Mhhe equipment cost

What are the characteristics of a manufacturing process? How are manufacturing processes organized and evaluated? 500word response

Below is the chapter and citation.

Jacobs, F.R. & Chase, R.B. (2014). Operations and supply chain management (14th ed). New York, NY: McGraw-Hill
Understand what a manufacturing process is.

In this chapter we consider processes used to make tangible goods. Manufacturing processes are used to make everything that we buy ranging from the apartment building in which we live to the ink pens with which we write. The high-level view of what is required to make something can be divided into three simple steps. The first step is sourcing the parts we need, followed by actually making the item, and then sending the item to the customer. As discussed in Chapter 1, a supply chain view of this may involve a complex series of players where subcontractors feed suppliers, suppliers feed manufacturing plants, manufacturing plants feed warehouses, and finally warehouses feed retailers. Depending on the item being produced, the supply chain can be very long with subcontractors and manufacturing plants spread out over the globe (such as an automobile or computer manufacturer) or short where parts are sourced and the product is made locally (such as a house builder).

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Strategy

Consider Exhibit 7.1, which illustrates the Source step where parts are procured from one or more suppliers, the Make step where manufacturing takes place, and the Deliver step where the product is shipped to the customer. Depending on the strategy of the firm, the capabilities of manufacturing, and the needs of customers, these activities are organized to minimize cost while meeting the competitive priorities necessary to attract customer orders. For example, in the case of consumer products such as televisions or clothes, customers normally want these products “on-demand” for quick delivery from a local department store. As a manufacturer of these products, we build them ahead of time in anticipation of demand and ship them to the retail stores where they are carried in inventory until they are sold. At the other end of the spectrum are custom products, such as military airplanes, that are ordered with very specific uses in mind and that need to be designed and then built to the design. In the case of an airplane, the time needed to respond to a customer order, called the lead time, could easily be years compared to only a few minutes for the television.