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PRODUCTION AND OPERATIONS MANAGEMENT …

PRODUCTIONANDOPERATIONS MANAGEMENTS econd EditionKANISHKA BEDIA ssistant ProfessorUniversitas 21 GlobalBangaloreOXFORDUNIVERSITY PRKSSC ontentsPreface to the Second Edition ivPreface to the First Edition viAcknowledgements ix1. Introduction to PRODUCTION and OPERATIONS MANAGEMENT 1 Products and Services 2 The Product/Process Continuum 7 The Transformation Process 8 PRODUCTION and OPERATIONS MANAGEMENT 10 Product Design 13 Process Design 16 Automation 18 The PRODUCTION Manager 21.

Contents Preface to the Second Edition iv Preface to the First Edition vi Acknowledgements • ix 1. Introduction to Production and Operations Management 1

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Transcription of PRODUCTION AND OPERATIONS MANAGEMENT …

1 PRODUCTIONANDOPERATIONS MANAGEMENTS econd EditionKANISHKA BEDIA ssistant ProfessorUniversitas 21 GlobalBangaloreOXFORDUNIVERSITY PRKSSC ontentsPreface to the Second Edition ivPreface to the First Edition viAcknowledgements ix1. Introduction to PRODUCTION and OPERATIONS MANAGEMENT 1 Products and Services 2 The Product/Process Continuum 7 The Transformation Process 8 PRODUCTION and OPERATIONS MANAGEMENT 10 Product Design 13 Process Design 16 Automation 18 The PRODUCTION Manager 21.

2 POM in India: First 40 Years of the Republic 25 Summary 28 References 29 Keywords 29 Case Study I Kishore Biyani and Big Bazaar 30 Case Study II Rover-Honda 32 .Concept Review Questions 33 Project Assignments 342. Service OPERATIONS MANAGEMENT 35 Services Scenario in India 36 Medical Tourism in India 37 Characteristics of Services 39 Classification of Services 42 Service Capacity 47 Yield MANAGEMENT 50 Designing Service Processes 53 Service Blueprinting 59 Service Quality 61 Measuring Service Quality using SERVQUAL 63xii ContentsQuality Ratings in the Hotel Industry 76 Summary 85 References 86 Key Terms 87 Case Study I Naresh Goyal and Jet Airways 87 Case Study II Narayana Hrudayalaya 96 Concept Review Questions 99 Project Assignments 1003.

3 Outsourcing and Off shoring 101 India as an Outsourcing and Offshoring Destination 102 Banking Industry and Outsourcing 104 Outsourcing, Offshoring, Near-shoring, and Farm-shoring 106 Summary 117 ,References 117 Key Terms 118 Case Study Sunil Bharti Mittal and Bharti Airtel 118 Concept Review Questions 122 Project Assignment 1234. Facility Location Planning 124 Introduction 125 OPERATIONS Strategies for Multiple Facilities 127 Factors Affecting Facility Location Planning 129 ' Locating Foreign OPERATIONS Facilities 133 Factor and Location Ratings 135 Break-even Analysis for Facility Location Planning 137 Simple Median Model 150 The Centre of Gravity Method 152 ' Transportation* Model using MS Excel XP 153 Ardalan Heuristic for

4 Location Planning of Service Facilities 161 Summary 163 References 163 Keywords 163 ..Case Study I Tata's 'Dream Car' Plant Location 164 Case Study II Toyota in China 167 Concept Review Questions 169 Numerical Problems 169 .Project Assignments 170 .5. Facility Capacity and Layout Planning 171 Capacity and Capacity Planning 172 Contents xiiiDecision Tree Analysis in Facility Capacity Planning 181 Facility Layout Planning 186 The Assignment Model in Layout Planning 203 Load-Distance Analysis in Process Layouts 206 Closeness Ratings 207 Summary 209 References 210.

5 Keywords 210 w - -Case Study I 'Professor' Lalu scripts Indian Railways's Turnaround 211 Case Study II Honda's Mixed Model Assembly Lines 216 -"Concept Review Questions 217 .Numerical Problems 217 Project Assignments 220 Project MANAGEMENT 221 Introduction 222 ,Role of Project MANAGEMENT in Other Functional Areas of MANAGEMENT 224 Network Diagrams 230 Critical Path Method 233 Programme Evaluation and Review Technique 252 Limitations of CPM and PERT 257 Crashing of a Project 257 Resource Levelling 273 Microsoft Project 2000 285 Summary 296 References 297 Keywords 297 Case Study I E.

