MANA3335 MindTap Assignment: Chapter 15: Managing Operations, Quality, and Productivity

Suppose your business is located about 30 miles from the nearest large city. If you evaluate whether to open a second salon in that city, what kind of decision is this?

*A location decision {Operations managers have many decisions to make. This decision deals with location. In this case, you must answer the question, "Should a second salon be located in the large city nearby?"}

I am proud of my professional appearance, language, and behavior.

*Aesthetics {How a product looks, feels, tastes, and smells; For a service provider such as Ritz-Carlton, employee appearance is just as important for aesthetics as the facility in which the service is provided}

Technology is the set of processes and systems used by organizations to convert resources into products or services. Which process must be applied in order for a company to ensure its work can be completely performed by machine?

*Automation {This question relies on the definition of automation. Automation is the process of designing work so that it can be completely or almost completely performed by machines. Computer-aided design and computer-aided manufacturing will likely be a part of a system to automate work, but they do not encompass the full process of designing work for completion by machines. Total quality management can be important whether work is completed by machines or by people. It does not directly address the issue of work by machines}

I am responsible for uncompromising levels of cleanliness and creating a safe and accident-free environment.

*Conformance {The degree to which a product's design and operating characteristics meet established standards; This service value states a standard for cleanliness and safety}

I am empowered to create unique, memorable, and personal experiences for our guests.

*Durability {A measure of product life; When discussing the quality of goods, durability is literally how long the product will be useful to the customer. If you buy a washing machine, you may compare brands based on the durability in years and assess that along with price to assess the best overall value. In the lodging and restaurant industries, literal durability may be only a few hours. However, this service value emphasizes that the Ritz-Carlton can create memories. Memories are based on experiences and these memories can last a lifetime}

I understand my role in achieving the Key Success Factors, embracing Community Footprints and creating The Ritz-Carlton Mystique.

*Features {Supplements to a product or service's basic functioning characteristics. The Ritz-Carlton provides lodging and dining to customers as its core offering. This service value acknowledges the experience at Ritz-Carlton (the feature of the Ritz-Carlton Mystique) is why customers chose it and not a competitor}

I am always responsive to the expressed and unexpressed wishes and needs of our guests.

*Features {Supplements to a product or service's basic functioning characteristics; The Ritz-Carlton provides lodging and dining to customers as its core offering. This service value acknowledges that guests have other wishes and needs beyond simple lodging and meals}

You need to improve the taste and texture of the pizza. Which of the following should you do? Check all that apply.

*Improve the materials used to create the product *Involve employees to ensure pizzas are made right {If the primary quality issue you face is the taste of the product, you need to improve the quality of ingredients. Ingredients are a material in pizza. Materials are one of the five components of a total quality management (TQM) program. You should also utilize employee involvement, another component of TQM programs, because employees produce the pizza using the materials. It's unlikely that outsourcing the baking of the pizzas will improve their taste. Reducing cycle time refers to how fast the pizza can be made, sold, and delivered. This is important, but isn't relevant to this scenario}

I build strong relationships and create Ritz-Carlton guests for life.

*Perceived Quality {The perception as seen by a customer; Strong relationships and loyal customers suggest that the customers perceive the Ritz-Carlton as providing a high level of quality}

You need to reassure prospective customers that you will deliver on your promise of better pizza. Which of the following should you do? Check all that apply.

*Publicize your strategic commitment to quality *Benchmark the perceived quality and customer satisfaction of your pizza against that of competing pizzas {In this scenario, the most important choice is the company's strategic commitment to quality. Benchmarking can be useful as part of the process and to provide data that you can then publicize, showing your commitment to quality. Reducing cycle time will not relate directly to assuring the public of the company's quality. While outsourcing can improve quality, customers typically associate outsourcing with a tool for lowering costs, rather than raising quality}

Netflix streams syndicated programming (programming that is developed elsewhere but that Netflix has arranged for the right to stream to viewers) and original programming (programming that Netflix plays a role in developing). Which types of inventory must Netflix have in place at any point in time to ensure it meets customer demand? Check all that apply.

*Raw materials *Finished goods *Work in process {Netflix's finished goods (its current viewing list) are those ready to be sold (or in this case, streamed) to customers. Netflix also has work in process, including any shows it is currently negotiating to receive rights to or shows it is currently producing. Raw materials might include books or screenplays that Netflix plans to produce as original programming. Office supplies may be necessary, but they do not relate directly to products sold to customers. Therefore, it is the only wrong answer to this question}

You need to improve delivery time to customers. Which of the following should you do? Check all that apply.

