CHAPTER 13 1 CHAPTER 13 Production and Business

CHAPTER 13 1 CHAPTER 13 Production and Business Operations 13 -1 Types of Production 13 -2 Production Planning 13 -3 Planning and Managing Business Operations © 2012 Cengage Learning. All Rights Reserved. Principles of Business, 8 e

13 -1 Types of Production Goal 1 Describe the role of producers in the economy and the forms of production. Goal 2 Differentiate among the various types of manufacturing. © 2012 Cengage Learning. All Rights Reserved. SLIDE

CHAPTER KEY TERMS 13 3 ● extraction and cultivation ● processing ● manufacturing ● mass production ● custom manufacturing ● materials processing © 2012 Cengage Learning. All Rights Reserved. Principles of Business, 8 e

PRODUCTION AS AN ECONOMIC ACTIVITY CHAPTER 13 4 ● Role of producers ● Forms of production ● Extraction and cultivation ● Processing ● Manufacturing © 2012 Cengage Learning. All Rights Reserved. Principles of Business, 8 e

CHAPTER 13 5 Checkpoint ● What are three forms of production? ● Extraction and

CHAPTER 13 6 MANUFACTURING ● A manufacturing process ● Types of manufacturing procedures ● Mass production ● Custom manufacturing ● Materials processing © 2012 Cengage Learning. All Rights Reserved. Principles of Business, 8 e

CHAPTER 13 7 Checkpoint ● What is the difference between custom manufacturing and materials processing? ● Custom manufacturing is building a unique product to meet the needs of one customer. ● Materials processing is changing the form of raw materials so they can be used to make other products. ● Custom manufacturing involves a smaller amount of materials; materials processing involves larger quantities. © 2012 Cengage Learning. All Rights Reserved. Principles of Business, 8 e

13 -2 Production Planning Goal 1 Identify the activities involved in production planning. Goal

CHAPTER KEY TERMS 13 9 ● applied research ● pure research ● production process

CHAPTER PRODUCTION ACTIVITIES 13 10 ● Product development ● Product research ● Product design ● Production planning ● Production process ● Production resources ● Personnel ● Inventory management © 2012 Cengage Learning. All Rights Reserved. Principles of Business, 8 e

CHAPTER 13 11 Checkpoint ● Describe three activities that are a part of production planning. ● Developing a production process ● Obtaining production resources ● Identifying and preparing production personnel © 2012 Cengage Learning. All Rights Reserved. Principles of Business, 8 e

MANUFACTURING PROCEDURES CHAPTER 13 12 ● Organizing the work area ● Improving manufacturing ©

CONTINUOUS PROCESS IMPROVEMENT CHAPTER 13 13 ● Involve everyone. ● Identify process activities. ● Establish quality performance standards. ● Select measurement tools. ● Monitor performance continuously. ● Improve process quality. © 2012 Cengage Learning. All Rights Reserved. Principles of Business, 8 e

CHAPTER 13 14 Checkpoint ● Why have manufacturers implemented continuous process improvement (CPI)? ● Manufacturers have implemented CPI because it can help meet the need for faster production, increased quality, and reduced costs. ● CPI increases the quality of work by reducing errors, inefficiencies, and waste. © 2012 Cengage Learning. All Rights Reserved. Principles of Business, 8 e

13 -3 Planning and Managing Business Operations Goal 1 Discuss the importance of effective business operations. Goal 2 Describe tools used to manage business operations. © 2012 Cengage Learning. All Rights Reserved. SLIDE

CHAPTER KEY TERMS 13 16 ● logistics ● just-in-time ● operational plan ● schedule

THE IMPORTANCE OF BUSINESS OPERATIONS CHAPTER 13 17 ● Types of business operations ● Facilities management ● Logistics ● Scheduling ● Safety and security ● Information management © 2012 Cengage Learning. All Rights Reserved. Principles of Business, 8 e

CHAPTER 13 18 Checkpoint ● Identify four important types of business operations. ● Facilities management ● Logistics ● Scheduling ● Safety and security © 2012 Cengage Learning. All Rights Reserved. Principles of Business, 8 e

TOOLS FOR BUSINESS OPERATIONS CHAPTER 13 19 ● Management tools ● Using technology to

COMMON TYPES OF OPERATIONS SOFTWARE CHAPTER 13 20 ● Project management ● Budgeting ● Scheduling ● Inventory ● Computer security ● Document management ● Manufacturing automation © 2012 Cengage Learning. All Rights Reserved. Principles of Business, 8 e

CHAPTER 13 21 Checkpoint ● What are the benefits of using technology to help manage business operations? ● Technology makes planning and decisionmaking more accurate, rapid, and timely. © 2012 Cengage Learning. All Rights Reserved. Principles of Business, 8 e