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project on kolson potato chips

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PURPOSE OF REPORT

The purpose of this report is to examine and assess the operation of brand named kolson patatoi chips. An attempt to establish what level of understanding the brand has carried out. In addition, the current strategy and processes used to implement cost of production and pricing policies is being assessed.

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All praises to almighty Allah, the most beneficent and he most merciful

Countless thanks to Almighty Allah, creator of all of us and all respect to His last Holy Prophet (peace be upon him) who enabled us to recognize our creators.

He, who does not thank people, is not thankful to Allah

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Success in life depends upon many factors and one is success itself. As first success paves way for many others. During the completion of this assignment, way to success seemed familiar but not easy, now we have to win success. So we would like to talk the occasion to express our heartiest thanks to our teacher professor Mavera who is very helpful, co-operative. She is encouraging and supportive and offered constructive suggestions to complete our assignment. We could hardly find words that are enough to thank her. We also owe a deep of gratitude to our well-wishers who prayed for us to accomplish our work

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EXECUTIVE SUMMARY
We were directed to prepare a operartion of manufacturing industry by our respectable teacher Professor zia ur rehman We decided to conduct our project on the operation of kolson ptato chips. we collected data by using multiple methods of data collectionactually our main theme towards this project is to know the whole process of their potato manufacturing plant meanns theai location,plant layout, product design,standardization, simplification, lobor supply purchase policy and etc. Kolson potato chips manufacturing plant is discussed in detail in this project also the general theory of plant and specifically kolson plant.

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The information used to write this report came from several sources. One such source was a personal communication with the general manager (Mr. Bilal Ali). The major source used was the organizations Manager (Mrs Asma Javed). This consisted of one informal discussion with the Manager, in addition to a scheduled meeting and a planned interview. We also collect a lot data from the kolson website www.kolson.com.pk

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DEDICATION
This Project Is Dedicated To Our Respected Teacher PROFESSOR ZIA UR REHMAN

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SERIAL NO: NO:


1 12 2 3 4 20 5 31 6 7 48 8 9 10 11 12 13 14 15 13

CONTENTS
OVERVIEW QUALITY POLICY PRODUCTS OF KOLSON LOCATION THEORY LOCATION OF KOLSON PTATO CHIPS PLANT PLANT LAYOUT THEORY PLANT LAYOUT OF KOLSON

PAGE
111314-19 203134-34

PURCHASE POLICY SOURCES OF LABOR SUPPLY INDUCTION EMPLOYEES TRAINING ROLE OF FOREMAN PRODUCT DESIGN SIMPLIFICATION AND STANDARDIZATION QUALITY CONTROL AND INSPECTION

57 87 142 153 177 187 198-212 227

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Ever Since its inception in 1942, as on today, Kolson enjoys the distinction of being one of the Pioneer food manufacturing and processing industries in Pakistan. The name of Kolson is synonymous with dynamic and innovative food products. The Philosophy of the company is based on self-commitments to offer consumers greater choice of exclusive quality products. In doing so, the company has, in true sense, evolved its own marketing style to establish a more effective relationship with consumers. Being a food manufacturing company we understand our responsibility to provide consumer high quality products and selection of best ingredients that add to the nutritional value of our products. Kolson brands appeal to an extraordinarily diverse array of consumers. Our consumer segment starts from as young as one year old who starts developing a taste for snacks and goes all the way up to older age people who consume pasta and breakfast cereals as part of their healthy diet. In consumer promotions, designed to enhance the Kolson image, we therefore, try to satisfy the growing needs of all our target segments. Kolson is proud to be the pioneer in Pasta production in Pakistan. More than 50 years back nobody could think of Pasta as forming a food habit being an absolutely new food concept for populace of Pakistan. At present company is market leader in Pasta products such as Spaghetti, Macaroni, Lasagne, Noodles and Vermicelli. Kolson also has a leading edge in manufacturing breakfast cereals that are innovative and extremely popular among the consumers of all ages. As company hierarchy enters to the third generation, it befittingly coincides with yet another stunning product, an innovative range of high-class Biscuits. Jam Hearts, Cream Hearts, Katch and Bravo, being sandwich, crackers and traditional bakery biscuits respectively which are already fetching consumers recognition & appreciation because of its unique and smacking flavor and texture. The whole range of Kolson products is made by using latest German, Dutch, Swiss and Italian etc latest technology and process to back prime raw materials. The raw materials *

*********************************************************************** *********************************************************************** ***************************************** are procured from the leading available sources in Germany, Denmark, Belgium and Nederland etc. The high quality Pakistani wheat products, procured from select bunch of millers, are pivotal in determining the final outcome of high quality products. As the global economy is taking a different turn in its outlook and demand, Pakistan can not afford to lag. Kolson is prepared to accept the challenge to be always one step ahead of changes in offing. This is our simple promise to our die-hard and prospective consumers in Pakistan and abroad.

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Kolson believes in setting high standards of manufacturing, each product is produced using systematic production process, high technology & the finest raw & packaging materials, sourced globally. Testing & sampling the products locally, helps Kolson reach out to its consumers on "One to One" basis through its aggressive marketing & sales team. Kolson's motive along with keeping a check on quality & taste has also been to complement various lifestyles & occasions.

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LOCATION
The Need For Location Decisions
Existing organizations may need to make location decisions for a variety of reasons. Firms, such as banks, fast-food, supermarkets, and retail stores view location as a part of marketing strategy, and they look for locations that will help them to expand their markets. Basically, the locations decisions in those cases reflect the additions of new locations to an existing system. A similar situation occurs when an organization *

*********************************************************************** *********************************************************************** ***************************************** experiences a growth in demand for its products or services that cannt be satisfied by expansion at an existing location. The addition of a new location to complement an existing system is often a realistic alternative. Some firms face location decisions through depletion of basic inputs. For example, fishing and logging operations are often forced to relocate due to the temporary exhaustion or fish or forests at a given location. Mining and petroleum operations face the same sort of situation, although usually with a longer time horizon. For other firms, a shift in markets causes them to consider relocation, or the costs of doing business at a particular location reach a point where other locations begin to look more attractive

The Nature For Location Decisions


Location decisions for many types of businesses are made infrequently, but they tend to have a significant impact on the organization. In this section we look at the importance of location decisions, the usual objectives managers have when making location choices, and some of the options that are available to them.

Strategic Importance Of Location Decisions


Location decisions are closely tied to an organizations strategic. For example, a strategy of being a low cots producer might result in location where labor or material costs are low, or locating near markets or raw materials to reduce transportation costs. A strategy of increasing profits by increasing market share might result in locating the high traffic areas and a strategy that emphasizes convenience for the customers might result in having many locations where customer can transact their business or make purchases (e.g, branch banks, ATMs service stations, fast food outlets.) Location decisions are also strategically important for other reasons as well. One is that they entail a long-term commitment, which makes mistakes difficult to overcome. Another is that location decisions often have an impact on investment requirements, operating costs and revenues, and operations. A poor choice of location might result in excessive transportation cost, a shortage of qualified labor, loss of competitive advantage, inadequate supplies of raw materials, or some similar condition that is detrimental to operations. For services, a poor location could result in lack of customer and / or high operating cost. For both manufacturing and services, location decisions have a significant effect on competitive advantage. And another reason for the importance of location decisions is their strategic importance to supply chains.

Objectives Of Location Decisions


As a general rule, profit-oriented organizations base their decisions on profit potential, whereas non profit organizations strive to achieve a balance between cost and the level of customer services they provided. It would seem to follow that all organizations attempt to identify the best location available. However, this is not necessarily the case. In many instances, no single location may b significantly better than the others. There may b numerous acceptable locations from which to choose, as shown by *

*********************************************************************** *********************************************************************** ***************************************** the wide variety of locations where successful organizations can be found. Furthermore the possible locations that would have to be examined to find the best location may be too large to make an exhaustive search practical. Consequently most organizations do not set out with the intention of identifying the one best location; rather, they hope to find a number of acceptable locations from which to choose. Location criteria can depend on where is business is in the supply chain. For instance at the retail end of a chain, site selection tends to focus more on acceptability , customer demographics, traffic patterns and local customers. Business at the beginning of a supply chain, if they are involved in supplying raw materials, is often located near the source of raw material. Business in the middle of the chain, may locate near suppliers or near their markets, depending on the variety of circumstances. For example, business involved in storing and distributing goods often choose a central location to minimize distribution costs. Web based retail businesses are much les dependent on location decision, they can exist just about any where.

Location Options
Managers of existing companies usually consider four options in location planning. One is to expand an existing facility; this option can be attractive if there is adequate room for expansion. Especially if the location has desirable features that are not readily available else where. Expansion costs are less expensive than other alternatives. Another option is to add new location while retaining existing ones, as is done in many retail operations. In such cases it is essential to take into account, what the impact will be on the total system. Opening a new store in a shopping mall may simply draw customers who already patronize an existing store in the same chain, rather than expand the market. On the other hand, adding locations can be a defensive strategy designed to maintain a market share or to prevent competitors from entering a market. A third position is to shut down at one location and move to another. Organizations must weigh the costs of a move and the resulting benefits against the cost and benefits of remaining in an existing location. A shift in markets, exhaustion of raw materials, and the cost of operations often cause firms to consider this option seriously. Finally, organizations have the option of doing nothing. If a detailed analysis of potential locations fails to uncover benefits that make one of the previous three alternatives attractive, a firm may decide to maintain the status quo, at least for the time being.

How Location fits the Operations Management Philosophy:

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where is business is in the ion; rather, they hope to find a supply chain. For instance at the number of acceptable locations from which to choose. retail end of Location criteria can depend on

stive search practical. Consequently most organizations do not set out with the intention of identifying the one best loca

Location Decisions:
Facility location is the process of determining geographic sites for operations. Location decisions affect processes throughout the organization. a firms

Marketing must assess how the location will appeal to customers; possibly opening new markets. needs. Human Resources must be attuned to the firms hiring and training

Accounting and Finance must evaluate costing.

Operations needs to be able to meet current customer demand and provide the right amount of customer contact.

Factors Affecting Location Decisions:


Managers must weigh many factors when assessing the desirability of particular locations.

*********************************************************************** *********************************************************************** ***************************************** The factor must be sensitive to location. The factor must have a high impact on the companys ability to meet its goals.

Dominant Factors in Manufacturing:


Favorable labor climate. May be most important factor in labor-intensive industries Proximity to markets. Important when outbound transportation rates are high.

Quality of life. Good schools, recreational facilities, cultural events and attractive lifestyle. Proximity to suppliers and resources. Important when inbound transportation costs are high. Proximity to the parent companys facilities. Important when coordination and communication is critical. Utilities, taxes, and real estate costs.

Dominant Factors in Services:


firm. Proximity to customers. How conveniently customers can carry on business with a Transportation costs and proximity to markets.

Especially for warehousing and distribution operations. Location of Competitors. Estimating the sales potential and impact of competition. Critical mass is a situation whereby several competing firms clustered in one location attract more customers than the total number who would shop at the same stores at scattered locations. Site-Specific Factors. Including residential density, traffic flow, and site visibility

Geographical Information Systems and Location Decisions:

*********************************************************************** *********************************************************************** ***************************************** Geographical information system (GIS) is a system of computer software, hardware, and data that the firms personnel can use to manipulate, analyze, and present information relevant to a location decision. It can be used to: Store databases Display maps Create models that can take information from existing datasets, apply analytic functions, and write results into new derived datasets. Together, these three functionalities of data storage, map displays, and modeling are critical parts of an intelligent GIS, used to a varying extent in all GIS applications Onsite Expansion, New Location, or Relocation: Managers must first decide whether to expand onsite, build another facility, or relocate to another site. Onsite expansion has the advantage of keeping people together, reducing construction time and costs, and avoiding splitting up operations. However, as a firm expands a facility, at some point diseconomies of scale set in. A new plant allows it to hire more employees, install newer, more-productive machinery and better technology, and reduce transportation costs. Most firms that choose to relocate are small (comprised of less than 10 employees). More than 80 percent of all relocations are made within 20 miles of companies original locations, which enables the firms to retain their current employees. Locating a Single Facility: When the facility is part of a firms larger network of facilities, we assume that there is no interdependence. The process of selecting a new facility location involves a series of steps. 1. Identify the important location factors and categorize them as dominant or secondary. 2. Consider alternative regions; then narrow the choices to alternative communities and finally to specific sites. 3. Collect data on the alternatives. 4. Analyze the data collected, beginning with the quantitative factors. 5. Bring the qualitative factors into the evaluation. The site with the highest weighted score is best.

Application 11.1 Management is considering three potential location for a new cookie factory. They have assigned score shown below to the releavent factor on a 0 to10 basis (10 is best). Using the preference matrix,which location will be preffered, *

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Using Break-Even Analysis:


Break-even analysis can help a manager compare location alternatives on the basis of quantitative factors that can be expressed in terms of total cost. 1. Determine the variable costs and fixed costs for each site. 2. Plot the total cost linesthe sum of variable and fixed costsfor all the sites on a single graph

*********************************************************************** *********************************************************************** ***************************************** 3. Identify the approximate ranges for which each location has the lowest cost. 4. Solve algebraically for the break-even points over the relevant ranges

Break-Even Analysis:
An operations manager has narrowed the search for a new facility location to four communities. The annual fixed costs (land, property taxes, insurance, equipment, and buildings) and the variable costs (labor, materials, transportation, and variable overhead) are shown below. Total costs are for 20,000 units.

Community A B C D

Fixed Costs per Year $300000 $300000 $500000 $600000

Variable Costs per Unit $62 $38 $24 $30

Total Costs (Fixed + Variable) $1390000 $1060000 $ 980000 $1200000

GRAPHICAL REPRESENTATION

*********************************************************************** *********************************************************************** ***************************************** may locate near suppliers or near their en choose a central location to minimize markets, depending on the variety of circumstances. For example, business distribution costs. Web based retail businesses are much les involved in storing and distributing dependent on location decision, they can goods of exist just about any where. is o d s, traffic rials L atterns and mo w mat ra local custo hi ing r ocus more uppl ability , custome in at the olve beginning e in ers. B n accep nds to a te l ca ed nea th so rce of aw ate sines ial. f a supply chain, if the a chain, site selection t

Factors affecting location of industries:

usiness in the middle of the chain,

*********************************************************************** *********************************************************************** ***************************************** Factors may be placed into three basic categories: 1. Natural Advantages 2. Acquired Advantages 3. Government Advantages The factors can be listed as follows: a) Cost-[Acquired] b) Closeness to a source of raw materials-[Natural] c) Closeness to a source of power-[Acquired and/or Natural] d) Closeness to a market-[Acquired] e) Closeness to an educated working force-[Acquired] f) Closeness to a method of transport-[Acquired] g) Government Intervention-[Government] h) In a suitable climate-[Natural] i) In a stable political atmosphere-[Government] j) Health facilities-[Acquired]

Country factors

Region factors

Local factors

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Government rules, Attractiveness of region attitudes, (culture, taxes, climate, political risk, etc.) incentives Labor, Culture & economy availability & costs Market location Costs and availability of Labor availability, utilities attitudes, Environmental productivity, regulations of state and and cost town Availability of supplies, Government incentives communications, Proximity to raw energy materials & customers Exchange rates and Land/construction costs currency risks

Site size and cost Air, rail, highway, and waterway systems Zoning restrictions Nearness of services / supplies needed Environmental impact issues

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Proposed Location
The said project can be started in any Industrial Area. It is recommended to establish the Project in an area where Raw Material is easily available. It may have any Industrial Area of Lahore, Karachi or Islamabad. The location of this proposed Pre-feasibility recommended at Raiwind Road, Lahore.

Raw Material Requirement:

*********************************************************************** *********************************************************************** ***************************************** Pakistan is a Potato growing country and has a major advantage of availability and lower prices. Potatoes produced in Pakistan are appropriate and ideal to produce Quality Potato Chips. Raw material used in Potato Chips Manufacturing includes: Potatoes Vegetable Ghee / Cooking Oil Flavors

LAND & BUILDING REQUIREMENT


Land Requirement
Building for the proposed business can be acquired on rent but it is recommended that it should be purchased or built as machinery will be installed. Total land required for the Potato Chips Manufacturing Unit is approximately 22,449 -Sq. ft or 5 kanals. Land price per kanal is taken to be Rs. 600,000 (Raiwind Road, Lahore). The break up of the required area and construction cost of the building is given below. Building Requirement Following Table shows the detailed Machinery Requirements for the Project. Building & Civil works Space Reqd. Sq. ft Cost Rs. Per Sq. Ft. 800 800 800 900 800 800 800 800 800 40 100 TotaCost 3,200,000 480,000 480,000 1,080,000 480,000 1,200,000 1,200,000 480,000 1,440,000 360,000 400,000 10,800,000 600,000 11,400,000

Rs. Plant Area 4,000 Generator Area 600 Air Compressor Room 600 Management Office , 200 Accessories Store 600 Potato Store 1,500 Finished Goods Store 1,500 Toilets 600 Loading, unloading Bay 1,800 Grounds 9,000 Water Tank Total Space Requirement (sq.ft) 21,400 Boundary wall 600 x 10 Total Infrastructure Cost

Utilities Requirement *

*********************************************************************** *********************************************************************** ***************************************** Utilities required for a Chips Manufacturing Unit are Electricity, Water and Telephone.

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Defination of plant layout:


A plant layout study is an engineering study used to analyze different physical configurations for an industrial plant. Modern industrial manufacturing plants involve a complex mix of functions and operations. Various techniques exist, but general areas of concern include the following Space (adequate area to house each function)

*********************************************************************** *********************************************************************** ***************************************** Affinity (functions located in close proximity to other related functions) Material handling Communications (telephone, data, telemetry, and other signal items) Utilities (electrical, gas, steam, water, sewer, and other utility services) Buildings (structural and architectural forms; sitework)

Product Considerations
The intended products to be manufactured have an impact on the choice of layout.

Fixed position layout:


A fixed position layout would be chosen where large or unique items are worked on individually, such as ship building or construction of a bridge.

Functional layout:
A functional layout is a multiple purpose layout designed to facilitate variety of products, a typical example of this is a hospital.

Product layout:
A product layout focuses on maximising plant efficiency through techniques such as mass production. A cellular manufacturing layout seeks to gain the benefits of both the flexibility of a functional layout and the efficiency product layout by grouping machines into autonomous work groups. This is particularly utilised along side Just In Time systems.

General areas of concern: 1)Space


Space is the boundless, three-dimensional extent in which objects and events occur and have relative position and direction. Physical space is often conceived in three linear dimensions, although modern physicists usually consider it, with time, to be part of the boundless four-dimensional continuum known as spacetime. *

*********************************************************************** *********************************************************************** ***************************************** In mathematics spaces with different numbers of dimensions and with different underlying structures can be examined. The concept of space is considered to be of fundamental importance to an understanding of the universe although disagreement continues between philosophers over whether it is itself an entity, a relationship between entities, or part of a conceptual framework. Many of the philosophical questions arose in the 17th century, during the early development of classical mechanics. In Isaac Newton's view, space was absolute - in the sense that it existed permanently and independently of whether there were any matter in the space. Other natural philosophers, notably Gottfried Leibniz, thought instead that space was a collection of relations between objects, given by their distance and direction from one another. In the 18th century, Immanuel Kant described space and time as elements of a systematic framework which humans use to structure their experience. In the 19th and 20th centuries mathematicians began to examine non-Euclidean geometries, in which space can be said to be curved, rather than flat. According to Albert Einstein's theory of general relativity, space around gravitational fields deviates from Euclidean space.[3] Experimental tests of general relativity have confirmed that non-Euclidean space provides a better model for explaining the existing laws of mechanics and optics.

2)Affinity:
Affinity, in etymology affinity is the opposite of infinity . These two words have the same root coming from the Latin: finis = end. Affinity meaning is near to the finis e.g. close to the zero point in a before assumed space. On the other hand, from the Latin, affinis = connected with, having things in common, and it is utilised to interpret the effective possibility that some substances can or cannot mix together, in terms of sympathies and antipath

Material Handling Industry


Material Handling is the movement, storage, control and protection of materials, goods and products throughout the process of manufacturing, distribution, consumption and disposal. The focus is on the methods, mechanical equipment, systems and related controls used to achieve these functions. The material handling industry manufactures and distributes the equipment and services required to implement material handling systems. Material

*********************************************************************** *********************************************************************** ***************************************** handling systems range from simple pallet rack and shelving projects, to complex conveyor belt and Automated Storage and Retrieval Systems (AS/RS).

Industry Associations

MHIA - Material Handling Industry of America MHEDA - Material Handling Equipment Distributors Association ITA - Industrial Truck Association

Material Handling Equipment


Main article: Material handling equipment This topic is discussed in greater detail in the Material handling equipment article.

Material Handling System in Flexible Manufacturing


The material handling system (MHS) is a fundamental part of a Flexible Manufacturing system since it interconnects the different processes supplying and taking out raw material, workpieces, subproducts, parts and final products. Due to the automated of the whole production process, the MHS muss response with reability in time to all the requerements of the processes and systems. The MHS is comprise by warehouses, buffers, conveyors, transportation vehcles or systems, part sorters, feeders and manipulators.

Communication:
Communication is a process of transferring information from one source to another. Communication is commonly defined as "the imparting or interchange of thoughts, opinions, or information by speech, writing, or signs".[1] Communication can be perceived as a two-way process in which there is an exchange and progression of thoughts, feelings or ideas towards a mutually accepted[clarification needed] goal or direction.Communication as an academic discipline has a long history.

*********************************************************************** *********************************************************************** ***************************************** Communication is a process whereby information is encoded and imparted by a sender to a receiver via a channel/medium. The receiver then decodes the message and gives the sender a feedback. Communication requires that all parties have an area of communicative commonality. There are auditory means, such as speaking, singing and sometimes tone of voice, and nonverbal, physical means, such as body language, sign language, paralanguage, touch, eye contact, by using writing. Communication is thus a process by which we assign and convey meaning in an attempt to create shared understanding. This process requires a vast repertoire of skills in intrapersonal and interpersonal processing, listening, observing, speaking, questioning, analyzing, and evaluating. It is through communication that collaboration and cooperation occur.[3] There are also many common barriers to successful communication, two of which are message overload (when a person receives too many messages at the same time), and message complexity.[4]

Types of communication
There are three major parts in human face to face communication which are body language, voice tonality, and words. According to the research:[5]

55% of impact is determined by body language--postures, gestures, and eye contact, 38% by the tone of voice, and 7% by the content or the words used in the communication process.

Although the exact percentage of influence may differ from variables such as the listener and the speaker, communication as a whole strives for the same goal and thus, in some cases, can be universal. System of signals, such as voice sounds, intonations or pitch, gestures or written symbols which communicate thoughts or feelings. If a language is about communicating with signals, voice, sounds, gestures, or written symbols, can animal communications be considered as a language? Animals do not have a written form of a language, but use a language to communicate with each another. In that sense, an animal communication can be considered as a separate language. Human spoken and written languages can be described as a system of symbols (sometimes known as lexemes) and the grammars (rules) by which the symbols are manipulated. The word "language" is also used to refer to common properties of languages. Language learning is normal in human childhood. Most human languages use patterns of sound or gesture for symbols which enable communication with others around them. There are thousands of human languages, and these seem to share certain properties, even though many shared properties have exceptions. There is no defined line between a language and a dialect, but the linguist Max Weinreich is credited as saying that "a language is a dialect with an army and a navy". Constructed *

*********************************************************************** *********************************************************************** ***************************************** languages such as Esperanto, programming languages, and various mathematical formalisms are not necessarily restricted to the properties shared by human languages.

Dialogue or verbal communication


A dialogue is a reciprocal conversation between two or more entities. The etymological origins of the word (in Greek (di,through) + (logos, word,speech) concepts like flowing-through meaning) do not necessarily convey the way in which people have come to use the word, with some confusion between the prefix -(di-,through) and the prefix - (di-, two) leading to the assumption that a dialogue is necessarily between only two parties.

Nonverbal communication
Nonverbal communication is the process of communicating through sending and receiving wordless messages. Such messages can be communicated through gesture, body language or posture; facial expression and eye contact, object communication such as clothing, hairstyles or even architecture, or symbols and infographics, as well as through an aggregate of the above, such as behavioral communication. Nonverbal communication plays a key role in every person's day to day life, from employment to romantic engagements. Speech may also contain nonverbal elements known as paralanguage, including voice quality, emotion and speaking style, as well as prosodic features such as rhythm, intonation and stress. Likewise, written texts have nonverbal elements such as handwriting style, spatial arrangement of words, or the use of emoticons.A portmanteau of the English words emotion (or emote) and icon, an emoticon is a symbol or combination of symbols used to convey emotional content in written or message form. Other communication channels such as telegraphy fit into this category, whereby signals travel from person to person by an alternative means. These signals can in themselves be representative of words, objects or merely be state projections. Trials have shown that humans can communicate directly in this way[6] without body language, voice tonality or words.

Visual communication
Visual communication as the name suggests is communication through visual aid. It is the conveyance of ideas and information in forms that can be read or looked upon. Primarily associated with two dimensional images, it includes: signs, typography, drawing, graphic design, illustration, colour and electronic resources. It solely relies on vision. It is form of communication with visual effect. It explores the idea that a visual message with text has a greater power to inform, educate or persuade a person. It is communication by presenting information through visual form.

*********************************************************************** *********************************************************************** ***************************************** The evaluation of a good visual design is based on measuring comprehension by the audience, not on aesthetic or artistic preference. There are no universally agreed-upon principles of beauty and ugliness. There exists a variety of ways to present information visually, like gestures, body languages, video and TV. Here, focus is on the presentation of text, pictures, diagrams, photos, et cetera, integrated on a computer display. The term visual presentation is used to refer to the actual presentation of information. Recent research in the field has focused on web design and graphically oriented usability. Graphic designers use methods of visual communication in their professional practice.

Other types of communication


Other more specific types of communication are for example:

Facilitated communication Graphic communication Nonviolent Communication Science communication Strategic Communication Superluminal communication Technical communication

Communication modelling

Communication major dimensions scheme

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Communication code scheme:


Communication is usually described along a few major dimensions: Content (what type of things are communicated), source, emisor, sender or encoder (by whom), form (in which form), channel (through which medium), destination, receiver, target or decoder (to whom), and the purpose or pragmatic aspect. Between parties, communication includes acts that confer knowledge and experiences, give advice and commands, and ask questions. These acts may take many forms, in one of the various manners of communication. The form depends on the abilities of the group communicating. Together, communication content and form make messages that are sent towards a destination. The target can be oneself, another person or being, another entity (such as a corporation or group of beings). Communication can be seen as processes of information transmission governed by three levels of semiotic rules: 1. Syntactic (formal properties of signs and symbols), 2. pragmatic (concerned with the relations between signs/expressions and their users) and 3. semantic (study of relationships between signs and symbols and what they represent). Therefore, communication is social interaction where at least two interacting agents share a common set of signs and a common set of semiotic rules. This commonly held rules in some sense ignores autocommunication, including intrapersonal communication via diaries or self-talk, both secondary phenomena that followed the primary acquisition of communicative competences within social interactions. In a simple model, information or content (e.g. a message in natural language) is sent in some form (as spoken language) from an emisor/ sender/ encoder to a destination/ receiver/ decoder. In a slightly more complex form a sender and a receiver are linked reciprocally. A particular instance of communication is called a speech act. The sender's

*********************************************************************** *********************************************************************** ***************************************** personal filters and the receiver's personal filters may vary depending upon different regional traditions, cultures, or gender; which may alter the intended meaning of message contents. In the presence of "communication noise" on the transmission channel (air, in this case), reception and decoding of content may be faulty, and thus the speech act may not achieve the desired effect. One problem with this encode-transmit-receive-decode model is that the processes of encoding and decoding imply that the sender and receiver each possess something that functions as a code book, and that these two code books are, at the very least, similar if not identical. Although something like code books is implied by the model, they are nowhere represented in the model, which creates many conceptual difficulties. Theories of coregulation describe communication as a creative and dynamic continuous process, rather than a discrete exchange of information. Canadian media scholar Harold Innis had the theory that people use different types of media to communicate and which one they choose to use will offer different possibilities for the shape and durability of society (Wark, McKenzie 1997). His famous example of this is using ancient Egypt and looking at the ways they built themselves out of media with very different properties stone and papyrus. Papyrus is what he called 'Space Binding'. it made possible the transmission of written orders across space, empires and enables the waging of distant military campaigns and colonial administration. The other is stone and 'Time Binding', through the construction of temples and the pyramids can sustain their authority generation to generation, through this media they can change and shape communication in their society (Wark, McKenzie 1997).

Communication as academic discipline


Communication as an academic discipline, sometimes called "communicology,"[9] relates to all the ways we communicate, so it embraces a large body of study and knowledge. The communication discipline includes both verbal and nonverbal messages. A body of scholarship all about communication is presented and explained in textbooks, electronic publications, and academic journals. In the journals, researchers report the results of studies that are the basis for an ever-expanding understanding of how we all communicate. Communication happens at many levels (even for one single action), in many different ways, and for most beings, as well as certain machines. Several, if not all, fields of study dedicate a portion of attention to communication, so when speaking about communication it is very important to be sure about what aspects of communication one is speaking about. Definitions of communication range widely, some recognizing that animals can communicate with each other as well as human beings, and some are more narrow, only including human beings within the parameters of human symbolic interaction.

Public utility:
*

*********************************************************************** *********************************************************************** ***************************************** A public utility (usually just utility) is an organization that maintains the infrastructure for a public service (often also providing a service using that infrastructure). Public utilities are subject to forms of public control and regulation ranging from local community-based groups to state-wide government monopolies. Common arguments in favor of regulation include the desire to control market power, facilitate competition, promote investment or system expansion, or stabilize markets. In general, though, regulation occurs when the government believes that the operator, left to his own devices, would behave in a way that is contrary to the governments objectives. In some countries an early solution to this perceived problem was government provision of the utility service. However, this approach raised its own problems. Some governments used the state-provided utility services to pursue political agendas, as a source of cash flow for funding other government activities, or as a means of obtaining hard currency. These and other consequences of state provision of utility services often resulted in inefficiency and poor service quality. As a result, governments began to seek other solutions, namely regulation and providing services on a commercial basis, often through private participation.[1] The term utilities can also refer to the set of services provided by these organizations consumed by the public: electricity, natural gas, water and sewage. Telephone services may also be included. In the United States of America they are often natural monopolies because the infrastructure required to produce and deliver a product such as electricity or water is very expensive to build and maintain.[2] As a result, they are often government monopolies, or if privately owned, the sectors are specially regulated by a public utilities commission. Developments in technology have eroded some of the natural monopoly aspects of traditional public utilities. For instance, electricity generation, electricity retailing, telecommunication and postal services have become competitive in some countries and the trend towards liberalization, deregulation and privatization of public utilities is growing, but the network infrastructure used to distribute most utility products and services has remained largely monopolistic. Public utilities can be privately owned or publicly owned. Publicly owned utilities include cooperative and municipal utilities. Municipal utilities may actually include territories outside of city limits or may not even serve the entire city. Cooperative utilities are owned by the customers they serve. They are usually found in rural areas. Private utilities, also called investor owned utilities, are owned by investors.[citation needed] Unlike private companies, private utilities may be listed on the stock exchange.[citation needed] Private, in this context, means not owned by the public or the government. In poorer developing countries, public utilities are often limited to wealthier parts of major cities, as used to be the case in developed countries in the nineteenth century, but in some developing countries utilities do provide services to a large share of the urban population, such as in the case of water and sanitation in Latin America. *

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Building:
In architecture, construction, engineering and real estate development the word building may refer to one of the following: 1. Any man-made structure used or intended for supporting or sheltering any use or continuous occupancy, or 2. An act of construction (i.e. the activity of building, see also builder) In this article, the first usage is generally intended unless otherwise specified. Buildings come in a wide amount of shapes and functions, and have been adapted throughout history for a wide number of factors, from building materials available, to weather conditions, to land prices, ground conditions, specific uses and aesthetic reasons. Buildings serve several needs of society - primarily as shelter from weather and as general living space, to provide privacy, to store belongings and to comfortably live and work. A building as a shelter represents a physical division of the human habitat into the inside (a place of comfort and safety) and the outside (a place that at times may be harsh and harmful). Ever since the first cave paintings, buildings have also become objects or canvasess of artistic expression. In recent years, interest in sustainable planning and building practices has also become part of the design process of many new buildings.

Definitions
To differentiate buildings in the usage of this article from other buildings and other structures that are not intended for continuous human occupancy, the latter are called nonbuilding structures or simply structures. Structural height in technical usage is the height to the highest architectural detail on building from street-level. Depending on how they are classified, spires and masts may or may not be included in this height. Spires and masts used as antennas are not generally included. The definition of a low-rise vs. a high-rise building is a matter of debate, but generally three stories or less is considered low-rise.[citation needed]

History
The first shelter on Earth constructed by a relatively close ancestor to humans is believed to be built 500,000 years ago by an early ancestor of humans,

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Types of building:
Residential
Residential buildings are called houses/homes, though buildings containing large numbers of separate dwelling units are often called apartment buildings / blocks to differentiate them from the more 'individual' house. Building types may range from one-room wood-framed, masonry, or adobe dwellings to multi-million dollar high-rise buildings able to house thousands of people. Increasing settlement density in buildings (and closer distances between buildings) is usually a response to high ground prices resulting from many people wanting to live close to work or similar attractors.

Multi-storey
A multi-storey building is a building that has multiple floors above ground in the building. Multi-storey buildings aim to increase the area of the building without increasing the area of the land the building is built on, hence saving land and, in most cases, money (depending on material used and land prices in the area).

Creation
The practice of designing, constructing, and operating buildings is normally a collective effort of different groups of professionals and trades. Depending on the size, complexity, and purpose of a particular building project, the project team may include:

A real estate developer who secures funding for the project; One or more financial institutions or other investors that provide the funding Local planning and code authorities A Surveyor who performs an ALTA/ACSM and construction surveys throughout the project; Construction managers who coordinate the effort of different groups of project participants; Licensed architects and engineers who provide building design and prepare construction documents; Landscape architects; Interior designers; Other consultants; Contractors who provide construction services and install building systems such as climate control, electrical, plumbing, Decoration, fire protection, security and telecommunications; Marketing or leasing agents; Facility managers who are responsible for operating the building.

*********************************************************************** *********************************************************************** ***************************************** Regardless of their size or intended use, all buildings in the US must comply with zoning ordinances, building codes and other regulations such as fire codes, life safety codes and related standards. Vehiclessuch as trailers, caravans, ships and passenger aircraftare treated as "buildings" for life safety purposes.

Ownership and funding


Mortgage Mortgage loan Real estate developer

Planning and design


Architecture Building construction Civil engineering Mechanical, electrical, and plumbing design Quantity surveying Structural engineering Urban Planner

Building services
Physical plant:
Any building requires a certain amount of internal infrastructure to function, which includes such elements like heating / cooling, power and telecommunications, water and wastewater etc. Especially in commercial buildings (such as offices or factories), these can be extremely intricate systems taking up large amounts of space (sometimes located in separate areas or double floors / false ceilings) and constitute a big part of the regular maintenance requiredConveying systems Systems for transport of people within buildings:

Elevator Escalator Moving sidewalk (horizontal and inclined)

Systems for transport of people between interconnected buildings:


Skyway Underground city

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Factory:
This article is about manufacturing plants and different kinds of factories. For other uses, see Factory (disambiguation). A factory (previously manufactory) or manufacturing plant is an industrial building where workers manufacture goods or supervise machines processing one product into another. Most modern factories have large warehouses or warehouse-like facilities that contain heavy equipment used for assembly line production. Typically, factories gather and concentrate resources: workers, capital and plant.

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PRODUCTION PROCESS
Production Process Flow The following figure shows the production process flow of Potato Chips Manufacturing Unit:

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A B C D E F
*

Truck dumping & hydro-unloading Dirt removal, sizing, crate filling Gentle-Flo potato storage bins Potato pumping & debris removal Crate dumping, metering, de-stoning Continuous or batch

N Potato chip fryers O Oil filtration systems P Heat exchangers Q Pollution controls Heat recovery systems S Control systems R

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peeling G Transfer conveyors Inspection/trim H conveyors I J Slicer feeders Singulating feed systems T Salt & seasoning applicators U* Inspection & transfer conveyors* V Varilift bucket conveyors W FastBack conveyors for distribution, chip sizing & accumulation X Ishida weighers Y Ishida APEX bagmakers Z Ishida checkweighers

Slicer service platforms L Slice washers & conditioners AirSweep water M removal K

IN EASY WORDS

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MACHINE USED:
1- Washing & Shelling Machine - suitable for washing of Fresh Potatoes 2- Peeling Machine - suitable for peeling of Potatoes 3- Slicing Machine - suitable for slicing Potatoes into Chips 4- Chips Washing Machine - suitable for washing and rinsing of Potato Chips in hot water for excessive starch removal before frying 5- Flavoring Machine - suitable for flavoring / salt on Fried Chips 6- Packing Machine - suitable for packing Finished Potato Chips
*

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in packets Machinery Requirement


Following table shows the machinery & equipment requirement for setting up a Potato Chips Manufacturing Unit imported from China. Machine Description Washing Machine Peeling Machine Slicing Machine Chips Washing Machine Frying Machine Flavouring Machine Chips Cooling Machine Packing Machine Gas Burning Boiler Frozen Machine Total Other charges Income Tax 6% Price $ 2,450 2,723 1,991 5,240 13,885 5,280 4,574 5,718 17,992 51,051 Make Unit China 1 China 1 China 1 China 1 China 1 China 1 China 1 China 1 China 1 China 1 RUPEES 146,982 163,350 119,460 314,424 833,118 316,800 274,428 343,068 1,079,496 3,063,060 110,903 6,654,186 399,251

MACHINE USED BY KOLSON:

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NAME: AISHA TARIQ ROLL NO: 2011 TOPICS: PURCHASING POLICY SOURCES OF LABOR SUPPLY

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PURCHASING POLICY:
Purchasing refers to a business or organization attempting to acquire goods or services to accomplish the goals of the enterprise. Though there are several organizations that attempt to set standards in the purchasing process, processes can vary greatly between organizations. Typically the word purchasing is not used interchangeably with the word procurement, since procurement typically includes Expediting, Supplier Quality, and Traffic and Logistics (T&L) in addition to Purchasing.

OVERVIEW
Purchasing managers/directors, and procurement managers/directors guide the organizations acquisition procedures and standards. Most organizations use a three-way check as the foundation of their purchasing programs. This involves three departments in the organization completing separate parts of the acquisition process. The three departments do not all report to the same senior manager to prevent unethical practices and lend credibility to the process. These departments can be purchasing, receiving; and accounts payable or engineering, purchasing and accounts payable; or a plant manager, purchasing and accounts payable. Combinations can vary significantly, but a purchasing department and accounts payable are usually two of the three departments involved.

*********************************************************************** *********************************************************************** ***************************************** Historically, the purchasing department issued Purchase Orders for supplies, services, equipment, and raw materials. Then, in an effort to decrease the administrative costs associated with the repetitive ordering of basic consumable items, "Blanket" or "Master" Agreements were put into place. These types of agreements typically have a longer duration and increased scope to maximize the Quantities of Scale concept. When additional supplies are required, a simple release would be issued to the supplier to provide the goods or services. Another method of decreasing administrative costs associated with repetitive contracts for common material, is the use of company credit cards, also known as "Purchasing Cards" or simply "P-Cards". P-card programs vary, but all of them have internal checks and audits to ensure appropriate use. Purchasing managers realized once contracts for the low dollar value consumables are in place, procurement can take a smaller role in the operation and use of the contracts. There is still oversight in the forms of audits and monthly statement reviews, but most of their time is now available to negotiate major purchases and setting up of other long term contracts. These contracts are typically renewable annually. This trend away from the daily procurement function (tactical purchasing) resulted in several changes in the industry. The first was the reduction of personnel. Purchasing departments were now smaller. There was no need for the army of clerks processing orders for individual parts as in the past. Another change was the focus on negotiating contracts and procurement of large capital equipment. Both of these functions permitted purchasing departments to make the biggest financial contribution to the organization. A new terms and job title emerged Strategic sourcing and Sourcing Managers. These professionals not only focused on the bidding process and negotiating with suppliers, but the entire supply function. In these roles they were able to add value and maximize savings for organizations. This value was manifested in lower inventories, less personnel, and getting the end product to the organizations consumer quicker. Purchasing managers success in these roles resulted in new assignments outside to the traditional purchasing function logistics, materials management, distribution, and warehousing. More and more purchasing managers were becoming Supply

*********************************************************************** *********************************************************************** ***************************************** Chain Managers handling additional functions of their organizations operation. Purchasing managers were not the only ones to become Supply Chain Managers. Logistic managers, material managers, distribution managers, etc all rose the broader function and some had responsibility for the purchasing functions now. In accounting, purchases is the amount of goods a company bought throughout this year. They are added to inventory. Purchases are offset by Purchase Discounts and Purchase Returns and Allowances. When it should be added depends on the Free On Board (FOB) policy of the trade. For the purchaser, this new inventory is added on shipment if the policy was FOB shipping point, and the seller remove this item from its inventory. On the other hand, the purchaser added this inventory on receipt if the policy was FOB destination, and the seller remove this item from its inventory when it was delivered. Goods bought for the purpose other than direct selling, such as for Research and Development, are added to inventory and allocated to Research and Development expense as they are used. On a side note, equipments bought for Research and Development are not added to inventory, but are capitalized as assets..

PURCHASING PROCESS ACQUISITION PROCESS


The revised acquisition process for major systems in industry and defense is shown in the next figure. The process is defined by a series of phases during which technology is defined and matured into viable concepts, which are subsequently developed and readied for production, after which the systems produced are supported in the field.[1]

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MODEL OF THE ACQUISITION PROCESS:


The process allows for a given system to enter the process at any of the development phases. For example, a system using unproven technology would enter at the beginning stages of the process and would proceed through a lengthy period of technology maturation, while a system based on mature and proven technologies might enter directly into engineering development or, conceivably, even production. The process itself includes four phases of development:

CONCEPT AND TECHNOLOGY DEVELOPMENT:


Concept and Technology Development is intended to explore alternative concepts based on assessments of operational needs, technology readiness, risk, and affordability.

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CONCEPT AND TECHNOLOGY DEVELOPMENT PHASE BEGINS WITH CONCEPT


EXPLORATION:

During this stage, concept studies are undertaken to define alternative concepts and to provide information about capability and risk that would permit an objective comparison of competing concepts.

SYSTEM DEVELOPMENT AND DEMONSTRATION PHASE:


This phase could be entered directly as a result of a technological opportunity and urgent user need, as well as having come through concept and technology development.

SUSTAINMENT AND DISPOSAL PHASE:


The last, and longest, phase is the Sustainment and Disposal phase of the program. During this phase all necessary activities are accomplished to maintain and sustain the system in the field in the most cost-effective manner possible.

SELECTION OF BIDDERS:
This is the process where the organization identifies potential suppliers for specified supplies, services or equipment. These suppliers' credentials (qualifications) and history are analyzed, together with the products or services they offer. The bidder selection process varies from organization to organization, but can include running credit reports, interviewing management, testing products, and touring facilities. This process is not always done in order of importance, but rather in order of expense. Often purchasing managers research potential bidders obtaining information on the organizations and products from media sources and their own industry contacts. Additionally, purchasing might send Request for Information (RFI) to potential suppliers to help gather information. Engineering would also inspect sample products to determine if the

*********************************************************************** *********************************************************************** ***************************************** company can produce products they need. If the bidder passes both of these stages engineering may decide to do some testing on the materials to further verify quality standards. These tests can be expensive and involve significant time of multiple technicians and engineers. Engineering management must make this decision based on the cost of the products they are likely to procure, the importance of the bidders product to production, and other factors. Credit checks, interviewing management, touring plants as well as other steps could all be utilized if engineering, manufacturing, and supply chain managers decide they could help their decision and the cost is justifiable. Other organizations might have minority procurement goals to consider in selection of bidders. Organizations identify goals in the use of companies owned and operated by certain ethnicities or women owned business enterprises. Significant utilizing of minority suppliers may qualify the firm as a potential bidder for a contract with a company or governmental entity looking to increase their minority supplier programs. This selection process can include or exclude international suppliers depending on organizational goals and criteria. Companies looking to increase their pacific rim supplier base may exclude suppliers from the Americas, Europe, and Australia. Other organizations may be looking to purchase domestically to ensure a quicker response to orders as well as easier collaboration on design and production. Organizational goals will dictate the criteria for the selection process of bidders. It is also possible that the product or service being procured is so specialized that the number of bidders are limited and the criteria must be very wide to permit competition. If only one firm can meet the specifications for the product then the purchasing managers must consider utilizing a Sole Source option or work with engineering to broaden the specifications if the project will permit alteration in the specifications. The sole source option is the part of the selection of bidders that acknowledges there is sometimes only one reasonable supplier for some services or products. This can be because of the limited applications for the product cannot support more than one manufacturer, proximity of the service

*********************************************************************** *********************************************************************** ***************************************** provided, or the products are newly designed or invented and competition is not yet available.

BIDDING PROCESS:
This is the process an organization utilizes to procure goods, services or equipment. Processes vary significantly from the stringent to the very informal. Large corporations and governmental entities are most likely to have stringent and formal processes. These processes can utilize specialized bid forms that require specific procedures and detail. The very stringent procedures require bids to be open by several staff from various departments to ensure fairness and impartiality. Responses are usually very detailed. Bidders not responding exactly as specified and following the published procedures can be disqualified. Smaller private businesses are more likely to have less formal procedures. Bids can be in the form of an email to all of the bidders specifying products or services. Responses by bidders can be detailed or just the proposed dollar amount. Most bid processes are multi-tiered. Acquisitions under a specified dollar amount can be user discretion permitting the requestor to choose who ever they want. This level can be as low as $100 or as high as $10,000 depending on the organization. The rationale is the savings realized by processing these request the same as expensive items is minimal and does not justify the time and expense. Purchasing departments watch for abuses of the user discretion privilege. Acquisitions in a mid range can be processed with a slightly more formal process. This process may involve the user providing quotes from three separate suppliers. Purchasing may be asked or required to obtain the quotes. The formal bid process starts as low as $10,000 or as high as $100,000 depending on the organization. The bid usually involves a specific form the bidder fills out and must be returned by a specified deadline. Depending of the commodity being purchased and the organization the bid may specify a weighted evaluation criterion. Other bids would be evaluated at the discretion of purchasing or the end users. Some bids could be evaluated by a cross-functional committee. Other bids may be evaluated by the end user or the buyer in Purchasing. Especially in small, private firms the bidders could be evaluated on *

*********************************************************************** *********************************************************************** ***************************************** criteria or factors that have little if anything to do with the actual bid. Examples of these factors are history of the bidder with the company, history of the bidder with the companys senior management at other firms, and bidders breadth of products.

TECHNICAL EVALUATION:
Technical Evaluations, evaluations of the technical suitability of the quoted goods or services, if required, are normally performed prior to the Commercial Evaluation. During this phase of the procurement process, a technical representative of the company (usually an engineer) will review the proposal and designate each bidder as either technically acceptable or technically unacceptable.Selling is important.

COMMERCIAL EVALUATION: PAYMENT TERMS COST OF MONEY :


Cost of Money is calculated by multiplying the applicable currency interest rate multiplied by the amount of money paid prior to the receipt of GOODS. If the money were to have remained in the Buyer's account, interest would be drawn. That interest is essentially an additional cost associated with such Progress or Milestone payments.

MANUFACTURING LOCATION :
The manufacturing location is taken into consideration during the evaluation stage primarily to calculate freight costs and regional issues which may be considered. For instance, in Europe it is common for factories to close during the month of August for Summer holiday. Labor agreements may also be taken into consideration and may be drawn into the evaluation if the particular region is known to frequent labor unions.

MANUFACTURING LEAD-TIME :
the manufacturing lead-time is the time from the placement of the order (or time final drawings are submitted by the Buyer to the Seller) until the goods are

*********************************************************************** *********************************************************************** ***************************************** manufactured and prepared for delivery. Lead-times vary by commodity and can range from several days to years.

TRANSPORTATION TIME :
Transportation time is evaluated while comparing the delivery of goods to the Buyer's required use-date. If Goods are shipped from a remote port, with infrequent vessel transportation, the transportation time could exceed the schedule an adjustments would need to be made.

DELIVERY CHARGES: the charge for the Goods to be delivered to a stated point.
Bid Validity Packing Bid Adjustments Terms and Conditions Seller's Services Standards Organizations Financial Review Payment Currency Risk Analysis market volatility, financial stress within the bidders Testing

NEGOTIATING:
Negotiating is a key skillset in the Purchasing field. One of the goals of Purchasing Agents is to acquire goods per the most advantageous terms of the buying entity (or simply, the "Buyer"). Purchasing Agents typically attempt to decrease costs while meeting the Buyer's other requirements such as an on-time delivery, compliance to the commercial terms and conditions (including the warranty, the transfer of risk, assignment, auditing rights, confidentiality, remedies, etc). Good negotiators, those with high levels of documented "cost savings", receive a premium within the industry relative to their compensation. Depending on the employment agreement between the Purchasing Agent (Buyer) and the employer, Buyer's cost savings can result in the creation of value to the business, and may result in a flat-rate bonus, or a percentage payout to the Purchasing Agent of the documented cost savings. Purchasing Departments, while they can be considered as a support function of the key business, are actually revenue generating departments. For example, if the company needs to buy $30 million USD of widgets and the Purchasing Department secures the widgets for $25M USD, the Purchasing Department would have saved the company $5M USD. That savings could exceed the annual

*********************************************************************** *********************************************************************** ***************************************** budget of the department, which in effect would pay the department's overhead the employee's salaries, computers, office space, etc.

in a shopping mall may

POST-AWARD ADMINISTRATION:
Post-award administration typically consists of making minor changes, additions or subtractions, that in some way change the terms of the agreement or the Seller's Scope of Supply. Such changes are often minor, but for auditing purposes must be documented into the existing agreement. Examples include increasing the quantity of a Line Item or changing the metallurgy of a particular component.

