Operations Management - Pearson

1 Operations ManagementPROCESSES AND SUPPLY CHAINSLEE J. KRAJEWSKIP rofessor Emeritus at The Ohio State University and the University of Notre DameMANOJ K. MALHOTRAU niversity of South Carolina Case Western Reserve UniversityLARRY P. RITZMANThe Ohio State University and Professor Emeritus at Boston CollegeTwelfth EditionNew York, 110/20/17 10:46 AMDesign Lead: Kathryn FootManager, Learning Tools: Brian SuretteContent Developer, Learning Tools: Lindsey SloanManaging Producer, Digital Studio and GLP, Media Production and Development: Ashley SantoraManaging Producer, Digital Studio: Diane LombardoDigital Studio Producer: Regina DaSilvaDigital Studio Producer: Alana ColesDigital Content Project Lead: Courtney KamaufProject Manager: Nicole Suddeth, SPi Global; Heather Winter, SPi GlobalInterior Design: KrishnaKumar, B, Spi GlobalCover Art: chombosan/Getty ImagesPrinter/Binder: RRD WillardCover Printer: Phoenix Color/HagerstownVice President, Business, Economics, and UK Courseware: Donna BattistaDirector of Portfolio Management : Stephanie WallVice President, Product Marketing: Roxanne McCarleyProduct Marketer: Kaylee Carlson Product Marketing Assistant: Marianela SilvestriManager of Field Marketing, Business Publishing: Adam GoldsteinExecutive Field Marketing Manager: Thomas HaywardVice President, Production and Digital Studio, Arts and Business: Etain O DeaDirector of Production, Business: Jeff HolcombManaging Producer, Business: Melissa FeimerContent Producer: Yasmita HotaOperations Specialist.

2 Carol MelvilleMicrosoft and/or its respective suppliers make no representations about the suitability of the information contained in the documents and related graphics published as part of the services for any purpose. All such documents and related graphics are provided as is without warranty of any kind. Microsoft and/or its respective suppliers hereby disclaim all warranties and conditions with regard to this information, including all warranties and conditions of merchantability, whether express, implied or statutory, fitness for a particular purpose, title and non-infringement. In no event shall Microsoft and/or its respective suppliers be liable for any special, indirect or consequential damages or any damages whatsoever resulting from loss of use, data or profits, whether in an action of contract, negligence or other tortious action, arising out of or in connection with the use or performance of information available from the documents and related graphics contained herein could include technical inaccuracies or typographical errors.

3 Changes are periodically added to the information herein. Microsoft and/or its respective suppliers may make improvements and/or changes in the product(s) and/or the program(s) described herein at any time. Partial screen shots may be viewed in full within the software version and Windows are registered trademarks of the Microsoft Corporation in the and other countries. This book is not sponsored or endorsed by or affiliated with the Microsoft 2019, 2016, 2013 by Pearson Education, Inc. or its affiliates. All Rights Reserved. Manufactured in the United States of America. This publication is protected by copyright, and permission should be obtained from the publisher prior to any prohibited reproduction, storage in a retrieval system, or transmission in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise. For information regarding permissions, request forms, and the appropriate contacts within the Pearson Education Global Rights and Permissions department, please visit of third-party content appear on the appropriate page within the text, which constitutes an extension of this copyright , ALWAYS LEARNING, and MYLAB are exclusive trademarks owned by Pearson Education, Inc.

4 Or its affiliates in the and/or other otherwise indicated herein, any third-party trademarks, logos, or icons that may appear in this work are the property of their respective owners, and any references to third-party trademarks, logos, icons, or other trade dress are for demonstrative or descriptive purposes only. Such references are not intended to imply any sponsorship, endorse-ment, authorization, or promotion of Pearson s products by the owners of such marks, or any relationship between the owner and Pearson Education, Inc., or its affiliates, authors, licensees, or of Congress Cataloging-in-Publication DataNames: Krajewski, Lee J., author. | Malhotra, Manoj K. (Manoj Kumar), author. | Ritzman, Larry P., : Operations Management . Processes and supply chains / Lee J. Krajewski, professor emeritus at the Ohio State University and the University of Notre Dame, Manoj K. Malhotra, University of South Carolina, Larry P.

5 Ritzman, professor emeritus at the Ohio State University and Boston titles: Operations Management . Processes and value chainsDescription: Twelfth edition. | Boston : Pearson Education, Inc., [2019] | Includes bibliographical references and : LCCN 2017024658| ISBN 9780134741062 | ISBN 0134741064 Subjects: LCSH: Production : LCC TS155 .K785 2019 | DDC record available at 17 ISBN 10: 0-13-474106-4 ISBN 13: 210/20/17 10:46 AMDedicated with love to our families. Judie KrajewskiChristine and Gary; GabrielleSelena and Jeff; AlexLori and Dan; Aubrey, Madeline, Amelia, and MariannaCarrie and Jon; Jordanne, Alaina, and BradleyVirginia and JerryVirginia and Larry Maya MalhotraVivek, Pooja, and NehaSantosh and Ramesh MalhotraIndra and Prem Malhotra; Neeti, Neil, Niam, and Nivin Ardeshna; Deeksha Malhotra and Maneish JoshiSadhana MalhotraLeela and Mukund DabholkarAruna and Harsha Dabholkar; AditeeMangala and Pradeep Gandhi; Priya and Medha Barbara RitzmanKaren and Matt; Kristin and AlaynaTodd; Cody, Cole, Taylor, and ClaytonKathryn and PaulMildred and 310/20/17 10:46 410/20/17 10:46 AM vAbout the AuthorsLee J.

