ch. 15 - production

what is a production?

• The process of consuming goods and services
• The process of destroying goods and services
• The process of trading goods and services
• The process of creating goods and services using resources such as labor, capital, and technology.

operation management must:

• only involve planning and organizing
• does not meet customer standard

• use resource effectively

• only involve producing goods and not services

how to calculate labour productivity?

• Total output multiplied by total number of hours worked
• Total output divided by total number of employees
• Total output minus total number of hours worked
• Total output divided by total number of production employee

how to improve labour productivity?

• By providing outdated equipment
• By increasing output with same number of employee

• By increasing the number of meetings
• By reducing the number of working hours

why business hold inventories?

• To store input for production

• To increase production costs
• To reduce customer satisfaction
• To cause delays in production

example of holding inventory cost

• Employee salaries
• Marketing expenses
• obsolescence

• Research and development costs

what is a lean production?

• A systematic method for increasing productivity by sacrificing waste
• A systematic method for minimizing waste within a manufacturing system without sacrificing productivity.
• A method for minimizing productivity within a manufacturing system without sacrificing waste
• A method for maximizing waste within a manufacturing system

Kaizen is

• a type of japanese material

• a traditional Japanese work

• a form of ancient Japanese business

• philosophy of continuous improvement

what is the benefit of JIT?

• Increased memory usage
• reduce cost

• No impact on code execution speed
• Slower execution of code

explain batch production