SUPPLEMENTAL MATERIALS (INTRODUCTION TO OPERATION MANAGEMENT) 1. Service and product design. The process of deciding on the unique characteristics and features of the company's product. 2. Quality management. Quality management is the act of overseeing all activities and tasks that must be accomplished to maintain a desired level of excellence. (Investopedia) 3. Process and capacity design. Process Capacity. It refers to the production capacity of workers or machines, and is usually expressed by "hours". The Process Capacity of workers is called human capacity, while that of machines is called machine capacity. Design capacity is the theoretical maximum output of a system in a given period under ideal conditions. 4. Location. The process of determining a geographic site for a firm's operations. 5. Layout design. Layout design concerns the physical placement of resources such as equipment and storage facilities. The layout is designed to facilitate the efficient flow of customers or materials through the manufacturing or service system. 6. Human resources, job design. Job design is the process of organizing work into the tasks required to perform a specific job. 7. Supply-chain management. Supply chain management is the coordination, management and strategy that drives the flow of data, information, resources and materials to deliver the best product and service to all stakeholders in the process of converting raw goods to a salable product and delivering it to the ultimate customer 8. Inventory management. It refers to the process of ordering, storing, using, and selling a company's inventory. 9. Scheduling. Prescribing of when and where each operation necessary to manufacture the product is to be performed. 10.Maintenance. It involves keeping track of assets and parts. The purpose is to ensure that production proceeds efficiently and the minimum amount of resources are wasted. TERMINOLOGIES: JIT (Just-in-Time). The just-in-time (JIT) inventory system is a management strategy that aligns raw-material orders from suppliers directly with production schedules. Companies employ this inventory strategy to increase efficiency and decrease waste by receiving goods only as they need them for the production process, which reduces inventory costs. This method requires producers to forecast demand accurately. Material Resource Planning. a system for trying to figure out the materials and items needed to manufacture a given product. Standardized product. A product that conforms to specifications resulting from the same or equivalent technical requirements. Scientific management. Using scientific methods to determine and standardize the one best way of doing a job. A clear division of tasks and responsibilities. High pay for high-performing employees. Gantt Chart. is a type of bar chart that illustrates a project schedule, named after its inventor, Henry Gantt (1861–1919), who designed such a chart around the years 1910–1915 Computer aided design (CAD 1970). Computer-aided design (CAD) is the use of computers (or workstations) to aid in the creation, modification, analysis, or optimization of a design. Flexible manufacturing system (FMS 1975). A flexible manufacturing system is designed to react and adapt to changes within the production process, including any unexpected issues or problems. Computer integrated manufacturing (1990). Computer-integrated manufacturing (CIM) is the manufacturing approach of using computers to control the entire production process. Baldrige Quality Award. The Malcolm Baldrige National Quality Award was established by Congress to promote improved quality of goods and services in U.S. companies and organizations