Concept
How do firms plan resources, route work, and schedule production?
IntroductionToBusiness OP 8D04gAa / Summary of Learning Outcomes
"The aspect of production control that involves setting out the work flow—the sequence of machines and operations through which the product or service progresses from start to finish. The aspect of production control that involves specifying and controlling the time required for each step in the production process. The entire sequence of securing inputs, producing goods, and delivering goods to customers. The process of smoothing transitions along the supply chain so that the firm can satisfy its customers with quality products and services; focuses on developing tight bonds with suppliers. 10.4 Pulling It Together: Resource Planning 4. Why are resource-planning tasks such as inventory management and supplier relations critical to production? Production converts input resources, such as raw materials and labor, into outputs, finished products and services. Firms must ensure that the resources needed for production will be available at strategic moments in the production process. If they are not, productivity, customer satisfaction, and quality may suffer. Carefully managing inventory can help cut production costs while maintaining enough supply for production and sales. Through good relationships with suppliers, firms can get better prices, reliable resources, and support services that can improve production efficiency. 10.5 Production and Operations Control 5. How do operations managers schedule and control production? Routing is the first step in scheduling and controlling production. Routing analyzes the steps needed in production and sets out a workflow, the sequence of machines and operations through which a product or service progresses from start to finish. Good routing increases productivity and can eliminate unnecessary cost. Scheduling involves specifying and controlling the time and resources required for each step in the production process. Operations managers use three methods to schedule production: Gantt charts, the critical path method, and PERT."
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