OPERATIONS MANAGEMENT

Identify the benefits of the integrated/concurrent engineering approach. (check all that apply) Design and development stages can be pursued skillfully without much interaction among various functional groups. Managers are usually able to complete the project faster and introduce the product sooner. Product sustaining and warranty costs can be drastically reduced. Development costs can be lowered as each functional group focuses only on its specific development tasks. Supply chain processes that are more cost effective can be designed.

managers are usually able to complete the project faster and introduce the product sooner, product sustaining and warranty costs can be drastically reduced, supply chain processes that are more cost effective can be designed

Match the objective with the step of the DMAIC process: Identify the specific processes that create or influence critical-to-quality characteristics of a product and evaluate current levels of quality for each critical-to-quality characteristics.

measure

Rank the stages of product/process innovation in the correct sequential order. Product and market testing Concept development Detailed design and development Market introduction Commercialization Product and process planning

1. concept development 2. product and process planning 3. detailed design and development 4. product and market testing 5. commercialization 6. market introduction

Rank the phases of the product life cycle in the order that they occur. Decline Growth Maturity Launch

1. launch 2. growth 3. maturity 4. decline

Calculate the efficiency of a process (in percentage) when the sum of all task times is 5 minutes, the number of work stations is 4, and the takt time is 3.5 minutes/station. [Sum of all task times/(actual work stations x take time)] x 100

35.71%

_____ _____ is the management of processes used to design, supply, produce, and deliver valuable goods and services to customers

operations management

Identify the true statements about the quality problems that arise in a total quality management. (check all that apply) It is almost always efficient to find a remedy to problems at the later stages in a supply chain. Problem solving is most effective when decisions are based on the analysis of actual data. Quality problems are often only solvable through the involvement of suppliers. In total quality management, problem prevention is emphasized more than fixing after they occur.

problem solving is most effective when decisions are based on the analysis of actual data, quality problems are often only solvable through the involvement of suppliers, in total quality management, problem prevention is emphasized more than fixing after they occur

A _____ is a system of structured activities that use resources to transform inputs into valuable outputs.

process

New _____ design and development projects transform product specifications and new process technology into a new or revised production system.

process

_____ is a technique used to indicate the general flow of plant processes and equipment.

process flow diagramming

Identity the aspects of an operations management system that are affected by infrastructural decisions. (check all that apply) process innovation workforce product demand production planning and control

process innovation, workforce, production planning and control

_____ _____ and analysis is a technique for documenting activities in a detailed, compact, and graphic form to help managers understand processes and highlight areas for potential improvement.

process mapping

Match the description with the component of order-to-delivery (OTD) lead time: It begins at the moment the production or service system begins working on an order and ends when the completed order is transferred to the distribution system for delivery.

production lead time

Match the issue to consider with the infrastructural decision. Planning procedures and decision rules, controls on cost, work flow, and quality; performance measurement; market orientation

production planning and control

Match the example with the service in the service process matrix. Lawyers, doctors, consultants, and accountants

professional services

Match the output characteristics with the process type of the product-process matrix. Unique or one of a kind

project

Identify the practices through which a firm can foster innovative culture. (check all that apply) Providing adequate resources Creating effective rewards Rewarding only the ideas that fit with a firm's strategy Hiring the best and the brightest

providing adequate resources, creating effective rewards, hiring the best and the brightest

This is important for consumer goods in general when concerned about the durability and life of a product

purchase cost/price

Match the objective with the type of innovation project. Develop products or processes that employ entirely new technology.

radical breakthrough development projects

Match the description of the intangible good with the dimension of product quality: Ability to perform the promised service dependably and accurately.

reliability

Match the example with the process type of the product-process matrix. A buffet restaurant

repetitive process

Match the output characteristics with the process type of the product-process matrix. Standard products with a range of options

repetitive process

_____ involves deciding where to position an activity in the overall process, either on the critical path or off the critical path.

repositioning

Identify the documents that sent to suppliers to request bids and that describe the purchase requirements as specifically as possible: (check all that apply) Request for quotation Request for proposal Supplier scorecard Supplier certification

request for quotation, request for proposal

Match the objective with the type of innovation project. Find new core products or processes.

research and advanced development projects

Match the definition with the disposition option. Reevaluate an activity that produces a favorable outcome (value-adding or necessary but not value-adding), but does so inefficiently.

rethink

Match the focus with the process design for manufacture addressed throughout the supply chain. Focuses on designers using experiments and simulation models to design products that can be produced consistently, even when production processes vary greatly.

robust design

In _____ _____ _____, companies replan each period (month or quarter) for a given number of periods into the future.

rolling planning horizons

Match the balancing objectives (when formulating a sales/operating plan) to the functional group of a firm: To use aggregate forecasts, many product variations, rapid response, and high service.

sales

Match the decision that impacts that product quality with the functional personnel: Interactions with customers.

sales managers

A _____ gap exists when the difference between perceived performance and the customer's expectation regarding performance.

satisfaction

A(n) _____-_____ diagram is an illustration of the pattern of ordering and inventory levels.

saw tooth

Match the description with the section of the ISO 9000: 2008 certification structure: Understanding the needs and expectations of interested parties, determining the scope of the quality management system, and quality management system and its processes.

section 4, context of the organization

Match the description with the section of the ISO 9000: 2008 certification structure: Policy and organization roles, responsibilities, and authorities.

section 5, leadership

Match the description with the section of the ISO 9000: 2008 certification structure: Actions to address risks and opportunities, quality objectives and planning to achieve them, and planning of changes.

section 6, planning

Match the description with the section of the ISO 9000: 2008 certification structure: Resources, competence, awareness, communication, and documented information.

section 7, support

Match the description with the section of the ISO 9000: 2008 certification structure: Requirements for products and services, design and development of products and services, control of externally provided processes, products, and services, and production and service provision.

section 8, operation

_____ is a technique for mapping an entire service system, so that the process can be analyzed, monitored, and improved in terms of its ability to satisfy the needs of the customer.

service blue printing

_____ is an approach similar to process mapping that analyzes the interface between customers and service processes.

service blueprinting

Match the example with the service in the service process matrix. Trucking companies, airlines, and hotels

service factories

_____ specifies the amount of risk incurring a stockout that a film is willing to incur. Production order quantity Economic order quantity Service level policy Days of supply

service level policy

_____ is the firm's ability to perform all order-related activities error-free. (two words)

service reliability

A basic principle of _____ _____ management is that companies must segment customers based on their needs and adapt supply chain operations to serve those segments.

supply chain

The design and execution of relationships and flows that connect the parties and processes across a supply chain

supply chain management

Identify the results of the core capabilities approach. (check all that apply) supply chain partners become more interdependent an organization is able to focus on what it does best it allows easy duplication of the capabilities of rival firms greater product value is achieved through higher quality and greater efficiencies

supply chain partners become more interdependent, an organization is able to focus on what it does best, greater product value is achieved through higher quality and greater efficiencies

Match the business process with the output. Order fulfillment, production schedules, goods and services

supply management

Identify the outcomes of a firm that leverages the expertise and resources of suppliers, research firms, universities, and other partners. (check all that apply) The number of products successfully launched by the firm is increased. The time taken to bring new products and processes online is reduced. Technical knowledge is leaked to competitors. Market share is increased.

the number of products successfully launched by the firm is increased, the time taken to bring new products and processes online is reduced

Identify the benefits of codevelopment. (check all that apply) The number of sources for new ideas is increased. Higher-quality products are produced. Control over intellectual property is increased. Control over the goals of a firm is increased.

the number of sources for new ideas is increased, higher-quality products are produced

Define a future state map.

the proposed process that the changes in the existing processes are intended to achieve

Given below are some of the basic parameters corresponding to a product provided to customers. Which of the following qualify as meaningful service to the customers? (check all that apply) The right balance The right system The right amount The right time The right condition

the right amount, the right time, the right condition

Managers use the "triple bottom line" approach as a performance measurement. Using this approach, three different measures of profit and loss are prepared. Match the measure to the description of what the approaches assess. How socially responsible the firm has been throughout its operations?

the second assessment

Managers use the "triple bottom line" approach as a performance measurement. Using this approach, three different measures of profit and loss are prepared. Match the measure to the description of what the approaches assess. How environmentally responsible the firm has been?

the third assessment

_____ ______ ______ is an integrated management business strategy aimed at embedding awareness of quality in all organizational processes

total quality management (TQM)

Match the major action/result with the type of activity. Moves, changes location

transportation

_____ is defined as the percentage of process capacity that is actually used.

utilization

Items that are in a production process are classified as _____. (4 words)

work in process inventory

Match the industry-specific interpretation of the ISO 9000 with the standard of the ISO 9000: Petroleum, petrochemical, and natural gas industries.

