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Operations Management is important, exciting, challenging, and everywhere your
look! Important, because it’s concerned with creating all of the products and services upon which we depend. Exciting, because it’s at the centre of so many of the changes affecting the world of business. Challenging, because the solutions that we find need to work globally and responsibly within society and the environment. And everywhere, because every service and product that you use – the cereal you eat at breakfast, the chair you sit on, and the radio station you listen to while you eat – is the result of an operation or process. Our aim in writing Operations Management is to give you a comprehensive understanding of the issues and techniques of operations management, and to help you get a great final result in your course. Here’s how you might make the most of the text:
Get ahead with the latest developments – from the up-to-the-minute Operations in practice features in every chapter to the focus on corporate social responsibility in the final chapter – these put you at the cutting edge. Use the Worked examples and Problems and applications to improve your use of key quantitative and qualitative techniques, and work your way to better grades in your assignments and exams. Follow up on the recommended readings at the end of each chapter. They’re specially selected to enhance your learning and give you an edge in your course work.
And in particular, look out for the references to MyOMLab in the text, and log on to www.myomlab.com* where you can
check and reinforce your understanding of key concepts using self-assessment questions, audio summaries, animations video clips and more; practice your problem-solving with feedback, guided solutions and a limitless supply of questions!
We want Operations Management to give you what you need: a comprehensive view of the subject, an ambition to put that into practice, and – of course – success in your studies. So, read on and good luck! Nigel Slack Stuart Chambers Robert Johnston
* P.S. In order to log in to MyOMLab, you’ll need to register with the access code included with all new copies of the book.
Further reading in Operations Management
Take your study and interest in operations management further with these leading textbooks written by the same team of expert authors.
OPERATIONS MANAGEMENT Sixth Edition Nigel Slack Stuart Chambers Robert Johnston .
recording or otherwise. Stuart. TS155. No part of this publication may be reproduced.) 1. ISBN 978-0-273-73046-0 (pbk. – 6th ed. Stuart Chambers. and Robert Johnston 2001. 2010 The rights of Nigel Slack. Johnston. without either the prior written permission of the publisher or a licence permitting restricted copying in the United Kingdom issued by the Copyright Licensing Agency Ltd. Robert Johnston 1995. Robert Johnston. nor does the use of such trademarks imply any afﬁliation with or endorsement of this book by such owners.Pearson Education Limited Edinburgh Gate Harlow Essex CM20 2JE England and Associated Companies throughout the world Visit us on the World Wide Web at: www. Christine Harland. or transmitted in any form or by any means. . II. All rights reserved. Operations management / Nigel Slack. stored in a retrieval system. 6–10 Kirby Street. Stuart Chambers. 2004. Stuart Chambers. Italy The publisher’s policy is to use paper manufactured from sustainable forests. electronic. cm. p. Saffron House. Title. The use of any trademark in this text does not vest in the author or publisher any trademark ownership rights in such trademarks. Production management. 1998 © Nigel Slack.pearsoned. Robert.5–dc22 10 9 8 7 6 5 4 3 2 1 14 13 12 11 10 Typeset in 10/12pt Minion by 35 Printed and bound by Rotolito Lombarda. mechanical. Alan Harrison. photocopying. Designs and Patents Act 1988. All trademarks used herein are the property of their respective owners. Nigel. London EC1N 8TS. and Robert Johnston to be identiﬁed as authors of this work have been asserted by them in accordance with the Copyright. ISBN: 978-0-273-73046-0 British Library Cataloguing-in-Publication Data A catalogue record for this book is available from the British Library Library of Congress Cataloging-in-Publication Data Slack. 1953– III.uk First published under the Pitman Publishing imprint 1995 Second edition (Pitman Publishing) 1998 Third edition 2001 Fourth edition 2004 Fifth edition 2007 Sixth edition 2010 © Nigel Slack. I.S562 2010 658.co. Stuart Chambers. 2007. Chambers.
examples.Brief contents Guide to ‘operations in practice’. short cases and case studies Making the most of this book and MyOMLab Preface To the Instructor To the Student Ten steps to getting a better grade in operations management About the authors Acknowledgements Part Three PLANNING AND CONTROL xi xiv xviii xx xxi xxii xxiii xxiv 10 The nature of planning and control 11 Capacity planning and control Supplement to Chapter 11 – Analytical queuing models 12 Inventory planning and control 13 Supply chain planning and control 14 Enterprise resource planning (ERP) Supplement to Chapter 14 – Materials requirements planning (MRP) 15 Lean synchronization 16 Project planning and control 17 Quality management Supplement to Chapter 17 – Statistical process control (SPC) 267 268 297 333 340 373 406 422 429 457 495 520 Part One INTRODUCTION 1 Operations management 2 Operations performance 3 Operations strategy 1 2 32 60 Part Four IMPROVEMENT 18 Operations improvement 19 Risk management 20 Organizing for improvement 539 540 571 601 Part Two DESIGN 4 Process design 5 The design of products and services 6 Supply network design 7 Layout and ﬂow 8 Process technology 9 People. jobs and organization 85 86 112 138 177 206 233 Part Five CORPORATE SOCIAL RESPONSIBILITY 21 Operations and corporate social responsibility (CSR) Notes on chapters Glossary Index 631 632 652 658 670 Supplement to Chapter 6 – Forecasting 168 Supplement to Chapter 9 – Work study 259 .
