1. Copyright © 2007 South-Western. All rights reserved. Chapter 9 Improving Productivity and Quality

2. Copyright © 2007 South-Western. All rights reserved. Learning Objectives Improving Productivity and Quality EfficiencyResources Control Plant Site Design/Layout

3. Improving Productivity and Quality Copyright © 2007 South-Western. All rights reserved. The Key Decisions in Running a Business

4. Improving Productivity and Quality Copyright © 2007 South-Western. All rights reserved. Resources Used Resources Plant Site Design/Layout Control Efficiency H.R. MaterialsOther Work Station Assembly Line

5. Improving Productivity and Quality Copyright © 2007 South-Western. All rights reserved. Site Selection Resources Plant Site Design/Layout Control Efficiency Workplace Space Labor COST Tax Incentives Transportation ACCESS Demand Labor SOURCES

6. Improving Productivity and Quality Copyright © 2007 South-Western. All rights reserved. Evaluating Sites Resources Plant Site Design/Layout Control Efficiency Identify Weigh Evaluate

7. Improving Productivity and Quality Copyright © 2007 South-Western. All rights reserved. Location Investment Resources Plant Site Design/Layout Control Efficiency

8. Improving Productivity and Quality Copyright © 2007 South-Western. All rights reserved. Design & Layout Resources Plant Site Design/Layout Control Efficiency Site Characteristics Production Product Layout Fixed Position Flexible Manufacturing

9. Improving Productivity and Quality Copyright © 2007 South-Western. All rights reserved. Plan for Growth Resources Plant Site Design/Layout Control Efficiency Production Capacity Hotelling (JIT)

10. Improving Productivity and Quality Copyright © 2007 South-Western. All rights reserved. Key Tasks Resources Plant Site Design/Layout Control Efficiency Production control Purchasing Inventory Routing Scheduling Quality

11. Improving Productivity and Quality Copyright © 2007 South-Western. All rights reserved. Purchasing Materials Resources Plant Site Design/Layout Control Efficiency

12. Improving Productivity and Quality Copyright © 2007 South-Western. All rights reserved. Deintegration Resources Plant Site Design/Layout Control Efficiency

13. Improving Productivity and Quality Copyright © 2007 South-Western. All rights reserved. Inventory Control Resources Plant Site Design/Layout Control Efficiency Materials Work-in-Process Finished Goods

14. Improving Productivity and Quality Copyright © 2007 South-Western. All rights reserved. Routing Resources Plant Site Design/Layout Control Efficiency 1 2 3

15. Improving Productivity and Quality Copyright © 2007 South-Western. All rights reserved. Production Scheduling Resources Plant Site Design/Layout Control Efficiency Gantt Chart

16. Improving Productivity and Quality Copyright © 2007 South-Western. All rights reserved. Quality Resources Plant Site Design/Layout Control Efficiency

17. Improving Productivity and Quality Copyright © 2007 South-Western. All rights reserved. Quality Control Resources Plant Site Design/Layout Control Efficiency Technology Employees Sampling Complaints

18. Improving Productivity and Quality Copyright © 2007 South-Western. All rights reserved. Production Efficiency Resources Plant Site Design/Layout Control Efficiency Benchmarking Stretch Targets Efficiency

19. Improving Productivity and Quality Copyright © 2007 South-Western. All rights reserved. Efficiency Methods Resources Plant Site Design/Layout Control Efficiency Technology Economies of Scale Restructuring

20. Improving Productivity and Quality Copyright © 2007 South-Western. All rights reserved. Supply Chain Resources Plant Site Design/Layout Control Efficiency QualityEmployees InventoryMachinery Materials Site ID AssemblySchedule