ETHICS IN PURCHASING:
Ethical consumerism is the intentional purchase of products and services that the customer considers to be made ethically. This may mean with minimal harm to or exploitation of humans, animals and/or the natural environment. Ethical consumerism is practiced through 'positive buying' in that ethical products are

*********************************************************************** *********************************************************************** ***************************************** favoured, or 'moral boycott', that is negative purchasing and company-based purchasing. The rise in ethical consumerism and green brands that identify themselves as ethical, has led to a rise in ethic-based decisions in the mass market, enabled by increased understanding and information about businesses practices. The term ethical consumerism may refer to the wider movement within marketing, which means that large corporations wish to be seen as working ethically and improving the ethical standards of their industry. Alternative terms are ethical consumption, ethical purchasing, moral purchasing, ethical sourcing, ethical shopping or green consumerism.

GLOBAL MORALITY:
In "The Global Markets As An Ethical System", John McMurtry argues that there is no purchasing decision that does not itself imply some moral choice, and that there is no purchasing that is not ultimately moral in nature. This mirrors older arguments, especially by the Anabaptists, e.g. Mennonites, Amish, that one must accept all personal moral and spiritual liability of all harms done at any distance in space or time to anyone by one's own choices. It is often suggested that Judeo-Christian scriptures further direct followers towards practising good stewardship of the Earth, under an obligation to a God who is believed to have created the planet for us to share with other creatures... It should be noted, however, that a very similar argument can be presented from an entirely secular humanist point of view, and there are many people who believe that it is simply better for human beings to acknowledge that the planet supports life only because of a delicate balance of many different factors. Accordingly, sustainability is required and purchasing for vanity or status is abhorred and shunned. This theory is echoed in some modern eco-villages who adopt very similar stances, effectively blocking all goods that do not satisfy their moral criteria at the village gate, and relying on internally produced food and tools as much as possible.

SPENDING AS MORALITY:

*********************************************************************** *********************************************************************** ***************************************** Certain trust criteria, e.g. creditworthiness or implied warranty, are considered to be part of any purchasing or sourcing decision. However, these terms refer to broader systems of guidance that would, ideally, cause any purchasing decision to disqualify offered products or services based on non-price criteria that do not affect the functional, but rather moral, liabilities of the entire production process. Paul Hawken, a proponent of Natural Capitalism, refers to "comprehensive outcomes" of production services as opposed to the "culminative outcomes" of using the product of such services. Often, moral criteria are part of a much broader shift away from commodity markets towards a deeper service economy where all activities, from growing to harvesting to processing to delivery, are considered part of the value chain and for which consumers are "responsible". Some argue[who?] that "Shopping is more important than voting", and that the disposition of money is the most basic role we play in any system of economics. Some theorists believe that it is the clearest way that we express our actual moral choices, i.e., if we say we care about something but continue to buy from parties that have a high probability of risk of harm or destruction of that thing, we don't really care about it, we are practicing a form of simple hypocrisy.

CRITICISM:
Critics argue that the ability to effect structural change is limited in ethical consumerism. Some cite the preponderance of niche markets as the actual effect of ethical consumerism,[citation needed] while others argue that information is limited regarding the outcomes of a given purchase, preventing consumers from making informed ethical choices.[citation needed] Critics have also argued that the uneven distribution of wealth prevents consumerism, ethical or otherwise, from fulfilling its democratic potential.[citation needed]

GROWING DIVERSE USE OF TERM:


As large corporations have tried to position themselves as moral, principled or ethical organisations, the definition has become wider and means different things to different groups of people. For example McDonalds started to sell salads, (a more healthy choice) and has a corporate social responsibility blog. Ethical Consumerism can be seen as a movement in marketing, which may or may not *

*********************************************************************** *********************************************************************** ***************************************** reflect actual changes in the practices of businesses. Particular areas of interest for large businesses are environmental impact and the treatment of workers at the bottom of the organisational hierarchy. This change reflects an increasing awareness of ethical issues and corporate identity amongst mainstream consumers.

POSITIVE BUYING:
Positive buying means favoring ethical products, be they fair trade, cruelty free, organic, recycled, re-used, or produced locally. This option is arguably the most important since it directly supports progressive companies.

STANDARDS AND LABELS:


The international symbol for recycling. A number of standards and labels have been introduced to induce positive buying, such as: Fairtrade Social Accountability 8000 organic food Organic Trade Association Green America Seal of Approval Shade-grown coffee kosher (religious standard) halaal (religious standard) No Pork No Lard (semi-religious standard) vegan free-range poultry grass fed beef union-made dolphin safe fish recycled FSC-certified ("environmentally friendly") wood

*********************************************************************** *********************************************************************** ***************************************** Product Red Rainforest Alliance certified Along with disclosure of ingredients, some mandatory labelling of origins of clothing or food is required in all developed nations. This practice has been extended in some developing nations, e.g., where every item carries the name, phone number and fax number of the factory where it was made so a buyer can inspect its conditions. And, more importantly, to prove that the item was not made by "prison labor", use of which to produce export goods is banned in most developed nations. Such labels have also been used for boycotts, as when the merchandise mark Made in Germany was introduced in 1887. These labels serve as tokens of some reliable validation process, some instructional capital, much as does a brand name or a nation's flag. They also signal some social capital, or trust, in some community of auditors that must follow those instructions to validate those labels. Some companies in the United States, though currently not required to reduce their carbon footprint, are doing so voluntarily by changing their energy use practices, as well as by directly funding (through carbon offsets), businesses that are already sustainable--or are developing or improving green technologies for the future. In 2009, Atlanta's Virginia-Highland became the first Carbon-Neutral Zone in the United States. Seventeen merchants of Atlanta's Virginia-Highland allowed their carbon footprint to be audited. Now, they are partnered with the Valley Wood Carbon Sequestration Projectthousands of acres of forest in rural Georgia through the Chicago Climate Exchange. [2] [3]The businesses involved in the partnership display the Verus Carbon Neutral seal in each storefront and posted a sign prominently declaring the area's Carbon Neutral status. Over time, some theorists suggest, the amount of social capital or trust invested in nation-states (or "flags") will continue to decrease, and that placed in corporations (or "brands") will increase. This can only be offset by retrenched national sovereignty to reinforce shared national standards in tax, trade, and tariff laws, and by placing the trust in civil society in such "moral labels". These *

*********************************************************************** *********************************************************************** ***************************************** arguments have been a major focus of the anti-globalization movement, which includes many broader arguments against the amoral nature of markets as such. However, the economic school of Public Choice Theory pioneered by James M. Buchanan has offered counter-arguments based on economic demonstration to this theory of 'amoral markets' versus 'moral governments'.

AREAS OF CONCERN:
Ethical Consumer, the alternative consumer organisation, collects and categorises information of more than 30.000 companies according to their performance in five main areas, composing the Ethiscore: Environment: Environmental Reporting, Nuclear Power, Climate Change, Pollution & Toxics, Habitats & Resources People: Human Rights, Workers' Rights, Supply Chain Policy, Irresponsible Marketing, Armaments Animals: Animal Testing, Factory Farming, Other Animal Rights Politics: Political Activity, Boycott Call, Genetic Engineering, Anti-Social Finance, Company Ethos Product Sustainability: Organic, Fairtrade, Positive Environmental Features, Other Sustainability.

BOYCOTT:
Moral boycott is the practice of avoiding or boycotting products which a consumer believes to be associated with unethical behavior. An individual can choose to boycott a product. Alternatively, the decision may be the application of criteria reflective of a morality (or, in the terminology of ethics, a theory of value) to any purchasing decisions.

PRODUCTS:
Reasons for products boycotts include * factory farming environmental harm

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CORPORATIONS:
Examples include corporations that are perceived to espouse unethical behavior by one of its subsidiaries investing a portion of their profits in for example the arms industry Such boycotts can cause great damage to reputations, not to mention loss of profits, and has, in part, led to the development of the concept of corporate social responsibility. Consumers are encouraged by animal welfare organisations to only shop at supermarkets which have strict animal welfare policies regarding the products they sell. Compassion in World Farming produce a supermarket survey every 2 years assessing supermarket performance in the UK.

COUNTRIES:
Examples: Made in Germany Consumer boycotts of South Africa over apartheid. These boycotts were mirrored in state policy over time, and contributed to the fall of the white regime.

RESEARCH:
GfK NOP, the market research group, has made a five-country study of consumer beliefs about the ethics of large companies. The report is described in a Financial Times article published on February 20, 2007 entitled 'Ethical consumption makes mark on branding', and was followed up by an online debate/discussion hosted by FT.com .The countries surveyed were Germany, the USA, Britain, France and Spain. More than half of respondents in Germany and the US believed there is a serious deterioration in standards of corporate practice. Almost half of those surveyed in Britain, France and Spain held similar beliefs. About a third of respondents told researchers they would pay higher prices for ethical brands though perception of various companies ethical or unethical status varied considerably from country to country.

*********************************************************************** *********************************************************************** ***************************************** The most ethically perceived brands were: The Co-op (in the UK), Coca Cola (in the US), Danone (in France), Adidas (in Germany) and Nestl (in Spain). Coca Cola, Danone, Adidas and Nestl did not appear anywhere in the UK's list of 15 most ethical companies. Nike appeared in the lists of the other four countries but not in the UK's list. In the UK, the Co-operative Bank has produced an Ethical Consumerism Report (formerly the Ethical Purchasing Index) since 2001. The report measures the market size and growth of a basket of 'ethical' products and services, and valued UK ethical consumerism at GBP29.3 billion (USD59.1 billion) in 2005. A number of organisations provide research-based evaluations of the behavior of companies around the world, assessing them along ethical dimensions such as human rights, the environment, animal welfare and politics. Green America is a not-for-profit membership organization founded in 1982 that provides the Green American Seal of Approval and produces a "Responsible Shopper" guide to "alert consumers and investors to problems with companies that they may shop with or invest in." The Ethical Consumer Research Association is a not-for-profit workers' co-operative founded in the UK in 1988 to "provide information on the companies behind the brand names and to promote the ethical use of consumer power" which provides an online seachable database under the name Corporate Critic or Ethiscore. The Ethiscore is a weightable numerical rating designed as a quick guide to the ethical status of companies, or brands in a particular area, and is linked to a more detailed ethical assessment. "alonovo" is an online shopping portal that provides similar weightable ethical ratings termed the "Corporate Social Behavior Index".

SUPPLY MANAGEMENT:
The term supply management describes the methods and processes of modern corporate or institutional buying. This may be for the purchasing of supplies for internal use, purchasing raw materials for the consumption during the manufacturing process, or for the purchasing of goods for inventory to be resold as products in the distribution and retail process.

*********************************************************************** *********************************************************************** ***************************************** In many organizations, acquisition or buying of services is called contracting, while that of goods is called purchasing or procurement. The supply management function of an organization is responsible for various aspects of these acquisitions: Managing supplier performance Implementing technologies, processes, policies, and procedures to support the purchasing process (Supplier Relationship Management). The supplier relationship management process: a process for providing the structure for how relationships with suppliers will be developed and maintained. Economic theories of supply and demand Supply management is generally regarded as a systematic business process that includes more functions than traditional buying, such as coordinating inbound and internal pre-production logistics and managing inventory. Supply management deals primarily with the oversight and management of materials and services inputs, management of the suppliers who provide those inputs, and support of the process of acquiring those inputs. The performance of supply management departments and supply management professionals is commonly measured in terms of amount of money saved for the organization. However, managing risk is one of the other critical aspects of supply management; especially the risk of non-availability at the required time of quality goods and services critical for an organization's survival and growth.

GROUPS AND CERTIFICATIONS:


The importance of supply management in global business has prompted the formation of professional organizations to address the need for higher levels of supply management skill and expertise. One of the largest of these is the Institute for Supply Management, a United States not-for-profit association that includes more than 40,000 members. It is affiliated with the International Federation of Purchasing and Supply Management [1], a union of local and national purchasing associations with approximately 200,000 members. For companies seeking to fulfill diversity supplier spend commitments, the National Minority Supplier Development Council [2] with 39 affiliated nation-wide *

*********************************************************************** *********************************************************************** ***************************************** councils, was established in 1972 to assist in promoting supplier diversity, and also provides management training and access to viable minority business enterprises. Many certification programs are relevant to the supply management profession. Some are offered through non-profit associations, such as the Certified Purchasing Manager (CPM) and Certified Professional in Supply Management (CPSM) through the Institute for Supply Management. There are also for-profit companies who offer certification programs, such as Next Level Purchasing, Inc. who offers the Senior Professional in Supply Management (SPSM) Certification.

Supply chain management


dding loc tions can be a defe sive stra

egy designed to main isting store to prevent c

ain a market share o

n the s me chai hand, e market. On the othe , rather than expand t ho already patronize an e Supply management is different than supply chain management, though it can be considered a component of supply chain management. Conversely, where the supply management function is established as a C-level strategic effort, supply chain management is but one component of an overall strategic supply

*********************************************************************** *********************************************************************** ***************************************** management approach. Supply chain management, which can be automated, generally refers to: The oversight and management of materials and services inputs The production process in which those materials and services are used, and The provision of outputs that are generated through the use of the acquired materials and services, which is analogous to the fulfillment of customer requirements. Supply management is a complementary discipline that encompasses the alignment of organizations, processes, and systems for strategic sourcing, contract management, supplier management, spending analysis to continuously improve global supply for best-value performance in support of the strategic objectives of the business.

OBJECTIVE:
Add product value, increase quality, reduce costs, and increase profits by addressing the needs and performance of: supplier relations, supplier selection, purchasing negotiations, operations, transportation, inventory, warehousing, third-party vendors, electronic commerce, recycling, supply chain electronic software, and customer relations.

ISO STANDARDS:

*********************************************************************** *********************************************************************** ***************************************** ISO International Standards Organization describes over 13,000 standards, such as: ISO 3891:1978 Procedure for describing aircraft noise heard on the ground ISO 12199:2000 Alphabetical ordering of multilingual terminological and lexicographical data represented in the Latin alphabet ISO 8669-1:1988 Urine collection bags -- Part 1: Vocabulary ISO 1107:1974 Fishing nets -- Netting -- Basic terms and definitions

They are not all what they seem. Misuse can unnecessarily drive up costs, eg EH-101 ISO certification is not a guarantee market. A third position is t and benefits of remain uncover benefits t or the being. time

shut down at one location ng in an existing location. A and move to another. shift in markets, exhaustionat make one of the Organizations must weigh of raw materials, and theprevious three alternatives the costs of a move and cost of operations oftenattractive, a firm may the resulting benefits cause firms to consider thisdecide to maintain the against the cost option seriously. status quo, at least Finally, organizations have the option of doing nothing. If a detailed analysis of potential locations fails to

mpetitors entering a

from

CREATING A LEAN SUPPLY CHAIN WHAT IS LEAN?

*********************************************************************** *********************************************************************** ***************************************** A philosophy that seeks to shorten the time between the customer order and the shipment to customer by eliminating waste John Shook We can reduce lean to three elements (Womack and Jones)Flow Pull Striving for excellence Elements of a Lean Supply Chain JIT Purchasing JIT Transportation JIT Operations Characteristics of JIT Purchasing-Purchase in small lots with frequent deliveries Mutual, consistent improvement by the buyer and supplier Collaborative efforts between buyer and supplier Efficient point-to-point communication linkages The rights-right quantity right time right quality Challenges facing U.S. firms when pursuing JIT Purchasing with suppliers Size of supply base Geographic dispersion Incomplete communication and information sharing Inconsistent supplier quality Poor relationship between buyers and sellers How can firms counter these challenges? JIT Purchasing--Supplier Expectations A longer-term business arrangement Fair financial return Adequate time for planning Accurate forecasts Correct and firm material and product specifications Parts designed to match the suppliers process capability

*********************************************************************** *********************************************************************** ***************************************** Smoothly timed order releases Minimum number of change orders

WHAT IS SUPPLIER RELATIONSHIP MANAGEMENT (SRM):

*********************************************************************** *********************************************************************** ***************************************** SRM is a discipline of working collaboratively with those suppliers that are vital to the success of your organisation, to maximise the potential value of those relationshipsGood SRM is comprised of six building blocks: Supplier segmentation Accountability Process and Governance Technology Value Resourcing

1) SEGMENTATION:
In order to develop or improve SRM, an organisation needs to implement a supplier segmentation approach that considers the internal needs of the business, spend, and also accounts for all risk and business criticality factors. The process of segmenting suppliers should be repeated on a regular (minimum annual) basis.

2) ACCOUNTABILITY:
Executive involvement is critical to the success of aligning the respective organisations strategic objectives and forms the basis of building a partnership and ultimately unlocking value for both organisations. The key challenge is who owns the supplier relationship, with 9 ownership types having been identified.Procurement functions should take the central role in coordinating supplier relationships, whilst owning and co-ordinating the process, governance and technology.

3) PROCESS AND GOVERNANCE:


Organisations have pockets of excellence of clearly articulated processes and roles often led by the IT function. Organisations have often approach process and governance in a one size fits all approach and are yet to tailor processes and roles and responsibilities to the different supplier segments.

4) TECHNOLOGY:
Current SRM technology is limited although State of Flux has developed a Supplier Management System (SMS) which is used by a number of the worlds leading organisations.Traditionally there has been confusion about SRM solutions available with organisations implementing contract management systems or supplier performance management solutions as an alternative (which

*********************************************************************** *********************************************************************** ***************************************** are still important but not SRM).Leading SRM organisations are using SRM technology as the change agent to get stakeholders and wider business buy in.

5) VALUE:
SRM needs to deliver both hard and soft benefits. That is cost savings as a hard benefit and soft benefits such as access to innovation and increased new product speed to market.

6) RESOURCING:
The three key skills required for procurement to implement successful SRM are: market & category knowledge, cross-functional working and commercial & contractual expertise. The current SRM role is viewed as a task to be performed in addition to the day job and a lot of organisations have yet to implement a Supplier Account Management structure with dedicated resource and set roles and responsibilities.

THE SUPPLIER RELATIONSHIP PROCESS:


The sourcing process qualifies, selects, manages the contracts, and evaluates suppliers. The design collaboration process focuses on jointly designing new services or products with key suppliers, seeking to eliminate costly delays and mistakes incurred when many suppliers concurrently, but independently, design service packages or manufactured components. The negotiation process process focuses on obtaining an effective contract that meets the price, quality, and delivery requirements of the supplier relationship processs internal customers. The buying process relates to the actual procurement of the service or material from the supplier. This process includes the creation, management, and approval of purchase orders. The information exchange process facilitates the exchange of pertinent operating information, such as forecasts, schedules, and inventory levels between the firm and its supplier.

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SUPPLIER SELECTION AND CERTIFICATION PURCHASING:


The activity that decides which suppliers to use, negotiates contracts, and determines whether to buy locally.

SUPPLIER SELECTION:
Supplier selection often considers the criteria of price, quality and delivery.

GREEN PURCHASING:
The process of identifying, assessing, and managing the flow of environmental waste and finding ways to reduce it and minimize its impact on the environment.

SUPPLIER CERTIFICATION:
Supplier certification programs verify that potential suppliers have the capability to provide the services or materials the buyer firm requires.

SUPPLIER RELATIONS: COMPETITIVE ORIENTATION views negotiations between buyer and seller as a zerosum game. Whatever one side loses, the other side gains, and short-term advantages are prized over long-term commitments.

COOPERATIVE ORIENTATION is where the buyer and seller are partners, each
helping the other as much as possible.

SOLE SOURCING is the awarding of a contract for a service or item to only one
supplier.

SUPPLIER PARTNERING BUSINESS PARTNERING is "the development of successful, long term, strategic
relationships between customers and suppliers, based on achieving best practice and sustainable competitive advantage"(Lendrum, 1997).

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MISSION
The mission of Business partnering and the key-aspects of the discipline has been developed recently in the tourism field. The mission of Business partnering (for tourism) consists in "creating, organizing, developing and enforcing operative (short-term), tactical (medium-term) and strategic (long-term) partnerships" (Droli, 2007).

EXAMPLES
Joint selling is an example of operative partnering activity. Account intelligence sharing reselling or "value chain integration" (Child, Faulkner, 1998) are examples of tactical partnering initiatives. Joint product development is a typical strategic partnering activity. Partnering agreements are commonly used in the different kind of partnerships. One example of Strategic Partnering Arrangement in the aviation sector is the one which put together the UK Ministry of Defence and AgustaWestland. Both Partners share an agreed common objective to improve helicopter services and support to the Front Line. The MOD also wishes to provide the best value for money to the taxpayer while AgustaWestland seeks to provide the best returns to its shareholders via a stable, long-term income stream.

BENEFITS REDUCTION OF GENERAL COSTS. Business partnering can be cheaper and more
flexible than a merger or acquisition, and can be employed when a merger or acquisition is not feasible.

BUSINESS PARTNERING INCREASES THE "COMPETITIVE ADVANTAGE" . The direct


benefits of Business partnering consists in a greater competitive advantage through the co-operation (the co-opetitive advantage) and even better opportunitiers of revenues, occupation and investment in the sector of application. Business partnering creates a no more traditionally-based solidarity or "organic", but a rationale form of "mechanic solidarity" (Durkheim, 1893). Partnering takes a new approach to achieving business objectives. It replaces the traditional

*********************************************************************** *********************************************************************** ***************************************** customer-supplier model with a collaborative approach to achieving a shared objective; this may be to build a hospital, improve an existing service contract or launch an entirely new programme of work. Essentially, the Partners work together to achieve an agreed common aim whilst each participant may still retain different reasons for achieving that common aim.

SUPPLIER AUDIT:
Trail of information that describes significant events Useful for tracking progress Useful for diagnosing problems Significant contract management tool Paper versus computer Which is better?

IMPLIMENTATION ON POTATOS: INTRODUCTION:


Over the years, potato has become an important crop for both farmers and consumers in Pakistan. It is the fourth most important crop by volume of production, it is high yielding, having a high nutritive value and gives high returns to farmers. From around 3,000 Ha. At the time of independence, the area under production increased to around 107000 ha. During the same period the average yields rose from around 9 in 1947 to 20 MT per ha. Pakistan is self-sufficient in potatoes for household consumption and relies for more than 99% on locally produced seed potatoes. Presently, it is estimated that the total annual domestic production amounts to around 1.8 Million MT, of which 280000 MT is used as seed and 1.8 Million MT is available for consumption after post harvest losses. With a population of roughly 132 Million, this accounts to 9.3 Kg per Capita per annum. The recent large increase in acreage was reached by an intensification of the cultivation in existing potato growing areas, as well as by introduction of the crop in new areas and to inexperienced farmers. Hence, many problems, like

*********************************************************************** *********************************************************************** ***************************************** diseases and pests, became more hazardous and a large number of farmers are lacking knowledge of the right cultivation technique. These include pests and disease control, land preparation and irrigation, fertilizer application, crop rotation and multi-cropping techniques. The lack of credit facilities to purchase inputs creates difficulties, in particular for small farmers, inhibiting their effort to raise productivity. High quality costly seed forms another constraint. The seed contributes to about 35-40% of the total cost of production in Pakistan. Formal certified seed production is limited and faces technical, economical and managerial problems. Lack of availability of sufficient quantities of good seed and low purchasing power of the farmers, forces them to rely on seed sources of doubtful quality or own production, for which most of them do not have the proper skills. Poor post harvest handling, including transport and storage practices, causes unnecessary damage and losses and reduction of consumption quality. Sufficient cold store space is available in Pakistan. The handling of potatoes in storage is unsatisfactory and poorly managed. Finally, the farmers and consumers are faced with serve cyclical fluctuations in price, as production moves from glut to shortage, so preventing the farmers from enjoying a reliable income and inhibiting the consumer from including potato as a regular staple part in his diet.

AREA AND PRODUCTION OF POTATOES IN PAKISTAN:


YEAR 1947-48 1999-2000 2000-2001 2001-2002 2002-2003 2003-2004 2004-2005 * AREA. HA) 3.0 112.8 101.5 105.2 115.8 109.7 112.0 (000 PRODUCTION.(000) TONNES 30.0 1871.0 1665.7 1730.7 1946.3 1938.1 2024.9 YIELD. HA. 10.0 17.3 16.4 16.4 16.8 17.7 18.1 TONNES/

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SOURCES:
1. From 1984-85 to 1997-98. Agricultural Statistics of Pakistan, 1997-98, MINFAL, Islamabad. 2. Final estimate for 1998-99 Punjab, Sindh and NWFP provided by respective Provincial Agriculture Department and for Balochistan, minutes of 72 meeting of FCA.

PROVINCIAL SHARES IN AREA AND PRODUCTION.


Punjab, Sindh, NWFP and Balochistan respectively account for 83, 1, 10 and 6 percent of the total area and 83,1,9 and 7 percent of the production of potatoes in the country. The shares of Autumn, Spring and Summer crops in the annual production are estimated at 75,10 and 15 percent, respectively.

IMPORTANT POTATO PRODUCTION DISTRICTS.


Districts of Okara, Sahiwal, Kasur, Sialkot, Sheikhupura, Jhang, Lahore, Narowal, Pakpattan, Gujranwala, T.T. Singh and Khanewal from the Punjab, Nowshera, Dir and Mansehra from the NWFP and Pishin, Killa Saifulla and Kalat from Balochistan are important potato growing districts, accounting among themselves for 78 percent of the total production of the crop.

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SOURCES OF LABOUR SUPPLY:

LABOUR SUPPLY
In mainstream economic theories, the supply of labor is the number of total hours that workers wish to work at a given real wage rate. Realisticly, the labor supply is a fuction of various factors within an economy. For instance, overpopulation increases the number of available workers driving down wages and can result in high unemployment. Labor supply curves are derived from the 'labor-leisure' trade-off. More hours worked earn higher incomes but necessitate a cut in the amount of leisure that workers enjoy. Consequently there are two effects on the amount of desired labor supplied due to a change in the real wage rate. As, for example, the real wage rate rises the opportunity cost of leisure increases. This tends to cause workers to supply more labor (the "substitution effect"). However, as the real wage rate rises, workers earn a higher income for a given number of hours. If leisure is a normal good - the demand for it increases as income increases - this increase in income will tend to cause workers to supply

*********************************************************************** *********************************************************************** ***************************************** less labor (the "income effect"). If the "substitution effect" is stronger than the "income effect" then the labor supply curve will be upward sloping and vice versa. From a Marxist view a labor supply is a core requirement in a capitalist society. In order to avoid Labor shortage and ensure a labor supply, a large portion of the population must not possess sources of self-provisioning, which would allow them to be independent, and they must instead be compelled, in order to survive, to sell their labor for a subsistence wage. In the pre industrial economies wage labor was generally undertaken only by those with little or no land of their own.

THE DEMAND FOR LABOR DERIVED DEMAND:


The demand for a factor of production that is derived from the demand for the good the factor produces.

THE MARGINAL REVENUE PRODUCT OF LABOR MARGINAL PRODUCT OF LABOR:


The additional output a firm produces as a result of hiring one more worker Marginal revenue product of labor (MRP): The change in a firms revenue as a result of hiring one more worker.

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s
Managers of existing companie

The Relationship between the Marginal Revenue Product of Labor and the Wage WHEN MRP > W, MRP < W, MRP = W, THEN THE FIRM should hire more workers to increase profits. should hire fewer workers to increase profits. is hiring the optimal number of workers and is maximizing profits.

Hiring Decisions by a Firm That Is a Price Maker (1) (2) (3) (4) (5) (6) (7) (8) PROFIT FROM HIRING QUANTITY OUTPUT MARGINAL PRODUCT TOTAL OF LABOR OF iPODS * PRODUCT PRICE OF LABOR MARGINAL WAGE ADDITIONAL PRODUCT

REVENUE REVENUE

*********************************************************************** *********************************************************************** ***************************************** ONE PER 0 1 2 3 4 5 6 WEEK 0 6 11 15 18 20 21 6 5 4 3 2 1 $200 180 160 140 120 100 80 $0 $1,080 1,760 2,100 2,160 2,000 1,680 OF LABOR $1,080 680 340 60 160 320 $500 500 500 500 500 500 500 ADDITIONAL WORKER $580 180 160 440 660 820

THE MARKET DEMAND CURVE FOR LABOR:


The market demand curve for labor is determined by adding up the quantity of labor demanded by each firm at each wage, holding constant all other variables that might affect the willingness of firms to hire workers.

FACTORS THAT SHIFT THE MARKET DEMAND CURVE FOR LABOR:


The five most important variables that cause the labor demand curve to shift are the following: 1) Increases in human capital.(Human capital The accumulated training and skills that workers possess.) 2) Changes in technology. 3) Changes in the price of the product. 4) Changes in the quantity of other inputs. 5) Changes in the number of firms in the market. The Supply of Labor

*********************************************************************** *********************************************************************** ***************************************** usually consider four ptions in location planning. One is to

THE MARKET SUPPLY CURVE OF LABOR:


The market supply curve of labor is determined by adding up the quantity of labor supplied by each worker at each wage, holding constant all other variables that might affect the willingness of workers to supply labor.

FACTORS THAT SHIFT THE MARKET SUPPLY CURVE OF LABOR:


Increases in population. Changing demographics. Changing alternatives.

expand an existing facility; thi option can be attractive if the

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y if the location has desirable eatures that are not readily available else where. Expansio e is adequate room for expansion. Especial

atives. Another option is to ad new location while retaining existing ones, as is done in costs are less expensive than other alter

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any retail operations. In such cases

t is essential to take into account, what the impact will be on the total system. Opening a new stor

Explaining Differences in Wages Compensating Differentials Compensating differentials: Higher wages that compensate workers for unpleasant aspects of a job. Discrimination Why Do White Males Earn More Than Other Groups? GROUP White males White females Black males Black females Hispanic males Hispanic females ANNUAL EARNINGS $46,746 34,464 33,248 29,749 26,769 24,402

*********************************************************************** *********************************************************************** ***************************************** Most economists believe that only a small amount of the gap between the wages of white males and the wages of other groups is due to discrimination. Instead, most of the gap is explained by three main factors: 1 Differences in education 2 Differences in experience 3 Differing preferences for jobs Differences in Education Some of the difference between the incomes of whites and the incomes of blacks can be explained by differences in education. Differences in Experience Women are much more likely than men to leave their jobs for a period of time after having a child. Differing Preferences for Jobs Significant differences between the types of jobs held by women and men is likely a reflection in job preferences.

THE RECRUITMENT AND SELECTION PROCESS


1. Decide what positions youll have to fill through personnel planning and forecasting. 2. Build a pool of candidates for these jobs by recruiting internal or external candidates. 3. Have candidates complete application forms and perhaps undergo an initial screening interview. 4. Use selection techniques like tests, background investigations, and physical exams to identify viable candidates. 5. Decide who to make an offer to, by having the supervisor and perhaps others on the team interview the candidates.

Steps in Recruitment and Selection Process

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The recruitment and selection process is a series of hurdles aimed at selecting the best candidate for the job.

PLANNING AND FORECASTING EMPLOYMENT OR PERSONNEL PLANNING


The process of deciding what positions the firm will have to fill, and how to fill them.

SUCCESSION PLANNING
The process of deciding how to fill the companys most important executive jobs.

WHAT TO FORECAST?
Overall personnel needs The supply of inside candidates The supply of outside candidates

LINKING EMPLOYERS STRATEGY TO PLANS

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FORECASTING PERSONNEL NEEDS TREND ANALYSIS


The study of a firms past employment needs over a period of years to predict future needs.

RATIO ANALYSIS
A forecasting technique for determining future staff needs by using ratios between a causal factor and the number of employees needed. Assumes that the relationship between the causal factor and staffing needs is constant

THE SCATTER PLOT SCATTER PLOT


A graphical method used to help identify the relationship between two variables. Size of Hospital 200 300 240 260 Number of (Number of Beds) Registered Nurses

*********************************************************************** *********************************************************************** ***************************************** 400 470 500 600 700 800 900 500 620 660 820 860

DETERMINING THE RELATIONSHIP BETWEEN HOSPITAL SIZE AND NUMBER OF NURSES:

DRAWBACKS TO SCATTER PLOTS


1. They focus on projections and historical relationships, and assume that the firms existing structure and activities will continue into the future. 2. They generally do not consider the impact the companys strategic initiatives may have on future staffing levels.

*********************************************************************** *********************************************************************** ***************************************** 3. They tend to support compensation plans that reward managers for managing ever-larger staffs, and will not uncover managers who expand their staffs irrespective of strategic needs. 4. They tend to bake in the nonproductive idea that increases in staffs are inevitable. 5. They tend to validate and institutionalize existing planning processes and ways of doing things, even in the face of rapid change.

USING COMPUTERS TO FORECAST PERSONNEL REQUIREMENTS COMPUTERIZED FORECASTS


The use software packages to determine of future staff needs by projecting sales, volume of production, and personnel required to maintain a volume of output. Generates figures on average staff levels required to meet product demands, as well as forecasts for direct labor, indirect staff, and exempt staff. Typical metrics: direct labor hours required to produce one unit of product (a measure of productivity), and three sales projectionsminimum, maximum, and probable.

FORECASTING THE SUPPLY OF INSIDE CANDIDATES: QUALIFICATIONS INVENTORIES


Manual or computerized records listing employees education, career and development interests, languages, special skills, and so on, to be used in selecting inside candidates for promotion.

MANUAL SYSTEMS AND REPLACEMENT CHARTS: PERSONNEL REPLACEMENT CHARTS


Company records showing present performance and promotability of inside candidates for the most important positions.

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POSITION REPLACEMENT CARD


A card prepared for each position in a company to show possible replacement candidates and their qualifications.

COMPUTERIZED INFORMATION SYSTEMS


Human Resource Information System (HRIS) Computerized inventory of information that can be accessed to determine employees background, experience, and skills that may include: Work experience codes Product or service knowledge Industry experience Formal education

The Matter of Privacy of HR Information The need to ensure the security of HR information

*********************************************************************** *********************************************************************** ***************************************** There is a lot of HR information to keep secure. Control of HR information can be established through the use of access matrices that limit users. Legal considerations: The Federal Privacy Act of 1974 gives employees rights regarding who has access to information about their work history and job performance. Forecasting the Supply of Outside Candidates Factors impacting the supply of outside candidates General economic conditions Expected unemployment rate

Sources of information Periodic forecasts in business publications Online economic projections Effective Recruiting External factors affecting recruiting: Looming undersupply of workers Lessening of the trend in outsourcing of jobs Increasingly fewer qualified candidates U.S. Congressional Budget Office (CBO) Bureau of Labor Statistics U.S. Department of Labor: O*Net Other federal agencies

Internal factors affecting recruiting: The consistency of the firms recruitment efforts with its strategic goals The available resources, types of jobs to be recruited and choice of recruiting methods Nonrecruitment HR issues and policies Line and staff coordination and cooperation

Advantages of centralizing recruitment

*********************************************************************** *********************************************************************** ***************************************** Strengthens employment brand Ease in applying strategic principles Reduces duplication of HR activiites Reduces the cost of new HR technologies Builds teams of HR experts Provides for better measurement of HR performance Allows for the sharing of applicant pools

Sample Acceptable Questions Once A Conditional Offer Is Made 1. Do you have any responsibilities that conflict with the job vacancy? 2. How long have you lived at your present address? 3. Do you have any relatives working for this company? 4. Do you have any physical defects that would prevent you from performing certain jobs where, to your knowledge, vacancies exist? 5. Do you have adequate means of transportation to get to work? 6. Have you had any major illness (treated or untreated) in the past 10 years? 7. Have you ever been convicted of a felony or do you have a history of being a violent person? (This is a very important question to avoid a negligent hiring or retention charge.) 8. Educational background. (The information required here would depend on the job-related requirements of the position.) Measuring Recruiting Effectiveness What to measure and how to measure How many qualified applicants were attracted from each recruitment source? Assessing both the quantity and the quality of the applicants produced by a source. High performance recruiting Applying best-practices management techniques to recruiting.

*********************************************************************** *********************************************************************** ***************************************** Using a benchmarks-oriented approach to analyzing and measuring the effectiveness of recruiting efforts such as employee referrals. Recruiting Yield Pyramid

Recruiting yield pyramid The historical arithmetic relationships between recruitment leads and invitees, invitees and interviews, interviews and offers made, and offers made and offers accepted. FINDING INTERNAL CANDIDATES

JOB POSTING
Publicizing an open job to employees (often by literally posting it on bulletin boards) and listing its attributes, like qualification, supervisor, work schedule, any pay rate. Qualifications personnal inventory tools like those described earlier ( such as computerized skills banks) are also important. An examination of personnel records may reveal employees who are working in jobs below their educational or skill levels. It may also reveal employees who are working in jobs below their educational or skill levels. It may also reveal persons who have potential for further training or who already have the right background for the open job. Computerized records systems can help ensure that you consider qualified inside candidates for the opening.

ADVANTAGES
*

*********************************************************************** *********************************************************************** ***************************************** a. Foreknowledge of candidates strengths and weaknesses b. More accurate view of candidates skills c. Candidates have a stronger commitment to the company d. Increases employee morale e. Less training and orientation required

DISADVANTAGES
f. Failed applicants become discontented g. Time wasted interviewing inside candidates who will not be considered h. Inbreeding of the status quo

REHIRING FORMER EMPLOYEES


Rehiring former employees has its pros and cons. On the plus side, former employees are known quantities n(more or less), and are already familiar with the companys culture, style, and ways of doing things. On the other hand, employees who left for greener pastures back into better positions may signal your current employees that the best way to get ahead is to leave the firm. In any event, there are several ways to reduce the chance of adverse reactions. For example, after rehired employees have been back on the job for a certain period, credit them with the years of service they had accumulated before they left. In addition, inquire (before hiring them) about what they did during the layoff and how they feel about returning to the firm: You dont want someone coming back who feels theyve been mistreated, said one manager.

ADVANTAGES:
They are known quantities. They know the firm and its culture.

DISADVANTAGES:
They may have less-than positive attitudes.

*********************************************************************** *********************************************************************** ***************************************** Rehiring may sent the wrong message to current employees about how to get ahead.

SUCCESSION PLANNING
The process of ensuring a suitable supply of successors for current and future senior or key jobs. Forecasting the availability of inside executive candidates is particularly important in succession planning. Succession planning steps: Succession planning entails three steps

IDENTIFYING AND ANALYZING KEY JOBS:


First , based on the firms strategic goals, top management and HR identify what the companys future key position needs will be, formulate job descriptions and specifications for them. Thus, plans to expand abroad or to diversify the companys product line may suggest bulking up the management talent in the firms international division, or hiring a key executive to run a new-product division.

CREATING AND ASSESSING CANDIDATES:


After identifying future key position needs, management turns to the job of creating and assessing candidates for these jobs. Creating means identifying potential internal and external candidates for future key positions, and then providing them with the developmental experiences they require to be viable to fill the positions. Organizations develop high-potential employees through a variety of means. Most use internal training and cross-functional experiences; they also use job rotation, external training and global/regional assignments. Selecting those who will fill the key positions.

OUTSIDE SOURCES OF CANDIDATES ADVERTISING

*********************************************************************** *********************************************************************** ***************************************** The Media: selection of the best medium depends on the positions for which the firm is recruiting. Newspapers (local and specific labor markets) Trade and professional journals Internet job sites Marketing programs

CONSTRUCTING AN EFFECTIVE AD
Wording related to job interest factors should evoke the applicants attention, interest, desire, and action (AIDA) and create a positive impression of the firm.

TYPES OF EMPLOYMENT AGENCIES:

*********************************************************************** *********************************************************************** ***************************************** Public agencies operated by federal, state, or local governments Agencies associated with nonprofit organizations Privately owned agencies

REASONS FOR USING A PRIVATE EMPLOYMENT AGENCY:


When a firm doesnt have an HR department and is not geared to doing recruiting and screening. . The firm has found it difficult in the past to generate a pool of qualified applicants. The firm must fill a particular opening quickly. There is a perceived need to attract a greater number of minority or female applicants. The firm wants to reach currently employed individuals, who might feel more comfortable dealing with agencies than with competing companies. The firm wants to cut down on the time its devoting to recruiting.

AVOIDING PROBLEMS WITH EMPLOYMENT AGENCIES:


Give the agency an accurate and complete job description. Make sure tests, application blanks, and interviews are part of the agencys selection process. Periodically review data on candidates accepted or rejected by your firm, and by the agency. Check on the effectiveness and fairness of the agencys screening process. Screen the agency. Check with other managers or HR people to find out which agencies have been the most effective at filling the sorts of positions needed to be filled. Review the Internet and a few back issues of the Sunday classified ads to discover the agencies that handle the positions to be filled.

EMERGING NEEDS

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TEMPORARY BASIS
Benefits of Temps Paid only when working More productive No recruitment, screening, and payroll administration costs

Costs of Temps Fees paid to temp agencies Lack of commitment to firm

Concerns of Temp Employees Treatment by employers in a dehumanizing, impersonal, and ultimately discouraging way. Insecurity about their employment and pessimistic about the future. Worry about their lack of insurance and pension benefits. Being misled about their job assignments and in particular about whether temporary assignments were likely to become full-time positions. Being underemployed (particularly those trying to return to the full-time labor market). In general they were angry toward the corporate world and its values; participants repeatedly expressed feelings of alienation and disenchantment.

GUIDELINES FOR USING TEMPORARY EMPLOYEES


1. Do not train your contingent workers. 2. Do not negotiate the pay rate of your contingent workers. 3. Do not coach or counsel a contingent worker on his/her job performance. 4. Do not negotiate a contingent workers vacations or personal time off. 5. Do not routinely include contingent workers in your companys employee functions. 6. Do not allow contingent workers to utilize facilities intended for employees. 7. Do not let managers issue company business cards, nameplates, or employee badges to contingent workers without HR and legal approval.

*********************************************************************** *********************************************************************** ***************************************** 8. Do not let managers discuss harassment or discrimination issues with contingent workers. 9. Do not discuss job opportunities and the contingent workers suitability for them directly. 10. Do not terminate a contingent worker directly.

WORKING WITH A TEMP AGENCY


Invoicing. Get a sample copy of the agencys invoice. Make sure it fits your companys needs. Time sheets. With temps, the time sheet is not just a verification of hours worked. Once the workers supervisor signs it, its usually an agreement to pay the agencys fees. Temp-to-perm policy. What is the policy if the client wants to hire one of the agencys temps as a permanent employee? Recruitment of and benefits for temp employees. Find out how the agency plans to recruit what sorts of benefits it pays. Dress code. Specify the attire at each of your offices or plants. Equal employment opportunity statement. Get a statement from the agency that it is not discriminating when filling temp orders. Job description information. Have a procedure whereby you can ensure the agency understands the job to be filled and the sort of person you want to fill it.

OFFSHORING/OUTSOURCING WHITE-COLLAR AND OTHER JOBS


Specific issues in outsourcing jobs abroad Political and military instability Likelihood of cultural misunderstandings Customers security and privacy concerns Foreign contracts, liability, and legal concerns Special training of foreign employees Costs associated with companies supplying foreign workers

EXECUTIVE RECRUITERS (HEADHUNTERS)


*

*********************************************************************** *********************************************************************** ***************************************** Special employment agencies retained by employers to seek out top-management talent for their clients. Contingent-based recruiters collect a fee for their services when a successful hire is completed. Retained executive searchers are paid regardless of the outcome of the recruitment process. Internet technology and specialization trends are changing how candidates are attracted and how searches are conducted.

GUIDELINES FOR CHOOSING A RECRUITER


Make sure the firm is capable of conducting a thorough search. Meet the individual who will actually handle your assignment. Ask how much the search firm charges. On demand recruiting services (ODRS) A service that provides short-term specialized recruiting to support specific projects without the expense of retaining traditional search firms.

COLLEGE RECRUITING
Recruiting goals To determine if the candidate is worthy of further consideration To attract good candidates On-site visits Invitation letters Assigned hosts Information package Planned interviews Timely employment offer Follow-up Internships Employee referrals

*********************************************************************** *********************************************************************** ***************************************** Applicants who are referred to the organization by current employees Referring employees become stakeholders. Referral is a cost-effective recruitment program. Referral can speed up diversifying the workforce Walk-ins Direct applicants who seek employment with or without encouragement from other sources. Courteous treatment of any applicant is a good business practice. Recruiting via the Internet More firms and applicants are utilizing the Internet in the job search process. Advantages of Internet recruiting Cost-effective way to publicize job openings More applicants attracted over a longer period Immediate applicant responses Online prescreening of applicants Links to other job search sites Automation of applicant tracking and evaluation Issues in Recruiting a More Diverse Workforce Single parents Providing work schedule flexibility.

Older workers Revising polices that make it difficult or unattractive for older workers to remain employed. Recruiting minorities and women Understanding recruitment barriers. Formulating recruitment plans. Instituting specific day-to-day programs

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LEGAL ENVIRONMENT OF HRM


Federal and provincial governments influenced HRM through laws and regulations Huge increase in this since 1960s Employers must ensure that managers understand their obligations and comply Four primary areas of employment legislation Lets look at the Main One Human Rights Legislation Has the most impact on HR decisions Protects individuals and groups from discrimination Protects employees from harassment--both workplace and sexual Consider the time, (which translates to money), that managers spend on HRL

OTHER EMPLOYMENT LEGISLATION EMPLOYMENT STANDARDS


Basic or minimum employment conditions in an organization Minimum wage, hours of work, OT pay Health and safety Healthy and Safe work Environment On the Job Injuries Labour relations Relationship between union and employer Not all organizations are covered by Labour Relations Views of Planning Human Resources * Planning for human resources has had a chequered past Planning is a critical tool for business success A sustainable tool for managing downsizing and redundancies No longer meaningful An important contribution in supporting strategic HRM

*********************************************************************** *********************************************************************** ***************************************** HR planning can identify: Gaps in capabilities Surpluses in capabilities Poor utilisation of people Developing a talent pool Rapid and discontinuous change in environment Free will of people

Factors That Make Planning Difficult

FACTORS THAT ENHANCE THE CONTRIBUTION AND IMPLEMENTATION OF HR PLANNING


Viewing plans as being flexible Regular review of plans Involvement of all stakeholders in planning process Planning owned and driven by senior managers rather than HR specialists

Traditional View of HR Planning Traditionally HR planning (manpower planning) was concerned with the numbers of employees and having the right number of people with the right levels and types of skill in the organization.

AN INTEGRATED HR PLANNING FRAMEWORK ANALYSING THE ENVIRONMENT


Identify how difficult or easy it will be to find employees with the necessary skills Identify what employees want from an employer The impact of legislation that will limit or widen conditions of employment Data about employment trends

CATEGORISING TRENDS
Social Demographics Political and legislative Industrial & technological

*********************************************************************** *********************************************************************** ***************************************** Competitors

SOCIAL TRENDS:
Census information CIPD journals News media General Household Survey Employment Gazette Social trends Local papers

DEMOGRAPHIC TRENDS:
Labour Market Quarterly Census information Employment Gazette Local Council Learning and Skills Councils

POLITICAL AND LEGISLATIVE TRENDS:


News media Proceedings of European Parliament Proceedings of British Parliament Hansard Industrial Relations Review and Report Industrial Law Journal IDS Brief

INDUSTRIAL & TECHNOLOGICAL TRENDS :


Employment Digest Journals specifically for the industry business is in Financial Times Employers associations Trade associations

COMPETITOR TRENDS :
*

*********************************************************************** *********************************************************************** ***************************************** Annual reports Talking to competitors

FORECASTING FUTURE HR NEEDS:


Undertaken by the use of management judgment Three simple techniques that can help - HR implications checklist - HR scorecard - Scenarios

AASMA TABBASUM 618 TOPIC: INDUCTIO N EMPLOYEE TRAINING

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Induction

Purposes of induction:
To create a feeling of belonging To provide necessary information(job+businss) To proost the Morale It is process of bringing/introducing/familiarizing a new recruit into the oraginsation. This program familiarizes the new employee about the culture, accepted practices and performance standards of the organization. It has been proved in one of the survey conducted by the Centre for Creative Leadership (headquartered in Greensboro, North Carolina, US), that a fresh hire does not met the expectation of an organization for the first few months. The issue of productivity of new hires has to be defined individually by every organization. Fresh hires are able to learn the process as quickly as possible if the induction efforts are right and they can be very productive if their induction is been done in an proper manner.