Contents Guide to ‘operations in practice’. short cases and case studies Making the most of this book and MyOMLab Preface To the Instructor To the Student Ten steps to getting a better grade in operations management About the authors Acknowledgements Problems and applications Selected further reading Useful web sites 58 59 59 xi xiv xviii xx xxi xxii xxiii xxiv Chapter 3 Operations strategy Introduction What is strategy and what is operations strategy? The ‘top-down’ and ‘bottom-up’ perspectives The market requirements and operations resources perspectives The process of operations strategy Summary answers to key questions Case study: Long Ridge Gliding Club Problems and applications Selected further reading Useful web sites 60 60 62 65 68 75 79 80 81 82 82 Part One INTRODUCTION Chapter 1 Operations management Introduction What is operations management? Operations management is important in all types of organization The input–transformation–output process The process hierarchy Operations processes have different characteristics The activities of operations management Summary answers to key questions Case study: Design house partnerships at Concept Design Services Problems and applications Selected further reading Useful web sites 1 2 2 4 6 11 15 19 23 25 27 30 30 31 Part Two DESIGN Chapter 4 Process design Introduction What is process design? What effects should process design have? Process types – the volume–variety effect on process design Detailed process design Summary answers to key questions Case study: The Central Evaluation Unit Problems and applications Selected further reading Useful web sites 85 86 86 87 88 91 96 108 109 110 111 111 Chapter 2 Operations performance Introduction Operations performance is vital for any organization The quality objective The speed objective The dependability objective The ﬂexibility objective The cost objective Trade-offs between performance objectives Summary answers to key questions Case study: Operations objectives at the Penang Mutiara 32 32 34 40 42 44 46 48 54 56 57 Chapter 5 The design of products and services Introduction Why is good design so important? The beneﬁts of interactive design Summary answers to key questions Case study: Chatsworth – the adventure playground decision Problems and applications Selected further reading Useful web sites 112 112 114 129 134 135 136 137 137 . examples.
viii Contents Chapter 6 Supply network design Introduction The supply network perspective Conﬁguring the supply network The location of capacity Long-term capacity management Summary answers to key questions Case study: Disneyland Resort Paris (abridged) Problems and applications Selected further reading Useful web sites 138 138 140 142 146 155 161 162 166 167 167 168 168 168 169 170 176 Organization design Job design Summary answers to key questions Case study: Service Adhesives tries again Problems and applications Selected further reading Useful web sites 238 241 255 256 257 258 258 Supplement to Chapter 9 Work study Introduction Method study in job design Work measurement in job design 259 259 259 262 Supplement to Chapter 6 Forecasting Introduction Forecasting – knowing the options In essence forecasting is simple Approaches to forecasting Selected further reading Part Three PLANNING AND CONTROL Chapter 10 The nature of planning and control Introduction What is planning and control? Supply and demand affect planning and control Planning and control activities Summary answers to key questions Case study: Air trafﬁc control – a world-class juggling act Problems and applications Selected further reading Useful web sites 267 268 268 270 272 277 293 294 295 296 296 Chapter 7 Layout and ﬂow Introduction What is layout? The basic layout types What type of layout should an operation choose? Detailed design of the layout Summary answers to key questions Case study: Weldon Hand Tools Problems and applications Selected further reading Useful web sites 177 177 179 180 187 189 202 203 204 205 205 Chapter 11 Capacity planning and control Introduction What is capacity management? Measuring demand and capacity The alternative capacity plans Choosing a capacity planning and control approach Capacity planning as a queuing problem Summary answers to key questions Case study: Holly Farm Problems and applications Selected further reading Useful web sites 297 297 299 301 309 317 322 327 328 331 332 332 Chapter 8 Process technology Introduction What is process technology? Understanding process technologies Evaluating process technologies Implementing process technologies Summary answers to key questions Case study: Rochem Ltd Problems and applications Selected further reading Useful web sites 206 206 208 209 221 227 229 230 232 232 232 Supplement to Chapter 11 Analytical queuing models Introduction Notation Variability Incorporating Little’s law Types of queuing system 333 333 333 334 335 336 Chapter 9 People. jobs and organization Introduction People in operations Human resource strategy 233 233 235 236 .
Contents ix Chapter 12 Inventory planning and control Introduction What is inventory? Why is inventory necessary? Some disadvantages of holding inventory The volume decision – how much to order The timing decision – when to place an order Inventory analysis and control systems Summary answers to key questions Case study: Trans-European Plastics Problems and applications Selected further reading Useful web sites 340 340 342 342 345 346 357 362 368 369 371 371 372 Chapter 15 Lean synchronization Introduction What is lean synchronization? Eliminate waste Lean synchronization applied throughout the supply network Lean synchronization and other approaches Summary answers to key questions Case study: Boys and Boden (B&B) Problems and applications Selected further reading Useful web sites 429 429 431 435 447 449 452 453 455 456 456 Chapter 13 Supply chain planning and control Introduction What is supply chain management? The activities of supply chain management Types of relationships in supply chains Supply chain behaviour Supply chain improvement Summary answers to key questions Case study: Supplying fast fashion Problems and applications Selected further reading Useful web sites Chapter 16 Project planning and control 373 373 375 377 386 391 394 400 401 404 405 405 457 Introduction 457 What is a project? 459 Successful project management 461 The project planning and control process 462 Network planning 475 Summary answers to key questions 487 Case study: United Photonics Malaysia Sdn Bhd 488 Problems and applications 493 Selected further reading 494 Useful web sites 494 Chapter 17 Quality management Introduction What is quality and why is it so important? Diagnosing quality problems Conformance to speciﬁcation Total quality management (TQM) Summary answers to key questions Case study: Turnround at the Preston plant Problems and applications Selected further reading Useful web sites 495 495 497 501 502 508 515 516 518 519 519 Chapter 14 Enterprise resource planning (ERP) Introduction What is ERP? How did ERP develop? Implementation of ERP systems Summary answers to key questions Case study: Psycho Sports Ltd Problems and applications Selected further reading Useful web sites 406 406 408 408 415 417 418 420 421 421 Supplement to Chapter 17 Statistical process control (SPC) Introduction Control charts Variation in process quality Control charts for attributes Control chart for variables Process control. learning and knowledge Acceptance sampling Sampling plans Summary Selected further reading Useful web sites 520 520 520 521 527 528 532 533 533 535 536 536 Supplement to Chapter 14 Materials requirements planning (MRP) Introduction Master production schedule The bill of materials (BOM) Inventory records The MRP netting process MRP capacity checks Summary 422 422 422 424 425 425 428 428 .
