Chapter 1: Introduction to Operations Management (1-1) (1-2) Chapter 4: Forecasting demand (4-1)

n = the number of periods in the moving average; 4, 5 or six months When we can assume that demand will stay fairly steady over time. (4-2) (4-4) ( ) = smoothing constant, At-1 = Previous periods actual
( )( )

Ft = New forecast, Ft-1 = Previous periods forecast, demand Exponential smoothing (4-5) (4-6) (4-7) (4-18)
( (

Positive: demand is greater than forecast. Negative: demand is less than forecast. Good: around zero. Supplement 6: Statistical process control (S6-2) (S6-3) (S6-4) z = number of normal standard deviations: 2 for 95.45% confidence, 3 for 99.73%

Supplement 7: Capacity Planning (S7-1) (S7-2) (S7-3) (S7-4) (S7-5) (S7-6) ( ) ( )

*(

) (

)+

V = variable costs per unit, P = price per unit, F = Fixed costs, W = percent each product is of total dollar sales, i = each product (S7-7) (S7-8)
( )

Chapter 9: Layout Decisions (9-1) ( )( )

X = number of loads moved from i to j, C = cost to move loads between i and j, i, j = individual departments (9-2) (9-3) (9-4) (9-5) (9-6)
( ) (

Chapter 12: Managing Inventory (12-1)

D = Annual demand in units for the inventory item, S = Setup or ordering costs for each order, H = Holding or carrying costs per unit per year (12-2) (12-3) (12-4) (12-5) (12-6) (12-6) (12-7) ( ) ( ) ( )

( )

Q*p = Optimum order or production quantity, H = Holding cost per unit per year, p = Daily production rate, d = Daily demand rate or usage rate Chapter 15: Scheduling for the Short Term

Chapter 16: JIT, Lean operations and the Toyota Production System ( Module D: Queuing Models ( ) )

( ) (D-2) (D-3) Module E: Learning Curves (E-1) T = Unit cost or unit time of the first unit, L = learning curve rate, n = number of times T is doubled (E-1.2) (E-2) ( )

Tn = time for the Nth unit, T1= hours to produce the first unit, b = (log of the learning rate)/(log2)