*********************************************************************** *********************************************************************** ***************************************** Importance of induction program What will happen if we do not train new recruit in the organization and they stay on. While keeping the above statement in mind, think the importance of induction program. Induction training is very essential for any company because it helps an individual/new recruit to grow within a company and motivates him/her. It inculcates in the employee, more confidence to progress. It is during induction that a new recruit gets to know about the organization's employment philosophy, physical work environment, employee's rights, employee's responsibilities, organization, culture and values along with key business processes. A new entrant should culturally fit in an organization. Interaction at this stage shapes an individual's disposition and outlook for work and motivation levels. The importance of induction cannot be underestimated. Involvement in Induction programs ( should bes ) Induction program must/should include all the aspects of the organization and present for the awareness of the new employee. Like emergency procedures, facilities, safety issues, rights of the employee, what to be paid, no harassment, equal opportunity, grievance procedures, employee responsibilities, times, conduct standards, job function, dress requirements, organisational structure, what it does, how they fit in, who is their Manager, the functions of different departments, how the employee will be managed, what the performance management process will involve, and his/her role in that process, are the few concern areas during an Induction program. Induction should be conducted on the first day of the new recruit from the gate of the organization itself. For induction only higher management or Head of HR or Senior should be addressing the new entrant. It should also involve the employees of the new entrant department. An effective induction helps a new employee feel assured and

*********************************************************************** *********************************************************************** ***************************************** comfortable in the new environment, which is critical for early uptake in the new role. Induction should always be interactive. It also provides an opportunity to the new entrant to engrain the original values and ethics as well as the style of functioning. Escorting an new entrant will be one of the best and most impactful induction step. It should always be interesting and must hold the attention of the new employee. Involvement in Induction programs ( not bes ) First of all Induction program must not/ should not include much of theoretical part. Bad induction leads to stress and de-motivation. Arriving for a new job a bad induction can leave a new starter worried, anxious and unable to perform their duties. More work for longer as the new entrant struggles to become an effective member. It increases the workload, all the wrong messages given to the new starter and can damage long-term implications. Signs of bad Induction program are Too Short during induction a new entrant should just not give the mobile numbers or small brief as always remember either a person should have or should not have knowledge, half knowledge leads to disaster. Too Hasty A ten minutes brisk walk and making him familiarizing about the exit or entry should not be the part of induction. Too Boring All the theoretical and long presentation with high figures involved is a bad sign of induction. Impersonal Avoid hours of speeches and presentations and voluminous policy manuals or information packages. Too personal It should not be related to the complete life cycle of a new entrant. Neglectful whosoever takes the induction should have complete knowledge of the new entrant participation the induction program, Isolated and embarrassing. Difference between effective and non effective Induction Programs. Effective induction decreases the chances of attrition v/s bad induction increase the attrition. It makes employees more energetic whereas non effective induction demoralizes the

*********************************************************************** *********************************************************************** ***************************************** new entrant. It makes positive impact v/s it possesses negative impact. It reduces cost v/s it increase the cost. It increases team work ability v/s it reduces team work ability. To be more precise please follow up the example:Two employees were recruited in 2004 at X company as a technical recruiter. Employee A was appointed August whereas employee B was appointed December 04. A went through bad induction program as mentioned above and employee B went through good induction program inculcating all the necessities. A was very confused about the oragnisation policies; environment, culture etc whereas B was clear about the all aspects of the organization. After two years B was promoted at a senior level position whereas A was still confused and was unable to give his/her fullest to the company and was not at all comfortable with the environment of the orgainsation. In, result after the promotion of B he resigned the company reason being senior in terms of joining from B. With the above example it becomes very clear about the kind of difference of bad and good induction can make. As bad induction does not only cost to employee but to organistion as well. Impact of Bad induction program Bad induction = attrition Bad induction program does not only leads to confusion, stress and de-motivation, but one of the most disastrous effect will be the attrition. Losing a new entrant of staff and having to replace them costs about 25% of their salary/wage. Providing too much, too soon; the inductee must not be overwhelmed by a mass of information on the first day. *

*********************************************************************** *********************************************************************** ***************************************** Bad Induction program generates unreasonable expectations by being more interesting and more exciting than the job itself. Good induction program Good induction = retention Induction programs help in reducing attrition rates, apparently yes. The first impression is very important when a person comes into a new organisation and how you interact with these new entrants plays an important role on how they discharge their duties later. It was found that employees who received an effective induction were more engaged, compared to those who rated the quality of induction as below average. The thought of leaving the organisation creeps in at early stage in cases where the induction is not done with passion. A good induction prepares an employee better to compete in fiercely competitive market place, which has a direct impact on the early success and hence motivation, he adds. It is true that only good induction does not keeps the attrition away but it plays a big role. Conclusion In conclusion, getting the induction process right, sets the scene for the remainder of the employment experience. This is a critical phase in the employment process. Induction programs should be implemented in a structured manner and applied uniformly across the organisation. Best practice involves a very structured approach to the induction process.

*********************************************************************** *********************************************************************** *****************************************

Objective of an Induction Procedure


The objective of an induction procedure is that the employer, business owner or manager will explain to a new employee, and that the new employee will fully understand the following: a. The objectives of the business or organization, and the objectives of the area in which the new employee will work b. The business or organizational policies and procedures c. Their own Key performance Indicators, and how these are related to the Strategic Business Plan d. All aspects of the employment relationship e. The organizational structure f. Communication channels within the business g. The layout and geography of the workplace

II. Benefits of a proper Induction procedure include:

*********************************************************************** *********************************************************************** ***************************************** a. Avoiding any doubt on the part of the new employee, especially in respect of performance and quality aspects of the role b. Giving the new employee a sense of certainty about their job and the whole working environment c. Avoiding any possible personal grievance or complaint actions

III. Induction Check List


It is important to have a check list of items to cover during the induction procedure. This may be very simple or extensive, but it will provide a permanent record in the employees personal file that the procedure was carried out, and the items which were discussed. The sample check list attached can be used as a guide to produce your own, to include other items relevant to your business, or exclude items not relevant.

IV. Further comments to the Induction Check List


a. The business owner or employer should go over the employment Agreement or Contract with particular reference to "out of the ordinary" clauses, and which are beyond the statutory minimum. b. The new employee should be advised of the business or organizational objectives to help focus the employee where the business is heading. c. All policies such as Health and Safety, Harassment, Grievance or complaint should be included. d. The Key Performance Indicators derived from the employees Job Description should be explained.

*********************************************************************** *********************************************************************** ***************************************** e. Guidance on any business or organizational "Culture" should be explained, including the formality or informality of internal or external relationships. f. The existence of a Strategic Business Plan relating to the future direction of the business, or proposed changes which have already been advised to existing staff should be disclosed. g. The time that a business "Buddy" or mentor will be available for assistance. h. What training will be provided as part of the new role.

INDUCTION CHECKLIST
Induction for: ____________________________ Position: ____________________ Appointment Date: ___ / ___ / ___ Induction to be completed by: ___ / ___ / ___ Managers Name & Position: _____________________________________________ Information to be covered if not applicable mark N/A Staff Initial

BEFORE the staff member starts


Office accommodation and equipment Confirm office/desk area and office furniture, including any special requirements, diary, stationery etc Confirm computer availability Apply for email account, and complete and send off any other computer access forms required

*********************************************************************** *********************************************************************** ***************************************** Organise security keys

Internal communications
Inform team of start date of new staff member Add staff member to distribution lists (including email groups) Appoint a team "buddy" to assist new staff member in the first week Send signed offer and employment documentation, including IRD form, New Employee Information Form, Role Description, Date and time of start on first day, Dress code Draw up list of people the new staff member should meet Arrange business cards if required

ON THE FIRST DAY


Introduce to Senior Managers Introduce to team "buddy" Introduce to rest of team Provide information on the Company Structure, Communication and reporting channels, core Processes, policies, goals , future changes *

*********************************************************************** *********************************************************************** *****************************************

Employment Issues
Hours of work, lunch and tea breaks Initial discussion/training on the staff members new role key tasks and performance measures, personal concerns contact Holidays/Sickness entitlement. Explain procedures for leave Who to contact if sick How and when payment is made, bank forms

Office Arrangements
Location of office/desk, space for work and personal items (e.g. coat) Phone book, internal phone book, making outside calls Voicemail system and arrangements for training Mail systems, times of delivery and collection etc Location of toilets and other facilities e.g. coffee & tea, water to drink Where photocopier, fax, basic stationery and other consumables are located, and how equipment works Car parking

*********************************************************************** *********************************************************************** *****************************************

Computers Training on the Email system and software packages

Security and Safety


Confidential statement (if required) signed and policy explained Supply security access keys, as required, and advise on security given, including what to do if these are lost How to set and turn off any after hours alarm system Building evacuation and emergency procedures emergency exits Location of first aid cabinet. Information on injury reporting and claims supplied

*********************************************************************** *********************************************************************** *****************************************

Typical Reasons for Employee Training and Development


Training and development can be initiated for a variety of reasons for an employee or group of employees, e.g.,:

When a performance appraisal indicates performance improvement is needed To "benchmark" the status of improvement so far in a performance improvement effort As part of an overall professional development program As part of succession planning to help an employee be eligible for a planned change in role in the organization To "pilot", or test, the operation of a new performance management system To train about a specific topic (see below)

Typical Topics of Employee Training


1. Communications: The increasing diversity of today's workforce brings a wide variety of languages and customs. 2. Computer skills: Computer skills are becoming a necessity for conducting administrative and office tasks. 3. Customer service: Increased competition in today's global marketplace makes it critical that employees understand and meet the needs of customers.

*********************************************************************** *********************************************************************** ***************************************** 4. Diversity: Diversity training usually includes explanation about how people have different perspectives and views, and includes techniques to value diversity 5. Ethics: Today's society has increasing expectations about corporate social responsibility. Also, today's diverse workforce brings a wide variety of values and morals to the workplace. 6. Human relations: The increased stresses of today's workplace can include misunderstandings and conflict. Training can people to get along in the workplace. 7. Quality initiatives: Initiatives such as Total Quality Management, Quality Circles, benchmarking, etc., require basic training about quality concepts, guidelines and standards for quality, etc. 8. Safety: Safety training is critical where working with heavy equipment , hazardous chemicals, repetitive activities, etc., but can also be useful with practical advice for avoiding assaults, etc. 9. Sexual harassment: Sexual harassment training usually includes careful description of the organization's policies about sexual harassment, especially about what are inappropriate behaviors.

General Benefits from Employee Training and Development


There are numerous sources of online information about training and development. Several of these sites (they're listed later on in this library) suggest reasons for supervisors to conduct training among employees. These reasons include:

Increased job satisfaction and morale among employees Increased employee motivation Increased efficiencies in processes, resulting in financial gain Increased capacity to adopt new technologies and methods Increased innovation in strategies and products Reduced employee turnover Enhanced company image, e.g., conducting ethics training (not a good reason for ethics training!)

*********************************************************************** *********************************************************************** ***************************************** Risk management, e.g., training about sexual harassment, diversity training

Orienting and Training Employees


The following books are recommended because of their highly practical nature and often because they include a wide range of information about this Library topic. To get more information about each book, just hover your cursor over the image of the book. A "bubble" of information will be displayed. You can click on the title of the book in that bubble to get more information, too.

Orienting Employees Employee orientation


A procedure for providing new employees with basic background information about the firm.

Orientation content
Information on employee benefits Personnel policies The daily routine Company organization and operations Safety measures and regulations Facilities tour

Employee orientation

*********************************************************************** *********************************************************************** ***************************************** A procedure for providing new employees with basic background information about the firm.

Orientation content
Information on employee benefits Personnel policies The daily routine Company organization and operations Safety measures and regulations Facilities tour

The Training Process Training


The process of teaching new employees the basic skills they need to perform their jobs.

The strategic context of training


Performance management: the process employers use to make sure employees are working toward organizational goals. Web-based training Distance learning-based training Cross-cultural diversity training

The Training and Development Process Needs analysis


Identify job performance skills needed, assess prospective trainees skills, and develop objectives.

Instructional design
Produce the training program content, including workbooks, exercises, and activities.

*********************************************************************** *********************************************************************** *****************************************

Validation
Presenting (trying out) the training to a small representative audience.

Implement the program


Actually training the targeted employee group.

Evaluation
Assesses the programs successes or failures.

Make the Learning Meaningful


At the start of training, provide a birds-eye view of the material to be presented to facilitates learning. Use a variety of familiar examples. Organize the information so you can present it logically, and in meaningful units. Use terms and concepts that are already familiar to trainees. Use as many visual aids as possible.

Make Skills Transfer Easy


Provide adequate practice. Label or identify each feature of the machine and/or step in the process. Maximize the similarity between the training situation and the work situation. Direct the trainees attention to important aspects of the job. Provide heads-up preparatory information that lets trainees know they might happen back on the job.

Provide adequate practice.


Label or identify each feature of the machine and/or step in the process. Maximize the similarity between the training situation and the work situation. *

*********************************************************************** *********************************************************************** ***************************************** Direct the trainees attention to important aspects of the job. Provide heads-up preparatory information that lets trainees know they might happen back on the job.

Analyzing Training Needs Task analysis


A detailed study of a job to identify the specific skills required, especially for new employees.

Performance analysis
Verifying that there is a performance deficiency and determining whether that deficiency should be corrected through training or through some other means (such as transferring the employee).

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Training Method On-the-job training (OJT)


Having a person learn a job by actually doing the job.

OJT methods
Coaching or understudy Job rotation Special assignments

Advantages
Inexpensive Immediate feedback

Steps in OJT Step 1: Prepare the learner


Put the learner at easerelieve the tension. Explain why he or she is being taught. Create interest, encourage questions, find out what the learner already knows about this or other jobs. Explain the whole job and relate it to some job the worker already knows. Place the learner as close to the normal working position as possible. Familiarize the worker with equipment, materials, tools, and trade terms.

Steps in OJT (contd) Step 2: Present the operation


Explain quantity and quality requirements. Go through the job at the normal work pace. Go through the job at a slow pace several times, explaining each step. Between operations, explain the difficult parts, or those in which errors are likely to be made. Again go through the job at a slow pace several times; explain the key points. *

*********************************************************************** *********************************************************************** ***************************************** Have the learner explain the steps as you go through the job at a slow pace.

Step 3: Do a tryout
Have the learner go through the job several times, slowly, explaining each step to you. Correct mistakes and, if necessary, do some of the complicated steps the first few times. Run the job at the normal pace. Have the learner do the job, gradually building up skill and speed. As soon as the learner demonstrates ability to do the job, let the work begin, but dont abandon him or her.

Step 4: Follow up
Designate to whom the learner should go for help. Gradually decrease supervision, checking work from time to time against quality and quantity standards. Correct faulty work patterns before they become a habit. Show why the learned method is superior. Compliment good work; encourage the worker until he or she is able to meet the quality and quantity standards.

Training Methods Apprenticeship training


A structured process by which people become skilled workers through a combination of classroom instruction and on-the-job training.

Informal learning
The majority of what employees learn on the job they learn through informal means of performing their jobs on a daily basis.

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Job instruction training (JIT)


Listing each jobs basic tasks, along with key points, in order to provide step-by-step training for employees.

The 25 Most Popular Apprenticeships


According to the U.S. Department of Labor apprenticeship database, the occupations listed below had the highest numbers of apprentices in 2001. These findings are approximate because the database includes only about 70% of registered apprenticeship programsand none of the unregistered ones. Boilermaker Bricklayer (construction) Carpenter Construction craft laborer Cook (any industry) Cook (hotel and restaurant) Correction officer Electrician Electrician (aircraft) Electrician (maintenance) Electronics mechanic Firefighter

Machinist Maintenance mechanic (any industry) Millwright Operating engineer Painter (construction)

*********************************************************************** *********************************************************************** ***************************************** Pipefitter (construction) Plumber Power plant operator Roofer Sheet-metal worker Structural-steel worker Telecommunications technician Tool and die maker

Effective lectures
Use signals to help listeners follow your ideas. Dont start out on the wrong foot. Keep your conclusions short. Be alert to your audience. Maintain eye contact with the trainees. Make sure everyone in the room can hear. Control your hands. Talk from notes rather than from a script. Break a long talk into a series of five-minute talks.

Programmed Learning Programmed instruction (PI)


A systematic method for teaching job skills involving: Presenting questions or facts Allowing the person to respond Giving the learner immediate feedback on the accuracy of his or her answers

Advantages
* Reduced training time Self-paced learning Immediate feedback

*********************************************************************** *********************************************************************** ***************************************** Reduced risk of error for learner

Literacy training techniques


Responses to functional illiteracy Testing job candidates basic skills. Setting up basic skills and literacy programs.

Audiovisual-based training
To illustrate following a sequence over time. To expose trainees to events not easily demonstrable in live lectures. To meet the need for organizationwide training and it is too costly to move the trainers from place to place. Simulated training (occasionally called vestibule training) Training employees on special off-the-job equipment so training costs and hazards can be reduced. Computer-based training (CBT) Electronic performance support systems (EPSS) Learning portals

Computer-based Training (CBT) Advantages


Reduced learning time Cost-effectiveness Instructional consistency

Types of CBT
Intelligent Tutoring systems Interactive multimedia training

*********************************************************************** *********************************************************************** ***************************************** Virtual reality training

Distance and Internet-Based Training Teletraining


A trainer in a central location teaches groups of employees at remote locations via TV hookups.

Videoconferencing
Interactively training employees who are geographically separated from each otheror from the trainervia a combination of audio and visual equipment.

Training via the Internet


Using the Internet or proprietary internal intranets to facilitate computerbased training.

What Is Management Development? Management development


Any attempt to improve current or future management performance by imparting knowledge, changing attitudes, or increasing skills.

Succession planning
A process through which senior-level openings are planned for and eventually filled. Anticipate management needs Review firms management skills inventory Create replacement charts Begin management development

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Managerial on-the-Job Training Job rotation


Moving a trainee from department to department to broaden his or her experience and identify strong and weak points.

Coaching/Understudy approach
The trainee works directly with a senior manager or with the person he or she is to replace; the latter is responsible for the trainees coaching.

Action learning
Management trainees are allowed to work full-time analyzing and solving problems in other departments.

Off-the-Job Management Training and Development Techniques Case study method


Managers are presented with a description of an organizational problem to diagnose and solve.

Management game
Teams of managers compete by making computerized decisions regarding realistic but simulated situations.

Outside seminars

*********************************************************************** *********************************************************************** ***************************************** Many companies and universities offer Web-based and traditional management development seminars and conferences.

Role playing
Creating a realistic situation in which trainees assume the roles of persons in that situation.

Behavior modeling
Modeling: showing trainees the right (or model) way of doing something. Role playing: having trainees practice that way Social reinforcement: giving feedback on the trainees performance. Transfer of learning: Encouraging trainees apply their skills on the job.

Corporate universities
Provides a means for conveniently coordinating all the companys training efforts and delivering Web-based modules that cover topics from strategic management to mentoring.

In-house development centers


A company-based method for exposing prospective managers to realistic exercises to develop improved management skills.

Executive coaches
An outside consultant who questions the executives boss, peers, subordinates, and (sometimes) family in order to identify the executives strengths and weaknesses. Counsels the executive so he or she can capitalize on those strengths and overcome the weaknesses

Managing Organizational Change and Development

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What to change?
Strategy: mission and vision Culture: new corporate values Structure: departmental structure, coordination, span of control, reporting relationships, tasks, decision-making procedures Technologies: new systems and methods Employees: changes in employee attitudes and skills

Overcoming Resistance to Change

What causes resistance?


All behavior in organizations is a product of two kinds of forcesthose striving to maintain the status quo and those pushing for change.

Lewins Change Process


Unfreezing: reducing the forces striving to maintain the status quo. Moving: developing new behaviors, values, and attitudes, sometimes through structural changes. Refreezing: reinforcing the changes.

Overcoming Resistance to Change Change initiatives


Political campaign: creating a coalition strong enough to support and guide the initiative.

*********************************************************************** *********************************************************************** ***************************************** Marketing campaign: tapping into employees thoughts and feelings and also effectively communicating messages about the prospective programs theme and benefits. Military campaign: Deploying executives scarce resources of attention and time to actually carry out the change.

How to Lead the Change (in 10 Steps)


1. Establish a sense of urgency. 2. Mobilize commitment through joint diagnosis of problems. 3. Create a guiding coalition. 4. Develop a shared vision. 5. Communicate the vision. 6. Help employees to make the change. 7. Generate short-term wins. 8. Consolidate gains and produce more change. 9. Anchor the new ways of doing things in the companys culture. 10. Monitor progress and adjust the vision as required. Using Organizational Development Organizational development

(OD)
A special approach to organizational change in which employees themselves formulate and implement the change thats required. Usually involves action research. Applies behavioral science knowledge. Changes the attitudes, values, and beliefs of employees. Changes the organization in a particular direction.

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Examples of OD Interventions Human Process T-groups Process consultation Third-party intervention Team building Organizational confrontation meeting Intergroup relations Technostructural Formal structural change Differentiation and integration Quality circles Total quality management Work design

Human Resource Management Goal setting Performance appraisal Reward systems Career planning and development Managing workforce diversity Employee wellness Strategic Integrated strategic management Culture change Strategic change

Cooperative unionmanagement projects Self-designing organizations

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Evaluating the Training Effort Designing the study


Time series design Controlled experimentation

Training effects to measure


Reaction of trainees to the program Learning that actually took place Behavior that changed on the job Results that were achieved as a result of the training

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Time Series Training Evaluation Design

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A Sample of Training Evaluation Form

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SANIA YOUNAS 647 TOPIC: ROLE OF FOREMAN PRODUCT DESIGN

Forman
The foreman holds a significant position in the organization of any company. He has the responsibilities for directing an important unit of the productive activities of the company. Foreman is part of management; he can speak and act in the name of company. He is, in fact the front line of management. The foreman is sometimes given the title of supervisor or department had. A foreman is an employee who is charged with the task of organizing and overseeing the work of a group of employees. Foremen report to managers and others within a company structure, rendering an account of the efficiency and general work

*********************************************************************** *********************************************************************** ***************************************** habits of individuals assigned to them. Usually associated with industries associated with building or manufacturing, the exact responsibilities of the foreman will vary depending on the demands of the work environment. One of the more common types of foreman jobs is that of the shop foreman. Commonly found in textile and other manufacturing plants, the shop foreman oversees the employees charged with the task of maintaining the facility, usually including the machinery used in the manufacturing process. Within this structure, the foreman is likely to report to a department supervisor and carry the same authority within the plant as any of the shift supervisors. This includes the ability to schedule employees under his or her charge, take disciplinary action when appropriate, and petition for additional employees or materials when needed. A job foreman is likely to have responsibilities similar to those of a shop foreman, but may operate in other settings. It is not unusual for this type of supervisor to function in a building or construction setting. Here, the task often involves overseeing the execution and completion of various tasks that move the construction forward, arranging work schedules, seeing to the ordering and delivery of supplies, and reporting progress to his or her superiors. As in other settings, a manager of this type often has hiring and firing privileges, making it possible to build a cohesive working team. The electric foreman is a supervisor who, along with his or her support team, will see to any tasks that involve the use of electrical current within a project. This can include the installation or maintenance of electrical wiring within a facility, trouble shooting on special projects such as temporary lighting for a special event, and making sure all electrical equipment within a facility is safe and operating within standards. A general foreman is often in charge of more than one support team. Because of the broader nature of the job responsibilities, this type of manager often will have credentials and experience in more than one area of expertise. For example, a general foreman may be skilled with general construction as well as electrical wiring or plumbing systems.

While many employers place a great emphasis on experience as a necessary qualification to become a foreman, a growing number are also requiring formal education in related fields. The education may come in the form of successful completion of certified training programs related to the job tasks, general related studies at a vocational school, or even a degree from a college or university. Often, employers choose to promote from within, and may assist a promising candidate to receive formal training in anticipation of the employee one day reaching foreman status within the company. Foreman supervises and coordinates the work of a crew of workers in a specific craft or trade. Foremen are primarily concerned with seeing that the workers under them *

*********************************************************************** *********************************************************************** ***************************************** do their job skillfully and efficiently, and that assigned work progresses on schedule. They deal with the routing of material and equipment, and with the laying out of the more difficult areas of the job. The work requires quick, clear thinking and quick onsite decisions. Foremen should have a broad working knowledge of a craft; must be able to read and visualize objects from blueprints; and should have an eye for precise detail.

Working conditions for foremen can vary greatly depending upon the craft line being supervised. However, the great majority of work will be onsite and out of doors, often resulting in prolonged standing, as well as some strenuous physical activity. To become a foreman, a craftsman must illustrate an above average knowledge of all faces of a particular trade and do noticeably good work consistently. A foreman should have the same basic aptitude and interests as those working in the craft being supervised, plus additional reading, writing, and math skills. The ability to motivate workers and communicate with both them and superiors is essential. A foreman must often lead by example. Being an entry level/first line management position, a foreman who exhibits solid rapport and communications with his or her workers and superiors; who leads by example; who has outstanding skills and trade knowledge; who gets the job done properly and on schedule; and who works to improve his/her management skills will often be in line for promotion into a supervisory position. With the proper background and initiative a foreman may progress to a superintendent, general superintendent, vice president, or even an owner of a construction company.

Work of the foreman


The position of the foreman depends in part upon the type of the organization adopted by the company. In many small businesses which provide few staff services by specialized department, the company may be organized on the principle of the line.

The work of the foreman considered under following six head: *

*********************************************************************** *********************************************************************** ***************************************** Responsibility for directing the work Responsibility for employee relationship Responsibility for working condition Co-operation with other Channel of communication Handling workers complaints

Responsibility for directing the work:


If production is centrally controlled by a planning department, the foreman must see the planning schedules are followed. He must see the machine and tools are properly used and that safety regulations are observed. He may be required to requisition the purchase of material. In case of emergency, such as fire, accident, or machine breakage, he must take the necessary action to product the workers and interest of the company.

Responsibility for employee relationships. :


Foreman requisition helps when it is needed. Although he is no longer required to interview and select workers. When a worker is sent to his department for work, the foreman sees that he is properly instructed as to the requirements and conditions of the job. The foreman can meet his responsibility for handling employees problem only if he has the support and co-operation of person higher up the line. In handling minor problems, he might be given authority to act without making any report to his superior; and in other cases, he might be authorized to act but required to make a report of the circumstances.

Responsibility for working condition:


The foreman should keep informed concerning developments relating to the workplace, the condition of work, and the jobs. As for the workplace, h must know the layout and arrangement, the preparation time required for a task, and the time required to make necessary adjustments.

*********************************************************************** *********************************************************************** ***************************************** He should know the qualifications of the workers and their fitness for the job to which they are assigned. He should see that workers are suited to the work they are doing

Co-operation with other:


The foreman a part of management, must carry out its policies, interpret them to the workers, and execute the order received. Under democratic leadership, he is advised of impending changes and is permitted to express an opinion on a proposal affecting his department before it is adopted. He makes recommendations for changes, such as improvements in layout, lightening or air conditioning. Co-operation is made easier for the foreman if he is made to feel that he is really a part of management. He should be notified in advance of all changes affecting his department, and he should never be permitted to hear of them by the grapevine.

Channel of communication:
The foreman is an important link in the channel of communication to and from employees. For a new employee, communication from the foreman begins with an explanation of departmental regulations, introduction to fellow employees, assignment to a job, and explanation of what is expected.

Handling workers complaints:


The foreman should investigate the facts concerning all complaints which come to him. If he finds that the complaint is justified, he may be able to correct the difficulty. He may find it necessary to inquire what the policy of the company is concerning the question at issue. If he is not informed as to company policy, he may communicate with general foreman, who may consult the division chief to determine the policy; or he may have to ask for a ruling in case no policy has been established.

FOREMAN'S TRAINING
*

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Training of foreman:
In time of business expansion when new plant is being put into the operation or new shifts are being add, special attention should be given to the training of supervisors. At that time the normal rate of turnover may require special training program for the purpose of maintaining loyalty and enthusiasm and of keeping foreman of developments in programs, technology and other problems.

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Training in management:
Some time courses are designed to facilitate the entry of foreman into the rank management. The course for new foreman is given after promotion rather then before. If the program were given before promotion, the man would have to return to his job to wait for an opening.

Training in company organization:


One type of training program for foreman is intended to give them an understanding of entire organization of the company. It may begin with a series of meetings, lectures and conferences with top management. Each of executives may discuss his work in relation to the work of the foreman. The foreman may be conducted through the various offices and departments of the plant where they are told of the work of each one. The training program may design to foster loyalty to the company and to the system of private enterprise. The purpose is to show that top management and the staff department performs necessary services.

By training foreman can:


Managing Time & Productivity People Management For Foremen Several Habits Of Highly Effective Foremen

Organizational Tips, Tactics & Techniques For Foremen

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MANAGING TIME & PRODUCTIVITY:

Distinguishing Productive Time From Non-Productive Time Analyzing Time Spent On Non-Productive Activities Decreasing Non-Productivity Increasing Productivity Dividing And Categorizing Projects Scheduling For Maximum Productivity

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PEOPLE MANAGEMENT FOR FOREMEN :

Effectively Communicating With Owners With Workers With Office Personnel Listening Skills Dealing With Difficult People Avoiding Harassment Charges Coordinating With Other Trades Working With Inspectors Hiring & Firing Identifying And Supervising The Different Personality Types

SEVERAL HABITS OF HIGHLY EFFECTIVE FOREMEN :


Do You Have What It Takes To Be A Foreman? Skills & Traits Of Outstanding Foremen Recognizing The Responsibilities Of A Foreman Minimizing Mistakes Coping With Change Differentiating Between And Developing Leadership Traits Gaining Respect And Loyalty Through Effective Managing

ORGANIZATIONAL TIPS, TACTICS & TECHNIQUES FOR FOREMEN


*

*********************************************************************** *********************************************************************** ***************************************** Staying On Top Of Paper Work Keeping Adequate Records Obtaining And Maintaining Contract Documents Ordering, Receiving, And Storing Materials Maximizing The Life And Usage Of Tools Looking And Planning Ahead Daily, Weekly, And Beyond

Example of potato chips:

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In potato chips the foreman holds a significant position. He has the responsibilities for directing an important unit of the productive activities of the company. Foreman is part of management; he can speak and act in the name of company. The potato chips foreman has Effectively Communicating with Owners, With Workers,With Office Personnel. He has a good Listening Skills ,Dealing With Difficult People, Avoiding Harassment Charges ,Coordinating With Other Trades, Working With Inspectors and Hiring & Firing Foreman has some major responsibilities like communicate with employees. Potato chips foreman communicate with their employees and tells them how to make and control the work. The foreman also manages the time of productivity and gives many benefits to their employees

Product design

*********************************************************************** *********************************************************************** ***************************************** Product design can be defined as the idea generation, concept development, testing and manufacturing or implementation of a physical object or service. Product Designers conceptualize and evaluate ideas, making them tangible through products in a more systematic approach. The role of a product designer encompasses many characteristics of the marketing manager, product manager, industrial designer and design engineer. The term is sometimes confused with industrial design, which defines the field of a broader spectrum of design activities, such as service design, systems design, interaction design as well as product design. The role of the product designer combines art, science and technology to create tangible three-dimensional goods. This evolving role has been facilitated by digital tools that allow designers to communicate, visualize and analyze ideas in a way that would have taken greater manpower in the past. Design, itself, is often difficult to define to non-designers because the meaning accepted by the design community is not one made of words. Instead, the definition is created as a result of acquiring a critical framework for the analysis and creation of artifacts. One of the many accepted (but intentionally unspecific) definitions of design originates from Carnegie Mellon's School of Design, "Design is the process of taking something from its existing state and moving it to a preferred state." This applies to new artifacts, whose existing state is undefined and previously created artifacts, whose state stands to be improved.s According to the (Chartered Society of Designers) design is a force that delivers innovation that in turn has exploited creativity. Their design framework known as the Design Genetic Matrix (TM) determines a set of competences in 4 key genes that are identified to define the make up of designers and communicate to a wide audience what they do. Within these genes the designer demonstrates the core competences of a designer and specific competences determine the designer as an 'industrial designer'. This is normally within the context of delivering innovation in the form of a three dimensional product that is produced in quantity. However the definition also extends to products that have been produced using an industrial process Design is essentially an engineering function because it is closely related to manufacturing methods and cost. However, in product design the needs and desires of the consumer as determined by the market analysis are also important. The problem of design may arise in connection with the development of a new product. Annual products are usually intoduse at fairs at showes. In most industries continues improvement in the product is necessary if a manufecturer expects to assume or maintain leadership in the industry.

Industrial design:

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Industrial design is an applied art whereby the aesthetics and usability of massproduced products may be improved for marketability and production. The role of an Industrial Designer is to create and execute design solutions towards problems of form, usability, user ergonomics, engineering, marketing, brand development and sales.[1] The term "industrial design" is often attributed to the designer Joseph Claude Sinel in 1919 (although he himself denied it in later interviews) but the discipline predates that by at least a decade. Its origins lay in the industrialization of consumer products. For instance the Deutscher Werkbund, founded in 1907 and a precursor to the Bauhaus, was a state-sponsored effort to integrate traditional crafts and industrial mass-production techniques, to put Germany on a competitive footing General Industrial Designers are a cross between an engineer and an artist. They study both function and form, and the connection between product and the user. They do not design the gears or motors that make machines move, or the circuits that control the movement, but they can affect technical aspects through usability design and form relationships. And usually, they partner with engineers and marketers, to identify and fulfill needs, wants and expectations.

Why design is important:


Most authorities now agree that, in many industries, the importance of design has been grossly underestimated for many years. Good design not only makes products and services more attractive it makes them better at performing their task. As an example look at the redesign of the Sasco overhead projector on page 123. Three different areas were improved by this redesign. First, it looked better. OK, so an overhead projector is not the ultimate style icon, but nevertheless it did look better than the old version. Second, it was easier to use. The various features highlighted in the picture are all concerned with ease of use. Also the text relates how Sasco used focus groups to test out the products usability. Third, it was easier to make than the old product. The manufactured cost of the product was less than its predecessor. These are the three dimensions, on which design can be judged, aesthetics does it look better? usability is it easier to use? sProduce ability is it easier or cheaper to make?

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Not all design concepts succeed:


Not all concepts, no matter how ingenious, prove successful in the market place. What may seem to be an innovative sure-fire hit on paper can, with hindsight, fail to take account of customers real needs? Take, for example, the Lawn Ranger, a robotic grass-moving machine devised by an American company. The product concept was an automatic grass-cutting machine which would need only to be shown the perimeter of an area to be cut and then could be left to complete the task while its owner relaxed. All it needed was an initial human-guided trip around the outside the lawn. It would then continue to cut round, working its way inwards until it finished the task. The basic technology was indeed ingenious. It included a sensor which would detect the difference between cut and the longer uncut grass as well as sensing potential obstacles in its path. This intriguing concept failed to take account of one important factor, however. People apparently like mowing their grass. It would appear that many people who would have been potential customers for this product prefer to cut the grass themselves because they find it therapeutic.

The stages of design:


These stages are, Concept generation Screening Preliminary design Evaluation and improvement Prototyping and final design.

It is worth remembering however that not every product and service moves smoothly between these stages. In practice, the stages could be defined in different ways and the sequence may vary. Most importantly, there will almost certainly be recycling between the stages. So, for example, after the evaluation and improvement stage, it may be that the design must go right back to reconsider the original concept. In fact, at any stage the design could be recycled back to a previous stage. However, do not dismiss these stages of design. Each of them, or something like them, will generally occur during the design activity. It is important to understand exactly what the product or service concept is. It is important to screen the various alternative design concepts using a broad evaluation technique such as the feasibility, acceptability, vulnerability model shown in Table 5.1. Specifying the components in the package using the product structures and bill of materials shown in the chapter is also important. Improvement using techniques such as quality function deployment, value engineering and Taguchi methods must be understood. Finally, the impact of computer-aided design and virtual prototyping, etc. has transformed design in some industries.

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The network perspective:


All businesses are both customers for some other businesses products and services and suppliers of products and services to their own customers (often businesses themselves). It would be extremely limited therefore to think about an operation in isolation. All operations are part of an interconnected network of, not only their own customers and suppliers, but their customers customers and suppliers suppliers. This chapter identifies some of the broad ideas within the concept of an operations network at a strategic level. In fact a whole chapter (Chapter 13) later in the book deals with the more day-to-day aspects of how supply networks (or more specifically, supply chains) work. The figure below illustrates what we mean by a supply network. Although a simplified diagram, it distinguishes between the immediate supply network, which is the collection of suppliers, and customers with which the operation deals directly, and the total supply network, which includes customers customers and suppliers suppliers. In fact, no doubt second tier suppliers have third tier suppliers who are supplied by fourth tier suppliers and so on. Similarly, there may well be further tiers of customers

The advantages of thinking about how operations fit into the total supply network are long term and strategic. They are, It helps a company to understand how it can compete. It helps to identify the particularly significant relationships in the network. It helps a company to focus on long-term issues.

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Process of design:
Although the process of design may be considered 'creative', many analytical processes also take place. In fact, many industrial designers often use various design methodologies in their creative process. Some of the processes that are commonly used are user research, sketching, comparative product research, model making, prototyping and testing. These processes can be chronological, or as best defined by the designers and/or other team members. Industrial Designers often utilize 3D software, Computer-aided industrial design and CAD programs to move from concept to production. Product characteristics specified by the industrial designer may include the overall form of the object, the location of details with respect to one another, colors, texture, sounds, and aspects concerning the use of the product ergonomics. Additionally the industrial designer may specify aspects concerning the production process, choice of materials and the way the product is presented to the consumer at the point of sale. The use of industrial designers in a product development process may lead to added values by improved usability, lowered production costs and more appealing products. However, some classic industrial designs are considered as much works of art as works of engineering: the iPod, the Jeep, the Fender Stratocaster, the Coke bottle, and the VW Beetle are frequently-cited examples. Industrial design also has a focus on technical concepts, products and processes. In addition to considering aesthetics, usability, and ergonomics, it can also encompass the engineering of objects, usefulness as well as usability, market placement, and other concerns such as seduction, psychology, desire, and the emotional attachment of the user to the object. These values and accompanying aspects on which industrial design is based can vary, both between different schools of thought and among practicing designers. Product design and industrial design can overlap into the fields of user interface design, information design and interaction design. Various schools of industrial design *

*********************************************************************** *********************************************************************** ***************************************** and/or product design may specialize in one of these aspects, ranging from pure art colleges (product styling) to mixed programs of engineering and design, to related disciplines like exhibit design and interior design, to schools where aesthetic design is almost completely subordinated to concerns of function and ergonomics of use. Also used to describe a technically competent product designer or industrial designer is the term Industrial Design Engineer. The Cyclone vacuum cleaner inventor James Dyson for example could be considered to be in this category. After identification of a priority market and generation of a set of initial ideas, the next task is to design the product. Consider design as the designation of the key benefits the product is to provide, the psychological positioning of these benefits versus competitive products, and the fulfillment of the product promises by physical features. The design process can be viewed as being made up of a managerial and consumer component. The managerial subprocess represents a categorization of the types of managerial decisions made in new product development. The consumer response subprocess represents a categorization of the steps' analysts proceed through as they study the market to help managers design new products.

We can understand the process by the help of diagram:

Manufacture - Can the product be made with our facilities? Sales - Are we producing a product that the customer wants? Purchasing - Are the parts specified in stock, or do why have to order them? Cost - Is the design going to cost too much to make? Transport - Is the product the right size for the method of transporting? Disposal - How will the product be disposed at the end of its life?

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Design Brief:
The design brief is typically a statement of intent. I.e. "We will design and make a Formula One racing car". Although it states the problem, it isn't enough information with which to start designing.

Product Design Specification (PDS):


This is possibly the most important stage of the design process and yet one of the least understood stage. It is important that before you produce a 'solution' there is a true understanding of the actual problem. The PDS is a document listing the problem in detail. It is important to work with the customer and analyse the marketplace to produce a list of requirements necessary to produce a successful product. The designer should constantly refer back to this document to ensure designs are appropriate. To produce the PDS it is likely that you will have to research the problem and analyze competing products and all important points and discoveries should be included in your PDS.

Concept Design:
Using the PDS as the basis, the designer attempts to produce an outline of a solution. A conceptual design is a usually an outline of key components and their arrangement with the details of the design left for a later stage. For example, a concept design for a car might consist of a sketch showing a car with four wheels and the engine mounted at the front of the car. The exact details of the components such as the diameter of the wheels or the size of the engine are determined at the detail design stage. However, the degree of detail generated at the conceptual design stage will vary depending on the product being designed. It is important when designing a product that you not only consider the product design specification but you also consider the activities downstream of the design stage. Downstream activities typically are manufacture, sales, transportation etc. By considering these stages early, you can eliminate problems that may occur at these stages. This stage of the design involves drawing up a number of different viable concept designs which satisfy the requirements of the product outlined in the PDS and then evaluating them to decide on the most suitable to develop further. Hence, concept design can be seen as a two-stage process of concept generation and concept evaluation

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Concept generation:
Typically, designers capture their ideas by sketching them on paper. Annotation helps identify key points so that their ideas can be communicated with other members of the company. There are a number of techniques available to the designer to aid the development of new concepts. One of the most popular is brainstorming. This technique involves generating ideas, typically in small groups, by saying any idea that comes into your head no matter how silly it may seem. This usually sparks ideas from other team members. By the end of a brainstorming session there will be a list of ideas, most useless, but some may have the potential to be developed into a concept. Brainstorming works better if the members of the team have different areas of expertise.

Concept evaluation:
Once a suitable number of concepts have been generated, it is necessary to choose the design most suitable for to fulfil the requirements set out in the PDS. The product design specification should be used as the basis of any decision being made. Ideally a multifunction design team should perform this task so that each concept can be evaluated from a number of angles or perspectives. The chosen concept will be developed in detail. One useful technique for evaluating concepts to decide on which one is the best is to use a technique called 'matrix evaluation' With matrix evaluation a table is produced listing important the features required from a product - usually this list is drawn up from the important features described in the product design specification. The products are listed across the table. The first concept is the benchmark concept. The quality of the other concepts are compared against the benchmark concept for the required features, to help identify if the concept is better, worse than, or is the same as the benchmark concept. The design with the most 'better than' is likely to be the best concept to develop further. Most people who use the matrix technique will assign points, rather than simple, better, worse, same, so that it is easier to identify which concepts are the best. It is also likely that some features of the design will be more important than others so a weighting is used.

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Detail design: In this stage of the design process, the chosen concept design is designed in detailed with all the dimensions and specifications necessary to make the design specified on a detailed drawing of the design. It may be necessary to produce prototypes to test ideas at this stage. The designer should also work closely with manufacture to ensure that the product can be made.

KEY POINTS OF THE DESIGN PROCESS


A new product is both a physical product and a psychological positioning. The design process is interactive. Both prediction and understanding are necessary. The level of analysis should be appropriate to the strategic decision. The design process blends managerial judgment with qualitative and quantitative techniques.

Skills needed for development of a product design:


Product designers are equipped with the skills needed to bring products from conception to market. They should have the ability to manage design projects, and subcontract areas to other sectors of the design industry. Aesthetics is considered important in Product Design but designers also deal with important aspects including technology, ergonomics, usability, stress analysis and materials engineering. As with most of the design fields the idea for the design of a product arises from a need and has a use. It follows a certain method and can sometimes be attributed to more complex factors such as association and Telesis. Also used to describe a technically competent product designer or industrial designer is the term Industrial Design Engineer.

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FACTORS THAT INFLUENCE PRODUCT DEVELOPMENT

Product Analysis is the process of identifying, looking at or disassembling a product and identifying its main features. The aim is to understand more about a product and improve it in the future. Many factors influence the development of a product, some are listed below:

Service expected:
Some products will be used in places where they can be repaired easily, while other products will be used under conditions that make repairs difficult or costly. Some products are intended to last for a lifetime. While others last for a short time. some products are used under circumstances that require quick visual observations and interpretation.

Weight of the product:

*********************************************************************** *********************************************************************** ***************************************** In many industries, manufacturers have been giving increased attention to the weight of the product. For some products, the advantage of lighter weight is largely a matter of convenience to the customer.

Appearance:
Color is important in relation to appearance. In high-style merchandise, changes are sometimes rapid.

Consumer ideas:
Consumer ideas as to quality, style, color, and cost should be considered by the designer, for consumer ideas may be very different from those of the manufacturer.

COST:
The cost of the materials and labor required to manufacture the product. The price potential customers are prepared to pay for the product.

ERGONOMICS:
The product may be designed for human use. As a result ergonomics (sizes etc...) will pay a major role

MATERIALS:
The availability of materials and the development of new, hi-technology materials will have an influence on the final design of a product.

CUSTOMER REQUIREMENTS:
The customer will have great influence over the way a product is designed and develops. As a product is designed it is normal for potential customers to be questioned about the type of product or design that they prefer. For example, when designing a mobile phone a design team will show potential customers several designs and make changes according to their likes and dislikes.

COMPANY IDENTITY :
The product may have to display the company image. Most companies are proud of their public image. This may determine the colour scheme applied to the product, the way it looks or even the materials that are used in its manufacture (i.e. recycled materials).

AESTHETICS :
The shape and form of the product may determine the layout of circuits or mechanisms etc.. inside it. Products are often designed to look stylish. The style applied to the outside of a product can quite easily influence the technology inside it. Aesthetics can also alter the production / manufacturing techniques through which it is made.

FASHION:

*********************************************************************** *********************************************************************** ***************************************** The fashion of the time influences the design of products. Usually people want to buy up to date items not ones based on 'last years look'.

CULTURE:
Some products are aimed at different cultures and countries. A product acceptable in one culture may be looked up one as offensive or less desirable in another. The use of colours and colour schemes are a good example of this.

FUNCTIONS:
The number of functions a product has to perform will inevitably affect its design. Exactly what is the product going to do?

ENVIRONMENT:
Many people (potential customers) are concerned about their environment and the damage to it caused by industrial production. When designing a product it may be wise to ensure that the materials can be recycled or the product itself can be manufactured from a large proportion of recycled material.

Development of design
The principal problems in relation to the development of design pertain to the inclusiveness of the design, the person or departments that are made responsible for design, and the timing of the work. The first such problem relates to specification, tolerance and limits.

Specification:
By specification is meant the standard of quality for a part or for a finished goods. Standards of quality may be set for dimensions. These specification should be established as a part of the work of design. They determine the nature of the manufacturing processes, and they are enforced through inspection.

*********************************************************************** *********************************************************************** ***************************************** If the product is made in small quantities , specifications are not important but if it is in huge quantities, however the separate fitting of each part is not feasible. Although the specifications prescribes the size, a part may actually be larger or smaller than the prescribe dimension.

Design a staff function:


In a large enterprise design is a specialized and technical engineering service performed by a staff department. The appeal is based upon price, quality, color, service and other features previously mentioned. In most manufacturing enterprises, product design is a department of the manufacturing division. In such an organization the design engineer reports to the director of the manufacturer. S The fact that design is a staff function means that the design engineer is not in a position to make changes in the product or to the direct the production of a new model. Decisions of this kind are made after recommendations by the design engineer and approval by the line officers possible by the head of the major division.

Importance of timing:
In planning for the development of a new design, management should allow also for the time required to devise and install the tools, machines, and equipment which will be necessary for production. If the sales of the product are related to a seasonal demand, the importance of timing is increased. The slow development of designs in such cases may cause the manufacturer to miss the market. Poor timing may be caused by the necessity for consulting various persons.

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Example of potato chips:

The design of the potato chips is according to the customers requirement. Different brands introduce chips in different flavors and in different shape. Specialized person design the chips and the most important thing is to maintain the time. Potato chips will be used in places where they can be repaired easily. Consumer ideas as to quality, style, color, and cost should be considered by the designer, for consumer ideas may be very different from those of the manufacturer. The price potential customers are prepared to pay for the product. The design of the potato chips is unique and different thats why customer demands the chips.

AYMA TARIQ
*

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617 TOPIC: SIMPLIFIFATION STANDARDIZATION

IMPLIFICATION AND STANDARDIZATION OF THE PRODUCT Simplification and standardization of the product are two different but closely related practices. DEFINITIONS SIMPLIFICATION Simplification is the reduction of the number of sizes,colors,or other variations of the product. STANDARDIZATION Standardization is the establishment of uniform sizes, dimensions, or other properties and is technical in nature rather than commercial.

EXPLAINATION Simplification may precede or follow standardization, or the two programs may be accomplished simultaneously. In other words the unprofitable lines of the product may be eliminated by a program of simplification; and standards may be established for the lines that are to be continued. Or the various sizes and styles may be standardized, and the reduction in product line may be accomplished later. However; attention to either problem usually shows the need for the other and the two programs are preferably conducted at the same time. Simplification may be the work of one company or of all the companies in an industry. Standardization is usually a co-operative activity embracing an entire industry.

*********************************************************************** *********************************************************************** ***************************************** THE NEED FOR SIMPLIFICATION AND STANDERDIZATION A program of simplification and standardization is usually initiated because the product line has become overextended through the development of an excessive number of unrelated products or the production of too many colors, size, or other varieties. This situation may arise because management did not give sufficient attention to the product line when new varieties were added or because conditions have changed since the varieties were first placed upon the market. DEVELOPMENT OF THE PRODUCT LINE The expansion of the product line proceeds from two directions. The first is the addition of new products as a result of research or the creative ideas of persons in the management, or as a result of the acquisition of new plants or mergers with research division may have found a way to utilize waste and scrap, or it may have discovered new manufacturing methods, new kinds of raw materials, or new applications of scientific knowledge. Expansion through the development and design of new products may be planned for the purpose of providing financial stability through the seasonal dovetailing of demand. The expansion or merger may enable the company to reach markets in new territorial, sales, finance, or general management. The addition of a new product or a new variety usually requires the approval of a committee of top management, such as an executive or a policy committee. Officers of the company most likely to question the addition of a new product are the vise-product. BENIFITS OF STANDARDIZATION For all Optimized solution to repetitive technical problems Protect safety, health and property from hazards due to fire, explosion, chemicals, radiation, electricity Ensures interchangeability and interoperability Basis for procurement and assessment of quality Improvement guidance to organizations (Quality management systems, Environmental management systems) Common terminology facilitating communication Contribution to sustainability safer, healthier, more environmentally sound products and services

For consumers ...

