Operations and Supply Chain
Management - C720 (WGU) Exam-
Graded A
Operations - ANS-The process used to acquire inputs, such as people, capital, and
material, and transform them into outputs, such as products and services.
Operations Manager - ANS-They allocate resources.
Capital - ANS-Facilities and equipment
Competitive Advantage - ANS-Developing capabilities that customers value, can be
sustained over the long-term, and competitors find difficult to replicate.
Inseparability - ANS-The process of separating production from consumption; cannot be
done for services because they are produced and consumed simultaneously.
Technology - ANS-The application of knowledge, tools, processes, and procedures to
solve problems.
Product Design - ANS-The characteristics, features, and performance of the product;
how the product functions; does not fundamentally change the product. Example:
changing Coca-Cola's beverage containers from glass to aluminum.
Product Technology - ANS-The application of knowledge to improve the product.
Process - ANS-How to accomplish a task.
Process Design - ANS-How a product is made; can fundamentally alter the nature of the
product. Example: changing the taste of Coca-Cola.
Process Technology - ANS-The application of knowledge to improve a process.
Cross-Functionality - ANS-When individuals with different expertise work towards a
common goal; this is an essential business process.
Concurrent Engineering - ANS-Completing product design and process design
simultaneously.
,Functional Areas - ANS-Subsystems within an organization, such as marketing, finance,
and accounting, that are linked together by a common organizational goal.
Strategy - ANS-Consists of the organizational goals and the methods of implementing
the goals; every element of the SWOT analysis should be considered when developing
strategies.
Key Policies - ANS-Main goals of an organization.
Organizational Structure - ANS-The formal relationships among different functional
areas that aids in communication.
Relative Advantage - ANS-Where one entity has an advantage over another; will often
trade their specialized products for those that they do not produce; companies with a
relative advantage are able to produce products at a lower cost than their competitors.
Appraisal Costs - ANS-Investments in measuring quality and assessing customer
satisfaction.
Prevention Costs - ANS-Investments designed to prevent defects from occurring.
Poka-yoke - ANS-Mistake proofing; an approach to prevent defects, such as color-
coding parts so that customers assemble the product correctly.
Design for Manufacture and Assembly (DFMA) - ANS-Products should be designed so
that they are simple and inexpensive to produce.
Design for Operations (DFO) - ANS-Services should be simple and inexpensive.
Statistical Process Control (SPC) - ANS-The use of statistical methods to determine
when a process that produces goods is getting close to producing too many defects.
W. Edwards Deming - ANS-The most influential individual within the specialty of quality;
After World War II, he went to Japan to help rebuild their economy, and he was
heralded for his influence. He went on to lecture in the United States in the 1980s; he
developed his 14 Points for the Transformation of Management.
Deming's 14 Points for the Transformation of Management - ANS-The system, not
employees, cause defects; management is responsible for changing the system, and
they must take responsibility instead of blaming employees; Deming also stressed the
use of Statistical Process Control (SPC) and encouraged training in its use. Other
highlights include creating purpose, reduce fear, provide training and leadership, break
down barriers between departments, and eliminate slogans, work standards, and
quotas.
, Joseph M. Juran - ANS-He defined quality as "fitness for use", from the customer's
perspective; he emphasized the need for continuous improvement and stressed that
quality must be built on quality planning, quality control, and quality improvement.
Quality Planning - ANS-The development of products that appeal to the changing wants
and needs of customers.
Quality Control - ANS-Ensure that the product fits the customer's perception of fitness
for use.
Quality Improvement - ANS-Leadership ought to lead efforts to eliminate waste and
errors.
Philip Crosby - ANS-Wrote Quality is Free; he emphasized the complete elimination of
failures to save money, as most firms underestimate their failure costs and should
evaluate all costs of quality; "Do it right the first time".
Genichi Taguchi - ANS-He helped develop Japan's telephone system post-World War II.
He designed experiments to extract more data from each test. He argues for "robust
design", designs that guarantee high quality despite variations, such as employee
errors, that may occur during the processes that produce the product; quality must,
therefore, be built into the product.
Kaoru Ishikawa - ANS-He developed the Ishikawa/Fishbone diagram and quality circles.
Ishikawa/Fishbone Diagram - ANS-Helps establish cause-and-effect by identifying
factors that contribute to outcomes or problems; the factors are categories as People,
Machines, Methods, Measurements, Materials, and Environment and include intentional
and unintentional consequences and influence quality performance.
Quality Circles - ANS-A team from all levels who meet to discuss, analyze, and
eliminate quality issues using Deming's 14 points; a senior manager overseas their
progress and approves their changes.
Total Quality Management (TQM) - ANS-An organization-wide philosophy that calls for
1) focusing on the customer, 2) quality function deployment, 3) responsibility for quality,
4) team problem-solving, 5) employee training, and 6) fact-based management.
Voice of the Customer - ANS-Describes what customers want and what they like and
dislike; can get to know customers, hold focus groups, and request improvement
suggestions; the business can also use their knowledge of how the customer would
benefit from a new technology that they are not familiar with to create a future need on
behalf of the customer.
Quality Function Deployment (QFD) - ANS-Relating customer needs and expectations
to specific design characteristics through a series of grids or matrices.
