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A that give precedence relationships. A activity ratioA financial ratio to determine how an or- adaptable websiteIn e-commerce, a site that a visitor ganizations resources perform relative to the revenue can change to customize. A A the resources produce.
Activity ratios include inventory turnover, receivables conversion period, fixed-asset turnover, and return on assets. A adaptive control1 The ability of a control system to change its own parameters in response to a measured change in operating conditions. The amounts of resources that will be needed for various control unit, working from feedback sensors, is able to project activities.
A optimize favorable situations by automatically activity sequencingThe process of defining and docu- increasing or decreasing the machining parameters. A actual cost of work performedThe direct costs actually incurred in, and the indirect costs applied to, accom- adaptive smoothingA form of exponential smoothing in plishing work performed within a given time period.
A incurred-cost ledgers, which are regularly audited by the adaptive websiteIn e-commerce, a site that records a client. A visitors behavior, uses artificial intelligence software to actual costsThe labor, material, and associated over- learn this behavior, and chooses what to present to head costs that are charged against a job as it moves the visitor based on this learning. A through the production process. A actual cost systemA cost system that collects costs additivesA special class of ingredients characterized historically as they are applied to production and allo- either by being used in minimal quantities or by being cates indirect costs to products based on the specific introduced into the processing cycle after the initial costs and achieved volume of the products.
A stage. A actual demandActual demand is composed of cus- adjudicateTo hear and decide an issue under legal tomer orders and often allocations of items, ingre- dispute. A dients, or raw materials to production or distribution.
Actual demand nets against or consumes the fore- adjustable capacityCapacity, such as labor or tools, cast, depending upon the rules chosen over a time hori- that can be changed in the short term. A zon. For example, actual demand will totally replace administrative contracting officerA government em- forecast inside the sold-out customer order backlog ho- ployee who ensures compliance with the terms and rizon often called the demand time fence but will net conditions of contracts.
A against the forecast outside this horizon based on the chosen forecast consumption rule.
A advanced planning and scheduling APS Techniques that deal with analysis and planning of logistics and actual durationThe difference between the actual start manufacturing during short, intermediate, and long- date of a project activity and the current date if the ac- term time periods.
APS describes any computer pro- tivity is still in progress or the difference between the gram that uses advanced mathematical algorithms or actual start date of a project activity and the actual logic to perform optimization or simulation on finite ca- completion date if the activity is completed. A pacity scheduling, sourcing, capital planning, resource actual finish dateIn project management, the date on planning, forecasting, demand management, and oth- which an activity in a project was actually completed.
A ers. These techniques simultaneously consider a range of constraints and business rules to provide real-time actual start dateIn project management, the date on planning and scheduling, decision support, available-to- which an activity in a project was actually started.
A promise, and capable-to-promise capabilities. APS often actual volumeActual output expressed as a volume of generates and evaluates multiple scenarios.
The five main components of APS sys- and production planning or for sales and operations tems are 1 demand planning, 2 production planning, planning purposes. See: product group forecast. A 3 production scheduling, 4 distribution planning, and aggregate inventoryThe inventory for any grouping of 5 transportation planning. A items or products involving multiple stockkeeping units.
A ning and scheduling. A aggregate inventory managementEstablishing the advanced production system APS Syn: advanced planning and scheduling. A overall level dollar value of inventory desired and im- plementing controls to achieve this goal. A A advance material requestOrdering materials before aggregate lead timeSyn: cumulative lead time. A the release of the formal product design.
This early re- aggregate planA plan that includes budgeted levels of lease is required because of long lead times. A finished goods, inventory, production backlogs, and advance ship notice ASN An electronic data inter- changes in the workforce to support the production change EDI notification of shipment of product.
A strategy. Aggregated information e. A sonal in nature. A aggregate planningA process to develop tactical plans aestheticsA dimension of product quality that intends to support the organizations business plan. Aggregate to appeal to the senses. A planning usually includes the development, analysis, affidavitA sworn written statement. A and maintenance of plans for total sales, total produc- tion, targeted inventory, and targeted customer backlog affinity diagramA total quality management tool whe- for families of products.
The production plan is the re- reby employees working in silence generate ideas and sult of the aggregate planning process. Two approaches later categorize these ideas. A to aggregate planning exist: 1 production planning and affirmative actionA hiring policy that requires employ- 2 sales and operations planning. See: production ers to analyze the workforce for underrepresentation of planning, sales and operations planning, sales plan.
A protected classes. It involves recruiting minorities and aggregate production plan APP A long-range plan that members of protected classes, changing management is used to determine timing and quantity of total future attitudes or prejudices toward them, removing discrimi- production for a family of products.
Syn: long-term pro- natory employment practices, and giving preferential duction plan. A treatment to protected classes.
A aggregate reporting1 Reporting of process hours in aftermarketA secondary market for parts and acces- general, allowing the system to assign the actual hours sories used to repair or enhance an item.
