Product Design Customers e!ect t*"t t*e !roducts t*ey 3uy $ou#d !erform "ccordin( to "ssi(ned functions' A (ood !roduct desi(n "ssures t*"t t*is $i## 3e so' Customers "void 3uyin( !roducts $it* !oor !roduct desi(n' An e"m!#e is t*"t cert"in 3r"nd of 3"##!en $*ic* f"i#s to $rite "fter one or t$o d"ys of "ctu"# use' T*is *"!!ens 3ec"use of !oor !roduct desi(n' Prod Produc uctt desi desi(n (n refer efers s to 4t*e 4t*e !roc !roces ess s of cre" cre"ti tin( n( " set set of !rod !roduc uctt s!eci5c"tions "!!ro!ri"te "!!ro!ri"te to t*e dem"nds of t*e situ"tion'6 Com!"nies $"ntin( to m"int"in or im!rove its m"r/et s*"re /ee!s " !roduct desi(n te"m com!osed of en(ineers7 m"nuf"cturin(7 "nd m"r/etin( s!eci"#ists'
Production Planning and Scheduling Scheduling Production !#"nnin( m"y 3e de5ned "s 4 forec"stin( t*e future s"#es of " (iven !roduct7 tr"ns#"tin( t*is forec"st into t*e dem"nd it (ener"tes for v"rious !roduction f"ci#ities7 "nd "rr"n(in( for t*e !rocurement of t*ese f"ci#ities'6 Product ductio ion n !#"nni "nnin n( is " very ery im!or m!ort" t"n nt "cti "ctivi vity ty 3ec" ec"us use e it *e#! e#!s m"n"(ement to m"/e decisions re("rdin( c"!"city' .*en t*e ri(*t decisions "re m"de7 t*ere $i## 3e #ess o!!ortunities for $"st"(es' Sc*edu Sc*edu#in #in( ( is t*e 4!*"se 4!*"se of !rodu !roducti ction on contr contro# o# invo#v invo#ved ed in deve#o deve#o!in !in( ( timet"3#es t*"t s!ecify *o$ #on( e"c* o!er"tion in t*e !roduction !rocess t"/es'6 E8cient sc*edu#in( "ssures t*e o!timi9"tion of t*e use of *um"n "nd non*um"n resources'
Purchasing and Materials Management Firms irms need need to !urc*" !urc*"se se su!!#i su!!#ies es "nd m"teri m"teri"#s "#s re:ui re:uire red d in t*e v"riou v"rious s !rodu !roducti ction on "ctivi "ctivitie ties' s' T*e m"n"(e m"n"(emen mentt of !urc*" !urc*"sin sin( ( "nd "nd m"teri m"teri"#s "#s must must 3e undert"/en $it* " *i(* de(ree of e8ciency "nd e;ectiveness s!eci"##y in 5rms en("(ed in *i(* vo#ume !roduction' T*e $ider v"riety of su!!#ies "nd m"teri"#s needed "dds to t*e necessity of !ro!er m"n"(in( "nd !urc*"sin( of m"teri"#s' M"teri M"teri"#s "#s m"n"(e m"n"(emen mentt refer refers s to 4t*e 4t*e "!!ro "!!ro"c* "c* t*"t t*"t see/s see/s e8cien e8ciency cy of o!er"tion t*rou(* inte(r"tion of "## m"teri"# "c:uisition7 movement7 "nd stor"(e "ctivities in t*e 5rm6'
Inventory Control Inventory contro# is t*e !rocess of est"3#is*in( "nd m"int"inin( "!!ro!ri"te #eve#s of reserve stoc/s of (oods' As su!!#ies "nd m"teri"#s "re re:uired 3y 5rms in t*e !roduction !rocess7 t*ese must 3e /e!t "v"i#"3#e $*en t*ey "re needed' Too muc* reserves of stoc/s $i## !en"#i9e t*e 5rm in terms of *i(* stor"(e costs "nd ot*er re#"ted ris/s #i/e o3so#escence "nd t*eft' Too #itt#e reserves7 on t*e ot*er *"nd7 m"y me"n #ost income o!!ortunities if !roduction "ctivities "re *"m!ered' A 3"#"nce 3et$een t*e t$o etremes must 3e determined' T*ere "re $"ys of "c*ievin( !ro!er inventory contro#' T*ese "re "s fo##o$s% & determinin( reorder !oint "nd reorder :u"ntity ) determin( economic order :u"ntity + t*e use of ?IT@ met*od of inventory contro# , t*e use of t*e m"teri"# re:uirement !#"nnin( >MRP@ met*od of !#"nnin( "nd contro##in( inventories' .or/=F#o$ "yout .or/=0o$ #"yout is t*e !rocess of determinin( t*e !*ysic"# "rr"n(ement of t*e !roduction system' In t*e tr"nsform"tion !rocess7 t*e 0o$ of $or/ m"y 3e done eit*er *"!*"9"rd#y or order#y' T*e or service@ !rocess' ' F"ci#it"te t*e or("ni9"tion"# structure' 2u"#ity Contro# 2u"#ity contro# refers to t*e me"surement of !roducts or services "("inst st"nd"rds set 3y t*e com!"ny' Cert"in st"nd"rd re:uirements "re m"int"ined 3y t*e m"n"(ement to f"ci#it"te !roduction "nd to /ee! customers s"tis5ed'