The Encyclopedia of Operations Management This page intentionally left blank The Encyclopedia of Operations Management A Field Manual and Glossary of Operations Management Terms and Concepts Arthur V. Hill Vice President, Publisher: Tim Moore Associate Publisher and Director of Marketing: Amy Neidlinger Executive Editor: Jeanne Glasser Editorial Assistant: Pamela Boland Senior Marketing Manager: Julie Phifer Assistant Marketing Manager: Megan Colvin Cover Designer: Chuti Prasertsith Managing Editor: Kristy Hart Project Editor: Betsy Harris Manufacturing Buyer: Dan Uhrig © 2012 by Arthur V. Hill Published by Pearson Education, Inc. Publishing as FT Press Upper Saddle River, New Jersey 07458 FT Press offers excellent discounts on this book when ordered in quantity for bulk purchases or special sales. For more information, please contact U.S. Corporate and Government Sales, 1-800-382-3419,
[email protected] For sales outside the U.S., please contact International Sales at
[email protected] Company and product names mentioned herein are the trademarks or registered trademarks of their respective owners. All rights reserved. No part of this book may be reproduced, in any form or by any means, without permission in writing from the publisher. Printed in the United States of America First Printing July 2011 ISBN-10: 0-13-288370-8 ISBN-13: 978-0-13-288370-2 Pearson Education LTD. Pearson Education Australia PTY, Limited. Pearson Education Singapore, Pte. Ltd. Pearson Education Asia, Ltd. Pearson Education Canada, Ltd. Pearson Educación de Mexico, S.A. de C.V. Pearson Education—Japan Pearson Education Malaysia, Pte. Ltd. The Library of Congress Cataloging-in-Publication data is on file. To the author of all truth. This page intentionally left blank PREFACE Purpose – The Encyclopedia of Operations Management (EOM) is an ideal “field manual” for students, instructors, and practicing managers. For st