Management 314 Midterm Test Questions with Answers | Rated A+

What is traditional operations management? - Production planning and scheduling, inventory management, warehouse and transportation What is modern operations management? - a more general study of business processes. Concerns both manufacturing and service industries What is operations management? - The study and practice of making things better faster and cheaper. What did Skinner say about a company's operations function? - its either a competitive weapon or a corporate millstone. It is seldom neutral. What are order winners or competitive dimensions? - Criteria that differentiate the products or services of one firm from another. They drive a customer to buy this firms products rather than others. Characteristics of order winners? - Price- low cost process time- fast process quality- high quality products flexibility- flexible process What is a process? - a transformation of inputs into outputs through a network of activities and buffers, utilizing resources, IT and mgt. What denies a good process? - Delivered value of process = the benefit to process customers - total process costs. Benefit is driven by customer value: price, quality, time, variety What is productivity? - measure of how well the resources are used. = output / input. It is a relative measure, compare 2 firms within the same industry or the same operation over time. What are the questions OM can answer? - How do I allocate my resources (people money machines)? How do I produce high quality products? When should I promise delivery? How do I distribute my products? How much inventory do I order when demand is uncertain? What are the different measures of productivity? - Partial Measures, Multi-factor measures (MFP), total measure (TFP) What is capacity? - the maximum possible output rate Cycle time (inverse of capacity) - the average time between completion of successive units. What are the key steps in process analysis? - 1) draw a process flow diagram (define the process) 2) Bottleneck analysis (determine the capacity of the process) 3) Consider the effects of inventories and variability in the system