Definition: Total Productive Maintenance (TPM) is a lean maintenance concept that maximizes effectiveness by continuous maintenance and improvements in the equipment. It is a combined effort made by the entire organization. TPM develop a maintenance-free framework by identifying the losses and eliminating them. It will lead to a considerable decrement in the maintenance … [Read more...] about Total Productive Maintenance
Maintenance Planning
Definition: Maintenance Planning is a controlling function that formulates strategies to keep the Capacities and Facilities as per intended working conditions up to their useful life. It helps Minimize Costs, achieves Higher Production Efficiency, and reduces Ideal Time. The manufacturing units produce final products using their resources and assets. These assets are the … [Read more...] about Maintenance Planning
Aggregate Planning in Operations Management
Definition: Aggregate Planning in Operations Management determines production and resource allocation strategies to meet the uncertain and fluctuating future demand at minimum production cost for the Intermediate Time Horizon. Here, the word 'Aggregate' signifies the product lines and families. And 'Planning' covers the series of activities to be taken in order to meet the … [Read more...] about Aggregate Planning in Operations Management
Consumer Decision Making Process
Definition: The Consumer Decision Making Process is the sequential interrelated steps explaining the approach of the consumers in making buying decisions. Also, it involves an in-depth analysis of the consumers’ purchase behaviour. We can also refer to it as the Buyer Decision-Making Process. It is the traditional model depicting the process of Consumer Decision-Making. … [Read more...] about Consumer Decision Making Process
Consumer Decision Making
Definition: Consumer Decision Making is the process of choosing products and services for consumption among various alternatives. It is the initial step in understanding consumer behaviour. And a base for marketers to devise customer-oriented strategies. Following are some of the common decisions taken by consumers in daily life: - What to buy? How much to buy? … [Read more...] about Consumer Decision Making
Assembly Line Balancing
Definition: Assembly Line Balancing (ALB) optimizes the mass production process by dividing tasks into workstations and allocating equal processing time to each one without any delay. The assembly line in which the workstations have equal processing time with less or no ideal time is said to be a perfect one. It must be balanced in order to ease the manufacturing … [Read more...] about Assembly Line Balancing
Absorption Costing
Definition: Absorption Costing is the oldest technique for estimating profit/cost per unit for Goods and Services. More precisely, it is a technique to determine the cost or profit of the manufactured products. Here, production is taken as the base for the profit calculation. It identifies and combines all the production costs, whether Variable or Fixed. After that, … [Read more...] about Absorption Costing
Location Analysis Techniques
Definition: Location Analysis Techniques are the methods that critically evaluate location alternatives to select an ideal location for the Plant or Industry. These are the tools used by the organizations for decision-making while locating a plant or facility. Location techniques are a systematic approach for choosing the most desirable location alternative. It strives to … [Read more...] about Location Analysis Techniques
Investment Multiplier
Definition: The concept of Investment Multiplier suggests that the increase in Investments will lead to income generation in multiples. In other words, the amount of Income/Output amplifies, resulting from the increase in the level of Investments. Investment Multiplier is the contribution of the famous economist John Keynes. He explained it with the help of the country's … [Read more...] about Investment Multiplier
Techniques of Controlling
Techniques of Controlling are the tools used for establishing control over business activities, monitoring and taking necessary corrective measures. There are several Traditional and Morden techniques available for efficient business control. The selection of the techniques must be a strategic approach. While selecting the most suitable technique, the organization must study … [Read more...] about Techniques of Controlling