ISO/TS 29001

Quality has many dimensions, quality management is change management, and cost of quality analysis highlights the need for change. These core management values were proposed by ______.

Juran

Items that are used as maintenance, repair, and operating supplies are classified as _____. (2 words)

MRO inventory

Identify the examples of core capabilities for a firm. (check al that apply) Honda producing a wide range of very different products such as motorcycles, generators, cars, engines, and jet airplanes The organizational structure of 3M that is similar to most multinational companies Pixar's creativity in using visual technologies to tell interesting stories Apple's focus on ease of use and system integration 3M's specific knowledge of substrates, coatings, and adhesives Apple's structure of the work-flow and how the tasks are delegated

Pixar's creativity in using visual technologies to tell interesting stories, Apple's focus on ease of use and system integration, 3M's specific knowledge of substrates, coatings, and adhesives

What new markets are opening up? What are the firm's unique resources? What trends is the firm positioned to take advantage of? What does the firm do better than any other firm?

Positive factors on the SWOT analysis

Match the industry-specific interpretation of the ISO 9000 with the standard of the ISO 9000: Information technology industry.

TickIT

Match the description of the intangible good with the dimension of product quality: Appearance of physical facilities, equipment, personnel, and communication materials.

aesthetics

A(n) _____ specifies the production rates, inventory, employment levels, backlogs, possible subcontracting, and other resources needed to meet the sales plan. Level production strategy Rolling planning horizon Chase strategy Aggregate production plan

aggregate production plan

Identify the core management values of W. Edwards Deming. (check all that apply) All employees are responsible for quality. Continuous improvement of processes should take place. Variability is the source of most problems. The customer is the final arbiter of quality. There is a need for a process-oriented view.

all employees are responsible for quality, variability is the source of most problems, the customer is the final arbiter of quality

Define a question mark activity.

an activity that cannot be easily categorized

Identify the commonly used guidelines that lead to a good, but not necessarily the best, solution when deciding which task to assign first. (check all that apply) Assign the task with the longest operating time. Assign the task that takes more time than the takt time. Assign the task with the most number of working stations. Assign the task with the most number of followers.

assign the task with the longest operating time, assign the task with the most number of followers

Match the commonly used output metric measured at the end of a process to the desired outcome. Amount of inventory

availability

Identify the factors that are necessary to calculate the reorder point. (check all that apply) Rate of production Average supplier lead time Number of products per year Average demand per time period

average supplier lead time, average demand per time period

A supplier's ability to provide product availability, lead-time performance, and service reliability is known as _____ _____.

basic service

Match the example with the process type of the product-process matrix. A cinema

batch

Extra inventory held to guard against uncertainty of supply or demand is known as _____ stock. (one word)

buffer (or safety)

A _____ is a combination of choices determining the customers that a business unit will target, the value propositions it will offer, and the supply chain operations management capabilities that a firm will employ.

business model

Process _____ refers to the limit on the amount of output per period of time that a process can generate or store given a level of inputs and resources.

capacity

Match the definition with the disposition option. Join an activity with others that do the same or similar things to improve the efficiency of the process.

combine

Match the output characteristics with the process type of the product-process matrix. Commodities with high volume and little variety

continuous process

Match the description with the type of independent demand inventory system: Constant monitoring of inventory to decide when a replenishment order needs to be placed.

continuous review model

Match the approach with the step used in the engineering/value analysis. Rate each function according to a typical customer's assessment of the importance of the function and the cost of providing that function.

estimate the value of each function

Match the definition to its activity of a strategy deployment. To carry out plans and initiatives in order to deliver the realized value to its customers

execution

True or false: Even small improvements often need large investments of capital.

false

True or false: In order to satisfy the service expectations of customers, all a firm needs to do is to beat the competition in service performance.

false

True or false: Service quality is unaffected by the interpersonal communications and experiences involved in a service.

false

Identify the differences between functional/sequential approach and integrated/concurrent engineering approach. (check all that apply In sequential approach, the development costs are lower, while in concurrent approach, the development costs are increased. In sequential approach, the design stages are pursued sequentially, while in concurrent approach, the development activities overlap. In sequential approach, interaction among functional groups take place, while in concurrent approach, there is no interaction between groups. In sequential approach, design decisions at different stages are interdependent, while in concurrent approach, design decisions are independent.

in sequential approach, the development costs are lower, while in concurrent approach, the development costs are increased, in sequential approach, the design stages are pursued sequentially, while in concurrent approach, the development activities overlap

Identify the traits that are typically exhibited by a critical process. (check all that apply) It consumes the least amount of resources. It is a process that is a core competency for a firm. It is a bottleneck process. It is a shared process. It is a process that requires unique skills.

it is a process that is a core competency for a firm, it is a bottleneck process, it is a shared process, it is a process that requires unique skills

Define 3D printing. It is a system that creates and analyzes three-dimensional product models, reducing the need to build physical prototypes. It is a system that automates the development of drawings and technical specifications. It is an approach to work layouts that gathers in one location all of the equipment necessary to complete productions of similar products. It is a process that makes products by putting down successive layers of think materials such as plastic, metal, ceramics, or food.

it is a process that makes products by putting down successive layers of think materials such as plastic, metal, ceramics, or food

Which of the following statements are true about a process map? (check all that apply) It need not be concerned with the changes to the future state map. It requires no metrics or measurements. It is a visual representation of a process. It requires both a current and a future state map to define the potential opportunity for improvement.

it is a visual representation of a process, it requires both a current and a future state map to define the potential opportunity for improvement

Identify the true statements with respect to documenting an existing process. (check all that apply) It is important for an analyst to speak directly with the people who perform the process to avoid developing a distorted view of the actual process. Workers will be willing to offer process information for documenting a process without any reluctance. Describing the current state of a process can be difficult as inefficiencies in the process may reflect poorly on particular managers or workers. An analyst must be aware that his or her presence near the workers can alter the ways in which the work is performed.

it is important for an analyst to speak directly with the people who perform the process to avoid developing a distorted view of the actual process, describing the current state of a process can be difficult as inefficiencies in the process may reflect poorly on particular managers or workers, an analyst must be aware that his or her presence near the workers can alter the ways in which the work is performed

Define crowdsourcing: It is the process of selecting and prioritizing innovation projects to ensure that they are consistent with a firm's strategy. It is a codevelopment approach in which suppliers participate directly in product design activities. It is the process of obtaining ideas or services by soliciting contribution from a large group of people, especially from an online community. It is an organizational effort to capture ideas and resources from sources outside a firm for use in innovation efforts.

it is the process of obtaining ideas or services by soliciting contribution from a large group of people, especially from an online community

Identify the disadvantages a firm faces while outsourcing a product or service: (check all that apply) It may be difficult for a firm to integrate information and materials flows with supplier Equipment and facilities require less capital A firm has better access to supply market information Outsourcing leads to the loss of intellectual property A firm must have sourcing and supply management capabilities It can be difficult to communicate the requirements of a firm to suppliers

it may be difficult for a firm to integrate information and materials flows with supplier, outsourcing leads to the loss of intellectual property, a firm must have sourcing and supply management capabilities, it can be difficult to communicate the requirements of a firm to suppliers

Identify the process characteristics of a project. (check all that apply) Line stoppages are very costly in this process. It produces a unique, one of a kind output. The sequencing and complexity of activities vary for each project. A customer is highly involved in this process.

it produces a unique, one of a kind output, the sequencing and complexity of activities vary for each project, a customer is highly involved in this process

Which of the following best defines a process summary table? It summarizes the current process and the proposed new process and identifies the expected improvement offered by the proposed process. It involved deciding what to do with each specific activity at the time of analysis. It involves deciding where to position an activity in the overall process. It systematically records process activities, their key attributes, and their sequence.

it summarizes the current process and the proposed new process and identifies the expected improvement offered by the proposed process

