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SMALL BUSINESS MANAGEMENT

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marlis
10 diapositives · 296 Views · Aug 10, 2014

SMALL BUSINESS MANAGEMENT. Chapter Eleven Operations Management. Management of Internal Operations. Part of Physical Facilities Plan Maintaining quality and control Areas cash flow, production costs, product quality, inventory management, physical facilities issues. The Production Process.

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SMALL BUSINESS MANAGEMENT
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  1. SMALL BUSINESS MANAGEMENT Chapter Eleven Operations Management

  2. Management of Internal Operations • Part of Physical Facilities Plan • Maintaining quality and control • Areas • cash flow, production costs, product quality, inventory management, physical facilities issues.

  3. The Production Process • Converts inputs • money, people, machines, inventories • Into outputs • products and/or services • PERT = Priority Evaluation Review and Technique • Total Quality Management

  4. Physical Facilities and Factors • Buildings - age, space, configuration, appearance, frontage, access • Interior utilization - floor space, room dimensions, ceiling heights, stairways, elevators, window space, utility services • Improvement potential - building exterior and interior,site, surrounding, streets, walks, access, expansion • Site and Environment - street and service areas setback and frontage, parking, surrounding businesses, area environment

  5. Layout • Layouts for Manufacturing Firms • product layout, process layout, fixed position layout • Layouts for Retail Firms • selling vs nonselling space, space among departments and/or products, classification of merchandise, display locations and product shelving • grid layout, free-flowing layout • Layouts for Service Firms

  6. Purchasing and Controlling Inventories • Sources of Supply • Evaluating Suppliers • dependability, cost, services offered • Determining Order Quantities • order lead time, sales or production estimate, minimum inventory levels needed, inventory currently on hand, methods for determining order quantities, minimum turnover method, maxmin, opentobuy, eoq, abc analysis

  7. Purchasing and Controlling Inventories • Inventory Control • unit of control, • valuation, • monitoring, • periodic vs perpetual • security of inventory,

  8. Concept Checks • 1. What is the production process? • 2. Why is it important to continually monitor the state of the physical facilities? • 3. What are the three types of layouts used in the production process?

  9. Concept Checks • 4. In planning the layout of a retail store, what key areas should be analyzed? • 5. What are the two types of layouts used by a retail store? • 6. What are the pros and cons of purchasing from one supplier?

  10. Concept Checks • 7. What items of information are required to estimate the quantities of inventories to order? • 8. What specific methods can be used to determine order quantities? • 9. What are the three essential aspects of inventory control?