*********************************************************************** *********************************************************************** ***************************************** products with improved quality and reliability compatibility within and between products greater consistency in the delivery of services improved choice and access to goods and services lower costs better product or service information Source of up-to-date technical information establishment of national standards as possible basis of regulations selection of technologies and equipment adapting products for export competitiveness of producers safeguarding national interests for imports retaining access to export markets Strategic significance Savings made through early application of standards in anticipation of adoption in regulations Support of economic integration of region Greater choice of markets and suppliers Opportunities for cooperation Early (insider) knowledge arising from participation gives a competitive edge Direct involvement equates to opportunity to influence content Gained through international adoption of (already known) national standards Heterogeneous mix of committee participants provides a good forum for trends identification 1/3 of businesses use national standards in support of international trade Trading costs reduced Contractual agreements simplified Technical barriers to trade reduced Global development contributes to reducing fragmentation of markets

For developing countries ...

For industry

Competitive advantage

Global markets *

*********************************************************************** *********************************************************************** ***************************************** Cost reduction Significantly lower transaction costs (information gathering, negotiating, market positioning, etc.) Create global markets with the fewest differences in requirements from nation to nation Production costs reduced (more through company standards than industry-wide) Improved interdepartmental communication very valuablE. Effect of standards higher on supplier than client Dependence on single supplier reduced Increased competition amongst suppliers Increased confidence in quality of suppliers providing products and services associated with standards Coding of knowledge through standards provides an environment that facilitates cooperation, particularly at the same position in the value chain Private (e.g. consortia), standards have potential for greatest support of cooperation Networking opportunities, supports dissemination of ideas Insights obtained can lead to less risk of investing in inappropriate technology Sharing of research through standards development beneficial to costs and speed of development Threat to innovation more perceived than actual risk More new standards are published in innovative sectors than elsewhere Indicators are that standards are keeping abreast of change New procedures and document types (PAS and IWA) have been developed to enhance responsiveness of standardization system Contribute to safety, particularly when used in association with regulations Standards considered to reflect state-of-the-art, so use viewed as a means to demonstrate due-care and assist in liability management

Supplier-client relationships & strategic alliances

Research and development & innovation

Product safety & liability *

*********************************************************************** *********************************************************************** ***************************************** Inclusion in standards increases awareness of importance of safety Product safety priority issue with consumers.

'Simplification of product'
Simplification may be effected be a single company acting on its own initiative by all of the companies in an industry through the offices of the trade association or through the co-peration of a government agency.Any manufacturer may simplify his product line by discontinuing the production and sale of any items that are found not to be profitable.However in many lines of production a company that undertakes to eliminate the slow selling varieties may find that it loses sales on other products aswell.A retailer or a wholesaler is not likely to purchase the product in its popular sizes,grades or colors form one manufacturer and the unusual varietys from another.Consequently compettition may compel a manufacturer to make and sell a wide variety of prducts unless the simplification movement is broad enough to include most of the industry.

Simplifying Master Data Management Deployments


Compared to the myriad of integrated systems most companies are managing today, Master Data Management (MDM) solutions are much simpler to manage and maintain, and provide companies with more business benefits. Unfortunately, MDM technology is developing a reputation for being complicated and time-intensive to implement. The reality is that the process can be dramatically simplified if companies plan before they implement. To streamline the implementation process, companies need to make several decisions about data, business processes and technologies, before an MDM project begins. First, they need to make critical decisions about what data to master and why. Next, they need to address other typical business process issues, common to any IT program. These include building out the business case; getting buy-in and budget approval; figuring out the business process, strategy, enterprise architecture, rules, policies and procedures; and dealing with change management. Finally, they need to make technology decisions, including selecting the best technology to match data and business goals and ensuring the choice is simple, predictable, low-risk, and can be implemented in months, not years. What Do You Master and What Does It Mean? The first step for a company considering MDM is to understand the benefits of an MDM solution and how it differs from the way things are done today. MDM solutions generate and maintain an enterprisewide system of record that contains the consistent, reliable information necessary to perform vital business functions across a large organization. MDM deployments result in a massive simplification of the widely distributed, uncoordinated data management solutions most companies struggle with. The benefits of MDM include enhanced revenue and profit, improved customer service, lowered operational costs, easier compliance, managed risk, and better strategic decision-making *

*********************************************************************** *********************************************************************** ***************************************** and business agility. Once a company determines it needs MDM, how does it decide what to master? The most basic advice is to first pick the data that will deliver the biggest bang for the buck. The best way for an organization to decide which data to choose is to identify the largest areas of pain. Decision-makers should take a look at areas where: Costs and data defects are out of control Customer satisfaction is trending downward Inconsistent pricing exists across channels Market share is shrinking Customers are complaining about marketing Regulatory requirements are creating a stranglehold Reporting to Wall Street is painful There are significant untapped opportunities that could be capitalized on. A company should choose the area that will deliver the greatest measurable return and tackle that first. The process of determining the first project will most likely make it clear what the other top-five or 10 projects might be. After a company decides which data to master, its important that it understand whats entailed in the process. An MDM solution puts the myriad data sources into a single, complete database to create a central, single version of the truth for that data domain. Once data is centralized, duplicate records will be resolved, relationships between data will be detected and declared, and data will be made available to the applications, people, and processes that need it. Different business uses and security restrictions require that not everyone has the same access rights or ability to view data, so MDM technologies need to be able to control access, enforce security policies, and provide logging and reporting on details. MDM implementations can be onerous and complex if the team doesnt focus on simplifying each step and its overall approach to the MDM project. Following are specific business and technology guidelines that will help simplify MDM deployments. Five Key Lessons The following five key lessons could help ease the pain and streamline MDM business requirements: Look for simple solutions to business problems. Trust your instincts. If the proposal sounds like it will require years to design, implement and integrate, youre probably right. To simplify, manage scope. Dont try to master all data in one project; pick the one type of data that delivers the biggest bang for the buck and fix that first. Get value quickly. As always, time is the enemy of business, so rapid implementation times do matter. If you cant get a system into production in six to eight months, its taking too long. *

*********************************************************************** *********************************************************************** ***************************************** Save money through automation. The more MDM technology does to find and maintain data relationships and automatically resolve data quality issues, the fewer people required to maintain data accuracy and the more money the company saves. For example, today it isnt uncommon for companies to have multiple copies of data quality software to manage multiple systems. When the data quality function is housed in the MDM solution, it needs to be mastered only once, so a company saves money by not having to manage data quality in multiple places, normalize business rules across software from multiple vendors, or purchase multiple copies of data quality software to maintain different systems. Make search capabilities a priority. Robust, sophisticated master data search capabilities make it much easier for point-of-service employees to locate accurate files. Built-in search capabilities enable MDM solutions to decrease the number of duplicate records created and ultimately lower downstream data stewardship and data quality costs. Try not to over-invest in technology. While its important to find an MDM solution thats agile enough to meet your current and anticipated business needs, avoid the temptation to buy a solution for a problem you dont have. By managing scope and avoiding complexity, you should be able to clearly define your technology requirements and avoid spending more than necessary. From a Technology Perspective If you want to simplify MDM, break the MDM project into segments and deploy each individually. Technology should help make the implementation process easier, not add to its complexity. Here are five technical guidelines that will help most businesses further simplify their MDM program: Buy what you can, build what you must. Many companies significantly underestimate the difficulty in writing their own matching engine, or they try to manage reference data with a simple list of valid values. With matching engines, you can quickly get into a brittle deterministic rule set thats unmanageable, inflexible and non-extensible, and which performs poorly. Is it a core competency of your company to build a proprietary MDM hub? Probably not. When you can, buy one; it will cost you less in time and money. Remember, building the rules for an MDM system is only one part of the project; you also have to maintain and change the rules as your data set grows, you bring on numerous systems, or you need to manage conflicting rules from different constituents. Insist on architectural flexibility and adaptability. Technology is only as good as its ability to adapt, so its important that an MDM solution has architectural flexibility and a roadmap of deployment styles. Ensure your MDM solution can automatically adapt to your data as it changes. A flexible MDM offering will let you easily add sources without modifying rules and will maintain high accuracy and performance levels as you add more *

*********************************************************************** *********************************************************************** ***************************************** data. Keep these principles in mind: - Start with a registry approach. A registry approach to MDM matches and links data from disparate systems to provide a single customer view without requiring organizations to build a centralized data repository. Registry-style MDM solutions are often easier to deploy and generally deliver the fastest returns. If your MDM technology requires months and months of setup before you see a return, chances are youve bitten off too much. - Leverage data federation. Federation creates a single version of the truth for data by resolving heterogeneous instances into a single, trusted view. MDM solutions with builtin data federation reduce the complexity of deploying federated solutions. - Consider the possibility of data exchanges. The future of MDM for many organizations will include connecting and sharing data across multiple organizations and agencies. With exchanges, every organization doesnt have access to every piece of data. Whats required is the ability to securely share critical data across organizations, so its important to select an MDM solution designed to easily support sharing and accessing data, while protecting privacy. Demand accuracy even while scaling. Its critical to choose an MDM solution thats able to maintain accuracy while performing and scaling, no matter how much data youre managing. Performance and scalability matter even for smaller data sets, but as the amount of data grows, performance and scalability demands will increase and so can hardware procurement and management costs. Its important to understand your exposure and ensure that accuracy wont be compromised. Dont reinvent the wheel. You dont have to spend a lot of time and energy redesigning something that has been done well by someone else. Resist the temptation to spend countless person months designing the perfect data model in-house. Instead, choose an MDM vendor that has lots of experience developing and perfecting these models so you dont have to. Find a partner that has range. MDM technologies are relatively new, so be sure the MDM partner you choose has experience solving a wide range of data problems and wont have to re-engineer your systems. Be skeptical of vendors that want to start at a departmental level, but promise to grow to an enterprise level, as often these technologies cant easily scale. Conclusion MDM can provide many business benefits and it doesnt have to be difficult to deploy. The key is to approach the project in pieces and plan before you implement. Once youve considered all your organizations data, business and technology questions, and have made the critical decisions, the MDM implementation will be much simpler. A company that takes this approach, and starts today, should see results in six to eight months. *

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A program of Standardization
Although standardization may be the work of one company,the program is usually developed by most of the companies in an industry with the assistance of the national bureau of standards.The standards that may be developed can be classified into two major cattegories Industrial standards Commercial standards

Industrial Standards Which are of primary concern for consumers who will purchase and use the product. An engineering or indusrial standard is a precise description or definition of a product, a part, a raw material, or a manufacturing process which has been established by one company or by a group of companies in an industry.Some standards are national in scope, and some are international.The standards are established by agreement and are made effective by voluntary compliance. Several types of industrial standards hace been adopted.One type includes the nomenclature or the technical terms that are used in specifications contracts, catalogues or literature.The nomenclature extends to abbreviations, letter symbols for chemical composition,graphic symbols, and pictographs used in drawings or diagrams.The standardization of nomenclature permits a buyer and a seller to execute a concise contract of purchase and sale with a minimum of misunderstanding and confusion. Another type of standard pertains to the dimensions that are necessary to secure the interchangability of parts and supplies and the proper functioning of the product.The agreement as to dimensions and sizes may also make provisions for the concentration of production upon an optimum number of types, sizes,colors,or grades of products.The other than those for which standards have been established. Standards may also designate the properties or qualities of bulk materials and supplies in order that the purchaser may be assured of the grade of product he desires. Other industrial standards provide for the rating of machinery and equipment on the basis of performance, durability, variances in the product turned out by machine, power consumption, horsepower or other such quality. Safety satandard provide for the safety of workers in the use of machines and equipment.These standard would include guards for grinding wheels, gears, belts and other mobing parts, warning signals by means of lights o other devices,color schemes for safety purposes, protection against gases and fumes,etc

Commercial standards
A standard of commerce, which is sometimes called a"consumer standard"is designed to protect the purchaser or ultimate consumer as well as the manufacturer.It is a measure of the quality,performance, dimensional charachteristics or other properties of a product destined for personal use by consumers.It covers terminology grades ,sizes and use charachteristics of manufacuture products.

Standardization versus Customization Most off-the-shelf Enterprise Resource Planning (ERP) packages do not meet the precise needs of most manufacturing operations. Generic ERP software often lacks key *

*********************************************************************** *********************************************************************** ***************************************** components needed in many manufacturing operations, such as the ability to gracefully handle several different approved manufacturer's lists (AML), or to seamlessly exchange documents with B2B (business-to-business) trading partners. Although companies the size of General Electric and Ford can afford to fully integrate all their operations across a common platform, smaller companies would be priced out of the market if software was only offered as a "one size fits all" and could not be customized. Manufacturing managers naturally prefer a system similar to a well-tailored suit, or a brand-new, factory-ordered car with all the requisite whistles and bells. Their counterparts in the information technology world, however, dread the word "customization" and all the development costs, testing, and upgrade difficulties that come with it. Changes are required sometimes, but they should be avoided unless they are critical to business. Why customize? Even with a myriad of software choices in the marketplace, most applications are sold in one flavor vanilla. Software companies cannot afford to develop packages for every industry. The time needed to develop programs that accommodated all the idiosyncrasies of a specific industry would, again, price smaller companies out of the market. There is some vertical integration in which programs designed for a few industries are offered by a single software supplier. WebPLAN Inc., for example, offers planning and scheduling tools for e-supply chains which are tailored to the aerospace, industrial equipment, and electronics manufacturing industries, to name a few. And Oracle has specific offerings aimed at consumer products, energy, and telecommunication sectors. Still, industry-specific offerings are rare. In most cases, companies turning out teddy bears or computer games will use the same ERP software as companies building hundreds of different electronics assemblies for dozens of different companies. The two types of businesses are quite different, yet their software packages are exactly the same. This is where customization comes in. "ERP software can remain generic or vanilla, but it is rare," says Ray Schnulle, a technical manager for Oracle Corp. "Generally, only startups and distribution businesses can use ERP software without customization. But I have not been on an implementation in the last five years that did not have some customization, although most involved only changing the reports." That's not unusual since the most common customization to ERP software concerns reports. Changing the report format, adding a column, or calculating additional fields of information, is quite common and usually the first modification made. But reports can tax system and human resources if they need too much information that is buried deep in the underlying database. Many midsize and larger companies have data warehouses on a different server, and data may be "refreshed," or renewed every so often, perhaps once per week. This takes the reporting load off the main system. Data-mining tools, which are basically ad hoc query tools, let users generate an endless variety of "what if" reports to suit their needs. Specific reports that are large enough or used often enough can be "tuned" by Information Technology personnel to run faster and use fewer resources. *

*********************************************************************** *********************************************************************** ***************************************** Some complex customizations are business requirements. Adding additional data fields to a database and developing a custom report to extract that data is probably the most innocuous form of customization. Specialized processes, or reports, can be set to run " behind the scenes" automatically to update certain pieces of the software or underlying database information. Triggers, which start a custom process whenever a user enters data or accesses a specific form, are a higher-level of customization. Customizing a "form" or what the user sees, generally requires much more technical skills. Changing a program's underlying applications code, while possible, should be avoided. Even if the source code is available from the software vendor and an IT person with enough technical prowess can be found, customizing at this level is generally costly and time consuming.

Pitfalls of customizing The complexity and expense of customizations is naturally a downfall, according to Schnulle. "Many customizations do not provide any cost benefits. They are basic requirements for doing business in certain industries." Rewriting or changing software calls for a software developer or programmer, a scarce resource at companies suffering critical shortages of skilled IT workers. And in today's employment marketplace, that can be just about any company. Another common problem with rewriting code in off-the-shelf software is that it could cause problems elsewhere. Screwing up a key software link in a program, for example, could fatally flaw data the company relies on to make timely and accurate decisions. Then there are the problems with patches and upgrades to fix bugs. Software suppliers regularly release patches, best described as "baby upgrades," to these large, complex ERP programs. And sometimes, the baby is pretty big. These patches, like the original software, are often written "for the masses." Companies have been known to haphazardly implement a patch only to discover it replaced customized code which took week and thousands of dollars to develop. Oops. Time to start over. Full product upgrades, such as Oracle's latest 11I release, require that all customizations done at an installation be retested, and if necessary, rewritten. Again, this can expensive and time consuming. Choosing an ERP package Firms often mistakenly implement new ERP applications believing that standardized software will standardize their business processes. The software might complement standardized practices, even help facilitate them, but it will not bring about standardization on its own. Once business practices and standard operations are understood, it is time to study the packages under consideration, and what custom features they will require, if any. Determine if one supplier's offerings are more closely suited to your business processes before investing hundreds of thousands, if not millions of dollars in new software.

*********************************************************************** *********************************************************************** ***************************************** Remember, software that will needs extensive modifications will be expensive to implement and difficult to maintain and upgrade. Each required modification should be decided upon ahead of the installation. Companies should estimate the impact each modification will have on the final price. According to Slavko Cvencek, president of Boulder, Colo.-based NBI Technical Services, "Each customization is based on the level of complexity and 'downwind' ramifications pertaining to the changes. It is quite difficult to standardize a cost/benefit policy for customizations, although ballpark figures are usually generated after initial investigation of the scope of the work to be performed."

Document After making a "go/no go" decision as to what ERP package to purchase and put in place, document the reasons and file them away. You can be sure the question as to why the project was canceled or why it went forward will be asked again. Code used for modifications should also be carefully documented as it is developed. If one programmer's work cannot be modified or understood by another, the company could be in trouble, especially if it finds itself at odds with the original programmer down the road. User manuals should be modified or created as the program is developed. Before customized software is put on the company's hardware for employee use, it should undergo extensive testing, in a test system if possible. It should be tested by the developer, system analysts from the IT department, people well-versed in the processes of the department requesting the modification, and, finally, the end users in that order. The change should be clearly announced within the company and released on schedule after all potential users have been trained. Nobody likes software "surprises." Change control, after making upgrades or enhancements, is another critical function. This is a "gotcha" for many organizations. There are many off-the-shelf systems designed to help companies handle revisions. At a minimum, a log of what was changed, by whom and why, should be archived along with copies of the premodification program code and the new code. This makes it possible to revert to previous "known-to-work" software-in case the new software doesn't work or there is a systems catastrophe. Managing the modifications Another challenging area for many companies is to smoothly manage the transition to ERP. Many firms get the software snarled up with needless changes because the people making them do not understand the firm's business practices or the approval process, if there is one. For example, if a single user, even an executive, believes a modification would help him or her do a job, the modification might be counterproductive for the rest of the company. A change request process should have a filter up front to catch these "bad" ideas.

*********************************************************************** *********************************************************************** ***************************************** Employees who want specific modifications should be prepared to cost-justify the expense. In the case of limited resources, these costs should include "opportunity costs," or the benefits the company will lose if resources assigned to customizing the software are unavailable for other projects. Cross-functional teams are especially useful in managing software customizations. The group should consist of IT technical resources, representatives of departments requesting changes, representatives from any other areas of the business that will be affected by the change, and appropriate management personnel. The team should first determine: Who is requesting the change? Why is it necessary? Who will benefit? Where could it cause problems? Who can make the change? How do we do it? And last, but not least, Is it really necessary? Systems users may withdraw their change request once they are aware of how their proposed change could hurt another area of the business, or they come to understand the complexity and expense of what they want. Then again, maybe they won't. The transition team therefore needs at least one executive-level decision maker to refuse unwarranted changes. Striking a balance between customized and standard ERP systems is a difficult proposition at best. With all the different interests at stake, it is virtually impossible to satisfy everyone. But, with careful consideration of the alternatives, a thorough understanding of the company's business processes, and concentrated effort at documenting, testing, and controlling the modifications, benefits can be realized by almost any organization. Customization can enhance the value of off-the-shelf software, letting the company add more value for their customers both internal and external.

KOLSON POTATO CHIPS


Our line of food is made with only natural ingredients and contains no preservatives. In accordance with stringent food safety and adulteration standards as prescribed by Food Safety and Standards Act and Prevention of Food Adulteration Act, our snacks provide taste with nutrition. The natural ingredients of our snacks are procured from our own farms and are processed in our sanitized and hygienic manufacturing facility making them snacks natural and healthy Requirements
Our product fullfill the following requirements It shall be free from pig products and their derivatives. It shuld be processed acccording to established standards The rawmaterial used must be according to the standards Potato used for making chips must be clean,mature and free from insect infections. It shall be free from the foreign substances. Free from undesirable flavour Free fatty acids shall not exceed from 1.5%

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Shall have uniform color ranging from yellow to light brown Defective units(external and frying defects) shall not exceed 6% by mass Sticks of more than 13mm in length shall not be less than 90% by mass and sticks of more than 19mm shall not be less than 80% by mass. Moisture content shall not exceed 3% by mass. Oil content shall not exceed 40% Edible salt percentage shall not exceed 3% on dry mass basis. In case flavours and flavour enhances are added it shall be healthy safe and shall not contain any material or artificial colouring matters not permitted.It shall not contain preservative.It shall comply with the relevant established standards.

Nutritions
Potato chips are often criticized as junk food high in the bad stuff like calories and fat, but low on the good things like vitamins. high in vitamins A. In standardization they finds best solutiom to the food production. They provide people with a wide variety of choices in chips which can be eaten straight from packet.These chips are ready under hygenic conditions.

Our chips are


Healthy Free of preservatives Uncontaminated Well packaged

Variation Sweet Potato Chips


Preheat oil in a deep-fat fryer or an electric frying pan to 177-190C (350-375F) Peel the potatoes. Slice the potatoes thin. (If a food processor is used, use a 1 mm or 2 mm slicing blade.) Sweet potatoes are not starchy like white-type potatoes, thus they do not have to be soaked in water to remove excess starch. Fry the potato slices, a few at a time, so they are not crowded, in the hot oil until they are golden to brown in color. It may be necessary to turn them while cooking. Allow the cooked potato chips to cool and drain on paper towels. (Note: Sweet

*********************************************************************** *********************************************************************** ***************************************** potato chips tend to crisp slowly while cooling. They will not be as crispy as potato chips from white potatoes.) Sprinkle lightly with popcorn salt to taste. Store in an air-tight container.

From idea to product


Our Process Development Centres are there to help you turn your concepts into fullyfledged commercial products, tested, evaluated and modified to perfection. Use our centres to fine tune new processing concepts, perform trials and test runs, and evaluate final results all with the help of our experienced technicians and under conditions of absolute secrecy.
Team of professionals is adept at manufacturing and supplying international quality food products All the members of the team have in depth knowledge about the processes and norms prevalent in the food processing industry and provide insightful inputs which enable us to provide safe and pure products to our clients all over the world.

METHODOLOGY At the heart of our corporate methodology is the certainty that every customer relationship is unique. While every process is customized for each customer, our methodology embodies a set of core principles. What ever you need, the consulting process starts with a thorough understanding of the customer's objectives. Requirements are defined, environmental interests considered, and deadlines and costs determined to ensure a clear understanding of the issues involved. Customer orders are headed on to the Art and Design and Research and Development (R&D) departments, which provide a complete design solution based on customer needs. Product realization requires interaction with one or more of the product business units. Inputs for the manufacturing process come from our mills. To sustain continuous and consistent progress in quality packaging, we continue to explore and develop usage of new fibres, films, chemicals, adhesives, coatings and resins. With well-equipped laboratories and research resources at our disposal, Packages is a happening place in the area of research. Our Research and Development. (R & D) department is committed to developing new products that service changing consumer needs, while evaluating and improving raw materials to reduce costs and increase efficiency. Laboratory simulation of papermaking operations, chemical testing and analysis, comprehensive testing of products and other research and development facilities ensure provision of quality custom-tailored solutions, no matter how diverse the customer requirements.
We make sure that there is timely deliveries

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Our product is cost effective We have and expert workforce We god excellent infrastructure We provide healthy and tasty food

AISHA YASEEN 645 TOPIC: QUALITY CONTROL AND INSPECTION

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Quality control and inspection

A process that evaluates output relative to a standard and takes corrective action when output doesnt meet standards. OR 'Quality is consistent conformance to customers expectations.' The important things to remember about this definition is:

Operations have to ensure that they are able to manufacturer the product or deliver the service to a specification. They have to do this time after time, i.e. consistently, and in order to do this we need to have some means of controlling quality (see later). And, that specification should meet customers expectations, (see quality characteristics later), if it does not customers will likely be dissatisfied. Although the operation may consistently create the product or service to that specification, the customers perceptions of its quality may be good or bad. So we also need to try to understand how customers will perceive the products and services. In some situations customers may not be able to evaluate the technical quality of a product or service and may judge it on the way they were treated. Quality must therefore cover both the technical and treatment aspects.

The quality control capability is used to ensure a continuous quality of the companys products and processes. Therefore, the quality level has to be constantly updated, control charts can be used to check certain values and the suppliers quality needs to be evaluated. All quality data within SAP ERP can be collected, analyzed and controlled with different tools (e.g. QM Evaluation Cockpit). This is for example the basis for continuous quality improvement also used for six sigma projects.

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Quality Certificates:
Quality certificates document the following of certain quality requirements. They are mostly used during the collaboration with suppliers or subcontractors (incoming certificates) to document the quality standards of incoming goods or when acting as a supplier, to document the companys quality standards themselves (outgoing certificates). Quality certificates can guarantee:

the following of certain manufacturing / quality processes the execution of predefined inspections. These can be either defined by norms (e.g. GMP: Good Manufacturing Processes), law, customers, ... defect-free inspection results for a delivery, assigned to the quality certificate

Quality Notifications:
Quality notifications are used to process and document quality related problems within a standardized process. Quality notifications consist of basic header data such as material, reference documents, batch numbers, etc. and detailed information about the problem/deviation. Additionally to that, tasks and activities can be tracked to support an internal CAPA (Corrective and Preventive Actions) process. Notifications can e.g. be used for:

complaint against a vendor internal problems (material error, etc.) complaint from a customer

How can quality problems be diagnosed:


There are two important points here:

The gap model, figure 17.4 provides us with a way of diagnosing quality problems, i.e. why customers might perceive quality to be different to their expectations. Such a mismatch could be caused by one of or a combination of other mismatches or gaps. The responsibility for ensuring customers perceive good quality products or service is not just the responsibility of operation managers but also marketing to provide information about customers expectations and to provide the right image about the product or service to the market.

*********************************************************************** *********************************************************************** ***************************************** Product/service developers also have a role in ensuring that the right product or service is designed.

Purpose of quality control:


Maintaining special standards. .Prevention of defects as early as possible. Correction of defects. .Economical product by reducing the wastage and operational cost. Public safety.

Quality costs:
The concept of quality costs is a means to quantify the total cost of quality-related efforts and deficiencies. It was first described by Armand V. Feigenbaum in a 1956 Harvard Business Review article.
[1]

Feigenbaum defined the following quality cost areas[3]:

Region factorsLocal factorsCost area

Description

Examples

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Government rules, attitudes, political risk, incentives Culture & economy Market location Labor availability, attitudes, productivity, and cost Availability of supplies, communications, energy Attractiveness of region Exchange rates and (culture, taxes, climate, currency risks etc.) Labor, availability & costs Costs and availability of utilities Environmental regulations of state and town Government incentives Proximity to raw materials & customers Land/construction costs

Site size and cost Air, rail, highway, and waterway systems Zoning restrictions Nearness of services / supplies needed Environmental impact issues

*********************************************************************** *********************************************************************** *****************************************

project on kolsrt is to examine and assess the operation of brand named kolson patatoi chips. An attempt to establish what level of understanding the brand has carried out. In addition, the current strategy and processes used to implement cost of production and pricing policies is being assessed.

*********************************************************************** *********************************************************************** *****************************************

Proposed Location
The said project can be started in any Industrial Area. It is recommended to establish the Project in an area where Raw Material is easily available. *

*********************************************************************** *********************************************************************** ***************************************** It may have any Industrial Area of Lahore, Karachi or Islamabad. The location of this proposed Pre-feasibility recommended at Raiwind Road, Lahore.

Raw Material Requirement:


Pakistan is a Potato growing country and has a major advantage of availability and lower prices. Potatoes produced in Pakistan are appropriate and ideal to produce Quality Potato Chips. Raw material used in Potato Chips Manufacturing includes: Potatoes Vegetable Ghee / Cooking Oil Flavors

LAND & BUILDING REQUIREMENT


Land Requirement
Building for the proposed business can be acquired on rent but it is recommended that it should be purchased or built as machinery will be installed. Total land required for the Potato Chips Manufacturing Unit is approximately 22,449 -Sq. ft or 5 kanals. Land price per kanal is taken to be Rs. 600,000 (Raiwind Road, Lahore). The break up of the required area and construction cost of the building is given below. Building Requirement Following Table shows the detailed Machinery Requirements for the Project. Building & Civil works Space Reqd. Sq. ft Cost Rs. Per Sq. Ft. 800 800 800 900 800 800 800 800 800 40 TotaCost 3,200,000 480,000 480,000 1,080,000 480,000 1,200,000 1,200,000 480,000 1,440,000 360,000 400,000 10,800,000

Rs. Plant Area 4,000 Generator Area 600 Air Compressor Room 600 Management Office , 200 Accessories Store 600 Potato Store 1,500 Finished Goods Store 1,500 Toilets 600 Loading, unloading Bay 1,800 Grounds 9,000 Water Tank Total Space Requirement (sq.ft) 21,400

*********************************************************************** *********************************************************************** ***************************************** Boundary wall 600 x 10 100 600,000 Total Infrastructure Cost 11,400,000

Utilities Requirement Utilities required for a Chips Manufacturing Unit are Electricity, Water and Telephone.

*********************************************************************** *********************************************************************** *****************************************

Defination of plant layout:


A plant layout study is an HYPERLINK "http://en.wikipedia.org/wiki/Engineering" \o "Engineering" engineering study used to analyze different physical configurations for an HYPERLINK "http://en.wikipedia.org/wiki/Industrial_plant" \o "Industrial plant" industrial plant.

*********************************************************************** *********************************************************************** ***************************************** Modern industrial HYPERLINK "http://en.wikipedia.org/wiki/Manufacturing_plants" \o "Manufacturing plants" manufacturing plants involve a complex mix of functions and operations. Various techniques exist, but general areas of concern include the following HYPERLINK "http://en.wikipedia.org/wiki/Space" \o "Space" Space (adequate area to house each function) HYPERLINK "http://en.wikipedia.org/wiki/Affinity" \o "Affinity" Affinity (functions located in close HYPERLINK "http://en.wikipedia.org/wiki/Proximity" \o "Proximity" proximity to other related functions) HYPERLINK "http://en.wikipedia.org/wiki/Material_handling" \o "Material handling" Material handling HYPERLINK "http://en.wikipedia.org/wiki/Communications" \o "Communications" Communications ( HYPERLINK "http://en.wikipedia.org/wiki/Telephone" \o "Telephone" telephone, HYPERLINK "http://en.wikipedia.org/wiki/Data" \o "Data" data, HYPERLINK "http://en.wikipedia.org/wiki/Telemetry" \o "Telemetry" telemetry, and other HYPERLINK "http://en.wikipedia.org/wiki/Signal" \o "Signal" signal items) HYPERLINK "http://en.wikipedia.org/wiki/Utilities" \o "Utilities" Utilities ( HYPERLINK "http://en.wikipedia.org/wiki/Electrical" \o "Electrical" electrical, HYPERLINK "http://en.wikipedia.org/wiki/Gas" \o "Gas" gas, HYPERLINK "http://en.wikipedia.org/wiki/Steam" \o "Steam" steam, HYPERLINK "http://en.wikipedia.org/wiki/Water" \o "Water" water, HYPERLINK *

*********************************************************************** *********************************************************************** ***************************************** "http://en.wikipedia.org/wiki/Sanitary_sewer" \o "Sanitary sewer" sewer, and other utility services) HYPERLINK "http://en.wikipedia.org/wiki/Buildings" \o "Buildings" Buildings ( HYPERLINK "http://en.wikipedia.org/wiki/Structural" \o "Structural" structural and HYPERLINK "http://en.wikipedia.org/wiki/Architectural" \o "Architectural" architectural forms; sitework)

Product Considerations
The intended HYPERLINK "http://en.wikipedia.org/wiki/Product" \o "Product" products to be manufactured have an impact on the choice of layout.

Fixed position layout:


A fixed position layout would be chosen where large or unique items are worked on individually, such as HYPERLINK "http://en.wikipedia.org/wiki/Ship_building" \o "Ship building" ship building or construction of a HYPERLINK "http://en.wikipedia.org/wiki/Bridge" \o "Bridge" bridge.

Functional layout:
A functional layout is a multiple purpose layout designed to facilitate variety of products, a typical example of this is a HYPERLINK "http://en.wikipedia.org/wiki/Hospital" \o "Hospital" hospital.

Product layout:
A product layout focuses on maximising plant efficiency through techniques such as HYPERLINK "http://en.wikipedia.org/wiki/Mass_production" \o "Mass production" mass production. A HYPERLINK "http://en.wikipedia.org/wiki/Cellular_manufacturing" \o "Cellular manufacturing" cellular manufacturing layout seeks to gain the benefits of both the flexibility of a functional layout and the efficiency product layout by grouping machines into HYPERLINK "http://en.wikipedia.org/wiki/Autonomous" \o

*********************************************************************** *********************************************************************** ***************************************** "Autonomous" autonomous work groups. This is particularly utilised along side HYPERLINK "http://en.wikipedia.org/wiki/Just_In_Time" \o "Just In Time" Just In Time systems.

General areas of concern: 1)Space


Space is the boundless, three-dimensional extent in which HYPERLINK "http://en.wikipedia.org/wiki/Physical_body" \o "Physical body" objects and HYPERLINK "http://en.wikipedia.org/wiki/Event" \o "Event" events occur and have relative position and direction. Physical space is often conceived in three HYPERLINK "http://en.wikipedia.org/wiki/Linear" \o "Linear" linear HYPERLINK "http://en.wikipedia.org/wiki/Dimension" \o "Dimension" dimensions, although modern HYPERLINK "http://en.wikipedia.org/wiki/Physics" \o "Physics" physicists usually consider it, with HYPERLINK "http://en.wikipedia.org/wiki/Time" \o "Time" time, to be part of the boundless four-dimensional continuum known as HYPERLINK "http://en.wikipedia.org/wiki/Spacetime" \o "Spacetime" spacetime. In HYPERLINK "http://en.wikipedia.org/wiki/Mathematics" \o "Mathematics" mathematics spaces with different numbers of dimensions and with different underlying structures can be examined. The concept of space is considered to be of fundamental importance to an understanding of the HYPERLINK "http://en.wikipedia.org/wiki/Universe" \o "Universe" universe although disagreement continues between HYPERLINK "http://en.wikipedia.org/wiki/Philosophy" \o "Philosophy" philosophers over whether it is itself an entity, a relationship between entities, or part of a HYPERLINK "http://en.wikipedia.org/wiki/Conceptual_framework" \o "Conceptual framework" conceptual framework. Many of the philosophical questions arose in the 17th century, during the early development of HYPERLINK "http://en.wikipedia.org/wiki/Classical_mechanics" \o "Classical mechanics" classical mechanics. In HYPERLINK "http://en.wikipedia.org/wiki/Isaac_Newton" \o "Isaac Newton" Isaac Newton's view, space was absolute - in the sense that it existed permanently and independently of whether there were any matter in the space. Other HYPERLINK "http://en.wikipedia.org/wiki/Natural_philosophy" \o "Natural philosophy" natural philosophers, notably HYPERLINK "http://en.wikipedia.org/wiki/Gottfried_Leibniz" \o "Gottfried Leibniz" Gottfried Leibniz, thought instead that space was a collection of relations between objects, given by their HYPERLINK "http://en.wikipedia.org/wiki/Distance" \o "Distance" distance and HYPERLINK "http://en.wikipedia.org/wiki/Direction" \o "Direction" direction from one another. In the 18th century, HYPERLINK "http://en.wikipedia.org/wiki/Immanuel_Kant" \o "Immanuel Kant" Immanuel Kant described space and time as elements of a systematic framework which humans use to structure their experience.

*********************************************************************** *********************************************************************** ***************************************** In the 19th and 20th centuries mathematicians began to examine HYPERLINK "http://en.wikipedia.org/wiki/Non-Euclidean_geometry" \o "NonEuclidean geometry" non-Euclidean geometries, in which space can be said to be curved, rather than flat. According to HYPERLINK "http://en.wikipedia.org/wiki/Albert_Einstein" \o "Albert Einstein" Albert Einstein's HYPERLINK "http://en.wikipedia.org/wiki/Theory_of_general_relativity" \o "Theory of general relativity" theory of general relativity, space around HYPERLINK "http://en.wikipedia.org/wiki/Gravitational_field" \o "Gravitational field" gravitational fields deviates from Euclidean space. HYPERLINK "http://en.wikipedia.org/wiki/Space" \l "cite_note-2#cite_note-2" \o "" [3] Experimental HYPERLINK "http://en.wikipedia.org/wiki/Tests_of_general_relativity" \o "Tests of general relativity" tests of general relativity have confirmed that non-Euclidean space provides a better model for explaining the existing laws of HYPERLINK "http://en.wikipedia.org/wiki/Mechanics" \o "Mechanics" mechanics and HYPERLINK "http://en.wikipedia.org/wiki/Optics" \o "Optics" optics.

2)Affinity:
Affinity, in etymology affinity is the opposite of HYPERLINK "http://en.wikipedia.org/wiki/Infinity" \o "Infinity" infinity . These two words have the same root coming from the Latin: finis = end. Affinity meaning is near to the finis e.g. close to the zero point in a before assumed space. On the other hand, from the Latin, affinis = connected with, having things in common, and it is utilised to interpret the effective possibility that some substances can or cannot mix together, in terms of sympathies and antipath

Material Handling Industry


Material Handling is the movement, storage, control and protection of materials, goods and products throughout the process of manufacturing, distribution, consumption and disposal. The focus is on the methods, mechanical equipment, systems and related controls used to achieve these functions. The material handling industry manufactures and distributes the equipment and services required to implement material handling systems. Material handling systems range from simple HYPERLINK "http://en.wikipedia.org/wiki/Pallet" \o "Pallet" pallet rack and shelving projects, to complex HYPERLINK "http://en.wikipedia.org/wiki/Conveyor_belt" \o "Conveyor belt" conveyor belt and HYPERLINK

*********************************************************************** *********************************************************************** ***************************************** "http://en.wikipedia.org/wiki/Automated_Storage_and_Retrieval_System" \o "Automated Storage and Retrieval System" Automated Storage and Retrieval Systems (AS/RS).

Industry Associations

MHIA - Material Handling Industry of America MHEDA - HYPERLINK "http://en.wikipedia.org/wiki/Material_Handling_Equipment_Distributors_Associ ation" \o "Material Handling Equipment Distributors Association" Material Handling Equipment Distributors Association ITA - Industrial Truck Association

Material Handling Equipment


Main article: HYPERLINK "http://en.wikipedia.org/wiki/Material_handling_equipment" \o "Material handling equipment" Material handling equipment This topic is discussed in greater detail in the HYPERLINK "http://en.wikipedia.org/wiki/Material_handling_equipment" \o "Material handling equipment" Material handling equipment article.

Material Handling System in Flexible Manufacturing


The material handling system (MHS) is a fundamental part of a Flexible Manufacturing system since it interconnects the different processes supplying and taking out raw material, workpieces, subproducts, parts and final products. Due to the automated of the whole production process, the MHS muss response with reability in time to all the requerements of the processes and systems. The MHS is comprise by warehouses, buffers, conveyors, transportation vehcles or systems, part sorters, feeders and manipulators.

Communication:
Communication is a process of transferring information from one source to another. Communication is commonly defined as "the imparting or interchange of thoughts, *

*********************************************************************** *********************************************************************** ***************************************** opinions, or information by speech, writing, or signs". HYPERLINK


"http://en.wikipedia.org/wiki/Communications" \l "cite_note-dictionary-definition-0#cite_note-dictionary-definition-0" \o "" [1]

Communication can be perceived as a two-way HYPERLINK "http://en.wikipedia.org/wiki/Process_(science)" \o "Process (science)" process in which there is an exchange and progression of HYPERLINK "http://en.wikipedia.org/wiki/Thought" \o "Thought" thoughts, HYPERLINK "http://en.wikipedia.org/wiki/Feeling" \o "Feeling" feelings or HYPERLINK "http://en.wikipedia.org/wiki/Idea" \o "Idea" ideas towards a mutually accepted[ HYPERLINK "http://en.wikipedia.org/wiki/Wikipedia:Please_clarify" \o "Wikipedia:Please clarify" clarification needed] goal or direction.Communication as an HYPERLINK "http://en.wikipedia.org/wiki/Academic_discipline" \o "Academic discipline" academic discipline has a long history. Communication is a process whereby information is encoded and imparted by a sender to a receiver via a channel/medium. The receiver then decodes the message and gives the sender a feedback. Communication requires that all parties have an area of communicative commonality. There are HYPERLINK "http://en.wikipedia.org/wiki/Auditory" \o "Auditory" auditory means, such as speaking, singing and sometimes tone of voice, and HYPERLINK "http://en.wikipedia.org/wiki/Nonverbal_communication" \o "Nonverbal communication" nonverbal, physical means, such as HYPERLINK "http://en.wikipedia.org/wiki/Body_language" \o "Body language" body language, HYPERLINK "http://en.wikipedia.org/wiki/Sign_language" \o "Sign language" sign language, HYPERLINK "http://en.wikipedia.org/wiki/Paralanguage" \o "Paralanguage" paralanguage, HYPERLINK "http://en.wikipedia.org/wiki/Haptics" \o "Haptics" touch, HYPERLINK "http://en.wikipedia.org/wiki/Eye_contact" \o "Eye contact" eye contact, by using HYPERLINK "http://en.wikipedia.org/wiki/Writing" \o "Writing" writing. Communication is thus a process by which we assign and HYPERLINK "http://en.wikipedia.org/wiki/Convey" \o "Convey" convey meaning in an attempt to create shared understanding. This process requires a vast repertoire of skills in HYPERLINK "http://en.wikipedia.org/wiki/Intrapersonal" \o "Intrapersonal" intrapersonal and HYPERLINK "http://en.wikipedia.org/wiki/Interpersonal" \o "Interpersonal" interpersonal processing, listening, observing, speaking, questioning, analyzing, and evaluating. It is through communication that HYPERLINK "http://en.wikipedia.org/wiki/Collaboration" \o "Collaboration" collaboration and HYPERLINK "http://en.wikipedia.org/wiki/Cooperation" \o "Cooperation" cooperation occur. HYPERLINK "http://en.wikipedia.org/wiki/Communications" \l "cite_note-2#cite_note-2" \o "" [3] There are also many common barriers to successful communication, two of which are message overload (when a person receives too many messages at the same time), and message complexity. HYPERLINK "http://en.wikipedia.org/wiki/Communications" \l "cite_note-3#cite_note-3" \o "" [4]

Types of communication

*********************************************************************** *********************************************************************** ***************************************** There are three major parts in human face to face communication which are body language, voice tonality, and words. According to the research: HYPERLINK
"http://en.wikipedia.org/wiki/Communications" \l "cite_note-4#cite_note-4" \o "" [5]

55% of impact is determined by body language--postures, gestures, and eye contact, 38% by the tone of voice, and 7% by the content or the words used in the HYPERLINK "http://en.wikipedia.org/w/index.php? title=Communication_process&action=edit&redlink=1" \o "Communication process (page does not exist)" communication process.

Although the exact percentage of influence may differ from variables such as the listener and the speaker, communication as a whole strives for the same goal and thus, in some cases, can be universal. System of signals, such as voice sounds, intonations or pitch, gestures or HYPERLINK "http://en.wikipedia.org/wiki/Writing" \o "Writing" written symbols which communicate thoughts or feelings. If a language is about communicating with signals, voice, sounds, gestures, or written symbols, can animal communications be considered as a language? Animals do not have a written form of a language, but use a language to communicate with each another. In that sense, an animal communication can be considered as a separate language. HYPERLINK "http://en.wikipedia.org/wiki/Human" \o "Human" Human spoken and written languages can be described as a HYPERLINK "http://en.wikipedia.org/wiki/System" \o "System" system of HYPERLINK "http://en.wikipedia.org/wiki/Symbol" \o "Symbol" symbols (sometimes known as HYPERLINK "http://en.wikipedia.org/wiki/Lexeme" \o "Lexeme" lexemes) and the HYPERLINK "http://en.wikipedia.org/wiki/Grammar" \o "Grammar" grammars ( HYPERLINK "http://en.wiktionary.org/wiki/rule" \o "wiktionary:rule" rules) by which the symbols are manipulated. The word "language" is also used to refer to common properties of languages. Language learning is normal in human childhood. Most human languages use patterns of HYPERLINK "http://en.wikipedia.org/wiki/Sound" \o "Sound" sound or HYPERLINK "http://en.wikipedia.org/wiki/Gesture" \o "Gesture" gesture for symbols which enable communication with others around them. There are thousands of human languages, and these seem to share certain properties, even though many shared properties have exceptions. There is HYPERLINK "http://en.wikipedia.org/wiki/Dialect" \l ".22Dialect.22_or_.22language.22" \o "Dialect" no defined line between a language and a HYPERLINK "http://en.wikipedia.org/wiki/Dialect" \o "Dialect" dialect, but the linguist HYPERLINK "http://en.wikipedia.org/wiki/Max_Weinreich" \o "Max Weinreich" Max Weinreich is credited as saying that " HYPERLINK "http://en.wikipedia.org/wiki/A_language_is_a_dialect_with_an_army_and_a_navy" \o "A language is a dialect with an army and a navy" a language is a dialect with an army and a navy". HYPERLINK "http://en.wikipedia.org/wiki/Constructed_language" \o "Constructed language" Constructed languages such as HYPERLINK *

*********************************************************************** *********************************************************************** ***************************************** "http://en.wikipedia.org/wiki/Esperanto" \o "Esperanto" Esperanto, programming languages, and various mathematical formalisms are not necessarily restricted to the properties shared by human languages.

Dialogue or verbal communication


A HYPERLINK "http://en.wikipedia.org/wiki/Dialogue" \o "Dialogue" dialogue is a HYPERLINK "http://en.wikipedia.org/wiki/Reciprocal" \o "Reciprocal" reciprocal HYPERLINK "http://en.wikipedia.org/wiki/Conversation" \o "Conversation" conversation between two or more entities. The HYPERLINK "http://en.wikipedia.org/wiki/Etymological" \o "Etymological" etymological origins of the word (in HYPERLINK "http://en.wikipedia.org/wiki/Greek_language" \o "Greek language" Greek (di,through) + (logos, word,speech) concepts like flowingthrough meaning) do not necessarily convey the way in which people have come to use the word, with some confusion between the prefix -(di-,through) and the prefix (di-, two) leading to the assumption that a dialogue is necessarily between only two parties.

Nonverbal communication
HYPERLINK "http://en.wikipedia.org/wiki/Nonverbal_communication" \o "Nonverbal communication" Nonverbal communication is the process of communicating through sending and receiving wordless HYPERLINK "http://en.wikipedia.org/wiki/Message" \o "Message" messages. Such messages can be communicated through HYPERLINK "http://en.wikipedia.org/wiki/Gesture" \o "Gesture" gesture, HYPERLINK "http://en.wikipedia.org/wiki/Body_language" \o "Body language" body language or HYPERLINK "http://en.wikipedia.org/wiki/Posture" \o "Posture" posture; HYPERLINK "http://en.wikipedia.org/wiki/Facial_expression" \o "Facial expression" facial expression and eye contact, object communication such as HYPERLINK "http://en.wikipedia.org/wiki/Clothing" \o "Clothing" clothing, HYPERLINK "http://en.wikipedia.org/wiki/Hairstyles" \o "Hairstyles" hairstyles or even HYPERLINK "http://en.wikipedia.org/wiki/Architecture" \o "Architecture" architecture, or symbols and HYPERLINK "http://en.wikipedia.org/wiki/Infographics" \o "Infographics" infographics, as well as through an aggregate of the above, such as HYPERLINK "http://en.wikipedia.org/wiki/Behavioral_communication" \o "Behavioral communication" behavioral communication. Nonverbal communication plays a key role in every person's day to day life, from employment to romantic engagements. Speech may also contain nonverbal elements known as HYPERLINK "http://en.wikipedia.org/wiki/Paralanguage" \o "Paralanguage" paralanguage, including voice quality, emotion and speaking style, as well as prosodic features such as HYPERLINK "http://en.wikipedia.org/wiki/Rhythm" \o "Rhythm" rhythm, HYPERLINK "http://en.wikipedia.org/wiki/Intonation" \o "Intonation" intonation and HYPERLINK "http://en.wikipedia.org/wiki/Stress_(biological)" \o "Stress (biological)" stress. Likewise, written texts have nonverbal elements such as handwriting style, spatial arrangement of words, or the use of HYPERLINK *

*********************************************************************** *********************************************************************** ***************************************** "http://en.wikipedia.org/wiki/Emoticons" \o "Emoticons" emoticons.A portmanteau of the English words emotion (or emote) and icon, an emoticon is a symbol or combination of symbols used to convey emotional content in written or message form. Other communication channels such as HYPERLINK "http://en.wikipedia.org/wiki/Telegraphy" \o "Telegraphy" telegraphy fit into this category, whereby signals travel from person to person by an alternative means. These signals can in themselves be representative of words, objects or merely be state projections. Trials have shown that humans can communicate directly in this way HYPERLINK "http://en.wikipedia.org/wiki/Communications" \l "cite_note-5#cite_note-5" \o "" [6] without body language, voice tonality or words.

