PEMBAHASAN ARTIKEL

OPERATIONS MANAGEMENT PROCESSES AND SUPPLY CHAINS

Disusun Untuk Memenuhi Tugas Mata Kuliah Manajemen Produksi

Disusun Oleh :

Pranantyo Hendri Utomo, SE, M.Kom NIM. 2M2.11271

PROGRAM PASCA SARJANA MAGISTER MANAJEMEN FAKULTAS EKONOMI SEKOLAH TINGGI ILMU EKONOMI BANK BPD JATENG 2012

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CHAPTER 1 TOUR 1

Destination: LOral Cosmetics

Instructions: This web site provides a virtual factory tour of LOral, "where beauty and productivity go hand in hand." Read about the plant and take the manufacturing and laboratory tours offered on this page. 1. What is LOral's approach to safety, health, and the environment? a. Safety ang Healt LOral takes safety very seriously and, company before it was required by law, company had put in place a safety evaluation team to ensure the safety of company products for both professionals and consumers. Company International Safety Evaluation Division uses a multi-disciplinary scientific approach to evaluate the safety of company products, ensuring that company commitment to product safety is upheld at every stage in the products life. This safety assurance procedure includes an assessment based on the latest medical and scientific research, rigorous safety evaluations of ingredients as well as finished products, examination of the effects of cumulative product use and ongoing safety monitoring once a product is on the market. Product safety studies are designed and monitored and their results interpreted and evaluated by scientists who are specially trained and experienced in safety evaluations. Step 1 : Review of Available Safety Information on the Ingredients. Step 2 : Safety of the Ingredient in the Context of the Finished Product. Step 3 : Approving Safe Concentrations of the Ingredients. Step 4 : Safety Testing of the Finished Product. Step 5 : Safety Validations for the Finished Product. Step 6 : Product Launch and Post-Market Surveillance LOral integrates the principles of sustainable development into all stages of a products life cycle, from its design to its use by the consumer. For many years now, the group has been committed to an eco-responsible approach as regards the impact of its activity and aims for excellence in terms of environmental performance. In 2011, thanks to the mobilisation of all the teams in the field, further progress in reducing the environmental footprint was achieved, focusing on two strategic areas: the efficiency of resources and technological innovation projects.

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b. Environment As part of its 10-year environmental strategy (2005-2015), LOral has set three clear targets for its plants and distribution centres: to reduce by 50% greenhouse gas emissions (in absolute value), water consumption per finished product unit and waste production per finished product unit. For L'Oral, being the leader implies being a responsible company whose relations with others are beyond reproach, whether they be staff members, suppliers or partners. As a community-spirited company, L'Oral's first duty is to provide a healthy, risk-free working environment to its staff. The group also pays close attention to managing its talents. Taking care of them, focusing on their human qualities as well as their performance and looking beyond the mere compatibility of profiles with the group's needs are key elements in the group's policy. In 2011, the Human Resources teams continued to be driven by these goals, especially in making the most of the wide-ranging cultures in LOral subsidiaries and staff. Being responsible also means building solid, transparent relations with the groups suppliers, and making them more than just commercial connections. This year, thanks to a new guide, the Purchasing teams have reaffirmed their ethical commitment in their dealings, and proved their desire to see suppliers as real partners in shared growth. Being responsible means that LOral needs to take account of major global issues in terms of sustainable growth, and raise awareness in the groups stakeholders every time the opportunity arises. This is the goal pursued by the Professional Products Division, which throughout the year continued to open "Green Academies": the new training centres with their entirely environmentally-friendly design. For L'Oral, attentiveness to others and excellence are inseparable, because the group is convinced that success in its business lines is also due to the way it run them: with humanity and community spirit. 2. How does LOral ensure quality throughout their supply chain? a. What does FSC certification involve? FSC certification guarantees that the forests where cardboard and paper comes from are managed in a responsible way, i.e. a way that is environmentally appropriate, socially beneficial and economically viable. For instance, this certification imposes respect of the laws of the country concerned and the rights of the indigenous population and workers, along with the protection of biological diversity, water resources, soils and landscapes, particularly in Forests of High Conservation Value. The wood taken from FSC-certified forests is then transformed by FSC-certified companies in order to ensure its traceability right along the chain. The finished product carries an FSC label in order to assure the end consumer that it comes from a

