| Concept or Terminology |
Summary |
Subject |
|
Basic Production Theory
|
Basic Production Theory and Production Function: the output from the combinations of inputs.
|
Cost and Profit
|
|
Bill of Material
(BOM)
|
BOM represents relationships between a finished product and its constituent parts.
|
General
|
|
Bullwhip Effect
|
Forecasting errors and variations are amplified as one moves upstream in the supply chain from customers to distributors and to manufactures.
|
Forecasting
|
|
Cycle Time
(CT)
|
Average time from release of a job at the beginning of the routing until it reaches an inventory point at the end of the routing.
|
General
|
|
First law of forecasting
|
Forecasts are always wrong.
|
General
|
|
Forecasting causal models
|
Predict a future parameter (e.g. demand for a product) as a function of other parameters (e.g. interest rates)
|
Forecasting
|
|
Forecasting time series models
|
Predict a future parameter (e.g. demand for a product) as a function of past values of that parameter (e.g. historical demand)
|
Forecasting
|
|
Lean Management 5 Principles
|
Five Lean Principles:
1. Identify value
2. Map the value stream
3. Create a continuous workflow
4. Establish an upstream pulling system
5. Seek continuous improvements
|
General
|
|
Makespan
|
The time it takes to finish a fixed number of jobs
|
General
|
|
Manufacturing Environments
|
Manufacturing environments by process structure: 1) Projects 2) Job shops 3) Disconnected flow lines 4) Connected flow lines 5) Continuous flow processes.
|
General
|
|
Quantitative forecasting methods
|
Predict the future by using numerical measures of the past in some kinds of mathematical model.
|
Forecasting
|
|
Second law of forecasting
|
Detailed forecasts are worse than aggregate forecasts.
|
General
|
|
Third law of forecasting
|
The further into the future, the less reliable the forecast will be.
|
General
|
|
Throughput
(TH)
|
Average output per unit time.
|
General
|
|
Waste
|
In lean manufacturing, costs are reduced by reducing waste within a system.
|
General
|
|
Work In Process
(WIP)
|
Unfinished parts or products between the start and end points of a product routing.
|
Inventory Management
|
|
Work In Process 2
(WIP)
|
The Working In Progress items between the start and end points of a product routing.
|
Inventory Management
|
