The part of a business organization that is responsible for producing goods or services

The management of systems or processes that create goods and/or provide services

are physical items that include raw materials, parts, subassemblies, and final products.

are activities that provide some combination of time, location, form or psychological value.

a sequence of activities and organizations involved in producing and delivering a good or service

measurements taken at various points in the transformation process

The comparison of feedback against previously established standards to determine if corrective action is needed.

Basic Business Organization Functions

consists of all activities directly related to producing goods or providing services.

an abstraction of reality; a simplification of something.

set of interrelated parts that must work together

a few factors account for a high percentage of occurrence of some events)

System in which highly skilled workers use simple, flexible tools to produce small quantities of customized goods

Movement was led by efficiency engineer,

applications of psychology

Hawthorne studies on worker motivation, 1930

motivation theory, 1940s; hierarchy of needs, 1954

Two Factor Theory, 1959

Theory X and Theory Y, 1960s

Using resources in ways that do not harm ecological systems that support human existence

Lecture 1

Competitiveness, Strategy, and Productivity

How effectively an organization meets the wants and needs of customers relative to others that offer similar goods or servicesHow effectively an organization meets the wants and needs of customers relative to others that offer similar goods or services

The reason for an organization's existence

States the purpose of the organization

The mission statement serves as the basis for organizational goals. Provide detail and the scope of the mission

A plan for achieving organizational goals. Serves as a roadmap for reaching the organizational destinations

The methods and actions taken to accomplish strategies. The "how to" part of the process

The actual "doing" part of the process

The special attributes or abilities that give an organization a competitive edge

Characteristics that customers perceive as minimum standards of acceptability for a product or service to be considered as a potential for purchase

Characteristics of an organization's goods or services that cause it to be perceived as better than the competition

Strategy that focuses on quality in all phases of an organization

Areas where organizations have achieved time reductions

A strategic approach for competitive advantage that emphasizes the use of flexibility to adapt and prosper in an environment of change

A top-down management system that organizations can use to clarify their vision and strategy and transform them into action

A measure of the effective use of resources, usually expressed as the ratio of output to input

Lesson 3

a statement about the future value of a variable of interest

Related to the potential size of forecast error

Forecasts that use subjective inputs such as opinions from consumer surveys, sales staff, managers, executives, and experts

long-term upward or downward movement in data

Wavelike variations lasting more than one year

Due to unusual circumstances that do not reflect typical behavior

Residual variation that remains after all other behaviors have been accounted for

Uses a single previous value of a time series as the basis for a forecast

As new data become available, the forecast is updated by adding the newest value and dropping the oldest and then re-computing the average

The most recent values in a time series are given more weight in computing a forecast

A weighted averaging method that is based on the previous forecast plus a percentage of the forecast errorA weighted averaging method that is based on the previous forecast plus a percentage of the forecast error

A simple data plot can reveal the existence and nature of a trend

are based on the development of an equation that summarizes the effects of predictor variables

a technique for fitting a line to a set of data points

Lecture 4

Dismantling and inspecting a competitor's product to discover product improvements

Organized efforts to increase scientific knowledge or product innovation

The responsibility a manufacturer has for any injuries or damages caused by as faulty product

Extent to which there is an absence of variety in a product, service, or process

A strategy of producing basically standardized goods or services, but incorporating some degree of customization in the final product or serviceA strategy of producing basically standardized goods or services, but incorporating some degree of customization in the final product or service

The process of producing, but not quite completing, a product or service until customer preferences are known

A form of standardization in which component parts are grouped into modules that are easily replaced or interchanged

A design that results in products or services that can function over a broad range of conditions

An approach that integrates the "voice of the customer" into both product and service development

Bringing engineering design and manufacturing personnel together early in the design phase

CAD

When products have a high degree of similarity in features and components, a part can be used in multiple products

Begins with a choice of service strategy, which determines the nature and focus of the service, and the target market

Effective product and service design can help the organization achieve competitive advantage:

The ability of a product, part, or system to perform its intended function under a prescribed set of conditions

To properly identify the distribution and length of each phase requires collecting and analyzing historical data