x Contents Part Four IMPROVEMENT Chapter 18 Operations improvement Introduction Why improvement is so important Elements of improvement Approaches to improvement Improvement techniques Summary answers to key questions Case study: Geneva Construction and Risk Problems and applications Selected further reading Useful web sites 539 Chapter 20 Organizing for improvement Introduction Why the improvement effort needs organizing Linking improvements to strategy Information for improvement Improvement priorities – what to start on? Improvement culture Implementing improvement Summary answers to key questions Case study: Re-inventing Singapore’s libraries Problems and applications Selected further reading Useful web sites 601 601 603 603 606 612 617 620 624 626 628 628 629 540 540 542 542 549 558 564 565 569 570 570 Part Five CORPORATE SOCIAL RESPONSIBILITY 631 Chapter 21 Operations and corporate social responsibility (CSR) Introduction What is corporate social responsibility? How does the wider view of corporate social responsibility inﬂuence operations management? How can operations managers analyse CSR issues? Summary answers to key questions Case study: CSR as it is presented Problems and applications Selected further reading Useful web sites Notes on chapters Glossary Index Chapter 19 Risk management Introduction What is risk management? Assess the potential causes of and risks from failure Preventing failure occurring Mitigating the effects of failure Recovering from the effects of failure Summary answers to key questions Case study: The Chernobyl failure Problems and applications Selected further reading Useful web sites 571 571 573 573 586 592 593 596 597 599 600 600 632 632 633 637 646 648 649 650 651 651 652 658 670 .
p. p. p. 74 p. p. p.9999% dependability BBC Aldi Hon Hai Precision Industry Mutiara Beach Resort. examples. p. p. p. p. p. 149 p. p. 151 p. p. 147 p. Penang Two operations strategies: Flextronics and Ryanair Giordano Amazon what exactly is your core competence? Sometimes any plan is better than no plan Long Ridge Gliding Club McDonalds Daimler-Chrysler. short cases and case studies Chapter Chapter 1 Operations management Location p. Quanta and Compal Tata Nano Tesco High-tech subcontracting Disneyland Paris Region Global UK Global Europe/USA Europe Tanzania UK Dubai and UK UK General India Global Europe Taiwan/China Malaysia Global/Europe Asia Global Europe UK USA France UK Belgium Europe Global Japan UK UK UK Global Taiwan India Thailand India/China France Sector/activity Retail Manufacturing Charity Retail Hospitality Hospitality Design/manufacturing/ distribution Transport Agricultural Healthcare General service Media Retail Manufacturing Hospitality Manufacturing service/ transport Retail Retail/business services Military Sport Quick service Auto manufacturing Transport Non-governmental organization Aerospace Design/manufacturing Retail/Agriculture Hairdressing Media Tourism Computer manufacturing Computer manufacturing Manufacturing Retail Research and development Entertainment Company size Large Small Large Medium Large Small Medium Large Small Medium Large Large Large Large Medium Large Large Large Large Small Large Large Large Large Large Large Various Small Small Medium Large Large Large Large Medium/large Large Chapter 2 Operations performance Chapter 3 Operations strategy p. p. p. p. 61 p. Smart car Heathrow The Central Evaluation Unit (European Union Directorate) Airbus A380 Dyson Square water melons Daniel Hersheson Art Attack! Chatsworth House Dell Hon Hai. p. p. 139 p.Guide to ‘operations in practice’. 162 . 145 p. p. p. p. 77 p. p. 80 Chapter 4 Process design p. p. 68 p. 87 90 107 109 113 116 120 122 125 135 Chapter 5 The design of products and services Chapter 6 Supply network design p. 3 8 9 14 21 21 27 33 41 43 44 47 49 51 57 Company/example IKEA Acme Whistles Oxfam Prêt A Manger Formule 1 Mwagusi Safari Lodge Concept Design Services A tale of two terminals Lower Hurst Farm Accident recovery Dabbawalas hit 99. p.
p. p. p. p. 374 p. p. p. Benetton and Zara Region Global UK Japan UK UK All All UK USA Netherlands Asia Sweden UK Global Global UK Europe Europe UK Global All All UK All Europe All UK Europe UK/Global All Netherlands UK UK Europe UK France Europe Global Global Europe Europe Japan Global Sector/activity Retail Healthcare Piano manufacturing Entertainment and manufacturing Manufacturing Airlines Security Restaurants Disaster recovery Agriculture Hairdressing Media Food processing Manufacturing and research e-services Restaurants Banking Manufacturing Service and repair Airline Healthcare Food processing Milk distribution Air travel Distribution Various Tourism Agriculture Food processing/media Design Tourism Agriculture/ entertainment Healthcare Beverages Distribution service Manufacturing Service and manufacturing Auto manufacturing Garment design/ retailing Logistics services Food services Retail Design/manufacturing/ distribution/retail Company size Large Medium Large Large Large Large Various Medium Large Medium Medium Large Medium Large Large Large Large Large Medium Large Large Large Large Medium Large Various Medium Large Large Large Medium Small Large Large Large Large Large Large Large Large Large Large Large p. 237 247 250 256 269 273 281 286 Chapter 10 The nature of planning and control p. p. 385 397 398 401 . 203 Chapter 8 Process technology p. 234 p. p. p. p. Amsterdam Holly Farm UK National Blood Service Croft Port The Howard Smith Paper Group Trans-European Plastic Siemens Ford Motor Company Levi Straus & Co TDG Northern Foods Seven-Eleven Japan H&M. p.L. p. 379 p. p. p. p. jobs and organization p. p. p. p. p. 294 Chapter 11 Capacity planning and control p. p. examples. 298 304 309 310 315 317 326 328 341 348 356 369 Chapter 12 Inventory planning and control Chapter 13 Supply chain planning and control p. p. 292 p. p. Gore and Associates Google McDonalds Lloyds TSB Service Adhesives BMW dealership Air France Accident and Emergency Chicken salad sandwich (Part 1) Robert Wiseman Dairies Air trafﬁc control Britvic Seasonal products and services British Airways London Eye Lettuce growing Seasonal products and services Greetings cards Madame Tussauds. 178 180 185 186 Company/example Tesco Surgery Yamaha Cadbury Weldon Hand Tools Airlines Robots Yo! Sushi IBM Farming QB House SVT (Sveriges Television) Rochem Ltd W.xii Guide to ‘operations in practice’. p. p. p. short cases and case studies Chapter Chapter 7 Layout and ﬂow Location p. p. p. 384 p. p. 207 210 211 213 218 220 224 230 Chapter 9 People. p. p. p.