6 Sreedharan and the Delhi Metro Rail Project 299 Case Study II Dhabol Power Project 306 Concept Review Questions 309 Numerical Problems 309 ' >.. Project Assignments 313 Inventory MANAGEMENT 316 Introduction 317 Uses of Inventory 319 Role of Other Functional Departments 321 Types of Costs 322 Inventory MANAGEMENT Systems 327 Monte Carlo Simulation in Inventory MANAGEMENT 364 Summary 369 References 369xiv ContentsKeywords 370 Case Study I Pantaloon Revolutionizing Inventory MANAGEMENT in Indian Retailing 370 Case Study II Olivetti 374 Concept Review Questions 376 Numerical Problems 377 Project Assignments 3808.

7 Materials Requirement Planning, Just-in-Jlme, and Supply Chain MANAGEMENT 381 Materials Requirement Planning (MRP) 382 Just-in-Time 400 Hybrid MRP-JIT PRODUCTION System 410 Supply Chain MANAGEMENT 412 Summary 422 References 422 Keywords 423 Case Study I The 'Indian' McDonald's 424 Case Study II Volvo-Sunwind 429 Concept Review Questions 430 Numerical Problems 430 Project Assignments 4349. Total Productive Maintenance 435 Total Productive Maintenance (TPM) 436 Summary 450 References 451 ,'.

8 Keywords 451 Case Study I Maintenance MANAGEMENT at Jet Airways 451 Case Study II Hindustan Lever Limited 454 Concept Review Questions 457 Project Assignments 45710. Aggregate Planning 458 Aggregate PRODUCTION Planning 459 PRODUCTION Planning Strategies 464 Disaggregating the Aggregate Plan 472 Summary 479 Reference 480 Keywords 480 Case Study I Jamsetji Tata and Tata Steel the saga of great Indian pride 481 Case Study II ABB 486 Concept Review Questions 489 Numerical Problems 489 Project Assignments 490 Contents xv11. Work Design 491 Work Design 492 Job Design 493 Work Measurement 498 Summary 577 Reference 517 Keywords 517 Case Study I Taj Hotels 518 Case Study II Volvo Truck Corporation 522 Concept Review Questions '523 Numerical Problems 524 Project Assignments 52512.

9 OPERATIONS Scheduling . 526 OPERATIONS Scheduling 527 Sequencing or Prioritization 531 Summary 551 Keywords 557 Case Study IndoChem 552 Concept Review Questions 553 Numerical Problems 553 Project Assignments 55613. Quality MANAGEMENT . 557 Quality 558 India Inc. riding high on the quality bandwagon 560 Quality MANAGEMENT A Conceptual Framework 564 Dimensions of Quality 565 Costs of Quality 567 Quality at Every Stage 570 Quality System Standards 610 Bureau of Indian Standards (BIS) 612 Agmark Grading and Standardization of Agricultural and Allied Commodities 673 International Organization for Standardization 676 ISO 14000 627 COPC-2000 628 Summary 629 References 630 Keywords 630 Case Study I 'Pure for Sure' with Bharat Petroleum 637 Case Study II Harley-Davidson 640xvi ContentsConcept Review Questions 642 Numerical Problems 642___ Project Assignments 64414.

10 Demand Forecasting 645 Demand Forecasting 646 Qualitative Methods of Forecasting 649 Quantitative Methods of Forecasting 657 Measurement of Forecasting Errors 677 Siummary 685 Reference 685 Keywords 686 Case Study I Air Traffic Forecasting by Airbus 686 Case Study II GE Aircraft Engines 692 Concept Review Questions 694 Numerical Problems 694 Project Assignments 69815. OPERATIONS Strategies 699 Introduction 700 Relationship Between Business Grand Strategy and the OPERATIONS Strategy 703 Dimensions of OPERATIONS for Competitive Advantage 709 Innovation MANAGEMENT 773.


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