29 March 2014

world class manufacturing

World Class Manufacturing
       Everyday the markets are becoming global
       Business and operations accordingly become global
       A multi-national corporation is a firm that has extensive involvement in international businesses in more than one country
       A global company is a firm that integrates operations from the world as a single market place.
       Objective of global operations
ü  Reduce cost (labour, taxes etc)
ü  Reduce risks (foreign exchange)
ü  Improve supply chain
ü  Provide better goods and services
ü  Attract new markets
ü  Learn to improve operations
ü  Attract and retain global talent.
        The various factors affecting the global conditions are:-
ü  Reality of global competition
ü  Quality customer service and quality challenges
ü  Rapid expansion of advanced manufacturing technology
ü  Continuous growth and importance of service sector
ü  Scarcity of production resources
ü  Social responsibility issues.

       The global conditions facilitate the company to form strategic alliances with the foreign companies to exploit global business opportunity:
ü  World class company uses T.Q.M culture for perfect quality
ü  It develops quickly innovative products and responds quickly to customers need.
ü  Use of ISO 9000
ü  JIT manufacturing to reduce inventory costs and makes their operations flexible.
ü  The uses of automation in production and service operation (manufacturing technology and information technology) .
       Advanced production technologies used for world class manufacturing:
ü  Computer Aided Design (CAD)
ü  Computer Aided Manufacturing (CAM)
ü  Flexible Manufacturing Systems (FMS)
ü  Automated Storage and Retrieval systems (ASRS)
ü  Automatic identification systems: (AIS).
        Essential Steps for World Class Process
      Design and development of process
      Validation of process – proving its capability to produce amount but which meets customer
      Controlling the process
      Periodic Review of the Process
      Improving the Process as Necessary
World Class Company is process orientation since right process gives right result.