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

Difference between, Give difference between assembler, compiler and interpr...

Give difference between assembler, compiler and interpreter

Explain disadvantages of end-user computing, Discuss the advantages and dis...

Discuss the advantages and disadvantages of end-user computing and determine if this is an application that should be progressively pursued. Explain your rationale

Explain direct effects and indirect effects of goals, What is the differenc...

What is the difference between direct effects and indirect effects of Goals on choice of strategy?

Explain development of the germ theory of disease, In the 19th century hosp...

In the 19th century hospitals had notorious reputations questionable places to visit, risky places to stay. What advances changed all this? a.development of the germ theory of d

Explain what are the advantages of adopting this technology, An accounts re...

An accounts receivable manager processes 200 checks per day with an average process time of 15 working days. What is the average number of accounts receivable checks being processe

Briefly explain the matrix form of organization design, Briefly describe th...

Briefly describe the matrix form of organization design. List its advantages and disadvantages. This structural form is most likely to be used under what conditions?

Compute the estimated sample size needed, Practical Application Scenario 2 ...

Practical Application Scenario 2 To complete this scenario, use the Sample Size Estimator file provided in the Resources. The third shift at Microsoft's Windows' security uni

Explain how would you measure marketing productivity, How would you measure...

How would you measure marketing productivity? What measures would you use and why? Explain.

Explain capacity planning and how a company benefits, Please give your opin...

Please give your opinion on the paragraph below in just a few short sentences. Advertisers use case studies to add credibility to what they're saying their product is capable of do

Define what differences exist in their operations strategies, Using the inf...

Using the information about Pal's Sudden Service provided in this chapter, apply Hill's generic strategy framework in a similar fashion as the McDonald's example. How do the strate

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