1. MIM 558 Comparative Operations Management Dr. Alan Raedels, C.P.M.

2. Process Analysis

3. A process is any work that meets four criteria: –it is recurrent; –it affects some aspect of organizational capabilities; –it can be accomplished in different ways that make a difference to the contribution it generates in terms of cost, value, service, or quality; –and it involves coordination. Peter G.W. Keen, The Process Edge, Boston, MA: Harvard Business School Press, 1997, p. 19. What is a Process?

4. Identity Priority Background Mandated Folklore Types of Processes

5. Dilbert on Process

7. Systems Flowcharts Layout Diagrams Top-Down Flowcharts Deployment Charts Process Charts

8. Example Process Map

9. Example Layout Diagram

11. Top-Down Flowchart

12. Example Deployment Chart

13. Functions as a communications tool Functions as a planning tool Provides an overview of the system Defines roles Demonstrates interrelationships Promotes logical accuracy Facilitates troubleshooting Documents a system Advantages of Flowcharts

14. Manufacturing Process Spectrum Job Shop Continuous Process Batch Flow Assembly Line

15. Product-Process Matrix Flexibility-QualityDependability-Cost Continuous Flow Assembly Line Batch Job Shop Low Volume One of a Kind Multiple Products, Low Volume Few Major Products, Higher Volume High Volume, High Standard- ization Commercial Printer Heavy Equipment Automobile Assembly Sugar Refinery Flexibility- Quality Dependability Cost

16. Process Differences

17. A service is produced at the instant of delivery. A service cannot be centrally produced, inspected, stockpiled, or warehoused. The product cannot be demonstrated, nor can a sample be sent for customer approval in advance of the service. The person receiving the service has nothing tangible. The experience cannot be sold or passed on to a third party. What Makes Services Different?

18. If improperly performed, a service cannot be recalled. Quality assurance must happen before production rather than after production. Delivery of the service usually requires human interaction to some degree. The receiver’s expectations of the service are integral to their satisfaction with the outcome. The more people the customer must encounter during the delivery of the service, the less likely they will be satisfied with the service.

19. Service Matrix LowHigh Low High Service factory Airlines Tracking Hotels Resort and recreation Degree of Interaction and Customization Mass services Retailing Wholesaling Schools Retail aspects of commercial banking Professional Services Lawyers Doctors Accountants Architects Service shop Hospitals Computer dating Repair services Degree of Labor intensity