Management - C720 (WGU) Exam-
Graded A
Operations - ANS-The process used to acquire inputs, such as people, capital, and
material, and transform them into outputs, such as products and services.
Operations Manager - ANS-They allocate resources.
Capital - ANS-Facilities and equipment
Competitive Advantage - ANS-Developing capabilities that customers value, can be
sustained over the long-term, and competitors find difficult to replicate.
Inseparability - ANS-The process of separating production from consumption; cannot be
done for services because they are produced and consumed simultaneously.
Technology - ANS-The application of knowledge, tools, processes, and procedures to
solve problems.
Product Design - ANS-The characteristics, features, and performance of the product;
how the product functions; does not fundamentally change the product. Example:
changing Coca-Cola's beverage containers from glass to aluminum.
Product Technology - ANS-The application of knowledge to improve the product.
Process - ANS-How to accomplish a task.
Process Design - ANS-How a product is made; can fundamentally alter the nature of the
product. Example: changing the taste of Coca-Cola.
Process Technology - ANS-The application of knowledge to improve a process.
Cross-Functionality - ANS-When individuals with different expertise work towards a
common goal; this is an essential business process.
Concurrent Engineering - ANS-Completing product design and process design
simultaneously.
,Functional Areas - ANS-Subsystems within an organization, such as marketing, finance,
and accounting, that are linked together by a common organizational goal.
Strategy - ANS-Consists of the organizational goals and the methods of implementing
the goals; every element of the SWOT analysis should be considered when developing
strategies.
Key Policies - ANS-Main goals of an organization.
Organizational Structure - ANS-The formal relationships among different functional
areas that aids in communication.
Relative Advantage - ANS-Where one entity has an advantage over another; will often
trade their specialized products for those that they do not produce; companies with a
relative advantage are able to produce products at a lower cost than their competitors.
Appraisal Costs - ANS-Investments in measuring quality and assessing customer
satisfaction.
Prevention Costs - ANS-Investments designed to prevent defects from occurring.
Poka-yoke - ANS-Mistake proofing; an approach to prevent defects, such as color-
coding parts so that customers assemble the product correctly.
Design for Manufacture and Assembly (DFMA) - ANS-Products should be designed so
that they are simple and inexpensive to produce.
Design for Operations (DFO) - ANS-Services should be simple and inexpensive.
Statistical Process Control (SPC) - ANS-The use of statistical methods to determine
when a process that produces goods is getting close to producing too many defects.
W. Edwards Deming - ANS-The most influential individual within the specialty of quality;
After World War II, he went to Japan to help rebuild their economy, and he was
heralded for his influence. He went on to lecture in the United States in the 1980s; he
developed his 14 Points for the Transformation of Management.
Deming's 14 Points for the Transformation of Management - ANS-The system, not
employees, cause defects; management is responsible for changing the system, and
they must take responsibility instead of blaming employees; Deming also stressed the
use of Statistical Process Control (SPC) and encouraged training in its use. Other
highlights include creating purpose, reduce fear, provide training and leadership, break
down barriers between departments, and eliminate slogans, work standards, and
quotas.
, Joseph M. Juran - ANS-He defined quality as "fitness for use", from the customer's
perspective; he emphasized the need for continuous improvement and stressed that
quality must be built on quality planning, quality control, and quality improvement.
Quality Planning - ANS-The development of products that appeal to the changing wants
and needs of customers.
Quality Control - ANS-Ensure that the product fits the customer's perception of fitness
for use.
Quality Improvement - ANS-Leadership ought to lead efforts to eliminate waste and
errors.
Philip Crosby - ANS-Wrote Quality is Free; he emphasized the complete elimination of
failures to save money, as most firms underestimate their failure costs and should
evaluate all costs of quality; "Do it right the first time".
Genichi Taguchi - ANS-He helped develop Japan's telephone system post-World War II.
He designed experiments to extract more data from each test. He argues for "robust
design", designs that guarantee high quality despite variations, such as employee
errors, that may occur during the processes that produce the product; quality must,
therefore, be built into the product.
Kaoru Ishikawa - ANS-He developed the Ishikawa/Fishbone diagram and quality circles.
Ishikawa/Fishbone Diagram - ANS-Helps establish cause-and-effect by identifying
factors that contribute to outcomes or problems; the factors are categories as People,
Machines, Methods, Measurements, Materials, and Environment and include intentional
and unintentional consequences and influence quality performance.
Quality Circles - ANS-A team from all levels who meet to discuss, analyze, and
eliminate quality issues using Deming's 14 points; a senior manager overseas their
progress and approves their changes.
Total Quality Management (TQM) - ANS-An organization-wide philosophy that calls for
1) focusing on the customer, 2) quality function deployment, 3) responsibility for quality,
4) team problem-solving, 5) employee training, and 6) fact-based management.
Voice of the Customer - ANS-Describes what customers want and what they like and
dislike; can get to know customers, hold focus groups, and request improvement
suggestions; the business can also use their knowledge of how the customer would
benefit from a new technology that they are not familiar with to create a future need on
behalf of the customer.
Quality Function Deployment (QFD) - ANS-Relating customer needs and expectations
to specific design characteristics through a series of grids or matrices.
