10/16/2010                                               Operations and      1                                         Pro...
10/16/2010                          The Hard Rock Cafe                                                                    ...
10/16/2010                                   Why Study OM?                                                       Options f...
10/16/2010                      The Critical Decisions                                                              The Cr...
10/16/2010                Significant Events in OM                                                                    The ...
10/16/2010                   Frank & Lillian Gilbreth                                                                     ...
10/16/2010             Characteristics of Service                                                                         ...
10/16/2010      Organizations in Each Sector                                                                             O...
10/16/2010                              New Trends in OM                                                                  ...
10/16/2010               Productivity Calculations                                                                        ...
10/16/2010                Collins Title Productivity                                                                  Coll...
10/16/2010          Key Variables for Improved                                                                            ...
10/16/2010                            Ethics and                       Social Responsibility      Challenges facing      o...
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Transcript of "Heizer om10 ch01"

  1. 1. 10/16/2010 Operations and 1 Productivity Global Company Profile: Hard Rock Outline Cafe What Is Operations Management? PowerPoint presentation to accompany P P i t t ti t Heizer and Render Organizing to Produce Goods and Operations Management, 10e Principles of Operations Management, 8e Services PowerPoint slides by Jeff Heyl Why Study OM? What Operations Managers Do© 2011 Pearson Education, Inc. publishing as Prentice Hall 1-1 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1-2 Outline - Continued Outline - Continued The Heritage of Operations Management The Productivity Challenge Productivity Measurement Operations in the Service Sector Productivity Variables Differences between Goods and Services Productivity and the Service Sector Growth of Services Ethics and Social Responsibility Service Pay Exciting New Trends in Operations Management© 2011 Pearson Education, Inc. publishing as Prentice Hall 1-3 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1-4 Learning Objectives Learning Objectives When you complete this chapter When you complete this chapter you should be able to: you should be able to: 1. Define operations management 4. Compute single-factor productivity d ti it 2. Explain the distinction between goods and services 5. Compute multifactor productivity 3. Explain the difference between 6. Identify the critical variables in production and productivity enhancing productivity© 2011 Pearson Education, Inc. publishing as Prentice Hall 1-5 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1-6 1
  2. 2. 10/16/2010 The Hard Rock Cafe What Is Operations Management? First opened in 1971 Now – 129 restaurants in over 40 countries Production is the creation of Rock music memorabilia goods and services Creates value in the form of good food Operations management (OM) is and entertainment the set of activities that create 3,500+ custom meals per day in Orlando value in the form of goods and How does an item get on the menu? services by transforming inputs Role of the Operations Manager into outputs© 2011 Pearson Education, Inc. publishing as Prentice Hall 1-7 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1-8 Organizing to Produce Organizational Charts Goods and Services Commercial Bank Essential functions: Operations Finance Marketing 1. Marketing – generates demand Teller Investments Loans Scheduling Secu ty Security Co Commercial e ca 2. Production/operations – creates / Check Clearing Real estate Industrial the product Collection Financial Transaction Accounting Personal 3. Finance/accounting – tracks how processing Mortgage well the organization is doing, Facilities design/layout pays bills, collects the money Vault operations Auditing Trust Department Maintenance Security Figure 1.1(A)© 2011 Pearson Education, Inc. publishing as Prentice Hall 1-9 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 10 Organizational Charts Organizational Charts Manufacturing Airline Operations Finance/ Marketing Operations Finance/ Marketing Facilities accounting Sales accounting Construction; maintenance Disbursements/ promotion Ground support Traffic Production and inventory control credits Advertising equipment Accounting administration Scheduling; materials control Receivables Sales Maintenance Payables Reservations Quality assurance and control Payables Receivables Schedules General ledger Market Ground Operations Supply-chain management research General Ledger Tariffs (pricing) Funds Management Facility Manufacturing maintenance Finance Sales Tooling; fabrication; assembly Money market Catering Advertising International Cash control Design exchange Flight Operations International Product development and design exchange Detailed product specifications Capital requirements Crew scheduling Industrial engineering Stock issue Flying Efficient use of machines, space, Bond issue Communications and personnel and recall Dispatching Process analysis Management science Development and installation of Figure 1.1(B) production tools and equipment Figure 1.1(C)© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 11 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 12 2
