ME 213: Module 7 - Part 2

Question 1

It is the process of ascertaining whether organizational objectives have been achieved; if not why not; and determining what activities should then be taken to achieve objectives better in the future.

Answer 1

CONTROLLING

Question 2

This completes the cycle of management functions.

Answer 2

CONTROLLING

Question 3

are set at the planning
stage are verified as to achievement or completion at any given point in the organizing and implementing stages

Answer 3

Objectives and goals

Question 4

It will help the organization achieve its goal in the most efficient and effective manner possible.

Answer 4

controlling

Question 5

These measures minimize the ill effects of such negative occurrences

Answer 5

Proper control measures

Question 6

This minimizes, if not totally eliminates losses in inventory

Answer 6

effective inventory control system

Question 7

4 Steps of the Control Process

Answer 7

1. Establishing performance objectives and standards
2. Measuring actual performance
3. Comparing actual performance to objectives and standards
4. Taking necessary action based on the results of the comparisons

Question 8

5 Examples of Objectives and Standards

Answer 8

1. Sales Targets
2. Production targets
3. Worker attendance
4. Safety record
5. Supplies used

Question 9

which are expressed in quantity or monetary terms

Answer 9

Sales Targets

Question 10

which are expressed in quantity or quality

Answer 10

Production targets

Question 11

which are expressed in terms of rate of absences

Answer 11

Worker attendance

Question 12

which is expressed in number of accidents for given periods

Answer 12

Safety record

Question 13

which are expressed in quantity or monetary terms for given periods

Answer 13

Supplies used

Question 14

In construction firms, these are useful standards.

Answer 14

project completion dates

Question 15

In chemical manufacturing firms, these certain pollution measures form the basis for standard requirement.

Answer 15

certain pollution measures

Question 16

This is needed so that when shortcomings occur adjustments could be made. The adjustments will depend on the actual findings.

Answer 16

measure actual performance

Question 17

Once actual performance has been determined, this will be compared with what the organization seeks to achieve. Actual production output, for instance, will be compared with the ________________.

Answer 17

target output

Question 18

What is the purpose of comparing actual performance with the desired result?

Answer 18

to provide management with the opportunity to take corrective action when necessary.

Question 19

It is when management anticipates problems and prevents their occurrence.

Answer 19

feedforward control

Question 20

This type of control provides the assurance that the required human and non-human resources are in place before operations begin

Answer 20

Feedforward Control

Question 21

The manager of a chemical manufacturing firm makes sure that the best people are selected and hired to fill jobs. Materials required in the production process are carefully checked to detect defects. The foregoing control measures are designed to prevent wasting valuable resources. If these measures are not undertaken, the likelihood that problems will occur is always present.

Which type of control supports this example?

Answer 21

Feedforward Control

Question 22

It is when operations is already on going and activities to detect variances are made.

Answer 22

Concurrent Control

Question 23

It is always possible that deviations from standards will happen in the production process. When such deviations occur, adjustments are made to ensure compliance with requirements.

Answer 23

Concurrent Control

Question 24

The manager of a construction firm constantly monitors the progress of the company’s projects. When construction is behind schedule, corrective measures like the hiring of additional manpower are made.

Which type of control supports this example?

Answer 24

Concurrent Control

Question 25

It is when information is gathered about completed activity and in order that evaluation and steps for improvement are derived.

Answer 25

Feedback Control

Question 26

These are aimed at improving future activities are features of feedback control.

Answer 26

Corrective actions

Question 27

This validates objectives and standards. If accomplishments consist only of a percentage of standard requirements, the standard may be too high or inappropriate.

Answer 27

Feedback control

Question 28

The supervisor who discovers that continuous overtime work for factory workers lowers the quality of output. The feedback information obtained leads to some adjustments in the overtime schedule. Which type of control supports this example?

Answer 28

Feedback Control

Question 29

Is an important management responsibility that deals with the “procurement and administration of funds with the view of achieving the objectives of business”.

Answer 29

finance function

Question 30

Is one of the three basic management functions. The other two are production and marketing.

Answer 30

finance function

Question 31

It is oftentimes unavoidable for firms to extend this to customers.