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responsibly managed forest. This is the case with the packaging from certain L'Oral Group brands. Today, the trustworthiness and guarantees provided by FSC certification an independent label are recognized by leading international environmental NGOs such as the WWF. b. What does customer work with LOral consist in? Many L'Oral brands are now using FSC-certified packaging. In 2010, L'Oral became a member of FSC France, and pays an annual membership fee. It plays a role in electing the Board of Directors and in the association's governance and decisionmaking. In exchange, company provide L'Oral - as well do with all company members - with technical and communication support. Company work as a team with L'Oral in drawing up an in-house guide on the use of the FSC brand on packaging. L'Oral's exemplary commitment - its packaging for Garnier is a specific example - is often hailed by FSC France during conferences and other events. The idea is to show consumers what the FSC label is all about, raise their awareness with regard to the preservation of forests and prove to them that they too can support the cause by purchasing products with this label. c. Whats Customerr View Of L'orals Fsc Initiative? LOral is strongly committed to raising consumer awareness by including the FSC label on packaging that has come from certified forests, accompanied, where possible, by an explanatory label. This has not been straightforward, as L'Oral has had to inject impetus all the way along its supply chain in order to get its suppliers rapidly certified too, which is essential. In order to protect the forests and the people that depend on them, company need consumers of wood and paper products to commit to purchasing FSC-certified products. Its a virtuous circle, as by using FSC packaging, LOral is not only helping to increase demand for certified paper and cardboard and thus to extend FSC certification in the worlds forests, but company are also helping to raise awareness among consumers, who will in turn buy more certified products. 3. What are some strategic, tactical, and operations decisions LOral operations managers face and how might they vary from country to country? LOreals professional products division leads its industry through servicing salons with product support, training, merchandising, and market insights. The use of structured innovation methods of how salons operate and service their customers would create new insights and product development opportunities. Innovating where L'Oreal is regarded as the best in the industry would reinforce its leadership status. As the leader in beauty, LOral has set itself the mission of providing everyone with the very best cosmetics has to offer. Because there is no single model for beauty but

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an infinite diversity, and because all of the worlds populations have their own specific features, rituals and consumer habits, LOral Research and Innovation decided to make knowledge of the consumer the focus of its activities. In 2011, the group made further progress in constantly adapting its products to reflect local characteristics. Making beauty accessible to the vast majority of people also means controlling the parameters specific to each zone in terms of consumption modes, purchasing power, distribution and packaging. From Development to Marketing and Production, all the teams rally around to fine-tune awareness of consumers needs and provide innovative responses for their requirements. Geocosmetics As a result of its ever-reinvented culture of awareness and accessibility, LOral has indepth knowledge of not only skin and hair types the world over, but also of beauty rituals. Consequently, LOral can offer products that reflect the specific needs and expectations of a given population. Products accessible to the vast majority of people Today, the werstern world is no longer the dominant market in the cosmetics industry. Winning over new consumers while ensuring they have access to products involves continuously working to tailor product prices to the diversity of local population groups.

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CHAPTER 3 TOUR 1

Destination: Leannie Company Doll Factory

Instructions: The Leannie Company Ltd., is a full-service doll/bear accessories and doll products specialist. Explore this site in its entirety; dolls and doll accessories are extraordinarily complex! Note especially the statements made on the introductory factory tour page and the FAQs page.

1. What choices has the Leannie Company made regarding the four major process decisions? a. Owing to company experience, Company can manage a customer request from the initial design phase through production and inspection to final shipping and delivery on time, on quality, and competitive in costings. b. Rather than having to deal with many parties customerrself, Company offer customer the convenience of a high quality one-stop-shop at very competitive prices 2. Where do they fit in the product-process matrix? a. On all raw materials - (e.g. initial developmental or tooling works for dolls; fabrics for the doll clothes; leathers or plastics for the doll shoes; hair fiber for the doll wigs; etc.) - company raw material suppliers would require some kind of product on us irregardless if company wish to make ten of thousand of pieces or just a few samples. Such limitations must be reflected - at least in parts if not in whole. b. For production efficiency purposes, certain product quantities are needed to reach production efficiency and economy of scale. The product quantities - as company had requested here - helps to make such production efficiencies possible - resulting hopefully in cost & production efficiency. The alternative to no M.O.Q. or little product s is for us to work inefficiently and forcing us to charge expansive unit prices normal for made-to-order custom made items. c. The products, as company had quoted here, already reflects a lot of company past hard works and past efforts, on company part, to lower the products as much as possible. On this web site, company are already offering the lowest products around much lowerr than similar quantities company competitors would normally request. 3. How would customer describe their production and inventory strategy? a. Avantages of using small electric rotational vinyl production ovens

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b. Flexible quantities to company clients: With these smaller 12" diameter rotational racks, less rotational molds are needed. This means lesser quantity production runs are possible. c. Less start up costs: Lesser rotational production molds means less start up tooling costs. The savings go directly to, customer, the client. d. Cleaner and better finished vinyl dolls: Electric ovens means cleaner and better products - a benefit to both the finished vinyl doll and the environment. e. (To handle the bigger, more quantity oriented jobs, of course there are still the bigger 21" racks Bigger Brother ovens.)