p. 407 p. 642 p. p. 649 . 418 Chapter 15 Lean synchronization Chapter 16 Project planning and control Chapter 17 Quality management p. 638 p. examples. 411 p. p.Guide to ‘operations in practice’. 430 p. short cases and case studies Chapter Chapter 14 Enterprise Resource Planning Location p. 575 p. p. p. 592 p. p. 597 Chapter 20 Organizing for improvement Chapter 21 Corporate social responsibility (CSR) p. 458 465 47 488 496 499 500 505 507 512 516 541 548 556 565 Company/example Rolls Royce SAP Chicken salad sandwich (Part 2) SAP What a waste Psycho Sports Ltd Toyota Motor Company Hospitals The Millau Bridge The National Trust Access HK United Photonics Malaysia Sdn Bhd Four Seasons Hotel Tea and Sympathy Magic Moments Vitacress Surgical Statistics IBM Rendall Graphics Heineken International (Part I) Erdington Xchanging Geneva Construction and Risk (GCR) Cadburys Salmonella outbreak Not what you want to hear Viruses. p. p. 440 p. 414 p. p. p. p. reality and intention CSR as it is presented Region Global Global All Global US All Global UK France UK Hong Kong Malaysia Global/UK USA UK Europe US Canada Canada Netherlands UK Europe Europe Global USA Global Global Ukraine Denmark Netherlands Global Singapore All Global Global Various Sector/activity Aerospace IT services Food processing IT services Waste management Manufacturing Auto manufacturing Healthcare Construction Heritage Charity Research and development Hospitality Hospitality Photography services Agriculture Healthcare IT services Manufacturing Brewery Beverage Process outsourcing Insurance Confectionary Airline Internet Facilities services Power generation Public service Brewery Various ? All Manufacturing Retail Various Company size Large Large Small Large Large Small Large Medium/large Large Various Small Medium Large Small Small Large Various Large Medium Large Large Large Large Large Large Various Large Large Large Large ?Large ? All Large Large Various xiii Chapter 18 Improvement Chapter 19 Risk management p. 572 p. p. 602 620 622 626 p. 635 p. p. 577 p. p. 417 p. threats and 30 years of spam Otis Elevators Chernobyl Taxing Quality Heineken International (Part II) Work-Out at GE Singapore Libraries Ecological footprints HP Recycling Program The Gap between perception. p. 410 p. p. p.
● ● ● The aim of this book This book provides a clear. how we want to work. . this text is: Undergraduates on business studies. it is not conﬁned to the operations function. Who should use this book? Anyone who is interested in how services and products are created. whether they are called Operations or Marketing or Human Resources or Finance.Preface Introduction Operations management is important. manufacturing or service. changes in supply networks brought about by internet-based technologies. Operations management is also exciting. Distinctive features Clear structure The structure of the book uses a model of operations management which distinguishes between design. International in the examples which are used. This makes. All managers. Conceptual in the way it explains the reasons why operations managers need to take decisions. Operations management is also challenging. authoritative. manage processes and serve customers (internal or external). Thankfully. and improvement. changes in what we want to do at work. operations management is everywhere. the pressures to be socially responsible. Practical in that the issues and challenges of making operations management decisions in practice are discussed. planning and control. It is unambiguous in treating the operations function as being central to competitiveness. whether that organization is large or small. Balanced in its treatment. This means we reﬂect the balance of economic activity between service and manufacturing operations. or whatever. well structured and interesting treatment of operations management as it applies to a variety of businesses and organizations. at least part of their activities ‘operations’. More speciﬁcally. the increasing globalization of markets and the difﬁcult-todeﬁne areas of knowledge management. The text provides both a logical path through the activities of operations management and an understanding of their strategic context. It is they who must ﬁnd the solutions to technological and environmental challenges. There has rarely been a time when operations management was more topical or more at the heart of business and cultural shifts. for proﬁt or not for proﬁt. It is concerned with creating the services and products upon which we all depend. and the case studies at the end of each chapter. And all organizations produce some mixture of services and products. where we want to work. Around seventy-ﬁve per cent of examples are from service organizations and twenty-ﬁve percent from manufacturing. public or private. But more than this. The ‘Operations in practice’ feature. This is because they have realized that effective operations management gives the potential to improve both efﬁciency and customer service simultaneously. Postgraduate students on other specialist masters degrees should ﬁnd that it provides them with a wellgrounded and. critical approach to the subject. ● ● ● ● ● ● Strategic in its perspective. Promoting the creativity which will allow organizations to respond to so many changes is becoming the prime task of operations managers. MBA students should ﬁnd that its practical discussions of operations management activities enhance their own experience. all explore the approaches taken by operations managers in practice. at times. There are over 120 descriptions of operations practice from all over the world. It is at the centre of so many of the changes affecting the business world – changes in customer preference. technical or joint degrees should ﬁnd it sufﬁciently structured to provide an understandable route through the subject (no prior knowledge of the area is assumed). most companies have now come to understand the importance of operations. Comprehensive in its coverage of the signiﬁcant ideas and issues which are relevant to most types of operation. the short cases that appear through the chapters. which starts every chapter. and so on.