Visual communication
HYPERLINK "http://en.wikipedia.org/wiki/Visual_communication" \o "Visual communication" Visual communication as the name suggests is communication through visual aid. It is the conveyance of ideas and information in forms that can be read or looked upon. Primarily associated with HYPERLINK "http://en.wikipedia.org/wiki/Dimension" \o "Dimension" two dimensional images, it includes: HYPERLINK "http://en.wikipedia.org/wiki/Signs" \o "Signs" signs, HYPERLINK "http://en.wikipedia.org/wiki/Typography" \o "Typography" typography, HYPERLINK "http://en.wikipedia.org/wiki/Drawing" \o "Drawing" drawing, HYPERLINK "http://en.wikipedia.org/wiki/Graphic_design" \o "Graphic design" graphic design, HYPERLINK "http://en.wikipedia.org/wiki/Illustration" \o "Illustration" illustration, colour and electronic resources. It solely relies on vision. It is form of communication with visual effect. It explores the idea that a visual message with text has a greater power to inform, educate or HYPERLINK "http://en.wikipedia.org/wiki/Persuade" \o "Persuade" persuade a person. It is communication by presenting information through visual form. The evaluation of a good visual design is based on measuring comprehension by the audience, not on aesthetic or artistic preference. There are no universally agreed-upon principles of beauty and ugliness. There exists a variety of ways to present information visually, like HYPERLINK "http://en.wikipedia.org/wiki/Gestures" \o "Gestures" gestures, body languages, video and TV. Here, focus is on the presentation of text, pictures, diagrams, photos, et cetera, integrated on a computer display. The term visual presentation is used to refer to the actual presentation of information. Recent research in the field has focused on HYPERLINK "http://en.wikipedia.org/wiki/Web_design" \o "Web design" web design and graphically oriented usability. HYPERLINK "http://en.wikipedia.org/wiki/Graphic_designers" \o "Graphic designers" Graphic designers use methods of visual communication in their professional practice.

Other types of communication


Other more specific types of communication are for example:

*********************************************************************** *********************************************************************** ***************************************** HYPERLINK "http://en.wikipedia.org/wiki/Facilitated_communication" \o "Facilitated communication" Facilitated communication HYPERLINK "http://en.wikipedia.org/wiki/Graphic_communication" \o "Graphic communication" Graphic communication HYPERLINK "http://en.wikipedia.org/wiki/Nonviolent_Communication" \o "Nonviolent Communication" Nonviolent Communication HYPERLINK "http://en.wikipedia.org/wiki/Science_communication" \o "Science communication" Science communication HYPERLINK "http://en.wikipedia.org/wiki/Strategic_Communication" \o "Strategic Communication" Strategic Communication HYPERLINK "http://en.wikipedia.org/wiki/Superluminal_communication" \o "Superluminal communication" Superluminal communication HYPERLINK "http://en.wikipedia.org/wiki/Technical_communication" \o "Technical communication" Technical communication

Communication modelling
HYPERLINK "http://en.wikipedia.org/wiki/File:Communication_emisor.jpg" \o "Communication major dimensions scheme" INCLUDEPICTURE "http://upload.wikimedia.org/wikipedia/en/thumb/b/b0/Communication_emisor.jpg/270p x-Communication_emisor.jpg" \* MERGEFORMATINET

Communication major dimensions scheme


HYPERLINK "http://en.wikipedia.org/wiki/File:Encoding_communication.jpg" \o "Communication code scheme" INCLUDEPICTURE "http://upload.wikimedia.org/wikipedia/en/thumb/7/79/Encoding_communication.jpg/27 0px-Encoding_communication.jpg" \* MERGEFORMATINET

Communication code scheme:


Communication is usually described along a few major dimensions: Content (what type of things are communicated), source, emisor, sender or HYPERLINK "http://en.wikipedia.org/wiki/Encoder" \o "Encoder" encoder (by whom), form (in which form), channel (through which HYPERLINK "http://en.wikipedia.org/wiki/Media_(communication)" \o "Media (communication)" medium), destination, receiver, target or HYPERLINK "http://en.wikipedia.org/wiki/Decoder" \o "Decoder" decoder (to whom), and the purpose or pragmatic aspect. Between parties, communication includes acts that confer knowledge and experiences, give advice and commands, and ask questions. These acts may take many forms, in one of the various manners of communication. The form

*********************************************************************** *********************************************************************** ***************************************** depends on the abilities of the group communicating. Together, communication content and form make HYPERLINK "http://en.wikipedia.org/wiki/Message" \o "Message" messages that are sent towards a destination. The target can be oneself, another HYPERLINK "http://en.wikipedia.org/wiki/Interpersonal_Communication" \o "Interpersonal Communication" person or being, another entity (such as a corporation or group of beings). Communication can be seen as processes of HYPERLINK "http://en.wikipedia.org/wiki/Information_transmission" \o "Information transmission" information transmission governed by three levels of HYPERLINK "http://en.wikipedia.org/wiki/Semiotic" \o "Semiotic" semiotic rules: 4. HYPERLINK "http://en.wikipedia.org/wiki/Syntactic" \o "Syntactic" Syntactic (formal properties of signs and symbols), 5. HYPERLINK "http://en.wikipedia.org/wiki/Pragmatic" \o "Pragmatic" pragmatic (concerned with the relations between signs/expressions and their users) and 6. HYPERLINK "http://en.wikipedia.org/wiki/Semantic" \o "Semantic" semantic (study of relationships between signs and symbols and what they represent). Therefore, communication is social interaction where at least two interacting agents share a common set of signs and a common set of HYPERLINK "http://en.wikipedia.org/wiki/Semiotic" \o "Semiotic" semiotic rules. This commonly held rules in some sense ignores HYPERLINK "http://en.wikipedia.org/wiki/Autocommunication" \o "Autocommunication" autocommunication, including HYPERLINK "http://en.wikipedia.org/wiki/Intrapersonal_communication" \o "Intrapersonal communication" intrapersonal communication via HYPERLINK "http://en.wikipedia.org/wiki/Diary" \o "Diary" diaries or self-talk, both secondary phenomena that followed the primary acquisition of communicative competences within social interactions. In a simple model, information or content (e.g. a message in natural language) is sent in some form (as spoken language) from an emisor/ sender/ HYPERLINK "http://en.wikipedia.org/wiki/Encoder" \o "Encoder" encoder to a destination/ receiver/ HYPERLINK "http://en.wikipedia.org/wiki/Decoder" \o "Decoder" decoder. In a slightly more complex form a sender and a receiver are linked HYPERLINK "http://en.wiktionary.org/wiki/reciprocal" \o "wikt:reciprocal" reciprocally. A particular instance of communication is called a HYPERLINK "http://en.wikipedia.org/wiki/Speech_act" \o "Speech act" speech act. The sender's personal filters and the receiver's personal filters may vary depending upon different regional traditions, cultures, or gender; which may alter the intended meaning of message contents. In the presence of " HYPERLINK "http://en.wikipedia.org/wiki/Noise" \o "Noise" communication noise" on the transmission channel (air, in this case), reception and decoding of content may be faulty, and thus the speech act may not achieve the desired effect. One problem with this encode-transmit-receive-decode model is that the processes of encoding and decoding imply that the sender and receiver each possess *

*********************************************************************** *********************************************************************** ***************************************** something that functions as a code book, and that these two code books are, at the very least, similar if not identical. Although something like code books is implied by the model, they are nowhere represented in the model, which creates many conceptual difficulties. Theories of HYPERLINK "http://en.wikipedia.org/wiki/Coregulation" \o "Coregulation" coregulation describe communication as a creative and dynamic continuous process, rather than a discrete exchange of information. Canadian media scholar Harold Innis had the theory that people use different types of media to communicate and which one they choose to use will offer different possibilities for the shape and durability of society (Wark, McKenzie 1997). His famous example of this is using ancient Egypt and looking at the ways they built themselves out of media with very different properties stone and papyrus. Papyrus is what he called 'Space Binding'. it made possible the transmission of written orders across space, empires and enables the waging of distant military campaigns and colonial administration. The other is stone and 'Time Binding', through the construction of temples and the pyramids can sustain their authority generation to generation, through this media they can change and shape communication in their society (Wark, McKenzie 1997).

Communication as academic discipline


Communication as an academic discipline, sometimes called "communicology," HYPERLINK "http://en.wikipedia.org/wiki/Communications" \l "cite_note-8#cite_note-8" \o "" [9] relates to all the ways we communicate, so it embraces a large body of study and knowledge. The communication discipline includes both verbal and nonverbal messages. A body of scholarship all about communication is presented and explained in textbooks, electronic publications, and academic journals. In the journals, researchers report the results of studies that are the basis for an ever-expanding understanding of how we all communicate. Communication happens at many levels (even for one single action), in many different ways, and for most beings, as well as certain machines. Several, if not all, fields of study dedicate a portion of attention to communication, so when speaking about communication it is very important to be sure about what aspects of communication one is speaking about. Definitions of communication range widely, some recognizing that animals can communicate with each other as well as human beings, and some are more narrow, only including human beings within the parameters of human symbolic interaction.

Public utility:
A public utility (usually just utility) is an organization that maintains the HYPERLINK "http://en.wikipedia.org/wiki/Infrastructure" \o "Infrastructure" infrastructure for a HYPERLINK "http://en.wikipedia.org/wiki/Public_services" \o "Public services" public service (often also providing a service using that infrastructure). Public utilities are *

*********************************************************************** *********************************************************************** ***************************************** subject to forms of public control and regulation ranging from local community-based groups to state-wide government monopolies. Common arguments in favor of regulation include the desire to control market power, facilitate competition, promote investment or system expansion, or stabilize markets. In general, though, regulation occurs when the government believes that the operator, left to his own devices, would behave in a way that is contrary to the governments objectives. In some countries an early solution to this perceived problem was government provision of the utility service. However, this approach raised its own problems. Some governments used the state-provided utility services to pursue political agendas, as a source of cash flow for funding other government activities, or as a means of obtaining hard currency. These and other consequences of state provision of utility services often resulted in inefficiency and poor service quality. As a result, governments began to seek other solutions, namely regulation and providing services on a commercial basis, often through private participation.
HYPERLINK "http://en.wikipedia.org/wiki/Utilities" \l "cite_note-0#cite_note-0" \o "" [1]

The term utilities can also refer to the set of services provided by these organizations consumed by the public: HYPERLINK "http://en.wikipedia.org/wiki/Electric_utility" \o "Electric utility" electricity, HYPERLINK "http://en.wikipedia.org/wiki/Natural_gas_utility" \o "Natural gas utility" natural gas, HYPERLINK "http://en.wikipedia.org/wiki/Water_utility" \o "Water utility" water and HYPERLINK "http://en.wikipedia.org/wiki/Water_industry" \o "Water industry" sewage. HYPERLINK "http://en.wikipedia.org/wiki/Telephone_company" \o "Telephone company" Telephone services may also be included. In the HYPERLINK "http://en.wikipedia.org/wiki/United_States_of_America" \o "United States of America" United States of America they are often HYPERLINK "http://en.wikipedia.org/wiki/Natural_monopoly" \o "Natural monopoly" natural monopolies because the infrastructure required to produce and deliver a product such as electricity or water is very expensive to build and maintain. HYPERLINK "http://en.wikipedia.org/wiki/Utilities" \l "cite_note-1#cite_note-1" \o "" [2] As a result, they are often government monopolies, or if privately owned, the sectors are specially HYPERLINK "http://en.wikipedia.org/wiki/Regulation" \o "Regulation" regulated by a HYPERLINK "http://en.wikipedia.org/wiki/Public_utilities_commission" \o "Public utilities commission" public utilities commission. Developments in technology have eroded some of the HYPERLINK "http://en.wikipedia.org/wiki/Natural_monopoly" \o "Natural monopoly" natural monopoly aspects of traditional public utilities. For instance, HYPERLINK "http://en.wikipedia.org/wiki/Electricity_generation" \o "Electricity generation" electricity generation, HYPERLINK "http://en.wikipedia.org/wiki/Electricity_retailing" \o "Electricity retailing" electricity retailing, HYPERLINK "http://en.wikipedia.org/wiki/Telecommunication" \o "Telecommunication" telecommunication and HYPERLINK "http://en.wikipedia.org/wiki/Mail" \o "Mail" postal services have become competitive in some countries and the trend towards HYPERLINK "http://en.wikipedia.org/wiki/Liberalization" \o "Liberalization" liberalization, *

*********************************************************************** *********************************************************************** ***************************************** HYPERLINK "http://en.wikipedia.org/wiki/Deregulation" \o "Deregulation" deregulation and HYPERLINK "http://en.wikipedia.org/wiki/Privatization" \o "Privatization" privatization of public utilities is growing, but the network infrastructure used to distribute most utility products and services has remained largely monopolistic. Public utilities can be HYPERLINK "http://en.wikipedia.org/wiki/Private_company" \o "Private company" privately owned or HYPERLINK "http://en.wikipedia.org/wiki/Government-owned_company" \o "Government-owned company" publicly owned. Publicly owned utilities include cooperative and municipal utilities. HYPERLINK "http://en.wikipedia.org/wiki/Municipal" \o "Municipal" Municipal utilities may actually include territories outside of city limits or may not even serve the entire city. HYPERLINK "http://en.wikipedia.org/wiki/Utility_cooperative" \o "Utility cooperative" Cooperative utilities are owned by the customers they serve. They are usually found in HYPERLINK "http://en.wikipedia.org/wiki/Rural" \o "Rural" rural areas. Private utilities, also called investor owned utilities, are owned by HYPERLINK "http://en.wikipedia.org/wiki/Investment" \o "Investment" investors.[ HYPERLINK "http://en.wikipedia.org/wiki/Wikipedia:Citation_needed" \o "Wikipedia:Citation needed" citation needed] Unlike private companies, private utilities may be listed on the HYPERLINK "http://en.wikipedia.org/wiki/Stock_exchange" \o "Stock exchange" stock exchange. [ HYPERLINK "http://en.wikipedia.org/wiki/Wikipedia:Citation_needed" \o "Wikipedia:Citation needed" citation needed] Private, in this context, means not owned by the HYPERLINK "http://en.wikipedia.org/wiki/Public" \o "Public" public or the HYPERLINK "http://en.wikipedia.org/wiki/Government" \o "Government" government. In poorer HYPERLINK "http://en.wikipedia.org/wiki/Developing_countries" \o "Developing countries" developing countries, public utilities are often limited to wealthier parts of major cities, as used to be the case in HYPERLINK "http://en.wikipedia.org/wiki/Developed_countries" \o "Developed countries" developed countries in the nineteenth century, but in some developing countries utilities do provide services to a large share of the urban population, such as in the case of HYPERLINK "http://en.wikipedia.org/wiki/Water_and_sanitation_in_Latin_America" \o "Water and sanitation in Latin America" water and sanitation in Latin America.

Building:
In HYPERLINK "http://en.wikipedia.org/wiki/Architecture" \o "Architecture" architecture, HYPERLINK "http://en.wikipedia.org/wiki/Construction" \o "Construction" construction, HYPERLINK "http://en.wikipedia.org/wiki/Engineering" \o "Engineering" engineering and HYPERLINK "http://en.wikipedia.org/wiki/Real_estate_developer" \o "Real estate developer" real estate development the word building may refer to one of the following: 3. Any man-made structure used or intended for supporting or sheltering any use or continuous HYPERLINK "http://en.wikipedia.org/wiki/Occupancy" \o "Occupancy" occupancy, or

*********************************************************************** *********************************************************************** ***************************************** 4. An act of HYPERLINK "http://en.wikipedia.org/wiki/Construction" \o "Construction" construction (i.e. the activity of building, see also HYPERLINK "http://en.wikipedia.org/wiki/Builder" \o "Builder" builder) In this article, the first usage is generally intended unless otherwise specified. Buildings come in a wide amount of shapes and functions, and have been adapted throughout history for a wide number of factors, from building materials available, to weather conditions, to land prices, ground conditions, specific uses and aesthetic reasons. Buildings serve several needs of society - primarily as shelter from weather and as general living space, to provide privacy, to store belongings and to comfortably live and work. A building as a shelter represents a physical division of the HYPERLINK "http://en.wikipedia.org/wiki/Human_habitat" \o "Human habitat" human habitat into the inside (a place of comfort and safety) and the outside (a place that at times may be harsh and harmful). Ever since the first HYPERLINK "http://en.wikipedia.org/wiki/Cave_painting" \o "Cave painting" cave paintings, buildings have also become objects or canvasess of artistic expression. In recent years, interest in HYPERLINK "http://en.wikipedia.org/wiki/Sustainable" \o "Sustainable" sustainable planning and building practices has also become part of the design process of many new buildings.

Definitions
To differentiate buildings in the usage of this article from other buildings and other structures that are not intended for continuous human HYPERLINK "http://en.wikipedia.org/wiki/Occupancy" \o "Occupancy" occupancy, the latter are called HYPERLINK "http://en.wikipedia.org/wiki/Nonbuilding_structure" \o "Nonbuilding structure" nonbuilding structures or simply structures. Structural height in technical usage is the height to the highest architectural detail on building from street-level. Depending on how they are classified, spires and masts may or may not be included in this height. Spires and masts used as antennas are not generally included. The definition of a low-rise vs. a high-rise building is a matter of debate, but generally three stories or less is considered low-rise.[ HYPERLINK "http://en.wikipedia.org/wiki/Wikipedia:Citation_needed" \o
"Wikipedia:Citation needed" citation needed]

History
The first shelter on Earth constructed by a relatively close ancestor to humans is believed to be built 500,000 years ago by an early ancestor of HYPERLINK "http://en.wikipedia.org/wiki/Human" \o "Human" humans, *

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Types of building:
Residential
Residential buildings are called HYPERLINK "http://en.wikipedia.org/wiki/House" \o "House" houses/ HYPERLINK "http://en.wikipedia.org/wiki/Home" \o "Home" homes, though buildings containing large numbers of separate dwelling units are often called apartment buildings / blocks to differentiate them from the more 'individual' house. Building types may range from one-room wood-framed, masonry, or HYPERLINK "http://en.wikipedia.org/wiki/Adobe" \o "Adobe" adobe dwellings to multi-million dollar high-rise buildings able to house thousands of people. Increasing settlement density in buildings (and closer distances between buildings) is usually a response to high ground prices resulting from many people wanting to live close to work or similar attractors.

Multi-storey
A multi-storey building is a building that has multiple HYPERLINK "http://en.wikipedia.org/wiki/Storey" \o "Storey" floors above ground in the building. Multi-storey buildings aim to increase the area of the building without increasing the area of the land the building is built on, hence saving land and, in most cases, money (depending on material used and land prices in the area).

Creation
The practice of designing, constructing, and operating buildings is normally a collective effort of different groups of HYPERLINK "http://en.wikipedia.org/wiki/Professional" \o "Professional" professionals and HYPERLINK "http://en.wikipedia.org/wiki/Tradesperson" \o "Tradesperson" trades. Depending on the size, complexity, and purpose of a particular building project, the project team may include:

A HYPERLINK "http://en.wikipedia.org/wiki/Real_estate_developer" \o "Real estate developer" real estate developer who secures HYPERLINK "http://en.wikipedia.org/wiki/Funding" \o "Funding" funding for the project; One or more financial institutions or other investors that provide the funding Local planning and code authorities A HYPERLINK "http://en.wikipedia.org/wiki/Quantity_surveyor" \o "Quantity surveyor" Surveyor who performs an ALTA/ACSM and construction surveys throughout the project; HYPERLINK "http://en.wikipedia.org/wiki/Construction_management" \o "Construction management" Construction managers who coordinate the effort of different groups of project participants; Licensed HYPERLINK "http://en.wikipedia.org/wiki/Architect" \o "Architect" architects and HYPERLINK

*********************************************************************** *********************************************************************** ***************************************** "http://en.wikipedia.org/wiki/Architectural_engineering" \o "Architectural engineering" engineers who provide building design and prepare construction HYPERLINK "http://en.wikipedia.org/wiki/Document" \o "Document" documents; HYPERLINK "http://en.wikipedia.org/wiki/Landscape_architect" \o "Landscape architect" Landscape architects; HYPERLINK "http://en.wikipedia.org/wiki/Interior_design" \o "Interior design" Interior designers; Other consultants; HYPERLINK "http://en.wikipedia.org/wiki/General_contractor" \o "General contractor" Contractors who provide HYPERLINK "http://en.wikipedia.org/wiki/Construction" \o "Construction" construction services and install building systems such as HYPERLINK "http://en.wikipedia.org/wiki/HVAC" \o "HVAC" climate control, HYPERLINK "http://en.wikipedia.org/wiki/Electrician" \o "Electrician" electrical, HYPERLINK "http://en.wikipedia.org/wiki/Plumbing" \o "Plumbing" plumbing, HYPERLINK "http://en.wikipedia.org/wiki/Painter_and_decorator" \o "Painter and decorator" Decoration, HYPERLINK "http://en.wikipedia.org/wiki/Fire_protection" \o "Fire protection" fire protection, HYPERLINK "http://en.wikipedia.org/wiki/Security" \o "Security" security and HYPERLINK "http://en.wikipedia.org/wiki/Telecommunications" \o "Telecommunications" telecommunications; Marketing or HYPERLINK "http://en.wikipedia.org/wiki/Leasing" \o "Leasing" leasing agents; HYPERLINK "http://en.wikipedia.org/wiki/Facility_management" \o "Facility management" Facility managers who are responsible for operating the building. Regardless of their size or intended use, all buildings in the US must comply with HYPERLINK "http://en.wikipedia.org/wiki/Zoning_ordinance" \o "Zoning ordinance" zoning ordinances, HYPERLINK "http://en.wikipedia.org/wiki/Building_code" \o "Building code" building codes and other regulations such as HYPERLINK "http://en.wikipedia.org/wiki/Fire_code" \o "Fire code" fire codes, HYPERLINK "http://en.wikipedia.org/wiki/Life_safety_code" \o "Life safety code" life safety codes and related standards. Vehiclessuch as HYPERLINK "http://en.wikipedia.org/wiki/Trailer_(vehicle)" \o "Trailer (vehicle)" trailers, HYPERLINK "http://en.wikipedia.org/wiki/Travel_trailer" \o "Travel trailer" caravans, HYPERLINK "http://en.wikipedia.org/wiki/Ship" \o "Ship" ships and passenger HYPERLINK "http://en.wikipedia.org/wiki/Aircraft" \o "Aircraft" aircraftare treated as "buildings" for life safety purposes.

Ownership and funding


HYPERLINK "http://en.wikipedia.org/wiki/Mortgage" \o "Mortgage" Mortgage HYPERLINK "http://en.wikipedia.org/wiki/Mortgage_loan" \o "Mortgage loan" Mortgage loan

*********************************************************************** *********************************************************************** ***************************************** HYPERLINK "http://en.wikipedia.org/wiki/Real_estate_developer" \o "Real estate developer" Real estate developer

Planning and design


HYPERLINK "http://en.wikipedia.org/wiki/Architecture" \o "Architecture" Architecture HYPERLINK "http://en.wikipedia.org/wiki/Building_construction" \o "Building construction" Building construction HYPERLINK "http://en.wikipedia.org/wiki/Civil_engineering" \o "Civil engineering" Civil engineering HYPERLINK "http://en.wikipedia.org/wiki/Architectural_engineering" \o "Architectural engineering" Mechanical, electrical, and plumbing design HYPERLINK "http://en.wikipedia.org/wiki/Quantity_surveyor" \o "Quantity surveyor" Quantity surveying HYPERLINK "http://en.wikipedia.org/wiki/Structural_engineering" \o "Structural engineering" Structural engineering HYPERLINK "http://en.wikipedia.org/wiki/Urban_Planner" \o "Urban Planner" Urban Planner

Building services
Physical plant:
Any building requires a certain amount of internal infrastructure to function, which includes such elements like heating / cooling, power and telecommunications, water and wastewater etc. Especially in commercial buildings (such as offices or factories), these can be extremely intricate systems taking up large amounts of space (sometimes located in separate areas or double floors / false ceilings) and constitute a big part of the regular maintenance requiredConveying systems Systems for HYPERLINK "http://en.wikipedia.org/wiki/Transport" \o "Transport" transport of people within buildings:

HYPERLINK "http://en.wikipedia.org/wiki/Elevator" \o "Elevator" Elevator HYPERLINK "http://en.wikipedia.org/wiki/Escalator" \o "Escalator" Escalator HYPERLINK "http://en.wikipedia.org/wiki/Moving_sidewalk" \o "Moving sidewalk" Moving sidewalk (horizontal and inclined)

Systems for transport of people between interconnected buildings:


HYPERLINK "http://en.wikipedia.org/wiki/Skyway" \o "Skyway" Skyway HYPERLINK "http://en.wikipedia.org/wiki/Underground_city" \o "Underground city" Underground city

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Factory:
This article is about manufacturing plants and different kinds of factories. For other uses, see HYPERLINK "http://en.wikipedia.org/wiki/Factory_(disambiguation)" \o "Factory (disambiguation)" Factory (disambiguation). A factory (previously manufactory) or manufacturing plant is an HYPERLINK "http://en.wikipedia.org/wiki/Industry" \o "Industry" industrial HYPERLINK "http://en.wikipedia.org/wiki/Building" \o "Building" building where workers HYPERLINK "http://en.wikipedia.org/wiki/Manufacturing" \o "Manufacturing" manufacture HYPERLINK "http://en.wikipedia.org/wiki/Good_(economics)" \o "Good (economics)" goods or supervise HYPERLINK "http://en.wikipedia.org/wiki/Machine" \o "Machine" machines HYPERLINK "http://en.wikipedia.org/wiki/Process_Manufacturing" \o "Process Manufacturing" processing one product into another. Most modern factories have large warehouses or HYPERLINK "http://en.wikipedia.org/wiki/Warehouse" \o "Warehouse" warehouse-like facilities that contain heavy HYPERLINK "http://en.wikipedia.org/wiki/Tool" \o "Tool" equipment used for HYPERLINK "http://en.wikipedia.org/wiki/Assembly_line" \o "Assembly line" assembly line production. Typically, factories gather and concentrate resources: HYPERLINK "http://en.wikipedia.org/wiki/Labour_economics" \o "Labour economics" workers, HYPERLINK "http://en.wikipedia.org/wiki/Capital_(economics)" \o "Capital (economics)" capital and HYPERLINK "http://en.wikipedia.org/wiki/Physical_plant" \o "Physical plant" plant.

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PRODUCTION PROCESS
Production Process Flow The following figure shows the production process flow of Potato Chips Manufacturing Unit:

A B C D E F

Truck dumping & hydro-unloading Dirt removal, sizing, crate filling Gentle-Flo potato storage bins Potato pumping & debris removal Crate dumping, metering, de-stoning Continuous or batch peeling

N Potato chip fryers O Oil filtration systems P Heat exchangers Q Pollution controls Heat recovery systems S Control systems R

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G Transfer conveyors Inspection/trim H conveyors I J Slicer feeders Singulating feed systems

T Salt & seasoning applicators U* Inspection & transfer conveyors* V Varilift bucket conveyors W FastBack conveyors for distribution, chip sizing & accumulation X Ishida weighers Y Ishida APEX bagmakers Z Ishida checkweighers

Slicer service platforms L Slice washers & conditioners AirSweep water M removal K

IN EASY WORDS

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MACHINE USED:
1- Washing & Shelling Machine - suitable for washing of Fresh Potatoes 2- Peeling Machine - suitable for peeling of Potatoes 3- Slicing Machine - suitable for slicing Potatoes into Chips 4- Chips Washing Machine - suitable for washing and rinsing of Potato Chips in hot water for excessive starch removal before frying 5- Flavoring Machine - suitable for flavoring / salt on Fried Chips 6- Packing Machine - suitable for packing Finished Potato Chips in packets Machinery Requirement
Following table shows the machinery & equipment requirement for setting up a Potato Chips Manufacturing Unit imported from China. Machine Description Washing Machine Peeling Machine Slicing Machine Chips Washing Machine Frying Machine Flavouring Machine Chips Cooling Machine Packing Machine Gas Burning Boiler Frozen Machine Total Other charges Income Tax 6% Price $ 2,450 2,723 1,991 5,240 13,885 5,280 4,574 5,718 17,992 51,051 Make Unit China 1 China 1 China 1 China 1 China 1 China 1 China 1 China 1 China 1 China 1 RUPEES 146,982 163,350 119,460 314,424 833,118 316,800 274,428 343,068 1,079,496 3,063,060 110,903 6,654,186 399,251

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MACHINE USED BY KOLSON:

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NAME:

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AISHA TARIQ ROLL NO: 2011 TOPICS: PURCHASING POLICY SOURCES OF LABOR SUPPLY

PURCHASING POLICY:
Purchasing refers to a business or organization attempting to acquire goods or services to accomplish the goals of the enterprise. Though there are several organizations that attempt to set standards in the purchasing process, processes can vary greatly between organizations. Typically the word purchasing is not used interchangeably with the word HYPERLINK

*********************************************************************** *********************************************************************** ***************************************** "http://en.wikipedia.org/wiki/Procurement" \o "Procurement" procurement, since procurement typically includes Expediting, Supplier Quality, and Traffic and Logistics (T&L) in addition to Purchasing.

OVERVIEW
Purchasing managers/directors, and procurement managers/directors guide the organizations acquisition procedures and standards. Most organizations use a three-way check as the foundation of their purchasing programs. This involves three departments in the organization completing separate parts of the acquisition process. The three departments do not all report to the same senior manager to prevent unethical practices and lend credibility to the process. These departments can be purchasing, receiving; and accounts payable or engineering, purchasing and accounts payable; or a plant manager, purchasing and accounts payable. Combinations can vary significantly, but a purchasing department and accounts payable are usually two of the three departments involved. Historically, the purchasing department issued Purchase Orders for supplies, services, equipment, and raw materials. Then, in an effort to decrease the administrative costs associated with the repetitive ordering of basic consumable items, "Blanket" or "Master" Agreements were put into place. These types of agreements typically have a longer duration and increased scope to maximize the Quantities of Scale concept. When additional supplies are required, a simple release would be issued to the supplier to provide the goods or services. Another method of decreasing administrative costs associated with repetitive contracts for common material, is the use of company credit cards, also known as "Purchasing Cards" or simply "P-Cards". P-card programs vary, but all of them have internal checks and audits to ensure appropriate use. Purchasing managers realized once contracts for the low dollar value consumables are in place, procurement can take a smaller role in the operation and use of the contracts. There is still oversight in the forms of audits and monthly statement reviews, but most of their time is now available to negotiate major purchases and setting up of other long term contracts. These contracts are typically renewable annually.

*********************************************************************** *********************************************************************** ***************************************** This trend away from the daily procurement function (tactical purchasing) resulted in several changes in the industry. The first was the reduction of personnel. Purchasing departments were now smaller. There was no need for the army of clerks processing orders for individual parts as in the past. Another change was the focus on negotiating contracts and procurement of large capital equipment. Both of these functions permitted purchasing departments to make the biggest HYPERLINK "http://en.wikipedia.org/wiki/Financial" \o "Financial" financial contribution to the organization. A new terms and job title emerged HYPERLINK "http://en.wikipedia.org/wiki/Strategic_sourcing" \o "Strategic sourcing" Strategic sourcing and Sourcing Managers. These professionals not only focused on the bidding process and negotiating with suppliers, but the entire supply function. In these roles they were able to add value and maximize savings for organizations. This value was manifested in lower inventories, less personnel, and getting the end product to the organizations consumer quicker. Purchasing managers success in these roles resulted in new assignments outside to the traditional purchasing function logistics, materials management, distribution, and warehousing. More and more purchasing managers were becoming Supply Chain Managers handling additional functions of their organizations operation. Purchasing managers were not the only ones to become Supply Chain Managers. Logistic managers, material managers, distribution managers, etc all rose the broader function and some had responsibility for the purchasing functions now. In HYPERLINK "http://en.wikipedia.org/wiki/Accounting" \o "Accounting" accounting, purchases is the amount of goods a company bought throughout this year. They are added to HYPERLINK "http://en.wikipedia.org/wiki/Inventory" \o "Inventory" inventory. Purchases are offset by HYPERLINK "http://en.wikipedia.org/wiki/Purchase_Discount" \o "Purchase Discount" Purchase Discounts and HYPERLINK "http://en.wikipedia.org/w/index.php? title=Purchase_Returns_and_Allowances&action=edit&redlink=1" \o "Purchase Returns and Allowances (page does not exist)" Purchase Returns and Allowances. When it should be added depends on the HYPERLINK

*********************************************************************** *********************************************************************** ***************************************** "http://en.wikipedia.org/wiki/Free_On_Board" \o "Free On Board" Free On Board (FOB) policy of the trade. For the purchaser, this new inventory is added on shipment if the policy was FOB shipping point, and the seller remove this item from its inventory. On the other hand, the purchaser added this inventory on receipt if the policy was FOB destination, and the seller remove this item from its inventory when it was delivered. Goods bought for the purpose other than direct selling, such as for HYPERLINK "http://en.wikipedia.org/wiki/Research_and_Development" \o "Research and Development" Research and Development, are added to inventory and allocated to Research and Development HYPERLINK "http://en.wikipedia.org/wiki/Expense" \o "Expense" expense as they are used. On a side note, HYPERLINK "http://en.wikipedia.org/wiki/Equipment" \o "Equipment" equipments bought for Research and Development are not added to inventory, but are HYPERLINK "http://en.wikipedia.org/wiki/Capitalized" \o "Capitalized" capitalized as HYPERLINK "http://en.wikipedia.org/wiki/Asset" \o "Asset" assets..

PURCHASING PROCESS ACQUISITION PROCESS


The revised HYPERLINK "http://en.wikipedia.org/wiki/Acquisition_(military)" \o "Acquisition (military)" acquisition process for major systems in industry and defense is shown in the next figure. The process is defined by a series of phases during which technology is defined and matured into viable concepts, which are subsequently developed and readied for production, after which the systems produced are supported in the field. HYPERLINK "http://en.wikipedia.org/wiki/Purchasing" \l "cite_note-DAUP_010#cite_note-DAUP_01-0" \o "" [1]

HYPERLINK "http://en.wikipedia.org/wiki/File:Acquisition_Process.jpg" \o "Model of the Acquisition Process.[1]" INCLUDEPICTURE "http://upload.wikimedia.org/wikipedia/commons/thumb/9/9e/Acquisition_Process .jpg/560px-Acquisition_Process.jpg" \* MERGEFORMATINET

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HYPERLINK "HTTP://EN.WIKIPEDIA.ORG/WIKI/FILE:ACQUISITION_PROCESS.JPG" \O "ENLARGE" MODEL OF THE ACQUISITION PROCESS:


The process allows for a given system to enter the process at any of the development phases. For example, a system using unproven technology would enter at the beginning stages of the process and would proceed through a lengthy period of technology maturation, while a system based on mature and proven technologies might enter directly into engineering development or, conceivably, even production. The process itself includes four phases of development:

CONCEPT AND TECHNOLOGY DEVELOPMENT:


Concept and Technology Development is intended to explore alternative concepts based on assessments of operational needs, technology readiness, risk, and affordability.

CONCEPT AND TECHNOLOGY DEVELOPMENT PHASE BEGINS WITH CONCEPT


EXPLORATION:

During this stage, concept studies are undertaken to define alternative concepts and to provide information about capability and risk that would permit an objective comparison of competing concepts.

SYSTEM DEVELOPMENT AND DEMONSTRATION PHASE:


This phase could be entered directly as a result of a technological opportunity and urgent user need, as well as having come through concept and technology development.

SUSTAINMENT AND DISPOSAL PHASE:


The last, and longest, phase is the Sustainment and Disposal phase of the program. During this phase all necessary activities are accomplished to maintain and sustain the system in the field in the most cost-effective manner possible.

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SELECTION OF BIDDERS:
This is the process where the organization identifies potential suppliers for specified supplies, services or equipment. These suppliers' credentials (qualifications) and history are analyzed, together with the products or services they offer. The bidder selection process varies from organization to organization, but can include running credit reports, interviewing management, testing products, and touring facilities. This process is not always done in order of importance, but rather in order of expense. Often purchasing managers research potential bidders obtaining information on the organizations and products from media sources and their own industry contacts. Additionally, purchasing might send Request for Information (RFI) to potential suppliers to help gather information. Engineering would also inspect sample products to determine if the company can produce products they need. If the bidder passes both of these stages engineering may decide to do some testing on the materials to further verify quality standards. These tests can be expensive and involve significant time of multiple technicians and engineers. Engineering management must make this decision based on the cost of the products they are likely to procure, the importance of the bidders product to production, and other factors. Credit checks, interviewing management, touring plants as well as other steps could all be utilized if engineering, manufacturing, and supply chain managers decide they could help their decision and the cost is justifiable. Other organizations might have minority procurement goals to consider in selection of bidders. Organizations identify goals in the use of companies owned and operated by certain ethnicities or women owned business enterprises. Significant utilizing of minority suppliers may qualify the firm as a potential bidder for a contract with a company or governmental entity looking to increase their minority supplier programs.

*********************************************************************** *********************************************************************** ***************************************** This selection process can include or exclude international suppliers depending on organizational goals and criteria. Companies looking to increase their pacific rim supplier base may exclude suppliers from the Americas, Europe, and Australia. Other organizations may be looking to purchase domestically to ensure a quicker response to orders as well as easier collaboration on design and production. Organizational goals will dictate the criteria for the selection process of bidders. It is also possible that the product or service being procured is so specialized that the number of bidders are limited and the criteria must be very wide to permit competition. If only one firm can meet the specifications for the product then the purchasing managers must consider utilizing a Sole Source option or work with engineering to broaden the specifications if the project will permit alteration in the specifications. The sole source option is the part of the selection of bidders that acknowledges there is sometimes only one reasonable supplier for some services or products. This can be because of the limited applications for the product cannot support more than one manufacturer, proximity of the service provided, or the products are newly designed or invented and competition is not yet available.

BIDDING PROCESS:
This is the process an organization utilizes to procure goods, services or equipment. Processes vary significantly from the stringent to the very informal. Large corporations and governmental entities are most likely to have stringent and formal processes. These processes can utilize specialized bid forms that require specific procedures and detail. The very stringent procedures require bids to be open by several staff from various departments to ensure fairness and impartiality. Responses are usually very detailed. Bidders not responding exactly as specified and following the published procedures can be disqualified. Smaller private businesses are more likely to have less formal procedures. Bids can be in the form of an email to all of the bidders specifying products or services. Responses by bidders can be detailed or just the proposed dollar amount.

*********************************************************************** *********************************************************************** ***************************************** Most bid processes are multi-tiered. Acquisitions under a specified dollar amount can be user discretion permitting the requestor to choose who ever they want. This level can be as low as $100 or as high as $10,000 depending on the organization. The rationale is the savings realized by processing these request the same as expensive items is minimal and does not justify the time and expense. Purchasing departments watch for abuses of the user discretion privilege. Acquisitions in a mid range can be processed with a slightly more formal process. This process may involve the user providing quotes from three separate suppliers. Purchasing may be asked or required to obtain the quotes. The formal bid process starts as low as $10,000 or as high as $100,000 depending on the organization. The bid usually involves a specific form the bidder fills out and must be returned by a specified deadline. Depending of the commodity being purchased and the organization the bid may specify a weighted evaluation criterion. Other bids would be evaluated at the discretion of purchasing or the end users. Some bids could be evaluated by a cross-functional committee. Other bids may be evaluated by the end user or the buyer in Purchasing. Especially in small, private firms the bidders could be evaluated on criteria or factors that have little if anything to do with the actual bid. Examples of these factors are history of the bidder with the company, history of the bidder with the companys senior management at other firms, and bidders breadth of products.

TECHNICAL EVALUATION:
Technical Evaluations, evaluations of the technical suitability of the quoted goods or services, if required, are normally performed prior to the Commercial Evaluation. During this phase of the procurement process, a technical representative of the company (usually an engineer) will review the proposal and designate each bidder as either technically acceptable or technically unacceptable.Selling is important.

COMMERCIAL EVALUATION: PAYMENT TERMS

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COST OF MONEY :
Cost of Money is calculated by multiplying the applicable currency interest rate multiplied by the amount of money paid prior to the receipt of GOODS. If the money were to have remained in the Buyer's account, interest would be drawn. That interest is essentially an additional cost associated with such Progress or Milestone payments.

MANUFACTURING LOCATION :
The manufacturing location is taken into consideration during the evaluation stage primarily to calculate freight costs and regional issues which may be considered. For instance, in Europe it is common for factories to close during the month of August for Summer holiday. Labor agreements may also be taken into consideration and may be drawn into the evaluation if the particular region is known to frequent labor unions.

MANUFACTURING LEAD-TIME :
the manufacturing lead-time is the time from the placement of the order (or time final drawings are submitted by the Buyer to the Seller) until the goods are manufactured and prepared for delivery. Lead-times vary by commodity and can range from several days to years.

TRANSPORTATION TIME :
Transportation time is evaluated while comparing the delivery of goods to the Buyer's required use-date. If Goods are shipped from a remote port, with infrequent vessel transportation, the transportation time could exceed the schedule an adjustments would need to be made.

DELIVERY CHARGES: the charge for the Goods to be delivered to a stated point.
Bid Validity Packing Bid Adjustments Terms and Conditions Seller's Services Standards Organizations Financial Review Payment Currency Risk Analysis market volatility, financial stress within the bidders Testing

NEGOTIATING:
Negotiating is a key skillset in the Purchasing field. One of the goals of Purchasing Agents is to acquire goods per the most advantageous terms of the

*********************************************************************** *********************************************************************** ***************************************** buying entity (or simply, the "Buyer"). Purchasing Agents typically attempt to decrease costs while meeting the Buyer's other requirements such as an on-time delivery, compliance to the commercial terms and conditions (including the warranty, the transfer of risk, assignment, auditing rights, confidentiality, remedies, etc). Good negotiators, those with high levels of documented "cost savings", receive a premium within the industry relative to their compensation. Depending on the employment agreement between the Purchasing Agent (Buyer) and the employer, Buyer's cost savings can result in the creation of value to the business, and may result in a flat-rate bonus, or a percentage payout to the Purchasing Agent of the documented cost savings. Purchasing Departments, while they can be considered as a support function of the key business, are actually revenue generating departments. For example, if the company needs to buy $30 million USD of widgets and the Purchasing Department secures the widgets for $25M USD, the Purchasing Department would have saved the company $5M USD. That savings could exceed the annual budget of the department, which in effect would pay the department's overhead the employee's salaries, computers, office space, etc. SHAPE \* MERGEFORMAT

POST-AWARD ADMINISTRATION:
Post-award administration typically consists of making minor changes, additions or subtractions, that in some way change the terms of the agreement or the Seller's Scope of Supply. Such changes are often minor, but for auditing purposes must be documented into the existing agreement. Examples include increasing the quantity of a Line Item or changing the metallurgy of a particular component.

ETHICS IN PURCHASING:
*

*********************************************************************** *********************************************************************** ***************************************** Ethical consumerism is the intentional purchase of products and services that the customer considers to be made HYPERLINK "http://en.wikipedia.org/wiki/Ethics_(philosophy)" \o "Ethics (philosophy)" ethically. This may mean with minimal harm to or HYPERLINK "http://en.wikipedia.org/wiki/Exploitation" \o "Exploitation" exploitation of humans, animals and/or the HYPERLINK "http://en.wikipedia.org/wiki/Natural_environment" \o "Natural environment" natural environment. Ethical consumerism is practiced through 'positive buying' in that ethical products are favoured, or 'moral HYPERLINK "http://en.wikipedia.org/wiki/Boycott" \o "Boycott" boycott', that is negative purchasing and company-based purchasing. The rise in ethical consumerism and HYPERLINK "http://en.wikipedia.org/wiki/Green_brands" \o "Green brands" green brands that identify themselves as ethical, has led to a rise in ethic-based decisions in the mass market, enabled by increased understanding and information about businesses practices. The term ethical consumerism may refer to the wider movement within marketing, which means that large corporations wish to be seen as working ethically and improving the ethical standards of their industry. Alternative terms are ethical consumption, ethical purchasing, moral purchasing, ethical sourcing, ethical shopping or green consumerism.

GLOBAL MORALITY:
In "The Global Markets As An Ethical System", HYPERLINK "http://en.wikipedia.org/wiki/John_McMurtry" \o "John McMurtry" John McMurtry argues that there is no purchasing decision that does not itself imply some moral choice, and that there is no purchasing that is not ultimately moral in nature. This mirrors older arguments, especially by the HYPERLINK "http://en.wikipedia.org/wiki/Anabaptists" \o "Anabaptists" Anabaptists, e.g. HYPERLINK "http://en.wikipedia.org/wiki/Mennonite" \o "Mennonite" Mennonites, HYPERLINK "http://en.wikipedia.org/wiki/Amish" \o "Amish" Amish, that one must accept all personal moral and spiritual liability of all harms done at any distance in space or time to anyone by one's own choices. It is often suggested that *

*********************************************************************** *********************************************************************** ***************************************** Judeo-Christian scriptures further direct followers towards practising good stewardship of the Earth, under an obligation to a God who is believed to have created the planet for us to share with other creatures... It should be noted, however, that a very similar argument can be presented from an entirely HYPERLINK "http://en.wikipedia.org/wiki/Secular" \o "Secular" secular HYPERLINK "http://en.wikipedia.org/wiki/Humanist" \o "Humanist" humanist point of view, and there are many people who believe that it is simply better for human beings to acknowledge that the planet supports HYPERLINK "http://en.wikipedia.org/wiki/Life" \o "Life" life only because of a delicate balance of many different factors. Accordingly, sustainability is required and purchasing for vanity or status is abhorred and shunned. This theory is echoed in some modern HYPERLINK "http://en.wikipedia.org/wiki/Eco-villages" \o "Eco-villages" eco-villages who adopt very similar stances, effectively blocking all goods that do not satisfy their moral criteria at the village gate, and relying on internally produced food and tools as much as possible.

SPENDING AS MORALITY:
Certain trust criteria, e.g. HYPERLINK "http://en.wikipedia.org/wiki/Creditworthiness" \o "Creditworthiness" creditworthiness or HYPERLINK "http://en.wikipedia.org/wiki/Implied_warranty" \o "Implied warranty" implied warranty, are considered to be part of any purchasing or sourcing decision. However, these terms refer to broader systems of guidance that would, ideally, cause any purchasing decision to disqualify offered products or services based on non-price criteria that do not affect the functional, but rather moral, liabilities of the entire production process. HYPERLINK "http://en.wikipedia.org/wiki/Paul_Hawken" \o "Paul Hawken" Paul Hawken, a proponent of HYPERLINK "http://en.wikipedia.org/wiki/Natural_Capitalism" \o "Natural Capitalism" Natural Capitalism, refers to "comprehensive outcomes" of production services as opposed to the "culminative outcomes" of using the product of such services. Often, moral criteria are part of a much broader shift *

*********************************************************************** *********************************************************************** ***************************************** away from HYPERLINK "http://en.wikipedia.org/wiki/Commodity_markets" \o "Commodity markets" commodity markets towards a deeper HYPERLINK "http://en.wikipedia.org/wiki/Service_economy" \o "Service economy" service economy where all activities, from growing to harvesting to processing to delivery, are considered part of the HYPERLINK "http://en.wikipedia.org/wiki/Value_chain" \o "Value chain" value chain and for which consumers are "responsible". Some argue[ HYPERLINK "http://en.wikipedia.org/wiki/Wikipedia:Avoid_weasel_words" \o "Wikipedia:Avoid weasel words" who?] that "Shopping is more important than voting", and that the disposition of HYPERLINK "http://en.wikipedia.org/wiki/Money" \o "Money" money is the most basic role we play in any system of HYPERLINK "http://en.wikipedia.org/wiki/Economics" \o "Economics" economics. Some theorists believe that it is the clearest way that we express our actual moral choices, i.e., if we say we care about something but continue to buy from parties that have a high probability of risk of harm or destruction of that thing, we don't really care about it, we are practicing a form of simple HYPERLINK "http://en.wikipedia.org/wiki/Hypocrisy" \o "Hypocrisy" hypocrisy.

CRITICISM:
Critics argue that the ability to effect structural change is limited in ethical consumerism. Some cite the preponderance of HYPERLINK "http://en.wikipedia.org/wiki/Niche_marketing" \o "Niche marketing" niche markets as the actual effect of ethical consumerism,[ HYPERLINK "http://en.wikipedia.org/wiki/Wikipedia:Citation_needed" \o "Wikipedia:Citation needed" citation needed] while others argue that information is limited regarding the outcomes of a given purchase, preventing consumers from making informed ethical choices.[ HYPERLINK "http://en.wikipedia.org/wiki/Wikipedia:Citation_needed" \o "Wikipedia:Citation needed" citation needed] Critics have also argued that the uneven distribution of wealth prevents consumerism, ethical or otherwise, from fulfilling its democratic potential.[ HYPERLINK *

*********************************************************************** *********************************************************************** ***************************************** "http://en.wikipedia.org/wiki/Wikipedia:Citation_needed" \o "Wikipedia:Citation needed" citation needed]

GROWING DIVERSE USE OF TERM:


As large corporations have tried to position themselves as moral, principled or ethical organisations, the definition has become wider and means different things to different groups of people. For example McDonalds started to sell salads, (a more healthy choice) and has a HYPERLINK "http://en.wikipedia.org/wiki/Corporate_social_responsibility" \o "Corporate social responsibility" corporate social responsibility blog. Ethical Consumerism can be seen as a movement in HYPERLINK "http://en.wikipedia.org/wiki/Marketing" \o "Marketing" marketing, which may or may not reflect actual changes in the practices of businesses. Particular areas of interest for large businesses are environmental impact and the treatment of workers at the bottom of the organisational hierarchy. This change reflects an increasing awareness of ethical issues and HYPERLINK "http://en.wikipedia.org/wiki/Corporate_identity" \o "Corporate identity" corporate identity amongst mainstream HYPERLINK "http://en.wikipedia.org/wiki/Consumers" \o "Consumers" consumers.

