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Operations Management: Processes and Value Chains, Eighth edition

by Lee J. Krajewski - University of Notre Dame; Larry P. Ritzman - Professor Emeritus at The Ohio State University and Boston College; Manoj K. Malhotra - University of South Carolina

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Copyright, ii
Preface, xiii
1. Using Operations to Compete, 1
1. Operations As a Competitive Weapon, 2
Operations Management Across the Organization, 4
A Process View, 5
Adding Value: The Value Chain, 8
Operations Management as a Set of Decisions, 10
Trends in Operations Management, 12
Addressing the Challenges in Operations Management, 16
Student CD-ROM and Internet Resources, 18
Key Equation, 18
Key Terms, 19
Solved Problem 1, 20
Solved Problem 2, 20
Discussion Questions, 20
Problems, 21
Active Model Exercise, 22
Selected References, 24
Supplement A. Decision Making, 25
Break-Even Analysis, 26
Preference Matrix, 29
Decision Theory, 30
Decision Trees, 34
Student CD-ROM and Internet Resources, 36
Key Equations, 36
Key Terms, 36
Solved Problem 1, 36
Solved Problem 2, 37
Solved Problem 3, 38
Solved Problem 4, 39
Problems, 39
Selected References, 43
2. Operations Strategy, 44
Operations Strategy Across the Organization, 47
Developing a Customer-Driven Operations Strategy, 47
Competitive Priorities and Capabilities, 50
New Service or Product Development, 56
Operations Strategy As a Pattern of Decisions, 61
Student CD-ROM and Internet Resources, 63
Key Terms, 63
Discussion Questions, 63
Selected References, 67
3. Project Management, 68
Project Management Across the Organization, 70
Defining and Organizing Projects, 72
Planning Projects, 75
Critical Chain, 97
Monitoring and Controlling Projects, 98
Student CD-ROM and Internet Resources, 101
Key Equations, 101
Key Terms, 102
Solved Problem 1, 102
Solved Problem 2, 104
Discussion Questions, 106
Problems, 106
Active Model Exercise, 113
Selected References, 117
2. Managing Processes, 118
4. Process Strategy, 118
Process Strategy Across the Organization, 120
Process Strategy, 121
Major Process Decisions, 121
Process Structure in Services, 122
Process Structure in Manufacturing, 128
Customer Involvement, 133
Resource Flexibility, 134
Capital Intensity, 136
Strategic Fit, 138
Strategies for Change, 141
Student CD-ROM and Internet Resources, 142
Key Terms, 143
Discussion Questions, 143
Problems, 143
Selected References, 148
5. Process Analysis, 150
Process Analysis Across the Organization, 153
A Systematic Approach, 153
Documenting the Process, 155
Evaluating Performance, 161
Redesigning the Process, 169
Managing Processes, 172
Student CD-ROM and Internet Resources, 173
Key Terms, 173
Solved Problem 1, 173
Solved Problem 2, 174
Solved Problem 3, 175
Solved Problem 4, 176
Discussion Questions, 176
Problems, 177
Active Model Exercise, 183
Selected References, 185
Supplement B. Simulation, 187
Reasons for Using Simulation, 188
The Simulation Process, 188
Computer Simulation, 193
Student CD-ROM and Internet Resources, 198
Key Terms, 198
Solved Problem, 198
Problems, 199
Selected References, 203
6. Process Performance and Quality, 204
Process Performance and Quality Across the Organization, 206
Costs of Poor Process Performance and Quality, 206
Total Quality Management, 208
Statistical Process Control, 213
Statistical Process Control Methods, 220
Process Capability, 227
Six Sigma, 230
International Quality Documentation Standards, 234
Malcolm Baldrige National Quality Award, 236
Student CD-ROM and Internet Resources, 237
Key Equations, 237
Key Terms, 237
Solved Problem 1, 238
Solved Problem 2, 238
Solved Problem 3, 239
Solved Problem 4, 239
Discussion Questions, 240
Problems, 240
Active Model Exercise, 248
Questions, 248
Selected References, 251
7. Constraint Management, 252
Managing Constraints Across the Organization, 254
The Theory of Constraints, 255
Identification and Management of Bottlenecks, 259
Capacity Planning Over Longer Time Horizons, 265
Capacity Timing and Sizing Strategies, 268
A Systematic Approach to Long-Term Capacity Decisions, 270
Tools for Capacity Planning, 273
Student CD-ROM and Internet Resources, 275
Key Equations, 275
Key Terms, 275
Solved Problem 1, 275
Solved Problem 2, 276
Solved Problem 3, 278
Discussion Questions, 278
Problems, 279
Selected References, 290
Supplement C. Waiting Lines, 291
Why Waiting Lines Form, 292
Uses of Waiting-Line Theory, 292
Structure of Waiting-Line Problems, 292
Probability Distributions, 295
Using Waiting-Line Models to Analyze Operations, 297
Decision Areas for Management, 303
Student CD-ROM and Internet Resources, 304
Key Equations, 304
Key Terms, 305
Solved Problem 1, 305
Solved Problem 2, 306
Solved Problem 3, 306
Problems, 307
Selected References, 309
8. Process Layout, 310
Managing Process Layout Across the Organization, 312
Layout Planning, 313
Strategic Issues, 313
Creating Hybrid Layouts, 317
Designing Flexible-Flow Layouts, 319
Designing Line-Flow Layouts, 326
Student CD-ROM and Internet Resources, 332
