DECA Operations PIs

Describe the use of technology in operations (SP)

)1. automation: tech can automate inventory management + order processing; saves time, reduce errors, free up employees to focus on more important things 2. data analysis: tech can analyze a lot of data (see data mining) to identify patterns/trends; includes data on sales, inventory levels, customer behavior, production efficiency 3. communication: can improve communication between suppliers, customers, and w/in org; includes email, instant messaging, intranet, video conferencing, and groupware software 4. manufacturing: tech can optimize this thru the use of robotics, automation, and computer-aided design/manufacturing (CAD/CAM) software 5. logistics: tech can optimize this + SCM thru use of transportation management systems, warehouse management systems, predictive analytics (the use of data algorithms/machine learning techniques to identify the likelihood of future outcomes based on historical data) 6. customer service: tech can improve customer service w chatbots, self-service portals, and CRM software; customers have quicker + more efficient/personalized support

Describe health and safety regulations in business (PQ)

1. Occupational Safety and Health Admin (OSHA): employers must comply w OSHA regulations 2. hazardous materials: businesses that handle chemicals/radioactive materials must comply w regulations set by Env. Protection Agency (EPA); includes proper storage, handling, disposal 3. fire safety: must comply w those related to building design, fire prevention, and evacuation procedures; ensuring fire extinguishers/smoke detectors properly functioning 4. workstation ergonomics: must provide ergonomic workstations that minimize physical strain/injuries (back pain, carpal tunnel, eye strain); providing ergonomic chairs, keyboards, computer monitors 5. infectious diseases: must take steps to prevent spread of infectious diseases; providing hand sanitizer, promoting good hygiene practices, providing sick leave 6. workplace violence: must take steps to prevent this; bg checks, training on how to recognize/prevent this, and providing safe/secure working env. 7. emergency preparedness: must have emergency preparedness plans in place; procedures for responding to natural disasters, medical emergencies, etc

Explain routine security precautions (CS)

1. access control: use physical barriers, locks, card readers, or biometric scanners 2. info security: implement strong passwords, encrypt data, restrict access to sensitive info 3. surveillance: monitor areas w cameras, security guards, or patrols 4. security training: train employees on security protocols/procedures on how to recognize/report sus activities/ppl 5. fire safety: est. clear protocols for preventing/responding to fires; maintaining extinguishers/smoke detectors, conducting fire drills, keeping fire exits clear 6. emergency response: est. clear protocols for responding to emergencies to natural disasters, etc; have specific evacuation spots, meeting points, communication, and name-call 7. bg checks: conduct bg checks on employees/contractors who have access to sensitive info 8. equipment maintenance: make sure all security equipment like cameras, alarms, and locks are working 9. physical security: lock doors/windows when not in use; use fences; turn off lights; log out at the end of the day

Protect company information and intangibles (CS)

1. be aware of security policies/protocols: should be familiar w guidelines for handling sensitive info, use of company devices, and accessing company networks 2. keep passwords secure: use complex passwords and change them regularly; use different passwords for different things 3. avoid using personal devices: don't use them for work-related activities; can increase risk of security breaches; have separate accounts 4. keep sensitive info confidential: only share this on a need-to-know basis; don't discuss it outside of work 5. use secure communication channels: use encrypted emial or secure messaging apps esp. when transmitting sensitive info 6. report security incidents: any suspected breaches should be reported to manager/IT department 7. attend training sessions: employees should undergo training/try to actually pay attention 8. respect intellectual property rights: should respect copyrights, trademarks, and patents; don't use copyrighted stuff w/out permission

Explain the nature and scope of purchasing (CS)

1. competitive bidding: the RFI, RFP, or RFQ will explain to potential bidders what the bidding process entails, contract terms and clear guidance on how proposals should be presented. detail the nature of the need with a Statement of Work and a clear account of how the bids will be evaluated, including the criteria for evaluation and the method for grading proposals. will also include a deadline by which interested parties must submit their bids. once bids are collected, the procurement will heck references and ask for benchmarks to gain a deeper understanding try to visit the supplier's facilities to do an inspection—even bring colleagues from other departments A person who purchases goods for business purposes, usually routine large-scale orders, is called an organizational buyer. new task purchase, in which a purchase is made for the first time modified rebuy, where the buyer has had experience buying the good or service but some aspect of the purchase has changed straight rebuy, when a buyer routinely orders the goods or services from the same vendor(s) as in the past.

Maintain data security (CS)

1. conduct risk assessment: this identifies potential vulnerabilities + where most sensitive data is located, how it's being used, and who has access to it 2. implement access controls: passwords, multi-factor authentication, and role-based access 3. encrypt sensitive data: ensures that it remains confidential + can't be read by unauthorized ppl during breach 4. use secure communication channels: encrypted email + file transfer systems 5. regularly update software systems: this makes sure that vulnerabilities are patched up 6. perform security audits: Independent review of a system's records and activities to determine the adequacy of system controls, ensure compliance, detect breaches in security services 7. conduct regular security training: make sure employees are up-to-date w the latest measures; password management, phishing attacks, and social engineering 8. follow data privacy regulations: GDPR (consent should be freely given, specific, informed and unambiguous by way of a request presented in clear and plain language) CCPA ( the right to opt out of third-party data sales, the right to be informed of data collection and rights, the right to have collected data disclosed, the right to have collected data deleted, and the right to equal services and prices.)

