Download Contract Manufacturing and Packaging January-February 2011 by Jordan Brandes PDF

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By Jordan Brandes

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4. Plan and implement a solution. 5. Confirm results. 6. Standardize the solution. 7. Reflect on and critique the process. A&R. Automation and robotics. 24 Copyright 2003 WetFeet, Inc. Activity-based costing (ABC). A managerial accounting technique that, unlike traditional managerial accounting, breaks down the costs of a product by the set of activities used to produce that product. For instance, rather than lumping all effort to produce a product into labor, ABC calculates the cost of each of The Industry the significant activities required to produce a product from the customer order to delivery.

This principle is key to lean production. Total quality management (TQM). A philosophy of process improvement based on five tenets: customer focus, continuous improvement, measurement, total involvement, and systematic support. Utilization. The percentage of a resource’s capacity that is used. Visual controls. The use of visual tools such as color coding, labels, symbols, Andon boards, and the like to serve as guides in the production process. Waste. In lean production, the things that make production fat.

Lean Production) The team leader responsible for designing a new product and putting it into production. Six sigma. The mantra of almost every American manufacturer; a methodology for increasing control of production processes and thereby increasing customer satisfaction. Sigma refers to the Greek symbol for standard deviation. 4 defects per million. In other words, a maniacal focus on quality. 28 Copyright 2003 WetFeet, Inc. Suboptimization. The process by which productivity gains produced by optimization in one activity are offset by productivity losses in another.

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