Overview

Part of the major process decisions, it is important in how operation managers must decide on allocating sufficient resources, layout, technology, and planning around either the product or the very process they utilize. A note to point out is that the type of process that is chosen by operation managers partly comes from their strategy to gain competitive advantages over its competitions.

A detailed look shows that there are four distinctive process structures. These four structures may be chosen by the operation manager based on which one suit their process the most. The four structures are:

• Project process
• Batch process
  
• Line process
• Continuous flow process
  

In this article, we would take a look at how each process might provide advantages and disadvantages for a food service company located in a hospital. This food service would require the following,

• High volume output/Moderate-to-low customization
  
• Production period of 2.5 hours for the three meals, breakfast, lunch, and dinner.
  
• Assumes that all food has been prepared to be cooked (pressured)
  
• Delivery and production are separate and has no effect on each other
• Needs serve 300 to 500 patients per meal
  
• Each meal is all the same consisting of main entrée, soup, dessert, and coffee/tea. Exception to that is if the patient places a special order due to restricted diet or allergies.
  

Project Process

The project process is required for jobs that demand a high level of customization with low volume. It is characterized by "…a high degree of job customization, the large scope of each project, and the release of substantial resources once a project is completed…." Examples of project process are building houses, installing company network system, running a political campaign or developing new technologies.

A detailed plan of the overview of the food services would provide variety of benefits which would help eliminate unnecessary costs and expenses from operation. Especially those associated from normal operation. However, the disadvantage is that output level needs to be relatively high in order to provide service to over 300 patients within a span of 2.5 working hours.

Batch Process

The batch process is aimed at jobs that require a high-to-mid level of customization with a low-to-mid volume. It maintains a certain level of customization with a moderate volume output. However, it is by no means capable of producing at large quantity volume, mostly it is adjusted to producing what is needed and not ahead of time, make-to-order. Examples of batch process are bakeries, Dell computers, or customer orders.

The batch process works best if the food service specializes in taking orders directly from the patient, ie. like you would from ordering at a food fair. But, because the food service requires a more volume output, the batch process would only be able to operate on make-to-order.

Line process

The line process offers a moderate level in both customization and volume. Think of it as the "jack-of-all-trades, master-of-none" process structure. It is capable of producing moderate level of volume output while at the same time retaining the ability to be able to customize its process whenever it is required. However, because usually the line process almost always utilize a "conveyor belt"-system, it becomes connected and paced leaving it able to produce a single type of product in one run, rather having it variable in different stages of the process. Examples of line process are car manufacturers, cafeteria line, or fast-food restaurants.

The line process at first offers a great advantage in that it offers both a moderate level of customization and volume. This would be ideal if the food service didn't have a high quota to meet in such a short amount of time.

Continuous Flow Process

The continuous flow process is a low level customization, high level volume process. It is located on the "…extreme end of high volume, standardized production with rigid line flows…." This process is mainly used for one process without the need to stop midway. It has a fixed pace and fixed activities that once the process begins, it moves the material through a continuous flow without stopping until it finishes. Examples of a continuous flow process are oil refinery, sugar production, chemical plants, or metalwork.

The advantages of a continuous flow process are its high level volume and its constant pace of meeting that high level of output. If the food services was to utilize this process, they would keep a high volume output with very little downtime.

Further Reading:
http://www.netmba.com/operations/process/analysis/
http://www.netmba.com/operations/project/wbs/
http://syque.com/quality_tools/toolbook/Process/process_structure.htm
http://en.wikipedia.org/wiki/Operations_management
http://en.wikipedia.org/wiki/Process_management

Source:
Ritzman, L. P., Krajewski, L. J., Malhotra, M. K., & Klassen, R. D.. Foundations of Operations Management - 2nd Canadian ed. Toronto: Pearson Education Canada. (2007)

http://www.netmba.com/operations/process/structure/