Key Equations, 332
Key Terms, 332
Solved Problem 1, 332
Solved Problem 2, 333
Discussion Questions, 335
Problems, 335
Active Model Exercise, 340
Selected References, 345
9. Lean Systems, 346
Lean Systems Across the Organization, 349
Characteristics of Lean Systems for Services and Manufacturing, 349
Continuous Improvement Using a Lean Systems Approach, 354
The Kanban System, 356
Value Stream Mapping, 360
JIT II, 362
Operational Benefits and Implementation Issues, 362
Student CD-ROM and Internet Resources, 365
Key Equation, 365
Key Terms, 365
Solved Problem, 365
Discussion Questions, 366
Problems, 366
Selected References, 369
3. Managing Value Chains, 370
10. Supply Chain Strategy, 370
Supply Chain Strategy Across the Organization, 372
Supply Chains for Services and Manufacturing, 373
Measures of Supply Chain Performance, 376
Supply Chain Dynamics, 380
The Customer Relationship Process, 383
The Order Fulfillment Process, 385
Supplier Relationship Process, 389
Supply Chain Strategies, 393
Student CD-ROM and Internet Resources, 406
Key Equations, 406
Key Terms, 406
Solved Problem 1, 406
Discussion Questions, 407
Problems, 408
Selected References, 417
11. Location, 418
Location Decisions Across the Organization, 421
Factors Affecting Location Decisions, 422
Geographical Information Systems and Location Decisions, 424
Choosing Between an Onsite Expansion, New Location, or Relocation, 427
Locating a Single Facility, 431
Locating a Facility Within a Network of Facilities, 436
Student CD-Rom and Internet Resources, 444
Key Equations, 444
Key Terms, 445
Solved Problem 1, 445
Solved Problem 2, 446
Solved Problem 3, 447
Solved Problem 4, 448
Discussion Questions, 448
Problems, 448
Active Model Exercise, 454
Selected References, 459
12. Inventory Management, 460
Inventory Management Across the Organization, 462
Inventory Basics, 463
Economic Order Quantity, 470
Inventory Control Systems, 475
Student CD-ROM and Internet Resources, 489
Key Equations, 490
Key Terms, 490
Solved Problem 1, 490
Solved Problem 2, 491
Solved Problem 3, 492
Solved Problem 4, 492
Solved Problem 5, 493
Solved Problem 6, 494
Solved Problem 7, 494
Solved Problem 8, 495
Discussion Questions, 496
Problems, 496
Active Model Exercise, 501
Selected References, 506
Supplement D. Special Inventory Models, 507
Noninstantaneous Replenishment, 508
Quantity Discounts, 510
One-Period Decisions, 512
Student CD-ROM and Internet Resources, 515
Key Equations, 515
Key Term, 515
Solved Problem 1, 515
Solved Problem 2, 516
Solved Problem 3, 516
Problems, 517
Selected References, 519
13. Forecasting, 520
Forecasting Across the Organization, 523
Demand Patterns, 523
Designing the Forecasting System, 524
Judgment Methods, 526
Causal Methods: Linear Regression, 528
Time-Series Methods, 531
Choosing a Time-Series Method, 541
Using Multiple Techniques, 546
Putting it all Together: Forecasting as a Process, 547
Student CD-ROM and Internet Resources, 549
Key Equations, 549
Key Terms, 549
Solved Problem 1, 550
Solved Problem 2, 551
Solved Problem 3, 552
Solved Problem 4, 553
Solved Problem 5, 554
Discussion Questions, 555
Problems, 556
Active Model Exercise, 562
Selected References, 564
14. Sales and Operations Planning, 566
Sales and Operations Planning Across the Organization, 568
The Purpose of Sales and Operations Plans, 568
The Decision Context, 571
Sales and Operations Planning as a Process, 576
Decision Support Tools, 578
Managerial Considerations, 587
Key Terms, 587
Solved Problem 1, 587
Solved Problem 2, 589
Discussion Questions, 591
Problems, 591
Selected References, 598
Supplement E. Linear Programming, 599
Basic Concepts, 600
Graphic Analysis, 602
Sensitivity Analysis, 609
Computer Solution, 610
Applications, 613
Key Terms, 614
Solved Problem 1, 614
Discussion Question, 615
Problems, 615
Selected References, 621
15. Resource Planning, 622
Resource Planning Across The Organization, 624
Enterprise Resource Planning, 624
Planning and Control Systems for Manufacturers, 626
Material Requirements Planning, 629
Drum-Buffer-Rope System, 646
Resource Planning for Service Providers, 647
Student CD-ROM and Internet Resources, 650
Key Terms, 650
Solved Problem 1, 651
Solved Problem 2, 651
Solved Problem 3, 653
Discussion Questions, 655
Problems, 655
Active Model Exercise, 664
Selected References, 668
16. Scheduling, 670
Scheduling Across the Organization, 672
Scheduling Service and Manufacturing Processes, 673
Scheduling Customer Demand, 675
Scheduling Employees, 676
Operations Scheduling, 679
Student CD-ROM and Internet Resources, 690
Key Equations, 690
Key Terms, 692
Solved Problem 1, 692
Solved Problem 2, 693
Solved Problem 3, 694
Solved Problem 4, 696
Discussion Questions, 697
Problems, 697
Active Model Exercise, 701
Questions, 702
Selected References, 705
1. Normal Distribution, 707
2. Table of Random Numbers, 708
Photo Credits, 709
Glossary, 709
Site License Agreement and Limited Warranty, G-29
Name Index, I-1-1
Subject Index, I-2-1

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