_____ _____ is used to assign tasks so that idle time and the number of work stations are minimized.

line balancing

Transporting, warehousing, and materials managers

logistics management

The functions of a _____ are to select transport providers, develop tracking and other information systems, design packaging, storage, and material handling processes, and manage interactions with transportation providers.

logistics manager

This is important for customers buying long-life items such as industrial machinery

maintenance and operating cost

Cost

maintenance/repair

A firm produces customized shoes using an existing design and in-stock raw materials. Which of the following market orientations is this likely to fall into? Engineer to order/custom assembly Make to order/custom assembly Make to stock Make to order/custom fabrication and assembly

make to order/custom assembly

Match the definition with the respective process structure. Finished goods that are held in inventory in advance of customer orders.

make to stock

A measure of the percentage of orders that are shipped complete with all items ordered by a customer is known as _____ fill rate.

order

Match the description with the component of order-to-delivery (OTD) lead time: It is the time required to place an order for a product plus the time to schedule the order so that operations can begin working on it.

order lead time

Identify the process activity that has floor space, racks, bins, stockrooms, and stockroom clerks as its associated resources that limit capacity.

storage

Match the description to its respective activity category. An activity where items are inventories under formal control

storage

Match the major action/result with the type of activity. Keeps, safeguards

storage

_____ planning is a type of planning that addresses long-term decisions that define the operations objectives and capabilities for the firm and its partners.

strategic

A measure of the percentage of the total quantity of units ordered by customers that are actually delivered is known as _____ fill rate.

unit

Match the core management value to the quality management thought leader: Management commitment, quality improvement teams, quality measurement, cost of quality evaluation, quality awareness, and zero defects planning.

crosby's 14 steps for quality improvement

_____ quality is a measure of how well a product's designed features match up to the requirements of a given customer group.

design

_____ focuses on minimizing the detrimental environmental impacts of products and process designs across all stages of a product's life.

design for environment

_____ is an umbrella term that describes methods and tools that focus design activities on improving the ease with which products can be produced.

design for manufacture

Match the focus with the process design for manufacture addressed throughout the supply chain. Focuses on easing product disassembly and maintenance, and on the reuse of product components.

design for product serviceability

Match the focus with the process design for manufacture addressed throughout the supply chain. Focuses on evaluating the consistency with which a good or service can be produced or delivered.

design for six sigma

_____ is a design approach that balances customer requirements with the constrains and capabilities of the supporting manufacturing and service processes.

design for six sigma

When a firm wants to develop new goods and services, it most likely uses a(n)

design process

As the production volumes increase with addition of capacity, the unit costs to produce a product decreases to an optimal level. This is known as the _____.

economies of scale

Rank the steps involved in process mapping and analysis in the correct sequence. 1. determine the desired outcome for the process and the metrics needed to evaluate the performance. 2. document the "current state" of the existing process. 3. implement the changes and monitor improvements. 4. identify the critical process and the boundaries. 5. analyze the process and prioritize the opportunities for improvement. 6. recommend the appropriate changes to the process and document the "future state" of the process.

1, 4, 2, 5, 6, 3

Rank the order lead time, of the following activities, that a customer would experience based on market orientation in increasing order: Make to Stock Engineer to Order Assemble to order Make to Order

1. make to stock 2. assemble to order 3. make to order 4. engineer to order

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 = task times/takt time when determining stations, round up.

13

Match the characteristic with the innovative strategy of the firm. Fund more new design and development projects than other firms.

efficient innovators

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 = total work time/customer demand

9.53 minutes per workstation

Match the industry-specific interpretation of the ISO 9000 with the standard of the ISO 9000: Aerospace manufacturers.

AS9000

A retail company successfully changed how customers shop and what the customers expect. This effect is known as the _____ effect.

Amazon

Match the definition with the disposition option. Drop the activity because it generates waste.

eliminate

Match the industry-specific interpretation of the ISO 9000 with the standard of the ISO 9000: Medical industry.

ISO 13485

______ ______ is a set of internationally accepted standards for business quality management systems.

ISO 9000

Match the industry-specific interpretation of the ISO 9000 with the standard of the ISO 9000: Computer software.

ISO/IED 90003

Match the industry-specific interpretation of the ISO 9000 with the standard of the ISO 9000: American and European automotive manufacturers.

ISO/TS 16949

What new government regulations or standards pose difficulties? What could the firm improve? What obstacles is the firm facing? What should the firm avoid?

Negative factors on the SWOT analysis

Match the industry-specific interpretation of the ISO 9000 with the standard of the ISO 9000: Telecom consortium.

TL 9000

Match the tactic with the sourcing strategy: Standardize purchases across the company, use competition to select suppliers and consolidate purchases with one or a few suppliers to get discounts.

leverage purchases

Identify the examples for instances of total product experience. a pharmacy sells prescribed medicines a manufacturing unit providing cars to a licensed seller a car dealership offering vehicle maintenance and servicing, while purchasing a new vehicle such as a car or a bike a hospital provides diagnostic and treatment services as well as supplying/selling medicines

a car dealership offering vehicle maintenance and servicing, while purchasing a new vehicle such as a car or a bike, a hospital provides diagnostic and treatment services as well as supplying/selling medicines

Identify the risks associated with codevelopment. (check all that apply) A firm can lose control over the goals and timing of the innovation project if it becomes too dependent on partners. With codevelopment, a firm often shares the financial and legal risks of development. A firm risks losing control over intellectual property. With codevelopment, the number of sources for new ideas are decreased.

a firm can lose control over the goals and timing of the innovation project if it becomes too dependent on partners, a firm risks losing control over intellectual property

______ is a combined automated machines, robots, and materials handling system that is controlled by a single computer.

a flexible manufacturing sustem

Identify the scenarios that are examples of services operation. a girl goes to a massage center and gets a foot massage a lady visits a dentist in order to get her braces removed a woman walks into an electronic store to buy a hair trimmer a main joins a driving school in order to learn to drive a car

a girl goes to a massage center and gets a foot massage, a lady visits a dentist in order to get her braces removed, a main joins a driving school in order to learn to drive a car

Identify the benefits of a functional layout. (check all that apply) Scheduling, planning, and control of a process are very easy. A problem occurring at a single workstation does not usually stop production. Processing times and work-in-process inventory are fairly low. It offers many different routes for a given job.

a problem occurring at a single workstation does not usually stop production, it offers many different routes for a given job

Identify the primary modification to the basic economic order quantity (EOQ) formula when determining production order quantity: The probability of meeting the variable lead time is subtracted by the holding cost. A ratio of the demand rate to the production rate is used as a multiplier on the carrying cost. A ratio of the production rate to the demand rate is used in the numerator. The setup cost is moved from the numerator to the denominator of the formula.

a ratio of the demand rate to the production rate is used as a multiplier on the carrying cost

Identify the characteristics of a well-designed value proposition. (check all that apply) 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 A value proposition is reliable given only the operational capabilities of the firm A value proposition attempts to imitate the firm's competition in order to stay ahead of the competition

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

A firm plans to introduce a new line of products and solicits the helps of its suppliers to aid the design of the products. Which of the following supply management goals does this scenario illustrate? Reducing total costs Identifying, assessing, and mitigating supply chain risk Accessing technology and innovation Fostering sustainability

accessing technology and innovation

Identify the supplier relationship that is characterized by distrust and limited communication: Adversarial relationship Acceptance of mutual goals Arm's-length relationship Full partnership

adversarial relationship

Match the objective with the step of the DMAIC process: Perform data based study to uncover root causes of process variations that lead to critical-to-quality defects.

analyze

Match the definition with the respective process structure. Products that are produced from standard components and modules.

assemble to order

Match the example with the respective process structure. Paint stores mixing coloring agents with a white base paint after an order is placed.

assemble to order

Match the respective performance parameter in the supply chain to the dimension of performance. The effectiveness of an organization in managing assets to support demand satisfaction

asset management efficiency

Match the output characteristics with the process type of the product-process matrix. Commodities with moderate volume and moderate variety

batch

John, a chef, bakes waffle cones by the dozens and cleans the oven properly before baking each set. Which of the following process types is illustrated in this scenario? Continuous process Batch process Project Job shop

batch process

_____ _____ is an approach in which customers use product prototype versions and provide feedback to developers.

beta testing

Match the tactic with the sourcing strategy: Use at least two suppliers to assure supply, develop new suppliers, and explore using different materials.