Summary answers to key questions Every chapter ends with a short list of further reading which takes the topics covered in the chapter further. Useful websites Each chapter is summarized in the form of a list of bullet points. ‘worked examples’ are used to demonstrate how both types of technique can be used. There are also activities that support the learning objectives of the chapter that can be done individually or in groups. Worked examples Every chapter includes a case study suitable for class discussion. Critical commentaries Every chapter includes a set of problem type exercises. These can be used to check out your understanding of the concepts illustrated in the worked examples. but have sufﬁcient content also to serve as the basis of case sessions.Preface xix Illustrations-based Case studies Operations management is a practical subject and cannot be taught satisfactorily in a purely theoretical manner. Because of this we have used examples and ‘boxed’ short cases which explain some issues faced by real operations. A short list of web addresses is included in each chapter for those who wish to take their studies further. These extract the essential points which answer the key question posed at the beginning of each chapter. Problems and applications Operations management is a subject that blends qualitative and quantitative perspectives. or treats some important related issues. This is why we have included ‘critical commentaries’ that pose alternative views to the one being expressed in the main ﬂow of the text. . The cases are usually short enough to serve as illustrations. The nature of each further reading is also explained. Selected further reading Not everyone agrees about what is the best approach to the various topics and issues with operations management.
including algorithmically-generated quantitative values which make for a different problem every time.pearsoned. Our research for the 6th edition resulted in maintaining the successful structure of previous editions and incorporating the following key changes: ● ● ● The ‘Problems’ and ‘Study activities’ sections have been merged. If you'd like to learn more or find out how MyOMLab could help you. This makes each chapter more compact. . a new set of online resources to enable students to check their understanding. A Gradebook which tracks students' performance on sample tests as well as assessments of your own design. Please contact your local Pearson Education Sales Consultant (www.uk/replocator or visit www. Instructor’s resources A completely new instructor’s manual is available to lecturers adopting this textbook. A whole new chapter on Corporate Social Responsibility (CSR) has been added. Using MyOMLab.To the Instructor … Teaching and learning resources for the 6th edition New for the sixth edition We have a regular opportunity to listen to the views of users of the book and are always keen to receive feedback. and reﬂects a greater emphasis on this issue throughout the book.com. making the subject more relevant to every functional areas of the organization.uk/slack to access these. allowing you to assign work for your students to prepare for your next class or seminar. A Homework feature. Visit www.co. and to enable your students to study independently and at their own pace.myomlab. The ‘Operations in Practice’ sections that are used to introduce the topic at the beginning of each chapter have been refreshed. practice key techniques and improve their problemsolving skills now accompanies the book. pearsoned. The Worked examples have been extended to provide a better balance between qualitative and quantitativebased techniques. together with PowerPoint presentations for each chapter and a Testbank of assessment questions. Please see below for details of MyOMLab. The book has been visually redesigned to aid learning.uk/ replocator) for further details and to request a copy.co. and provide an up-to-date selection of operations issues. you can take advantage of: ● ● ● ● A wide range of engaging resources. powerpoint slides and animated models with audio commentary. Many of the cases at the end of the chapter and short cases are new (but the old ones are still available on the web site). please contact your local Pearson sales consultant at www.co.pearsoned. and most importantly. The key to greater understanding and better grades in Operations Management! MyOMLab for instructors MyOMLab is designed to save you time in preparing and delivering assignments and assessments for your course. including video. In addition a new Operations in Practice DVD is now available. Hundreds of self-assessment questions. Finally. ● ● ● ● An even greater emphasis has been placed on the idea of ‘process management’.
eat a meal in a restaurant. direct students’ learning. There are also examples which you can observe every day. more or less. Video clips and short cases to illustrate operations management in action. The case exercises and study activities are there to provide an opportunity for you to think further about the ideas discussed in the chapters. they need not be studied in this order. technology choice impacts on job design which in turn impacts on quality control. Audio downloads. Visit the MyOMLab at www. The ﬁrst hint therefore in using this book effectively is to look out for all the links between the individual topics. ● ● ● . But because each part has an introductory chapter. magazines and newspapers. to some extent. Most important of all. 10 and 18 and the chapter summaries of selected chapters. Therefore study the chapters in whatever sequence is appropriate to your course or your individual interests. Study activities can be used to test out your understanding of the speciﬁc points and issues discussed in the chapter and discuss them as a group. but many also come from journals. What can the operation do to help the organization compete more effectively? The key to greater understanding and better grades in Operations Management! MyOMLab for students MyOMLab has been developed to help students make the most of their studies in operations management. those students who wish to start with a brief ‘overview’ of the subject may wish ﬁrst to study Chapters 1. Use the questions at the end of each case exercise to guide you through the logic of analysing the issue treated in the case. consider the operations management issues of all the operations for which you are a customer.myomlab. every time you analyse one of the case exercises (or any other case or example in operations management) start off your analysis with the two fundamental questions: ● ● How is this organization trying to compete (or satisfy its strategic objectives if a not-for-proﬁt organization)?. borrow a book from the library or ride on public transport. The case exercises at the end of each chapter will require some more thought. Similarly with the sequence of topics. animated models and electronic flashcards to aid exam revision. Whenever you use a shop. Making the most of this book All academic textbooks in business management are. which in reality are closely related. self-contained. yet we have treated these topics individually. Any book has to separate topics. So if you want to understand the importance of operations management in everyday business life look for examples and illustrations of operations management decisions and activities in newspapers and magazines. in order to study them. Many of these were provided by our contacts in companies.com to find valuable teaching and learning material including: ● Self-assessment questions and a personalized Study Plan to diagnose areas of strength and weakness. If you cannot answer these you should revisit the relevant parts of the chapter. The book makes full use of the many practical examples and illustrations which can be found in all operations. although the chapters follow a logical structure. 4. The same applies to revision – study the introductory chapters and summary answers to key questions. . When you have done this individually try to discuss your analysis with other course members. . and improve results. Unlimited practice on quantitative techniques and solving problems. simpliﬁcations of the messy reality which is actual organizational life. Every chapter is. if you choose. For example.To the Student .
