RSM100Y1 Chapter 12: RSM 100 - Chapter 12 - Summary Notes
Document Summary
Rsm 100y chapter 12: increasing productivity and quality. Labour productivity of a country = gdp/# of workers. Service industry cannot be replaced by machines, thus productivity cannot increase as rapidly as the manufacturing sector. Agriculture in canada is more productive than elsewhere: mainly due to technological advancements and size. High productivity = low cost = more profits or lower prices = more competitive. Quality ownership: each employee responsible for creating/destroying quality. Value-added analysis: evaluate all activities to determine benefits to customer. Firm will reverse engineer products (study them) to see where they can improve their own products. Statistical process control: stats analysis that allows firm to see when adjustments are needed to maintain high quality of produced shit. Process variation: a certain range is acceptable, but too much is bad quality. Method of improving quality by identifying high cost areas and savings potential. Internal failures: expenses incurred with bad products before leaving a plant.