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CHAPTER 3 TOUR 2

Destination: LA Aluminum Casting Company

Instructions: LA Aluminum Casting Company produces aluminum parts made to customer specifications. Take their virtual tour and review the information in the About Us and FAQs sections.

1. Where does this company fit in the Product-Process Matrix? L A Aluminum was founded in Burbank, California as Los Angeles Aluminum Casting in 1947 by Robert Oswald, Sr. and his wife, Helen, as a two person shop located in a small Quonset hut. Robert Oswald had a mission statement: "Every customer is critical to company success and company gladly serve each with the commitment to excellence and the willingness to do whatever it takes to provide service that's exceptional." With this philosophy the business grew very quickly, and the expanding operation was relocated to Gardena, California. Further augmentation prompted another move in 1966 to Harbor City, California. In 1972, the Oswalds relocated to the present location in Hayden Lake, Idaho and shortened the name to L A Aluminum Casting Company. 2. What is LA's production and inventory strategy? With company acquired knowledge from over sixty five years of experience and with company focus on continuous improvement company will continue to provide the best permanent mold castings available to company customers. Company have the equipment, the tools, and most importantly, company have the people that are committed to lead the industry. L A Aluminum Casting produces the highest quality products at competitive prices. Company are the single source manufacturer, committed to company customers' needs. 3. What lacustomert(s) would be most suitable for LA Aluminum Casting Company? Permanent molds, the L A Aluminum way, are the best choice for all of customerr casting needs. A permanent mold will provide customer with a corrosion resistant, strong, attractive and cost effective product that will give customer years of reliable service.

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CHAPTER 4 TOUR 1

Destinations: Androsia Hershey Foods Corporation

Instructions: Androsia manufactures batik fabrics in a labor intensive, low-volume process at their plant on the island of Andros in the Bahamas. The Hershey tour shows how cocoa beans are processed into chocolate using a high-volume, line process.

1. Which process design strategy does each employ? After a design is chosen, wax is carefully hand applied by using a variety of objects. Everything from tjantings (Indonesian wax "pencils") to stamps, turkey basters, paint rollers, paint brushes, and other tools are used to create the unique designs. These company have adapted for different design purposes. Batik is a resist process. The design is printed on the fabric with wax. As customer will notice, although this is a production process, each yard is hand done. This means every yard will be unique. Please feel free to step into the room and ask any questions, but mind the wax pots. While the design is being waxed, the Androsia name is also incorporated into the design, twice on each yard of fabric. After waxing, the fabric is ready to dye.

2. Why would these two processes be configured differently? A labor intensive, low-volume process : Company fabric designs come out of the cloth using the art of batik, True batik. Every yard is waxed then dyed then cut and sewn right here at Androsia. From time to time customer will see us offer complimenting pieces that do not have a design. Company will have hand dyed that fabric to match. Company consider theirselves a leader in the world in being able to reproduce shades that match each other very company. Please be aware that company cannot guarantee exact matches because every yard is hand dyed. The work in the sewing room is done on a teamwork concept. Quality is a number one priority. A method of piecework is utilized where every garment is timed. The team is paid for the garment as it is completed. Bonuses and incentives are involved. Two or three individuals make up a team. There are full inspection stops for each garment sewing, clipping, pressing and shipping.

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3. What process management issues would be faced in one facility that would hardly be an issue in the other? In Dye process : The small room with the window is company dye refrigerator where company stock company cold water reactive dyes. These dyes are expensive, but they yield some of the brightest colours in the world. They also display some of the best light fast, wash fast and colour fast properties. Company dye using the exhaust method. The wax is removed after the fabric has been dyed.

4. What competitive priorities are important for each? All Androsia pieces (with design or not) are preshrunk because of how company remove the excess dyes and wax. Androsia is very easy care, once customer wash it by itself in hot water to remove the excess dye (any dye that comes out will not change the color) customer can wash the item anyway customer want without fear of damaging it. Customer most certainly do not have to dry clean or hand wash.

5. How does configuring facilities in the way they do allow them to be competitive in their market? 1. Choose the Style: Androsia now offers almost 150 garments, accessories, items for the home, and fabric by the yard - which are previewed company online shopping cart. Customer choose the items customer wish to order stock design and color of customerr choice. 2. Choose the Fabric Type: Androsia offers 4 fabric types: Cotton Broadcloth, Cotton Voile, Cotton Mommie, and Canvas. 3. Company can do any special order customer like using customerr own logo, or any of company designs in company Fabric Design Catalog. These orders require a minimum order of 30 yards of Cotton or Voile, 25 yards of Mommie Cloth, or 17 yards of Canvas.

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