WGU C215 Study Guide - FINAL
Total Quality Management (TQM) Philosophy - 1. customer focus
2. continuous improvement
3. employee empowerment
4. use of quality tools
5. product design
6. process management
7. managing supplier quality
Process Capability Index (Cpk) - Basic function of Six Sigma. Measures the process potential
and performance of processes. The higher the range of Cpk, the improved is the ability of
the process to complete its necessities.
Six Sigma - A disciplined, data-driven approach and methodology for eliminating defects
(driving toward six standard deviations between the mean and the nearest specification
limit) in any process - from manufacturing to transactional and from product to service.
Design Capacity - The theoretical maximum output of a system in a given period under
ideal conditions.
Location Analysis - proximity to customers, transportation, source of labor, community
attitude, proximity to suppliers, and many other factors.
The technique for determining location decisions.
Line Processes - A type of process used to produce a large volume of a standardized
product.
■ Limited customization and high volume
Batch Processes - A type of process used to produce a small number of products in groups
or batches based on customer orders or specifications.
■ High customization moderate volume
Project Processes - A type of process used to make a one-at-a-time product exactly to
customer specifications.
■ Most custom and lowest volume
Continuous Processes - A type of process that operates continually to produce a high
volume of a fully standardized product.
,- No customization and as high a volume as possible
Bottleneck - Longest task in the process.
Flexible Manufacturing System (FMS) - A type of automated system that combines the
flexibility of intermittent operations with the efficiency of continuous operations.
Output/Input Control - A technique for monitoring the flow of jobs between work centers.
Value-Added - The net increase created during the transformation of inputs into final
outputs.
Hybrid Layouts - Layouts that combine characteristics of process and product layouts.
- Group technology layouts.
- Cell technology layouts.
- Grocery stores use hybrid layouts
Relationship Chart (REL) - Table that reflects opinions of managers with regard to the
importance of having any two departments close together.
Rectilinear Distance - The shortest distance between two locations using north-south and
east-west movements.
From-To Matrix - Table that gives the number of trips or units of product moved between
any pair of departments.
Block Plan - Schematic showing the placement of resources in a facility.
Mean Observed Times - The average of the observation times for each of the work
elements.
Normal Time - The mean observed time multiplied by the performance rating factor by the
frequency of occurrence.
Standard Time - The length of time it should take a qualified worker using appropriate
process and tools to complete a specific job, allowing time for personal fatigue and
unavoidable delays.
Just-in-Time (JIT) - A philosophy designed to achieve high-volume production through
elimination of waste and continuous improvement. Based on a "pull" system rather than a
"push" system. The three elements are just-in-time manufacturing, total quality
management, and respect for people.
Kanban card - A card that specifies the exact quantity of product that needs to be produced.
, Tier One Suppliers - Supplies materials or services directly to the processing facility.
These are the suppliers that put products in specific containers or packages.
Internal Functions companies
Tier Two Suppliers - Directly supplies materials or services to a tier-one supplier in the
supply chain.
Suppliers of the specialty materials for the tier one suppliers to be able to produce the
packaging necessary for different products.
Think cardboard, plastic, glass, chemicals.
Tier Three Suppliers - Directly supplies materials or services to a tier two supplier in the
supply chain.
These are companies that extract raw materials.
Oil, raw chemical materials, wood.
Capacity Requirements Planning (CRP) - Determines the labor and machine resources
needed to fill the open and planned orders generated by the MRP.
Basically, checking if there is enough work scheduled for operations
Enterprise Resource Planning (ERP) - Large software programs used for planning and
coordinating all resources throughout the entire enterprise.
Aggregate Plans - IN A BROAD SENSE - Includes the budgeted levels of finished products,
inventory, backlogs, workforce size, and aggregate production rate needed to support the
marketing plan.
Marketing Plan, TO, Operating and engineering Plans, TO, Start or revision of the strategic
business plan.
Third-Party Logistics (3PL) - Businesses used to outsource elements of the company's
distribution and fulfillment services. They typically specialize in integrated operation,
warehousing and transportation services which can be scaled and customized to
customers' needs based on market conditions, such as the demands and delivery service
requirements for their products and materials.
Supply Chain Operations Reference model (SCOR) - the world's leading supply chain
framework, linking business processes, performance metrics, practices and people skills
into a unified structure. The goals are to increase the speed of system implementations,
support organizational learning goals, and improve inventory turns.