show that you know how to illustrate and apply the topic. Step 3 Remember to use both quantitative and qualitative analysis. and you want a really good grade. Step 8 Take account of the three tiers of accumulating marks for your answers. if you can do (a) and (b) you will pass well. Step 5 Research widely around the topic. combined with those on MyOMLab. and search the Key questions at the beginning of each chapter and the Summary at the end of each chapter to get you started. but qualify this with a few well chosen sentences. ‘Would a similar operation with a different strategy do things differently?’ Look at the Short cases. practice. Step 7 Always answer the question. You’ll get more credit for appropriately mixing your methods: use a quantitative model to answer a quantitative question and vice versa. Generally. incorporate qualitative and quantitative material. Step 4 There’s always a strategic objective behind any operational issue.Ten steps to getting a better grade in operations management I could say that the best rule for getting a better grade is to be good. (a) First. don’t get as good a grade as we really deserve. Make full use of the text and MyOMLab to ﬁnd out where you need to improve. Ask yourself. give you hundreds of different examples. Every day. read on. practice. Use the Study plan feature in MyOMLab and practice to master the topics which you ﬁnd difﬁcult. So. Your new-found knowledge will stick in your memory. but also understand why! Read the text and apply your knowledge on MyOMLab until you really understand why the concepts and techniques of operations management are important. and if you can do all three. and enable you to get better grades. and GOOD LUCK! Nigel Slack . and apply them wherever you can. (c) Third. Think ‘What is really being asked here? What topic or topics does this question cover?’ Find the relevant chapter or chapters. and what they contribute to an organisation’s success. Why is the queue at the airport check-in desk so long? What goes on behind the ‘hole in the wall’ of your bank’s ATM machines? Use the videos on MyOMLab to look further at operations in practice. The Short cases. Use the diagrams and models to describe some of the examples that are contained within the chapter. and Operations in practice pieces in the book. Step 6 Use your own experience. there are plenty of us who. You can also use the revision pod casts on MyOMLab. I mean really. Log on (www. while fairly good. if you are studying operations management. Case studies.com). Both the chapters of the book. (b) Second.myomlab. Use websites that you trust – we’ve listed some good websites at the end of each chapter and on MyOMLab. really good! But. you will pass with ﬂying colours! Step 9 Remember not only what the issue is about. if you can do (a) you will pass. allow you to develop ideas. Use the Key questions and the Problems and applications to check your understanding. Step 2 Remember a few key models. show that you can discuss and analyse the issues critically. and the exercises on MyOMLab. Use the Critical commentaries within the text to understand some of the alternative viewpoints. Step 10 Start now! Don’t wait until two weeks before an assignment is due. you’re experiencing an opportunity to apply the principles of operations management. Case studies and ‘Operations in practice’ sections. demonstrate your knowledge and understanding. You’ll get more credit for using references that come from genuine academic sources. try following these simple steps: Step 1 Practice.
Robert Johnston is Professor of Operations Management at Warwick Business School and its Deputy Dean. especially ﬁnancial services. In addition to lecturing on a range of operations courses at the Business School and in industry. He also acts as a consultant to many international companies around the world in many sectors. Alan Harrison. 1991. His research is in the operations and manufacturing ﬂexibility and operations strategy areas. He began his career as an undergraduate apprentice at Rolls Royce Aerospace. As a specialist in service operations. The Blackwell Encyclopedic Dictionary of Operations Management (with Michael Lewis) published by Blackwell in 2005. He worked initially as an industrial apprentice in the hand-tool industry and then as a production engineer and production manager in light engineering. He holds a Bachelor’s degree in Engineering and Master’s and Doctor’s degrees in Management. transport. In his mid-thirties and seeking a career change. where he has been since 1988. he studied for an MBA. and Making Management Decisions (with Steve Cooke).About the authors Nigel Slack is the Professor of Operations Management and Strategy at Warwick University. and then took up a three-year contract as a researcher in manufacturing strategy. Previously he has been Professor of Service Engineering at Cambridge University. Service Superiority (with Robert Johnston). He is the author of many books and papers in the operations management area. published by Prentice Hall. Operations Strategy together with Michael Lewis. as well as chapters in other texts. now in its 3rd edition (2008). including The Manufacturing Advantage. He continues to maintain close and active links with many large and small organizations through his research. published by Financial Times Prentice Hall. numerous papers and case studies. leisure and manufacturing. published by Routledge in 2003. management training and consultancy activities. He is the founding editor of the International Journal of Service Industry Management and he also serves on the editorial board of the Journal of Operations Management and the International Journal of Tourism and Hospitality Research. Stuart Chambers is a Principle Teaching Fellow at Warwick Business School. Oxford. Stuart Chambers and Christine Harland) third edition published by Financial Times Prentice Hall in 2003. his research interests include service design. Service Operations Management (with Graham Clark). 1991. This work enabled him to help executives develop the analyses. He has authored numerous academic papers and chapters in books. Professor of Manufacturing Strategy at Brunel University. He is the author of the market leading text. He is the author or co-author of many books. service recovery. and is a chartered engineer. published in 1993 by EUROMA and Cases in Operations Management (with Robert Johnston. performance measurement and service quality. and then worked in production and general management with companies including Tube Investments and the Marley Tile Company. Several of the case studies prepared from this work have been published in an American textbook on manufacturing strategy. concepts and practical solutions required for them to develop manufacturing strategies. . published by Mercury Business Books. Before moving to academia Dr Johnston held several line management and senior management posts in a number of service organizations in both the public and private sectors. a University Lecturer in Management Studies at Oxford University and Fellow in Operations Management at Templeton College. graduating in mechanical engineering. he undertakes consultancy in a diverse range of industries and is co-author of several operations management books. the second edition published by Financial Times Prentice Hall in 2008 and Perspectives in Operations Management (Volumes I to IV) also with Michael Lewis.