  3. 3. 10/16/2010 Why Study OM? Options for Increasing Contribution 1. OM is one of three major functions of any organization, we want to study Marketing Finance/ Accounting OM how people organize themselves for Option Option Option productive enterprise Increase Reduce Reduce Sales Finance Production Current Revenue 50% Costs 50% Costs 20% 2. We 2 W want (and need) t k t( d d) to know h how goods and services are produced Sales Cost of Goods $100,000 – 80,000 $150,000 – 120,000 $100,000 – 80,000 $100,000 – 64,000 3. We want to understand what Gross Margin Finance Costs 20,000 – 6,000 30,000 – 6,000 20,000 – 3,000 36,000 – 6,000 operations managers do Subtotal 14,000 24,000 17,000 30,000 Taxes at 25% – 3,500 – 6,000 – 4,250 – 7,500 4. OM is such a costly part of an Contribution $ 10,500 $ 18,000 $ 12,750 $ 22,500 organization Table 1.1© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 13 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 14 What Operations Ten Critical Decisions Ten Decision Areas Chapter(s) Managers Do 1. Design of goods and services 5 2. Managing quality 6, Supplement 6 Basic Management Functions 3. Process and capacity 7, Supplement 7 design Planning 4. Location strategy gy 8 Organizing 5. Layout strategy 9 6. Human resources and 10 Staffing job design 7. Supply-chain 11, Supplement 11 Leading management 8. Inventory, MRP, JIT 12, 14, 16 Controlling 9. Scheduling 13, 15 10. Maintenance 17 Table 1.2© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 15 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 16 The Critical Decisions The Critical Decisions 1. Design of goods and services 3. Process and capacity design What good or service should we What process and what capacity will offer? these products require? How should we design these What equipment and technology is q p gy necessary for these processes? products and services? 4. Location strategy 2. Managing quality Where should we put the facility? How do we define quality? On what criteria should we base the Who is responsible for quality? location decision? Table 1.2 (cont.) Table 1.2 (cont.)© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 17 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 18 3
  4. 4. 10/16/2010 The Critical Decisions The Critical Decisions 5. Layout strategy 7. Supply-chain management How should we arrange the facility? Should we make or buy this How large must the facility be to meet component? our plan? Who should be our suppliers and how 6. Human resources and job design can we integrate them into our strategy? How do we provide a reasonable 8. Inventory, material requirements work environment? planning, and JIT How much can we expect our How much inventory of each item employees to produce? should we have? When do we re-order? Table 1.2 (cont.) Table 1.2 (cont.)© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 19 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 20 The Critical Decisions Where are the OM Jobs? Technology/methods 9. Intermediate and short–term Facilities/space utilization scheduling Strategic issues Are we better off keeping people on the payroll during slowdowns? Response time Which jobs do we perform next? People/team development P l /t d l t 10. Maintenance Customer service How do we build reliability into our Quality processes? Cost reduction Who is responsible for maintenance? Inventory reduction Productivity improvement Table 1.2 (cont.)© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 21 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 22 Opportunities Certifications APICS, the American Production and Inventory Control Society American Society of Quality (ASQ) Institute for Supply Management (ISM) Project Management Institute (PMI) Council of Supply Chain Management Professionals Charter Institute of Purchasing and Supply (CIPS) Figure 1.2© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 23 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 24 4
