This well-written, comprehensive book strikes the perfect balance between both the managerial issues and quantitative techniques of operations. A major thrust of the revision includes increased emphasis on information technology and the effect of the Internet and e-business on operations management. A four-part organization covers the strategic importance of operations, designing the operating system, managing the supply chain, and ensuring quality. For project managers and other business personnel who need to manage and improve processes.
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Bernard W. Taylor III is the R.B. Pamplin Professor of Management Science and Head of the Department of Business Information Technology in the Pamplin College of Business at Virginia Polytechnic Institute and State University. He received a Ph.D. and an M.B.A. from the University of Georgia and a B.I.E. from the Georgia Institute of Technology. He is the author of the book Introduction to Management Science (7th ed.) and co-author of Management Science (4th ed.), both published by Prentice Hall. Dr. Taylor has published over 80 articles in such journals as Operations Research, Management Science, Decision Sciences, 11E Transactions, Journal of the Operational Research Society, Computers and Operations Research, Omega, and the International Journal of Production Research, among others. His paper in Decision Sciences (with P.Y. Huang and L.P. Rees) on the Japanese kanban production system received the Stanley T. Hardy Award for its contribution to the field of production and operations management. He has served as President of the Decision Sciences Institute (DSI) as well as Program Chair, Council Member, Vice President, Treasurer, and as the Editor of Decision Line, the newsletter of DSI. He is a Fellow of DSI and a recipient of their Distinguished Service Award. He is a former President, Vice-President, and Program Chair of the Southeast Decision Sciences Institute and a recipient of their Distinguished Service Award. He teaches management science and production and operations management courses at both the undergraduate and graduate level. He has received the University Certificate of Teaching Excellence on four occasions, the R.B. Pamplin College of Business Certificate of Teaching Excellence Award, and the R.B. Pamplin College of Business Ph.D. Teaching Excellence Award at Virginia Tech.
Roberta S. Russell is Professor of Business Information Technology in the Pamplin College of Business at Virginia Polytechnic Institute and State University. She received a Ph.D. from Virginia Polytechnic Institute and State University, an M.B.A. from Old Dominion University, and a B.S. degree from Virginia Polytechnic Institute and State University. Dr. Russell's primary research and teaching interests are in the areas of production and operations management, service operations management, scheduling, and quality. She has published in Decision Sciences, IIE Transactions, International Journal of Production Research, Material Flow, Business Horizons, Annals of Operations Research, Computers and Operations Research and others. She is also co-author of Prentice Hall book, Service Management and Operations. Dr. Russell is a member of DSI, ASQ, POMS and IIE and a certified fellow of APICS. She is Past Vice President of POMS, Past President of the Southwest Virginia Chapter of APICS and has held numerous offices in Southeast DSI. She had received the R.B. Pamplin College of Business Certificate of Teaching Excellence, the University Certificate of Teaching Excellence, and the MBA Association's Outstanding Professor Award. She is also listed in Outstanding Young Women of America an is a recipient of the Virginia Tech Outstanding Young Alumna Award.Excerpt. © Reprinted by permission. All rights reserved.:
In the first edition of this book, we wanted to create a textbook on operations management that was very clear, concise, and organized. We also wanted to include lots of special features and examples to make the topics interesting. We wanted the concepts we described to be logical and easy to understand. Most importantly, we wanted the student to feel excited about operations management, because we live in an exciting time with many new, unique, and interesting changes occurring in service and manufacturing operations around the world. With each subsequent edition, including this fourth edition, we have attempted to maintain these original goals, and to keep our book current and completely attuned to new innovations. As such, a major thrust of this new edition is to reflect the changes in operations management resulting from the advances in computer and information technologies.
MAJOR TEXT THEMES
We have sought to make this new edition of our textbook contemporary and comprehensive. We want to make sure that the many new and important changes taking place in operations today, such as supply chains, e-business, and information technology are conspicuously integrated with the more traditional topics in operations, which include strategy, quality, and competitiveness.
Operations Strategy and Competitiveness
A company's plan for achieving a competitive edge is its strategy. The success of a strategic plan is determined by how well a company coordinates all of its internal processes, including operations, and brings them to bear on its goals. Throughout the book we try to show how the functions and processes described in each chapter fit into a company's strategic plan. In each chapter we emphasize the need for considering the overall strategic implications of particular operating decisions. For example, in Chapter 7 on Supply Chain Management we emphasize that supply chain design is a strategic issue, and in Chapter 14 on Quality Management we discuss the strategic implications of TQM.
Although most firms express their goals in terms of customer satisfaction or level of quality, their underlying objective is to beat the competition. One way in which companies can gain a competitive edge is by deploying the basic functions of operations management in a more effective manner than their rivals. Therefore, we give literally dozens of examples that explain how companies deploy specific operations functions that provided a competitive edge and made them successful. We begin our discussion of competitiveness in Chapter 1 and continue throughout the book with "Competitive Edge" boxes, describing how successful companies have gained a competitive edge through operations.
