Chapter 9 SmartBook - MGMT 3000

The use of computer-aided design and computer-aided manufacturing to sequence and optimize a number of production processes is called...

computer integrated manufacturing

The structure of an organization must be designed to allow the organization to be ____

flexible and agile

the ________ approach to manufacturing relies on having broadly trained employees, general-purpose equipment, and long-term, cooperative supplier relationships.

lean

An operation that achieves increased efficiency while simultaneously improving effectiveness is referred to as ___

lean manufacturing

In lean manufacturing, managers often delegate authority to which group in order to improve quality and problem solving?

operative-level workers

Which are accurate descriptions of strategic alliances? (Check all that apply.)

- Participating organizations accept joint ownership. - Individual organizations share administrative authority. - Social links are formed between participating organizations.

Select the principles of ISO 9001.

- The focus should be on customers. - There should be an evidence-based approach to decision making.

Continuous processes are characterized by which of the following? (Check all that apply.)

- They have a relatively organic structure. - Machines and computers do all the work.

Which statements about ordinary capabilities are true? (Check all that apply.)

- They involve administrative coordination. - They can provide temporary competitive advantage.

Which are important properties of an organization to enable it to meet or exceed customer expectations? (Check all that apply.)

- agility - adaptability - structure

What types of products are produced through mass customization? (Check all that apply.)

- clothes - computers - automobiles

Large organizations benefit from ____.

- economies of scope - economies of scale

JIT represents a number of key production and organizational concepts including ___

- elimination of waste - reduced cycle times - reduced setup times - perfect quality - elimination of delays

Rather than focusing on cost and hierarchy, lean manufacturing emphasizes which of the following? (Choose every correct answer.)

- flexibility - speed - quality

The benefits of CIM include____.

- greater control and predictability of production process - production of high-variety products in high volume - reduced waste

Effective lean manufacturing requires which of the following conditions? (Check all that apply.)

- informal and horizontal communication - long-term, cooperative relationships with suppliers - concurrent product development

Flexible factories, as opposed to traditional factories, are characterized by____.

- organization around products, work cells, or teams - local or decentralized scheduling

Which are common approaches to downsizing? (Check all that apply.)

- replacing full-time employees with temporary workers - eliminating functions

Huge, complex organizations can be difficult to manage because ____.

- too much success can breed complacency - future growth is complicated

Strategic alliances are sometimes formed between ...

- universities - governments - firms and competitors

Effective use of CRM allows companies to do which of the following?

Anticipate customers' needs

______ is a team-based approach that incorporates perspectives of all functions, resulting in a higher-quality product.

Concurrent engineering

______ is a family of standards designed to improve total quality in all businesses for the benefit of producers and consumers.

ISO 9001

In JIT operations, what happens when a customer places an order?

It triggers a factory order and the production process.

______ offers efficiency only when the costs of storing items are greater than the costs of frequent delivery.

JIT

When implemented as part of a business strategy, CRM helps companies do which of the following?

Maximize the long-term value of its customers

An integrative approach to management that supports the attainment of customer satisfaction through a wide variety of tools and techniques that result in continuous improvement in the production of high-quality goods and services is known as...

TQM

If a company seeks to maximize internal efficiencies while emphasizing rigid organizational rules, it is using ___ structure.

a mechanistic

An organization that is prepared to meet the complex and ever-changing challenges that it constantly confronts is...

adaptable

As organizations grow larger, they become more complex. In order to deal with this complexity, larger organizations tend to adopt ____ structures.

bureaucratic

At Barney's Bats, Inc., top managers make all the decisions and pass them down to lower levels for implementation. Barney's Bats can be described as a(n) ____ organization.

centralized

Characteristics of small batch technologies include all of the following EXCEPT...

centralized decision making

A design approach in which all relevant functions cooperate jointly and continually in a maximum effort aimed at producing high-quality products that meet customers' needs is ___.

concurrent engineering

CLM Technologies Inc. manufactures two products, and the production process is fully automated so that no human workers are on the factory floor. The factory runs 24 hours a day. This is an example of...