Plan project (CS)

1. define goals and objectives: goals should be SMART goals; also draft project objectives that focus on the specific deliverables you're going to achieve by certain points 2. set success metrics: set up KPIs; see above for what kind 3. identify stakeholders and roles: see what kind of risk management is needed; create a RACI chart; Responsible. This person is directly in charge of the work. Accountable. The Accountable person is responsible for overseeing overall task completion, Consulted. This will be the person or people who should review and sign off on the work before it's delivered. Informed. This is the person or group of people who are informed about the progress and completion of work 4. create a project team: assemble qualified professionals who have all the necessary skills for everything in the project; assign roles and see above 5. set your budget: start with fixed amounts, operating costs/material costs, then try to estimate how much the deliverables will cost 6. align on milestones, deliverables, and project dependencies: make sure deliverables are produced in a timely and effective manner at the right milestones; use project dependencies to make sure each step is completed fully before moving on 7. outline timeline and schedule: if working on a larger project w a few unknown dates, try using a project roadmap; have employees put stuff in their google calendar 8. plan on how to manage risks + how to meet

Select vendors (SP)

1. define procurement requirements: identify goods needed, quality standards, delivery timeframes, etc 2. identify potential vendors: use e-procurement to identify vendors, or look thru industry assocations 3. request for info (RFI): org. can issue this to potential vendors to gather info abt. capabilities, exp. and track record; should include procurement requirements 4. evaluate vendor responses: PRICE: Make sure each bid includes every line-item cost. You should understand if the vendor intends to add travel surcharges, administrative expenses, or maintenance fees. Always read the fine print. That is where you may find some hidden charges or fees. In the case of very complex contracts, it might be worth investing a couple hundred dollars to have an attorney review and translate the language for you. QUALITY: When hiring for service, ask about employee training. Where applicable, ask to see samples of the vendor's previous work CHECK REFERENCES: require each vendor to submit to at least 3 Then make sure you call those references and ask questions such as: Was the vendor punctual for appointments? Were their employees professional? Were you comfortable with the employees who came to your business? How would you rate the quality of their products or services? If something went wrong, did they make it right? Would you use them again? ETHICS: The Better Business Bureau, Home Advisor or Angie's List all provide valuable information that can help you find out information on a prospective vendor. An Internet search "[vendor name] news' can also yield a lot of company information, both positive (e.g.-charitable involvements) and negative (e.g.-newspaper articles about lawsuits). EXISTING RELATIONSHIPS: If you have a current vendor that you like, I still recommend soliciting other bids to ensure that the vendor is still providing the best value for your money. 5. request for proposal (RFP): once potential vendors have been shortlisted, org. can issue RFP; should include procurement requirements, evaluation criteria, etc 6. evaluate vendor proposals; a) Record Business Requirements and Vendor Requirements On a spreadsheet list the business requirements and then the vendor requirements that were compiled in the first step, Analyze Business Requirements b) Assign Importance Value for Each Requirement For each of the requirements assign an "Importance Value" using a scale from one to ten; where 1 is extremely unimportant, and 10 is extremely important 2b) If a requirement is dichotomous to the point where you would want to eliminate the vendor immediately if they cannot meet the requirement, then mark that requirement as "Pass/Fail. c) Assign a Performance Value for Each Requirement: the team will need to assign a "performance value" that they believe that each vendor performs on each of the requirements. 2c) If a requirement is indicated to be "Pass/Fail" and the team agrees that the individual vendor has not met the requirement, that vendor can be immediately removed from further consideration d) Calculate a Total Performance Score: multiply the individual Importance Value by the vendor's Performance Value. Total the sum of all an individual vendor's Performance Score 7. select the vendor/negotiate and finalize the contract: must agree on pricing, delivery timeframes, payment terms, etc

Identify resources needed for project (SP)

1. define project scope: define project's objectives, goals, deliverables, specific requirements for resources; will help identify types and amount of resources needed 2. develop a project plan: create a detailed one that outlines the scope, schedule, budget, and quality requirements 3. identify resource types: personnel, equipment, materials, and facilities; identify the skills, exp, and qualifications required for personnel and the specifications for equipment and materials 4. determine resource quantity: determine number of personnel, amount of equipment, and volume of materials; will help estimate overall cost of the project and develop a budget 5. assign resources: assign resources to specific tasks/activities; ensure allocation is aligned w project's timeline, objectives, etc 6. develop a resource management plan: develop one that will outline how resources are acquired, managed, and released during project; should include contingencies or resource shortages or changes in scope 7. monitor resource utilization: make sure resources are used effectively/efficiently; track resource costs, usae rates, and availability

Evaluate project success (CS)