6 Krajewski is Professor Emeritus at The Ohio State Univer-sity and Professor Emeritus at the University of Notre Dame. While at The Ohio State University, he received the University Alumni Dis-tinguished Teaching Award and the College of Business Outstanding Faculty Research Award. He initiated the Center for Excellence in Manufacturing Management and served as its director for four years. At the University of Notre Dame, he held the William and Cassie Daley Chair in Management . In addition, he received the National President s Award and the National Award of Merit of the American Production and Inventory Control Society. He served as president of the Decision Sciences Institute and was elected a Fellow of the Deci-sion Sciences Institute in 1988. He received the Distinguished Service Award in received his PhD from the University of Wisconsin. Over the years, he has designed and taught courses at both graduate and undergraduate levels on topics such as Operations strategy, introduction to Operations Management , Operations design, project Management , and manufac-turing planning and control served as the editor of Decision Sciences, was the founding editor of the Journal of Operations Management , and has served on several editorial boards.

7 Widely published him-self, Lee has contributed numerous articles to such journals as Decision Sciences, Journal of Operations Management , Management Science, Production and Operations Management , Inter-national Journal of Production Research, Harvard Business Review, and Interfaces, to name just a few. He has received five best-paper awards. Lee s areas of specialization include Operations strategy, manufacturing planning and control systems, supply chain Management , and master production K. Malhotra is the Dean and Albert J. Weatherhead III Professor of Management at the Weatherhead School of Management , Case Western Reserve University. Previously, he was the Senior Associate Dean of Graduate Programs, Jeff B. Bates Professor, and Chairman of the Management Science Department at the Darla Moore School of Business, University of South Carolina (USC), Columbia. He also served from 2005 to 2017 as the founding director of the Center for Global Supply Chain and Process Management (GSCPM) at the Moore School.

8 He earned an engineering undergraduate degree from the Indian Institute of Technology (IIT), Kanpur, India, in 1983, and a PhD in Operations Management from The Ohio State University in 1990. He is a Fellow of the Decision Sciences Institute (DSI) and the American Production and Inventory Management Society (APICS). Manoj has conducted seminars and consulted with firms such as avaya , BMW, Continental, Cummins Turbo Tech-nologies, Delta Air Lines, John Deere, Metso Paper, Palmetto Health, Sonoco, Verizon, Walmart, and Westinghouse-Toshiba among from teaching Operations Management , supply chain Management , and global busi-ness issues at USC, Manoj has also taught at the Terry School of Business, University of Georgia; Wirtschaftsuniversit t Wien in Austria; and the Graduate School of Management at Macquarie University, Australia. His research has thematically focused on the deployment of flexible re-sources in manufacturing and service firms, Operations and supply chain strategy, and on the interface between Operations Management and other functional areas of business.

9 His work on these and related issues has been published in the leading refereed journals of the field such as Decision Sciences, European Journal of Operational Research, Interfaces, Journal of Opera-tions Management , and Production and Operations Management . Manoj has been recognized for his pedagogical and scholarly contributions through several teaching and discipline-wide research awards. He is the recipient of the Michael J. Mungo Outstanding Graduate Teaching Award in 2006, the Carolina Trustee Professor Award in 2014, and the Breakthrough Leadership 510/20/17 10:46 AMvi ABOUT THE AUTHORSin Research Award in 2014 from the University of South Carolina. He has been the program chair for international conferences at both the Decision Sciences Institute (DSI) and Production and Operations Management Society (POMS). He also served as the President of POMS in 2017 and continues to serve on the editorial boards of top-tier journals in the P.

10 Ritzman is Professor Emeritus at The Ohio State University and Professor Emeritus at Boston College. While at The Ohio State University, he served as department chairman and re-ceived several awards for both teaching and research, including the Pace Setters Club Award for Outstanding Research. While at Boston College, he held the Thomas J. Galligan, Jr. chair and received the Distinguished Service Award from the School of Management . He re-ceived his doctorate at Michigan State University, having had prior industrial experience at the Babcock and Wilcox Company. Over the years, he has been privileged to teach and learn more about Operations Management with numerous students at all levels undergraduate, MBA, executive MBA, and active in the Decision Sciences Institute, Larry has served as council coordinator, publications committee chair, track chair, vice president, board member, executive committee member, doctoral consortium coordinator, and president.