Cranﬁeld University. Amrik Sohal of Monash University. Dick Wheeler. Helen Walker. Nicola Burgess. Keith Gofﬁn. Alan Harle of Sunderland University. Richard Small. Reading University. Liverpool University. John Meredith Smith of EAP. David Twigg of Sussex University. John Maguire of the University of Sunderland. Oxford. Mary Walton is coordinator to our group at Warwick Business School. Cranﬁeld University. Joanne Chung of Synter BMW. Dr J. Helen Valentine of the University of the West of England. Brian Jefferies of West Herts College. Dan McHugh of Credit Swiss First Boston. Alan Betts of ht2. David Nichol of Morgan Stanley. Johan Linden of SVT. University of Southern Denmark. Dan Chicksand. Finally. Nigel Slack Stuart Chambers Robert Johnston . Hamilton. Dr Ebrahim Soltani of the University of Kent. Stephen Disney. Florida. Simon Croom. David Garman and Carol Burnett of The Oakwood Partnership. Elizabeth Wright and Colin Reed. Eamonn Ambrose of University College. Especial thanks to Matthew Walker. Michael Shulver. Alex Skedd of Northumbria Business School. Matthias Holweg. Michael Milgate of Macquarie University. colleagues and company contacts. Adrian Morris of Sunderland University.org for case writing help and support. Ian Sadler of Victoria University. Roger Maull. Catherine Hart of Loughborough Business School. Peter Race of Henley College. Peter Burcher of Aston University. Martin Spring of Lancaster University. Michaelis Giannakis. We thank Pär Åhlström of Stockholm School of Economics and Alistair BrandonJones of Bath University for assistance well beyond the call of duty. We are also grateful to many friends. Bath University. Denis Kehoe. We were lucky to receive continuing professional and friendly assistance from a great publishing team. University of San Diego. To Angela – our thanks. Norma Harrison of Macquarie University. Chris Morgan. both by contributing ideas and by creating a lively and stimulating work environment. Her continued efforts at keeping us organized (or as organized as we are capable of being) are always appreciated. Ruth Boaden of Manchester Business School. Catherine Pyke and Nick Fudge of Lower Hurst Farm.Acknowledgements During the preparation of the ﬁfth edition of this book. Paul Coughlan. John Pal of Manchester Metropolitan University. Hans Mayer and Tyko Persson of Nestlé. and largely word processed by Angela Slack. John Matthew of HSPG. Paul Forrester of Keele University. Nick Wake. In particular thanks for help with this edition goes to Philip Godfrey and Cormac Campbell and their expert colleagues at OEE. Ran Bhamra. Our thanks go to everyone who attended these sessions and other colleagues. an heroic effort. Our thanks go to Jannis Angelis. Philippa Collins of Heriot-Watt University. Mike Lewis. and Shirley Johnston for case writing help and support. but never more so than when we were engaged on ‘the book’. Clive Buesnel of Xchanging. all six editions were organized. John K Christiansen of Copenhagen Business School. and Paul Walley. Mickey Howard. Sydney. Ian Holden of Bristol Business School. Leigh Rix of The National Trust. Bart McCarthy. Stratton of Nottingham Trent University. Tom Kegan of Bell College of Technology. Zoe Radnor. It was. Loughbrough University. yet again. Charles Marais of the University of Pretoria. Exeter University. and Simon Topman of Acme Whistles. Cardiff University. Professor Roland van Dierdonck of the University of Ghent.C. Oxford University. Rhian Silvestro. R. Tony Dromgoole of the Irish Management Institute. Carsten Dittrich. Chris Hillam of Sunderland University. David Evans of Middlesex University. Our academic colleagues in the Operations Management Group at Warwick Business School also helped. Henrique Correa of Rollins College. Dirk Pieter van Donk of the University of Groningen and Peter Worthington. John Tyley of Lloyds TSB. Professor Sven Åke Hörte of Lulea University of Technology. Peter Norris and Mark Fisher of the Royal Bank of Scotland. Michael Purtill of Four Seasons Hotel Group. Nottingham University. Trinity College Dublin. Ian Graham of Edinburgh University. the authors conducted a number of ‘faculty workshops’ and the many useful comments from these sessions have inﬂuenced this and the other books for the ‘Warwick group’. Doug Davies of University of Technology. Bath University. de Haan of Tilburg University. Harvey Maylor of Cranﬁeld University. Peter Long of Shefﬁeld Hallam University. Keith Moreton of Staffordshire University. Dublin. Steve New. Cambridge University. Dr Nelson Tang of the University of Leicester.A. Supply Network Solutions. Colin Armistead of Bournemouth University. Exeter University. Also. Andi Smart.