bottleneck purchases

How will a firm gain a competitive advantage in the marketplace? By giving a performance that is on par with its competitors to its customers. By assuming that its customers are satisfied and being laid back. By copying what its competitors are doing in the market. By satisfying customer expectations.

by satisfying customer expectations

Identify the qualitative factors that are often important in the steps in an insourcing/outsourcing decision process. (check all that apply) Compatibility of organizational cultures and values Proprietary information and degree of secrecy required Quality of the supplier's management team Supplier's willingness to remain flexible and accommodate changes Reduced risk of dealing with a supplier Supplier's labor-management climate Increased control by releasing work to a supplier

compatibility of organizational cultures and values, proprietary information and degree of secrecy required, quality of the supplier's management team, supplier's willingness to remain flexible and accommodate changes, supplier's labor-management climate

A process is called a(n) _____ process if the process is a bottleneck process, offers the greatest potential for cost savings, and is a shared process.

critical

Identify the true statements about competitive priorities. (check all that apply) Competitive priorities address only process-related capabilities Competitive priorities address both product-related outcomes and process-related capabilities Competitive priorities, on establishment, form the basis for performance measurement Competitive priorities alone provide a language for managers to communicate the value proposition in operational terms Competitive priorities address only product-related outcomes

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

_____ is reusing part designs across multiple products in order to reduce development and production costs. Failure modes and effects analysis Design for manufacture Components standardization Value engineering

components standardization

_____ is defined as the simultaneous design and development of all the processes and information needed to produce, sell, distribute, and service a product.

concurrent engineering

Identify the factors that a company expects from its suppliers to enhance quality: (check all that apply) Continuous improvement in quality Presence of geographically dispersed operations Extensive quality management systems such as ISO 9000 and statistical process control Usage of continuous improvement as a key performance indicator

continuous improvement in quality, extensive quality management systems such as ISO 9000 and statistical process control, usage of continuous improvement as a key performance indicator

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

Match the example with the process type of the product-process matrix. A laundry detergent

continuous process

Match the objective with the step of the DMAIC process: Use inputs describing customer's needs and product functionality requirements to define critical-to-quality characteristics of a product.

control

Which of the following are true statements about core capabilities? (check all that apply) Core capabilities are skills, processes, and systems that are unique to a firm and enable it to deliver products that are valued by the customer Core capabilities are not important as they are easy for the competition to imitate and generally are the same for companies in the same market Core capabilities are not critical or specific to a company Core capabilities are valuable because they are difficult for the competition to imitate

core capabilities are skills, processes, and systems that are unique to a firm and enable it to deliver products that are valued by the customer, core capabilities are valuable because they are difficult for the competition to imitate

A _____ _____ is a unique set of skills that confers competitive advantages to a firm, because rival firms cannot easily duplicate them.

core capability

Which of the following hierarchal levels does strategic planning consist of? (check all that apply) Corporate planning Functional planning Resources planning Strategic business unit planning Structural planning Infrastructure planning

corporate planning, functional planning, and strategic business unit planning

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

corporate strategy

Match the commonly used output metric measured at the end of a process to the desired outcome. Percentage of cost savings achieved

cost

_____ is defined as the expenses incurred in acquiring and using a product

cost

Match the respective performance parameter in the supply chain to the dimension of performance. The costs associated with operating the supply chain

costs

Define appraisal costs: Costs associated with efforts to prevent product defects and associated failure and appraisal costs. Costs associated with quality failures uncovered after products are delivered to customers. Costs resulting from inspections used to assess quality levels. Costs associated with quality failures uncovered before products are delivered to customers. Costs resulting from inspections used to assess quality levels. Costs associated with quality failures uncovered before products are delivered to customers.

costs resulting from inspections used to assess quality levels

_____ _____ is the presence of the customer in a service process.

customer contact

Distribution, sales, order fulfillment, and customer service

customer management

_____ _____ is defined as meeting or exceeding customer expectations.

customer satisfaction

Match the business process with the output. Order entry, delivery commitments, resolve customer problems

customer service

Helping customers meet their business requirements is known as _____. (two words)

customer success

To achieve _____ _____, a firm must thoroughly understand the requirements of an individual customer and commit to focus on long-term business relationships that have high potential for growth and profitability.

customer success

Who determines a product's quality standard when it is considered a competitive priority?

customers

_____ time is the time that takes to process one unit at an operation in the overall process.

cycle

Match the objective with the step of the DMAIC process: Use monitoring and adjustment systems to ensure that process variations remain minimized.

define

Match the description to its respective activity category. An unintentional stoppage of work

delay

Match the major action/result with the type of activity. Blocks, starves, interferes

delay

Match the resources that limit capacity to the process activity associated with them. Space on the shop floor, bins, carts, racks

delay

Match the description with the component of order-to-delivery (OTD) lead time: It measures the time consumed by the distribution system, including warehousing and transportation, and it ends the moment that product reaches the customer.

delivery lead time

Match the respective performance parameter in the supply chain to the dimension of performance. The performance of the supply chain in delivering the correct product, to the correct place, at the correct time, in the correct condition and packaging, in the correct quantity, with the correct documentation, to the correct customer

delivery reliability

_____ is the amount of demand that occurs while awaiting receipt of an inventory replenishment order. Days of supply Production order quantity Economic order quantity Demand during lead time

demand during lead time

Match the core management value to the quality management thought leader: Create consistency of purpose for continual improvement of goods and services, adopt the new philosophy for economic stability, end the practice of awarding business on price tag alone, and institute training on the job.

deming's 14 points

Identify the tactics design for manufacture uses for communicating and highlighting the needs and limitations that process capabilities impose on product design. (check all that apply) Designing all assembly tasks to come from one direction. Eliminating the need for specialized tools. Identifying the market share of product. Reducing the total number of unique parts in a product. Reducing the number of fasteners used.

designing all assembly tasks to come from one direction, eliminating the need for specialized tool, reducing the total number of unique parts in a product, reducing the number of fasteners used

Match the activities and decisions to the stage of product/process innovation. Determining the values of they key design parameters, performing detailed design of components, and building full-scale prototypes and detailed simulations.

detailed design and development

Identify the major steps from problem identification to resolution used in failure modes and effects analysis. (check all that apply) Prioritizing the failure modes Identifying the types of potential failures, modes for each failure type, and causes and effects of each failure mode Creating plans to deal with each critical failure mode Implementing the plans, measuring their impact, and repeating the analysis as needed Determining the portions of the product or the process that are to be analyzed Examining the proposed design for a future map

determining the portions of the product or the process that are to be analyzed, identifying the types of potential failures, modes for each failure type, and causes and effects of each failure mode, prioritizing the failure modes, creating plans to deal with each critical failure mode, implementing the plans, measuring their impact, and repeating the analysis as needed

Identify the characteristics of a repetitive process. (check all that apply) Discrete products flow through the same sequence of activities, and equipment can be specialized to each specific task. Highly skilled employees are required to work on the line. Operations managers usually focus on developing standard methods and procedures to continuously improve quality and reduce costs. A repetitive process is associated with high complexity. Products made using a repetitive process are typically made to stock.

discrete products flow through the same sequence of activities, and equipment can be specialized to each specific task, operations managers usually focus on developing standard methods and procedures to continuously improve quality and reduce costs, products made using a repetitive process are typically made to stock

This is important when we take into consideration the durability goods (cars, washing machines) due to environmental concerns

disposal costs

_____ is a codevelopment approach in which suppliers participate directly in product design activities.

early supplier involvement

_____ _____ _____ minimizes the sum of annual inventory carrying cost and annual ordering cost.

economic order quantity

Identify the values that characterize total quality management. (check all that apply) Emphasis on customer requirements. Extended process view of operations. Emphasis on inspection rather than prevention. Employee empowerment. Necessity for variability.

emphasis on customer requirements, extended process view of operations, employee empowerment

A multinational firm has customer demand for its product all over the world. To meet the demand, the firm has strategically placed its manufacturing facilities closer to the customer demand zones and near transportation hubs to facilitate easy transport. Which of the following does this scenario illustrate? Buffering for uncertainty in supply and demand Enabling geographic specialization Enabling economies of buying Balancing supply and demand

enabling geographic specialization

Match the definition with the respective process structure. Products that are unique and customized.

