Operations Management

Chen H. Chung
University of Kentucky

I. INTRODUCTION
II. INFORMATION AND DECISION SUPPORTS FOR
OPERATIONS STRATEGY
III. INFORMATION SYSTEMS IN THE DESIGN OF FACILITIES
AND PROCESSES

IV. INFORMATION SYSTEMS FOR PLANNING AND CONTROL

OF OPERATIONS
V. INFORMATION SYSTEMS FOR SERVICE OPERATIONS
VI. PERSPECTIVES ON FUTURE DEVELOPMENT

GLOSSARY

(CAE), CAPP, CAM, and hardware systems such

as computer numerically controlled (CNC) machines, AMH system, automated storage and
retrieval systems (AS/RS), automated guided
vehicle (AGV) system, and flexible manufacturing
systems (FMS).
distribution requirements planning (DRP) When
the manufacturing requirements planning logic
is applied to a firms distribution system, the
application is called distribution requirements
planning. DRP provides the basis for tying
the physical distribution system to the manufacturing planning and control system. When DRP is
linked to MRP in a typical manufacturing firm,
the forecasts can be driven through the organization from distribution to manufacturing and
on to procurement.
enterprise resources planning (ERP) On one hand,
ERP extends MRP II to include engineering, finance, human resources, and other activities in the
enterprise, and thus called enterprise resources
planning. On the other hand, the emergence of local and global networks makes it possible for firms
to go beyond traditional modes of developing systems for individual functional areas in a fragmented
manner. ERP intends to integrate and automate
various modules (i.e., softwares) for managing and
controlling traditional back-office functions and
activities such as finance, human resources, marketing, and operations.
e-operations (e-ops) A term used for describing the
application of the Internet and its attendant tech-

aggregate planning Aggregate planning is also called

aggregate production planning or simply production planning. The goal of aggregate planning is to
determine the aggregate levels of production, inventory, and workforce to respond to fluctuating
demand in the medium-term future.
automated manufacturing system (AMS) An interconnected system of material processing stations
capable of automatically processing a wide variety
of part types simultaneously under computer control. The system is not only interconnected by a
material transport system, but also by a communication network for integrating all aspects of manufacturing. An AMS may include several enabling
technologies such as computer-aided design
(CAD), computer-aided manufacturing (CAM),
computer-aided process planning (CAPP), automated materials handling (AMH), etc. Sometimes
the terms CIM (computer integrated manufacturing) and AMS are used interchangeably.
communication-oriented production information and
control system (COPICS) An integrated computerbased manufacturing system developed by IBM in
the early 1970s. COPICS is oriented to production
and related applications. It also provides data to
other major areas such as sales, finance, personnel,
design, research, quality assurance, etc.
computer-integrated manufacturing (CIM) An umbrella term which includes automated technologies such CAD, computer-aided engineering

Encyclopedia of Information Systems, Volume 3

Copyright 2003, Elsevier Science (USA). All rights reserved.

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