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The 4Ms of Operations: Prepared By: Karla Jane F. Bangaysiso

The document discusses the 4 Ms of operations - Method, Manpower, Machine, and Material. It provides details on how production managers can use sales data and inventory management systems to determine the most efficient production methods and resource requirements. Key aspects covered include establishing standard processes, assessing needed equipment, staffing levels, and ensuring sufficient raw materials are available to meet production needs while minimizing waste. Technical feasibility considerations are also outlined, such as evaluating equipment and packaging options, and ensuring production can be consistently achieved at the required quality and scale.

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Karla BangFer
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762 views18 pages

The 4Ms of Operations: Prepared By: Karla Jane F. Bangaysiso

The document discusses the 4 Ms of operations - Method, Manpower, Machine, and Material. It provides details on how production managers can use sales data and inventory management systems to determine the most efficient production methods and resource requirements. Key aspects covered include establishing standard processes, assessing needed equipment, staffing levels, and ensuring sufficient raw materials are available to meet production needs while minimizing waste. Technical feasibility considerations are also outlined, such as evaluating equipment and packaging options, and ensuring production can be consistently achieved at the required quality and scale.

Uploaded by

Karla BangFer
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
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THE 4MS OF

OPERATIONS
PREPARED BY: KARLA JANE F. BANGAYSISO
If SALES is the engine that powers Auto Salvage yards the PRODUCTION is the drive
train that gets us where we are going.
PRODUCTION is both reactive and proactive almost simultaneously.
It reacts to what is sold today and must meet the expectations set by the sales team. It
must also anticipate what most likely will be needed in the near future.
PRODUCTION IS DRIVEN BY SALES

The buyer buys vehicles based on statistics of what has been sold and what has been
searched. By the same token, production managers should decide how many and what
parts to take off a vehicle based on statistics of what has been sold and searched for
on the vehicle.

Why put labor into parts that make up less than 20% of sales? Why spend pesos
chasing nickels? With today’s inventory management system., the production managers
have an unprecedented amount of information at their fingertips and they need to
learn how to use it.
4 MS OF PRODUCTION

• Method
• Manpower
• Machine
• Material
METHOD

• Use the Inventory Management System to establish what is needed and at what
inventory stock levels impacts the first M-Method. Based on what is known, the manager
can determine the volume of cars that need to be processed and who will be responsible
for each step of the process. The manager will determine the most efficient way for each
part of the process to be done to eliminate damage to the product and to eliminate
areas where time and manpower are wasted. Controlling waste is the key to efficient and
profitable production.
MANPOWER

When examining methods which are now in place, what is the ideal number of people it
will take to perform these methods and what positions should they be in? How will the
personnel be trained and measured for performance? What is the “cycle time” of each part
of the Method?
MACHINE

When examining the facilities, vehicles, and tools, is everything needed in place to ensure
the safety of the employees while maximizing the efficiency and productivity of the
department? Do all employees have access to the same tools and equipment, if needed? Do
the tools enable them to perform tasks independently? Are they trained on how to
maintain the machinery and tools?
MATERIAL

Are the materials needed is in place to perform all parts of production and are they
conveniently located to minimize waste? Example: All material needed to clean and package
are always available and are in place to minimize effort. Does the layout of the production
department minimize waste movement? Example: Does the part flow go in one direction or
does it zigzag throughout your facility?
MEASURING PRODUCTION

Once the new processes are formalized and employees are trained on how to
perform, you can begin to measure for expected performance and begin enforcing
minimums. Do get also production standards and implementation procedures. Once these
standards are known, the manager is responsible in figuring out how to motivate (by means
of money/recognition) and train the employees to reach these new standards.
PRODUCTION OR TECHNICAL FEASIBILITY

Once an entrepreneur has found information about potential consumers, their


requirements and the likely share of the market that could be obtained for a new product,
it is then necessary to assess whether production at this scale is technically feasible.
THE SERIES OF QUESTIONS BELOW IS HELPFUL IN
DECIDING THE TECHNICAL REQUIREMENTS OF THE
BUSINESS:
1. Are enough raw materials of the correct quality available when needed for year-round
production?
2. Is the cost of the raw materials satisfactory?
3. Are the correct size and type of equipment available for the expected production level
and is it at reasonable cost?
4. Can it be made by local workshops? Are maintenance and repair costs affordable?
5. Are sufficiency information and expertise available to ensure that the food is
consistently made at the required quality?
THE SERIES OF QUESTIONS BELOW IS HELPFUL IN
DECIDING THE TECHNICAL REQUIREMENTS OF THE
BUSINESS:
6. Are suitable packaging materials available and affordable?
7. Are distribution procedures to retailers or other sellers established?
8. Is a suitable building available? What modifications are needed?
9. Are services (fuel, water, electricity, etc.) available and affordable?
10. Are trained workers available and are their salaries affordable?
CONTENTS OF PRODUCTION OR
TECHNICAL FEASIBILITY
PRODUCTION PLANNING

This plan should indicate how the different stages in a process are linked together. It should
identify any “bottlenecks” in the process, the equipment that is required for each stage and
where quality assurance procedures should be used.
The data that has been found from market surveys is added to the process chart to
indicate the scale of production that is required.
A chart is prepared and used for planning a number of different aspects of the production
process.
RAW MATERIALS AND INGREDIENTS

There are two stages involved in planning the amounts of materials that are needed to
produce the required weight of the product. It is necessary to calculate the amount of
each ingredient that will be needed to formulate a batch of product. Further, it is necessary
to calculate the amount of losses that can be expected during preparation.
EQUIPMENT REQUIRED

The decisions on equipment requirements are influenced by the:


• The cost and availability of machinery;
• The availability of people who are skilled in maintenance and repair; and
• The availability and cost of spare parts and the possibilities of local equipment fabrication.
PACKAGING

Selection of packaging materials frequently causes the largest problems for small producers
and is often the main cause of delay in getting a business established.
Consideration include the following:
• The technical requirements of the product for protection against light, crushing air,
moisture, etc.
• The promotional and marketing requirements; and
• The relative cost and availability of different types of packaging, professional advice should
be sought from packaging specialists or agents of packaging manufacturers.
STAFFING LEVELS

Decisions on the number and types of workers that are required to operate the proposed
business are taken in conjunction with decisions on equipment procurement.
It is possible to break down the production into different stages and then decide the
number of people that will be needed for each stage of the process.
It is important also to include function such as store management, quality assurance and
bookkeeping when planning employment levels.

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