OM Midterm Exam Study Guide | Operations Management Review, Key Concepts & Practice
Questions
Operations MGMT - ANS ✔✔- creating goods and services
(mfg + service operations)
- transforming input to output
(most efficiency and effectively)
- Max "value added"
(productivity and quality)
the science of getting things done
The 5 M's - ANS ✔✔Machinery
Manpower
Materials
Methods
Money
Why develop new products? - ANS ✔✔- unmet customer needs
- opportunities from tech innovation
- regulatory requirements
4 critical questions in NPD - ANS ✔✔is it needed by customers
can we make it
what level of quality and performance
can we profit
,NPD Funnel for products - ANS ✔✔There are gates (review points) after each stage along the
development funnel
NPD funnel for services - ANS ✔✔customer needs and tech possibilities combine to form
concept generation and selection
which leads to service design - buyer testing - pilot/first site - rollout
Gates/review points at each stage along the funnel
Why do we need the funnel, stages, and gates? - ANS ✔✔STRUCTURED PROCESS to maintain
INNOVATION
Only 1/4 is a winner
50% of resources spent are commercial failures
Reasons for Product & Service Design or Redesign - "Market opportunities or threats" - ANS
✔✔Economic (grow business, improve profit)
Social and demographic (target aging baby boomers)
Political/legal (satisfy new regulations)
Competitive (respond to competitors)
Cost of availability (reduce costs, improve availability)
Technological (utilize new product/process)
Who designs and develops projects and services (NPD)? - ANS ✔✔Marketing
Design
, Manufacturing/operations
NPD Challenges - ANS ✔✔Trade-offs
Dynamics
Details
Time pressure
Economics
How to assess NPD performance - ANS ✔✔Product / Service quality
Product / Service cost
Development time
Development cost
Development capability
A typical development team - ANS ✔✔screenshotted on desktop
Target Costing - ANS ✔✔1. Price Led costing
2. Focus on customers
3. Focus on Design
4. Cross-functional involvement
5. Value-chain involvement
6. Life-cycle orientation
Target Costing Process - ANS ✔✔blue chart screenshot
Questions
Operations MGMT - ANS ✔✔- creating goods and services
(mfg + service operations)
- transforming input to output
(most efficiency and effectively)
- Max "value added"
(productivity and quality)
the science of getting things done
The 5 M's - ANS ✔✔Machinery
Manpower
Materials
Methods
Money
Why develop new products? - ANS ✔✔- unmet customer needs
- opportunities from tech innovation
- regulatory requirements
4 critical questions in NPD - ANS ✔✔is it needed by customers
can we make it
what level of quality and performance
can we profit
,NPD Funnel for products - ANS ✔✔There are gates (review points) after each stage along the
development funnel
NPD funnel for services - ANS ✔✔customer needs and tech possibilities combine to form
concept generation and selection
which leads to service design - buyer testing - pilot/first site - rollout
Gates/review points at each stage along the funnel
Why do we need the funnel, stages, and gates? - ANS ✔✔STRUCTURED PROCESS to maintain
INNOVATION
Only 1/4 is a winner
50% of resources spent are commercial failures
Reasons for Product & Service Design or Redesign - "Market opportunities or threats" - ANS
✔✔Economic (grow business, improve profit)
Social and demographic (target aging baby boomers)
Political/legal (satisfy new regulations)
Competitive (respond to competitors)
Cost of availability (reduce costs, improve availability)
Technological (utilize new product/process)
Who designs and develops projects and services (NPD)? - ANS ✔✔Marketing
Design
, Manufacturing/operations
NPD Challenges - ANS ✔✔Trade-offs
Dynamics
Details
Time pressure
Economics
How to assess NPD performance - ANS ✔✔Product / Service quality
Product / Service cost
Development time
Development cost
Development capability
A typical development team - ANS ✔✔screenshotted on desktop
Target Costing - ANS ✔✔1. Price Led costing
2. Focus on customers
3. Focus on Design
4. Cross-functional involvement
5. Value-chain involvement
6. Life-cycle orientation
Target Costing Process - ANS ✔✔blue chart screenshot
