Chapter 10 (10.1, 10.4, 10.6-10.7)

Question 1

Operations Management

Answer 1

a set of methods and technologies used in the production of a good or a service.

Question 2

Service Operations

Answer 2

production activities that yield tangible and intangible service products

Question 3

Goods Production

Answer 3

production activities that yield tangible products

Question 4

Time Utility

Answer 4

when the product is available

Question 5

Place Utility

Answer 5

where the product is available

Question 6

Ownership (Possession) Utility

Answer 6

consumption or use of product

Question 7

Form Utility

Answer 7

product’s form (the transformation of raw materials into a finished product)

Question 8

Successful operations

Answer 8

carefully planned and implemented
forecasting and planning
Capacity
quality
location
layout
methods planning

Question 9

Capacity Planning—Goods and Services

Answer 9

amount that a firm can produce under normal conditions

Question 10

Process Layout

Answer 10

Equipment and people are grouped by function

Question 11

Cellular Layout

Answer 11

Used when families of products can follow similar flow paths

Question 12

Product Layout

Answer 12

Organizing equipment and people to produce one type of product
assembly lines, industrial robotics, lean manufacturing

Question 13

Scheduling Goods Operations

Answer 13

Master Production Schedule (top level)
which products, when, what resources, what time period

Question 14

Scheduling Service Operations

Answer 14

low-contact services:
based on desired completion dates and/or arrival
high-contact services:
customer is directly involved (impacts scheduling)

Question 15

Operations Control

Answer 15

monitoring performance by comparing results to original plans and schedules

Question 16

Materials Management

Answer 16

planning, organizing, and controlling the flow of materials from purchase to distribution of finished goods
transportation
purchasing
inventory control
supplier selection
warehousing

Question 17

Performance Quality

Answer 17

refers to the features of a product and how well it performs

Question 18

Quality Reliability

Answer 18

refers to the consistency or repeatability of performance

Question 19

Quality Ownership

Answer 19

the idea that quality belongs to each person who creates or destroys it while performing a job

Question 20

Value-Added Analysis

Answer 20

evaluation process to determine the value added by:
all work activities
material flows
paperwork
reveal and eliminate wasteful activities

Question 21

Statistical Process Control (S P C)

Answer 21

S P C methods enable managers to analyze variations in production data
detect when adjustments are needed to create products with high quality reliability

Question 22

Process Variation

Answer 22

change in employees, materials, work methods, or equipment that affects output quality

Question 23

Control Chart

Answer 23

statistical process control method (results plotted on a diagram)
results outside the control limits are easily spotted (checked)

Question 24

Quality/Cost Studies

Answer 24

assessing quality-related costs and identifying areas with cost-saving potential

Question 25

Benchmarking

Answer 25

compares the quality of a firm’s output with the quality of the output of the industry’s leaders

Question 26

Supply Chain (Value Chain)

Answer 26

a group of companies and stream of activities involved in getting the product from the raw material stage to the end consumer

Question 27

Supply-Chain Management

Answer 27

offers a competitive edge because companies are working together to improve overall flow of goods