Supply Chain Mgmt. Test #1 (Chp. 2,3,5)

Match the elements that are particular to services (in the left column) with their respective descriptions (in the right column).

* Customer actions - Includes all of the steps that customers take as part of the service delivery process * Front-office actions - Actions of frontline contact employees that occur as part of a face-to-face encounter with customers * Back-office actions - Interactions with customers, such as telephone calls, as well as other activities employees undertake to prepare to serve customers * Support processes - Activities carried out by employees who do not have direct contact with customers, but whose functions are crucial to the service * Physical evidence - The tangibles that customers see or collect during their contact with a company

Match the types of technologies in a supply chain operation (in the left column) with their respective capabilities (in the right column).

* Decision support system - Provide computing power and data management to make higher-quality decisions faster. * Processing technologies - Automate material and data processing to provide 24/7 resource availability, faster processing, greater consistency, and lower cost. * Communications technologies - Create greater connectivity and speed flow of richer forms of information. * Integrative technologies - Combine data management, communications, decision support, and processing capabilities.

Match the types of technologies in supply chain operations (in the left column) with their appropriate examples (in the right column).

* Decision support systems - Warehouse management system * Processing technologies - Industrial robots * Communications technologies - Internet * Integrative technologies - Cloud computing

Match the services in a service process matrix (in the left column) with their respective examples (in the right column).

* Professional services - Lawyers, doctors, consultants, and accountants * Service factories - companies, airlines, and hotels * Service shops - Automobile repair shops and hospitals * Mass services - Retail banks, gas stations, and retail outlets

Match the process structures (in the left column) with their respective examples (in the right column).

*Engineer to order - a custom built house, specialized equipment *Make to order - a trip to the E.R., a haircut *Assemble to order - paint stores mixing coloring agents w/ a white base after order is placed *Made to stock - groceries, retail clothing, electronics

Identify the true statements about a product layout

*Lack of flexibility and low work variety for employees are drawbacks to product layouts. *Repetitive processes and continuous processes typically use a product layout. *In a product layout, the flow of products or customers is visible and easy to trace.

Identify the drawbacks of a functional layout.

*Materials handling costs are high when jobs are moved from department to department *A significant amount of time is usually needed to clean and set up workstations *Processing times and work-in-process inventory in a functional layout tend to be high.

Identify the characteristics of a well-designed value proposition.

- A value proposition offers a combination of product features that customers find attractive and are willing to pay for - A value proposition satisfies the financial and strategic objectives of the firm

Identify the characteristics of a well-designed value proposition

- A value proposition offers a combination of product features that customers find attractive and are willing to pay for. - A value proposition satisfies the financial and strategic objectives of the firm.

Identify the true statements about competitive priorities

- Competitive priorities address both product-related outcomes and process-related capabilities. - Competitive priorities, on establishment, form the basis for performance measurement

Identify the true statements about fit

- Developing effective strategic planning processes that maintain fit is imperative for a firm's survival over time - If strategic planning processes are neglected, the change in market trends can destroy the fit

Identify the process characteristics of a batch process.

- Dominant flow patterns - Some common inputs - High setup time

Identify benefits of a functional layout

- It offers many different routes for a given job. - A problem occurring at a single workstation does not usually stop production.

Identify the true statements about the Theory of Constraints

- It serves to simplify process management by focusing managers' attentions on the important constraints that limit the performance of a process - The principles offered by the Theory of Constraints is applicable universally

Identify the parameters by which a particular process can be defined

- Management policies - Activities - Inputs/outputs/flows - Process structure

Identify the true statements about process capacity

- Process capacity is usually specified with respect to some unit of time - Capacity can also denote size or storage limits - The capacity of a process is determined by the limits of its resources

identify the true statements about process capacity

- Process capacity is usually specified with respect to some unit of time. - The capacity of a process is determined by the limits of its resources. - Capacity can also denote size or storage limits.

Which of the following are advantages of a firm having flexible operations?

- The firm has many opportunities to create value for its customers in unique ways. - The firm can command premium prices when its operations can be tailored to meet specific needs.

Identify the true statements about utilization

- Utilization can be calculated as the ratio of the actual output rate to the capacity. - Utilization is sometimes calculated as the percentage of available resource time that is used.

Identify the various components that usually fall under activities of a process

- delay - storage - transportation - inspection

Which of the following areas help develop capabilities that contribute to the supply chain operations for a firm?

- flexibility - innovation - sustainability

Identify the key questions considered during the formulation of a corporate strategy for a large, multidivisional firm

- how to manage risks? - how to measure business performance?

Identify the external reasons due to which processes are often not able to achieve the desired levels of capacity utilization

- insufficient demand - supplied inputs

Which of the following are the advantages of corporate strategic planning when compared with business unit planning and functional planning?

- least number of constraints - broadest scope

Which of the following are true of functional strategic planning when compared with business unit planning and corporate planning?

- narrow scope and is v detailed - most number of constraints

Identify the true statements with respect to performance measurement's role in operations strategy

- performance measures control operations - performance measures communicate strategic intentions to operations personnel

identify the true statements with respect to performance measurement's role in operations strategy

- performance measures control operations - performance measures communicate strategic intentions to operations personnel

Identify the internal reasons due to which processes are often not able to achieve the desired levels of capacity utilization

- quality problems - lack of resource availability

Identify the methods by which process managers define a process's structure

- sequencing process activities - linking process activities - position process activtites

Identify the three product-related competitive priorities

- timeliness - quality - cost

Identify the factors that fall under the cost dimension of a product-related competitive priority

- transaction - disposal - purchase

An operation can produce 100 units per hour for any product and is available just 8 hours a day. Assume that this capacity is both the maximum and the effective capacity for this operation. Each product requires a setup time of one hour. How many units could be produced if five different products have to be produced on the same day?