1. define project success criteria: have you met the KPIs you've set up; have you stayed within budget and within the timeline to meet the KPIs; are the stakeholders satisfied 2. collect data: performance metrics; use focus groups and surveys from stakeholders; document how the project went (setbacks and all); use data mining to identify general trend 3. analyze the data: identify any areas of success and any areas that need improvement 4. evaluate stakeholder satisfaction: use feedback surveys, interviews, etc 5. identify lessons learned: identify mistakes, challenges, and what worked and what didn't; share this w the project team to help improve future projects

Explain the impact of the purchasing process on productivity (SP)

1. delayed procurement: this can lead to production delays, missed deadlines, and lost sales; production may be delayed or stopped altogether= lost productivity and revenue 2. inefficient supplier selection: can lead to longer lead times (the time between the initiation and completion of a production process), poor quality, and increased costs if suppliers not selected based on quality and reliability, production may be slowed/quality may be compromised= lost productivity and increased costs 3. ineffective negotiation: can lead to higher costs, unfavorable terms, and increased lead times; if purchasing agents are not skilled, they might not be able to get the best prices/terms 4. poor communication: poor communication between purchasing agents/other departments= misunderstandings, delays, and mistakes; if purchasing agents don't communicate effectively w production/logistics/finance, this can lead to delays in procurement/misplaced orders/lost productivity 5. inadequate inventory management: this can lead to stockouts, waste, and increased costs; stockouts= additional orders and lead times or overstocking leading to increased waste/storage costs 6. inefficient payment process: can lead to delayed payments, late fees, and reduced supplier trust; if payment process are inefficient, there maybe delays/late fees; strained supplier relationships, reduced trust, and potential supply chain disruptions

Place orders/reorders (CS)

1. determine the need: identify the quality and specifications of the item required as well as any deliver/quality rquirements 2. identify potential suppliers: can use competitive bidding method; review supplier catalogs, conducting research/interviews, visiting supplier in person 3. evaluate suppliers: should be evaluated based on factors like price, quality, delivery time, and reputation 4. negotiate terms: negotiate pricing, delivery schedules, and payment terms 5. place or replace the order: provide the supplier with a purchase order or other formal document 6. monitor supplier performance: track delivery times, inspect product quality, etc 7. replace orders: if goods/services don't meet expectations, replace; involves renegotiating terms or identifying and evaluating alternative suppliers

Comply with policies and procedures for use of property and equipment (CS)

1. familiarize yourself w policies and procedures: read all manuals, employee handbook, ask questions, and pay attention during training 2. communicate policies/procedures: provide training, create guidelines, put posters throughout office if necessary 3. enforce policies and procedures: create and make clear consequences for non-compliance like disciplinary action/loss of access to equipment or property 4. maintain equipment: perform regular maintenance, conduct safety checks, and repair equipment 5. monitor usage: look thru surveillance footage to make sure it's being used properly 6. report issues: report safety concerns, damages, or thefts immediately

Resolve problems with suppliers' quality issues (SP)

1. gather detailed information: create a form you can send to your supplier a) Provide a detailed description of the problem; Document the issue by taking photographs b) WHEN AND WHERE WAS THE ISSUE DISCOVERED? c) WHICH LOT OF GOODS IS AFFECTED? Provide the purchase order number Provide the item number and description Take a photo of the export carton for verification d) WHAT IS THE FAILURE RATE? How many products in the lot were used? How many defects were found? e) HOW WOULD YOU HANDLE THIS ISSUE? Waive issue but need supplier to improve? Sort before use? 5 Reject the entire lot? 2. be speedy Make sure all relevant departments (internally, as well your supplier) are alerted to the issue urgently so it does not spread deeper. For example, if a lot of goods are found to be defective, logistics should be notified to hold all pending shipments of that item from the factory, as well as from your domestic warehouse, until further inspections can be conducted. 3. offer realistic solutions Your and your supplier's engineering teams should collaborate on problem-solving efforts to arrive at the best solution for all parties, keeping in mind that certain limitations may exist. For instance, if you're working with a Chinese supplier with low margins, a less costly solution may be preferred. Keep an open mind and work together to arrive at a solution that works for everyone 5. evaluate: regularly monitor them and do audits of the supplier's processes; if they're still making mistakes, switch to a different supplier

Coordinate activities with those of other departments (SP)

1. identify key interdependencies: includes understandhing how the work of one department impacts the other; by identifying these, u can create a more holistic understanding of operations 2. est. communication channels: includes regular meetings, email updates, use digital project roadmaps to hold employees accountable 3. develop shared goals/metrics: these ensure everyone is working towards a common objective 4. assign responsibility: make sure progress is being made and that accountability is there 5. monitor progress: track progress towards shared goals and metrics thru Gantt charts; make adjustments as necessary 6. evaluate and refine: evaluate coordination efforts; encourage feedback from employees

Manage the bid process in purchasing (SP)

