An operations execution system (OES, also called manufacturing process management and collaborative manufacturing) is a suite of manufacturing systems designed to execute operations tasks, such as production, maintenance or inventory tracking. Manufacturing execution systems (MES) are a subset of an operations execution system, as they are typically concerned with executing tasks within just the production line. Other systems which might be included within an OES might include warehouse management system (WMS), supply chain management systems (SCM) or computerized maintenance management system (CMMS).
Manufacturing is the production of products for use or sale using labour and machines, tools, chemical and biological processing, or formulation. The term may refer to a range of human activity, from handicraft to high tech, but is most commonly applied to industrial design, in which raw materials are transformed into finished goods on a large scale. Such finished goods may be sold to other manufacturers for the production of other, more complex products, such as aircraft, household appliances, furniture, sports equipment or automobiles, or sold to wholesalers, who in turn sell them to retailers, who then sell them to end users and consumers.
Manufacturing execution systems (MES) are computerized systems used in manufacturing, to track and document the transformation of raw materials to finished goods. MES provides information that helps manufacturing decision makers understand how current conditions on the plant floor can be optimized to improve production output. MES works in real time to enable the control of multiple elements of the production process.
A warehouse management system (WMS) is a software application, designed to support and optimize warehouse functionality and distribution center management. These systems facilitate management in their daily planning, organizing, staffing, directing, and controlling the utilization of available resources, to move and store materials into, within, and out of a warehouse, while supporting staff in the performance of material movement and storage in and around a warehouse.
Large, global enterprises invoking a quality management program impacting operations systems seek integrated systems to ease the deployment of such a program. For one reason, quality assurance programs cover many areas of manufacturing, including the processes that intersect each of these activities.
By collaborating across operations processes, between different functions and departments, a higher performance operations model emerges, one that optimizes manufacturing output, leading to better quality products produced more cost effectively, so as to better compete globally.
See also ANSI/ISA-95 about "Manufacturing Operations Management". This standard also extend the MES reference beyond Production activities to cover also Quality, Maintenance and Inventory.
ANSI/ISA-95, or ISA-95 as it is more commonly referred, is an international standard from the International Society of Automation for developing an automated interface between enterprise and control systems. This standard has been developed for global manufacturers. It was developed to be applied in all industries, and in all sorts of processes, like batch processes, continuous and repetitive processes.
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Project management is the practice of initiating, planning, executing, controlling, and closing the work of a team to achieve specific goals and meet specific success criteria at the specified time.
In commerce, supply-chain management (SCM), the management of the flow of goods and services, involves the movement and storage of raw materials, of work-in-process inventory, and of finished goods from point of origin to point of consumption. Interconnected or interlinked networks, channels and node businesses combine in the provision of products and services required by end customers in a supply chain. Supply-chain management has been defined as the "design, planning, execution, control, and monitoring of supply-chain activities with the objective of creating net value, building a competitive infrastructure, leveraging worldwide logistics, synchronizing supply with demand and measuring performance globally."
SCM practice draws heavily from the areas of industrial engineering, systems engineering, operations management, logistics, procurement, information technology, and marketing and strives for an integrated approach. Marketing channels play an important role in supply-chain management. Current research in supply-chain management is concerned with topics related to sustainability and risk management, among others. Some suggest that the “people dimension” of SCM, ethical issues, internal integration, transparency/visibility, and human capital/talent management are topics that have, so far, been underrepresented on the research agenda.
In business and finance, supply chain is a system of organizations, people, activities, information, and resources involved in
moving a product or service from supplier to customer. Supply chain activities involve the transformation of natural resources, raw materials, and components into a finished product that is delivered to the end customer. In sophisticated supply chain systems, used products may re-enter the supply chain at any point where residual value is recyclable. Supply chains link value chains.
In industry, product lifecycle management (PLM) is the process of managing the entire lifecycle of a product from inception, through engineering design and manufacture, to service and disposal of manufactured products. PLM integrates people, data, processes and business systems and provides a product information backbone for companies and their extended enterprise.
Manufacturingresource planning is defined as a method for the effective planning of all resources of a manufacturing company. Ideally, it addresses operational planning in units, financial planning, and has a simulation capability to answer "what-if" questions and extension of closed-loop MRP.
Operations management is an area of management concerned with designing and controlling the process of production and redesigning business operations in the production of goods or services. It involves the responsibility of ensuring that business operations are efficient in terms of using as few resources as needed and effective in terms of meeting customer requirements. Operations management is primarily concerned with planning, organizing and supervising in the contexts of production, manufacturing or the provision of services.
