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Operations Management > Test 3 > Flashcards

Test 3 Flashcards

1
Q

What s a process strategy?

A

An organizations approach to transforming resources into goods and services

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2
Q

What are the four types of process strategies?

A

Process, Repetitive, Product, Mass customization

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3
Q

What is process focus?

A

low-volume, high-variety; job shop; high variable costs; intermittent processes

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4
Q

What is repetitive process?

A

classic assemble line; used for automobiles, less flexible than process, use of modules

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5
Q

What is product focus?

A

High-volume, low-variety; continuous processes; high fixed costs

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6
Q

What is mass customization?

A

Rapid, low-cost production that caters to constantly changing customer demands; high volume and variety;

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7
Q

What are some challenges to mass customization?

A
  1. Imaginative product design
  2. Flexible process design (postponement)
  3. Tight control of inventory
  4. Tight schedules
  5. Responsive supply changes
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8
Q

What is the crossover point?

A

The point where the fixed and variable costs for two different processes are equal

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9
Q

What are some key questions for process analysis and design?

A

Is the process designed to achieve competitive advantage?

Does the process eliminate steps that do not add value

Does the process maximize customer value as perceived by the customer?

Will the process win orders

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10
Q

What are the types of tools used to understand process deisng and analysis?

A

Flowchart, Time-function mapping, Value-stream mapping, Process Charts, and Srvice blueprinting.

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11
Q

What do flowcharts show?

A

movement of people and material

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12
Q

What is time-function/process mapping

A

A flowchart with time added to the horizontal axis

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13
Q

How does value-stream mapping differ from time-function mapping?

A

Value-stream mapping shows where value is added, including the supply chain

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14
Q

What are process charts?

A

Charts that use symbols to analyze the movement of people or material

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15
Q

What does service blueprinting focus on?

A

customer and provider’s interaction with the customer

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16
Q

What are the matrix of customer interaction?

A

Degree of customization vs degree of labor

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17
Q

What is CNC

A

computer numberical control; machinery with its own computer and memory

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18
Q

What are automatic identification systems?

A

A system for transforming data into electronic form, for example, bar codes

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19
Q

What is RFID

A

Radio frequency identification–a wireless system in which circuits with antennas send radio waves

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20
Q

What is process control?

A

The use of IT to control a physical process (Turning collected data into physical outputs)

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21
Q

What are vision systems?

A

Systems that use video cameras and computer technology in inspection roles

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22
Q

Robot

A

a flexible machine with the ability to accuately do boring or dangerous tasks

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23
Q

Automated storage and trieval systems

A

Computer-controll warehouses that provide for the automatic placement of parts into and from designated places in a warehouse

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24
Q

Automated guided vehicles

A

Electronically guided and controll cart used to move people or materials

25
Q

Flexible manufacturing system

A

A system that uses electronic signals from a centralized computer to automate production and material flow

26
Q

Computer-integrated manufacturin

A

A manufacturng system in which CAD, FMS, inventory control, warehousing, and shipping are integrated.

27
Q

What is the breakeven point?

A

The point at which fixed and variable costs = total revenue

28
Q

What three things are required for the break-even point analysis?

A

Fixed cost, Variable cost, revenue

29
Q

What is contribution?

A

Diff between selling price and variable cost

30
Q

What is capacity?

A

The throughput, or the number of units a facility can hold, receive, store, or produce in a period of time

31
Q

What is process redesign?

A

The fundamental rethinking of business processes to bring about dramatic improvements in performance

32
Q

What is design capacity?

A

The theoretical maximum output of a system in a given period under ideal conditions

33
Q

What is effective capacity?

A

The capacity a firm can expect to achieve given its product mix, methods of scheduling, etc

34
Q

What is utilization?

A

Actual output/design capacity

35
Q

What is efficiency?

A

Actual output/Effective capcity

36
Q

What is actual or expeted output (also known as rated capacity)

A

Effective capacity*efficiency

37
Q

Utilization will always be _____ than efficiency?

A

Lower

38
Q

What to do if demand exceeds capacity

A

Raise prices and make longer lead time,

Raise capcity

39
Q

What to do if capacity exceeds demand?

A 
Stimulate market (Advert/promo)
Product changes
40
Q

How to react to seasonal demand?

A

Make products with complementary demand patterns (ie, make snowmobiles and jet skis)

41
Q

What are tactics for matching capcity to demand?

A
  1. Making staffing changes (increase or decrease shift employment)
  2. Adjusting equipment (buy/sell/lease machinery)
  3. Improve processes to increase throughput
  4. Redisning prodcts for more throughput
  5. Adding process flexibility to better meet changing product preferences
  6. Closing facilities
42
Q

How is demand managed in service sector?

A

Appointments, reservations, FCFS

43
Q

How can capcity be managed in the service sector?

A

changes in full-time, temp, or part-time staff

44
Q

What are the four apporaches to capacity expansion?

A

Leading demand with incremental expansion
Leading demand with one-step expansion
Lagging demand with incremental expansion
Average

45
Q

What are some true statements about “straddling” demand?

A
  1. Increases incrementally, sometimes lags sometimes leads, delays capital expenditure, and expects “average” demand
46
Q

Which capacity management strategy is riskies?

A

Leading demand with one-step expansion

47
Q

A body of knowledge about waiting lines?

A

Queuing theory

48
Q

What is another name for a line

A

a queue

49
Q

What are the three parts of a queuing system

A
  1. Arrivals or inputs
  2. Queue Discipline/Line itself
  3. The service facility
50
Q

What are the three major characteristics of arrival?

A

Size of pop
Behavior of arrivals
Pattern of arrivals (Poisson)

51
Q

A queue in which a virtually unlimited number of people or items could request the services, or in which the number of customers or arrivals on hand at any given movent is a very small portion of potential arrivals

A

Unlimited population

52
Q

A queue in which there are only a limited number of potential users of the service (Copy manchines)

A

limited pop

53
Q

Refusing to join a queye

A

balk

54
Q

Those who enter the queue and then leave

A

reneging

55
Q

A service system with one line and one server

A

single-server queuing system

56
Q

A service system with one waiting line but with several servers

A

multiple-server queuing system

57
Q

A system in which the customer receives service from only one station and then exits the system

A

single-phase system

58
Q

A system in which the customer receives services from several station before exiting the system

A

multiphase system

59
Q

A continuous probability distribution often used to describe the service time in a queuing system

A

negative exponential probability distribution

Operations Management (6 decks)

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