EXAM 2

Question 1

Operations Management

Answer 1

Organizing the processes that turn inputs such as labor, raw materials, purchased goods, and capital into products or services that a business can sell

Question 2

Product

Answer 2

is tangible

Question 3

Service

Answer 3

intangible

Question 4

Decoupling Demand

Answer 4

product made ahead of time and inventoried until needed

Question 5

Quality

Answer 5

Product: can be tested before customer sees it
Service: tested after the fact

Question 6

Capacity

Answer 6

Product: made before demanded: additional factories if needed
Services: provided proportional to # of providers

Question 7

Capital and Automation

Answer 7

Products: made with capital
Services: some capital, less products

Question 8

make-decision

Answer 8

make a product or business

Question 9

Outsourcing

Answer 9

buy product or service from another business

Question 10

Job Shop

Answer 10

willing to do any customization within their skill set

Question 11

Batch Process

Answer 11

make things in batches

Question 12

Assembly Line

Answer 12

highest volume process that offers much lower prices

Question 13

Hybrid Process

Answer 13

Batch, assembly line, and customization

Question 14

Demand Planning

Answer 14

getting the customer to buy the service when the company wants them to

Question 15

Capacity Planning

Answer 15

ensures that enough production capability is ready to meet customer demand

Question 16

Automation

Answer 16

anything that helps someone do a task faster, easier, or with less effort

Question 17

Inventory

Answer 17

the goods that a company makes and buys to be able to provide a product or service

Question 18

Raw Materials

Answer 18

basic elements that a business buys for their products or services

Question 19

Work-In-Process (WIP)

Answer 19

inventory at the highest risk because the business has started to process it, but it’s not yet ready to be sold

Question 20

Finished Goods

Answer 20

inventory still carries risk because the business will often have more than customer demand to ensure they do not run out

Question 21

Centralized Inventory

Answer 21

holding the inventory at a centralized distribution center, which allows low-volume products to be held more efficiently

Question 22

Decentralized Inventory

Answer 22

most inventory is kept at the store level and uses distribution centers to replenish the products sold at the store

Question 23

Prevention

Answer 23

attempt to reduce the likelihood of a problem occurring before before a product or service is started

Question 24

Inspection

Answer 24

detection of a defect or problem in a product or service after it has been produced

Question 25

Productivity

Answer 25

is a ratio of how much time, energy, materials, and labor needed to produce a product or provide a service

Question 26

Lean

Answer 26

identification of waste anywhere in a process and removing it

Question 27

Transportation(lean)

Answer 27

the movement of a product and the distance that a customer needs to walk

Question 28

Movement(lean)

Answer 28

physical movement that employees need to do in order to complete a task

Question 29

Waiting

Answer 29

the amount of time a customer stands in line and waits for a service to be completed

Question 30

Overproduction

Answer 30

having too many finished goods inventory where someone is working

Question 31

Overprocessing

Answer 31

providing more that what the customer wants or demands

Question 32

Defects

Answer 32

the errors in a product or service

Question 33

Unused Employee Creativity

Answer 33

vital resource for increasing customer and employee satisfaction

Question 34

Six Sigma

Answer 34

designed to reduce variation in a process so that it's consistent and does not deviate from the outcome

Question 35

DMAIC

Answer 35

Define, measure, analyze, improve, and control is the basis for the problem-solving process

Question 36

Supply