The following outline is provided as an overview of and topical guide to management:
Performance engineering encompasses the techniques applied during a systems development life cycle to ensure the non-functional requirements for performance will be met. It may be alternatively referred to as systems performance engineering within systems engineering, and software performance engineering or application performance engineering within software engineering.
Manufacturing Engineering is a branch of professional engineering.
Manufacturing engineering requires the ability to plan the practices of manufacturing; to research and to develop tools, processes, machines and equipment; and to integrate the facilities and systems for producing quality products with the optimum expenditure of capital.
Backflush accounting is a certain type of "postproduction issuing", it is a product costing approach, used in a Just-In-Time (JIT) operating environment, in which costing is delayed until goods are finished. Backflush accounting delays the recording of costs until after the events have taken place, then standard costs are used to work backwards to 'flush' out the manufacturing costs. The result is that detailed tracking of costs is eliminated. Journal entries to inventory accounts may be delayed until the time of product completion or even the time of sale, and standard costs are used to assign costs to units when journal entries are made. Backflushing transaction has two steps: one step of the transaction reports the produced part which serves to increase the quantity on-hand of the produced part and a second step which relieves the inventory of all the component parts. Component part numbers and quantities-per are taken from the standard bill of material (BOM). This represents a huge saving over the traditional method of a) issuing component parts one at a time, usually to a discrete work order, b) receiving the finished parts into inventory, and c) returning any unused components, one at a time, back into inventory.
A workflow management system provides an infrastructure for the set-up, performance and monitoring of a defined sequence of tasks, arranged as a workflow application.
Demand Flow Technology (DFT) is a strategy for defining and deploying business processes in a flow, driven in response to customer demand. DFT is based on a set of applied mathematical tools that are used to connect processes in a flow and link it to daily changes in demand.
DFT represents a scientific approach to flow manufacturing for discrete production. It is built on principles of demand pull where customer demand is the central signal to guide factory and office activity in the daily operation. DFT is intended to provide an alternative to schedule-push manufacturing which primarily uses a sales plan and forecast to determine a production schedule.
Computer-aided process planning (CAPP) is the use of computer technology to aid in the process planning of a part or product, in manufacturing. CAPP is the link between CAD and CAM in that it provides for the planning of the process to be used in producing a designed part.
Industrial engineering is an inter-disciplinary profession that is concerned with the optimization of complex processes, systems, or organizations by developing, improving and implementing integrated systems of people, money, knowledge, information, equipment, energy and materials.
Applied engineering is the field concerned with the application of management, design, and technical skills for the design and integration of systems, the execution of new product designs, the improvement of manufacturing processes, and the management and direction of physical and/or technical functions of a firm or organization. Applied-engineering degreed programs typically include instruction in basic engineering principles, project management, industrial processes, production and operations management, systems integration and control, quality control, and statistics.
Enterprise control is the ability to combine control, intelligence and process management to enable business optimization that is inclusive of business and production operations. It combines the strength of both business processes and production operations processes. It is the deliberate act of synchronizing business strategy with operational execution in real-time to enable closed loop business control across an enterprise.
Industrial and Production Engineering (IPE) is an interdisciplinary engineering discipline that includes manufacturing technology, engineering sciences, management science, and optimization of complex processes, systems, or organizations. It is concerned with the understanding and application of Engineering Procedures in Manufacturing Processes and Production Methods. Industrial Engineering dates back all the way to the industrial revolution, initiated in 1700s by Sir Adam Smith, Henry Ford, Eli Whitney, Frank Gilbreth and Lilian Gilbreth, Henry Gantt, F.W. Taylor, etc. After the 1970s, industrial and production engineering developed worldwide and started to widely use automation and robotics. Industrial and production Engineering includes three areas: Mechanical Engineering, Industrial Engineering, and Management Science. The main objective for people within this discipline is to improve efficiency, drive up effectiveness of manufacturing, quality control, and to reduce cost while making their products more attractive and marketable. Industrial engineering is concerned with the development, improvement, and implementation of integrated systems of people, money, knowledge, information, equipment, energy, materials, as well as analysis and synthesis. The principles of IPE include mathematical, physical and social sciences and methods of engineering design to specify, predict, and evaluate the results to be obtained from the systems or processes currently in place or being developed. The target of production engineering is to complete the production process in the smoothest, most-judicious and most-economic way. Production engineering also overlaps substantially with manufacturing engineering and industrial engineering. The concept of production engineering is interchangeable with manufacturing engineering.
Project production management (PPM) is the application of operations management to the delivery of capital projects. The PPM framework is based on a project as a production system view, in which a project transforms inputs into outputs.
