Reviewer TQM - Operation management and TQM PDF

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Chapter 7: WORK DESIGN AND MEASUREMENTFour major sections: job design, quality of work life, methods analysis, and work measurement. The importance of work design is underscored by an organization’s dependence on human efforts (i., work) to accomplish its goalsJob design involves specifying the cont...

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Chapter 7: WORK DESIGN AND MEASUREMENT Four major sections: job design, quality of work life, methods analysis, and work measurement. The importance of work design is underscored by an organization’s dependence on human efforts (i.e., work) to accomplish its goals Job design involves specifying the content and methods of jobs. Job designers focus: • what will be done in a job • who will do the job • how the job will be done • where the job will be done. Objectives: Productivity, safety, and quality of work life. Two elements of basic schools of thought:  Efficiency school because it emphasizes a systematic, logical approach to job design refinement of Frederick Winslow Taylor’s scientific management concepts, received considerable emphasis in the past. The behavioral approach followed and has continued to make inroads into many aspects of job design. It is noteworthy that specialization is a primary issue of disagreement between the efficiency and behavioral approaches.  Behavioral school because it emphasizes satisfaction of wants and needs. Specialization  describes jobs that have a very narrow scope.  ability to concentrate one’s efforts and thereby become proficient at that type of work. Highly specialized jobs high productivity and relatively low unit costs Lower-level jobs monotonous or downright boring, and are the source of much of the dissatisfaction among many industrial workers. Behavioral Approaches to Job Design Job enlargement a. means giving a worker a larger portion of the total task.

b. This constitutes horizontal loading—the additional work is on the same level of skill and responsibility as the original job. c. The goal is to make the job more interesting by increasing the variety of skills required and by providing the worker with a more recognizable contribution to the overall output. d. For example, a production worker’s job might be expanded so that he or she is responsible for a sequence of activities instead of only one activity. Job rotation a. means having workers periodically exchange jobs. b. A firm can use this approach to avoid having one or a few employees stuck in monotonous jobs. c. It works best when workers can be transferred to more interesting jobs; d. there is little advantage in having workers exchange one boring job for another. e. Job rotation allows workers to broaden their learning experience and enables them to fill in for others in the event of sickness or absenteeism. Job enrichment a. involves an increase in the level of responsibility for planning and coordination tasks. b. It is sometimes referred to as vertical loading. c. An example of this is to have stock clerks in supermarkets handle reordering of goods, thus increasing their responsibilities. d. The job enrichment approach focuses on the motivating potential of worker satisfaction. For Management: 1. Simplifies training 2. High productivity 3. Low wage costs For management: Difficult to motivate quality Worker dissatisfaction, possibly resulting in absenteeism, high turnover, disruptive tactics, poor attention to quality

For employees: 1. Low education and skill requirements 2. Minimum responsibilities 3. Little mental effort needed For employees: Monotonous work Limited opportunities for advancement Little control over work Little opportunity for self-fulfillment

Motivation  reasons include socialization, self-actualization, status, the physiological aspects of work, and a sense of purpose and accomplishment. Teams  The efforts of business organizations to become more productive, competitive, and customer- oriented have caused them to rethink how work is accomplished. Different forms of teams short-term team - formed to collaborate on a topic such as quality improvement, product or service design, or solving a problem.

Long term – used especially in lean production settings, is the self-directed team. Self-directed teams  sometimes referred to as self-managed teams  workers, who are close to the process and have the best knowledge of it, are better suited than management to make the most effective changes to improve the process Benefits: - One is that fewer managers are necessary - very often one manager can handle several teams - can provide improved responsiveness to problems, they have a personal stake in making the process work, and they require less time to implement improvements. - higher quality, higher productivity, and greater worker satisfaction. - higher levels of employee satisfaction can lead to less turn- over and absenteeism, resulting in lower costs to train new workers and less need to fill in for absent employees. Expert Robert Bacal has a list of requirements for successful team building: 1. Clearly stated and commonly held vision and goals. 2. Talent and skills required to meet goals. 3. Clear understanding of team members’ roles and functions. 4. Efficient and shared understanding of procedures and norms. 5. Effective and skilled interpersonal relations. 6. A system of reinforcement and celebration. 7. Clear understanding of the team’s relationship to the greater organization. Ergonomics  scientific discipline concerned with the understand- ing of interactions among humans and other elements of a system, and the profession that applies theory, principles, data, and methods to design in order to optimize human well-being and overall system performance Three domains - physical (e.g., repetitive movements, layout, health, and safety) - cognitive (mental workload, decision making, human–computer interaction, and work stress) - organizational (e.g., communication, teamwork, work design, and telework). “Frederick Winslow Taylor, known as the father of scientific management, found that the amount of coal that workers could shovel could be increased substantially by reducing the size and weight of the shovels. “ QUALITY OF WORK LIFE

 Quality of work life affects not only workers’ overall sense of well-being and contentment, but also worker productivity.

