Académique Documents
Professionnel Documents
Culture Documents
Process Performance
Chapter 7
Theory of Constraints
Theory of Constraints
Theory of Constraints
Process Layouts
WIP Accumulation
Product Layouts
Group Technology
Group Technology
Batch production
Creates inventory costs
Creates delays associated with storing and moving
inventory
These delays increase cycle times, thereby
reducing service to customers
Delays may even happen before manufacturing
begins
Inventory-Related Costs
Processing time
Cost of Nonconformance
and Quality Issues
Quality Standards
Quality Standards
Prevention Costs
Appraisal Costs
Examples:
Reworking defective components or products
The cost of downtime in production
Cost-of-Quality Report
Just-in-Time Manufacturing
Implications of JIT
Manufacturing
Implications of JIT
Manufacturing
production
Actual machine time available compared with
planned machine time available
2012 Pearson Prentice Hall. All rights reserved.
Kaizen Costing
Concerns About
Kaizen Costing
Benchmarking
Benchmarking Stage 1
Benchmarking Stage 2
long term
Long-term commitment requires
Benchmarking Stage 2
(continued)
Benchmarking Stage 3
Benchmarking Stage 4
Benchmarking Stage 5