300 -As it takes 5 hours for set-up time for 5 different products, the units that could be produced in 3 hours are 300 units. (Total working hours available - step time for 5 different products)

_____ has contact with the customer.

A front-office process

Feeder process

A process that feeds a number of alternative processes coming out of it

Core capability

A process that incorporates a critical strategic skill set that is difficult for the competition to copy

Visible to the customer

Affects how a customer views not only the process but also the firm

Process—resource availability variance

Broken-down machines hold up production.

A _____ layout arranges workstations to form a number of small assembly lines called work cells.

Cellular

Identify the process type of a product-process matrix in which all products follow sequence, operations often run 24/7, line stoppages are very costly, and highly specialized equipment and low-skilled operators are used

Continuous process

True or false: A product-process matrix can be used to address the fact that customers often participate in service processes.

False

A _____ layout is used when a product cannot be moved during production.

Fixed-position

Define a product family.

It is a group of products that have similar processing requirements.

Bottleneck

Limits output, increases lead time, adversely affects cost, quality, and flexibility

Calculate the required number of stations for a process if the total task time and takt time are 75 minutes and 5.9 minutes per station, respectively.

Number of stations = 75/5.9 = 12.71. When determining the number of stations, round up to the next whole number = 13

Input—variance in delivery

Process activities are to be halted because they are missing needed components.

Output—product variety

Process changeover is required and that requires time which could be otherwise used to create output.

In a ______layout, resources are arranged according to a regularly occurring sequence of activities.

Product

Process—quality variance

Productive resources are consumed by quality control and rework activities.

Identify the process type of a product-process matrix in which all products follow the same sequence, standard materials and methods are used, and low-skilled workers specialize in completing a limited number of activities.

Repetitive process

_______categorizes service processes based upon the degree of customizations/customer interaction and labor/capital intensity.

Service process matrix

A sequence of operations has a total work time of 124 minutes. If the output needed to meet customer demand is 13 products, determine the takt time.

Takt time = (available production time in a time period) / (output needed in that time period to meet customer demand). 124/13=9.53 minutes per workstation.

Feedback/measurement

To assess, communicate, and manage performance in ways that capture lessons learned and focus attention on areas needing improvement

Execution

To carry out plans and initiatives in order to deliver the realized value to customers

identify the key questions considered during the formulation of a corporate strategy for a large, multidivisional firm

What businesses to acquire? How to measure business performance? What businesses to divest? How to manage risks?

Define process thinking

a way of viewing activities in an organization as processes rather than as departments or functions

The term _____ is also used to denote size or storage limits

capacity

__________are skills, processes, and systems that are unique to a firm and that enable it to deliver products that are both valued by the customer and difficult for competitors to imitate

core capabilities

A(n) _____ communicates the overall mission of the firm and identifies the types of businesses that a firm wants to be in

corporate strategy

performance measurement must include a mix of _________ and __________ measures

financial and operational

_____ can be defined as the extent to which there is alignment between a firm's operational capabilities, its value proposition, and desires of its critical customers

fit

__________is generally defined as an operation's ability to respond efficiently to changes in products, processes (including supply chain relationships), and competitive environments

flexibility

_____is generally defined as an operation's ability to respond efficiently to changes in products, processes (including supply chain relationships), and competitive environments

flexibility

A _____ determines how an action taken by a particular unit of the firm will support the overall business unit strategy.

functional strategy

refers to both radical and incremental changes in processes and products

innovation

cost

maintenance/repair

A manager of a firm finds that the productivity of a worker is declining at a steady rate. To increase his productivity, the manager decides to pay the worker for the rate of output instead of paying him by the hour. This scenario is an example of ____

management policies

a ________ is a measure, a standard, and a consequence that work together to close the gap between what is valued by the customer and what is intended by the organization

metric

Focusing on process types that are classified as __________ ___________ ________ can offer the "biggest bang for the buck" when they are improved.

most resources consumed

Which of the following can be best defined as an activity that transforms an input

operation

a __________ structure is a process where there are two or more resources doing the same task simultaneously

parallel

quality

performance

a ____________ is a system of structured activities that use resources to transform inputs into valuable outputs

process

management policies include how managers ______, _______, and _______customer requirements

specified, measured, and evaluated

Customer contact

the presence of the customer in a service process

Process capabilities are _____

the specific types of outputs and levels of performance a process has proven it can generate or produce

When a product offered by a firm is always in stock, this firm's value to the customer is based on the competitive priority of ____

timeliness

speed

timeliness

The strategic profit model (SPM) shows how income and balance sheet data are interrelated

true

True or false: Capacity requirements are determined by dividing the sum of the total time needed to make the products and the total time needed for setup by the operating time that is available

true

True or false: Functional strategies are formulated by the functional groups under every Strategic Business Unit (SBU) of the firm such as internal operations, marketing, finance, and logistics

true

True or false: Process activities create outputs from inputs through a series of flows

true

___________ is defined as the percentage of process capacity that is actually used

utilization

A(n) _____ is a collection of product and service features that are both attractive to customers and different from what the competitors offer

value proposition

a(n) _____ is a collection of product and service features that are both attractive to customers and different from what the competitors offer

value proposition

_____ time is the amount of time that an item spends waiting

wait

_____ is the percentage of units successfully produced as a percentage of inputs

yield rate