Working Conditions  temperature (the more strenuous the work, the lower the comfort range.)  humidity  ventilation  illumination (the more detailed the work, the higher the level of illumination needed for adequate performance )  noise  Work Time and Work Breaks  Occupational Health Care.  Safety. causes of accidents are worker carelessness and accident hazards Occupational Safety and Health Administration (OSHA), emphasized the importance of safety considerations in systems design  Ethical Issues. working conditions and employee safety, accurate record keeping, unbiased performance appraisals, fair compensation, and opportunities for advancement. Compensation Time-based systems,  also known as hourly and measured daywork systems, compensate employees for the time the employee has worked during a pay period. Salaried workers also represent a form of time- based compensation.  In the case of assembly lines, the use of individual incentives could disrupt the even flow of work; however, group incentives are sometimes used successfully in such cases. Output-based (incentive) systems  compensate employees according to the amount of output they produce during a pay period, thereby tying pay directly to performance. Knowledge-Based Pay Systems Organizations are increasingly recognizing this, and they are setting up pay systems to reward workers who undergo training that increases their skill levels. Horizontal skills reflect the variety of tasks the worker is capable of performing Vertical skills reflect managerial tasks the worker is capable of Depth skills reflect quality and productivity results.

METHODS ANALYSIS  Analyzing how a job is done.  done for both existing jobs and new jobs -

For a new job it is needed to establish a method. the analyst must rely on a job description and an ability to visualize the operation.

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For an existing job the procedure usually is to have the analyst observe the job as it is currently being performed and then devise improvements.

Different sources: - Changes in tools and equipment - changes in product design or introduction of new products - changes in materials or procedures, - government regulations or contractual agreements - incidents such as accidents and quality problems.

Basic procedure 1. Identify the operation to be studied, and gather all pertinent facts about tools, equipment, materials, and so on. 2. For existing jobs, discuss the job with the operator and supervisor to get their input. 3. Study and document the present method of an existing job using process charts. For new jobs, develop charts based on information about the activities involved. 4. Analyze the job. 5. Propose new methods. 6. Install the new methods. 7. Follow up implementation to assure that improvements have been achieved.

Flow process charts  are used to review and critically examine the overall sequence of an operation by focusing on the movements of the operator or the flow of materials.

OPERATION  Drive nail

    

Mix Computer/Word processing Requisition made out by department head amount approved by treasurer, cashier, bookkeeper Receipt signed

TRANSPORTATION  Move material by cart, conveyor  Move material by carrying (messenger)  To accounting department  Petty cash carried to department

STORAGE    

Raw material bulk in storage Finished stacked on pallets Protective filling of documents Petty cash stored in safety box

DELAY    

Wait for elevator Material in truck or floor at bench Papers waiting to be filed Put in “pick-up” basket

INSEPECTION  Examine material for quality or quantity  Read steam gauge on boiler  Examine printed from for information

 account and signature verified  petty cash check against requisition Worker-machine chart  Chart used to determine portions of a work cycle during which an operator and equipment are busy or idle. Motion study  is the systematic study of the human motions used to perform an operation. The purpose is to eliminate unnecessary motions and to identify the best sequence of motions for maximum efficiency from the work of Frank Gilbreth

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Motion study principles principles for use of the body, principles for arrangement of the workplace principles for the design of tools and equipment. Therbligs  Basic elemental motions that make up a job. Example: Search implies hunting for an item with the hands and/or the eyes. Select means to choose from a group of objects. Grasp means to take hold of an object. Hold refers to retention of an object after it has been grasped. Transport load means movement of an object after hold. Release load means to deposit the object.

Work measurement  concerned with determining the length of time it should take to complete the job. Standard time  The time it should take a fully trained and qualified worker to complete a specific task, working at an efficient, yet sustainable pace, using specific methods, tools and equipment, raw materials, and workplace arrangement. Methods of work measurement (1) stopwatch time study, (2) historical times, (3) predetermined data, and (4) work sampling

CHAPTER 8: LOCATION PLANNING AND ANALYSIS

Location choices can impact capacity and flexibility. Objectives of Location Decisions Profit-oriented organizations  base their decisions on profit potential Nonprofit organizations  strive to achieve a balance between cost and the level of customer service they provide.  Location criteria can depend on where a business is in the supply chain. -

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At the retail end of a chain - site selection tends to focus more on accessibility, consumer demographics (population density, age distribution, average buyer income), traffic patterns, and local customs. At the beginning of a supply chain, if they are involved in supplying raw materials, are often located near the source of the raw materials. In the middle of the chain may locate near suppliers or near their markets, depending on a variety of circumstances.

Supply Chain Consideration Centralized distribution  generally yields scale economies as well as tighter control than Decentralized distribution, but it sometimes incurs higher transportation costs. Decentralized distribution  tends to be more responsive to local needs. Four options in location planning 1. Expand an existing facility 2. Add new locations while retaining existing ones 3. Shut down at one location and move to another 4. Do nothing GLOBAL LOCATIONS Facilitating Factors 1. Trade Agreements  Barriers to international trade such as tariffs and quotas have been reduced or eliminated with trade agreements Includes:

NAFTA, GATT, U.S – China Trade Relations Act 2. Technology  include faxing capability, e-mail, cell phones, teleconferencing, and the Internet. Benefits    

Markets Cost savings Legal and regulatory Financial

Disadvantages  Transportation costs  Security costs  Unskilled labor.  Import restrictions  Criticisms  Productivity Risks       

Political Terrorism. Economic Legal Ethical Cultural Quality...