Estimating Direct Cost of Goods Sold / Sage Publications.

Format:

Book

Author/Creator:

Knapp, Karl, active 2024, author.

Sage Publications, author, issuing body.

Series:

SAGE skills: Business.

SAGE skills: Business

Language:

English

Subjects (All):

Production management.

Physical Description:

1 online resource

Place of Publication:

[Place of publication not identified] : Sage Publications, 2024.

Summary:

Shortages during the COVID-19 pandemic brought to light the importance of understanding and managing capacity of a supply-chain system. Each link in that chain affects capacity, so understanding capacity and how to manage it is critical to the success of every organization. While this Skill will be presented through illustration of a tangible product in a manufacturing company (Eazibikes), all the concepts presented are equally valid for managing a service operation. All organizations have processes and capacity that must be managed effectively. The capacity of an operation defines its ability to produce the output necessary to meet demand. In this Skill, we focus on the elements of production and how they can work together to produce products of outstanding quality while maximizing efficiency. One key is to understand how individual product choices affect the output of the operation. This is critical to creating an effective and efficient organization. The design choices made for one product not only affect that product but also have ripple effects throughout the organization. Smart organizations design products across the firm's portfolio that can increase overall efficiency and quality based on the component design choices made. Capacity planning and management will be examined through the lens of a fictious company, Eazibikes. Eazibikes manufactures and sells bikes for kids, young adults, and adults. In this Skill you will learn how the various component choice for Eazibikes affect capacity of the company's production lines. You will learn how the process design by Eazibikes dictates how quickly bikes are produced and how to calculate the overall capacity of the company's process by finding the bottleneck. Eazibikes also struggles with changes in market conditions, and you will examine what a manager's options are to manage these challenges. Lastly, you will learn to differentiate direct costs and the ways to allocate overhead costs to make the best management decisions regarding capacity and the organization.

Notes:

Description based on publisher supplied metadata and other sources.

ISBN:

1-0719-5353-2

9781071953532

OCLC:

1438738306