1. identify the need: define the scope of procurement, required specifications, and quantity of goods/services needed 2. develop procurement plan: outlines timeline, evaluation criteria, and terms and conditions; should be developed in consultation w stakeholders + reflect organizational goals 3. identify potential suppliers: advertise procurement opportunity on websites, trade publications, etc 4. owners or project teams first need to issue a request for proposal (RFP) or invitation to bid (ITB) to initiate the bidding process. 5. A tender manager then prepares a package that indicates specifics about the project. should include deadlines, expectations, specifications, supporting documents, and the list of requirements that the bidders should submit. it is typical to request the bidding company's profile, project portfolio, personnel resumes and financial statements 6. Once an RFP is issued, interested parties will begin to evaluate the proposal. In this context, the project manager who prepares the bid is called a bid manager. The bid manager communicates with the project team to verify the availability of resources that they're about to commit, as well as liaising with the company that issued the RFP for clarifications. If the bidding party is a general contractor, this process may include facilitating another bidding session with subcontractors or third-party vendors. Once all details are compiled and organized, the bid can then be passed to the requesting organization. 7. he most popular way to pick the best vendor or service provider is the MEAT criteria (most economically advantageous tender). Quality. Price or cost using a cost-effectiveness approach. Technical merit. Aesthetic and functional characteristics. Accessibility. Social characteristics. Environmental characteristics. Innovative characteristics. After-sales service and technical assistance. Delivery conditions such as date, process and period Selection can be a two-step process where applicants are shortlisted before the final tenders are selected. Communication between the buyer and bidders is expected during this stage. The tendering organization can also request presentations or interviews for more clarification. 8. the tendering organization will inform them of the final approved price and additional requests if applicable. The management and administrative departments of the project team's organization can start getting involved at this stage. Legal terms, payment terms, deliverable schedules, and other important details are documented and signed by the involved parties to solidify the agreement.

Explain information privacy, security, and confidentiality considerations in business (CS)

1. info privacy: right of individuals to control the collection, use and dissemination of personal info; must follow GDPR and CCPA; consumers have a right to know and ask 2. info security: companies must take measures to maintain this; implementing access controls, encrypting sensitive data, regularly monitoring/performing security aduits 3. confidentiality: obligation to protect info from unauthorized disclosure; must est. policies to portect this and limit access to those who have a legit need to know

Maintain inventory of supplies (CS)

1. just-in-time management: allows companies to save significant amounts of money and reduce waste by keeping only the inventory they need to produce and sell products If demand unexpectedly spikes, the manufacturer may not be able to source the inventory it needs to meet that demand if a key input does not arrive "just in time," a bottleneck can result 2. materials requirement planning: is sales-forecast dependent, meaning that manufacturers must have accurate sales records to enable accurate planning of inventory needs and to communicate those needs with materials suppliers in a timely manner. Inability to accurately forecast sales and plan inventory acquisitions results in a manufacturer's inability to fulfill orders 3. Economic Order Quantity: by calculating the number of units a company should add to its inventory with each batch order to reduce the total costs of its inventory while assuming constant consumer demand. The costs of inventory in the model include holding and setup costs. seeks to ensure that the right amount of inventory is ordered per batch so a company does not have to make orders too frequently and there is not an excess of inventory sitting on hand. assumes that there is a trade-off between inventory holding costs and inventory setup costs, and total inventory costs are minimized when both setup costs and holding costs are minimized 4. Days Sales of Inventory: indicates the average time in days that a company takes to turn its inventory, including goods that are a work in progress, into sales. Generally, a lower DSI is preferred as it indicates a shorter duration to clear off the inventory, 5. perpetual: a system used to track and record stock levels, in which every purchase and sale of stock is logged automatically and immediately. 6. periodic: a company physically counts inventory at the end of each period to determine what's on hand and the cost of goods sold 7. automatic: you can set reorder points; very effective

Streamline work processes (SP)

1. map out current processes: understand the steps involved, who is involved, and the time required 2. identify bottlenecks: identify areas that are slow; this includes processes that require a lot of manual effort or those w extremely lengthy steps 3. simplify processes: remove unnecessary steps For example, you may note in the assessment that there are five bins of paper shredded and taken to the trash each day. When you analyze the outcome you should calculate the cost of the toner and paper, the time employees spend printing and shredding and compare what a new software could do to improve a certain process or workflow in your organization or department try automating processes like billing, inventory management, etc 4. standardize processes: create clear guidelines abt. how tasks should be completed; this can help streamline training For example, a travel agent website collects data from third-party vendors to share information about hotel and rental car deals. They use data standardization to make sure they organize all their information in a uniform system 5. implement continuous improvement: get feedback from others, monitor the impacts, and make adjustments 6. provide training: provide training on new software/tools; provide support to employees who are struggling to adapt in changes to processes

Discuss the importance of utilizing ethical purchasing methods (SP)

1. promotes social responsibility: ensures goods and services are acquired from suppliers that adhere to ethical and sustainable practices; includes suppliers that provide safe working conditions, pay fair wages, and respect human rights 2. protects the env: promotes use of sustainable materials, reducing waste, and minimizing carbon footprint; includes sourcing materials from sustainable sources and minimizing packaging waste 3. enhances reputation: can enhance reputation by demonstrating commitment to social and environmental responsibility; attract customers, investors, and employees that are looking for ethical businesses 4. reduces risks: can reduce risk of legal and reputational issues; includes issues like labor violations, env. damage, and corruption 5. improve supply chain efficiency: can reduce waste, improve supplier performance, and promote innovation

Monitor projects and take corrective actions (CS)