*Reduce cycle time *Identify new technologies that could improve process speed through the production process {In this scenario, you need to minimize the time elapsed between the customer's order and delivery of that order. This refers to reducing cycle time. One way to start identifying where time can be saved is to benchmark the time taken for each step in the process against other stores, past times, or competitors. A value-added analysis, although useful for identifying new features or assessing whether prices can be raised, is likely not useful for improving delivery times. ISO 14000 standards deal with environmental performance, not delivery times}

I protect the privacy and security of our guests, my fellow employees and the company's confidential information and assets.

*Reliability {A probability of malfunctioning during a specified period; Privacy and security breaches represent a form of malfunction for businesses. For example, if customer credit card data were stolen due to a security breach, this would be considered a malfunction of the Ritz-Carlton system}

Hair's Why transforms clients aesthetically, but it doesn't create a tangible outcome such as a good. What kind of operations takes place at Hair's Why?

*Service operations {Hairstyling and the other services provided at a salon are services—not goods. Service operations is the term used to describe the kind of operations used at facilities that perform services. Manufacturing and production operations relate to facilities that create tangible goods}

I own and immediately resolve guest problems.

*Serviceability {The speed and ease of repair; This service value emphasizes the importance of immediately resolving problems (the speed of repair)}

If you are managing inventory of work in process, which source of control should you use?

*Shop floor control systems {When controlling inventory, managers may be asked to manage any of four basic types of inventories. These include raw materials, work in process, finished goods, and in-transit inventories. The appropriate source of control for these inventories is based on the purpose of the inventory type. Raw materials are used to provide the materials needed to make products; therefore, the source of control is purchasing models and systems. Work in process inventory is used to enable overall production to be divided into stages of manageable size, so shop floor control systems are most useful. Finished goods are used to provide a supply of products to meet customer demand; consequently, production scheduling systems are most useful. In-transit inventories are used to distribute products to customers, so transportation and distribution control systems are best}

When giving advice to employees, managers might use the expression, "Work smarter, not harder." Businesses can raise productivity by investing more hours in production (either by having more employees working or having employees working more hours, respectively) or producing more in the same period through innovative advances in process. Which of the answers that follow best explains why this mantra is relevant for managing productivity?

*This mantra suggests that employees have some control over production by identifying process improvements (rather than simply working more or working faster) {This statement has come to be known as a motivational statement designed to encourage employees to identify ways they can work that will result in not only productivity improvements but also their being more efficient and effective. An example of this philosophy is the book The Four-Hour Work Week, by Timothy Ferris, who claims that employees can work far fewer hours if they make smart choices at work, such as better managing their time spent reading and responding to e-mail communications. There are certainly managers who feel their employees are not as involved as they should be, but the "work smarter, not harder" statement is a positive rallying cry for employee improvement. Employees who aren't following this advice may ask for overtime, but a manager expressing this sentiment to his or her employees would likely be doing so in an effort for positive change, rather than as a criticism}

Which term refers to the overall indicator of how well an organization uses all of its resources such as labor, capital, materials, and energy to create all of its products and services?

*Total factor productivity {There are many forms of productivity. Total factor productivity refers to the overall indicator of how well an organization uses all of its resources such as labor, capital, materials, and energy to create all of its products and services}

The total quality management (TQM) tool that assesses all activities, material flows, and paperwork to determine their relative contribution to value is called ___________ .

*a value-added analysis {All of the possible answers are TQM tools. Only value-added analysis, though, evaluates work activities, material flows, and paperwork to determine the value they add to customers}

Robotics are ____________ .

*artificial devices that perform human functions {Robotics are artificial devices that perform human functions. Automation can occur without robotics. Computers' influence on manufacturing is far beyond simple robotics. Robotics has been incorporated to a much greater extent into manufacturing operations than into service operations}

Zetsche said, "We have the ability and determination to level with the technology of European cars and the quality of the Japanese. And we have our styling capability on top of that." According to this statement, __________ is the reason why quality is important.

*competition {In this quote, Zetsche explains how Daimler AG brands compete against the Europeans on technology, against the Japanese on quality, and against everyone on styling}

Zetsche said, "There's definitely a bunch of people who are just looking for a commodity car to get from A to B without getting wet. We cannot survive just trying to sell a car to them, because we cannot be the lowest-cost competitor." Zetsche was emphasizing the role of ___________ in quality.

*costs {In this quote, Zetsche acknowledges that Daimler AG doesn't produce at the lowest costs. To some extent, ensuring high quality can require investments that lead to higher costs. However, keep in mind that improved quality can also result in lower costs if there are fewer returns, repairs, warranty issues, and so on}

When Harry addresses decisions about where products and services are created, stored, and distributed, he is addressing the _________ aspect of operations systems design.

*facilities {Managers design operations systems around questions relating to how much, what, and where. In this example, the issue is where products are produced. Therefore, Harry is addressing a facilities decision}

Jaime is considering how to best design the ________ of the manufacturing facility. She has to include space for storing materials, manufacturing, and storage.