engineer to order

Match the example with the respective process structure. A custom-built house, a cruise ship, and specialized industrial equipment.

engineer to order

Identify the sort benefits (qualitative) of implementing an effective sales and operations planning process: (check all that apply) Enhanced teamwork at both the executive and operating levels. Better alignment of operational, marketing, and financial plans. Better decisions with less effort and time. Improved forecast accuracy. Higher customer service with lower finished goods inventory levels. Greater accountability for results.

enhanced teamwork at both the executive and operating levels, better alignment of operational, marketing, and financial plans, better decisions with less effort and time, greater accountability for results

Match the objective with the type of innovation project. Refine and improve selected features of existing products.

enhancements, hybrid, and derivative development projects

Which of the following are the attributes of service reliability? (check all that apply) Shipping product after the scheduled date of delivery, but in perfect condition Error-free invoices Shipment made to different locations Damage free orders Shipping with zero defects Shipping damaged products

error-free invoices, damage free orders, shipping with zero defects

Identify the true statements about the major categories of costs: Failure costs include both the internal costs of defects found inside a company and the external costs of defects found by the customers. A defect found in later stages of a supply chain is much more costs than a defect found in earlier stages. Compared with repair costs, the costs of lost sales and tarnished product image are less. Costs are lowest when a defect is uncovered by a customer. In later stages of a supply chain, there is sometimes less ability to rework the product.

failure costs include both the internal costs of defects found inside a company and the external costs of defects found by the customers, a defect found in later stages of a supply chain is much more costs than a defect found in earlier stages, in later stages of a supply chain, there is sometimes less ability to rework the product

Match the characteristic with the innovative strategy of the firm. Produce a more continuous stream of new product introductions that create a greater and more constant market awareness of their brands.

fast innovators

Identify the hard (quantifiable) benefits experienced by an organization that has effective sales and operations planning processes: (check all that apply) Faster and more controlled new product introduction. Enhanced teamwork at the executive levels. More stable supply rates. Better decisions with less effort and time. Higher customer service with lower finished goods inventory levels. Improved forecast accuracy.

faster and more controlled new product introduction, more stable supply rates, higher customer service with lower finished goods inventory levels, improved forecast accuracy

Match the definition to its activity of a strategy deployment. To assess, communicate, and manage performance in ways that capture lessons learned and focus attention on areas needing improvement

feedback/measurement

A car manufacturer sells its cars to local dealerships and also has a company-owned distribution center to cater to specific markets. Match the type category to their respective category. People who but the car from the dealers

final customers

Match the balancing objectives (when formulating a sales/operating plan) to the functional group of a firm: To maximize financial returns, obtain high returns on investment, and focus on customers with the highest contribution margins.

finance

Identify the groups that play an important role in new product development. (check all that apply) Financial managers Engineers Competitors Operations managers Customers Stakeholders

financial managers, engineers, operations managers, customers

_____ 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

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

fixed-position

Match the respective performance parameter in the supply chain to the dimension of performance. The agility of a supply chain in responding to marketplace changes to gain or maintain competitive advantage

flexibility

A(n) _____ innovation project includes rigorous risk analysis and contingency plans; planned evaluation and decision points where the project may be killed, redirected, or continued; and extra resources that can be quickly redeployed.

flexible

Choose the best supporting reasons for the supply chain growth and the need for a global supply chain perspective in operations management. (check all that apply) focus on core capabilities reduction in government trade barriers decrease in demand due to population changes and migration advances in technology

focus on core capabilities, reduction in government trade barriers, advances in technology

Identify the views of a progressive quality management approach. (check all that apply) Frontline workers must have the resources required to make quality improvements. The managers in a progressive quality management approach must have primary ownership of operating processes. Frontline workers must be given both the responsibility and the authority to make decisions. Clear definition and recognition of the enlarged scope of decisions should be put forth to the frontline workers in a process. Frontline workers need to have the knowledge required to make good decisions. Frontline workers must support the managers.

frontline workers must have the resources required to make quality improvements, frontline workers must be given both the responsibility and the authority to make decisions, clear definition and recognition of the enlarged scope of decisions should be put forth to the frontline workers in a process, frontline workers need to have the knowledge required to make good decisions

Identify the true statements about the partners in a full partnership: (check all that apply) Full partners work together to reduce total costs so that both parties benefit Full partners acknowledge each other's independencies Full partners do not share information about cost, the market, competition, or their strategies Full partners expect to create better solutions than they could create alone

full partners work together to reduce total costs so that both parties benefit, full partners acknowledge each other's independencies Full partners do not share information about cost, the market, competition, or their strategies, full partners expect to create better solutions than they could create alone

A _____ layout groups together similar resources.

functional

Identify the characteristics of goods. (check all that apply) goods have extensive customer contact goods can be inventoried goods are tangible goods have long lead times

goods can be inventories, goods are tangible

Identify the true statements about goods and services. (check all that apply) the production and consumption of a service occur at different times goods can be produced in advance and stored in inventory a producer of services must maintain enough capacity to meet demand during peak hours goods manufacturing operations can use inventory to smooth out imbalance between production and demand

goods can be produced in advance and stored in inventory, a producer of services must maintain enough capacity to meet demand during peak hours, goods manufacturing operations can use inventory to smooth out imbalance between production and demand

_____ _____ is an approach to work layouts and scheduling that gathers in one location all of the equipment and work skills necessary to complete productions of a family of similar products.

group technology

Match the characteristic with the innovative strategy of the firm. Have fewer problems in launching new products and fewer failures in the marketplace.

high-end innovators

The customer requirements planning matrix is also known as the _____ ______ _____.

house of quality

Operations management is mainly concerned with _____. designing a set of goods and services and their related processes consumption of goods and services disposing of goods and services how resources are developed and used to accomplish business goals

how resources are developed and used to accomplish business goals

Match the decision that impacts that product quality with the functional personnel: Setting of compensation schemes and incentives.

human resources managers

Match the approach with the step used in the engineering/value analysis. Describe what a product does, now what it is.

identify the functional purposes of a product or component

Identify the true statements about fit. (check all that apply) If strategic planning processes are neglected, the change in market trends can destroy the fit Strategic planning processes are not as important as maintaining the fit between customer-died outcomes, value propositions, and capabilities Developing effective strategic planning processes that maintain fit is imperative for a firm's survival over time Developing effective strategic planing processes is important only for the current market trends and fit doesn't play a role in the firm's survival

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

Match the core management value to the quality management thought leader: Standardize an operation, measure the standardized operation, gauge measurements against requirements, innovate to meet requirements and increase productivity, and standardize the new improved operations.

imal's kalzen steps

Match the approach with the step used in the engineering/value analysis. Verify the team's conclusions by gathering information from customers and suppliers, whoever has a stake in the success of the product.

implement changes to the product design that maximize the value of the product

Match the objective with the step of the DMAIC process: Design and implement process changes that reduce variability.

improve

Identify the true statements about a service aggregate plan: (check all that apply) In a service aggregate plan, inventory need not be considered. Demand for services is often stated in terms of the amount of a product required. Most service businesses need to develop aggregate plans based on human resource requirements.

in a service aggregate plan, inventory need not be considered, most service businesses need to develop aggregate plans based on human resource requirements

Identify the true statements about order and setup costs. (check all that apply) The total annual order/setup cost remains fixed In a setup cost, inventory is produced internally Order preparation, order transmittal, and order receiving are examples of order costs Both order costs and setup costs are typically considered to be fixed

in a setup cost, inventory is produced internally, order preparation, order transmittal, and order receiving are examples of order costs, both order costs and setup costs are typically considered to be fixed

Identify the advantages a company enjoys due to a high turnover rate. (check all that apply) Increased sales volume Decreased expenses Lower asset investment Less risk of obsolescence Increased purchasing, ordering, and receiving time, effort, and cost

increased sales volume, decreased expenses, lower asset investment, less risk of obsolescence