pp. 74 Alamy Images: Bernhard Classen. 499 Corbis: Eleanor Bentall. 41–50 (Parasuraman. Rex Features: Richard Jones (cr). Getty Images: AFP (b). 2002). 465 Alamy Images: Oleksandr Ivanchenko. 116 Alamy Images: Adrian Sherratt. A. 387 Virgin Atlantic. 602 Rex Features: Action Press. 46 Alamy Images: David Hoffman Photo Library..4 adapted from A conceptual model of service quality and implications for future research. 213 Rex Features. 500 Alamy Images: Les Gibbons. Rex Features: Per Lindgren. 638 Photographers Direct: Awe Inspiring Images. and Harrison. Frank C.. 186 Cadbury World: (t). McGaughey. Corbis: Claudio Peri/epa (br). Corbis: Marijan Murat/epa (b). 120 Getty Images. 281 Alamy Images: Ian Miles/Flashpoint Pictures. © 2003 Silicon Graphics. 34 Rex Features: Jurgen Hasenkopf. We would be pleased to insert the appropriate acknowledgement in any subsequent edition of this publication. 592 Alamy Images: Dinodia Images. 57 Alamy Images: Tim Graham. 14 Alamy Images: Alex Segre. Stuart Pearce (b). A. 572 Science Photo Library Ltd: Simon Fraser. 385 TDG Logistics. 417 Alamy Images: A T Willett.org (t). Rex Features: Per Lindgren (bl). 374 Alamy Images: Imagebroker. 42 Alamy Images: David Hoffman Photo Library (cl). 556 Rex Features: Charles Knight. 356 Howard Smith Paper Group. 145 Rex Features: Image Source.D. International Journal of Production Economics. 224 SVT Bengt O Nordin. 496 Four Seasons Hotels: Robert Miller. 440 Rex Features: Burger/Phanie. 87 Getty Images: AFP. 210 Corbis: Yiorgos Karahalis. 622 Getty Images: Paul Vismara. 577 Alamy Images: Imagina Photography. 8 ACME.A.Acknowledgements xxv Publisher’s acknowledgements We are grateful to the following for permission to reproduce copyright material: 93 Getty Images: Burje/Triolo Productions (tr).A. 151 Getty Images: AFP. Rex Features: Per Lindgren (bl). 407 © RollsRoyce plc. G. 162 Corbis: Jacques Langevin. Figure 17. 68 Alamy Images: Rob Crandell. 33 Alamy Images: Craig Ingram. 649 Corbis: Ultraf. Getty Images: Siri Stafford (tl). 41 Alamy Images: David Hoffman Photo Library (tl). 369 Alamy Images: Archive Berlin Fotoagentur GmbH. 216 Rex Features. p. and we would appreciate any information that would enable us to do so. 75. 49. 185 –97 (Gunasekaran. R.. 458 Corbis: Jane-Philippe Arles / Reuters. 122 Photographers Direct: Martin Karius. C. Used. 230 Press Association Images: ECKEHARD SCHULZ/AP. 147 Getty Images: AFP. . 248 Getty Images. 107 Alamy Images: Michael Jones. 1985). 43 Corbis: Bernardo Bucci. 7 Alamy Images: Chris Rout (c). 414 Alamy Images: Bon Appetit. 237 Alamy Images: David Hancock. 402 Press Association Images: JAVA/ABACA. 61 Corbis: Thomas White (b). 398 Getty Images: AFP. 9 Rex Features: Brian Rasic. 234 Alamy Images: Ashley Cooper. 304 Alamy Images: Medical-on-Line. 44 Alamy Images: David Hoffman Photo Library (tl). 95 © The Royal Bank of Scotland Group plc. 475 Image courtesy of Silicon Graphics. 1987) Springer. David Hoffman Photo Library (tl). 298 Wincanton. 1983). Marri. M. 250 Rex Features: Voisin Phanie. Rex Features: Per Lindgren (cl).11 from ‘Strategies for implemeting JIT’ in Just in Time Manufacture IFS/Springer-Verlag (Voss. In some instances we have been unable to trace the owners of copyright material. 505 Alamy Images: Daniel Jones. 92 Corbis: Construction Photography (cr). 207 Rex Features: Action Press. (1983) ‘Principles of Motion Economy: Revisited. 247 Corbis: Reuters. 294 Courtesy of Arup. 410 Courtesy of SAP (UK) Limited. 178 Alamy Images: British Retail Photography. 384 Corbis: Joes Luis Pelaez.2 adapted from Adapted from Barnes. Ulrich Perrey/epa (t). Fall. 642 Alamy Images: PSL Images. Photographs The publisher would like to thank the following for their kind permission to reproduce their photographs: 3 Alamy Images: Neil Cannon. 548 Rex Features: Dan Tuffs. Getty Images: David Sacks (b). pp. All other images © Nigel Slack. et al. Stuart Chambers and Robert Johnston Every effort has been made to trace the copyright holders and we apologise in advance for any unintentional omissions. 309 British Airways. Golden Pixels/LLC (b). Rex Features: Per Lindgren (cl). Inc. Inc. and Restored’. American Marketing Association. 430 Corbis: Denis Balihoudr. Proceedings of the Southern Management Association Annual Meeting (Atlanta. 49 Alamy Images: Bildagentur-online (b). 47 BBC Photo Library: Jeff Overs. Courtesy of Arup: (cr). 211 YO! Sushi: Jonathan Roberts. vol. H. 488 Corbis: Eric K K Yu.E. Elsevier.1 after E-commerce and its impact on operations management. 251 Getty Images: Williams & Hirakawa. 379 Getty Images: Getty Images News. 541 Getty Images. and Nebhwani. 220 Photographers Direct: Andy Maluche. 90 Getty Images. Journal of Marketing. 317 Press Association Images: Orlin Wagner/AP. 139 Corbis: Gianni Giansanti /Sygma. Heinz von Heyenaber (br). 418 Corbis: Mark Cooper. 113 Rex Features: Action Press. A. 633 Rex Features: Design Pics Inc. 94 Alamy Images: Directphoto. Tables Table 8. 27 Alamy Images: Adrian Sherratt. 310 Corbis: G Flayols /Photocuisine. Reviewed. 292 Robert Wiseman Dairies. 341 Alamy Images: Van Hilversum. Table S9.B. 273 Getty Images: AFP. 298. 269 © BMW Group. Figures Figure 15. Rex Features: Action Press (t). Honda: (tr).
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