POSITIVE BUYING:
Positive buying means favoring ethical products, be they fair trade, cruelty free, organic, recycled, re-used, or produced locally. This option is arguably the most important since it directly supports progressive HYPERLINK "http://en.wikipedia.org/wiki/Company_(law)" \o "Company (law)" companies.

STANDARDS AND LABELS: HYPERLINK "HTTP://EN.WIKIPEDIA.ORG/WIKI/FILE:RECYCLE001.SVG" \O "THE INTERNATIONAL


SYMBOL FOR RECYCLING."

HYPERLINK

"HTTP://EN.WIKIPEDIA.ORG/WIKI/FILE:RECYCLE001.SVG" \O "ENLARGE"
The HYPERLINK "http://en.wikipedia.org/wiki/Recycling_symbol" \o "Recycling symbol" international symbol for recycling. A number of standards and labels have been introduced to induce positive buying, such as:

*********************************************************************** *********************************************************************** ***************************************** HYPERLINK "http://en.wikipedia.org/wiki/Fairtrade" \o "Fairtrade" Fairtrade HYPERLINK "http://en.wikipedia.org/wiki/Social_Accountability_8000" \o "Social Accountability 8000" Social Accountability 8000 HYPERLINK "http://en.wikipedia.org/wiki/Organic_food" \o "Organic food" organic food HYPERLINK "http://en.wikipedia.org/wiki/Organic_Trade_Association" \o "Organic Trade Association" Organic Trade Association HYPERLINK "http://en.wikipedia.org/wiki/Green_America" \o "Green America" Green America Seal of Approval HYPERLINK "http://en.wikipedia.org/wiki/Shade-grown_coffee" \o "Shadegrown coffee" Shade-grown coffee HYPERLINK "http://en.wikipedia.org/wiki/Kosher" \o "Kosher" kosher (religious standard) HYPERLINK "http://en.wikipedia.org/wiki/Halaal" \o "Halaal" halaal (religious standard) HYPERLINK "http://en.wikipedia.org/wiki/No_Pork_No_Lard" \o "No Pork No Lard" No Pork No Lard (semi-religious standard) HYPERLINK "http://en.wikipedia.org/wiki/Vegan" \o "Vegan" vegan HYPERLINK "http://en.wikipedia.org/wiki/Free-range" \o "Free-range" freerange poultry HYPERLINK "http://en.wikipedia.org/wiki/Grass_fed_beef" \o "Grass fed beef" grass fed beef HYPERLINK "http://en.wikipedia.org/w/index.php?title=Unionmade&action=edit&redlink=1" \o "Union-made (page does not exist)" unionmade HYPERLINK "http://en.wikipedia.org/wiki/Cetacean_bycatch" \o "Cetacean bycatch" dolphin safe fish HYPERLINK "http://en.wikipedia.org/wiki/Recycling" \o "Recycling" recycled HYPERLINK "http://en.wikipedia.org/wiki/Forest_Stewardship_Council" \o "Forest Stewardship Council" FSC-certified ("environmentally friendly") wood

*********************************************************************** *********************************************************************** ***************************************** HYPERLINK "http://en.wikipedia.org/wiki/Product_Red" \o "Product Red" Product Red HYPERLINK "http://en.wikipedia.org/wiki/Rainforest_Alliance" \o "Rainforest Alliance" Rainforest Alliance certified Along with disclosure of ingredients, some HYPERLINK "http://en.wikipedia.org/wiki/Mandatory_labelling" \o "Mandatory labelling" mandatory labelling of origins of clothing or food is required in all HYPERLINK "http://en.wikipedia.org/wiki/Developed_nations" \o "Developed nations" developed nations. This practice has been extended in some HYPERLINK "http://en.wikipedia.org/wiki/Developing_nations" \o "Developing nations" developing nations, e.g., where every item carries the name, phone number and fax number of the factory where it was made so a buyer can inspect its conditions. And, more importantly, to prove that the item was not made by " HYPERLINK "http://en.wikipedia.org/wiki/Prison_labor" \o "Prison labor" prison labor", use of which to produce export goods is banned in most developed nations. Such labels have also been used for boycotts, as when the HYPERLINK "http://en.wikipedia.org/w/index.php? title=Merchandise_mark&action=edit&redlink=1" \o "Merchandise mark (page does not exist)" merchandise mark HYPERLINK "http://en.wikipedia.org/wiki/Made_in_Germany" \o "Made in Germany" Made in Germany was introduced in 1887. These labels serve as tokens of some reliable validation process, some HYPERLINK "http://en.wikipedia.org/wiki/Instructional_capital" \o "Instructional capital" instructional capital, much as does a brand name or a nation's flag. They also signal some HYPERLINK "http://en.wikipedia.org/wiki/Social_capital" \o "Social capital" social capital, or trust, in some community of auditors that must follow those instructions to validate those labels. Some companies in the United States, though currently not required to reduce their carbon footprint, are doing so voluntarily by changing their energy use practices, as well as by directly funding (through carbon offsets), businesses that

*********************************************************************** *********************************************************************** ***************************************** are already sustainable--or are developing or improving green technologies for the future. In 2009, Atlanta's Virginia-Highland became the first Carbon-Neutral Zone in the United States. Seventeen merchants of Atlanta's Virginia-Highland allowed their carbon footprint to be audited. Now, they are partnered with the Valley Wood Carbon Sequestration Projectthousands of acres of forest in rural Georgia through the Chicago Climate Exchange. HYPERLINK "http://en.wikipedia.org/wiki/Ethical_consumerism" \l "cite_note-1#cite_note-1" \o "" [2] HYPERLINK "http://en.wikipedia.org/wiki/Ethical_consumerism" \l "cite_note-2#cite_note-2" \o "" [3]The businesses involved in the partnership display the Verus Carbon Neutral seal in each storefront and posted a sign prominently declaring the area's Carbon Neutral status. Over time, some theorists suggest, the amount of HYPERLINK "http://en.wikipedia.org/wiki/Social_capital" \o "Social capital" social capital or trust invested in nation-states (or "flags") will continue to decrease, and that placed in corporations (or "brands") will increase. This can only be offset by retrenched HYPERLINK "http://en.wikipedia.org/wiki/National_sovereignty" \o "National sovereignty" national sovereignty to reinforce shared national standards in HYPERLINK "http://en.wikipedia.org/wiki/Tax,_trade,_and_tariff" \o "Tax, trade, and tariff" tax, trade, and tariff laws, and by placing the trust in civil society in such "moral labels". These arguments have been a major focus of the HYPERLINK "http://en.wikipedia.org/wiki/Anti-globalization_movement" \o "Antiglobalization movement" anti-globalization movement, which includes many broader arguments against the amoral nature of markets as such. However, the economic school of HYPERLINK "http://en.wikipedia.org/wiki/Public_Choice_Theory" \o "Public Choice Theory" Public Choice Theory pioneered by HYPERLINK "http://en.wikipedia.org/wiki/James_M._Buchanan" \o "James M. Buchanan" James M. Buchanan has offered counter-arguments based on economic demonstration to this theory of 'amoral markets' versus 'moral governments'.

AREAS OF CONCERN:
*

*********************************************************************** *********************************************************************** ***************************************** Ethical Consumer, the alternative consumer organisation, collects and categorises information of more than 30.000 companies according to their performance in five main areas, composing the Ethiscore: Environment: Environmental Reporting, Nuclear Power, Climate Change, Pollution & Toxics, Habitats & Resources People: Human Rights, Workers' Rights, Supply Chain Policy, Irresponsible Marketing, Armaments Animals: Animal Testing, Factory Farming, Other Animal Rights Politics: Political Activity, Boycott Call, Genetic Engineering, Anti-Social Finance, Company Ethos Product Sustainability: Organic, Fairtrade, Positive Environmental Features, Other Sustainability.

BOYCOTT:
Moral boycott is the practice of avoiding or HYPERLINK "http://en.wikipedia.org/wiki/Boycott" \o "Boycott" boycotting products which a consumer believes to be associated with unethical behavior. An individual can choose to boycott a product. Alternatively, the decision may be the application of criteria reflective of a HYPERLINK "http://en.wikipedia.org/wiki/Morality" \o "Morality" morality (or, in the terminology of HYPERLINK "http://en.wikipedia.org/wiki/Ethics" \o "Ethics" ethics, a HYPERLINK "http://en.wikipedia.org/wiki/Theory_of_value" \o "Theory of value" theory of value) to any purchasing decisions.

PRODUCTS:
Reasons for products boycotts include HYPERLINK "http://en.wikipedia.org/wiki/Factory_farming" \o "Factory farming" factory farming HYPERLINK "http://en.wikipedia.org/wiki/Natural_environment" \o "Natural environment" environmental harm

*********************************************************************** *********************************************************************** ***************************************** HYPERLINK "http://en.wikipedia.org/wiki/Strike_action" \o "Strike action" strike action

CORPORATIONS:
Examples include corporations that are perceived to espouse unethical behavior by one of its HYPERLINK "http://en.wikipedia.org/wiki/Subsidiaries" \o "Subsidiaries" subsidiaries investing a portion of their profits in for example the HYPERLINK "http://en.wikipedia.org/wiki/Arms_industry" \o "Arms industry" arms industry Such boycotts can cause great damage to reputations, not to mention loss of profits, and has, in part, led to the development of the concept of HYPERLINK "http://en.wikipedia.org/wiki/Corporate_social_responsibility" \o "Corporate social responsibility" corporate social responsibility. Consumers are encouraged by animal welfare organisations to only shop at supermarkets which have strict animal welfare policies regarding the products they sell. HYPERLINK "http://en.wikipedia.org/wiki/Compassion_in_World_Farming" \o "Compassion in World Farming" Compassion in World Farming produce a supermarket survey every 2 years assessing supermarket performance in the UK.

COUNTRIES:
Examples: HYPERLINK "http://en.wikipedia.org/wiki/Made_in_Germany" \o "Made in Germany" Made in Germany Consumer boycotts of HYPERLINK "http://en.wikipedia.org/wiki/South_Africa" \o "South Africa" South Africa over HYPERLINK "http://en.wikipedia.org/wiki/Apartheid" \o "Apartheid" apartheid. These boycotts were mirrored in state policy over time, and contributed to the fall of the white regime.

RESEARCH: HYPERLINK "HTTP://EN.WIKIPEDIA.ORG/WIKI/GFK_NOP" \O "GFK NOP"


GfK NOP, the market research group, has made a five-country study of

*********************************************************************** *********************************************************************** ***************************************** consumer beliefs about the ethics of large companies. The report is described in a HYPERLINK "http://en.wikipedia.org/wiki/Financial_Times" \o "Financial Times" Financial Times article published on February 20, 2007 entitled 'Ethical consumption makes mark on branding', and was followed up by an online debate/discussion hosted by FT.com .The countries surveyed were HYPERLINK "http://en.wikipedia.org/wiki/Germany" \o "Germany" Germany, the HYPERLINK "http://en.wikipedia.org/wiki/USA" \o "USA" USA, HYPERLINK "http://en.wikipedia.org/wiki/United_Kingdom" \o "United Kingdom" Britain, HYPERLINK "http://en.wikipedia.org/wiki/France" \o "France" France and HYPERLINK "http://en.wikipedia.org/wiki/Spain" \o "Spain" Spain. More than half of respondents in Germany and the US believed there is a serious deterioration in standards of corporate practice. Almost half of those surveyed in Britain, France and Spain held similar beliefs. About a third of respondents told researchers they would pay higher prices for ethical brands though perception of various companies ethical or unethical status varied considerably from country to country. The most ethically perceived brands were: The HYPERLINK "http://en.wikipedia.org/wiki/The_Co-operative_Group" \o "The Co-operative Group" Co-op (in the UK), HYPERLINK "http://en.wikipedia.org/wiki/Coca_Cola" \o "Coca Cola" Coca Cola (in the US), HYPERLINK "http://en.wikipedia.org/wiki/Danone" \o "Danone" Danone (in France), HYPERLINK "http://en.wikipedia.org/wiki/Adidas" \o "Adidas" Adidas (in Germany) and HYPERLINK "http://en.wikipedia.org/wiki/Nestl%C3%A9" \o "Nestl" Nestl (in Spain). Coca Cola, Danone, Adidas and Nestl did not appear anywhere in the UK's list of 15 most ethical companies. HYPERLINK "http://en.wikipedia.org/wiki/Nike,_Inc." \o "Nike, Inc." Nike appeared in the lists of the other four countries but not in the UK's list. In the UK, the HYPERLINK "http://en.wikipedia.org/wiki/Co-operative_Bank" \o "Co-operative Bank" Co-operative Bank has produced an Ethical Consumerism Report (formerly the Ethical Purchasing Index) since 2001. The report measures the market size and growth of a basket of 'ethical' products and services, and

*********************************************************************** *********************************************************************** ***************************************** valued UK ethical consumerism at HYPERLINK "http://en.wikipedia.org/wiki/GBP" \o "GBP" GBP29.3 billion ( HYPERLINK "http://en.wikipedia.org/wiki/USD" \o "USD" USD59.1 billion) in 2005. A number of organisations provide research-based evaluations of the behavior of companies around the world, assessing them along ethical dimensions such as HYPERLINK "http://en.wikipedia.org/wiki/Human_rights" \o "Human rights" human rights, the HYPERLINK "http://en.wikipedia.org/wiki/Environment_(biophysical)" \o "Environment (biophysical)" environment, HYPERLINK "http://en.wikipedia.org/wiki/Animal_welfare" \o "Animal welfare" animal welfare and HYPERLINK "http://en.wikipedia.org/wiki/Politics" \o "Politics" politics. HYPERLINK "http://en.wikipedia.org/wiki/Green_America" \o "Green America" Green America is a not-for-profit membership organization founded in 1982 that provides the Green American Seal of Approval and produces a "Responsible Shopper" guide to "alert consumers and investors to problems with companies that they may shop with or invest in." The Ethical Consumer Research Association is a not-for-profit workers' co-operative founded in the UK in 1988 to "provide information on the companies behind the brand names and to promote the ethical use of consumer power" which provides an online seachable database under the name Corporate Critic or Ethiscore. The HYPERLINK "http://en.wikipedia.org/w/index.php?title=Ethiscore&action=edit&redlink=1" \o "Ethiscore (page does not exist)" Ethiscore is a weightable numerical rating designed as a quick guide to the ethical status of companies, or brands in a particular area, and is linked to a more detailed ethical assessment. "alonovo" is an online shopping portal that provides similar weightable ethical ratings termed the "Corporate Social Behavior Index".

SUPPLY MANAGEMENT:
The term supply management describes the methods and processes of modern corporate or institutional HYPERLINK "http://en.wikipedia.org/wiki/Buying" \o "Buying" buying. This may be for the purchasing of supplies for internal use, purchasing raw materials for the consumption during the HYPERLINK *

*********************************************************************** *********************************************************************** ***************************************** "http://en.wikipedia.org/wiki/Manufacturing" \o "Manufacturing" manufacturing process, or for the purchasing of goods for HYPERLINK "http://en.wikipedia.org/wiki/Inventory" \o "Inventory" inventory to be resold as HYPERLINK "http://en.wikipedia.org/wiki/Product_(business)" \o "Product (business)" products in the HYPERLINK "http://en.wikipedia.org/wiki/Distribution_(business)" \o "Distribution (business)" distribution and HYPERLINK "http://en.wikipedia.org/wiki/Retail" \o "Retail" retail process. In many organizations, acquisition or buying of services is called HYPERLINK "http://en.wikipedia.org/wiki/Contracting" \o "Contracting" contracting, while that of goods is called HYPERLINK "http://en.wikipedia.org/wiki/Purchasing" \o "Purchasing" purchasing or HYPERLINK "http://en.wikipedia.org/wiki/Procurement" \o "Procurement" procurement. The supply management function of an organization is responsible for various aspects of these acquisitions: Managing supplier performance Implementing technologies, processes, policies, and procedures to support the purchasing process (Supplier Relationship Management). The supplier relationship management process: a process for providing the structure for how relationships with suppliers will be developed and maintained. Economic theories of supply and demand Supply management is generally regarded as a systematic business process that includes more functions than traditional buying, such as coordinating inbound and internal pre-production logistics and managing inventory. Supply management deals primarily with the oversight and management of materials and services inputs, management of the suppliers who provide those inputs, and support of the process of acquiring those inputs. The performance of supply management departments and supply management professionals is commonly measured in terms of amount of money saved for the organization. However, HYPERLINK "http://en.wikipedia.org/wiki/Risk_management" \o "Risk management" managing risk is one of the other critical aspects of supply

*********************************************************************** *********************************************************************** ***************************************** management; especially the risk of non-availability at the required time of quality goods and services critical for an organization's survival and growth.

GROUPS AND CERTIFICATIONS:


The importance of supply management in global business has prompted the formation of professional organizations to address the need for higher levels of supply management skill and expertise. One of the largest of these is the HYPERLINK "http://en.wikipedia.org/wiki/Institute_for_Supply_Management" \o "Institute for Supply Management" Institute for Supply Management, a United States not-for-profit association that includes more than 40,000 members. It is affiliated with the International Federation of Purchasing and Supply Management HYPERLINK "http://www.ifpmm.org/index.cfm" \o "http://www.ifpmm.org/index.cfm" [1], a union of local and national purchasing associations with approximately 200,000 members. For companies seeking to fulfill diversity supplier spend commitments, the National Minority Supplier Development Council HYPERLINK "http://www.nmsdc.org/" \o "http://www.nmsdc.org/" [2] with 39 affiliated nationwide councils, was established in 1972 to assist in promoting supplier diversity, and also provides management training and access to viable minority business enterprises. Many certification programs are relevant to the supply management profession. Some are offered through non-profit associations, such as the Certified Purchasing Manager (CPM) and Certified Professional in Supply Management (CPSM) through the Institute for Supply Management. There are also for-profit companies who offer certification programs, such as Next Level Purchasing, Inc. who offers the Senior Professional in Supply Management (SPSM) Certification.

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Supply chain management SHAPE \* MERGEFORMAT


Supply management is different than HYPERLINK

"http://en.wikipedia.org/wiki/Supply_chain_management" \o "Supply chain management" supply chain management, though it can be considered a component of supply chain management. Conversely, where the supply management function is established as a C-level strategic effort, supply chain management is but one component of an overall strategic supply management approach. Supply chain management, which can be automated, generally refers to: The oversight and management of materials and services inputs The production process in which those materials and services are used, and The provision of outputs that are generated through the use of the acquired materials and services, which is analogous to the fulfillment of customer requirements. Supply management is a complementary discipline that encompasses the alignment of organizations, processes, and systems for HYPERLINK "http://en.wikipedia.org/wiki/Strategic_sourcing" \o "Strategic sourcing" strategic sourcing, HYPERLINK "http://en.wikipedia.org/wiki/Contract_management" \o "Contract management" contract management, supplier management, spending analysis to continuously improve global supply for best-value performance in support of the strategic objectives of the business. *

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OBJECTIVE:
Add product value, increase quality, reduce costs, and increase profits by addressing the needs and performance of: supplier relations, supplier selection, purchasing negotiations, operations, transportation, inventory, warehousing, third-party vendors, electronic commerce, recycling, supply chain electronic software, and customer relations.

ISO STANDARDS:
ISO International Standards Organization describes over 13,000 standards, such as: ISO 3891:1978 Procedure for describing aircraft noise heard on the ground ISO 12199:2000 Alphabetical ordering of multilingual terminological and lexicographical data represented in the Latin alphabet ISO 8669-1:1988 Urine collection bags -- Part 1: Vocabulary ISO 1107:1974 Fishing nets -- Netting -- Basic terms and definitions

They are not all what they seem. Misuse can unnecessarily drive up costs, eg EH-101 ISO certification is not a guarantee

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CREATING A LEAN SUPPLY CHAIN WHAT IS LEAN?


A philosophy that seeks to shorten the time between the customer order and the shipment to customer by eliminating waste John Shook We can reduce lean to three elements (Womack and Jones)Flow Pull Striving for excellence Elements of a Lean Supply Chain JIT Purchasing JIT Transportation JIT Operations Characteristics of JIT Purchasing-Purchase in small lots with frequent deliveries Mutual, consistent improvement by the buyer and supplier Collaborative efforts between buyer and supplier Efficient point-to-point communication linkages The rights-right quantity right time right quality Challenges facing U.S. firms when pursuing JIT Purchasing with suppliers Size of supply base Geographic dispersion Incomplete communication and information sharing Inconsistent supplier quality Poor relationship between buyers and sellers How can firms counter these challenges? *

*********************************************************************** *********************************************************************** ***************************************** JIT Purchasing--Supplier Expectations A longer-term business arrangement Fair financial return Adequate time for planning Accurate forecasts Correct and firm material and product specifications Parts designed to match the suppliers process capability Smoothly timed order releases Minimum number of change orders

WHAT IS SUPPLIER RELATIONSHIP MANAGEMENT (SRM):


SRM is a discipline of working collaboratively with those suppliers that are vital to the success of your organisation, to maximise the potential value of those relationshipsGood SRM is comprised of six building blocks: Supplier segmentation Accountability Process and Governance Technology Value Resourcing

1) SEGMENTATION:
In order to develop or improve SRM, an organisation needs to implement a supplier segmentation approach that considers the internal needs of the business, spend, and also accounts for all risk and business criticality factors. The process of segmenting suppliers should be repeated on a regular (minimum annual) basis.

2) ACCOUNTABILITY:
Executive involvement is critical to the success of aligning the respective organisations strategic objectives and forms the basis of building a partnership and ultimately unlocking value for both organisations. The key challenge is who owns the supplier relationship, with 9 ownership types having been identified.Procurement functions should take the central role in coordinating

*********************************************************************** *********************************************************************** ***************************************** supplier relationships, whilst owning and co-ordinating the process, governance and technology.

3) PROCESS AND GOVERNANCE:


Organisations have pockets of excellence of clearly articulated processes and roles often led by the IT function. Organisations have often approach process and governance in a one size fits all approach and are yet to tailor processes and roles and responsibilities to the different supplier segments.

4) TECHNOLOGY:
Current SRM technology is limited although HYPERLINK "http://www.StateofFlux.co.uk" \o "http://www.StateofFlux.co.uk" State of Flux has developed a Supplier Management System (SMS) which is used by a number of the worlds leading organisations.Traditionally there has been confusion about SRM solutions available with organisations implementing contract management systems or supplier performance management solutions as an alternative (which are still important but not SRM).Leading SRM organisations are using SRM technology as the change agent to get stakeholders and wider business buy in.

5) VALUE:
SRM needs to deliver both hard and soft benefits. That is cost savings as a hard benefit and soft benefits such as access to innovation and increased new product speed to market.

6) RESOURCING:
The three key skills required for procurement to implement successful SRM are: market & category knowledge, cross-functional working and commercial & contractual expertise. The current SRM role is viewed as a task to be performed in addition to the day job and a lot of organisations have yet to implement a Supplier Account Management structure with dedicated resource and set roles and responsibilities.

THE SUPPLIER RELATIONSHIP PROCESS:

*********************************************************************** *********************************************************************** ***************************************** The sourcing process qualifies, selects, manages the contracts, and evaluates suppliers. The design collaboration process focuses on jointly designing new services or products with key suppliers, seeking to eliminate costly delays and mistakes incurred when many suppliers concurrently, but independently, design service packages or manufactured components. The negotiation process process focuses on obtaining an effective contract that meets the price, quality, and delivery requirements of the supplier relationship processs internal customers. The buying process relates to the actual procurement of the service or material from the supplier. This process includes the creation, management, and approval of purchase orders. The information exchange process facilitates the exchange of pertinent operating information, such as forecasts, schedules, and inventory levels between the firm and its supplier.

SUPPLIER SELECTION AND CERTIFICATION PURCHASING:


The activity that decides which suppliers to use, negotiates contracts, and determines whether to buy locally.

SUPPLIER SELECTION:
Supplier selection often considers the criteria of price, quality and delivery.

GREEN PURCHASING:
The process of identifying, assessing, and managing the flow of environmental waste and finding ways to reduce it and minimize its impact on the environment.

SUPPLIER CERTIFICATION:
Supplier certification programs verify that potential suppliers have the capability to provide the services or materials the buyer firm requires. *

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SUPPLIER RELATIONS: COMPETITIVE ORIENTATION views negotiations between buyer and seller as a zerosum game. Whatever one side loses, the other side gains, and short-term advantages are prized over long-term commitments.

COOPERATIVE ORIENTATION is where the buyer and seller are partners, each
helping the other as much as possible.

SOLE SOURCING is the awarding of a contract for a service or item to only one
supplier.

SUPPLIER PARTNERING BUSINESS PARTNERING is "the development of successful, long term, strategic
relationships between customers and suppliers, based on achieving best practice and sustainable competitive advantage"(Lendrum, 1997).

MISSION
The mission of Business partnering and the key-aspects of the discipline has been developed recently in the tourism field. The mission of Business partnering (for tourism) consists in "creating, organizing, developing and enforcing operative (short-term), tactical (medium-term) and strategic (long-term) partnerships" (Droli, 2007).

EXAMPLES
Joint selling is an example of operative partnering activity. Account intelligence sharing HYPERLINK "http://en.wikipedia.org/w/index.php? title=Reselling&action=edit&redlink=1" \o "Reselling (page does not exist)" reselling or "value chain integration" (Child, Faulkner, 1998) are examples of tactical partnering initiatives. Joint HYPERLINK "http://en.wikipedia.org/wiki/Product_development" \o "Product development" product development is a typical strategic partnering activity. Partnering agreements are commonly used in the different kind of partnerships. One example of Strategic Partnering Arrangement in the aviation sector is the one which put together the UK Ministry of Defence and AgustaWestland. Both Partners share an agreed common objective to improve helicopter services and *

*********************************************************************** *********************************************************************** ***************************************** support to the Front Line. The MOD also wishes to provide the best value for money to the taxpayer while AgustaWestland seeks to provide the best returns to its shareholders via a stable, long-term income stream.

BENEFITS REDUCTION OF GENERAL COSTS. Business partnering can be cheaper and more
flexible than a HYPERLINK "http://en.wikipedia.org/wiki/Mergers_and_acquisitions" \o "Mergers and acquisitions" merger or acquisition, and can be employed when a merger or acquisition is not feasible.

BUSINESS PARTNERING INCREASES THE "COMPETITIVE ADVANTAGE" . The direct


benefits of Business partnering consists in a greater competitive advantage through the co-operation (the co-opetitive advantage) and even better opportunitiers of revenues, occupation and investment in the sector of application. Business partnering creates a no more traditionally-based solidarity or "organic", but a rationale form of "mechanic solidarity" (Durkheim, 1893). Partnering takes a new approach to achieving business objectives. It replaces the traditional customer-supplier model with a collaborative approach to achieving a shared objective; this may be to build a hospital, improve an existing service contract or launch an entirely new programme of work. Essentially, the Partners work together to achieve an agreed common aim whilst each participant may still retain different reasons for achieving that common aim.

SUPPLIER AUDIT:
Trail of information that describes significant events Useful for tracking progress Useful for diagnosing problems Significant contract management tool Paper versus computer Which is better?

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IMPLIMENTATION ON POTATOS: INTRODUCTION:


Over the years, potato has become an important crop for both farmers and consumers in Pakistan. It is the fourth most important crop by volume of production, it is high yielding, having a high nutritive value and gives high returns to farmers. From around 3,000 Ha. At the time of independence, the area under production increased to around 107000 ha. During the same period the average yields rose from around 9 in 1947 to 20 MT per ha. Pakistan is self-sufficient in potatoes for household consumption and relies for more than 99% on locally produced seed potatoes. Presently, it is estimated that the total annual domestic production amounts to around 1.8 Million MT, of which 280000 MT is used as seed and 1.8 Million MT is available for consumption after post harvest losses. With a population of roughly 132 Million, this accounts to 9.3 Kg per Capita per annum. The recent large increase in acreage was reached by an intensification of the cultivation in existing potato growing areas, as well as by introduction of the crop in new areas and to inexperienced farmers. Hence, many problems, like diseases and pests, became more hazardous and a large number of farmers are lacking knowledge of the right cultivation technique. These include pests and disease control, land preparation and irrigation, fertilizer application, crop rotation and multi-cropping techniques. The lack of credit facilities to purchase inputs creates difficulties, in particular for small farmers, inhibiting their effort to raise productivity. High quality costly seed forms another constraint. The seed contributes to about 35-40% of the total cost of production in Pakistan. Formal certified seed production is limited and faces technical, economical and managerial problems. Lack of availability of sufficient quantities of good seed and low purchasing power of the farmers, forces them to rely on seed sources of doubtful quality or own production, for which most of them do not have the proper skills. Poor post harvest handling, including transport and storage practices, causes unnecessary damage and losses and reduction of consumption quality. *

*********************************************************************** *********************************************************************** ***************************************** Sufficient cold store space is available in Pakistan. The handling of potatoes in storage is unsatisfactory and poorly managed. Finally, the farmers and consumers are faced with serve cyclical fluctuations in price, as production moves from glut to shortage, so preventing the farmers from enjoying a reliable income and inhibiting the consumer from including potato as a regular staple part in his diet.

AREA AND PRODUCTION OF POTATOES IN PAKISTAN:


YEAR 1947-48 1999-2000 2000-2001 2001-2002 2002-2003 2003-2004 2004-2005 AREA. HA) 3.0 112.8 101.5 105.2 115.8 109.7 112.0 (000 PRODUCTION.(000) TONNES 30.0 1871.0 1665.7 1730.7 1946.3 1938.1 2024.9 YIELD. HA. 10.0 17.3 16.4 16.4 16.8 17.7 18.1 TONNES/

SOURCES:
1. From 1984-85 to 1997-98. Agricultural Statistics of Pakistan, 1997-98, MINFAL, Islamabad. 2. Final estimate for 1998-99 Punjab, Sindh and NWFP provided by respective Provincial Agriculture Department and for Balochistan, minutes of 72 meeting of FCA.

PROVINCIAL SHARES IN AREA AND PRODUCTION.


Punjab, Sindh, NWFP and Balochistan respectively account for 83, 1, 10 and 6 percent of the total area and 83,1,9 and 7 percent of the production of potatoes in the country. The shares of Autumn, Spring and Summer crops in the annual production are estimated at 75,10 and 15 percent, respectively.

IMPORTANT POTATO PRODUCTION DISTRICTS.

*********************************************************************** *********************************************************************** ***************************************** Districts of Okara, Sahiwal, Kasur, Sialkot, Sheikhupura, Jhang, Lahore, Narowal, Pakpattan, Gujranwala, T.T. Singh and Khanewal from the Punjab, Nowshera, Dir and Mansehra from the NWFP and Pishin, Killa Saifulla and Kalat from Balochistan are important potato growing districts, accounting among themselves for 78 percent of the total production of the crop.

SOURCES OF LABOUR SUPPLY:


INCLUDEPICTURE "http://www.loc.gov/blog/wpcontent/uploads/2007/08/labor-jpeg.jpg" \* MERGEFORMATINET

LABOUR SUPPLY
In mainstream economic theories, the supply of labor is the number of total hours that workers wish to work at a given real wage rate. Realisticly, the labor supply

*********************************************************************** *********************************************************************** ***************************************** is a fuction of various factors within an economy. For instance, HYPERLINK "http://en.wikipedia.org/wiki/Overpopulation" \o "Overpopulation" overpopulation increases the number of available workers driving down wages and can result in high HYPERLINK "http://en.wikipedia.org/wiki/Unemployment" \o "Unemployment" unemployment. Labor supply curves are derived from the 'labor-leisure' trade-off. More hours worked earn higher incomes but necessitate a cut in the amount of leisure that workers enjoy. Consequently there are two effects on the amount of desired labor supplied due to a change in the real wage rate. As, for example, the real wage rate rises the opportunity cost of leisure increases. This tends to cause workers to supply more labor (the "substitution effect"). However, as the real wage rate rises, workers earn a higher income for a given number of hours. If leisure is a normal good - the demand for it increases as income increases - this increase in income will tend to cause workers to supply less labor (the "income effect"). If the "substitution effect" is stronger than the "income effect" then the labor supply curve will be upward sloping and vice versa. From a Marxist view a labor supply is a core requirement in a HYPERLINK "http://en.wikipedia.org/wiki/Capitalist_society" \o "Capitalist society" capitalist society. In order to avoid HYPERLINK "http://en.wikipedia.org/wiki/Labor_shortage" \o "Labor shortage" Labor shortage and ensure a labor supply, a large portion of the population must not possess sources of self-provisioning, which would allow them to be independent, and they must instead be compelled, in order to survive, to sell their labor for a HYPERLINK "http://en.wikipedia.org/wiki/Subsistence" \o "Subsistence" subsistence wage. In the pre industrial economies wage labor was generally undertaken only by those with little or no land of their own.

THE DEMAND FOR LABOR DERIVED DEMAND:

*********************************************************************** *********************************************************************** ***************************************** The demand for a factor of production that is derived from the demand for the good the factor produces.

THE MARGINAL REVENUE PRODUCT OF LABOR MARGINAL PRODUCT OF LABOR:


The additional output a firm produces as a result of hiring one more worker Marginal revenue product of labor (MRP): The change in a firms revenue as a result of hiring one more worker. SHAPE \* MERGEFORMAT

The Relationship between the Marginal Revenue Product of Labor and the Wage WHEN THEN THE FIRM MRP > should hire more workers to increase W, MRP < W, MRP = W, profits. should hire fewer workers to increase profits. is hiring the optimal number of workers and is maximizing profits.

Hiring Decisions by a Firm That Is a Price Maker (1) (2) (3) (4) (5) (6) (7) (8) PROFIT FROM HIRING ONE ADDITIONAL QUANTITY OUTPUT MARGINAL PRODUCT TOTAL OF LABOR OF iPODS PER WEEK PRODUCT PRICE OF LABOR MARGINAL WAGE ADDITIONAL PRODUCT OF LABOR

REVENUE REVENUE

*********************************************************************** *********************************************************************** *****************************************

0 1 2 3 4 5 6

0 6 11 15 18 20 21

6 5 4 3 2 1

$200 180 160 140 120 100 80

$0 $1,080 1,760 2,100 2,160 2,000 1,680

$1,080 680 340 60 160 320

$500 500 500 500 500 500 500

WORKER $580 180 160 440 660 820

THE MARKET DEMAND CURVE FOR LABOR:


The market demand curve for labor is determined by adding up the quantity of labor demanded by each firm at each wage, holding constant all other variables that might affect the willingness of firms to hire workers.

FACTORS THAT SHIFT THE MARKET DEMAND CURVE FOR LABOR:


The five most important variables that cause the labor demand curve to shift are the following: 6) Increases in human capital.(Human capital The accumulated training and skills that workers possess.) 7) Changes in technology. 8) Changes in the price of the product. 9) Changes in the quantity of other inputs. 10) Changes in the number of firms in the market. The Supply of Labor SHAPE \* MERGEFORMAT

THE MARKET SUPPLY CURVE OF LABOR:

*********************************************************************** *********************************************************************** ***************************************** The market supply curve of labor is determined by adding up the quantity of labor supplied by each worker at each wage, holding constant all other variables that might affect the willingness of workers to supply labor.

FACTORS THAT SHIFT THE MARKET SUPPLY CURVE OF LABOR:


Increases in population. Changing demographics. Changing alternatives.

SHAPE \* MERGEFORMAT

SHAPE \*

MERGEFORMAT SHAPE \* MERGEFORMAT

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Explaining Differences in Wages Compensating Differentials Compensating differentials: Higher wages that compensate workers for unpleasant aspects of a job. Discrimination Why Do White Males Earn More Than Other Groups? GROUP White males White females Black males Black females Hispanic males Hispanic females ANNUAL EARNINGS $46,746 34,464 33,248 29,749 26,769 24,402

Most economists believe that only a small amount of the gap between the wages of white males and the wages of other groups is due to discrimination. Instead, most of the gap is explained by three main factors: 1 Differences in education 2 Differences in experience 3 Differing preferences for jobs Differences in Education Some of the difference between the incomes of whites and the incomes of blacks can be explained by differences in education. Differences in Experience Women are much more likely than men to leave their jobs for a period of time after having a child. *

*********************************************************************** *********************************************************************** ***************************************** Differing Preferences for Jobs Significant differences between the types of jobs held by women and men is likely a reflection in job preferences.

THE RECRUITMENT AND SELECTION PROCESS


6. Decide what positions youll have to fill through personnel planning and forecasting. 7. Build a pool of candidates for these jobs by recruiting internal or external candidates. 8. Have candidates complete application forms and perhaps undergo an initial screening interview. 9. Use selection techniques like tests, background investigations, and physical exams to identify viable candidates. 10. Decide who to make an offer to, by having the supervisor and perhaps others on the team interview the candidates.

Steps in Recruitment and Selection Process SHAPE \* MERGEFORMAT


The recruitment and selection process is a series of hurdles aimed at selecting the best candidate for the job.

PLANNING AND FORECASTING EMPLOYMENT OR PERSONNEL PLANNING


The process of deciding what positions the firm will have to fill, and how to fill them.

SUCCESSION PLANNING
The process of deciding how to fill the companys most important executive jobs.

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WHAT TO FORECAST?
Overall personnel needs The supply of inside candidates The supply of outside candidates

LINKING EMPLOYERS STRATEGY TO PLANS SHAPE \* MERGEFORMAT FORECASTING PERSONNEL NEEDS TREND ANALYSIS
The study of a firms past employment needs over a period of years to predict future needs.

RATIO ANALYSIS
A forecasting technique for determining future staff needs by using ratios between a causal factor and the number of employees needed. Assumes that the relationship between the causal factor and staffing needs is constant

THE SCATTER PLOT SCATTER PLOT


A graphical method used to help identify the relationship between two variables. Size of Hospital 200 300 400 500 600 240 260 470 500 620 Number of (Number of Beds) Registered Nurses

*********************************************************************** *********************************************************************** ***************************************** 700 660 800 900 820 860

DETERMINING THE RELATIONSHIP BETWEEN HOSPITAL SIZE AND NUMBER OF NURSES: SHAPE \* MERGEFORMAT

DRAWBACKS TO SCATTER PLOTS


6. They focus on projections and historical relationships, and assume that the firms existing structure and activities will continue into the future. 7. They generally do not consider the impact the companys strategic initiatives may have on future staffing levels. 8. They tend to support compensation plans that reward managers for managing ever-larger staffs, and will not uncover managers who expand their staffs irrespective of strategic needs. 9. They tend to bake in the nonproductive idea that increases in staffs are inevitable. 10. They tend to validate and institutionalize existing planning processes and ways of doing things, even in the face of rapid change.

USING COMPUTERS TO FORECAST PERSONNEL REQUIREMENTS COMPUTERIZED FORECASTS


The use software packages to determine of future staff needs by projecting sales, volume of production, and personnel required to maintain a volume of output.

*********************************************************************** *********************************************************************** ***************************************** Generates figures on average staff levels required to meet product demands, as well as forecasts for direct labor, indirect staff, and exempt staff. Typical metrics: direct labor hours required to produce one unit of product (a measure of productivity), and three sales projectionsminimum, maximum, and probable.

FORECASTING THE SUPPLY OF INSIDE CANDIDATES: QUALIFICATIONS INVENTORIES


Manual or computerized records listing employees education, career and development interests, languages, special skills, and so on, to be used in selecting inside candidates for promotion.

MANUAL SYSTEMS AND REPLACEMENT CHARTS: PERSONNEL REPLACEMENT CHARTS


Company records showing present performance and promotability of inside candidates for the most important positions.

POSITION REPLACEMENT CARD


A card prepared for each position in a company to show possible replacement candidates and their qualifications.

SHAPE \* MERGEFORMAT

COMPUTERIZED INFORMATION SYSTEMS


Human Resource Information System (HRIS)

*********************************************************************** *********************************************************************** ***************************************** Computerized inventory of information that can be accessed to determine employees background, experience, and skills that may include: Work experience codes Product or service knowledge Industry experience Formal education

The Matter of Privacy of HR Information The need to ensure the security of HR information There is a lot of HR information to keep secure. Control of HR information can be established through the use of access matrices that limit users. Legal considerations: The Federal Privacy Act of 1974 gives employees rights regarding who has access to information about their work history and job performance. Forecasting the Supply of Outside Candidates Factors impacting the supply of outside candidates General economic conditions Expected unemployment rate

Sources of information Periodic forecasts in business publications Online economic projections Effective Recruiting External factors affecting recruiting: Looming undersupply of workers Lessening of the trend in outsourcing of jobs U.S. Congressional Budget Office (CBO) Bureau of Labor Statistics U.S. Department of Labor: O*Net Other federal agencies

*********************************************************************** *********************************************************************** ***************************************** Increasingly fewer qualified candidates Internal factors affecting recruiting: The consistency of the firms recruitment efforts with its strategic goals The available resources, types of jobs to be recruited and choice of recruiting methods Nonrecruitment HR issues and policies Line and staff coordination and cooperation

Advantages of centralizing recruitment Strengthens employment brand Ease in applying strategic principles Reduces duplication of HR activiites Reduces the cost of new HR technologies Builds teams of HR experts Provides for better measurement of HR performance Allows for the sharing of applicant pools

Sample Acceptable Questions Once A Conditional Offer Is Made 9. Do you have any responsibilities that conflict with the job vacancy? 10. How long have you lived at your present address? 11. Do you have any relatives working for this company? 12. Do you have any physical defects that would prevent you from performing certain jobs where, to your knowledge, vacancies exist? 13. Do you have adequate means of transportation to get to work? 14. Have you had any major illness (treated or untreated) in the past 10 years? 15. Have you ever been convicted of a felony or do you have a history of being a violent person? (This is a very important question to avoid a negligent hiring or retention charge.)

*********************************************************************** *********************************************************************** ***************************************** 16. Educational background. (The information required here would depend on the job-related requirements of the position.) Measuring Recruiting Effectiveness What to measure and how to measure How many qualified applicants were attracted from each recruitment source? Assessing both the quantity and the quality of the applicants produced by a source. High performance recruiting Applying best-practices management techniques to recruiting. Using a benchmarks-oriented approach to analyzing and measuring the effectiveness of recruiting efforts such as employee referrals. Recruiting Yield Pyramid SHAPE \* MERGEFORMAT Recruiting yield pyramid The historical arithmetic relationships between recruitment leads and invitees, invitees and interviews, interviews and offers made, and offers made and offers accepted. FINDING INTERNAL CANDIDATES

JOB POSTING
Publicizing an open job to employees (often by literally posting it on bulletin boards) and listing its attributes, like qualification, supervisor, work schedule, any pay rate. Qualifications personnal inventory tools like those described earlier ( such as computerized skills banks) are also important. An examination of personnel records may reveal employees who are working in jobs below their educational

*********************************************************************** *********************************************************************** ***************************************** or skill levels. It may also reveal employees who are working in jobs below their educational or skill levels. It may also reveal persons who have potential for further training or who already have the right background for the open job. Computerized records systems can help ensure that you consider qualified inside candidates for the opening.

ADVANTAGES
i. Foreknowledge of candidates strengths and weaknesses j. More accurate view of candidates skills k. Candidates have a stronger commitment to the company l. Increases employee morale m. Less training and orientation required

DISADVANTAGES
n. Failed applicants become discontented o. Time wasted interviewing inside candidates who will not be considered p. Inbreeding of the status quo

REHIRING FORMER EMPLOYEES


Rehiring former employees has its pros and cons. On the plus side, former employees are known quantities n(more or less), and are already familiar with the companys culture, style, and ways of doing things. On the other hand, employees who left for greener pastures back into better positions may signal your current employees that the best way to get ahead is to leave the firm. In any event, there are several ways to reduce the chance of adverse reactions. For example, after rehired employees have been back on the job for a certain period, credit them with the years of service they had accumulated before they left. In addition, inquire (before hiring them) about what they did during the layoff and how they feel about returning to the firm: You dont want someone coming back who feels theyve been mistreated, said one manager.

ADVANTAGES:
They are known quantities.

*********************************************************************** *********************************************************************** ***************************************** They know the firm and its culture.

DISADVANTAGES:
They may have less-than positive attitudes. Rehiring may sent the wrong message to current employees about how to get ahead.

SUCCESSION PLANNING
The process of ensuring a suitable supply of successors for current and future senior or key jobs. Forecasting the availability of inside executive candidates is particularly important in succession planning. Succession planning steps: Succession planning entails three steps

IDENTIFYING AND ANALYZING KEY JOBS:


First , based on the firms strategic goals, top management and HR identify what the companys future key position needs will be, formulate job descriptions and specifications for them. Thus, plans to expand abroad or to diversify the companys product line may suggest bulking up the management talent in the firms international division, or hiring a key executive to run a new-product division.

CREATING AND ASSESSING CANDIDATES:


After identifying future key position needs, management turns to the job of creating and assessing candidates for these jobs. Creating means identifying potential internal and external candidates for future key positions, and then providing them with the developmental experiences they require to be viable to fill the positions. Organizations develop high-potential employees through a variety of means. Most use internal training and cross-functional experiences; they also use job rotation, external training and global/regional assignments. Selecting those who will fill the key positions.

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OUTSIDE SOURCES OF CANDIDATES ADVERTISING


The Media: selection of the best medium depends on the positions for which the firm is recruiting. Newspapers (local and specific labor markets) Trade and professional journals Internet job sites Marketing programs

CONSTRUCTING AN EFFECTIVE AD
Wording related to job interest factors should evoke the applicants attention, interest, desire, and action (AIDA) and create a positive impression of the firm. SHAPE \* MERGEFORMAT

TYPES OF EMPLOYMENT AGENCIES:


Public agencies operated by federal, state, or local governments Agencies associated with nonprofit organizations Privately owned agencies

REASONS FOR USING A PRIVATE EMPLOYMENT


AGENCY:

When a firm doesnt have an HR department and is not geared to doing recruiting and screening. . The firm has found it difficult in the past to generate a pool of qualified applicants.

*********************************************************************** *********************************************************************** ***************************************** The firm must fill a particular opening quickly. There is a perceived need to attract a greater number of minority or female applicants. The firm wants to reach currently employed individuals, who might feel more comfortable dealing with agencies than with competing companies. The firm wants to cut down on the time its devoting to recruiting.

AVOIDING PROBLEMS WITH EMPLOYMENT AGENCIES:


Give the agency an accurate and complete job description. Make sure tests, application blanks, and interviews are part of the agencys selection process. Periodically review data on candidates accepted or rejected by your firm, and by the agency. Check on the effectiveness and fairness of the agencys screening process. Screen the agency. Check with other managers or HR people to find out which agencies have been the most effective at filling the sorts of positions needed to be filled. Review the Internet and a few back issues of the Sunday classified ads to discover the agencies that handle the positions to be filled.

EMERGING NEEDS TEMPORARY BASIS


Benefits of Temps Paid only when working More productive No recruitment, screening, and payroll administration costs

Costs of Temps Fees paid to temp agencies Lack of commitment to firm

Concerns of Temp Employees

*********************************************************************** *********************************************************************** ***************************************** Treatment by employers in a dehumanizing, impersonal, and ultimately discouraging way. Insecurity about their employment and pessimistic about the future. Worry about their lack of insurance and pension benefits. Being misled about their job assignments and in particular about whether temporary assignments were likely to become full-time positions. Being underemployed (particularly those trying to return to the full-time labor market). In general they were angry toward the corporate world and its values; participants repeatedly expressed feelings of alienation and disenchantment.

GUIDELINES FOR USING TEMPORARY EMPLOYEES


11. Do not train your contingent workers. 12. Do not negotiate the pay rate of your contingent workers. 13. Do not coach or counsel a contingent worker on his/her job performance. 14. Do not negotiate a contingent workers vacations or personal time off. 15. Do not routinely include contingent workers in your companys employee functions. 16. Do not allow contingent workers to utilize facilities intended for employees. 17. Do not let managers issue company business cards, nameplates, or employee badges to contingent workers without HR and legal approval. 18. Do not let managers discuss harassment or discrimination issues with contingent workers. 19. Do not discuss job opportunities and the contingent workers suitability for them directly. 20. Do not terminate a contingent worker directly.

WORKING WITH A TEMP AGENCY


Invoicing. Get a sample copy of the agencys invoice. Make sure it fits your companys needs.

*********************************************************************** *********************************************************************** ***************************************** Time sheets. With temps, the time sheet is not just a verification of hours worked. Once the workers supervisor signs it, its usually an agreement to pay the agencys fees. Temp-to-perm policy. What is the policy if the client wants to hire one of the agencys temps as a permanent employee? Recruitment of and benefits for temp employees. Find out how the agency plans to recruit what sorts of benefits it pays. Dress code. Specify the attire at each of your offices or plants. Equal employment opportunity statement. Get a statement from the agency that it is not discriminating when filling temp orders. Job description information. Have a procedure whereby you can ensure the agency understands the job to be filled and the sort of person you want to fill it.