Answer 31

credit

Question 32

The maintenance of adequate __________ is crucial to many firms. Raw materials, supplies, and parts are needed to be kept in storage so they will be available when needed

Answer 32

inventory

Question 33

6 Sources of Funds (CLOSAC)

Answer 33

1. Cash Sales 2. Loans and Credits 3. Ownership contributions 4. Sales of assets 5. Advance from customers 6. Collection of Accounts Receivables

Question 34

Cash is derived when the firm sells its products or services

Answer 34

Cash Sales

Question 35

Some engineering firms extend credit to customers. When these are settled, cash is made available.

Answer 35

Collection of Accounts Receivables

Question 36

When other sources of financing are not enough, the firm will have to resort to borrowing

Answer 36

Loans and Credits

Question 37

Cash is sometimes obtained from the sale of the company’s assets

Answer 37

Sales of assets

Question 38

When cash is not enough, the firm may tap its owners to provide more money

Answer 38

Ownership contributions

Question 39

Sometimes, customers are required to pay cash advances on orders made. This helps the firm in financing its production activities.

Answer 39

Advance from customers

Question 40

They recommend that the following factors must be considered in the best source of financing.

Answer 40

Schall and Haley

Question 41

6 Factors in Determining the Best Source of Financing FRICT FECS

Answer 41

1. Flexibility 2. Risk 3. Income 4. Control 5. Timing 6. Floatation costCollateral values 7. Exposure 8. Collateral values Speed 9. SpeedExposure

Question 42

Some fund resources impose certain restrictions on the activities of the borrowers. An example of a restriction is the prohibition on the issuance of additional debt instruments by the borrower.

Answer 42

Flexibility

Question 43

When applied to the determination of fund sources, this refers to the chance that the company will be affected adversely when a particular source of financing is chosen.

Answer 43

Risk

Question 44

he various sources of funds, when availed of, will have their own individual effects in the net income of the engineering firm. When the firm borrows, it must generate enough income to cover the cost of borrowing and still be left with sufficient returns for the owners.

Answer 44

Income

Question 45

When new owners are taken in because of the need for additional capital, the current group of owners may lose __________ of the firm. If the current owners do not want this to happen, they must consider other means of financing.

Answer 45

Contro

Question 46

The financial market has its ups and downs. This means that there are times when certain means of financing provide better benefits than at other times. The engineer manager must, therefore, choose the best time for borrowing or selling equity.

Answer 46

Timing

Question 47

Are there assets available as collateral?

Answer 47

Collateral values

Question 48

How much will it cost to issue bonds or stocks?

Answer 48

Floatation cost

Question 49

is a certificate of indebtedness issued by a corporation to a lender. It is a marketable security that the firm sells to raise funds

Answer 49

bond

Question 50

It represents ownership of corporation where many investors are placing their money on them

Answer 50

stock

Question 51

How fast can the funds required be raised?

Answer 51

Speed

Question 52

To what extent will the firm be exposed to other parties?

Answer 52

Exposure

Question 53

is a group of activities designed to facilitate and expedite the selling of goods and services.

Answer 53

Marketing

Question 54

4 P's of Marketing

Answer 54

- product (or service) - price - place - the promotion

Question 55

In the marketing sense, this term includes the tangible (or intangible) item and its capacity to satisfy a specific need. The services provided by the engineer manager will be evaluated by the client on the basis of whether or not his or her exact needs are met.

Answer 55

The Product

Question 56

refers to the money or other considerations exchanged for the purchase or use of the product, idea or service.

Answer 56

Price

Question 57

It is very important for companies to locate in places where they can be easily reached by their customers. When a company cannot be near its customers, it uses other means to eliminate or minimize the effects of the problem.

Answer 57

Place

Question 58

Before the buyer makes the purchasing decision, he must be first informed, persuaded and influenced. This activity is referred to as ___________.

Answer 58

promotion

Question 59

4 Promotional Tools

Answer 59

1. Advertising 2. Publicity 3. Personal Selling 4. Sales Promotion

Question 60

A paid message that appears in the mass media for the purpose of informing and persuading people about particular products, services, beliefs or actions.

