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The IUP Journal of Operations Management
Feb'13
Focus

This issue covers a wide range of traditional and new operations management techniques. Total Quality Management (TQM) and Total Productive Maintenance (TPM) are considered as two pillars

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Statistical Analysis and Reliability Estimation of Total Productive Maintenance
Synergies of Lean Six Sigma
Continuous Improvement Strategies: An Overview
Research Note- Management by Walking Around: An Effective Tool for Day-to-Day Operations of Hospital
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Statistical Analysis and Reliability Estimation of Total Productive Maintenance

--M S Prabhuswamy, P Nagesh and K P Ravikumar

Total Quality Management (TQM) and Total Productive Maintenance (TPM) systems are considered as the key operational activities of the quality management system. Implementing TQM and TPM together results in synergy. They act as two drives to improve the business performance excellence in a typical industry. One of the main objectives of TPM is to increase the productivity of plant and equipment with a modest investment in maintenance. After implementing TPM, it is necessary to measure the effectiveness of TPM. Overall Equipment Effectiveness (OEE) is an indicator that measures the effectiveness of TPM. The number of defective products produced by the machine indicates the condition of the machine and also reduces the rate of quality and affects the OEE. In this paper, an attempt is made to measure the effectiveness of TPM by performing a statistical analysis. The assessment of TPM on a continual basis is an essential activity of OEE validation. This activity involves large computations and analytical skills. The estimation of TPM is a time-consuming and costly process. It is not possible to conduct the study very often. If the behavioral pattern of TPM is determined analytically, it helps the maintenance engineer to predict the OEE over a specific period of time. In view of the above, reliability-based TPM estimation is proposed in the paper.

Synergies of Lean Six Sigma

-- M Vijaya Sunder

This paper analyzes two popular process improvement methodologies—Lean and Six Sigma—to compare and contrast the differences and commonalities which can lead to a successful continuous improvement program. The views of Lean and Six Sigma professionals across financial services, healthcare, hospitality and ITES sectors were studied and analyzed for understanding the real-time challenges of corporates in the current markets for quality deployment. The study was conducted using surveys, interviews and case studies. The scope of the study is restricted to transaction-based service organizations. Lean being an on-floor improvement technique and Six Sigma a popular statistical-based methodology are looked at from a focused perspective for developing a hybrid methodology. Lean Six Sigma model is proposed in the paper for successful deployment. The model is further tested for acceptability as a proposal of usage for process improvement professionals and proved successful with an acceptance rate of 98.8%. The paper also presents important failure modes of Lean Six Sigma deployment, its advantages and points of caution.

Continuous Improvement Strategies: An Overview

--Jagdeep Singh and Harwinder Singh

Continuous Improvement (CI) strategies are the recognized way of reducing waste by focusing on small incremental changes. Most of the manufacturing industries are currently encountering a necessity to respond to rapidly changing customer needs, desires and tastes. To compete in this competitive environment, these manufacturing organizations need to adopt such strategies in their manufacturing environment. CI strategies ensure that manufacturing processes become leaner and fitter, and also eliminate waste where value is added. This study attempts to identify various CI strategies utilized by the manufacturing organizations and reviews the existing literature on CI strategies.

Research Note
Management by Walking Around: An Effective Tool for Day-to-Day Operations of Hospital

--D Rama Mohan, S Sathish Kumar and G Subrahmanyam

Management By Walking Around (MBWA) emphasizes the importance of interpersonal contact, open appreciation, and recognition. It is one of the most important ways to build civility and performance at the workplace. It does not just cut vertical lines of communication but also builds trust and relationship (Serrant 2009). MBWA was developed by executives at Hewlett-Packard in the 1970s (Trueman, 1991). It became popularized by a book written by John Peters and Robert Waterman in the early 1980s.

The basic principle is that nothing is more instructive than seeing what actually transpires in the real world and learning from that. MBWA is a leadership technique that has stood the test of time and can be used by any manager. MBWA does not mean leaving your responsibilities behind and moving around the work areas; it does more harm than good if it is not executed properly (Jones, 2009). The idea of MBWA is that managers should learn about the problems and concerns at firsthand.

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Automated Teller Machines (ATMs): The Changing Face of Banking in India

Bank Management
Information and communication technology has changed the way in which banks provide services to its customers. These days the customers are able to perform their routine banking transactions without even entering the bank premises. ATM is one such development in recent years, which provides remote banking services all over the world, including India. This paper analyzes the development of this self-service banking in India based on the secondary data.

The Information and Communication Technology (ICT) is playing a very important role in the progress and advancement in almost all walks of life. The deregulated environment has provided an opportunity to restructure the means and methods of delivery of services in many areas, including the banking sector. The ICT has been a focused issue in the past two decades in Indian banking. In fact, ICTs are enabling the banks to change the way in which they are functioning. Improved customer service has become very important for the very survival and growth of banking sector in the reforms era. The technological advancements, deregulations, and intense competition due to the entry of private sector and foreign banks have altered the face of banking from one of mere intermediation to one of provider of quick, efficient and customer-friendly services. With the introduction and adoption of ICT in the banking sector, the customers are fast moving away from the traditional branch banking system to the convenient and comfort of virtual banking. The most important virtual banking services are phone banking, mobile banking, Internet banking and ATM banking. These electronic channels have enhanced the delivery of banking services accurately and efficiently to the customers. The ATMs are an important part of a bank’s alternative channel to reach the customers, to showcase products and services and to create brand awareness. This is reflected in the increase in the number of ATMs all over the world. ATM is one of the most widely used remote banking services all over the world, including India. This paper analyzes the growth of ATMs of different bank groups in India.
International Scenario

If ATMs are largely available over geographically dispersed areas, the benefit from using an ATM will increase as customers will be able to access their bank accounts from any geographic location. This would imply that the value of an ATM network increases with the number of available ATM locations, and the value of a bank network to a customer will be determined in part by the final network size of the banking system. The statistical information on the growth of branches and ATM network in select countries.

Indian Scenario

The financial services industry in India has witnessed a phenomenal growth, diversification and specialization since the initiation of financial sector reforms in 1991. Greater customer orientation is the only way to retain customer loyalty and withstand competition in the liberalized world. In a market-driven strategy of development, customer preference is of paramount importance in any economy. Gone are the days when customers used to come to the doorsteps of banks. Now the banks are required to chase the customers; only those banks which are customercentric and extremely focused on the needs of their clients can succeed in their business today.

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