A to specific products run during the period based on after-sale serviceSyn: field service. A standards. A agency tariffRates for a variety of carriers published in a single document.
A aggregate unit of capacityCombined capacity unit of measure when a variety of outputs exist. A agentOne who acts on behalf of another the principal aggregationThe concept that pooling random variables in dealing with a third party. Examples include a sales reduces the relative variance of the resulting aggre- agent and a downloading agent.
A gated variable. For example, the relative variance in agglomerationHaving a common location with a varie- sales of all models of automobiles sold by a firm is less ty of other companies. A than that for a single model. A aggregate demandDemand that is grouped e.
See: aggregate unpredictable changes in customer needs by reconfigur- forecast. A ing operations. A aggregate forecastAn estimate of sales, often time- agilityThe ability to successfully manufacture and phased, for a grouping of products or product families market a broad range of low-cost, high-quality products produced by a facility or firm.
Stated in terms of units, and services with short lead times and varying volumes dollars, or both, the aggregate forecast is used for sales that provide enhanced value to customers through cus- APICS Dictionary, 14th edition 5 AGVS analog tomization.
Agility merges the four distinctive compe- alternate feedstockA backup supply of an item that tencies of cost, quality, dependability, and flexibility. A either acts as a substitute or is used with alternate equipment. A alternate operationReplacement for a normal step in AIAbbreviation for artificial intelligence. A the manufacturing process. Ant: primary operation. A products from different suppliers. This increases the downloaders power as the downloader does not have to rely on just AISAbbreviation for automated information system.
A one supplier. A algorithmA prescribed set of well-defined rules or alternate routingA routing that is usually less preferred processes for solving a problem in a finite number of than the primary routing but results in an identical item. A or off-line via manual methods, but the computer soft- alliance developmentStrengthening the capabilities of ware must be able to accept alternate routings for spe- a key supplier.
A cific jobs. A allocated itemIn an MRP system, an item for which a alternate work centerThe work center where an opera- picking order has been released to the stockroom but tion is not normally performed but can be performed.
A Ant: primary work center. A allocated materialSyn: reserved material. A American customer satisfaction indexA metric cos- ponsored by the University of Michigan and the allocation1 The classification of quantities of items American Society for Quality that measures the satisfac- that have been assigned to specific orders but have not tion of U.
It available to them from both domestic and foreign is an uncashed stockroom requisition. A used to distribute material in short supply. Syn: assign- ment. See: reservation. A ent organization of the interindustry electronic inter- change of the business transaction standard.
This allocative efficiencyThe use of resources to produce group is the clearinghouse on U. A change standards. A , individual and organizational members who allowance1 In work measurement, a time value or are interested in quality improvement. A percentage of time by which the normal time is in- American Standard Code for Information Interchange creased, or the amount of nonproductive time applied, ASCII Standard seven-bit character code used by to compensate for justifiable causes or policy require- computer manufacturers to represent characters ments that necessitate performance time not directly for information interchange among data processing sys- measured for each element or task.
Usually includes tems, communications systems, and other information irregular elements, incentive opportunity on machine- system equipment. An eighth bit is added as a parity bit controlled time, minor unavoidable delays, rest time to to check a string of ASCII characters for correct overcome fatigue, and time for personal needs.
A assembly, the minimum clearance or maximum interfe- rence distance between two adjacent objects. A amortizationThe process of recovering via expensing a capital investment over a period of time. See: capital allowed timeA normal time value increased by appro- recovery. A priate allowances. A analogAs applied to an electrical or computer system, alpha factorSyn: smoothing constant. A the capability of representing data in continuously vary- alpha releaseAn extremely early version of a product ing physical phenomena as in a voltmeter and convert- released to obtain feedback about its suitability.
A ing them into numbers. A pendent variable is caused by variation in one or more anticipation orderAn order placed before an item has independent variables.
It also produces a number used been made available for delivery. A to infer whether any or all of the independent- dependent variable relationships have statistical signi- anti-dumping dutyAn imposed responsibility in which a ficance i. A analytic workplace designA design based on estab- charged in their domestic market. A any-quantity rateA situation in which no quantity dis- A lished biomechanical and behavioral concepts, includ- count is available for large shipments.
A ing the known operating characteristics of people. AOAAbbreviation for activity-on-arrow network. A Produces a workplace situation well within the range of human capacity and does not generally require modifi- AONAbbreviation for activity-on-node network. A cation, improvement, or preliminary experimental AOQAbbreviation for average outgoing quality. A mock-up. A It consists of the following steps: a define performance objective, b identify independent variables, and c APICSFounded in as the American Production analyze sources of variability.
A Operations Management builds operations manage- ment excellence in individuals and enterprises through andonA sign board with signal lights used to make superior education and training, internationally recog- workers and management aware of a quality, quality, or nized certifications, comprehensive resources, and a process problem. A worldwide network of accomplished industry annual inventory countSyn: physical inventory.