Answer 60

Advertising

Question 61

The promotional tool that publishes news or information about a product, service or idea on behalf of a sponsor but is not paid for by the sponsor.

Answer 61

Publicity

Question 62

A more aggressive means of promoting sales referred to as the oral presentation in a conversation with one or more prospective purchasers for the purpose of making a sale.

Answer 62

Personal Selling

Question 63

Any paid attempt to communicate with the customers other than advertising, publicity and personal selling. This includes displays, contests, sweepstakes, coupons, trading stamps, prizes, samples, demonstrations, referral gifts, etc.

Answer 63

Sales Promotion

Question 64

refers to “any process that accepts inputs and use resources to change those inputs in useful ways.”

Answer 64

Operations

Question 65

is an activity that needs to be managed by competent persons.

Answer 65

Operations

Question 66

According to Aldag and Stearns, this is “the process of planning, organizing, and controlling operations to reach objectives efficiently and effectively.”

Answer 66

Operations Management

Question 67

They defined operations management as “the process of planning, organizing, and controlling operations to reach objectives efficiently and effectively.”

Answer 67

Aldag and Stearns

Question 68

is related to “the cost of doing something, or the resources utilization involved”

Answer 68

Efficiency

Question 69

refers to goal accomplishment

Answer 69

Effectiveness

Question 70

OWhen one is able to reach his objectives, say produce 10 000 units in 1 month, he is said to be __________.

Answer 70

effective

Question 71

When a person performs a job at lesser cost than when another person performs the same job

Answer 71

efficient

Question 72

2 TYPES OF TRANSFORMATION PROCESS

Answer 72

1. Manufacturing processes 2. Service processes

Question 73

are those that refer to the making of products by hand or with machinery

Answer 73

Manufacturing processes

Question 74

A job is one whose productions is “based on sales orders for a variety of small lots. “

Answer 74

Job shop

Question 75

These are very useful components of the entire production effort, since the manufacture products in small lots that are needed by, that cannot be produced economically by many companies

Answer 75

Job shop

Question 76

where lots of generally own design products are manufactured

Answer 76

Batch flow

Question 77

An assembly line refers to production layout arrange in a sequence to accommodate processing of large volumes of standardized product or services.

Answer 77

Worker - paced line flow

Question 78

This type of production process produces mostly standard products with machines playing significant role.

Answer 78

Machine-paced line flow

Question 79

This is characterized by “the rapid rate at which items move through the system”. This processing method is very appropriate for producing highly standardized products like calculators, typewriters, automobile, televisions, cellular phones, etc.

Answer 79

Continuous flow

Question 80

are those that refer to the provision of service to persons by hand or with machinery.

Answer 80

Service processes

Question 81

This offers a limited mix of services which results to some economies of scale in operation. This is also affords the company to compete in terms of price and speed of producing the service.

Answer 81

Service factory

Question 82

It provides services to a large number of people simultaneously. A unique processing method is, therefore, necessary to satisfy this requirement. To be able to serve many people, mass service companies offer limited mix of services.

Answer 82

mass service company

Question 83

These are companies that provide specialized services to other firms or individuals

Answer 83

Professional service

Question 84

the process of creating a set of product specifications appropriate to the demands of the situation.

Answer 84

Product design

Question 85

may be defined as “forecasting the future sales of a given product, translating this forecast into the demand it generates for various production facilities and arranging for the procurement of these facilities.”

Answer 85

Production planning

Question 86

is the “phase of production control involved in developing timetables that specify how long each operation in the production process takes.”

Answer 86

Scheduling

Question 87

refers to “the approach that seeks efficiency of operation through integration of all material acquisition, movement, and storage activities in the firm”

Answer 87

Materials management

Question 88

the process of establishing and maintaining appropriate levels of reserve stocks of goods.

Answer 88

Inventory contro

Question 89

the process of determining the physical arrangement of the production system. In the transformation process, this may be done either haphazardly or orderly.

Answer 89

Work flow layout

Question 90

refers to the measurement of products or services against standards set by the company. Certain standard requirements are maintained by the management to facilitate production and to keep customers satisfied.

Answer 90

Quality control