OFFSHORING/OUTSOURCING WHITE-COLLAR AND OTHER JOBS


Specific issues in outsourcing jobs abroad Political and military instability Likelihood of cultural misunderstandings Customers security and privacy concerns Foreign contracts, liability, and legal concerns Special training of foreign employees Costs associated with companies supplying foreign workers

EXECUTIVE RECRUITERS (HEADHUNTERS)


Special employment agencies retained by employers to seek out top-management talent for their clients. Contingent-based recruiters collect a fee for their services when a successful hire is completed. Retained executive searchers are paid regardless of the outcome of the recruitment process. Internet technology and specialization trends are changing how candidates are attracted and how searches are conducted. *

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GUIDELINES FOR CHOOSING A RECRUITER


Make sure the firm is capable of conducting a thorough search. Meet the individual who will actually handle your assignment. Ask how much the search firm charges. On demand recruiting services (ODRS) A service that provides short-term specialized recruiting to support specific projects without the expense of retaining traditional search firms.

COLLEGE RECRUITING
Recruiting goals To determine if the candidate is worthy of further consideration To attract good candidates On-site visits Invitation letters Assigned hosts Information package Planned interviews Timely employment offer Follow-up Internships Employee referrals Applicants who are referred to the organization by current employees Referring employees become stakeholders. Referral is a cost-effective recruitment program. Referral can speed up diversifying the workforce Walk-ins Direct applicants who seek employment with or without encouragement from other sources.

*********************************************************************** *********************************************************************** ***************************************** Courteous treatment of any applicant is a good business practice. Recruiting via the Internet More firms and applicants are utilizing the Internet in the job search process. Advantages of Internet recruiting Cost-effective way to publicize job openings More applicants attracted over a longer period Immediate applicant responses Online prescreening of applicants Links to other job search sites Automation of applicant tracking and evaluation Issues in Recruiting a More Diverse Workforce Single parents Providing work schedule flexibility.

Older workers Revising polices that make it difficult or unattractive for older workers to remain employed. Recruiting minorities and women Understanding recruitment barriers. Formulating recruitment plans. Instituting specific day-to-day programs

LEGAL ENVIRONMENT OF HRM


Federal and provincial governments influenced HRM through laws and regulations Huge increase in this since 1960s Employers must ensure that managers understand their obligations and comply Four primary areas of employment legislation Lets look at the Main One

*********************************************************************** *********************************************************************** ***************************************** Human Rights Legislation Has the most impact on HR decisions Protects individuals and groups from discrimination Protects employees from harassment--both workplace and sexual Consider the time, (which translates to money), that managers spend on HRL

OTHER EMPLOYMENT LEGISLATION EMPLOYMENT STANDARDS


Basic or minimum employment conditions in an organization Minimum wage, hours of work, OT pay Health and safety Healthy and Safe work Environment On the Job Injuries Labour relations Relationship between union and employer Not all organizations are covered by Labour Relations Views of Planning Human Resources Planning for human resources has had a chequered past Planning is a critical tool for business success A sustainable tool for managing downsizing and redundancies No longer meaningful An important contribution in supporting strategic HRM Gaps in capabilities Surpluses in capabilities Poor utilisation of people Developing a talent pool Rapid and discontinuous change in environment Free will of people

HR planning can identify:

Factors That Make Planning Difficult

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FACTORS THAT ENHANCE THE CONTRIBUTION AND IMPLEMENTATION OF HR PLANNING


Viewing plans as being flexible Regular review of plans Involvement of all stakeholders in planning process Planning owned and driven by senior managers rather than HR specialists

Traditional View of HR Planning Traditionally HR planning (manpower planning) was concerned with the numbers of employees and having the right number of people with the right levels and types of skill in the organization.

AN INTEGRATED HR PLANNING FRAMEWORK ANALYSING THE ENVIRONMENT


Identify how difficult or easy it will be to find employees with the necessary skills Identify what employees want from an employer The impact of legislation that will limit or widen conditions of employment Data about employment trends

CATEGORISING TRENDS
Social Demographics Political and legislative Industrial & technological Competitors

SOCIAL TRENDS:
* Census information CIPD journals News media General Household Survey Employment Gazette Social trends

*********************************************************************** *********************************************************************** ***************************************** Local papers

DEMOGRAPHIC TRENDS:
Labour Market Quarterly Census information Employment Gazette Local Council Learning and Skills Councils

POLITICAL AND LEGISLATIVE TRENDS:


News media Proceedings of European Parliament Proceedings of British Parliament Hansard Industrial Relations Review and Report Industrial Law Journal IDS Brief

INDUSTRIAL & TECHNOLOGICAL TRENDS :


Employment Digest Journals specifically for the industry business is in Financial Times Employers associations Trade associations

COMPETITOR TRENDS :
Annual reports Talking to competitors

FORECASTING FUTURE HR NEEDS:


Undertaken by the use of management judgment Three simple techniques that can help - HR implications checklist - HR scorecard - Scenarios

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AASMA TABBASUM 618 TOPIC: INDUCTIO N EMPLOYEE TRAINING

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Induction

Purposes of induction:
To create a feeling of belonging To provide necessary information(job+businss) To proost the Morale It is process of bringing/introducing/familiarizing a new recruit into the oraginsation. This program familiarizes the new employee about the culture, accepted practices and performance standards of the organization. It has been proved in one of the survey conducted by the Centre for Creative Leadership (headquartered in Greensboro, North Carolina, US), that a fresh hire does not met the expectation of an organization for the first few months. The issue of productivity of new hires has to be defined individually by every organization. Fresh hires are able to learn the process as quickly as possible if the induction efforts are right and they can be very productive if their induction is been done in an proper manner. Importance of induction program What will happen if we do not train new recruit in the organization and they stay on. While keeping the above statement in mind, think the importance of induction program. Induction training is very essential for any company because it helps an individual/new recruit to grow within a company and motivates him/her. It inculcates in the employee, more confidence to progress. It is during induction that a new recruit gets to know about the organization's employment philosophy, physical work environment, employee's *

*********************************************************************** *********************************************************************** ***************************************** rights, employee's responsibilities, organization, culture and values along with key business processes. A new entrant should culturally fit in an organization. Interaction at this stage shapes an individual's disposition and outlook for work and motivation levels. The importance of induction cannot be underestimated. Involvement in Induction programs ( should bes ) Induction program must/should include all the aspects of the organization and present for the awareness of the new employee. Like emergency procedures, facilities, safety issues, rights of the employee, what to be paid, no harassment, equal opportunity, grievance procedures, employee responsibilities, times, conduct standards, job function, dress requirements, organisational structure, what it does, how they fit in, who is their Manager, the functions of different departments, how the employee will be managed, what the performance management process will involve, and his/her role in that process, are the few concern areas during an Induction program. Induction should be conducted on the first day of the new recruit from the gate of the organization itself. For induction only higher management or Head of HR or Senior should be addressing the new entrant. It should also involve the employees of the new entrant department. An effective induction helps a new employee feel assured and comfortable in the new environment, which is critical for early uptake in the new role. Induction should always be interactive. It also provides an opportunity to the new entrant to engrain the original values and ethics as well as the style of functioning. Escorting an new entrant will be one of the best and most impactful induction step. It should always be interesting and must hold the attention of the new employee. Involvement in Induction programs ( not bes )

*********************************************************************** *********************************************************************** ***************************************** First of all Induction program must not/ should not include much of theoretical part. Bad induction leads to stress and de-motivation. Arriving for a new job a bad induction can leave a new starter worried, anxious and unable to perform their duties. More work for longer as the new entrant struggles to become an effective member. It increases the workload, all the wrong messages given to the new starter and can damage long-term implications. Signs of bad Induction program are Too Short during induction a new entrant should just not give the mobile numbers or small brief as always remember either a person should have or should not have knowledge, half knowledge leads to disaster. Too Hasty A ten minutes brisk walk and making him familiarizing about the exit or entry should not be the part of induction. Too Boring All the theoretical and long presentation with high figures involved is a bad sign of induction. Impersonal Avoid hours of speeches and presentations and voluminous policy manuals or information packages. Too personal It should not be related to the complete life cycle of a new entrant. Neglectful whosoever takes the induction should have complete knowledge of the new entrant participation the induction program, Isolated and embarrassing. Difference between effective and non effective Induction Programs. Effective induction decreases the chances of attrition v/s bad induction increase the attrition. It makes employees more energetic whereas non effective induction demoralizes the new entrant. It makes positive impact v/s it possesses negative impact. It reduces cost v/s it increase the cost. It increases team work ability v/s it reduces team work ability.

*********************************************************************** *********************************************************************** ***************************************** To be more precise please follow up the example:Two employees were recruited in 2004 at X company as a technical recruiter. Employee A was appointed August whereas employee B was appointed December 04. A went through bad induction program as mentioned above and employee B went through good induction program inculcating all the necessities. A was very confused about the oragnisation policies; environment, culture etc whereas B was clear about the all aspects of the organization. After two years B was promoted at a senior level position whereas A was still confused and was unable to give his/her fullest to the company and was not at all comfortable with the environment of the orgainsation. In, result after the promotion of B he resigned the company reason being senior in terms of joining from B. With the above example it becomes very clear about the kind of difference of bad and good induction can make. As bad induction does not only cost to employee but to organistion as well. Impact of Bad induction program Bad induction = attrition Bad induction program does not only leads to confusion, stress and de-motivation, but one of the most disastrous effect will be the attrition. Losing a new entrant of staff and having to replace them costs about 25% of their salary/wage. Providing too much, too soon; the inductee must not be overwhelmed by a mass of information on the first day. Bad Induction program generates unreasonable expectations by being more interesting and more exciting than the job itself. Good induction program Good induction = retention Induction programs help in reducing attrition rates, apparently yes. The first impression is very important when a person comes into a new organisation and how you interact with

*********************************************************************** *********************************************************************** ***************************************** these new entrants plays an important role on how they discharge their duties later. It was found that employees who received an effective induction were more engaged, compared to those who rated the quality of induction as below average. The thought of leaving the organisation creeps in at early stage in cases where the induction is not done with passion. A good induction prepares an employee better to compete in fiercely competitive market place, which has a direct impact on the early success and hence motivation, he adds. It is true that only good induction does not keeps the attrition away but it plays a big role. Conclusion In conclusion, getting the induction process right, sets the scene for the remainder of the employment experience. This is a critical phase in the employment process. Induction programs should be implemented in a structured manner and applied uniformly across the organisation. Best practice involves a very structured approach to the induction process.

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Objective of an Induction Procedure


The objective of an induction procedure is that the employer, business owner or manager will explain to a new employee, and that the new employee will fully understand the following: a. The objectives of the business or organization, and the objectives of the area in which the new employee will work b. The business or organizational policies and procedures c. Their own Key performance Indicators, and how these are related to the Strategic Business Plan d. All aspects of the employment relationship e. The organizational structure f. Communication channels within the business g. The layout and geography of the workplace

II. Benefits of a proper Induction procedure include:


a. Avoiding any doubt on the part of the new employee, especially in respect of performance and quality aspects of the role b. Giving the new employee a sense of certainty about their job and the whole working environment c. Avoiding any possible personal grievance or complaint actions *

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III. Induction Check List


It is important to have a check list of items to cover during the induction procedure. This may be very simple or extensive, but it will provide a permanent record in the employees personal file that the procedure was carried out, and the items which were discussed. The sample check list attached can be used as a guide to produce your own, to include other items relevant to your business, or exclude items not relevant.

IV. Further comments to the Induction Check List


a. The business owner or employer should go over the employment Agreement or Contract with particular reference to "out of the ordinary" clauses, and which are beyond the statutory minimum. b. The new employee should be advised of the business or organizational objectives to help focus the employee where the business is heading. c. All policies such as Health and Safety, Harassment, Grievance or complaint should be included. d. The Key Performance Indicators derived from the employees Job Description should be explained. e. Guidance on any business or organizational "Culture" should be explained, including the formality or informality of internal or external relationships. f. The existence of a Strategic Business Plan relating to the future direction of the business, or proposed changes which have already been advised to existing staff should be disclosed.

*********************************************************************** *********************************************************************** ***************************************** g. The time that a business "Buddy" or mentor will be available for assistance. h. What training will be provided as part of the new role.

INDUCTION CHECKLIST
Induction for: ____________________________ Position: ____________________ Appointment Date: ___ / ___ / ___ Induction to be completed by: ___ / ___ / ___ Managers Name & Position: _____________________________________________ Information to be covered if not applicable mark N/A Staff Initial

BEFORE the staff member starts


Office accommodation and equipment Confirm office/desk area and office furniture, including any special requirements, diary, stationery etc Confirm computer availability Apply for email account, and complete and send off any other computer access forms required Organise security keys

*********************************************************************** *********************************************************************** *****************************************

Internal communications
Inform team of start date of new staff member Add staff member to distribution lists (including email groups) Appoint a team "buddy" to assist new staff member in the first week Send signed offer and employment documentation, including IRD form, New Employee Information Form, Role Description, Date and time of start on first day, Dress code Draw up list of people the new staff member should meet Arrange business cards if required

ON THE FIRST DAY


Introduce to Senior Managers Introduce to team "buddy" Introduce to rest of team Provide information on the Company Structure, Communication and reporting channels, core Processes, policies, goals , future changes

Employment Issues
Hours of work, lunch and tea breaks

*********************************************************************** *********************************************************************** ***************************************** Initial discussion/training on the staff members new role key tasks and performance measures, personal concerns contact Holidays/Sickness entitlement. Explain procedures for leave Who to contact if sick How and when payment is made, bank forms

Office Arrangements
Location of office/desk, space for work and personal items (e.g. coat) Phone book, internal phone book, making outside calls Voicemail system and arrangements for training Mail systems, times of delivery and collection etc Location of toilets and other facilities e.g. coffee & tea, water to drink Where photocopier, fax, basic stationery and other consumables are located, and how equipment works Car parking

*********************************************************************** *********************************************************************** ***************************************** Computers Training on the Email system and software packages

Security and Safety


Confidential statement (if required) signed and policy explained Supply security access keys, as required, and advise on security given, including what to do if these are lost How to set and turn off any after hours alarm system Building evacuation and emergency procedures emergency exits Location of first aid cabinet. Information on injury reporting and claims supplied

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Typical Reasons for Employee Training and Development


Training and development can be initiated for a variety of reasons for an employee or group of employees, e.g.,:

When a performance appraisal indicates performance improvement is needed To "benchmark" the status of improvement so far in a performance improvement effort As part of an overall professional development program As part of succession planning to help an employee be eligible for a planned change in role in the organization To "pilot", or test, the operation of a new performance management system To train about a specific topic (see below)

Typical Topics of Employee Training


10. Communications: The increasing diversity of today's workforce brings a wide variety of languages and customs. 11. Computer skills: Computer skills are becoming a necessity for conducting administrative and office tasks. 12. Customer service: Increased competition in today's global marketplace makes it critical that employees understand and meet the needs of customers. 13. Diversity: Diversity training usually includes explanation about how people have different perspectives and views, and includes techniques to value diversity 14. Ethics: Today's society has increasing expectations about corporate social responsibility. Also, today's diverse workforce brings a wide variety of values and morals to the workplace.

*********************************************************************** *********************************************************************** ***************************************** 15. Human relations: The increased stresses of today's workplace can include misunderstandings and conflict. Training can people to get along in the workplace. 16. Quality initiatives: Initiatives such as Total Quality Management, Quality Circles, benchmarking, etc., require basic training about quality concepts, guidelines and standards for quality, etc. 17. Safety: Safety training is critical where working with heavy equipment , hazardous chemicals, repetitive activities, etc., but can also be useful with practical advice for avoiding assaults, etc. 18. Sexual harassment: Sexual harassment training usually includes careful description of the organization's policies about sexual harassment, especially about what are inappropriate behaviors.

General Benefits from Employee Training and Development


There are numerous sources of online information about training and development. Several of these sites (they're listed later on in this library) suggest reasons for supervisors to conduct training among employees. These reasons include:

Increased job satisfaction and morale among employees Increased employee motivation Increased efficiencies in processes, resulting in financial gain Increased capacity to adopt new technologies and methods Increased innovation in strategies and products Reduced employee turnover Enhanced company image, e.g., conducting ethics training (not a good reason for ethics training!) Risk management, e.g., training about sexual harassment, diversity training

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Orienting and Training Employees


The following books are recommended because of their highly practical nature and often because they include a wide range of information about this Library topic. To get more information about each book, just hover your cursor over the image of the book. A "bubble" of information will be displayed. You can click on the title of the book in that bubble to get more information, too.

Orienting Employees Employee orientation


A procedure for providing new employees with basic background information about the firm.

Orientation content
Information on employee benefits Personnel policies The daily routine Company organization and operations Safety measures and regulations Facilities tour

Employee orientation
A procedure for providing new employees with basic background information about the firm.

Orientation content
Information on employee benefits Personnel policies The daily routine

*********************************************************************** *********************************************************************** ***************************************** Company organization and operations Safety measures and regulations Facilities tour

The Training Process Training


The process of teaching new employees the basic skills they need to perform their jobs.

The strategic context of training


Performance management: the process employers use to make sure employees are working toward organizational goals. Web-based training Distance learning-based training Cross-cultural diversity training

The Training and Development Process Needs analysis


Identify job performance skills needed, assess prospective trainees skills, and develop objectives.

Instructional design
Produce the training program content, including workbooks, exercises, and activities.

Validation
Presenting (trying out) the training to a small representative audience.

Implement the program


Actually training the targeted employee group.

Evaluation
*

*********************************************************************** *********************************************************************** ***************************************** Assesses the programs successes or failures.

Make the Learning Meaningful


At the start of training, provide a birds-eye view of the material to be presented to facilitates learning. Use a variety of familiar examples. Organize the information so you can present it logically, and in meaningful units. Use terms and concepts that are already familiar to trainees. Use as many visual aids as possible.

Make Skills Transfer Easy


Provide adequate practice. Label or identify each feature of the machine and/or step in the process. Maximize the similarity between the training situation and the work situation. Direct the trainees attention to important aspects of the job. Provide heads-up preparatory information that lets trainees know they might happen back on the job.

Provide adequate practice.


Label or identify each feature of the machine and/or step in the process. Maximize the similarity between the training situation and the work situation. Direct the trainees attention to important aspects of the job. Provide heads-up preparatory information that lets trainees know they might happen back on the job.

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Analyzing Training Needs Task analysis


A detailed study of a job to identify the specific skills required, especially for new employees.

Performance analysis
Verifying that there is a performance deficiency and determining whether that deficiency should be corrected through training or through some other means (such as transferring the employee).

SHAPE \* MERGEFORMAT

Training Method
*

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On-the-job training (OJT)


Having a person learn a job by actually doing the job.

OJT methods
Coaching or understudy Job rotation Special assignments

Advantages
Inexpensive Immediate feedback

Steps in OJT Step 1: Prepare the learner


Put the learner at easerelieve the tension. Explain why he or she is being taught. Create interest, encourage questions, find out what the learner already knows about this or other jobs. Explain the whole job and relate it to some job the worker already knows. Place the learner as close to the normal working position as possible. Familiarize the worker with equipment, materials, tools, and trade terms.

Steps in OJT (contd) Step 2: Present the operation


Explain quantity and quality requirements. Go through the job at the normal work pace. Go through the job at a slow pace several times, explaining each step. Between operations, explain the difficult parts, or those in which errors are likely to be made. Again go through the job at a slow pace several times; explain the key points.

*********************************************************************** *********************************************************************** ***************************************** Have the learner explain the steps as you go through the job at a slow pace.

Step 3: Do a tryout
Have the learner go through the job several times, slowly, explaining each step to you. Correct mistakes and, if necessary, do some of the complicated steps the first few times. Run the job at the normal pace. Have the learner do the job, gradually building up skill and speed. As soon as the learner demonstrates ability to do the job, let the work begin, but dont abandon him or her.

Step 4: Follow up
Designate to whom the learner should go for help. Gradually decrease supervision, checking work from time to time against quality and quantity standards. Correct faulty work patterns before they become a habit. Show why the learned method is superior. Compliment good work; encourage the worker until he or she is able to meet the quality and quantity standards.

Training Methods Apprenticeship training


A structured process by which people become skilled workers through a combination of classroom instruction and on-the-job training.

Informal learning
The majority of what employees learn on the job they learn through informal means of performing their jobs on a daily basis.

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Job instruction training (JIT)


Listing each jobs basic tasks, along with key points, in order to provide step-by-step training for employees.

The 25 Most Popular Apprenticeships


According to the U.S. Department of Labor apprenticeship database, the occupations listed below had the highest numbers of apprentices in 2001. These findings are approximate because the database includes only about 70% of registered apprenticeship programsand none of the unregistered ones. Boilermaker Bricklayer (construction) Carpenter Construction craft laborer Cook (any industry) Cook (hotel and restaurant) Correction officer Electrician Electrician (aircraft) Electrician (maintenance) Electronics mechanic Firefighter

Machinist Maintenance mechanic (any industry) Millwright Operating engineer Painter (construction)

*********************************************************************** *********************************************************************** ***************************************** Pipefitter (construction) Plumber Power plant operator Roofer Sheet-metal worker Structural-steel worker Telecommunications technician Tool and die maker

Effective lectures
Use signals to help listeners follow your ideas. Dont start out on the wrong foot. Keep your conclusions short. Be alert to your audience. Maintain eye contact with the trainees. Make sure everyone in the room can hear. Control your hands. Talk from notes rather than from a script. Break a long talk into a series of five-minute talks.

Programmed Learning Programmed instruction (PI)


A systematic method for teaching job skills involving: Presenting questions or facts Allowing the person to respond Giving the learner immediate feedback on the accuracy of his or her answers

Advantages
* Reduced training time Self-paced learning Immediate feedback

*********************************************************************** *********************************************************************** ***************************************** Reduced risk of error for learner

Literacy training techniques


Responses to functional illiteracy Testing job candidates basic skills. Setting up basic skills and literacy programs.

Audiovisual-based training
To illustrate following a sequence over time. To expose trainees to events not easily demonstrable in live lectures. To meet the need for organizationwide training and it is too costly to move the trainers from place to place. Simulated training (occasionally called vestibule training) Training employees on special off-the-job equipment so training costs and hazards can be reduced. Computer-based training (CBT) Electronic performance support systems (EPSS) Learning portals

Computer-based Training (CBT) Advantages


Reduced learning time Cost-effectiveness Instructional consistency

Types of CBT
Intelligent Tutoring systems Interactive multimedia training

*********************************************************************** *********************************************************************** ***************************************** Virtual reality training

Distance and Internet-Based Training Teletraining


A trainer in a central location teaches groups of employees at remote locations via TV hookups.

Videoconferencing
Interactively training employees who are geographically separated from each otheror from the trainervia a combination of audio and visual equipment.

Training via the Internet


Using the Internet or proprietary internal intranets to facilitate computerbased training.

What Is Management Development? Management development


Any attempt to improve current or future management performance by imparting knowledge, changing attitudes, or increasing skills.

Succession planning
A process through which senior-level openings are planned for and eventually filled. Anticipate management needs Review firms management skills inventory Create replacement charts Begin management development

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Managerial on-the-Job Training Job rotation


Moving a trainee from department to department to broaden his or her experience and identify strong and weak points.

Coaching/Understudy approach
The trainee works directly with a senior manager or with the person he or she is to replace; the latter is responsible for the trainees coaching.

Action learning
Management trainees are allowed to work full-time analyzing and solving problems in other departments.

Off-the-Job Management Training and Development Techniques Case study method


Managers are presented with a description of an organizational problem to diagnose and solve.

Management game
Teams of managers compete by making computerized decisions regarding realistic but simulated situations.

Outside seminars

*********************************************************************** *********************************************************************** ***************************************** Many companies and universities offer Web-based and traditional management development seminars and conferences.

Role playing
Creating a realistic situation in which trainees assume the roles of persons in that situation.

Behavior modeling
Modeling: showing trainees the right (or model) way of doing something. Role playing: having trainees practice that way Social reinforcement: giving feedback on the trainees performance. Transfer of learning: Encouraging trainees apply their skills on the job.

Corporate universities
Provides a means for conveniently coordinating all the companys training efforts and delivering Web-based modules that cover topics from strategic management to mentoring.

In-house development centers


A company-based method for exposing prospective managers to realistic exercises to develop improved management skills.

Executive coaches
An outside consultant who questions the executives boss, peers, subordinates, and (sometimes) family in order to identify the executives strengths and weaknesses. Counsels the executive so he or she can capitalize on those strengths and overcome the weaknesses

Managing Organizational Change and Development

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What to change?
Strategy: mission and vision Culture: new corporate values Structure: departmental structure, coordination, span of control, reporting relationships, tasks, decision-making procedures Technologies: new systems and methods Employees: changes in employee attitudes and skills

Overcoming Resistance to Change

What causes resistance?


All behavior in organizations is a product of two kinds of forcesthose striving to maintain the status quo and those pushing for change.

Lewins Change Process


Unfreezing: reducing the forces striving to maintain the status quo. Moving: developing new behaviors, values, and attitudes, sometimes through structural changes. Refreezing: reinforcing the changes.

Overcoming Resistance to Change Change initiatives


Political campaign: creating a coalition strong enough to support and guide the initiative.

*********************************************************************** *********************************************************************** ***************************************** Marketing campaign: tapping into employees thoughts and feelings and also effectively communicating messages about the prospective programs theme and benefits. Military campaign: Deploying executives scarce resources of attention and time to actually carry out the change.

How to Lead the Change (in 10 Steps)


11. Establish a sense of urgency. 12. Mobilize commitment through joint diagnosis of problems. 13. Create a guiding coalition. 14. Develop a shared vision. 15. Communicate the vision. 16. Help employees to make the change. 17. Generate short-term wins. 18. Consolidate gains and produce more change. 19. Anchor the new ways of doing things in the companys culture. 20. Monitor progress and adjust the vision as required. Using Organizational Development Organizational development

(OD)
A special approach to organizational change in which employees themselves formulate and implement the change thats required. Usually involves action research. Applies behavioral science knowledge. Changes the attitudes, values, and beliefs of employees. Changes the organization in a particular direction.

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Examples of OD Interventions Human Process T-groups Process consultation Third-party intervention Team building Organizational confrontation meeting Intergroup relations Technostructural Formal structural change Differentiation and integration Quality circles Total quality management Work design

Human Resource Management Goal setting Performance appraisal Reward systems Career planning and development Managing workforce diversity Employee wellness Strategic Integrated strategic management Culture change Strategic change

Cooperative unionmanagement projects Self-designing organizations

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SHAPE \* MERGEFORMAT

Evaluating the Training Effort Designing the study


Time series design Controlled experimentation

Training effects to measure


Reaction of trainees to the program Learning that actually took place Behavior that changed on the job Results that were achieved as a result of the training SHAPE \* MERGEFORMAT

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Time Series Training Evaluation Design

SHAPE \* MERGEFORMAT

A Sample of Training Evaluation Form

SANIA YOUNAS 647 TOPIC: ROLE OF FOREMAN PRODUCT DESIGN


*

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Forman
The foreman holds a significant position in the organization of any company. He has the responsibilities for directing an important unit of the productive activities of the company. Foreman is part of management; he can speak and act in the name of company. He is, in fact the front line of management. The foreman is sometimes given the title of supervisor or department had. A foreman is an employee who is charged with the task of organizing and overseeing the work of a group of employees. Foremen report to managers and others within a company structure, rendering an account of the efficiency and general work habits of individuals assigned to them. Usually associated with industries associated with building or manufacturing, the exact responsibilities of the foreman will vary depending on the demands of the work environment. One of the more common types of foreman jobs is that of the shop foreman. Commonly found in textile and other manufacturing plants, the shop foreman oversees the employees charged with the task of maintaining the facility, usually including the machinery used in the manufacturing process. Within this structure, the foreman is likely to report to a department supervisor and carry the same authority within the plant as any of the shift supervisors. This includes the ability to schedule employees under his or her charge, take disciplinary action when appropriate, and petition for additional employees or materials when needed. A job foreman is likely to have responsibilities similar to those of a shop foreman, but may operate in other settings. It is not unusual for this type of supervisor to function in a building or construction setting. Here, the task often involves overseeing the execution and completion of various tasks that move the construction forward, arranging work schedules, seeing to the ordering and delivery of supplies, and reporting progress to his or her superiors. As in

*********************************************************************** *********************************************************************** ***************************************** other settings, a manager of this type often has hiring and firing privileges, making it possible to build a cohesive working team. The electric foreman is a supervisor who, along with his or her support team, will see to any tasks that involve the use of electrical current within a project. This can include the installation or maintenance of electrical wiring within a facility, trouble shooting on special projects such as temporary lighting for a special event, and making sure all electrical equipment within a facility is safe and operating within standards. A general foreman is often in charge of more than one support team. Because of the broader nature of the job responsibilities, this type of manager often will have credentials and experience in more than one area of expertise. For example, a general foreman may be skilled with general construction as well as electrical wiring or plumbing systems.

While many employers place a great emphasis on experience as a necessary qualification to become a foreman, a growing number are also requiring formal education in related fields. The education may come in the form of successful completion of certified training programs related to the job tasks, general related studies at a vocational school, or even a degree from a college or university. Often, employers choose to promote from within, and may assist a promising candidate to receive formal training in anticipation of the employee one day reaching foreman status within the company. Foreman supervises and coordinates the work of a crew of workers in a specific craft or trade. Foremen are primarily concerned with seeing that the workers under them do their job skillfully and efficiently, and that assigned work progresses on schedule. They deal with the routing of material and equipment, and with the laying out of the more difficult areas of the job. The work requires quick, clear thinking and quick onsite decisions. Foremen should have a broad working knowledge of a craft; must be able to read and visualize objects from blueprints; and should have an eye for precise detail.

Working conditions for foremen can vary greatly depending upon the craft line being supervised. However, the great majority of work will be onsite and out of doors, often resulting in prolonged standing, as well as some strenuous physical activity. To become a foreman, a craftsman must illustrate an above average knowledge of all faces of a particular trade and do noticeably good work consistently. A foreman should have the same basic aptitude and interests as those working in the craft being supervised, plus additional reading, writing, and math skills. The ability to motivate workers and communicate with both them and superiors is essential. A foreman must often lead by example.

*********************************************************************** *********************************************************************** ***************************************** Being an entry level/first line management position, a foreman who exhibits solid rapport and communications with his or her workers and superiors; who leads by example; who has outstanding skills and trade knowledge; who gets the job done properly and on schedule; and who works to improve his/her management skills will often be in line for promotion into a supervisory position. With the proper background and initiative a foreman may progress to a superintendent, general superintendent, vice president, or even an owner of a construction company.

Work of the foreman


The position of the foreman depends in part upon the type of the organization adopted by the company. In many small businesses which provide few staff services by specialized department, the company may be organized on the principle of the line.

The work of the foreman considered under following six head: Responsibility for directing the work Responsibility for employee relationship Responsibility for working condition Co-operation with other Channel of communication Handling workers complaints

Responsibility for directing the work:


If production is centrally controlled by a planning department, the foreman must see the planning schedules are followed. He must see the machine and tools are properly used and that safety regulations are observed. He may be required to requisition the purchase of material. In case of emergency, such as fire, accident, or machine breakage, he must take the necessary action to product the workers and interest of the company.

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Responsibility for employee relationships. :


Foreman requisition helps when it is needed. Although he is no longer required to interview and select workers. When a worker is sent to his department for work, the foreman sees that he is properly instructed as to the requirements and conditions of the job. The foreman can meet his responsibility for handling employees problem only if he has the support and co-operation of person higher up the line. In handling minor problems, he might be given authority to act without making any report to his superior; and in other cases, he might be authorized to act but required to make a report of the circumstances.

Responsibility for working condition:


The foreman should keep informed concerning developments relating to the workplace, the condition of work, and the jobs. As for the workplace, h must know the layout and arrangement, the preparation time required for a task, and the time required to make necessary adjustments. He should know the qualifications of the workers and their fitness for the job to which they are assigned. He should see that workers are suited to the work they are doing

Co-operation with other:


The foreman a part of management, must carry out its policies, interpret them to the workers, and execute the order received. Under democratic leadership, he is advised of impending changes and is permitted to express an opinion on a proposal affecting his department before it is adopted. He makes recommendations for changes, such as improvements in layout, lightening or air conditioning. Co-operation is made easier for the foreman if he is made to feel that he is really a part of management. He should be notified in advance of all changes affecting his department, and he should never be permitted to hear of them by the grapevine.

Channel of communication:

*********************************************************************** *********************************************************************** ***************************************** The foreman is an important link in the channel of communication to and from employees. For a new employee, communication from the foreman begins with an explanation of departmental regulations, introduction to fellow employees, assignment to a job, and explanation of what is expected.

Handling workers complaints:


The foreman should investigate the facts concerning all complaints which come to him. If he finds that the complaint is justified, he may be able to correct the difficulty. He may find it necessary to inquire what the policy of the company is concerning the question at issue. If he is not informed as to company policy, he may communicate with general foreman, who may consult the division chief to determine the policy; or he may have to ask for a ruling in case no policy has been established.

FOREMAN'S TRAINING

Training of foreman:
In time of business expansion when new plant is being put into the operation or new shifts are being add, special attention should be given to the training of supervisors. At that time the normal rate of turnover may require special training program for the purpose of maintaining loyalty and enthusiasm and of keeping foreman of developments in programs, technology and other problems.

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Training in management:
Some time courses are designed to facilitate the entry of foreman into the rank management. The course for new foreman is given after promotion rather then before. If the program were given before promotion, the man would have to return to his job to wait for an opening.

Training in company organization:


One type of training program for foreman is intended to give them an understanding of entire organization of the company. It may begin with a series of meetings, lectures and conferences with top management. Each of executives may discuss his work in relation to the work of the foreman. The foreman may be conducted through the various offices and departments of the plant where they are told of the work of each one. The training program may design to foster loyalty to the company and to the system of private enterprise. The purpose is to show that top management and the staff department performs necessary services.

By training foreman can:


Managing Time & Productivity People Management For Foremen Several Habits Of Highly Effective Foremen

Organizational Tips, Tactics & Techniques For Foremen

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MANAGING TIME & PRODUCTIVITY:

Distinguishing Productive Time From Non-Productive Time Analyzing Time Spent On Non-Productive Activities Decreasing Non-Productivity Increasing Productivity Dividing And Categorizing Projects Scheduling For Maximum Productivity

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PEOPLE MANAGEMENT FOR FOREMEN :

Effectively Communicating With Owners With Workers With Office Personnel Listening Skills Dealing With Difficult People Avoiding Harassment Charges Coordinating With Other Trades Working With Inspectors Hiring & Firing Identifying And Supervising The Different Personality Types

SEVERAL HABITS OF HIGHLY EFFECTIVE FOREMEN :


Do You Have What It Takes To Be A Foreman? Skills & Traits Of Outstanding Foremen Recognizing The Responsibilities Of A Foreman Minimizing Mistakes Coping With Change Differentiating Between And Developing Leadership Traits Gaining Respect And Loyalty Through Effective Managing

ORGANIZATIONAL TIPS, TACTICS & TECHNIQUES FOR FOREMEN


*

*********************************************************************** *********************************************************************** ***************************************** Staying On Top Of Paper Work Keeping Adequate Records Obtaining And Maintaining Contract Documents Ordering, Receiving, And Storing Materials Maximizing The Life And Usage Of Tools Looking And Planning Ahead Daily, Weekly, And Beyond

Example of potato chips:

*********************************************************************** *********************************************************************** ***************************************** HYPERLINK "http://en.wikipedia.org/wiki/File:Kartoffelchips-1.jpg" \o "A gaggle of potato chips" INCLUDEPICTURE "Potato%20chip%20-%20Wikipedia,%20the%20free %20encyclopedia_files/250px-Kartoffelchips-1.jpg" \* MERGEFORMAT

In potato chips the foreman holds a significant position. He has the responsibilities for directing an important unit of the productive activities of the company. Foreman is part of management; he can speak and act in the name of company. The potato chips foreman has Effectively Communicating with Owners, With Workers,With Office Personnel. He has a good Listening Skills ,Dealing With Difficult People, Avoiding Harassment Charges ,Coordinating With Other Trades, Working With Inspectors and Hiring & Firing Foreman has some major responsibilities like communicate with employees. Potato chips foreman communicate with their employees and tells them how to make and control the work. The foreman also manages the time of productivity and gives many benefits to their employees

Product design
Product design can be defined as the HYPERLINK "http://en.wikipedia.org/wiki/Idea" \o "Idea" idea generation, HYPERLINK "http://en.wikipedia.org/wiki/Concept" \o "Concept" concept development, HYPERLINK "http://en.wikipedia.org/wiki/Test_method" \o "Test method" testing and HYPERLINK "http://en.wikipedia.org/wiki/Manufacturing" \o "Manufacturing" manufacturing or implementation of a physical object or service. Product Designers conceptualize and evaluate ideas, making them tangible through products in a more systematic approach. The role of a product designer encompasses many characteristics of

*********************************************************************** *********************************************************************** ***************************************** the marketing manager, HYPERLINK "http://en.wikipedia.org/wiki/Product_management" \o "Product management" product manager, industrial designer and design engineer. The term is sometimes confused with HYPERLINK "http://en.wikipedia.org/wiki/Industrial_design" \o "Industrial design" industrial design, which defines the field of a broader spectrum of design activities, such as HYPERLINK "http://en.wikipedia.org/wiki/Service_design" \o "Service design" service design, HYPERLINK "http://en.wikipedia.org/wiki/Systems_design" \o "Systems design" systems design, HYPERLINK "http://en.wikipedia.org/wiki/Interaction_design" \o "Interaction design" interaction design as well as product design. The role of the product designer combines art, science and technology to create tangible three-dimensional goods. This evolving role has been facilitated by digital tools that allow designers to communicate, visualize and analyze ideas in a way that would have taken greater manpower in the past. Design, itself, is often difficult to define to non-designers because the meaning accepted by the design community is not one made of words. Instead, the definition is created as a result of acquiring a critical framework for the analysis and creation of artifacts. One of the many accepted (but intentionally unspecific) definitions of design originates from Carnegie Mellon's School of Design, "Design is the process of taking something from its existing state and moving it to a preferred state." This applies to new artifacts, whose existing state is undefined and previously created artifacts, whose state stands to be improved.s According to the ( HYPERLINK "http://en.wikipedia.org/wiki/Chartered_Society_of_Designers" \o "Chartered Society of Designers" Chartered Society of Designers) design is a force that delivers innovation that in turn has exploited creativity. Their design framework known as the Design Genetic Matrix (TM) determines a set of competences in 4 key genes that are identified to define the make up of designers and communicate to a wide audience what they do. Within these genes the designer demonstrates the core competences of a designer and specific competences determine the designer as an 'industrial designer'. This is normally within the context of delivering innovation in the form of a three dimensional product that is produced in quantity. However the definition also extends to products that have been produced using an industrial process Design is essentially an engineering function because it is closely related to manufacturing methods and cost. However, in product design the needs and desires of the consumer as determined by the market analysis are also important. The problem of design may arise in connection with the development of a new product. Annual products are usually intoduse at fairs at showes. In most industries continues improvement in the product is necessary if a manufecturer expects to assume or maintain leadership in the industry. *

*********************************************************************** *********************************************************************** *****************************************

Industrial design:

Industrial design is an HYPERLINK "http://en.wikipedia.org/wiki/Applied_art" \o "Applied art" applied art whereby the HYPERLINK "http://en.wikipedia.org/wiki/Aesthetics" \o "Aesthetics" aesthetics and HYPERLINK "http://en.wikipedia.org/wiki/Usability" \o "Usability" usability of mass-produced HYPERLINK "http://en.wikipedia.org/wiki/Product_(business)" \o "Product (business)" products may be improved for marketability and HYPERLINK "http://en.wikipedia.org/wiki/Manufacturing" \o "Manufacturing" production. The role of an Industrial Designer is to create and execute design solutions towards problems of form, usability, user ergonomics, engineering, marketing, brand development and sales.
HYPERLINK "http://en.wikipedia.org/wiki/Industrial_design" \l "cite_note-0#cite_note-0" \o "" [1]

The term "industrial design" is often attributed to the designer HYPERLINK "http://en.wikipedia.org/wiki/Joseph_Claude_Sinel" \o "Joseph Claude Sinel" Joseph Claude Sinel in 1919 (although he himself denied it in later interviews) but the discipline predates that by at least a decade. Its origins lay in the industrialization of consumer products. For instance the HYPERLINK "http://en.wikipedia.org/wiki/Deutscher_Werkbund" \o "Deutscher Werkbund" Deutscher Werkbund, founded in 1907 and a precursor to the HYPERLINK "http://en.wikipedia.org/wiki/Bauhaus" \o "Bauhaus" Bauhaus, was a state-sponsored effort to integrate traditional crafts and industrial mass-production techniques, to put Germany on a competitive footing General Industrial Designers are a cross between an engineer and an artist. They study both function and form, and the connection between product and the user. They do not design the gears or motors that make machines move, or the circuits that control the movement, but they can affect technical aspects through usability design and form relationships. And usually, they partner with engineers and marketers, to identify and fulfill needs, wants and expectations.

Why design is important:


Most authorities now agree that, in many industries, the importance of design has been grossly underestimated for many years. Good design not only makes products and services more attractive it makes them better at performing their task. As an example look at the redesign of the Sasco overhead projector on page 123. Three different areas were improved by this redesign. First, it looked better. OK, so an overhead projector is not the ultimate style icon, but nevertheless it did look better than the old version. Second, it was easier to use. The various features highlighted in the picture are all concerned with ease of use. Also the text relates how Sasco used focus groups to test out

*********************************************************************** *********************************************************************** ***************************************** the products usability. Third, it was easier to make than the old product. The manufactured cost of the product was less than its predecessor. These are the three dimensions, on which design can be judged, aesthetics does it look better? usability is it easier to use? sProduce ability is it easier or cheaper to make?

Not all design concepts succeed:


Not all concepts, no matter how ingenious, prove successful in the market place. What may seem to be an innovative sure-fire hit on paper can, with hindsight, fail to take account of customers real needs? Take, for example, the Lawn Ranger, a robotic grass-moving machine devised by an American company. The product concept was an automatic grass-cutting machine which would need only to be shown the perimeter of an area to be cut and then could be left to complete the task while its owner relaxed. All it needed was an initial human-guided trip around the outside the lawn. It would then continue to cut round, working its way inwards until it finished the task. The basic technology was indeed ingenious. It included a sensor which would detect the difference between cut and the longer uncut grass as well as sensing potential obstacles in its path. This intriguing concept failed to take account of one important factor, however. People apparently like mowing their grass. It would appear that many people who would have been potential customers for this product prefer to cut the grass themselves because they find it therapeutic.

The stages of design:


These stages are, Concept generation Screening Preliminary design Evaluation and improvement Prototyping and final design.

It is worth remembering however that not every product and service moves smoothly between these stages. In practice, the stages could be defined in different ways and the sequence may vary. Most importantly, there will almost certainly be recycling between the stages. So, for example, after the evaluation and improvement stage, it may

*********************************************************************** *********************************************************************** ***************************************** be that the design must go right back to reconsider the original concept. In fact, at any stage the design could be recycled back to a previous stage. However, do not dismiss these stages of design. Each of them, or something like them, will generally occur during the design activity. It is important to understand exactly what the product or service concept is. It is important to screen the various alternative design concepts using a broad evaluation technique such as the feasibility, acceptability, vulnerability model shown in Table 5.1. Specifying the components in the package using the product structures and bill of materials shown in the chapter is also important. Improvement using techniques such as quality function deployment, value engineering and Taguchi methods must be understood. Finally, the impact of computer-aided design and virtual prototyping, etc. has transformed design in some industries.

The network perspective:


All businesses are both customers for some other businesses products and services and suppliers of products and services to their own customers (often businesses themselves). It would be extremely limited therefore to think about an operation in isolation. All operations are part of an interconnected network of, not only their own customers and suppliers, but their customers customers and suppliers suppliers. This chapter identifies some of the broad ideas within the concept of an operations network at a strategic level. In fact a whole chapter (Chapter 13) later in the book deals with the more day-to-day aspects of how supply networks (or more specifically, supply chains) work. The figure below illustrates what we mean by a supply network. Although a simplified diagram, it distinguishes between the immediate supply network, which is the collection of suppliers, and customers with which the operation deals directly, and the total supply network, which includes customers customers and suppliers suppliers. In fact, no doubt second tier suppliers have third tier suppliers who are supplied by fourth tier suppliers and so on. Similarly, there may well be further tiers of customers

INCLUDEPICTURE "http://wps.pearsoned.co.uk/wps/media/objects/1118/1144898/study_guide/6.2.gif" \* MERGEFORMATINET

*********************************************************************** *********************************************************************** ***************************************** The advantages of thinking about how operations fit into the total supply network are long term and strategic. They are, It helps a company to understand how it can compete. It helps to identify the particularly significant relationships in the network. It helps a company to focus on long-term issues.

Process of design:
Although the process of design may be considered 'creative', many analytical processes also take place. In fact, many industrial designers often use various design methodologies in their creative process. Some of the processes that are commonly used are user research, sketching, comparative product research, model making, prototyping and testing. These processes can be chronological, or as best defined by the designers and/or other team members. Industrial Designers often utilize 3D software, HYPERLINK "http://en.wikipedia.org/wiki/Computer-aided_industrial_design" \o "Computer-aided industrial design" Computer-aided industrial design and CAD programs to move from concept to production. Product characteristics specified by the industrial designer may include the overall form of the object, the location of details with respect to one another, HYPERLINK "http://en.wikipedia.org/wiki/Colors" \o "Colors" colors, HYPERLINK "http://en.wikipedia.org/wiki/Textures" \o "Textures" texture, HYPERLINK "http://en.wikipedia.org/wiki/Sounds" \o "Sounds" sounds, and aspects concerning the use of the product HYPERLINK "http://en.wikipedia.org/wiki/Ergonomics" \o "Ergonomics" ergonomics. Additionally the industrial designer may specify aspects concerning the production process, HYPERLINK

*********************************************************************** *********************************************************************** ***************************************** "http://en.wikipedia.org/wiki/Material_selection" \o "Material selection" choice of materials and the way the product is presented to the consumer at the point of sale. The use of industrial designers in a product development process may lead to added values by improved usability, lowered production costs and more appealing products. However, some classic industrial designs are considered as much HYPERLINK "http://en.wikipedia.org/wiki/Work_of_art" \o "Work of art" works of art as works of HYPERLINK "http://en.wikipedia.org/wiki/Engineering" \o "Engineering" engineering: the HYPERLINK "http://en.wikipedia.org/wiki/IPod" \o "IPod" iPod, the HYPERLINK "http://en.wikipedia.org/wiki/Jeep" \o "Jeep" Jeep, the HYPERLINK "http://en.wikipedia.org/wiki/Fender_Stratocaster" \o "Fender Stratocaster" Fender Stratocaster, the HYPERLINK "http://en.wikipedia.org/wiki/Coke_bottle" \o "Coke bottle" Coke bottle, and the HYPERLINK "http://en.wikipedia.org/wiki/VW_Beetle" \o "VW Beetle" VW Beetle are frequently-cited examples. Industrial design also has a focus on technical concepts, products and processes. In addition to considering HYPERLINK "http://en.wikipedia.org/wiki/Aesthetics" \o "Aesthetics" aesthetics, HYPERLINK "http://en.wikipedia.org/wiki/Usability" \o "Usability" usability, and HYPERLINK "http://en.wikipedia.org/wiki/Ergonomics" \o "Ergonomics" ergonomics, it can also encompass the engineering of objects, usefulness as well as usability, market placement, and other concerns such as seduction, psychology, desire, and the emotional attachment of the user to the object. These HYPERLINK "http://en.wikipedia.org/wiki/Architectural_design_values" \o "Architectural design values" values and accompanying aspects on which industrial design is based can vary, both between different schools of thought and among practicing designers. HYPERLINK "http://en.wikipedia.org/wiki/Product_design" \o "Product design" Product design and industrial design can overlap into the fields of HYPERLINK "http://en.wikipedia.org/wiki/User_interface_design" \o "User interface design" user interface design, HYPERLINK "http://en.wikipedia.org/wiki/Information_design" \o "Information design" information design and HYPERLINK "http://en.wikipedia.org/wiki/Interaction_design" \o "Interaction design" interaction design. Various schools of industrial design and/or product design may specialize in one of these aspects, ranging from pure art colleges (product styling) to mixed programs of engineering and design, to related disciplines like exhibit design and interior design, to schools where aesthetic design is almost completely subordinated to concerns of function and ergonomics of use. Also used to describe a technically competent product designer or industrial designer is the term Industrial Design Engineer. The Cyclone vacuum cleaner inventor HYPERLINK "http://en.wikipedia.org/wiki/James_Dyson" \o "James Dyson" James Dyson for example could be considered to be in this category. After identification of a priority market and generation of a set of initial ideas, the next task is to design the product. Consider design as the designation of the key benefits the

*********************************************************************** *********************************************************************** ***************************************** product is to provide, the psychological positioning of these benefits versus competitive products, and the fulfillment of the product promises by physical features. The design process can be viewed as being made up of a managerial and consumer component. The managerial subprocess represents a categorization of the types of managerial decisions made in new product development. The consumer response subprocess represents a categorization of the steps' analysts proceed through as they study the market to help managers design new products.

We can understand the process by the help of diagram: INCLUDEPICTURE "An%20Overview%20of%20the%20Design %20Process_files/design_process.gif" \* MERGEFORMAT Manufacture - Can the product be made with our facilities? Sales - Are we producing a product that the customer wants? Purchasing - Are the parts specified in stock, or do why have to order them? Cost - Is the design going to cost too much to make? Transport - Is the product the right size for the method of transporting? Disposal - How will the product be disposed at the end of its life?