  5. 5. 10/16/2010 Significant Events in OM The Heritage of OM Division of labor (Adam Smith 1776; Charles Babbage 1852) Standardized parts (Whitney 1800) Scientific Management (Taylor 1881) Coordinated assembly line (Ford/ Sorenson 1913) Gantt charts (Gantt 1916) Motion study (Frank and Lillian Gilbreth 1922) Quality control (Shewhart 1924; Deming 1950) Figure 1.3© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 25 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 26 The Heritage of OM Eli Whitney Computer (Atanasoff 1938) Born 1765; died 1825 CPM/PERT (DuPont 1957, Navy 1958) Material requirements planning (Orlicky 1960) In 1798, received government Computer aided design (CAD 1970) contract to make 10,000 muskets Flexible manufacturing system (FMS 1975) Showed that machine tools could Baldrige Quality Awards (1980) make standardized parts to exact Computer integrated manufacturing (1990) specifications Globalization (1992) Musket parts could be used in any Internet (1995) musket© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 27 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 28 Frederick W. Taylor Taylor’s Principles Born 1856; died 1915 Management Should Take More Responsibility for: Known as ‘father of scientific management’ Matching employees to right job In 1881, as chief engineer for Providing the proper training Midvale Steel, studied how tasks Providing proper work methods and were done tools Began first motion and time studies Establishing legitimate incentives for work to be accomplished Created efficiency principles© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 29 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 30 5
  6. 6. 10/16/2010 Frank & Lillian Gilbreth Henry Ford Frank (1868-1924); Lillian (1878-1972) Born 1863; died 1947 Husband-and-wife engineering team In 1903, created Ford Motor Company Further developed work measurement methods In 1913, first used moving assembly 1913 line to make Model T Applied efficiency methods to their home and 12 children! Unfinished product moved by conveyor past work station Book & Movie: “Cheaper by the Dozen,” “Bells on Their Toes” Paid workers very well for 1911 ($5/day!)© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 31 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 32 W. Edwards Deming Contributions From Born 1900; died 1993 Human factors Engineer and physicist Industrial engineering Credited with teaching Japan g p Management science quality control methods in post- WW2 Biological science Used statistics to analyze process Physical sciences His methods involve workers in Information technology decisions© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 33 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 34 New Challenges in OM Characteristics of Goods From To Tangible product Local or national focus Global focus Consistent product Batch shipments Just-in-time definition Low bid purchasing Supply-chain partnering t i Production usually separate from Lengthy product Rapid product development development, consumption alliances Can be inventoried Standard products Mass Low customer customization interaction Job specialization Empowered employees, teams© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 35 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 36 6
  7. 7. 10/16/2010 Characteristics of Service Industry and Services as Intangible product Percentage of GDP 90 − Produced and 80 − Services Manufacturing consumed at same time 70 − 60 − Often unique 50 − 40 − High customer 30 − interaction 20 − Inconsistent product 10 − 0− definition Germany US UK Australia Canada China France South Africa Czech Rep Hong Kong Japan Mexico Russian Fed Spain Often knowledge-based Frequently dispersed© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 37 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 38 Goods and Services Manufacturing and Service Automobile Employment Computer 120 – Installed carpeting 100 – Fast-food meal Employment (millions) Restaurant meal/auto repair 80 – Service Hospital care Advertising agency/ 60 – investment management Consulting service/ 40 – teaching Manufacturing 20 – Counseling 100% 75 50 25 0 25 50 75 100% | | | | | | | | | | | | | | | | 0– 1950 1970 1990 2010 (est) Percent of Product that is a Good Percent of Product that is a Service 1960 1980 2000 Figure 1.4 (A)© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 39 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 40 Manufacturing Employment Development of the and Production Service Economy – 150 Industrial United Sta production Employment (millions) – 125 (right scale) Can Index: 1997 = 100 – 100 Fra ( – 75 It Brit 40 – Manufacturing – 50 30 – employment (left scale) Jap 20 – – 25 | | | | | W. Germ 10 – 0 – | | | | | | –| 0 40 50 60 70 80 1950 1970 1990 2010 (est) 1960 1980 2000 1970 2010 (est) Percent Figure 1.4 (B)© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 41 © 2011 Pearson Education, Inc. publishing as Prentice Hall Figure 1.4 (C) 1 - 42 7
  8. 8. 10/16/2010 Organizations in Each Sector Organizations in Each Sector % of all % of all Service Sector Example Jobs Service Sector Example Jobs Education, San Diego Zoo, Arnold 25.8 Finance, Citicorp, American Express, 9.6 Legal, Medical, Palmer Hospital Information, Prudential, Aetna other Real Estate Trade (retail, Walgreen’s, Wal-Mart, 14.9 Food, L d i F d Lodging, Olive G d Oli Garden, Motel 6, Walt M t l 6 W lt 8.5 85 wholesale) Nordstrom’s Entertainment Disney Utilities, Pacific Gas & Electric, 5.2 Public U.S., State of Alabama, Cook 4.6 Transportation American Airlines Administration County Professional and Snelling and Snelling, Waste 10.7 Total 78.8 Business Management, Inc. Services Table 1.3 Table 1.3© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 43 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 44 