*layout {When designing operations systems, managers must make choices about location and layout. General layout decisions could involve configuring the facility based on equipment, storage, products, process, or some other aspect. Product layouts are a specific type of layout that focuses on the product. Location decisions deal with geographic positioning of the facility. In this situation, Jaime is working within a designated space, so the issue is not location. She is working on organizing the space without regard for a product type, so product layout is incorrect}

The Kellogg Company creates products by taking inputs, such as corn, and transforming those inputs into a finished product—for example, Frosted Flakes. This process is known as ________ .

*manufacturing {Manufacturing is a form of business that combines and transforms resource inputs into tangible outcomes. Companies that produce products engage in manufacturing. They manage the process using operations management}

Another word for inventory control is ___________ because inventory refers to physical goods, which may be used as inputs that are transformed into outputs or finished goods.

*materials control {Inventory refers to the stores of physical items (materials), whether those items are inputs or outputs. These stores are materials needed for production. That's why materials control is the right answer}

Jill believes that, because her factory manufactures handbags, tote bags and shoes, and all three kinds of products need sewing, beading, and embroidering, the _________ will be most efficient.

*process layout {Facilities can be configured in many ways. When multiple products are made and/or multiple activities are performed, the process layout is usually best. This means that different types of work are performed at different workstations, and each type of product will take a different route through the factory, possibly visiting a given workstation more than once}

Zetsche was clearly referring to __________ when he said, "We are changing the mindset of our people to believe we are not satisfied anymore with 'good,' that it always can be better and it always has to be better. This takes time, but there are signs people will super hard to get the last 5%. That doesn't necessarily cost you money—it's just doing it better, more professionally and more precisely."

*productivity {In this quote, Zetsche explains that Daimler AG employees are committed to operations that are better, more precise, and more professional. This relates to the production process. Productivity is most often thought of as increased output, but it can also refer to improved quality}

When you decide how to invest resources in your organization's operations, including its ability to make different quantities of different products and where it will make them, your most important consideration will be the organization's ______________ .

*strategy {Investments in operations must align directly with the organization's overall strategy. The legal and economic environments in which the organization operates, as well as its internal culture, inform its strategy. Thus, operational decisions align indirectly with these factors, but the most important alignment is between operations and strategy}

Sarah works for a market research firm that has been hired to assess customer perceptions of quality for franchise restaurants in the chain. Measuring quality can be challenging because quality is _________ .

*the totality of features and characteristics of a product or service that bear on its ability to satisfy stated or implied needs {Quality can be hard to assess, because, by definition, it is the totality of features and characteristics of that product. It can also vary by feature or characteristic. One aspect could be of high quality while another aspect may be of lesser quality. The other possible answers refer to some of the dimensions of quality, but quality as a construct includes all product features and characteristics}

Many companies are committed to make quality the guiding factor in everything they do. These companies follow a widely recognized philosophy known as ___________ .

*total quality management {Total quality management is a strategic commitment by top management to ensure processes are led by quality throughout the organization. It is the only answer that addresses quality specifically}

A (sensor) --> B (information) -_> C (control) -feedback-> A

A *Thermostat tests air B *Detects high or low temperature C *Turns off furnace {Automation is the process of designing work so that it can be performed by machines. For automation to work properly, it requires four components: sensor, feedback, information, and control. The relationship among these parts is demonstrated using the function of a thermometer. The thermometer measures air temperature. This is the sensor. The sensor uses the information about the air temperature to detect whether the temperature is higher or lower than desired. If the temperature is not in the desired range, the thermostat will activate cooling or heating. This is the control aspect of the automation. Cooling or heating will continue until feedback to the sensor indicates the temperature has returned to the desired range}

GM retools its Detroit-Hamtramck factory to make electric motors and battery packs instead of engines and transmissions. The organization you work for revamps its performance evaluation and pay systems to measure and reward individual productivity. A manufacturing company makes small daily improvements in factory productivity by adjusting the workflow and processes.

From top to bottom *Improve Operations *Increase Employee Involvement *Improve Operations {Productivity is an economic measure of efficiency that summarizes the value of outputs relative to the value of the inputs used to create them. Levels of productivity include company productivity (the level of productivity achieved by a company), unit productivity (productivity measured in units produced), and individual productivity (productivity of an individual employee). Total factor productivity is an overall indicator of productivity across all resources and functions. There are two general approaches to improving productivity: improving operations and involving employees. Improving operations deals with improvements in process and facilities and might include research and development investments and facility remodels. Employee involvement relies on ideas from and engagement of employees to identify improvements in how they work as well as how the company might accomplish things more efficiently and effectively. Factory productivity and retooling decisions both fit into the operations improvement category. Individual productivity is tied to employee involvement}