productivity

Examples of productivity in the following topics:

• The Importance of Productivity

  • Productivity is the ratio of total output to one unit of total input; high productivity means larger capital gains.
  • Productivity is a measure of the efficiency of production.
  • It can be described by the production function.
  • Production process - Production process is the real process and the income distribution process.
  • Wheat production has increased as the productivity gains improve, particularly since the 1980s.

• Quality Control and Assurance

  • Fit for purpose: The product should be suitable for its intended purpose.
  • QA includes managing the quality of raw materials, assemblies, products, components, services related to production, management processes, production processes, and inspection processes.
  • Quality control (QC) is the process of testing finished products to uncover defects and reporting the results to management, which makes the decision to allow or deny product release.
  • It differs from quality assurance, which attempts to improve and stabilize a product, and eliminate any flaws, during production.
  • Controls also include product inspection: every product is examined visually before the product is sold into the external market.

• Defining Productivity

  • Productivity–a ratio of production output to the input required to produce it–is one measure of production efficiency.
  • Productivity is defined as a total output per one unit of a total input.
  • Control management must implement control processes to maintain or improve productivity.
  • Productivity is one of the main concerns of business management and engineering.
  • Many companies have formal programs for improving productivity via existing control systems.

• The Quality Control Cycle

  • Quality control includes inspecting a product before it enters the marketplace to make sure it is defect-free.
  • Quality control emphasizes product testing to discover defects and report them to management, which decides how to respond (by delaying the product release date, for example).
  • Quality assurance attempts to improve and stabilize production to prevent defects.
  • In this way, QA is preventive and process-oriented while QC is reactive and product-oriented.
  • Collect real-world data to improve product quality and adjust the QC process.

• Commercializing Innovative Products

  • Commercialization is the process or cycle of introducing a new product or production method into the market.
  • When: The company has to time introducing the product perfectly.
  • If there is a risk of cannibalizing the sales of the company's other products, if the product could benefit from further development, or if the economy is forecasted to improve in the near future, the product's launch should be delayed.
  • Where: The company has to decide where to launch its products.
  • Their buy-in will ensure adoption by other consumers in the marketplace during the product growth period.

• TQM

  • TQM is aimed at customer satisfaction via continuous improvement of the quality of business products and processes.
  • TQM includes management, workforce, suppliers, and customers to improve the quality of the product or service.
  • Total: TQM involves the entire organization, supply chain, and/or product life cycle.
  • Quality: TQM requires a high degree of excellence of the quality of products or services provided by an business organization.
  • Cross functional product development, which is a method for involving different functional areas in new product/process development

• Speed of Innovation

  • Companies compete to adapt their products and services to incorporate new innovations first.
  • For example, an idea for a new product might start out as a crude model built from polystyrene, foam, or cardboard that will evolve quickly into a more professional prototype.
  • Robert Reich observes that profits in the old economy came from economies of scale, i.e., long runs of almost identical products.
  • First-movers also encounter high fiscal risks in integrating a new product or services into their distribution, and failure often means sunk costs.
  • Similarly, first movers must carefully consider cannibalization—where their new innovative products steal sales from their older products still on store shelves.

• Matrix Structure

  • Common organizational perspectives include function and product, function and region, or region and product.
  • In an organization grouped by function and product, for example, each product line will have management that corresponds to each function.
  • In a matrix structure, the organization is grouped by both product and function.
  • Product lines are managed horizontally and functions are managed vertically.
  • This means that each function—e.g., research, production, sales, and finance—has separate internal divisions for each product.

• Why Study Organizational Theory?

  • Organizational theory studies organizations to identify how they solve problems and how they maximize efficiency and productivity.
  • One example of how development in an organization affects the modern era is through factory production.
  • The concept of factory production amplified production as a whole and allowed for the organized division of labor to start.
  • It centralized facets of the workforce and began to define the rules of production and trade, which also led to specialization.
  • In that case, developments in organizational theory led to stronger government regulations and stronger production-related safety mandates.

• Operations-Management Tools

  • Six Sigma and Lean are two popular operations-management theories that help managers improve the efficiency of their production processes.
  • Operations management is a type of management that oversees, designs, and controls a company's production processes.
  • This type of management is also tasked with redesigning business operations in the production of goods and/or services, if that is necessary.
  • Lean employs tools to evaluate production workflow and determine where there is waste.
  • Give examples of operations management tools that assist the organization in overseeing, designing and controlling production processes