continuous process technology

A ______ is the knowledge, expertise, or skill that underlies a company's ability to be a leader in providing a range of goods or services.

core capability

Frasier Industries has knowledge, expertise, and skill in producing surgical needles that allow the company to be a leader in the surgical needle market. This ability to lead in the industry is called a ____.

core capability

A planned elimination of positions or jobs is called ___.

downsizing

A multifaceted process focusing on creating two-way exchanges with customers to foster intimate knowledge of their needs, wants, and buying patterns is...

customer relationship management

Companies can better understand, as well as anticipate, the needs of current and potential customers by implementing

customer relationship management

When decision making is spread to lower levels throughout an organization, it is considered highly ___.

decentralized

What allows firms to compete with large foreign rivals by using materials and processes from one product to make others?

economies of scope

True or false: When it comes to company size, bigger is always better.

false

Manufacturing plants that have short production runs, are organized around products, and use decentralized scheduling are called ____ factories.

flexible

As companies grow larger, and their market share increases, customers may begin to view their products as ___.

having lower quality

With continuous process technology, company communication tends to be...

informal

A system that calls for subassemblies and components to be manufactured in very small lots and delivered to the next stage of the production process just as they are needed is ____.

just-in-time (JIT) operations

A centralized company with a mechanistic structure and many rules and formal procedures typically uses... technology

large batch

McDonald's and Burger King have production processes that tend to be very standardized, with all customers receiving similar if not identical products. They are examples of companies that use...

large batch technology

An organizing approach based on a commitment to making an operation both efficient and effective and that continually strives for improvement is called ____ manufacturing.

lean

The movement of resources into the organization and of products from the organization to its customers is called ____.

logistics

Which function is often critical to an organization's ability to be responsive and achieve a competitive advantage?

logistics

The production of varied, individually customized products at the low cost of standardized, mass-produced products is called___.

mass customization

Burns and Stalker described a _____ organization as one that has rules to ensure employees perform their work duties in a standardized fashion.

mechanistic

The overall reason why organizing activities like agility, adaptability, and structuring are important to organizations is because it enables organizations to ___

meet and exceed customer expectations

A strategic alliance is a formal relationship created for the purpose of joint pursuit of ____

mutual goals

Capabilities pertaining to basic administrative and operational functions needed to get tasks done are called ...

ordinary capabilities

An organizational form that emphasizes flexibility has a(n) ___ structure.

organic

When a company decentralizes its decision making and allows employees to rely more heavily on judgment than on rules, the company is using a(n)... structure

organic

Managers must usually restructure their internal processes and relationships with customers in fundamental ways to achieve ____ quality.

six sigma

Which refers to an approach that uses statistical tools to analyze the causes of product defects and aims at defect-free outputs?

six sigma

Standardizing the processes to reach the lowest practicable level of any cause of customer dissatisfaction is one component of ___.

six sigma quality

Yolanda Bee is an entrepreneur who specializes in catering to high-end photography enthusiasts. In her organization, there are no rules and formal procedures, and the decision making tends to be decentralized. Yolanda's operation is best described as...

small batch

For companies, being small is good for ______, but being large is good for ______.

speed; market power

The Community Helpers Counseling Center and the Simplified Software Company have recently joined forces to produce a meal planning program for use on home computers. The two organizations decided to work together on the project since neither one could have developed the project with their own resources. This effort could be considered a ____.

strategic alliance

Which term refers to the methods, processes, systems, and skills used to transform resources into products?

technology

______ is the systematic application of methods, processes, systems, and skills to transform inputs into outputs.

technology

Large organizations are harder to control because ____.

they become more structurally complex

A strategy aimed at reducing the total time it takes to deliver a product or service is ____.

time-based competition

Raja is implementing logistics, just-in-time, and simultaneous engineering to reduce the total time needed to deliver his service to his customers. These strategies are known as____.

time-based competition

______ management is a way of managing in which the organization is committed to improvement of a product or service.

total quality

Sookie has worked diligently to re-orient the managers of her company toward a comprehensive approach to improving product quality and customer satisfaction. Sookie's company is practicing ...

total quality management