E-Business and Information Technology
A major feature of this new edition is the increased emphasis on information technology and the effect of the Internet and e-business on operations management. Throughout the text we indicate how information technology and the Internet are changing how operations are managed. For example, in the first chapter the fundamentals of business-to-consumer and business-to-business e-commerce are discussed as well as the impact of e-business on operations management. In Chapter 2 we discuss strategy and the Internet, in Chapter 3 collaborative product commerce, in Chapter 4 e-manufacturing and advanced communications. A major portion of Chapter 7 discusses e-procurement; e-business and information in the supply chain. Chapter 12 presents web-based ERP and related e-business software, Chapter 14 explores quality on the web, and Chapter 17 discusses alternative workplaces.
Services and Manufacturing
We have attempted to strike a balance between manufacturing and service operations in this book. Traditionally, operations management was thought of almost exclusively in a manufacturing context. However, in the United States and other industrialized nations, there has been a perceptible shift toward service industries. Thus, managing service operations has become equally as important as managing manufacturing operations. In many cases, operations management processes and techniques are indistinguishable between service and manufacturing. However, in many other instances, service operations present unique situations and problems that require focused attention and unique solutions. We have tried to reflect the uniqueness of serviZ2 operations by providing focused discussions on service operations when there is a clear distinction between operations in a service environment and by providing many examples that address service situations. For example, in Chapter 3 on product and service design we emphasize the differences in design considerations between manufacturing and services, in Chapter 9 we discuss aggregate planning in services, and in Chapter 14 on quality management we specifically address the unique conditions of TQM in service companies.
Qualitative and Quantitative Processes
We have also attempted to strike a balance between the qualitative (or behavioral) aspects of operations management and the quantitative aspects. In the contemporary world of operations management, the quantitative and technological aspects are probably more important than ever. However, the ability to manage people and resources effectively, to motivate, organize, control, evaluate, and to adapt to change, have become critical to competing in today's international markets. Thus, throughout this book we seek to explain and clearly demonstrate how the successful operations manager manages and how to use quantitative techniques and technology when they are applicable.
CHANGES TO THIS EDITION
In an effort to keep our book current and abreast of contemporary trends in operations management, we have altered or made significant additions to many of the chapters.
We have reorganized this new edition into four parts. The emphasis on information technology and the Internet is especially prevalent in Part I, "The Strategic Importance of Operations:" The major role information technology and the Internet have come to play in operations management and strategy is thoroughly considered in the two introductory chapters in this section, "Introduction to Operations and Competitiveness" and "Operations Strategy."
Part II on "Designing the Operating System" has been reorganized and now includes chapters three through six. New to this section is our chapter on "Project Management:" This reflects the increasing use of projects to plan and implement design strategies in a rapidly changing business environment. This earlier location also gives students the background needed to begin their own projects assigned by the instructor. New to this chapter are a presentation of Microsoft Project and a discussion of activity-on-node (AON) networks.
The area of operations that has experienced possibly the greatest impact from the evolution of the Internet and information technology is supply chain management. The Internet and information technology have made it possible for many companies to effectively design and manage their supply chain, and their entire enterprise for that matter, in a complex, global business environment. As such, in this edition we have expanded our presentation of supply chain management, emphasizing the role of the Internet and information technology, in Part III, "Managing the Supply Chain." This section includes chapters 7 through 13, and in particular, completely new chapters on "Supply Chain Management" and "Enterprise Resource Planning."
Our presentation of quality has also been reorganized in this edition in a new Part IV, titled "Ensuring Quality." In this new section, we group coverage of four interrelated topics in quality, including quality management, statistical process control, waiting line models, and human resources. Thus, a logical text flow is created from establishing strategic goals, to designing the operating system to meet those goals, to managing the supply chain to achieve the goals, and finally to ensuring the quality necessary to be competitive and successful in a global market environment.
No other innovation has affected operations management in the past few years as much as computer technology and the Internet, and this is no less true in education. Therefore, we make full use of this technology as a learning and teaching medium in the courses we teach and in our text.
Each new copy of this text comes with a multimedia CD-ROM, effectively linking the material in the text to additional resources on the CD and the Internet. The CD contains animated figures and graphs, video clips, interactive applications and exercises, and direct links to other sources on the Internet. These various resources and learning tools are organized by chapter on the CD-ROM and are flagged in the textbook with Post-it(c) notes. Here are some of the items found on the CD and Internet.
Summary of Key Concepts
The CD contains a brief summary of each chapter, highlighting the important concepts from the chapter and then includes a list of the interactive elements provided in that chapter.
Animated Figures and Graphs
The CD contains several animated figures and examples that bring concepts to life. Students can point and click to activate parts of a figure, and listen to a voice-over explain the process while the animation is running. Animated examples take the student through complicated problems step-by-step. Students can watch the animation on their own as many times as they wish until the process is clear. The animations available include dual kanbans, aggregate planning, MRP, House of Quality, Johnson's Rule, quality tools, and layout planning.
Over 30 video clips are included on the CD covering a wide range of topics. The videos serve to reinforce concepts presented in the text by enabling students to view operations in a real manufacturing or service setting. Longer videos are available to instru...
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