Design Brief:
The design brief is typically a statement of intent. I.e. "We will design and make a Formula One racing car". Although it states the problem, it isn't enough information with which to start designing.

Product Design Specification (PDS):

*********************************************************************** *********************************************************************** ***************************************** This is possibly the most important stage of the design process and yet one of the least understood stage. It is important that before you produce a 'solution' there is a true understanding of the actual problem. The PDS is a document listing the problem in detail. It is important to work with the customer and analyse the marketplace to produce a list of requirements necessary to produce a successful product. The designer should constantly refer back to this document to ensure designs are appropriate. To produce the PDS it is likely that you will have to research the problem and analyze competing products and all important points and discoveries should be included in your PDS.

Concept Design:
Using the PDS as the basis, the designer attempts to produce an outline of a solution. A conceptual design is a usually an outline of key components and their arrangement with the details of the design left for a later stage. For example, a concept design for a car might consist of a sketch showing a car with four wheels and the engine mounted at the front of the car. The exact details of the components such as the diameter of the wheels or the size of the engine are determined at the detail design stage. However, the degree of detail generated at the conceptual design stage will vary depending on the product being designed. It is important when designing a product that you not only consider the product design specification but you also consider the activities downstream of the design stage. Downstream activities typically are manufacture, sales, transportation etc. By considering these stages early, you can eliminate problems that may occur at these stages. This stage of the design involves drawing up a number of different viable concept designs which satisfy the requirements of the product outlined in the PDS and then evaluating them to decide on the most suitable to develop further. Hence, concept design can be seen as a two-stage process of concept generation and concept evaluation

Concept generation:
Typically, designers capture their ideas by sketching them on paper. Annotation helps identify key points so that their ideas can be communicated with other members of the company. *

*********************************************************************** *********************************************************************** ***************************************** There are a number of techniques available to the designer to aid the development of new concepts. One of the most popular is brainstorming. This technique involves generating ideas, typically in small groups, by saying any idea that comes into your head no matter how silly it may seem. This usually sparks ideas from other team members. By the end of a brainstorming session there will be a list of ideas, most useless, but some may have the potential to be developed into a concept. Brainstorming works better if the members of the team have different areas of expertise.

Concept evaluation:
Once a suitable number of concepts have been generated, it is necessary to choose the design most suitable for to fulfil the requirements set out in the PDS. The product design specification should be used as the basis of any decision being made. Ideally a multifunction design team should perform this task so that each concept can be evaluated from a number of angles or perspectives. The chosen concept will be developed in detail. One useful technique for evaluating concepts to decide on which one is the best is to use a technique called 'matrix evaluation' With matrix evaluation a table is produced listing important the features required from a product - usually this list is drawn up from the important features described in the product design specification. The products are listed across the table. The first concept is the benchmark concept. The quality of the other concepts are compared against the benchmark concept for the required features, to help identify if the concept is better, worse than, or is the same as the benchmark concept. The design with the most 'better than' is likely to be the best concept to develop further. Most people who use the matrix technique will assign points, rather than simple, better, worse, same, so that it is easier to identify which concepts are the best. It is also likely that some features of the design will be more important than others so a weighting is used.

Detail design: In this stage of the design process, the chosen concept design is designed in detailed with all the dimensions and specifications necessary to make the design specified on a detailed drawing of the design.

*********************************************************************** *********************************************************************** ***************************************** It may be necessary to produce prototypes to test ideas at this stage. The designer should also work closely with manufacture to ensure that the product can be made.

KEY POINTS OF THE DESIGN PROCESS


A new product is both a physical product and a psychological positioning. The design process is interactive. Both prediction and understanding are necessary. The level of analysis should be appropriate to the strategic decision. The design process blends managerial judgment with qualitative and quantitative techniques.

Skills needed for development of a product design:


Product designers are equipped with the skills needed to bring products from conception to market. They should have the ability to manage design projects, and subcontract areas to other sectors of the design industry. HYPERLINK "http://en.wikipedia.org/wiki/Aesthetics" \o "Aesthetics" Aesthetics is considered important in Product Design but designers also deal with important aspects including HYPERLINK "http://en.wikipedia.org/wiki/Technology" \o "Technology" technology, HYPERLINK "http://en.wikipedia.org/wiki/Ergonomics" \o "Ergonomics" ergonomics, HYPERLINK "http://en.wikipedia.org/wiki/Usability" \o "Usability" usability, HYPERLINK "http://en.wikipedia.org/wiki/Stress_analysis" \o "Stress analysis" stress analysis and HYPERLINK "http://en.wikipedia.org/wiki/Materials_engineering" \o "Materials engineering" materials engineering. As with most of the design fields the idea for the design of a product arises from a need and has a use. It follows a certain method and can sometimes be attributed to more complex factors such as association and HYPERLINK "http://en.wikipedia.org/wiki/Telesis" \o "Telesis" Telesis. Also used to describe a technically competent product designer or industrial designer is the term Industrial Design Engineer.

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FACTORS THAT INFLUENCE PRODUCT DEVELOPMENT

Product Analysis is the process of identifying, looking at or disassembling a product and identifying its main features. The aim is to understand more about a product and improve it in the future. Many factors influence the development of a product, some are listed below:

INCLUDEPICTURE "http://www.technologystudent.com/images5/prodes1.gif" \* MERGEFORMATINET

Service expected:
Some products will be used in places where they can be repaired easily, while other products will be used under conditions that make repairs difficult or costly. Some products are intended to last for a lifetime. While others last for a short time. some products are used under circumstances that require quick visual observations and interpretation.

Weight of the product:


In many industries, manufacturers have been giving increased attention to the weight of the product. For some products, the advantage of lighter weight is largely a matter of convenience to the customer.

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Appearance:
Color is important in relation to appearance. In high-style merchandise, changes are sometimes rapid.

Consumer ideas:
Consumer ideas as to quality, style, color, and cost should be considered by the designer, for consumer ideas may be very different from those of the manufacturer.

COST:
The cost of the materials and labor required to manufacture the product. The price potential customers are prepared to pay for the product.

ERGONOMICS:
The product may be designed for human use. As a result ergonomics (sizes etc...) will pay a major role

MATERIALS:
The availability of materials and the development of new, hi-technology materials will have an influence on the final design of a product.

CUSTOMER REQUIREMENTS:
The customer will have great influence over the way a product is designed and develops. As a product is designed it is normal for potential customers to be questioned about the type of product or design that they prefer. For example, when designing a mobile phone a design team will show potential customers several designs and make changes according to their likes and dislikes.

COMPANY IDENTITY :
The product may have to display the company image. Most companies are proud of their public image. This may determine the colour scheme applied to the product, the way it looks or even the materials that are used in its manufacture (i.e. recycled materials).

AESTHETICS :
The shape and form of the product may determine the layout of circuits or mechanisms etc.. inside it. Products are often designed to look stylish. The style applied to the outside of a product can quite easily influence the technology inside it. Aesthetics can also alter the production / manufacturing techniques through which it is made.

FASHION:
The fashion of the time influences the design of products. Usually people want to buy up to date items not ones based on 'last years look'.

CULTURE:
*

*********************************************************************** *********************************************************************** ***************************************** Some products are aimed at different cultures and countries. A product acceptable in one culture may be looked up one as offensive or less desirable in another. The use of colours and colour schemes are a good example of this.

FUNCTIONS:
The number of functions a product has to perform will inevitably affect its design. Exactly what is the product going to do?

ENVIRONMENT:
Many people (potential customers) are concerned about their environment and the damage to it caused by industrial production. When designing a product it may be wise to ensure that the materials can be recycled or the product itself can be manufactured from a large proportion of recycled material.

Development of design
The principal problems in relation to the development of design pertain to the inclusiveness of the design, the person or departments that are made responsible for design, and the timing of the work. The first such problem relates to specification, tolerance and limits.

Specification:
By specification is meant the standard of quality for a part or for a finished goods. Standards of quality may be set for dimensions. These specification should be established as a part of the work of design. They determine the nature of the manufacturing processes, and they are enforced through inspection. If the product is made in small quantities , specifications are not important but if it is in huge quantities, however the separate fitting of each part is not feasible. Although the specifications prescribes the size, a part may actually be larger or smaller than the prescribe dimension. *

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Design a staff function:


In a large enterprise design is a specialized and technical engineering service performed by a staff department. The appeal is based upon price, quality, color, service and other features previously mentioned. In most manufacturing enterprises, product design is a department of the manufacturing division. In such an organization the design engineer reports to the director of the manufacturer. S The fact that design is a staff function means that the design engineer is not in a position to make changes in the product or to the direct the production of a new model. Decisions of this kind are made after recommendations by the design engineer and approval by the line officers possible by the head of the major division.

Importance of timing:
In planning for the development of a new design, management should allow also for the time required to devise and install the tools, machines, and equipment which will be necessary for production. If the sales of the product are related to a seasonal demand, the importance of timing is increased. The slow development of designs in such cases may cause the manufacturer to miss the market. Poor timing may be caused by the necessity for consulting various persons.

Example of potato chips:

*********************************************************************** *********************************************************************** ***************************************** The design of the potato chips is according to the customers requirement. Different brands introduce chips in different flavors and in different shape. Specialized person design the chips and the most important thing is to maintain the time. Potato chips will be used in places where they can be repaired easily. Consumer ideas as to quality, style, color, and cost should be considered by the designer, for consumer ideas may be very different from those of the manufacturer. The price potential customers are prepared to pay for the product. The design of the potato chips is unique and different thats why customer demands the chips.

AYMA TARIQ 617 TOPIC:


*

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SIMPLIFIFATION STANDARDIZATION

IMPLIFICATION AND STANDARDIZATION OF THE PRODUCT Simplification and standardization of the product are two different but closely related practices. DEFINITIONS SIMPLIFICATION Simplification is the reduction of the number of sizes,colors,or other variations of the product. STANDARDIZATION Standardization is the establishment of uniform sizes, dimensions, or other properties and is technical in nature rather than commercial.

EXPLAINATION Simplification may precede or follow standardization, or the two programs may be accomplished simultaneously. In other words the unprofitable lines of the product may be eliminated by a program of simplification; and standards may be established for the lines that are to be continued. Or the various sizes and styles may be standardized, and the reduction in product line may be accomplished later. However; attention to either problem usually shows the need for the other and the two programs are preferably conducted at the same time. Simplification may be the work of one company or of all the companies in an industry. Standardization is usually a co-operative activity embracing an entire industry. THE NEED FOR SIMPLIFICATION AND STANDERDIZATION A program of simplification and standardization is usually initiated because the product line has become overextended through the development of an excessive number of unrelated products or the production of too many colors, size, or other varieties. *

*********************************************************************** *********************************************************************** ***************************************** This situation may arise because management did not give sufficient attention to the product line when new varieties were added or because conditions have changed since the varieties were first placed upon the market. DEVELOPMENT OF THE PRODUCT LINE The expansion of the product line proceeds from two directions. The first is the addition of new products as a result of research or the creative ideas of persons in the management, or as a result of the acquisition of new plants or mergers with research division may have found a way to utilize waste and scrap, or it may have discovered new manufacturing methods, new kinds of raw materials, or new applications of scientific knowledge. Expansion through the development and design of new products may be planned for the purpose of providing financial stability through the seasonal dovetailing of demand. The expansion or merger may enable the company to reach markets in new territorial, sales, finance, or general management. The addition of a new product or a new variety usually requires the approval of a committee of top management, such as an executive or a policy committee. Officers of the company most likely to question the addition of a new product are the vise-product. BENIFITS OF STANDARDIZATION For all Optimized solution to repetitive technical problems Protect safety, health and property from hazards due to fire, explosion, chemicals, radiation, electricity Ensures interchangeability and interoperability Basis for procurement and assessment of quality Improvement guidance to organizations (Quality management systems, Environmental management systems) Common terminology facilitating communication Contribution to sustainability safer, healthier, more environmentally sound products and services products with improved quality and reliability compatibility within and between products greater consistency in the delivery of services

For consumers ...

*********************************************************************** *********************************************************************** ***************************************** improved choice and access to goods and services lower costs better product or service information Source of up-to-date technical information establishment of national standards as possible basis of regulations selection of technologies and equipment adapting products for export competitiveness of producers safeguarding national interests for imports retaining access to export markets Strategic significance Savings made through early application of standards in anticipation of adoption in regulations Support of economic integration of region Greater choice of markets and suppliers Opportunities for cooperation Early (insider) knowledge arising from participation gives a competitive edge Direct involvement equates to opportunity to influence content Gained through international adoption of (already known) national standards Heterogeneous mix of committee participants provides a good forum for trends identification 1/3 of businesses use national standards in support of international trade Trading costs reduced Contractual agreements simplified Technical barriers to trade reduced Global development contributes to reducing fragmentation of markets Significantly lower transaction costs (information gathering, negotiating, market positioning, etc.)

For developing countries ...

For industry

Competitive advantage

Global markets

Cost reduction

*********************************************************************** *********************************************************************** ***************************************** Create global markets with the fewest differences in requirements from nation to nation Production costs reduced (more through company standards than industry-wide) Improved interdepartmental communication very valuablE. Effect of standards higher on supplier than client Dependence on single supplier reduced Increased competition amongst suppliers Increased confidence in quality of suppliers providing products and services associated with standards Coding of knowledge through standards provides an environment that facilitates cooperation, particularly at the same position in the value chain Private (e.g. consortia), standards have potential for greatest support of cooperation Networking opportunities, supports dissemination of ideas Insights obtained can lead to less risk of investing in inappropriate technology Sharing of research through standards development beneficial to costs and speed of development Threat to innovation more perceived than actual risk More new standards are published in innovative sectors than elsewhere Indicators are that standards are keeping abreast of change New procedures and document types (PAS and IWA) have been developed to enhance responsiveness of standardization system Contribute to safety, particularly when used in association with regulations Standards considered to reflect state-of-the-art, so use viewed as a means to demonstrate due-care and assist in liability management Inclusion in standards increases awareness of importance of safety Product safety priority issue with consumers.

Supplier-client relationships & strategic alliances

Research and development & innovation

Product safety & liability

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'Simplification of product'
Simplification may be effected be a single company acting on its own initiative by all of the companies in an industry through the offices of the trade association or through the co-peration of a government agency.Any manufacturer may simplify his product line by discontinuing the production and sale of any items that are found not to be profitable.However in many lines of production a company that undertakes to eliminate the slow selling varieties may find that it loses sales on other products aswell.A retailer or a wholesaler is not likely to purchase the product in its popular sizes,grades or colors form one manufacturer and the unusual varietys from another.Consequently compettition may compel a manufacturer to make and sell a wide variety of prducts unless the simplification movement is broad enough to include most of the industry.

HYPERLINK "http://www.mainframe-exec.com/articles/? p=121"Simplifying Master Data Management

Deployments
Compared to the myriad of integrated systems most companies are managing today, Master Data Management (MDM) solutions are much simpler to manage and maintain, and provide companies with more business benefits. Unfortunately, MDM technology is developing a reputation for being complicated and time-intensive to implement. The reality is that the process can be dramatically simplified if companies plan before they implement. To streamline the implementation process, companies need to make several decisions about data, business processes and technologies, before an MDM project begins. First, they need to make critical decisions about what data to master and why. Next, they need to address other typical business process issues, common to any IT program. These include building out the business case; getting buy-in and budget approval; figuring out the business process, strategy, enterprise architecture, rules, policies and procedures; and dealing with change management. Finally, they need to make technology decisions, including selecting the best technology to match data and business goals and ensuring the choice is simple, predictable, low-risk, and can be implemented in months, not years. What Do You Master and What Does It Mean? The first step for a company considering MDM is to understand the benefits of an MDM solution and how it differs from the way things are done today. MDM solutions generate and maintain an enterprisewide system of record that contains the consistent, reliable information necessary to perform vital business functions across a large organization. MDM deployments result in a massive simplification of the widely distributed, uncoordinated data management solutions most companies struggle with. The benefits of MDM include enhanced revenue and profit, improved customer service, lowered operational costs, easier compliance, managed risk, and better strategic decision-making *

*********************************************************************** *********************************************************************** ***************************************** and business agility. Once a company determines it needs MDM, how does it decide what to master? The most basic advice is to first pick the data that will deliver the biggest bang for the buck. The best way for an organization to decide which data to choose is to identify the largest areas of pain. Decision-makers should take a look at areas where: Costs and data defects are out of control Customer satisfaction is trending downward Inconsistent pricing exists across channels Market share is shrinking Customers are complaining about marketing Regulatory requirements are creating a stranglehold Reporting to Wall Street is painful There are significant untapped opportunities that could be capitalized on. A company should choose the area that will deliver the greatest measurable return and tackle that first. The process of determining the first project will most likely make it clear what the other top-five or 10 projects might be. After a company decides which data to master, its important that it understand whats entailed in the process. An MDM solution puts the myriad data sources into a single, complete database to create a central, single version of the truth for that data domain. Once data is centralized, duplicate records will be resolved, relationships between data will be detected and declared, and data will be made available to the applications, people, and processes that need it. Different business uses and security restrictions require that not everyone has the same access rights or ability to view data, so MDM technologies need to be able to control access, enforce security policies, and provide logging and reporting on details. MDM implementations can be onerous and complex if the team doesnt focus on simplifying each step and its overall approach to the MDM project. Following are specific business and technology guidelines that will help simplify MDM deployments. Five Key Lessons The following five key lessons could help ease the pain and streamline MDM business requirements: Look for simple solutions to business problems. Trust your instincts. If the proposal sounds like it will require years to design, implement and integrate, youre probably right. To simplify, manage scope. Dont try to master all data in one project; pick the one type of data that delivers the biggest bang for the buck and fix that first. Get value quickly. As always, time is the enemy of business, so rapid implementation times do matter. If you cant get a system into production in six to eight months, its taking too long. *

*********************************************************************** *********************************************************************** ***************************************** Save money through automation. The more MDM technology does to find and maintain data relationships and automatically resolve data quality issues, the fewer people required to maintain data accuracy and the more money the company saves. For example, today it isnt uncommon for companies to have multiple copies of data quality software to manage multiple systems. When the data quality function is housed in the MDM solution, it needs to be mastered only once, so a company saves money by not having to manage data quality in multiple places, normalize business rules across software from multiple vendors, or purchase multiple copies of data quality software to maintain different systems. Make search capabilities a priority. Robust, sophisticated master data search capabilities make it much easier for point-of-service employees to locate accurate files. Built-in search capabilities enable MDM solutions to decrease the number of duplicate records created and ultimately lower downstream data stewardship and data quality costs. Try not to over-invest in technology. While its important to find an MDM solution thats agile enough to meet your current and anticipated business needs, avoid the temptation to buy a solution for a problem you dont have. By managing scope and avoiding complexity, you should be able to clearly define your technology requirements and avoid spending more than necessary. From a Technology Perspective If you want to simplify MDM, break the MDM project into segments and deploy each individually. Technology should help make the implementation process easier, not add to its complexity. Here are five technical guidelines that will help most businesses further simplify their MDM program: Buy what you can, build what you must. Many companies significantly underestimate the difficulty in writing their own matching engine, or they try to manage reference data with a simple list of valid values. With matching engines, you can quickly get into a brittle deterministic rule set thats unmanageable, inflexible and non-extensible, and which performs poorly. Is it a core competency of your company to build a proprietary MDM hub? Probably not. When you can, buy one; it will cost you less in time and money. Remember, building the rules for an MDM system is only one part of the project; you also have to maintain and change the rules as your data set grows, you bring on numerous systems, or you need to manage conflicting rules from different constituents. Insist on architectural flexibility and adaptability. Technology is only as good as its ability to adapt, so its important that an MDM solution has architectural flexibility and a roadmap of deployment styles. Ensure your MDM solution can automatically adapt to your data as it changes. A flexible MDM offering will let you easily add sources without modifying rules and will maintain high accuracy and performance levels as you add more *

*********************************************************************** *********************************************************************** ***************************************** data. Keep these principles in mind: - Start with a registry approach. A registry approach to MDM matches and links data from disparate systems to provide a single customer view without requiring organizations to build a centralized data repository. Registry-style MDM solutions are often easier to deploy and generally deliver the fastest returns. If your MDM technology requires months and months of setup before you see a return, chances are youve bitten off too much. - Leverage data federation. Federation creates a single version of the truth for data by resolving heterogeneous instances into a single, trusted view. MDM solutions with builtin data federation reduce the complexity of deploying federated solutions. - Consider the possibility of data exchanges. The future of MDM for many organizations will include connecting and sharing data across multiple organizations and agencies. With exchanges, every organization doesnt have access to every piece of data. Whats required is the ability to securely share critical data across organizations, so its important to select an MDM solution designed to easily support sharing and accessing data, while protecting privacy. Demand accuracy even while scaling. Its critical to choose an MDM solution thats able to maintain accuracy while performing and scaling, no matter how much data youre managing. Performance and scalability matter even for smaller data sets, but as the amount of data grows, performance and scalability demands will increase and so can hardware procurement and management costs. Its important to understand your exposure and ensure that accuracy wont be compromised. Dont reinvent the wheel. You dont have to spend a lot of time and energy redesigning something that has been done well by someone else. Resist the temptation to spend countless person months designing the perfect data model in-house. Instead, choose an MDM vendor that has lots of experience developing and perfecting these models so you dont have to. Find a partner that has range. MDM technologies are relatively new, so be sure the MDM partner you choose has experience solving a wide range of data problems and wont have to re-engineer your systems. Be skeptical of vendors that want to start at a departmental level, but promise to grow to an enterprise level, as often these technologies cant easily scale. Conclusion MDM can provide many business benefits and it doesnt have to be difficult to deploy. The key is to approach the project in pieces and plan before you implement. Once youve considered all your organizations data, business and technology questions, and have made the critical decisions, the MDM implementation will be much simpler. A company that takes this approach, and starts today, should see results in six to eight months. *

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A program of Standardization
Although standardization may be the work of one company,the program is usually developed by most of the companies in an industry with the assistance of the national bureau of standards.The standards that may be developed can be classified into two major cattegories Industrial standards Commercial standards

Industrial Standards Which are of primary concern for consumers who will purchase and use the product. An engineering or indusrial standard is a precise description or definition of a product, a part, a raw material, or a manufacturing process which has been established by one company or by a group of companies in an industry.Some standards are national in scope, and some are international.The standards are established by agreement and are made effective by voluntary compliance. Several types of industrial standards hace been adopted.One type includes the nomenclature or the technical terms that are used in specifications contracts, catalogues or literature.The nomenclature extends to abbreviations, letter symbols for chemical composition,graphic symbols, and pictographs used in drawings or diagrams.The standardization of nomenclature permits a buyer and a seller to execute a concise contract of purchase and sale with a minimum of misunderstanding and confusion. Another type of standard pertains to the dimensions that are necessary to secure the interchangability of parts and supplies and the proper functioning of the product.The agreement as to dimensions and sizes may also make provisions for the concentration of production upon an optimum number of types, sizes,colors,or grades of products.The other than those for which standards have been established. Standards may also designate the properties or qualities of bulk materials and supplies in order that the purchaser may be assured of the grade of product he desires. Other industrial standards provide for the rating of machinery and equipment on the basis of performance, durability, variances in the product turned out by machine, power consumption, horsepower or other such quality. Safety satandard provide for the safety of workers in the use of machines and equipment.These standard would include guards for grinding wheels, gears, belts and other mobing parts, warning signals by means of lights o other devices,color schemes for safety purposes, protection against gases and fumes,etc

Commercial standards
A standard of commerce, which is sometimes called a"consumer standard"is designed to protect the purchaser or ultimate consumer as well as the manufacturer.It is a measure of the quality,performance, dimensional charachteristics or other properties of a product destined for personal use by consumers.It covers terminology grades ,sizes and use charachteristics of manufacuture products.

Standardization versus Customization Most off-the-shelf Enterprise Resource Planning (ERP) packages do not meet the precise needs of most manufacturing operations. Generic ERP software often lacks key *

*********************************************************************** *********************************************************************** ***************************************** components needed in many manufacturing operations, such as the ability to gracefully handle several different approved manufacturer's lists (AML), or to seamlessly exchange documents with B2B (business-to-business) trading partners. Although companies the size of General Electric and Ford can afford to fully integrate all their operations across a common platform, smaller companies would be priced out of the market if software was only offered as a "one size fits all" and could not be customized. Manufacturing managers naturally prefer a system similar to a well-tailored suit, or a brand-new, factory-ordered car with all the requisite whistles and bells. Their counterparts in the information technology world, however, dread the word "customization" and all the development costs, testing, and upgrade difficulties that come with it. Changes are required sometimes, but they should be avoided unless they are critical to business. Why customize? Even with a myriad of software choices in the marketplace, most applications are sold in one flavor vanilla. Software companies cannot afford to develop packages for every industry. The time needed to develop programs that accommodated all the idiosyncrasies of a specific industry would, again, price smaller companies out of the market. There is some vertical integration in which programs designed for a few industries are offered by a single software supplier. WebPLAN Inc., for example, offers planning and scheduling tools for e-supply chains which are tailored to the aerospace, industrial equipment, and electronics manufacturing industries, to name a few. And Oracle has specific offerings aimed at consumer products, energy, and telecommunication sectors. Still, industry-specific offerings are rare. In most cases, companies turning out teddy bears or computer games will use the same ERP software as companies building hundreds of different electronics assemblies for dozens of different companies. The two types of businesses are quite different, yet their software packages are exactly the same. This is where customization comes in. "ERP software can remain generic or vanilla, but it is rare," says Ray Schnulle, a technical manager for Oracle Corp. "Generally, only startups and distribution businesses can use ERP software without customization. But I have not been on an implementation in the last five years that did not have some customization, although most involved only changing the reports." That's not unusual since the most common customization to ERP software concerns reports. Changing the report format, adding a column, or calculating additional fields of information, is quite common and usually the first modification made. But reports can tax system and human resources if they need too much information that is buried deep in the underlying database. Many midsize and larger companies have data warehouses on a different server, and data may be "refreshed," or renewed every so often, perhaps once per week. This takes the reporting load off the main system. Data-mining tools, which are basically ad hoc query tools, let users generate an endless variety of "what if" reports to suit their needs. Specific reports that are large enough or used often enough can be "tuned" by Information Technology personnel to run faster and use fewer resources. *

*********************************************************************** *********************************************************************** ***************************************** Some complex customizations are business requirements. Adding additional data fields to a database and developing a custom report to extract that data is probably the most innocuous form of customization. Specialized processes, or reports, can be set to run " behind the scenes" automatically to update certain pieces of the software or underlying database information. Triggers, which start a custom process whenever a user enters data or accesses a specific form, are a higher-level of customization. Customizing a "form" or what the user sees, generally requires much more technical skills. Changing a program's underlying applications code, while possible, should be avoided. Even if the source code is available from the software vendor and an IT person with enough technical prowess can be found, customizing at this level is generally costly and time consuming.

Pitfalls of customizing The complexity and expense of customizations is naturally a downfall, according to Schnulle. "Many customizations do not provide any cost benefits. They are basic requirements for doing business in certain industries." Rewriting or changing software calls for a software developer or programmer, a scarce resource at companies suffering critical shortages of skilled IT workers. And in today's employment marketplace, that can be just about any company. Another common problem with rewriting code in off-the-shelf software is that it could cause problems elsewhere. Screwing up a key software link in a program, for example, could fatally flaw data the company relies on to make timely and accurate decisions. Then there are the problems with patches and upgrades to fix bugs. Software suppliers regularly release patches, best described as "baby upgrades," to these large, complex ERP programs. And sometimes, the baby is pretty big. These patches, like the original software, are often written "for the masses." Companies have been known to haphazardly implement a patch only to discover it replaced customized code which took week and thousands of dollars to develop. Oops. Time to start over. Full product upgrades, such as Oracle's latest 11I release, require that all customizations done at an installation be retested, and if necessary, rewritten. Again, this can expensive and time consuming. Choosing an ERP package Firms often mistakenly implement new ERP applications believing that standardized software will standardize their business processes. The software might complement standardized practices, even help facilitate them, but it will not bring about standardization on its own. Once business practices and standard operations are understood, it is time to study the packages under consideration, and what custom features they will require, if any. Determine if one supplier's offerings are more closely suited to your business processes before investing hundreds of thousands, if not millions of dollars in new software.

*********************************************************************** *********************************************************************** ***************************************** Remember, software that will needs extensive modifications will be expensive to implement and difficult to maintain and upgrade. Each required modification should be decided upon ahead of the installation. Companies should estimate the impact each modification will have on the final price. According to Slavko Cvencek, president of Boulder, Colo.-based NBI Technical Services, "Each customization is based on the level of complexity and 'downwind' ramifications pertaining to the changes. It is quite difficult to standardize a cost/benefit policy for customizations, although ballpark figures are usually generated after initial investigation of the scope of the work to be performed."

Document After making a "go/no go" decision as to what ERP package to purchase and put in place, document the reasons and file them away. You can be sure the question as to why the project was canceled or why it went forward will be asked again. Code used for modifications should also be carefully documented as it is developed. If one programmer's work cannot be modified or understood by another, the company could be in trouble, especially if it finds itself at odds with the original programmer down the road. User manuals should be modified or created as the program is developed. Before customized software is put on the company's hardware for employee use, it should undergo extensive testing, in a test system if possible. It should be tested by the developer, system analysts from the IT department, people well-versed in the processes of the department requesting the modification, and, finally, the end users in that order. The change should be clearly announced within the company and released on schedule after all potential users have been trained. Nobody likes software "surprises." Change control, after making upgrades or enhancements, is another critical function. This is a "gotcha" for many organizations. There are many off-the-shelf systems designed to help companies handle revisions. At a minimum, a log of what was changed, by whom and why, should be archived along with copies of the premodification program code and the new code. This makes it possible to revert to previous "known-to-work" software-in case the new software doesn't work or there is a systems catastrophe. Managing the modifications Another challenging area for many companies is to smoothly manage the transition to ERP. Many firms get the software snarled up with needless changes because the people making them do not understand the firm's business practices or the approval process, if there is one. For example, if a single user, even an executive, believes a modification would help him or her do a job, the modification might be counterproductive for the rest of the company. A change request process should have a filter up front to catch these "bad" ideas.

*********************************************************************** *********************************************************************** ***************************************** Employees who want specific modifications should be prepared to cost-justify the expense. In the case of limited resources, these costs should include "opportunity costs," or the benefits the company will lose if resources assigned to customizing the software are unavailable for other projects. Cross-functional teams are especially useful in managing software customizations. The group should consist of IT technical resources, representatives of departments requesting changes, representatives from any other areas of the business that will be affected by the change, and appropriate management personnel. The team should first determine: Who is requesting the change? Why is it necessary? Who will benefit? Where could it cause problems? Who can make the change? How do we do it? And last, but not least, Is it really necessary? Systems users may withdraw their change request once they are aware of how their proposed change could hurt another area of the business, or they come to understand the complexity and expense of what they want. Then again, maybe they won't. The transition team therefore needs at least one executive-level decision maker to refuse unwarranted changes. Striking a balance between customized and standard ERP systems is a difficult proposition at best. With all the different interests at stake, it is virtually impossible to satisfy everyone. But, with careful consideration of the alternatives, a thorough understanding of the company's business processes, and concentrated effort at documenting, testing, and controlling the modifications, benefits can be realized by almost any organization. Customization can enhance the value of off-the-shelf software, letting the company add more value for their customers both internal and external.

KOLSON POTATO CHIPS


Our line of food is made with only natural ingredients and contains no preservatives. In accordance with stringent food safety and adulteration standards as prescribed by Food Safety and Standards Act and Prevention of Food Adulteration Act, our snacks provide taste with nutrition. The natural ingredients of our snacks are procured from our own farms and are processed in our sanitized and hygienic manufacturing facility making them snacks natural and healthy Requirements
Our product fullfill the following requirements It shall be free from pig products and their derivatives. It shuld be processed acccording to established standards The rawmaterial used must be according to the standards Potato used for making chips must be clean,mature and free from insect infections. It shall be free from the foreign substances. Free from undesirable flavour Free fatty acids shall not exceed from 1.5%

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Shall have uniform color ranging from yellow to light brown Defective units(external and frying defects) shall not exceed 6% by mass Sticks of more than 13mm in length shall not be less than 90% by mass and sticks of more than 19mm shall not be less than 80% by mass. Moisture content shall not exceed 3% by mass. Oil content shall not exceed 40% Edible salt percentage shall not exceed 3% on dry mass basis. In case flavours and flavour enhances are added it shall be healthy safe and shall not contain any material or artificial colouring matters not permitted.It shall not contain preservative.It shall comply with the relevant established standards.

Nutritions
Potato chips are often criticized as junk food high in the bad stuff like calories and fat, but low on the good things like vitamins. high in vitamins A. In standardization they finds best solutiom to the food production. They provide people with a wide variety of choices in chips which can be eaten straight from packet.These chips are ready under hygenic conditions.

Our chips are


Healthy Free of preservatives Uncontaminated Well packaged

Variation Sweet Potato Chips


Preheat oil in a deep-fat fryer or an electric frying pan to 177-190C (350-375F) Peel the potatoes. Slice the potatoes thin. (If a food processor is used, use a 1 mm or 2 mm slicing blade.) Sweet potatoes are not starchy like white-type potatoes, thus they do not have to be soaked in water to remove excess starch. Fry the potato slices, a few at a time, so they are not crowded, in the hot oil until they are golden to brown in color. It may be necessary to turn them while cooking. Allow the cooked potato chips to cool and drain on paper towels. (Note: Sweet

*********************************************************************** *********************************************************************** ***************************************** potato chips tend to crisp slowly while cooling. They will not be as crispy as potato chips from white potatoes.) Sprinkle lightly with popcorn salt to taste. Store in an air-tight container.

From idea to product


Our Process Development Centres are there to help you turn your concepts into fullyfledged commercial products, tested, evaluated and modified to perfection. Use our centres to fine tune new processing concepts, perform trials and test runs, and evaluate final results all with the help of our experienced technicians and under conditions of absolute secrecy.
Team of professionals is adept at manufacturing and supplying international quality food products All the members of the team have in depth knowledge about the processes and norms prevalent in the food processing industry and provide insightful inputs which enable us to provide safe and pure products to our clients all over the world.

METHODOLOGY At the heart of our corporate methodology is the certainty that every customer relationship is unique. While every process is customized for each customer, our methodology embodies a set of core principles. What ever you need, the consulting process starts with a thorough understanding of the customer's objectives. Requirements are defined, environmental interests considered, and deadlines and costs determined to ensure a clear understanding of the issues involved. Customer orders are headed on to the Art and Design and Research and Development (R&D) departments, which provide a complete design solution based on customer needs. Product realization requires interaction with one or more of the product business units. Inputs for the manufacturing process come from our mills. To sustain continuous and consistent progress in quality packaging, we continue to explore and develop usage of new fibres, films, chemicals, adhesives, coatings and resins. With well-equipped laboratories and research resources at our disposal, Packages is a happening place in the area of research. Our Research and Development. (R & D) department is committed to developing new products that service changing consumer needs, while evaluating and improving raw materials to reduce costs and increase efficiency. Laboratory simulation of papermaking operations, chemical testing and analysis, comprehensive testing of products and other research and development facilities ensure provision of quality custom-tailored solutions, no matter how diverse the customer requirements.
We make sure that there is timely deliveries

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Our product is cost effective We have and expert workforce We god excellent infrastructure We provide healthy and tasty food

AISHA YASEEN 645 TOPIC: QUALITY CONTROL AND INSPECTION

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Quality control and inspection

A process that evaluates output relative to a standard and takes corrective action when output doesnt meet standards. OR 'Quality is consistent conformance to customers expectations.' The important things to remember about this definition is:

Operations have to ensure that they are able to manufacturer the product or deliver the service to a specification. They have to do this time after time, i.e. consistently, and in order to do this we need to have some means of controlling quality (see later). And, that specification should meet customers expectations, (see quality characteristics later), if it does not customers will likely be dissatisfied. Although the operation may consistently create the product or service to that specification, the customers perceptions of its quality may be good or bad. So we also need to try to understand how customers will perceive the products and services. In some situations customers may not be able to evaluate the technical quality of a product or service and may judge it on the way they were treated. Quality must therefore cover both the technical and treatment aspects.

The quality control capability is used to ensure a continuous quality of the companys products and processes. Therefore, the quality level has to be constantly updated, control charts can be used to check certain values and the suppliers quality needs to be evaluated. All quality data within SAP ERP can be collected, analyzed and controlled with different tools (e.g. QM Evaluation Cockpit). This is for example the basis for continuous quality improvement also used for six sigma projects.

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Quality Certificates:
Quality certificates document the following of certain quality requirements. They are mostly used during the collaboration with suppliers or subcontractors (incoming certificates) to document the quality standards of incoming goods or when acting as a supplier, to document the companys quality standards themselves (outgoing certificates). Quality certificates can guarantee:

the following of certain manufacturing / quality processes the execution of predefined inspections. These can be either defined by norms (e.g. GMP: Good Manufacturing Processes), law, customers, ... defect-free inspection results for a delivery, assigned to the quality certificate

Quality Notifications:
Quality notifications are used to process and document quality related problems within a standardized process. Quality notifications consist of basic header data such as material, reference documents, batch numbers, etc. and detailed information about the problem/deviation. Additionally to that, tasks and activities can be tracked to support an internal CAPA (Corrective and Preventive Actions) process. Notifications can e.g. be used for:

complaint against a vendor internal problems (material error, etc.) complaint from a customer

How can quality problems be diagnosed:


There are two important points here:

The gap model, figure 17.4 provides us with a way of diagnosing quality problems, i.e. why customers might perceive quality to be different to their expectations. Such a mismatch could be caused by one of or a combination of other mismatches or gaps. The responsibility for ensuring customers perceive good quality products or service is not just the responsibility of operation managers but also marketing to provide information about customers expectations and to provide the right image about the product or service to the market.

*********************************************************************** *********************************************************************** ***************************************** Product/service developers also have a role in ensuring that the right product or service is designed.

Purpose of quality control:


Maintaining special standards. .Prevention of defects as early as possible. Correction of defects. .Economical product by reducing the wastage and operational cost. Public safety.

Quality costs:
The concept of quality costs is a means to quantify the total cost of quality-related efforts and deficiencies. It was first described by HYPERLINK "http://en.wikipedia.org/wiki/Armand_V._Feigenbaum" \o "Armand V. Feigenbaum" Armand V. Feigenbaum in a 1956 HYPERLINK "http://en.wikipedia.org/wiki/Harvard_Business_Review" \o "Harvard Business Review" Harvard Business Review article.
[1]

Feigenbaum defined the following quality cost areas HYPERLINK "http://en.wikipedia.org/wiki/Quality_costs" \l "cite_note-2#cite_note-2" \o "" [3] :

HYPERLINK "http://en.wikipedia.org/wiki/Statistical_process_control" \o "Statistical process control" Statistical process control Investment in quality-related information systems Quality training and workforce development Product-design verification Systems development and management Appraisal costsArise from detecting defects via inspection, test, auditTest and inspection of purchased materials Acceptance testing Inspection

*********************************************************************** *********************************************************************** ***************************************** Testing Checking labor Setup for test or inspection Test and inspection equipment Quality audits

Field testing Costs of failure of control (Costs of non-conformance)Internal failure costsArise from defects caught internally and dealt with by discarding or repairing the defective items HYPERLINK "http://en.wikipedia.org/wiki/Scrap" \o "Scrap" Scrap HYPERLINK "http://en.wikipedia.org/wiki/Rework" \o "Rework" Rework Material procurement costs External failure costsArise from defects that actually reach customersComplaints in warranty Complaints out of warranty Product service Product liability Product recall

Loss of reputation

The central theme of HYPERLINK "http://en.wikipedia.org/wiki/Quality_improvement" \o "Quality improvement" quality improvement is that larger investments in prevention drive even larger savings in quality-related failures and appraisal efforts. Feigenbaum's categorization allows the organization to verify this for itself. HYPERLINK "http://en.wikipedia.org/wiki/Quality_costs" \l "cite_note-3#cite_note-3" \o "" [4] . When confronted with mounting numbers of defects, organizations typically react by throwing more and more people into inspection roles. But inspection is never completely effective, so appraisal costs stay high as long as the failure costs stay high. The only way out of the predicament is to establish the "right" amount of prevention. Once categorized, quality costs can serve as a means to measure, analyze, budget, and predict. HYPERLINK "http://en.wikipedia.org/wiki/Quality_costs" \l "cite_note-4#cite_note-4" \o "" [5] Variants of the concept of quality costs include HYPERLINK "http://en.wikipedia.org/wiki/Cost_of_poor_quality" \o "Cost of poor quality" cost of poor quality and categorization based on account type, described by HYPERLINK "http://en.wikipedia.org/wiki/Joseph_M._Juran" \o "Joseph M. Juran" Joseph M. Juran: HYPERLINK "http://en.wikipedia.org/wiki/Quality_costs" \l "cite_note-5#cite_note-5" \o "" [6]

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Cost areaExamplesTangible costsfactory accountsMaterials scrapped or junked Labor and burden on product scrapped or junked Labor, materials, and burden necessary to effect repairs on salvageable product Extra operations added because of presence of defectives Burden arising from excess production capacity necessitated by defectives Excess inspection costs Investigation of causes of defects Tangible costssales accountsDiscount on seconds Customer complaints Charges to quality guarantee account Intangible costsDelays and stoppages caused by defectives Customer good will

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Loss in morale due to friction between departments

Example of potato chips:

The quality of chips The quality control capability is used to ensure a continuous quality of the companys products and processes. Therefore, the quality level has to be constantly updated, control charts can be used to check certain values and the suppliers quality needs to be evaluated

As compare to other chips KOLSON has low fats with good taste and the quality of the KOLSON chips according to the customersdemand.

KOLSON chips have different flavors and all the flavors have uniqne taste. KOLSON chips have fried in pure oil.

Quality Inspection:
This functional capability is used to constantly check the quality of the companys products. Therefore the inspection plans and characteristics are used. The inspection process mainly consists of the following four steps:

*********************************************************************** *********************************************************************** ***************************************** Inspection can be triggered at a number of inspection origins:

Inspection lot creation:

Inspection lot creation in SAP QM, all quality inspections are based on inspection lots. These can be triggered manually or automatically (e.g. at goods receipt from a purchase order, at goods issue of a component, at a certain operation during production, etc.). The lots contain specific information about the inspection size (e.g. based on the sampling procedure), inspection characteristics and methods from the inspection plan or material specification, etc.

Results Recording

After inspecting the products, the quantitative (e.g. width/height of a product) and/or qualitative (e.g. color of the product) results of the predefined characteristics can be directly recorded in the inspection lot.

Defects recording:

Defects can be recorded additional to the results recording. These defects are also referenced to an inspection lot and contain information about any attribute of a material/product/process that deviates from the defined characteristics. The defect recording can be based on standardized codes that can be taken from the predefined inspection catalogs.

Inspection lot completion:

A completion of the inspection lot is necessary after results recording to finally decide about the usage of a material. Depending on the usage decision, stock postings are performed (e.g. to unrestricted-use stock, blocked stock, scrap, etc.). The usage decision also influences the quality level and the quality score of a material or inspection lot.

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What steps lead towards conformance to specification:

Defining the quality characteristics is important because not only should these equate to customer needs they also provide the specification against which operations can check and control that quality is being consistently delivered.

Deciding how to measure each characteristic is important, some will be easier to measure than others. Variables such as waiting time may be more straightforward compared to attributes such as how customers feel about the wait (OK or not OK). All the quality characteristics have to be measured to ensure conformance to expectations. In some cases delivering perfect quality might be impossible or too expensive, for example sometimes lecturers have off days and occasionally forget things! Operations managers have therefore to decide what will be acceptable standards for performance. Having decided what is to be measured (the characteristics) and the standards to be achieved; operations managers have to design systems to ensure that the operation is delivering products or services to that specification.

The final step is to check that the operation is actually delivering quality to the set standard, usually by checking a sample of the products or services. This is called quality control and is death with in detail in the sections on statistical process control and acceptance sampling. It is important to realise that there are

*********************************************************************** *********************************************************************** ***************************************** risks inherent in taking samples these are called type I and type II errors. Familiarise yourself with what these errors mean and read the Surgical Statistics box.

How can statistical process control help quality planning and control:
In theory if you know the specification the characteristics to be measured and the standards to be achieved, delivering products or services to that specification should be easy. Unfortunately this is not the case. The transforming and the transformed resources are never perfect.

Consider the problems that a restaurant might face:

Transforming resources Transformed resources The chef may be suffering from a cold or be untrained in one aspect of preparation or cooking. The waiting staff may be recently recruited and uncertain about their job, or they all might have been to a party the night before. The cleaners may not have turned up or have done a thorough job as needed to make the restaurant look clean and smart. Material from suppliers may be of varying quality such as interruptions to the electricity supply or bruised and rotten vegetables.

*********************************************************************** *********************************************************************** ***************************************** A customer may be particularly demanding or even unpleasant making it difficult for the restaurant and its staff to satisfy them.

By checking variables and attributes managers can ensure that the service or products are being deliver to the specification. One important technique in doing this is statistical process control (SPC).

Using SPC we can: 1. 2. 3. 4. calculate the likelihood of a process being in or out of control set control limits based on those likelihoods provide control charts to monitor a quality characteristic make decisions about whether a process is in control or not and therefore whether action is needed to find and rectify a problem.

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How can acceptance sampling help quality planning and control:


If you are an employer and you want to recruit 20 graduates it is likely that you will interview each one of them. If the batch size is large or the items of lesser value, we need a simpler, quicker and cheaper means of testing a sample to decide if the whole batch is OK or not = this is acceptance sampling.

If you were the quality controller overseeing the manufacture of light bulbs it would be too time consuming to check each of the thousands made each day, and. if the check involved seeing how long they lasted it would destroy the entire output. If you were the quality controller for the marking of an A level examination, it would be impossible to check that every one of the thousands of examiners had correctly marked every one of hundreds of thousands scripts.

Using acceptance sampling we can: 1. decide the best size of sample to use 2. judge the acceptable number of defects in a batch which results in the batch being rejected for a specified level of risk Decide whether as batch should be accepted or rejected and make decisions about the action needed to find and rectify the problem.

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Quality Inspection:
This functional capability is used to constantly check the quality of the companys products. Therefore the inspection plans and characteristics of kolsopn potato chips are used. The inspection process mainly consists of the following four steps: Inspection can be triggered at a number of inspection origins:

Kolson potato chips has inspect their manufacturing plant at each


and and every stage from the selection of location the market promotion of chips So they have to inspect their product each and every stage After inspecting the products, the quantitative (e.g. width/height of a product) and/or qualitative (e.g. color of the product) results of the predefined characteristics can be directly recorded in the inspection lot. After inspection if there is any Defects can be recorded additional to the results recording. These defects are also referenced to an inspection lot and contain information about any attribute of a material/product/process that deviates from the defined characteristics. The defect recording can be based on standardized codes that can be taken from the predefined inspection catalogs. A completion of the inspection lot is necessary after results recording to finally decide about the usage of a material. Depending on the usage decision, stock postings are performed (e.g. to unrestricted-use stock, blocked stock, scrap, etc.). The usage decision also influences the quality level and the quality score of a material or inspection lot.

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PROJECT ON KOLSON POTATO PAGE

Supply Chain Strategy Location Inventory Management Forecasting Sales and Operations Planning Resource Planning Scheduling Process Strategy Process Analysis Process Performance and Quality Constraint Management Process Layout Lean Systems

Operations As a Competitive Weapon Operations Strategy Project Management

2007 Pearson Education

C best (20, 980) B best Break-even point A D B C (20, 1390)

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(20, 1200) (20, 1060) A best 6.25 Break-even point
Q (thousands of units)

0 200 400 600 800 1000 1200 1400 1600 2 4 6 8 10 12 14 16

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18 20 22 14.3
Annual cost (thousands of dollars)
Fixed Costs Total Costs Community per Year (Fixed + Variable) A B C D $150,000$1,390,000 $300,000$1,060,000 $500,000$ 980,000 $600,000$1,200,000

Step 1. Plot the total cost curves for all the communities on a single graph. Identify on the graph the approximate range over which each community provides the lowest cost.

The Marginal Revenue Product of Labor and the Demand for Labor The Labor Supply Curve A Backward-Bending Labor Supply Curve

Equilibrium in the Labor Market


Equilibrium in the Labor Market

The Effect of an Increase in Labor Demand

Equilibrium in the Labor Market


The Effect on Equilibrium Wages of a Shift in Labor Demand

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The Effect of an Increase in Labor Supply

Equilibrium in the Labor Market


The Effect on Equilibrium Wages of a Shift in Labor Supply

Immigration and Wages, Then and Now


The flower industry is one of many industries in the United States that rely on immigrant workers.

The Negotiation Process


EMBED Unknown

2007 Pearson Education

Supply Chain
Tier 1 Tier 2

Supplier of materials Supplier of services


Tier 3 Customer Customer Customer Customer Distribution center Distribution center Manufacturer
2007 Pearson Education

Supply Chain Process Measures


*

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Percent of orders taken accurately Time to complete the order placement process Customer satisfaction with the order placement process

Customer Relationship

Percent of incomplete orders shipped Percent of orders shipped on time Time to fulfill the order Percent of botched services or returned items Cost to produce the service or item Customer satisfaction with the order fulfillment process Inventory levels of WIP and FG

Order Fulfillment

Percent of suppliers deliveries on time Suppliers lead times Percent defects in services and purchased materials Cost of services and purchased materials

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