Match the business process with the output. New products and new production technologies

innovation

_____ refers to both radical and incremental changes in processes and products

innovation

______ involves acquiring of inputs from the operational processes provided within a firm.

insourcing

Match the resources that limit capacity to the process activity associated with them. Inspectors, inspections stations, gauges, robots, or machine-vision equipment

inspection

Identify the external reasons due to which processes are often not able to achieve the desired levels of capacity utilization. (check all that apply) Insufficient demand Supplied inputs Lack of resource availability Efficiency problems

insufficient demand, supplied inputs

Identify the different expenses that a carrying cost encompasses. (check all that apply) Costs due to shortage of inventory Insurance Opportunity cost Taxes Cost of owning and maintaining storage space Costs of materials handling, tracking, and management Costs of obsolescence, loss, and disposal Costs of replenishing inventories.

insurance, opportunity cost, taxes, cost of owning and maintaining storage space, costs of materials handling, tracking, and management, costs of obsolescence, loss, and disposal

A car manufacturer sells its cars to local dealerships and also has a company-owned distribution center to cater to specific markets. Match the type category to their respective category. Dealership

intermediate customer

A car manufacturer sells its cars to local dealerships and also has a company-owned distribution center to cater to specific markets. Match the type category to their respective category. Company-owned distribution center

internal customer

A(n) _____ is a supply of items held by a firm to meet demand.

inventory

_____ _____ is the ratio between average inventory and the level of sales.

inventory turnover

Identify the categories of inventory performance metrics that address the issues of asset productivity. (check all that apply) Service level Inventory turnover Days of supply

inventory turnover, days of supply

A make or buy decision: is the identification, evaluation, selection, and management of suppliers. involves acquiring inputs from operational processes provided by suppliers. involves acquiring inputs from operational processes provided within a firm. is the choice between making a product internally or purchasing it from a supplier.

is the choice between making a product internally or purchasing it from a supplier

Identify the true statements about yield management: (check all that apply) It can involve very sophisticated mathematical models that simulate customer behaviors under different scenarios. Its purpose is to extensively inventory demand. It requires extensive analysis of past demand so that typical demand patterns and trends are clear. It requires continuous tracking of actual demand for the service.

it can involve very sophisticated mathematical models that simulate customer behaviors under different scenarios, it requires extensive analysis of past demand so that typical demand patterns and trends are clear, it requires continuous tracking of actual demand for the service

Identify the characteristics of 3D printing when compared to traditional manufacturing processes. (check all that apply) It can result in high work-in-process inventory and the need for expediting. It eliminates the need for producing parts and assembly by printing products in one piece. It is highly flexible. It can be made close to the customer, reducing inventory and transportation. It uses relatively low-cost equipment. Its products are considered as commodities as they are made to stock and offer customers very little variety.

it eliminates the need for producing parts and assembly by printing products in one piece. It is highly flexible, it is highly flexible, it can be made close to the customer, reducing inventory and transportation, it uses relatively low-cost equipment

Identify the true statements about customer success programs: (check all that apply) It focuses on long-term business relationships that have high potential for growth and profitability. A customer success program involves a thorough understanding of individual customer requirements. A supplier must work intensively with a customer to understand the customer's requirements, internal processes, and the competitive environment. A supplier works independently to assess the competitive environment and the internal processes to achieve customer success. The supplier can use the same comprehensive understanding of the competition and strategy for different levels of customers within its supply chain.

it focuses on long-term business relationships that have high potential for growth and profitability, a customer success program involves a thorough understanding of individual customer requirements, a supplier must work intensively with a customer to understand the customer's requirements, internal processes, and the competitive environment

Define a product family: It categorizes service processes based upon the degree of customizations/customer interaction and labor/capital intensity. It is an approach similar to process mapping that analyzes the interface between customers and service processes. It is a group of products that have similar processing requirements. it refers to the presence of the customer in a process.

it is a group of products that have similar processing requirements

Define value engineering/value analysis. It is a method to improve the benefits and costs of a product through a detailed examination of its function. It is an approach in which customers use product prototype versions and provide feedback to developers. It is a term used to describe a research that gathers detailed data describing customers' likes and dislikes regarding specific product features. It is a template that guides identification and translation of customer requirements into product features.

it is a method to improve the benefits and costs of a product through a detailed examination of its function

Define a back-office process: It is a process that has contact with the customer. It is a combined automated machines, robots, and materials handling system that is controlled by a single computer. It is the production of products with similar process characteristics on small assembly lines called cells. It is a process that is not seen by the customer.

it is a process that is not seen by the customer

Identify an advantage of having strategic plans made by a firm at all levels It helps set a firm's culture which in turn helps decide the type of employees to fire It takes into account the business environment, economic conditions, market opportunities, and competitor actions It helps decide the infrastructure required to run the operations of a firm It helps decide the structure that a firm should adopt to be successful

it takes into account the business environment, economic conditions, market opportunities, and competitor actions

Identify the process characteristics of a job shop type of process. (check all that apply) Products follow sequence. Line stoppages are very costly. Job sequencing is challenging. High work-in-process inventory is necessary. High variety of inputs and process flows are necessary.

job sequencing is challenging, high work-in-process inventory is necessary, high variety of inputs and process flows are necessary

Match the example with the process type of the product-process matrix. An auto repair

job shop

Match the output characteristics with the process type of the product-process matrix. Customized and low volume

job shop

Match the core management value to the quality management thought leader: Proof of need, project identification, organize for improvement, diagnostic journey, and remedial action.

jura's universal breakthrough sequence

Identify the true statements about Kaizen Improvement. (check all that apply) Kaizen is also known as Continuous Improvement. Pursuit of small improvements keeps people thinking about the process and its current operation. Products and processes seldom change and hence process improvement should be a part of a manager's job. It states that the long-term success of an organization occurs only when everyone in the firm identifies and implements improvements every day.

kaizen is also known as continuous improvement, pursuit of small improvements keeps people thinking about the process and its current operation, it states that the long-term success of an organization occurs only when everyone in the firm identifies and implements improvements every day

Match the definition with the disposition option. Leave the activity intact

keep

A(n) _____ _____ is the customer or customer segment receiving priority because it is highly important to the firm's current and future success

key customer

Match the commonly used output metric measured at the end of a process to the desired outcome. Actual led time to build a unit

lead time

A _____ _____ is an operation that produces maximum levels of efficiency and effectiveness using a minimal amount of resources

lean operation

Identify the factors that contribute to supply chain risk: (check all that apply) Suppliers with geographically dispersed operations Major increases or decreases in demand Political instability Transparency in a supply chain Supplier technical, operations, or quality problems Labor disputes Inadequate physical, informational, and intellectual property security

major increases or decreases in demand, political instability, supplier technical, operations, or quality problems, labor disputes, inadequate physical, informational, and intellectual property security

Match the definition with the respective process structure. Products that have similar designs but are customized during production.

make to order

Match the example with the respective process structure. A trip to the emergency room and a haircut.

make to order

Match the example with the respective process structure. Groceries, retail clothing, and electronics.

make to stock

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

Identify the parameters by which a particular process can be defined. (check all that apply) Management policies Design Process structure Activities Inputs/outputs/flows

management policies, process structure, activities, inputs/outputs/flows

Match the activities and decisions to the stage of product/process innovation. Ramping up production volume, filling distribution channels, and launching promotional and advertising campaigns.

market introduction

Match the decision that impacts that product quality with the functional personnel: Development of new product testing programs.

marketing managers

Match the example with the service in the service process matrix. Retail banks, gas stations, and retail outlets

mass services

Identify the drawbacks of a functional layout. (check all that apply) A significant amount of time is usually needed to clean and set up workstations. Materials handling costs are high when jobs are moved from department to department. Processing times and work-in-process inventory in a functional layout tend to be high. A problem occurring at a single workstation stops the production

materials handling costs are high when jobs are moved from department to department, processing times and work-in-process inventory in a functional layout tend to be high

_____ capacity is the highest level of output that a process can achieve under ideal conditionings in the short term

maximum

Under design for manufacture, design for assembly focuses on _____. designing products that can be produced consistently, even when production processes vary greatly. minimizing the number of parts in a product and on easing assembly processes. easing product disassembly and maintenance and on the reuse of product components. evaluating the consistency with which a good or service can be produced or delivered.

