Production Management Essay Example | Topics and Well Written Essays - 2500 words

Production Management - Essay Examplen utile translate chin in production is crucil to the success of business. One recent study of the US Food Industry estimted tht poor coordintion mong give chin prtners ws wsting $30 billion nnully (Crosby, 2004). This cn be illustrted if we consider the trditionl belief of supply chin s similr to pipe tht crries the service or product being provided. When the pipe becomes clogged, the entire system must be flushed to solve the difficulty. Similrly, when supply chin does not work properly, business must flush the chnnel becuse it cnnot pinpoint where the problem is. This cuses compnies to lose profits nd sles.Now, however, compnies re implementing new type of supply chin mngement, where the firm views the supply chnnel s whole system insted of concentrting of ech prt of the process. The compny focuses on ll efforts, from the procurement of rw mterils to the distribution of the finished product, nd how ech effort reltes to the others (n drski, 1998). This llows more communiction to exist within the pipe nd problems to be more esily identified.In the following pper I bequeath present fundmentls of effective production mngement tht consists of the chin from suppliers to customers nd the processes such s people, process nd plnt. I will introduce the notion of vilbility, the single minute exchnge of die nd throughput.The production supply chin is trditionlly chrcterized s stble system in which components nd goods move smoothly from suppliers to ssembly to customers. For exmple, pckged consumer goods mnufcturer, for instnce, comprises mnufcturing, pckging, distribution, wrehousing, nd retiling. The concept of the customers demnd chin, which trnsfers demnd from mrkets to suppliers, is significntly less fmilir. To give one exmple,