In this chapter, the following content will be discussed: Global company profile: FedEx; the strategic importance of location; factors that affect location decisions; labor productivity; exchange rates and currency risks; costs; political risk, values, and culture; proximity to markets; proximity to suppliers; proximity to competitors (clustering). | LSM733-PRODUCTION OPERATIONS MANAGEMENT By: OSMAN BIN SAIF LECTURE 11 1 Four Process Strategies Process Focus Repetitive Focus Product Focus Mass Customization Focus Comparison of Process Choices Process Analysis and Design Flow Diagrams Time-Function Mapping Value-Stream Mapping Process Charts Service Blueprinting Summary of last session 2 2 Service Process Design Customer Interaction and Process Design More Opportunities to Improve Service Processes Selection of Equipment and Technology Production Technology Machine Technology Automatic Identification Systems (AISs) and RFID Process Control Vision Systems Robots Summary of last session (Contd.) 3 3 Production Technology (cont.) Automated Storage and Retrieval Systems (ASRSs) Automated Guided Vehicles (AGVs) Flexible Manufacturing Systems (FMSs) Computer-Integrated Manufacturing (CIM) Technology in Services Process Redesign Ethics and Environmentally Friendly Processes Summary of last session (Contd.) 4 4 Global Company Profile: . | LSM733-PRODUCTION OPERATIONS MANAGEMENT By: OSMAN BIN SAIF LECTURE 11 1 Four Process Strategies Process Focus Repetitive Focus Product Focus Mass Customization Focus Comparison of Process Choices Process Analysis and Design Flow Diagrams Time-Function Mapping Value-Stream Mapping Process Charts Service Blueprinting Summary of last session 2 2 Service Process Design Customer Interaction and Process Design More Opportunities to Improve Service Processes Selection of Equipment and Technology Production Technology Machine Technology Automatic Identification Systems (AISs) and RFID Process Control Vision Systems Robots Summary of last session (Contd.) 3 3 Production Technology (cont.) Automated Storage and Retrieval Systems (ASRSs) Automated Guided Vehicles (AGVs) Flexible Manufacturing Systems (FMSs) Computer-Integrated Manufacturing (CIM) Technology in Services Process Redesign Ethics and Environmentally Friendly Processes Summary of last session (Contd.) 4 4 Global Company Profile: FedEx The Strategic Importance of Location Agenda for this Session 5 5 Factors That Affect Location Decisions Labor Productivity Exchange Rates and Currency Risks Costs Political Risk, Values, and Culture Proximity to Markets Proximity to Suppliers Proximity to Competitors (Clustering) Agenda for this Session (Contd.) 6 6 Methods of Evaluating Location Alternatives The Factor-Rating Method Locational Break-Even Analysis Center-of-Gravity Method Transportation Model Agenda for this Session (Contd.) 7 7 Service Location Strategy How Hotel Chains Select Sites The Call Center Industry Geographic Information Systems Agenda for this Session (Contd.) 8 8 Chapter : Location Decision 9 Location Strategy The objective of location strategy is to maximize the benefit of location to the firm 10 10 Location Strategy One of the most important Long-term decision a firm makes. Once committed to a location, many resource and cost issues are difficult to change Decisions made relatively infrequently .