1. regularly monitor progress: review project status against est. metrics to identify any issues that require corrective action 2. analyze data: analyze project data to identify trends, patterns, or issues; identify underlying causes such as inadequate resources, poor communication, etc 3. identify corrective actions: use the RCA (root cause analysis) to try to figure out what you can do to solve the root cause Question #1:Is my problem-solving team trained enough and aware of their respective functions? Question #2:Does our problem statement answer the 5 Ws and 2 Hs for greater clarity and accuracy? Question #3:Can these actions temporarily isolate the problem from our customers in the future? Question #4:Does the root cause reveal nonconformance or hidden flaws in the system? Question #5:Can these possible solutions change the product and/or process conditions to permanently solve the problem? Question #6:Were actions communicated to all stakeholders to mitigate the risk and to measure improvements? Question #7:Were similar products and/or processes reviewed and work procedures updated for problem prevention? Question #8:Have I provided relevant feedback and recognized both team and individual efforts? 4. implement them: now that you know the root cause(s), you can take action immediately: ex reallocating resources, changing plan, or adjusting timeline; communicate this to stakeholders 5. monitor the effectiveness: evaluate impact of corrective actions on progress and see if it's better; compare against how well you're doing on KPIs 6. take preventative actions: includes updating project plan, refining project processes, or providing additional training to team members

Monitor and ensure completion of delegated tasks (SP)

1. set clear expectations: set clear expectations of what KPI each group/person is responsible for meeting, when it needs to be done, and what the desired outcome should be; suggest how it should be done in a more private meeting 2. est. a system for monitoring progress: includes regular check-ins, progress reports, or other forms of communication; use Microsoft Teams to hold team members accountable 3. provide support and guidance: provide resources, answer questions, provide feedback 4. hold ppl accountable: est. clear consequences for not completing the task or for not completing it to the desired standard 5. celebrate success: recognize the individuals; offer verbal compliments; include salary increase or bonuses

Utilize quality control methods at work (SP)

1. set quality standards: define the acceptable quality level of each aspect of the product (performance, reliability, durability, and safety); focus on the most critical measures affecting profits 2. develop control plans: identify the critical control points where quality control measures can be implemented; use an X-bar chart to see if there are any systemic issues that can be fixed 3. est. control checkpoints: set up testing and inspection procedures at certain points; determine where to set them up by doing statistical sampling at various points 4. train staff: staff need to be trained on control plans, procedures for testing, inspection, and verification 5. monitor performance: monitor defect rates, customer satisfaction, etc 6. continuously improve: identify areas for improvement, adjust procedures/guidelines, implement those changes STATISTICAL PROCESS CONTROL (SPC): focuses on optimizing continuous improvement by using statistical tools to analyze data, make inferences about process behavior, and then make appropriate decisions. The basic assumption of SPC is that all processes are generally subject to variation. measures how data are spread around the central tendency 1. Identify the processes: identify the key process that impacts the output of the product or the process that is very critical to the customer. 2. Determine measurable attributes of the process: identify the attributes that need to be measured during production. 3. Determine the measurement method and also perform Gage R&R: create a measurement method work instructions or procedure including the measuring instrument. Perform Gage Repeatability and Reproducibility (Gage R & R) to define the amount of variation in the measurement data due to the measurement system. 4. Develop a subgroup strategy and sampling plan: determine the subgroup size based on the product's criticality and determine the sampling size and frequency. 5. Collect the data and plot the SPC chart: collect the data as per sample size and select an appropriate SPC chart based on data type (Continuous or Discrete) and also subgroup size. 6. Describe the natural variation of attributes: Next, calculate the control limits. From the above example, calculate the upper control limit (UCL) and lower control limit (LCL) for both Xbar Ranges. 7. Monitor process variation: interpret the control chart and check whether any point is out of control and the pattern. Example: check the Xbar R chart if the process is not in control, then identify the assignable cause(s) and address the issue. This is an ongoing process, so monitor the process variation. SIX SIGMA: a) Define: A team of people, led by a Six Sigma champion, defines a faulty process on which to focus, decided through an analysis of company goals and requirements b) Measure: measures the initial performance of the process; makes up a list of potential inputs, which may cause the problem and help the team understand the process's benchmark performance. c) Analyze: analyzes the process by isolating each input, or potential reason for the failure, and testing it as the root of the problem. uses analytics to identify the reason for process errors. d) Improve: the team works from there to improve system performance. e) Control: adds controls to the process to ensure it does not regress and become ineffective once again

Describe the role of ethics in project management (SP)

1. stakeholder management: project managers must consider interests of all stakeholders (clients, team members, investors, and broader community); must ensure project benefits all and doesn't harm any 2. risk management: must be transparent about risks, communicate them effectively, and inform stakeholders on steps to mitigate them (see above) 3. conflict resolution: must be able to resolve conflicts w/in the project team or between the team and ext stakeholders; all parties must be heard and a mutually beneficial solution is found 4. resource allocation: must ensure that resources are allocated fairly/efficiently; must be transparent abt. how resources are being used and ensure that they're being used for intended purposes 5. compliance: must make sure the project complies with all relevant laws, regulations, and standards

