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Operations Management Glossary

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This glossary is part of the summary. It concerns chapters 5 and 8 of Krajewski's book Operations Management 12th edition. And about H5 from Russel's book, which is about waiting line theories.

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Begrippenlijst OPM Simulatie
Begrip Betekenis
Constraint Any factor that limits the performance of a system and restricts its output
Bottleneck A capacity constraint resource (CCR) whose available capacity limits the
organization’s ability to meet the product volume, product mix, or demand
fluctuation required by the marketplace
Theory of constraints A systematic approach that focuses on actively managing those constraints
(TOC) that impede a firm’s progress toward its goal
Throughput time Total elapsed time from the start to the finish of a job or a customer being
processed at one or more work centers
Buffer Buffer that plans early flows into the bottleneck and thus protects it from
disruption.
Drum-Buffer-Rope A planning and control system that regulates the flow of work-in-process
(DBR) materials at the bottleneck or the capacity constrained resource (CCR) in a
productive system
Rope Represents the tying of material release to the drumbeat, which is the rate
at which the bottleneck controls the throughput of the entire plant.
Buffer management Represents the tying of material release to the drumbeat, which is the rate
at which the bottleneck controls the throughput of the entire plant.
Contribution margin The amount of each product contributes to profits and overhead; no fixed
costs are considered when making the product mix decision
Line balancing The assignment of work to stations in a line so as to achieve the desired
output rate with the smallest number of workstations
Work elements The smallest units of work that can be performed independently

Immediate Work elements that must be done before the next element can begin
predecessors
Precedence diagram A diagram that allows one to visualize immediate predecessors better

Activity-on-node An approach used to create a network diagram, in which nodes represent
(AON) activities and arc represent the precedence relationship between them.
Desired output rate Ideally is matched to the staffing or production plan

Cycle time Maximum time allowed for work a unit at each station

Theoretical Minimum Benchmark or goal for the smallest number of stations possible
(TM)
Idle time The total unproductive time for all stations in the assembly of each uni

Efficiency The ratio of productive time to total time, expressed as a percent

Pacing Is the movement of product from one station to the next as soon as the
cycle time has elapsed
Mixed-model line A production line that produces several items belonging to the same family

Krajewski Chapter 5

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