Total Quality Management (TQM) Philosophy - 1. customer focus
2. continuous improvement
3. employee empowerment
4. use of quality tools
5. product design
6. process management
7. managing supplier quality
Process Capability Index (Cpk) - Basic function of Six Sigma. Measures the process potential
and performance of processes. The higher the range of Cpk, the improved is the ability of
the process to complete its necessities.
Six Sigma - A disciplined, data-driven approach and methodology for eliminating defects
(driving toward six standard deviations between the mean and the nearest specification
limit) in any process - from manufacturing to transactional and from product to service.
Design Capacity - The theoretical maximum output of a system in a given period under
ideal conditions.
Location Analysis - proximity to customers, transportation, source of labor, community
attitude, proximity to suppliers, and many other factors.
The technique for determining location decisions.
Line Processes - A type of process used to produce a large volume of a standardized
product.
■ Limited customization and high volume
Batch Processes - A type of process used to produce a small number of products in groups
or batches based on customer orders or specifications.
■ High customization moderate volume
Project Processes - A type of process used to make a one-at-a-time product exactly to
customer specifications.
■ Most custom and lowest volume
Continuous Processes - A type of process that operates continually to produce a high
volume of a fully standardized product.
,- No customization and as high a volume as possible
Bottleneck - Longest task in the process.
Flexible Manufacturing System (FMS) - A type of automated system that combines the
flexibility of intermittent operations with the efficiency of continuous operations.
Output/Input Control - A technique for monitoring the flow of jobs between work centers.
Value-Added - The net increase created during the transformation of inputs into final
outputs.
Hybrid Layouts - Layouts that combine characteristics of process and product layouts.
- Group technology layouts.
- Cell technology layouts.
- Grocery stores use hybrid layouts
Relationship Chart (REL) - Table that reflects opinions of managers with regard to the
importance of having any two departments close together.
Rectilinear Distance - The shortest distance between two locations using north-south and
east-west movements.
From-To Matrix - Table that gives the number of trips or units of product moved between
any pair of departments.
Block Plan - Schematic showing the placement of resources in a facility.
Mean Observed Times - The average of the observation times for each of the work
elements.
Normal Time - The mean observed time multiplied by the performance rating factor by the
frequency of occurrence.
Standard Time - The length of time it should take a qualified worker using appropriate
process and tools to complete a specific job, allowing time for personal fatigue and
unavoidable delays.
Just-in-Time (JIT) - A philosophy designed to achieve high-volume production through
elimination of waste and continuous improvement. Based on a "pull" system rather than a
"push" system. The three elements are just-in-time manufacturing, total quality
management, and respect for people.
Kanban card - A card that specifies the exact quantity of product that needs to be produced.
, Tier One Suppliers - Supplies materials or services directly to the processing facility.
These are the suppliers that put products in specific containers or packages.
Internal Functions companies
Tier Two Suppliers - Directly supplies materials or services to a tier-one supplier in the
supply chain.
Suppliers of the specialty materials for the tier one suppliers to be able to produce the
packaging necessary for different products.
Think cardboard, plastic, glass, chemicals.
Tier Three Suppliers - Directly supplies materials or services to a tier two supplier in the
supply chain.
These are companies that extract raw materials.
Oil, raw chemical materials, wood.
Capacity Requirements Planning (CRP) - Determines the labor and machine resources
needed to fill the open and planned orders generated by the MRP.
Basically, checking if there is enough work scheduled for operations
Enterprise Resource Planning (ERP) - Large software programs used for planning and
coordinating all resources throughout the entire enterprise.
Aggregate Plans - IN A BROAD SENSE - Includes the budgeted levels of finished products,
inventory, backlogs, workforce size, and aggregate production rate needed to support the
marketing plan.
Marketing Plan, TO, Operating and engineering Plans, TO, Start or revision of the strategic
business plan.
Third-Party Logistics (3PL) - Businesses used to outsource elements of the company's
distribution and fulfillment services. They typically specialize in integrated operation,
warehousing and transportation services which can be scaled and customized to
customers' needs based on market conditions, such as the demands and delivery service
requirements for their products and materials.
Supply Chain Operations Reference model (SCOR) - the world's leading supply chain
framework, linking business processes, performance metrics, practices and people skills
into a unified structure. The goals are to increase the speed of system implementations,
support organizational learning goals, and improve inventory turns.