minimizing the number of parts in a product and on easing assembly processes

From a historical perspective, identify the reasons why advances in technology and infrastructure have increased the focus on supply chains in operations management. (check all that apply) computers have increased the automation in factories, reducing the cost of production and increasing quality modern transportation networks open opportunities both for new suppliers and new markets digital communication has made information transactions for planning, material movement tracking, and financial needs more efficient modern transportation is faster, more reliable, and connects more remote locations to the global network interchangeable parts make it possible to produce a product from parts from multiple locations

modern transportation networks open opportunities both for new suppliers and new markets, digital communication has made information transactions for planning, material movement tracking, and financial needs more efficient, modern transportation is faster, more reliable, and connects more remote locations to the global network

Match the objective with the type of innovation project. Develop new product platforms using mostly existing technologies.

next generation or platform development projects

Match the description with the assumption underlying the economic order quantity (EOQ) formulation: It is possible to order a lot size equal to the economic order quantity.

no lot size restrictions

Match the description with the assumption underlying the economic order quantity (EOQ) formulation: The product is produced and delivered in a single batch.

no partial deliveries

Match the description with the assumption underlying the economic order quantity (EOQ) formulation: The ordering of one product is not tied to the ordering of some other products.

no product interactions

Match the description with the assumption underlying the economic order quantity (EOQ) formulation: Product cost is constant regardless of quantity ordered.

no quantity discounts

Match the description with the assumption underlying the economic order quantity (EOQ) formulation: Product demand and replenishment lead time are known and constant.

no variability

Match the tactic with the sourcing strategy: Use vendor-managed inventory and allow users to make their own purchases using online catalogs or corporate credit cards to lower the transaction costs of purchasing.

noncritical items

_____ are competitive bidding systems that allow suppliers to submit multiple bids within a fixed time. (3 words)

online reverse auctions

Match the major action/result with the type of activity. Decides, produces, does, and accomplishes

operation

Match the resources that limit capacity to the process activity associated with them. Tools, labor, machine capacity, supplier capacity

operation

Match the balancing objectives (when formulating a sales/operating plan) to the functional group of a firm: To use detailed forecasts, few product variations, long production runs, and stable production schedules.

operations

The management of processes used to design, supply, produce, and deliver valuable goods and services to customers

operations management

The product traits such as availability, price, or conformance quality that must meet a certain level (at least as well as competitors' offerings) un order for the product to even be considered by customers fall under the _____ category

order qualifier

Match the issue to consider with the infrastructural decision. Centralization, authority hierarchy, roles of staff people, intra-firm relationships, performance metrics

organization and management

_____ involves acquiring of inputs from the operational processes provided by suppliers.

outsourcing

Match the description of the intangible good with the dimension of product quality: Subjective assessment of the caring, individualized attention paid to customers.

perceived quality

The notion of a _____ is that an order should be delivered without failure in any attribute. (two words)

perfect order

Match the business process with the output. Performance variances, trends

performance measurement

Identify the true statements with respect to performance measurement's role in operations strategy. (check all that apply) Performance measures do not play a part in control operations and they only measure the effectiveness of communication of strategic intentions Performance measures do not play a part in the alignment between the actions of operations managers and the stated objectives Performance measures control operations Performance measures communicate strategic intentions to operations personnel

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

Match the description with the type of independent demand inventory system: Management systems build around checking and ordering inventory at some regular interval.

periodic review model

_____ is a process for improving quality that describes the sequence used to solve problems and improve quality continuously over time.

plan do check act cycle

Identify the methods by which process managers define a process's structure. (check all that apply) Positioning process activities Evolving process activities Linking process activities Sequencing process activities Identifying process activities

positioning, linking, and sequencing

Identify the three basic categories that are prioritized for possible improvement to a process in a future state map. (check all that apply) Postpone the change until sufficient resources or capabilities become available. Make the changes immediately. Acquire the resources needed to implement the changes to reduce the return on investment. Determine that the change is not ultimately desirable or feasible. Perform benchmarking and competitor research before making the changes.

postpone the change until sufficient resources or capabilities become available, make the changes immediately, determine that the change is not ultimately desirable or feasible

Match the description with the component of order-to-delivery (OTD) lead time: It is the time associated with obtaining (through purchases) the inputs required for processing the order.

procurement lead time

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

product

Match the activities and decisions to the stage of product/process innovation. Conducting full-scale product performance tests and simulations, conducting customer tests, and refining details of product design.

product and market testing

Match the activities and decisions to the stage of product/process innovation. Deciding the components to be designed, specifying the types of processes to be used, and developing early prototypes and system-level simulations.

product and process planning

_____ _____ is the capacity to have inventory present when and where it is desired by a customer.

product availability

Match the description with the component of order-to-delivery (OTD) lead time: It is the time interval needed to conceptualize, design, and test a new product.

product design lead time

Match the decision that impacts that product quality with the functional personnel: Design of product prototyping procedures.

product engineers

_____ categorizes processes into structures based on output volumes and variety.

product-process matrix

Match the issue to consider with the infrastructural decision. Improvement programs, problem-solving procedures, knowledge management, change management, new product launches, management of intellectual property

product/process innovation

Match the example with the process type of the product-process matrix. A custom home

project

A _____ _____ is a legally binding document prepared by a buyer to describe all the terms and conditions of a purchase.

purchase order

Match the commonly used output metric measured at the end of a process to the desired outcome. Actual yield rate vs. standard yield rate

quality

Performance

quality

Identify a difference between goods and services. goods require shorter lead times, while services require longer lead times quality assessment of goods is easier than the quality assessment of services goods are often labor-intensive, while services are often capital-intensive goods cannot be inventoried, while services can be inventoried

quality assessment of goods is easier than the quality assessment of services

Identify the internal reasons due to which processes are often not able to achieve the desired levels of capacity utilization. (check all that apply) Supplied inputs Quality problems Lack of resource availability Insufficient demand

quality problems, lack of resource availability

Match the description of the intangible good with the dimension of product quality: Willingness to help customers and provide prompt service.

responsiveness

Match the respective performance parameter in the supply chain to the dimension of performance. The velocity at which a supply chain provides products to the customer

responsiveness

Match the example with the service in the service process matrix. Automobile repair shops and hospitals

service shops

Which of the following are used to generalize process outputs in operations management? (check all that apply) services goods production resources

services, goods

Identify the process characteristics of a batch process. (check all that apply) Some common inputs High variety of inputs and process flows Challenging job sequence High setup time Dominant flow patterns

some common inputs, high setup time, dominant flow patterns

Timeliness

speed

_____ _____ is a process that identifies what purchases are being made in an organization.

spend analysis

_____ are a group of people who have a financial or any other interest in the well-being of an operation.

stakeholders

Identify the players that are directly involved in a supply chain. (check all that apply) competitors stakeholders firm suppliers customers

stakeholders, firm, suppliers, customers

Identify the groups that operations managers interact with and are external to the firm. (check all that apply) stakeholders human resource management suppliers customers

stakeholders, suppliers, customers

Identify the true statements about standard deviation. (check all that apply) Standard deviation is an indicator of process variability. A low standard deviation indicates that the data points tend to be very close to the same value, typically the mean. A high standard deviation indicates that the data are spread out over a large range of values. As standard deviation increases, there is greater certainty about the exact outcome.

standard deviation is an indicator of process variability, a low standard deviation indicates that the data points tend to be very close to the same value, typically the mean, a high standard deviation indicates that the data are spread out over a large range of values

Identify the conditions that exist during the growth phase of a product's life cycle. (check all that apply) Stabilization in demand Standardized forms of a product begin to appear Major investments in process innovation take place Increased sales

standardized forms of a product begin to appear, increased sales

A manager of a firm decides to outsource a certain aspect of a project as it is economical to do so. In this scenario, the manager's decision to outsource is an example of a(n) _____

strategic capacity change

Match the business process with the output. Vision and long-term objectives and plans

strategic planning

A model that shows how operational changes affect the overall performance of a business unit is the _____.

strategic profit model

Match the tactic with the sourcing strategy: Use one or two suppliers and build partnerships with them to foster collaboration and innovation.

strategic purchases

Identify the outcomes of collaborative networks. (check all that apply) uncertainty in the availability of raw materials is introduced stronger product offerings are made technical expertise of partners is used to their full extent opportunities to take advantage of complementary cost structures of partners are opened

stronger product offerings are made, technical expertise of partners is used to their full extent, opportunities to take advantage of complementary cost structures of partners are opened

