Operations Management Exam 1

The science and art of ensuring that goods and services are created and delivered successfully to customers. Includes the design of goods, services, and the processes that create them; the day-to-day management of those processes; and the continual improvement of these goods, services, and processes.

Operations Management depends on:

When a new product was to be introduced, the best way to produce it had to be determined. This invoked charting the detailed steps needed to make the product.

Inventory was tightly controlled to keep cost down and to avoid production that wasnt needed. Inventory was taken every four weeks and adjusted in the inventory management system accordingly.

Production schedules were created to ensure that enough product was available for both retail and wholesale customers, taking into account such factors as current inventory and soap production capacity

Each product was inspected and had to conform to the highest quality standards. If a product did not conform to standards (e.g., wrong color, improper packaging, improper labeling, improper weight, size, or shape), it was removed from inventory to determine where the process broke down and to initiate corrective action.

Representing the plastic card production area in all meetings, developing annual budgets and staffing plans, and watching technology that might affect the production of plastic credit cards

Physical product that a person sees, touches, or consumes

Product that does not quickly wear out and lasts at least three years

Product that perishes and lasts for less than three years

Primary or complementary activity that does not directly produce a physical product

Is an interaction between the customer and the service provider

Are episodes, transactions, or experiences in which a customer comes into contact with any aspect of the delivery system, however, remote and thereby has an opportunity to form an impression

Integrates marketing, human resources, and operations functions to plan, create, and deliver goods and services, and their associated service encounters

Is the perception of the benefits associated with a good, service, or bundle of goods and services in relation to what buyers are willing to pay for them.

A clearly defined set of tangible (goods-content) and intangible (service-content) features that the customer recognizes, pays for, uses, or experiences

The "core" offering that attracts customers and responds to their basic needs

Are those that are not are not essential to the primary good or service, but enhance it.

A CBP feature that departs from the standard CBP and is normally location or firm specific

A network of facilities and processes that describes the flow of materials, finished goods, services, information, and financial transactions from suppliers, through the facilities and processes that create goods and services, and those that deliver them to the customer.

The portion of the value chain that focuses primarily on the physical movement of goods and materials, and supporting flows of information and financial transactions through the supply, production, and distribution processes.

Is a sequence of activities that is intended to create a certain result

Are warehouses that act as intermediaries between factories and customers, shipping directly to customers or to retail stores where products are made available to customers

Refers to raw materials, work-in-process, or finished goods that are maintained to support production or satisfy customer demand

Refers to an organization's ability to strategically address current business needs and successfully develop a long-term strategy that embraces opportunities and manages risk for all products, systems, supply chains, and processes to preserve resources for future generations

An organization's commitment to the long-term quality of our environment

An organization's commitment to maintain healthy communities and a society that improves the quality of life

An organization's commitment to address current business needs and economic vitality, and to have the agility and strategic management to prepare successfully for future business, markets, and operating environments

A process of transforming data into actions through analysis and insights in the context of organizational decision making and problem solving.

The act of quantifying the performance of organizational units, goods and services, processes, people, and other business activities

Provides a company with customer ratings of specific goods and service features and indicates the relationship between those ratings and the customer's likely future buying behavior.

Measures the degree to which the output of a process meets customer requirements

Relates to the physical performance and characteristics of a good

Consistently meeting or exceeding customer expectations (external focus) and service-delivery system performance (internal focus) for all service encounters

Errors in service creation and delivery are sometimes

The time it takes to perform some task

A fancy word for wait time---the time spent waiting

The ability to develop a wide range of customized goods or services to meet different or changing customer needs

The ability to develop a wide range of customized goods or services to meet different or changing customer needs

The ability to respond quickly to changes in the volume and type of demand

Refers to the ability to create new and unique goods and services that delight customers and create competitive advantage

Refers to creating, acquiring, and transferring knowledge, and modifying the behavior of employees in response to internal and external change.

The ratio of the output of a process to the input

The ability to provide goods and services to customers with minimum waste and maximum utilization of resources

Refers to the measurement of enviromental, social, and economic sustainability

The quantitative modeling of cause-and-effect relationships between external and internal performance criteria is called...

Quantfies the total revenue or profit each target market customer generates over the buyer's life cycle

Provide the basis for decisions at the level at which they are applied

Denotes a firm's ability to achieve market and financial superiority over its competitors

Basic customer expectations are generally considered the minimum performance level required to stay in business and are often called...

Goods and service features and performance characteristics that differentiate one customer benefit package from another and win the customer's business

Those that a customer can determine prior to purchasing the goods and/or services

Are those that can be discerned only after purchase or during consumption or use

Any aspects of a good or service that the customer must believe in but cannot personally evaluate even after purchase and consumption

Represent the strategic emphasis that a firm places on certain performance measures and operational capabilities within a value chain

Being able to make whatever goods and services the customer wants, at any volume, at any time for anybody, and for a global organization, from any place in the world

The discovery and practical application or commericialization of a device, method, or idea that differs from existing norms

A pattern or plan that integrates an organization's major goals, policies, and action sequences into a cohesive whole

Are the strengths that are unique to an organization

The set of decisions across the value chain that supports the implementation of higher-level business strategies

The decisions management must make as to what type of process structure is best suited to produce goods or create services

Focuses on the nonprocess features and capabilities of the organization and includes the workforce, operating plans and control systems, quality control, organizational structure, compensation systems, learning and innovation systems, and support services