Organizations in Each Sector Changing Challenges % of all Traditional Reasons for Current Other Sectors Example Jobs Approach Change Challenge Ethics and Public concern over High ethical and Manufacturing General Electric, Ford, 11.2 regulations pollution, corruption, social Sector U.S. Steel, Intel not at the child labor, etc. responsibility; forefront increased legal Construction Bechtel, McDermott 8.1 and professional Sector standards Local or Growth of reliable, low Global focus, Agriculture King Ranch 1.4 national cost communication international Sector focus and transportation collaboration Mining Sector Homestake Mining 0.5 Lengthy Shorter life cycles; Rapid product product growth of global development; Total 21.2 development communication; CAD, design Internet collaboration Table 1.3 Figure 1.5© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 45 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 46 Changing Challenges Changing Challenges Traditional Reasons for Current Traditional Reasons for Current Approach Change Challenge Approach Change Challenge Low cost Public sensitivity to Environmentally Emphasis on Recognition of the Empowered production, environment; ISO 14000 sensitive specialized, employees total employees; with little standard; increasing production; green often manual contribution; knowledge enriched jobs concern for disposal costs manufacturing; tasks society environment; sustainability free “In-house” “In house” Rapid technological Supply-chain Supply chain resources production; change; increasing partnering; joint (air, water) low-bid competitive forces ventures, ignored purchasing alliances Low-cost Rise of consumerism; Mass Large lot Shorter product life Just-In-Time standardized increased affluence; customization production cycles; increasing need performance; products individualism to reduce inventory lean; continuous improvement Figure 1.5 Figure 1.5© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 47 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 48 8
  9. 9. 10/16/2010 New Trends in OM Productivity Challenge Ethics Global focus Productivity is the ratio of outputs (goods and services) divided by the inputs Rapid product development (resources such as labor and capital) Environmentally sensitive production Mass customization The objective is to improve productivity! Empowered employees Supply-chain partnering Important Note! Production is a measure of output Just-in-time performance only and not a measure of efficiency© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 49 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 50 The Economic System Improving Productivity at Starbucks Inputs Transformation Outputs A team of 10 analysts Labor, The U.S. economic system Goods continually look for ways capital, transforms inputs to outputs and management at about an annual 2.5% services to shave time. Some increase in productivity per year. The productivity improvements: increase is the result of a mix of capital (38% of 2.5%), Stop requiring signatures Saved 8 seconds labor (10% of 2.5%), and on credit card purchases per transaction management (52% of 2.5%). under $25 Change the size of the ice Saved 14 seconds Feedback loop scoop per drink Figure 1.6 New espresso machines Saved 12 seconds per shot© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 51 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 52 Improving Productivity at Productivity Starbucks A team of 10 analysts Units produced continually look for ways Productivity = to shave time. Some Input used improvements: Operations improvements have helped Starbucks increase yearly Stop requiring signatures Saved 8 seconds Measure of process improvement on credit card purchases outlet by $200,000 to revenue per per transaction Represents output relative to input under $25 $940,000 in six years. Change the size of the ice has improved by 27%, Productivity Saved 14 seconds Only through productivity increases scoop or about 4.5% per year. per drink can our standard of living improve New espresso machines Saved 12 seconds per shot© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 53 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 54 9
  10. 10. 10/16/2010 Productivity Calculations Multi- Multi-Factor Productivity Labor Productivity Output Productivity = Units produced Labor + Material + Energy Productivity = + Capital + Miscellaneous Labor-hours used Also known as total factor productivity 1,000 Output and inputs are often expressed = = 4 units/labor-hour in dollars 250 One resource input single-factor productivity Multiple resource inputs multi-factor productivity© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 55 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 56 Collins Title Productivity Collins Title Productivity Old System: Old System: Staff of 4 works 8 hrs/day 8 titles/day Staff of 4 works 8 hrs/day 8 titles/day Payroll cost = $640/day Overhead = $400/day Payroll cost = $640/day Overhead = $400/day Old labor 8 titles/day Old labor 8 titles/day = = productivity 32 labor-hrs productivity 32 labor-hrs = .25 titles/labor-hr© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 57 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 58 Collins Title Productivity Collins Title Productivity Old System: Old System: Staff of 4 works 8 hrs/day 8 titles/day Staff of 4 works 8 hrs/day 8 titles/day Payroll cost = $640/day Overhead = $400/day Payroll cost = $640/day Overhead = $400/day New System: New System: 14 titl /d titles/day Overhead $800/d O h d = $800/day 14 titl /d titles/day Overhead $800/d O h d = $800/day Old labor 8 titles/day Old labor 8 titles/day = = productivity 32 labor-hrs = .25 titles/labor-hr productivity 32 labor-hrs = .25 titles/labor-hr New labor 14 titles/day New labor 14 titles/day = = = .4375 titles/labor-hr productivity 32 labor-hrs labor- productivity 32 labor-hrs© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 59 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 60 10
