exam 2

  1. Prioritizing the management of inventory according to the significance of each item’s annual dollar volume to the organization.
    ABC Policy
  2. Authority specified explicitly, often in the job description
    • actual authority
    • 9
  3. Starting an activity such that it will finish on its deadline. In project management, this is the equivalent of implementing the Late Start/Late Finish timings of activities.
    backward scheduling
  4. Percent of a workstation time not in productive use during the operation of a product layout.
    Balance Delay
  5. Exaggerated ‘boom and bust’ inventory levels created upstream by fluctuating demand across a supply chain.
    bullwhip effect
  6. Assigning decision-making and authority to one individual or set of individuals within a larger organization.
    centralized organizational policy
  7. A make-to-stock processing strategy that emphasizes uninterrupted production of extremely high volumes of a single product.
    continuous processing
  8. Expediting the completion of a task or group of tasks, to finish a project in less time than would normally be required.
  9. The longest path through a project network, determining the length of the entire project.
    critical path
  10. Inventory held to gain economies of scale.
    cycle stock
  11. Distributing decision-making and authority to individuals or groups throughout a larger organization.
    decentralized organizational policy
  12. A make-to-assemble strategy emphasizing the stocking of highly standardized components to be quickly transformed into finished products once a customer’s requirement is known.
    delayed differentiation
  13. Fixed and known in advance, representing a high level of certainty when planning.
  14. Closeness to the end customer in the supply chain.
  15. The linking of two information systems from two different organizations to transfer data and conduct transactions.
    electronic data interchange (EDI)
  16. Inventory awaiting sale to consumers.
    finished goods
  17. An inventory system in which the amount of replenishment is determined by the rate of previous demand and its timing is pre-determined at an economical interval
    fixed order interval policy
  18. An inventory system in which the amount of replenishment is pre-determined at some economical value and its timing is then determined by the rate of previous demand.
    fixed order quantity policy
  19. Logistical consulting provided by a firm without logistical assets.
    fourth party logistics (4PL)
  20. A third party logistical service which groups the small shipments of several clients into a larger shipment to achieve economies of scale in transport.
    freight consolidation
  21. A scheduling diagram that illustrates activities across a horizontal timeline.
    Gantt chart
  22. A production strategy associated with cellular manufacturing, requiring the division of a diversity of products into ‘families’ of similar production requirements.
    group technology
  23. A procedure to develop a good solution to a problem, but cannot guarantee identification of the best solution.
  24. Management of flow into a facility or other system.
    inbound logistics
  25. Standardized sets of terms accepted worldwide for transportation of goods, established and trademarked by the International Chamber of Commerce.
  26. A standard freight container designed to be loaded by the shipper and unloaded at its destination, although the container may be carrier by a combination of maritime and ground-based logistics.
    intermodal container
  27. Any delay between requesting a product and receiving it.
    lead time
  28. A quantity multiplied by the distance that the quantity will travel, to create an overall expression of the work required by that action.
    load distance
  29. Transportation by sea or other waterway.
    maritime shipping
  30. An organization that groups differing functions together according to requirements of the work.
    matrix organixational structure
  31. A point of significance in the timeline of a project.
  32. Production of a range of products with a single assembly line, primarily by varying features on an otherwise standardized product.
    mixed model assembly
  33. The time required for average demand to consume an order, triggering another order for replenishment.
    order cycle
  34. Management of flow departing a facility or other system.
    outbound logistics
  35. The use of statistics to identify which factors are the most influential in a particular outcome of interest.
    Pareto analysis
  36. A very small fund supporting incidental purchases of an organization.
    petty cash
  37. A level at which two alternatives have identical merit, resulting in a decision-maker having no preference as to which alternative is selected.
    point of indifference
  38. The minimum order size that qualifies for a quantity discount..
    price break quantity
  39. Variable or not well known in advance; subject to randomness. This represents some uncertainty in planning.
  40. The acquisition of goods and services on behalf of an organization
  41. A written offer to a supplier to buy a particular product in a particular quantity at a particular price.
    purchase order
  42. A person empowered to buy on behalf of an organization.
    purchasing agent
  43. The tagging of objects with devices that may be detected and interrogated for information by remote electronic readers, allowing identification and tracking without contact.
    radio frequency identification (RFID)
  44. Inventory brought in from outside the system.
    raw materials
  45. Production of finished goods from the recycled components of returned goods.
  46. An inventory level that triggers replenishment of an item.
    reorder point
  47. An invitation to offer a price for a particular product or service.
    request for quoation (RFQ)
  48. The time required to produce a batch of some item.
  49. Inventory held to protect against uncertain supply or demand.
    safety stock
  50. A person empowered to bind a selling organization in contracts with buyers.
    sales agent
  51. A person that solicits orders, but cannot bind the selling organization in contracts with buyers.
    sales representative
  52. A graph of inventory levels over time.
    sawtooth diagram
  53. The probability that demand for an item will be met during the lead time on replenishment of that same item.
    service level
  54. The process of collecting, classifying and reporting the expenditures of an organization.
    spend analysis
  55. To fail to meet customer demand due to inadequate supply.
    stock out
  56. A system consisting of all organizations that play some role in supplying a particular product to a customer.
    supply chain
  57. Outsourcing logistics activities to a provider.
    third party logistics (3PL)
  58. closeness to the supplier in the supply chain
  59. Transferal of ownership and management of inventory within a system to its external provider, who will be compensated after its use by the system.
    vendor managed inventroy (VMI)
  60. Inventory resulting from transformation of raw materials, but not yet ready for sale to consumers.
    work-in-process (WIP)
Card Set
exam 2