A _____ is used to report a supplier's performance on key performance indicators. (2 words)

supplier scorecard

_____ are parties that provide inputs to operational processes

suppliers

Purchasing, sourcing, and procurement

supply management

_____ _____ is the identification, acquisition, positioning, and management of resources and capabilities that a firm needs to attain its strategic objectives.

supply management

Identify the advantages of components standardization. (check all that apply) The need for creating fewer new designs is instilled. Supply management is made less complex. The number of unique parts in an operation is increased. Development cost and time is reduced. Purchasing leverage can be decreased. Inventory management is simplified.

supply management is made less complex, development cost and time is reduced, inventory management is simplified

_____ is the capacity of a system to maintain or sustain itself by improving its performance in terms of how it manages pollution, people, and the changes in its business model. (one word)

sustainability

Which of the following areas help develop capabilities that contribute to the supply chain operations for a firm? (check all that apply) sustainability innovation conformance flexibility cost timeliness

sustainability, innovation, and flexibility

Identify the three categories of costs which the overall resources spent in new product/process development can be split into. Sustaining and warranty costs Development costs Pr Cross-functional team costs

sustaining and warranty costs, development costs, production and sales support costs

_____ _____ is a visual element used in process flow diagrams or flowcharts that organized the activities into groups based on major types of tasks being carried out or the departments responsible for those activities.

swim lanes

Identify the true statements about planning across a supply chain. (check all that apply) tactical planning usually spans months strategic planning decisions include high-level product and resource design decisions operational planning usually addresses weeks or days of activity tactical planning level addresses demands, materials, and capacities at individual product level

tactical planning usually spans months, strategic planning decisions include high-level product and resource design decisions, operational planning usually addresses weeks or days of activity

Define a physical layout diagram

technique that documents both the horizontal and vertical movements of work within a process

Managers use the "triple bottom line" approach as a performance measurement. Using this approach, three different measures of profit and loss are prepared. Match the measure to the description of what the approaches assess. Traditional measures of performance - monetary profit

the first assessment

Identify the true statements about supplier relationship management (SRM): (check all that apply) The goal of SRM is to streamline the processes and interactions that exist between a firm and its various suppliers The main function of SRM is to identify the supplier SRM helps a firm identify the critical suppliers and to improve how the firm words with those suppliers SRM helps a firm in reducing costs, introducing new products, and creating cash

the goal of SRM is to streamline the processes and interactions that exist between a firm and its various suppliers, SRM helps a firm identify the critical suppliers and to improve how the firm words with those suppliers, SRM helps a firm in reducing costs, introducing new products, and creating cash

Identify the true statements about supply base optimization: (check all that apply) The use of too many suppliers makes communication and control difficult The use of too few suppliers increases competition The use of too few suppliers increases supply chain risk The use of too many suppliers increases complexity and administrative costs

the use of too many suppliers makes communication and control difficult, the use of too few suppliers increases supply chain risk, the use of too many suppliers increases complexity and administrative costs

Identify the true statements about firms that have developed strong innovation competencies. (check all that apply) They respond slowly to competitors' product introductions. They typically create profits that are 20 to 150 percent greater than the profits of their competitors. They tend to grow at rates that are three to six times the rate of their competitors. They have higher problems while launching new products.

they typically create profits that are 20 to 150 percent greater than the profits of their competitors, they tend to grow at rates that are three to six times the rate of their competitors

In a supply chain, each upstream stage of supply is known as a _____.

tier

_____, a dimension for a product-related outcome, is associated to the degree to which a product is delivered or available when the customer wants it.

timeliness

Identify the scenario which best illustrates crowdsourcing: The manager of a firm is stuck at the designing stage of a new product and seeks help from his subordinate to develop the product. To develop a new product, a firm seeks help from its CEO for product design. A firm hires an R&D executive to develop better products. To develop a fuel efficient vehicle, Josh creates a website where people can help contribute a significant sum of money.

to develop a fuel efficient vehicle, Josh creates a website where people can help contribute a significant sum of money

Identify the statements that are true of capacity planning. (check all that apply) Too much capacity in a supply chain means that resources are underutilized. Too little capacity in a supply chain can effectively increase a manufacturing plant's efficiency Typically, cross-functional teams make decisions about how much capacity is needed and when it should be added or removed. Capacity decisions are important as demand, products, technology, and the competitive environment shift over time.

too much capacity in a supply chain means that resources are underutilized, typically cross-functional teams make decisions about how much capacity is needed and when it should be added or removed, capacity decisions are important as demand, products, technology, and the competitive environment shift over time

_____ includes all of the costs incurred before, during, and after a purchase. (4 words)

total cost of ownership

Match the description to its respective activity category. An activity that moves an input from one place to another without transforming its other characteristics

transportation

Match the resources that limit capacity to the process activity associated with them. Pallets, carts, fork-lift trucks, trucks, trains, airplanes

transportation

True or false: 3D printing is also known as additive manufacturing.

true

True or false: A focus on customer success shifts the emphasis from customers' expectations to customers' "real" requirements.

true

True or false: If the unit fill rate is greater than 100%, then the company is likely to lose money as it is giving away products for free.

true

True or false: a firm can involve customers and suppliers as innovation partners.

true

True or false: it is common to measure stockout in terms of the number or percentage of inventory items for which there is no inventory on hand at the time of demand.

true

True or false: it is important to clearly define the limits of the process that is to be improved. Without bounds, a process study runs a real risk of never being completed.

true

True or false: operations management is a process-oriented discipline.

true

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

true

True or false: processes are the means by which customers' needs are satisfied.

true

An analyst is classifying activities in a process flow table based on the criteria that the activity adds value, generates waste, or adds no value but remains necessary. In this case, identify the information the analyst is recording.

value code

Identify the attributes that an analyst must capture when documenting the current state of a process. (check all that apply) Value orientation of the activities Time required for activities Number of steps in a process Scope of the future state map Distance covered by workpieces in a process Market share of the product

value orientation of the activities. time required for activities, number of steps in a process, distance covered by workpieces in a process

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

Any activity that moves a product closer to the form or location desired by the customer is a(n) _____ activity.

value-adding

Identify the critical questions that need to be addressed during the formulation of a functional strategy for a firm. (check all that apply) What are the critical resources that the firm has to manage? How should the firm coordinate the activities with those of the other functional areas within the firm to enhance the ability of the firm? What businesses to divest and how to measure business performance? What business to acquire and how to manage risks? How should the firm compete? What metrics should the firm have in place to ensure that they are making progress on their plans?

what are the critical resources that the firm has to manage, how should the firm coordinate the activities with those of the other functional areas within the firm to enhance the ability of the firm, what metrics should the firm have in place to ensure that they are making progress on their plans

In the context of selecting appropriate customer relationships, identify the condition when a supplier should carefully question whether they should continue serving their customer: When a customer generates low revenue and low profit. When a customer generates low revenue and high profits. When a customer generates high revenue and high profit. When a customer generates high revenue and low profits.

when a customer generates low revenue and low profit

Identify the conditions when negotiation is considered to be a better choice: (check all that apply) When a high degree of uncertainty in the requirements exists When early supplier involvement in product development is required When different combinations of requirements may be acceptable When the relationship between the supplier and a firm are adversarial or arm's-length When a complex start-up or customized equipment is needed

when a high degree of uncertainty in the requirements exists, when early supplier involvement in product development is required, when different combinations of requirements may be acceptable, when a complex start-up or customized equipment is needed

Identify the true statements about stockout costs. (check all that apply) When stockout costs are known to exists, a company can incur significant back ordering and expediting costs A potential stockout cost is the cost of a lost sale Stockouts cause disruptions of materials flows in the supply chain Stockout costs are typically considered to be fixed

when stockout costs are known to exists, a company can incur significant back ordering and expediting costs, A potential stockout cost is the cost of a lost sale A company may never know the actual amount of stockout cost for a product, stockouts cause disruptions of materials flows in the supply chain

Identify the outcomes when an operations manager chooses to utilize overproduction by making actual production greater than effective capacity for longer periods of time. (check all that apply) Workers become fatigued. Safety issues emerge. Machines will break down if they are not properly maintained. Over-utilization becomes sustainable. Errors and accidents become more frequent.

workers become fatigued, safety issues emerge, machines will break down if they are not properly maintained, errors and accidents become more frequent

Match the issue to consider with the infrastructural decision. Skill level, training, wage policies, incentives and reward systems, employment security

workforce

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

yield rate