Operation Management, Supply Chain Management and 6 Sigma .

Marketing and Sales

Supply Chain Management

Finance And Accounting

Human Resource

(H.R)

ØMarketing of a product.

ØTaking sales order.

ØAnalyze and Improve the process flow.

ØEvaluation of cost

ØProcurement

ØManage labor and their policies

ØCustomer Support.

ØCustomer Relationship management.

ØEmploy better transport strategies

ØEnlist all Material and make Invoices

ØSanction transport services

ØSales Forecasting

ØAdvertising

ØWorks as per feedback from the customer.

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ÒIt is an integrated process that includes all activities running in an organization to produce the desired output.

ÒAn operations system includes, for example:

• inputs -- such as expertise, best practices, funding, equipment, facilities, and technologies, as well as the customer's feedback and the overall organization's strategic priorities.

• processes -- such as planning (capacity, product and service design, production, facilities, jobs, inventory, quality control, etc.) and managing productivity to produce high-quality products and services.

• outputs -- high-quality products and services.

• outcomes -- very satisfied customers.

üRaw material.

üHuman resource.

üTechnology.

üCapital Plant and Equipment.

üInformation and Knowledge (Centralized Platform)

ÒForecasting - Component that caters to historical data, facts, figures, and statistics within the organization.

ÒLocation strategies - Oversees product base, market base, and vertically differentiated locations.

ÒMaintenance - Locates methods to reduce the frequency of failures within the production facility.

ÒPurchasing - Could be either centralized, decentralized, or combined.

ÒScheduling - Pertains to the scheduling of equipment or labor.

ÒTotal Quality Management (TQM) - Enables the organization to work toward zero defects within the organization.

Quality - The overall ability to meet consumer expectations in terms of product quality

ØJust In Time - System that will match stock availability with demand; can also have stock arriving exactly when needed.

ØMaterials Requirements Planning - Effectively manages inventory levels to ensure cost reduction.

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ØProcess and System Performance - Measured through examination, capacity utilization, or production.

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ØLayout of Facilities - Ensure a smooth workflow.

ØInventory Management - Adequately controlling stock within an organization.

ÒIt is defined as the flow of processes of goods and services

ÒSCM involves the movement and storage of raw material from point of origin to point of consumption

ÒIt is also known as the linkage of raw material, supplier, manufacturing, distribution retail location to customers.

7 primary functional areas of SCM.

• Purchasing.

• Manufacturing.

• Inventory management.

• Demand Planning.

• Warehousing.

• Transportation.

• Customer Services.

Essential Supply Chain Management tool

• Shipping Status Tool.

• Order Processing Tool.

• Lean Inventory Tool.

• Warehouse Management.

• Special Freight Handling.

• Bid and Spend Tool.

• Supplier Management.

• Compliance Tools.

• Demand Forecasting

• Analytics and Report.

• Collaboration Portals.

• Security Features.

• Logistics (Inbound and Outbound).

Logistics is used more broadly to refer to the process of coordinating and moving resources – people, materials, inventory, and equipment – from one location to storage or warehouse at the desired destination.

Logistics refers to what happens within one company, including the purchase and delivery of raw materials, packaging, shipment, and transportation of goods to distributors.

Overview of six sigma methodology

• Six Sigma is a set of management tools and techniques designed to improve business by reducing the likelihood of error.

• It is a data-driven approach that uses a statistical methodology for eliminating defects.

• The etymology is based on the Greek symbol "sigma" or "σ," a statistical term for measuring process deviation from the process mean or target.

  Overview of DFSS

• Design for Six Sigma is an approach to designing or redesigning a product and/or services to meet or exceed customer requirements and expectations.

• DFSS is an enhancement to your new product development process, not a replacement for it.

• A documented, well-understood, and useful new product development process are fundamental to a successful DFSS program.

  Why Design for six sigma

• DFSS ensures that the Product/Service meets customer requirements and that the process of this Product/Service is already at Six Sigma level.

• The intention of Design for Six Sigma is to bring such new products and/or services to market with a process performance of around 4.5 sigma or better, for every customer requirement.

The 5 Key Principles of Six Sigma

1. The concept of Six Sigma has a simple goal – delivering near-perfect goods and services for business transformation for optimal customer satisfaction -

1. Focus on the Customer:-

• This is based on the popular belief that the "customer is the king." The primary goal is to bring maximum benefit to the customer.

• This requires establishing the standard of quality as defined by what the customer or market demands.

2. Measure the Value Stream and Find Your Problem:-

• Map the steps in a given process to determine areas of waste. Gather data to discover the specific problem area that is to be addressed or transformed.

• Identify the problem. Ask questions and find the root cause.

3. Get Rid of the Junk:-

• Once the problem is identified, make changes to the process to eliminate variation, thus removing defects.

• Remove the activities in the process that do not add to the customer value.

In the end, by taking out the above-mentioned junk, bottlenecks in the process are removed.

4. Keep the Ball Rolling:-

• Six Sigma processes can have a great impact on an organization, so the team has to be proficient in the principles and methodologies used.

• Hence, specialized training and knowledge are required to reduce the risk of project or re-design failures and ensure that the process performs optimally.

5. Ensure a Flexible and Responsive Ecosystem:-

• When a faulty or inefficient process is removed, it calls for a change in the work practice and employee approach.

• A robust culture of flexibility and responsiveness to changes in procedures can ensure streamlined project implementation.