Discuss the role of ethics in operations (SP)

1. stakeholder relationships: by sourcing materials from trustworthy suppliers, orgs. can ear loyalty of stakeholders= increased business success and profitability 2. compliance w laws: includes env. regulations, labor laws, safety standards; can avoid legal + financial penalties + protect rep. 3. social responsibility: reducing waste/emissions, promoting sustainable practices, giving back; orgs. can enhance rep + contribute to greater good 4. employee behavior: by properly training employees w how to conduct themselves + use equipment, orgs. create integrity; can help prevent fraud/discrimination

Apply project-management tools to monitor and communicate project progress (SP)

1. use Gantt charts: used to visually represent project schedules; can use them to track tasks and milestones and communicate progress; can also be used to identify potential delays and adjust project schedules accordingly 2. use project management software: trello, asana, or microsoft project can allow project managers to assign tasks, track progress, and collaborate w team members in real time 3. use budget tracking software: can help project managers monitor costs and ensure the project stays within budget; can help identify cost overruns and take corrective actions 4. use risk management software: can help identify strategies to mitigate them; can help track risk factors and adjust plans accordingly 5. use communication tools: slack or microsoft teams can help with live communication 6. use performance dashboards: provides real-time info on project progress, budgets, timelines, etc

Explain employee's role in expense control (SP)

Employees log expenses, then submit them for reimbursement either directly to their manager, accounting department, or via an expense management system. Managers/approvers either approve or deny these claims. The finance team audits expense reports for compliance, when necessary. If a claim is accepted, the finance team processes reimbursement payments. The finance team keeps expenses, records, and receipts for future external audits 1. employees should be familiar w policies regarding expense management policies; guidelines for travel, ent., etc 2. resource management: employees can effectively manage the resources they use; office supplies, equipment, and tech 3. expense tracking: employees should submit expense reports in timely manner and provide detailed info abt. each expense; helps managers monitor and identify areas where costs can be cut 4. cost-conscious mindset: this includes finding ways to save on travel expenses, reducing unnecessary printing, and minimizing use of supplies and equipment

Describe crucial elements of a quality culture (SP)

a set of organizational values, attitudes, and behaviors that promote pursuit of excellence characterized by commitment to continuous improvement, customer satisfaction, etc 1. customer focus: listens to customers, understands their needs/expectations, designs products and services that meet those needs 2. By showing leaders the gaps between the expected and the current state of their culture, Seagate created awareness and buy-in. "Executive participation has been the most important factor driving culture change, 3. Continuous Improvement: always looking for ways to improve its process, products, and services; encourages employees to go above and beyond 4. leadership: leaders provide direction, vision, and support; they walk the talk 5. Employee empowerment: A quality culture empowers employees to take ownership of their work + continuously improve skills and knowledge; provides necessary training, resources, and support 6. accountability: must be in all levels; each employee takes responsibility and the org. as a whole is accountable for the quality of is products 7. data-driven decision making: relies on data/facts to make decisions; collects and analyzes data regularly to identify areas for improvement and measure progress 8. communication: org. communicates its quality goals to all employees, and employees are encouraged to share ideas/suggestions

Explain the nature of overhead/operating costs (SP)

expenses that business incurs thru operations; NOT directly tied to production/sale examples= rent, utilities, insurance, salaries of admin staff, etc typically fixed and must be paid for business to function allocated based on estimation of amount of resources used to support each product; could be dividing total cost by # of products or by amount of revenue generated by each one total the monthly overhead costs to calculate the aggregate overhead cost. This is the amount of money that you need for running your business To calculate the overhead rate, divide the indirect costs by the direct costs and multiply by 100. If your overhead rate is 20%, it means the business spends 20% of its revenue on producing a good or providing services. A lower overhead rate indicates efficiency and more profits

Explain the nature of project management (SP)

practice of planning, organizing, and overseeing project 1. clear objectives: est. project goals, identifying key stakeholders, etc 2. planning: defining tasks, creating timelines, estimating resources required to complete it 3. organizing: organizing resources like people, equipment, and materials 4. execution: includes monitoring progress; comparing stuff to KPIs Strategic: monitor organizational goals. Executives typically look to one or two strategic KPIs to find out how the organization is doing at any given time. Examples include return on investment, revenue and market share. Operational: typically measure performance in a shorter time frame, and are focused on organizational processes and efficiencies. sales by region, average monthly transportation costs and cost per acquisition (CPA). Functional Unit: tied to specific functions, such finance or IT. While IT might track time to resolution or average uptime, finance KPIs track gross profit margin or return on assets. These functional KPIs can also be classified as strategic or operational. Leading vs Lagging: leading KPIs can help predict outcomes, lagging KPIs track what has already happened. Organizations use a mix of both to ensure they're tracking what's most important. Finance: gross profit margin, operating profit margin, net profit margin, operating expense ratio, working capital ratio Sales: new inbound leads, new qualified opportunities, total pipeline value, sales volume by location, average order value marketing: marketing qualified leads, sales qualified leads, conversion rates, return on ad spend customer service: First Contact Resolution Rate, Average Response Time, Most Active Support Agents, Cost Per Conversation, Customer Effort Score 5. communication: communicate project status updates, managing stakeholder expectations, etc 6. risk management: requires identifying and managing risks Risk avoidance: Not making an investment or starting a product line Risk reduction: attempts to minimize the loss, rather than completely eliminate it. stays focused on keeping the loss contained and preventing it from spreading. An example of this in health insurance is preventative care. Risk sharing: the possibility of loss is transferred from the individual to the group. A corporation is a good example of risk sharing — a number of investors pool their capital and each only bears a portion of the risk that the enterprise may fail. Transferring risk: Contractually transferring a risk to a third-party, such as, insurance to cover possible property damage or injury shifts the risks associated with the property from the owner to the insurance company. Risk acceptance and retention: some risk will remain since it is virtually impossible to eliminate all risk (except through risk avoidance). This is called residual risk. 7. continuous improvement: learn from past projects; record the results or anything you've learned

