Ultimate objective, Operation Management

Assignment Help:

Ultimate Objective

1. Manufacturing costs: The unit cost of the product should  be estimated carefully and every effort should be made to stick to the cost standards. For  this purpose the efforts must be made to separate the costs into two direct costs and variable costs. Efforts should be made for the followings.

  • Reduction in the  variable costs,
  • Reduction in the fixed costs.
  • Raise in the volume of production and hence the fixed costs may be spread over more production resulting in the reduction in the per unit absorption.
  • The allocation of the fixed overheads should be made on scientific basis.

 

2. Product Quality: Generally the product quality standards are often established by  the product specifications or by the  consumers.The manufacturing organization should try  to translate such  quality prescriptions  into some  measurable objectives. It must be noted that the product feature comes in conflict with the manufacturing cost objective and the manufacturing time schedule. The safeguarding of the quality must not result in increase in manufacturing costs or delay in the production. A proper balance should be maintained among quality and costs as well as quality and time schedule.

3. Manufacturing  Schedule: There are many forces which  compel  side tracking  in the  manufacturing activity. The time plan  must not be set for the  shipment alone it should be broken up into all the sub systems like operating cycle time inventory turnover rate, machine utilization rate direct and indirect man hours per unit, capacity utilization machine and labour idle time set up repair and maintenance time etc. Time schedule objective directly affects the cost quality and the goodwill of the business in terms of regularity of shipment.


Related Discussions:- Ultimate objective

Explain jit for organization, Just-in-Time (JIT) Please respond to the foll...

Just-in-Time (JIT) Please respond to the following- • Develop three examples that illustrate how a manufacturing company of your choice uses JIT, and then determine three to fou

Explain supply chain management solution, Describe for Bill what a Supply C...

Describe for Bill what a Supply Chain Management (SCM) solution would look like for his UMUC Pizza business and how his business could benefit from implementing an SCM solution

Explain various stressors in such an environment, Today, employers are usin...

Today, employers are using employees more and more in a matrixed environment. What does that mean? How can we contend with the various stressors in such an environment? How do we m

Explain the financial ratio analysis on harley davidson inc, What is the fi...

What is the financial ratio analysis on Harley Davidson Inc 2008?

Explain hamilton marketing services, Could someone help me to figure out th...

Could someone help me to figure out this case? Thanks very much. Alex Hamilton founded Hamilton Marketing Services in 1999 after leaving a major marketing consulting firm in Chicag

Explain faster operating system for netbooks, Assume you work for a small f...

Assume you work for a small firm that developed a better and faster operating system for netbooks than Microsoft Windows. What strategy might the firm use to unseat Windows in this

Generate a decision tree to help expando, Expando, Inc., is considering the...

Expando, Inc., is considering the possibility of building an additional factory that would produce a new addition to its product line. The company is currently considering two opti

Explain the nature of leadership and relate leadership, A: Describe the nat...

A: Describe the nature of leadership and relate leadership to management. B: what are the distinctions between management and lead?

Explain opportunity of working, What are activities that are carried out at...

What are activities that are carried out at a national union convention, and why does this type of venue allow for the Democratic process to have an opportunity of working?

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd