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Process optimization and operating procedures

In today's business world, competition is everything. Companies need every advantage they can get. Each day costumers are demanding better products, in order to get the best value for what they paid for. The way to get ahead in the business world is to manufacture products at the lowest cost possible, or in other words by using process optimization. A way to measure how well the company is using process optimization is by using operating procedures. This allows for the company to measure how well the process is being automized, if the process is constantly evaluating and eliminating waste, and how well the company is controlling the process.

For a business to optimize its operating procedures, it will help to automize the process. This automation will make the operating procedures go faster. In addition, it will help to minimize the error that human's typically make, and will help produce at lower costs. For example, consider 2 round disks that need to be connected. At first, the employee makes one small hole so that a small screw can be put inside each hole to connect the 2 disks. A way to optimize the procedure and make it more cost effective would be to add tabs to the disks so the 2 disks will lock in place easily, making it easier to line up the disks together. This simple way of making a tab saves a lot of time and money for the company.

Companies will have success if they are constantly reviewing and eliminating waste from their operating procedures. First, it is important to eliminate waste from the employees work. Each employee must ask if he/she is contributing to the value of the product, and if they aren't contributing they should be removed from the project. A company that regularly reviews how productive each employee is will be able to eliminate waste thus making their entire company more cost effective. For example, each employee should make sure what they are doing is adding value to the product. If their work isn't contributing to the value of the product, they should not work, thus eliminating waste.

Second, it is important to have employees evaluate each part of the development cycle in the operating procedures. . It is best to start eliminating waste right from the initial design, in order to make your product cost effective. Later on, the employee tests the next phases of development, and lastly tests the manufacturing of the product to ensure there is no waste. It is best if each employee participates in evaluating and giving recommendations on how to eliminate waste from the product. This also helps with communication within a company, and thus helps with better problem solving, which helps to know if each part of the product is essential.

Another advantage of using operating procedures for process optimization is to be able to accurately control the process. For example, if a company can find a way to manufacture a VCR for less money than other companies, it will be more cost effective. The company can control how much it costs to make 1 VCR, but it can't control how many VCR's are sold.In order to control the process, there needs to be reliable and valid measurements. Measuring is a great way to control the product, which in turn will optimize it.

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