A professionals. A supplier for one year that sets pricing, helps ensure a apparent authorityAuthority perceived by a third party continuous supply of material, and provides the supplier to flow from a principal to an ostensible agent when in with estimated future requirements.
A fact no agency relationship exists. A annual percentage rateIn finance, the rate of interest appellantOne who appeals a court decision to higher paid for a loan after compounding is considered.
Syn: authority. A effective interest rate. A application packageA computer program or set of pro- annual physical inventorySyn: physical inventory. A grams designed for a specific application e. A time, yearly or at other intervals. A outsourced services for clients. A programs designed to assist in the performance of a specific task, such as word processing, accounting, or anticipated delay reportA report, normally issued by inventory management.
See: application system. A both manufacturing and downloading to the material application systemA set of programs of specific in- planning function, regarding jobs or download orders structions for processing activities needed to compute that will not be completed on time. This report explains specific tasks for computer users, as opposed to operat- why the jobs or downloads are delayed and when they ing systems that control the computers internal opera- will be completed.
This report is an essential ingredient tions. Examples are payroll, spreadsheets, and word of the closed-loop MRP system. It is normally a processing programs. See: application software. A handwritten report. Syn: delay report. A application-to-applicationThe exchange of data be- anticipation inventoriesAdditional inventory above ba- tween computers without reentry of data.
A sic pipeline stock to cover projected trends of increas- APICS Dictionary, 14th edition 7 appraisal assembly chart appraisal1 An evaluation of employee performance. A and audit of quality. A arrow diagram methodSyn: activity-on-arrow network. A appraisal costsThose costs associated with the formal evaluation and audit of quality in the firm. Typical costs artificial intelligence AI 1 Computer programs that include inspection, quality audits, testing, calibration, can learn and reason in a manner similar to humans.
A and checking time. A The problem is defined in terms of states and operators to generate a search space that is examined for the appreciation of a currencyAn increase in the downloading best solution. In contrast, conventional programming power of a countrys currency in terms of other coun- collects and processes data by algorithm or fixed step- tries goods and services. A by-step procedures. A been approved by a company as its suppliers.
This list ASCAbbreviation for accredited standards usually is based on product quality and financial stabili- committee. A APRAbbreviation for annual percentage rate. A APS1 Abbreviation for advanced planning and sche- duling.
A ASNAbbreviation for advance ship notice. A AQLAbbreviation for acceptable quality level. A ASPAbbreviation for application service provider.
A and simultaneous selling of an identical asset at a profit in another market. A system. A arithmetic meanSyn: mean. A assaysTests of the physical and chemical properties of arrivalIn queuing theory, a unit that arrives for service, a sample.
A such as a person or part. A assemble-to-orderA production environment where a arrival dateThe date downloadd material is due to ar- good or service can be assembled after receipt of a cus- rive at the receiving site. The arrival date can be input, it tomers order. The key components bulk, semi-finished, can be equal to the current due date, or it can be calcu- intermediate, subassembly, fabricated, downloadd, lated from the ship date plus transit time.
See: due packing, and so on used in the assembly or finishing date. A process are planned and usually stocked in anticipation arrival rateIn queuing theory, the value or distribution of a customer order. Receipt of an order initiates as- describing how often a person or thing arrives for sembly of the customized product.
This strategy is use- service. A ful where a large number of end products based on the selection of options and accessories can be assembled arrow1 In activity-on-arrow networks, the graphic from common components.
Syn: finish-to-order. See: presentation of an activity. The tail of the arrow make-to-order, make-to-stock. A represents the start of the activity. The head of the ar- row represents the finish. Length and direction of the arrow are for the final product.
An assembly may be an end item usually a matter of convenience and clarity. A activity-on-node networks, an arrow represents a prece- assembly binSyn: accumulation bin. A assembly chartOverview of a product containing as- arrow diagramA technique to determine the relation- sembly and subassembly operations, materials, and ships and precedence of different activities and the components. A time estimate for project completion. The technique is 8 APICS Dictionary, 14th edition assembly lead time authentication key assembly lead timeThe time that normally elapses be- personnel do not verify the delivery quantity.
This tech- tween the issuance of a work order to the assembly nique is used to eliminate invoices. A floor and work completion. A assuranceOne of the dimensions of service quality. A quence in which raw materials and parts are assured source of supplyA guaranteed supply source assembled.
See: line, production line. A assembly orderA manufacturing order to an assembly generally created by a contract. A asynchronous processA condition with two related A department authorizing it to put components together processes run to finish independently of each other. A into an assembly. See: blend order. A A3 methodA means of compactly describing a busi- assembly parts listAs used in the manufacturing ness process. A process, a list of all parts and subassemblies that make up a particular assembly.
See: batch card, manu- ATPAbbreviation for available-to-promise. A facturing order. A attachmentAn accessory that has to be physically at- tached to the product. See: feature. If you are a seller for this product, would you like to suggest updates through seller support?
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