Explain the concept of production (CS)

process of transforming raw materials/resources into finished goods goal is to create products that meet needs while maximizing efficiency and minimizing costs 1. planning: define the product or service requirements, identify the resources needed/est. a production schedule 2. design: create a blueprint or prototype of the product or service; involves research and development, engineering, and design 3. sourcing: procuring raw materials, components, and other resources 4. manufacturing: actual production; involves assembly, testing, quality control, etc 5. delivery: getting the finished product or service to the customer; involves logistics, shipping, etc Mass Production: means there is continuous production and all employees work continuously to produce the same items at the same time. the forms and size of the products remain the same and every employee focuses on the same product. All resources are utilized to produce the same range Batch production: However, the products may be produced in batches. This means that the production may be divided based on product size, colour, form, etc Job Production: means the products are produced in a limited quantity and may be specific to customer preferences. Job production is small-scale, and the task of producing an item or product is completed before taking up other jobs. Service Production: rendering services via an automated process Customized Production: a process in which goods and services are produced on the basis of the customer's needs. This can be divided into 2 categories: a) Craft Production: involves a personal touch based on the specific customer's demand b) Mass-customized production: the customised selection is produced in mass quantity. The customisation may be on the basis of shape, colour, pattern, product material, etc.

Explain the nature of operations (CS)

processes/activities performed to produce goods/provide services 1. resource management: efficient use of raw materials, labor, and capital 2. SCM: coordination of flow of goods, info, and financial transactions from suppliers to customers 3. quality management: systematic process of ensuring products meet/exceed expectations 4. tech management: use of tech to improve operations + efficiency 5. lean management: implementation of lean principles (make sure process is working, physically observe the process + involve everyone, etc) 6. logistics: planning, coordination, and execution of getting products from the manufacturer to end customer (inventory, transportation, storage) 7. scheduling: coordinate tasks, resources, and ppl to achieve goals w/in a certain time; coordination of delivery times, scheduling of production, allocation of ppl 8. info management: collect, store, and analyze data; document management, knowledge management, etc 9. security: protect ppl, info, assets from unauthorized access, theft, etc

Explain the benefits of supply chain collaboration (SP)

refers to the cooperation between different orgs. and stakeholders to improve efficiency, reduce costs, and increase customer satisfaction 1. improved efficiency: collaboration in supply chain by streamlining processes, reducing lead times, and eliminating redundancies; result in faster and more reliable delivery 2. cost savings: can identify and eliminating inefficiencies in supply chain; collaboration= more accurate forecasting= reduced need for excessive inventory and storage costs 3. increased customer satisfaction: ensures that products and services are delivered on time 4. improved innnovation: collaboration= exchange of knowledge and ideas= stimulate innovation and lead to development of new products/services 5. enhanced sustainability: can promote env. friendly practices throughout the supply chain can lead to adoption of greener manufacturing processes

Explain the concept of supply chain (CS)

the interconnected network of businesses, individuals, organizations, and resources involved in creating + delivering a product to customers Continuous Flow Model: works well for companies that produce the same products with little variation. The products should be in high demand and require little to no redesign. This lack of fluctuation means managers can streamline production times and keep tight control over inventory. In a continuous flow model, managers will need to regularly replenish raw materials in order to prevent production bottlenecks. Fast Chain Model: works best for companies that sell products based on the latest trends. Businesses that use this model need to get their products to market quickly to take advantage of the prevailing trend. They need to rapidly move from idea to prototype to production to consumer. Fast fashion is an example of an industry that uses this supply chain model. Flexible Model: for companies that manufacture seasonal or holiday merchandise. These companies experience surges in demand for their products followed by long periods of little to no demand. The flexible model ensures they are able to gear up quickly to begin production and shut down efficiently as soon as demand tapers off. In order to be profitable, they must be accurate in forecasting their need for raw materials, inventory, and labor. The raw materials are then taken by a logistics provider to a supplier, which acts as the wholesaler. The materials are taken to a manufacturer, or probably to various manufacturers that refine and process them into a finished product. Afterward, it goes to a distributor that wholesales the finished product, which is next delivered to a retailer. The retailer sells the product in a store to consumers. Once the consumer buys it, this completes the cycle, but it's the demand that then goes back and drives the production of more raw materials, and the cycle continues wholesaler: a person or company that sells goods in large quantities at low prices, typically to retailers retailer: a person or business that sells goods to the public in relatively small quantities for use or consumption rather than for resale. distributor: an agent who supplies goods to stores and other businesses that sell to consumers