  11. 11. 10/16/2010 Collins Title Productivity Collins Title Productivity Old System: Old System: Staff of 4 works 8 hrs/day 8 titles/day Staff of 4 works 8 hrs/day 8 titles/day Payroll cost = $640/day Overhead = $400/day Payroll cost = $640/day Overhead = $400/day New System: New System: 14 titl /d titles/day Overhead $800/d O h d = $800/day 14 titl /d titles/day Overhead $800/d O h d = $800/day Old multifactor 8 titles/day Old multifactor 8 titles/day = = = .0077 titles/dollar productivity $640 + 400 productivity $640 + 400© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 61 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 62 Collins Title Productivity Collins Title Productivity Old System: Old System: Staff of 4 works 8 hrs/day 8 titles/day Staff of 4 works 8 hrs/day 8 titles/day Payroll cost = $640/day Overhead = $400/day Payroll cost = $640/day Overhead = $400/day New System: New System: 14 titl /d titles/day Overhead $800/d O h d = $800/day 14 titl /d titles/day Overhead $800/d O h d = $800/day Old multifactor 8 titles/day Old multifactor 8 titles/day = = .0077 titles/dollar = = .0077 titles/dollar productivity $640 + 400 productivity $640 + 400 New multifactor 14 titles/day New multifactor 14 titles/day productivity = $640 + 800 productivity = $640 + 800 = .0097 titles/dollar© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 63 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 64 Measurement Problems Productivity Variables 1. Quality may change while the 1. Labor - contributes quantity of inputs and outputs about 10% of the remains constant annual increase 2. External elements may cause an 2 E t l l t 2. 2 Capital - contributes increase or decrease in about 38% of the productivity annual increase Precise units of measure may be 3. Management - lacking contributes about 52% of the annual increase© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 65 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 66 11
  12. 12. 10/16/2010 Key Variables for Improved Labor Skills Labor Productivity About half of the 17-year-olds in the U.S. cannot 17-year- correctly answer questions of this type 1. Basic education appropriate for the labor force 2. Diet of the labor force 3. Social overhead that makes labor available Challenge is in maintaining and enhancing skills in the midst of rapidly changing technology and knowledge Figure 1.7© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 67 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 68 Investment and Productivity Service Productivity 10 1. Typically labor intensive 2. Frequently focused on unique Percent increase in productivity 8 individual attributes or desires 6 3. 3 Often an intellectual task performed by p professionals 4 4. Often difficult to mechanize 2 5. Often difficult to evaluate for quality 0 10 15 20 25 30 35 Percentage investment© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 69 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 70 Productivity at Taco Bell Productivity at Taco Bell Improvements: Results: Improvements: Revised the menu Preparation time cut to 8 seconds Revised the menu Designed meals for easy preparation Management span of control increased Designed meals for easy preparation from 5 to 30 Shifted some preparation to suppliers Shifted some preparation to suppliers In-store labor cut by 15 hours/day Efficient layout and automation Efficient layout and automation Stores handle twice the volume with half Training and employee empowerment the laborand employee empowerment Training New water and energy saving grills New water and energy saving grills Conserve 300 million gallons of water and 200 million KwH of electricity each year saving $17 million annually© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 71 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 72 12
  13. 13. 10/16/2010 Ethics and Social Responsibility Challenges facing operations managers: Developing and producing safe, safe quality products All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical, photocopying, Maintaining a clean environment recording, or otherwise, without the prior written permission of the publisher. Printed in the United States of America. Providing a safe workplace Honoring stakeholder commitments© 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 73 © 2011 Pearson Education, Inc. publishing as Prentice Hall 1 - 74 13

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