a business need to be concerned about management of their facilities? To know buildings and land are

repaired, running properly and prepared to be used

Facilities management - managing buildings and land of a business and ensuring that everything is used, repaired, and running properly.

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How do businesses obtain their products and services in a timely manner to make available for customers? LOGISTICS

Logistics - managing the receiving, moving, and storing of supplies, materials, and finished products

WHAT IS LOGISTICS?

LOGISTICS Transport of:

Employees Equipment Materials in Finished products

out Highways,

interstates Railroads Ships, boats airports

Storage of/workspace for: Employees supplies Raw materials Finished goods Shipping area Movement of goods

between departments

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WHAT CAN BROWN DO FOR YOU? http://www.youtube.com/watch?v=g-23mkL69ic&f

eature=BFa&list=PL79DF4DEC6808C29E&lf=rellist http://www.youtube.com/watch?v=eL75TVcJJPc http://www.youtube.com/watch?v=mgui8TeJ57o http://www.youtube.com/watch?v=5pQV549pt44 http://www.youtube.com/watch?v=zbiOmV8QUjU http://www.youtube.com/watch?v=N-d1wWoFJ9I

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SCHEDULING What is involved in scheduling work,

people, and resources for a business? Scheduling – managing:

activities to be completed the people who will complete the work the resources needed for completing the

task

ADDITIONAL HIRING NEEDED WHEN? When might additional employees be

hired by the following businesses? Clothing retailer Hospital School system Day care operation Military supplier Police department

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SAFETY AND SECURITY What is involved in safety and

security for a business? Safety and security - managing

personnel being in place to prevent accidents and injuries of employees and customers and protect people and property.

SAFETY AND SECURITY Goal: Minimizing human and property

losses Procedures- fire drills, tornado drills Personnel Security plans- catastrophic events

Hurricane, fire, tornado Encourage workplace safety Secure employees & customers Recognize safety records

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INFORMATION MANAGEMENT When does a company use

information management? When information needs to be

coordinated between Customers, employees, supervisors,

managers Locations at various sites-local, regional,

international

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INFORMATION MANAGEMENTGOALS:

1. To collect, organize, and securely maintain all needed information

2. To provide instantaneous access to info required to perform work and make decisions

3. To prevent access to information by those unauthorized to use it

4. To use technology to improve communication and information sharing

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MANAGEMENT TOOLS Operational plan-identifies how work will be done,

who will do it, and what resources will be needed

Operating budget -detailed financial plan for a production unit, marketing department or other area of the business

Schedules - matching people with resources

Procedures – list of steps to be followed for performing a particular work activity

Standards – a specific measurement against which a result is judged

TECHNOLOGY TOOLS - TYPES OF SOFTWARE Supply chain

management software allows cooperating companies to share ordering, production, and shipping information, tract products, and exchange customer data

Collaboration software provides real time communications by voice, texts, videos using computers around the world

Computer security provides access and restrictions, usage data, privacy, virus protection for networks

Inventorymanagement of sales, purchases, payment; tracks production, usage and sales, prints bar codes

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TECHNOLOGY TOOLS - TYPES OF SOFTWARE

Project Management keeps tract of project calendars, tasks, to-do lists, work assignments and project resources

Budgeting automates budget planning, compares budgets from one time period to another, coordinates budgets among department

Document Management controls production, storage, management, and distribution of electronic documents

Manufacturing Automation monitors and controls manufacturing machines, checks for errors and defects, reports on production levels

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