Reference no: EM132099355
Manufacturing Process Design is based on optimization of the production process. Lowering the costs per unit made, meeting the volume required based on a stable line producing the same quantity each time period. Inventory, both for component parts and finished goods is used to "buffer" the line from interruptions.
Example: Polaroid sold over 40% of their film in 6 weeks, all of November and the 1st two weeks in December. Yet each step of the process from chemical manufacturing, to film coating, to manufacturing the final film pack was very stable. Minor fluctuations if any. I worked at the film coating plant for 4.5 years. We ran the same 84 hour campaign, 168 hour clean up and repeat every month except July.
Service Process Design is focused on the customer. They come in peak periods. Want the service/product NOW!!! Check out the local super market. A normal super market has 14 check out stations plus "do it yourself" with 4 to 6 registers. You rarely see all of the stations open.
My local supermarket opens at 7 AM. There is one station open and that clerk puts out all of the newspapers, checks to make sure all of the stations, manned or self check out, have a full roll of paper to give you your receipt. Ditto after 9 PM.
An exception: I live in Foxboro, MA. Home of the Patriots !! My local supermarket is less than 2 miles from the stadium. By both NFL and local police rules, you can not entire the parking lots until 4 hours before the game starts. So this little supermarket on game day is 100% plus staffed. The parking lot is full, footballs are flying around, etc. But after kick off, you can walk in and not see too many people. The store manager told me that he sells many pounds of almost every meat products, anything salty snack. Big sale day. You don't a store built and staffed for a "average" day.
Please comment on operations that can be run some what in normal work flow and an operation that is very customer dependent.