Identify quality-control measures (SP)

the process that businesses use to ensure that a product or service adheres to a predefined set of quality standards or meets the requirements of customers or clients 1. set testing standards: it determines the extent of the actions to take. For example, the team must decide how many samples to take and test. 2. test raw materials and various stages: QC employees may begin by testing the raw materials that are used to create a product. They may continue testing at various stages within the manufacturing process to identify where any problems are occurring 3. Correct problems; fix any defects before the product/services goes to consumers 4. collect data then act: the company may decide to repair any remaining defective units or eliminate them. Similarly, if too many of the products are defective, it's best for the company to establish a plan for improving the production process or, if the problem is with the supplies being used, purchasing raw materials from elsewhere Inspection: Randomly selected products are tested for the given attributes the chart is tracking X-Bar chart: where the y-axis on the graph tracks the degree to which the variance of the tested attribute is acceptable. The x-axis tracks the samples tested. Analyzing the variance pattern on this chart helps you determine if defects are occurring randomly or systematically. Taguchi Method: considers design more important than the manufacturing process in quality control and tries to eliminate variances in production before they can occur Statistical Sampling: Cluster random: statistician splits the target group into several smaller groups. Statisticians may either select random people for the sample or deliberately choose certain people. Convenience: statisticians collect data from the most readily available source. This method of gathering data is usually not random. Simple random: uses a computer to help randomly select subjects from which to gather information. Every individual within a data set has an equal chance of being selected as part of the sample. Stratified random: statistician divides a target group into various groups depending on specific criteria. They then select an equal number of individuals from each group to be part of the sample Systematic random: statisticians order individuals within a data set by some specific aspect then select a random starting point within the line. The statistician then determines a value by which they include individuals. For example, every 20 might mark a new entry in the data set Voluntary response: only collects data from participants who provide their information. These results can be unreliable because many people who willingly participate in surveys share common traits.

Evaluate vendor performance (SP)

vendor KPIs: 1. Return on investment: (Dollars generated or saved as a result of the product) / (Dollars spent on the product) Measuring ROI for a CRM platform is likely to involve its impact on revenue growth. CRMs support the marketing and sales processes, key in driving revenue, but not so much in reducing expenses. ROI from a SaaS procurement management platform, is more about cost reduction. The goal of this purchase isn't to drive new revenue, its to reduce costs by identifying areas of overlapping spend and negotiating contracts based on industry purcahse data. 2. Compliance rate: (# of SLA Requirements Met) / (# of Total SLA Requirements) measures how often your vendors meet the requirement in their contracts and SLAs (service level agreements) Track compliance rate on the whole, but then get detailed by outlining which contract clauses you'll measure specifically 3. Supplier lead time: (# of days per order summed) / (# of total number of orders) Supplier lead time is the number of days it takes a vendor to ship an order after it's been requested. 4. Support ticket resolution time: (Sum of # days taken to resolve each support ticket) / (Total # of support tickets lodged) That is, once you log a customer support ticket, how much time (usually measured in days) does it take for them to fix the issue and close the ticket? 5. Product defect rate: (# of defects received or experienced) / (Total number of orders placed) If purchasing a physical product, then it's the percentage of components you receive that are broken or otherwise unusable. In the SaaS world, it's about how often you experience a technical issue. In this case, you should measure defect rate in conjunction with support ticket resolution time, so you're measuring: How often something goes wrong How quickly they fix the issue when something does go wrong 6. order accuracy: (# of correct orders received) / (Total # of orders placed) Order accuracy measures how often you receive what you order (or, more importantly, how often you don't). 7. order capacity: (# of times your order capacity is able to be fulfilled) / (Total number of orders placed) Order capacity tracks the percentage of time a vendor is able to fulfill your requested order quantity 8. competitiveness: how competitive is your vendor's pricing compared to the market? track how often your suppliers raise prices, and how quick they are to adjust to downward market pressure (i.e., do they drop their prices when their competitors do?). 9. risk assessment: There are many different types of risks associated with working with third-party suppliers. Let's say your company is heavily reliant on them. Without the thing they sell, you can't make the thing you sell. If they go under, then you're in trouble. In that case, you could ask for evidence of financial stability, for example. PR risk is another example. If it gets out that your supplier is sourcing their components unethically, this could reflect badly on your organization and become a PR nightmare. In this case, it's important to ask about the origins of their products. 10. innovation: how much value your vendors provide over and above what's already expected. provide feedback: share the performance data w vendor + take corrective action you can work to address the issues, impose penalties, ro terminate contract monitor this regularly Kraljic Vendor Segmentation Matrix x-axis: risk y-axis: profitability bottom left: non-critical= low value product; should decentralize sources bottom right: bottleneck= essential product w limited sources; maintain current relationships + develop new supply/back-up top left: leverage= abundant source of products: take advantage of purchasing power top right: strategic= essential products; ensure availability via domestic or global sources