Advantages of computer-aided design in manufacturing operations

Operations Management

What are the advantages of using a computer-aided design technology

Computer aided design technology is particular useful in a globalized world of commerce and business activity. Through the use of computer aided design technology information can seamlessly be transferred from one entity to another with little administrative cost to the business. This is particularly helpful for businesses that rely on human capital rather than physical infrastructure to create a product. Through computer aided design, concepts can be manipulated, transferred and discusses via the internet or other channels of communication. Through this mutual exchange of information, more individuals can have input within the overall design phase. Those with a particular specialty can provide feedback to the overall design as well (Askin, 1993).

Cross functional teams are advantaged through the use of CAD. Designers may not have the financial acumen needed to create a product at a price point consumers are willing to pay. Through CAD, teams including finance, accounting, and engineering can all have input within the overall design process. These cross functional teams, each with their own unique perspective and expertise can then create products that satisfy key company metrics. This metrics often include materials cost, profit margins, overhead expense, inventory turnover, and much more. Through the use of CAD on cross functional teams, better more efficient products are ultimately created.

2) Describe the major elements of FMS and evaluate the concept

The FMS has a litany of major elements that provide for efficient and automated operations of facilities. The first major elements of a FMS are computer numerically controlled machines. These automated machines allow for efficient task that humans may not be able to carry out. In addition, these machines also help streamline processes, ultimately helping to improve company profitability. In addition to the CNS, the FMS also incorporates machines that can automatically sense when a particular part has depreciated substantially and is no longer able to perform the needed task. An example, is that of a drill bit, which, when thoroughly worn, can no longer be used to help manufacture items. This concept of machine controlled aspect is very beneficial from a company perspective. Unlike their human counterparts, machines do not get sick. Nor do they have families or other obligations that can hinder productivity. As such, operations are more efficient, with fewer errors, and more products being created (R. B. 2007).

5) Explain the relationships between the concepts of ecommerce and business

Both ecommerce and ebusiness are intertwined in regards to their overall relationship with one another. Ebusiness relies extensive of automating processes through the internet. Aspects such as human resources, marketing, and finance can now be conducted through "cloud" based infrastructure. Through use of the internet companies can now better market their products while also streamlining processes and eliminating bureaucracy. For example, customers can now pay for products online through services such as PayPal or Google Wallet.

Ebusiness ultimately helps facilitate ecommerce. By providing the proper security and infrastructure, customers are now able to purchase however and whenever they would like. The internet also provides information advantages for particular businesses, while creating issues for others. Aspects such as price can effortlessly be viewed by perspective customers. This allows the low cost producer to benefit at the expense of the inefficient operations.

Ecommerce is business that is conducted over the internet. Common forms include purchasing books or electronic merchandise online. By having the proper infrastructure, customers are now better able to facilitate their own purchasing decisions. Customers can now shop competitors simultaneously. They can be marketed to at a more intimate level as well.

References:

1) Askin, R.G., C.R. Stanridge, Modeling & Analysis Of Manufacturing Systems, John Wiley and Sons, New York 1993

2) D.C. Montgomery, Statistical Quality Control: A Modern Introduction, 7th edition 2012

3) R.B. Chase, F.R. Jacobs, N.J.Aquilano, Operations Management for Competitive Advantage, 11th ed McGraw-Hill 2007