SCO 3001 Exam 4 Questions With 100% Verified
Answers!!
transformation process?
Converts inputs to desired finished goods and services
operations management
Responsibility for producing and delivering goods or services of value to customers
What do operations managers do?
They make decisions to manage the transformation process
What are the major categories of decisions operations managers face? Provide examples of
each category of decisions.
Process; when should shift changes occur? What type of equipment technology should occur?
Quality; which workers need training?
Capacity; how large should facilities be?
Inventory; what should the order size be?
What are the primary functional areas in most organizations?
Operations- value addition
Marketing - link to market and voice of customer
Finance- link to capital markets
What are examples of supporting functions?
Human resources/information systems/accounting
cross-functional decision making?
Decisions may impact or be impacted by activities in other functions such as marketing and
finance.
What is meant by the term competitive advantage? Provide an example.
, a condition or circumstance that puts a company in a favorable or superior business position. i.e.
McDonald's unique service operations, limited menu of standardized food, fast production and
service, convenient, clean, and low price
What does operations strategy mean? What are its elements?
Operations strategy: linked to business strategy, leading to a consistent pattern of decision-
making and competitive advantage for the firm
Elements:
- Operations mission
- Operations objectives; cost, quality, delivery, flexibility
- Operations policies; how will the objectives be achieved
- Distinctive competence
How does operations strategy relate to organizational (corporate) strategy?
Corporate strategy defines the business that the company is pursuing.
common objectives of operations
Cost, quality, delivery, flexibility
What are examples of measurements related to these common objectives?
Cost: manufacturing cost as a percentage of sales
Quality: customer satisfaction
Delivery: percentage of orders filled from stock
Flexibility: number of months to introduce new products
product imitator strategy
Typical of a mature, price sensitive market with a standardized product- emphasize cost as the
dominant objective
product innovator strategy
Emerging and possibly growing markets where advantage can be gained by bringing out superior
quality products in a short amount of time-low emphasis on cost. - flexibility.
Answers!!
transformation process?
Converts inputs to desired finished goods and services
operations management
Responsibility for producing and delivering goods or services of value to customers
What do operations managers do?
They make decisions to manage the transformation process
What are the major categories of decisions operations managers face? Provide examples of
each category of decisions.
Process; when should shift changes occur? What type of equipment technology should occur?
Quality; which workers need training?
Capacity; how large should facilities be?
Inventory; what should the order size be?
What are the primary functional areas in most organizations?
Operations- value addition
Marketing - link to market and voice of customer
Finance- link to capital markets
What are examples of supporting functions?
Human resources/information systems/accounting
cross-functional decision making?
Decisions may impact or be impacted by activities in other functions such as marketing and
finance.
What is meant by the term competitive advantage? Provide an example.
, a condition or circumstance that puts a company in a favorable or superior business position. i.e.
McDonald's unique service operations, limited menu of standardized food, fast production and
service, convenient, clean, and low price
What does operations strategy mean? What are its elements?
Operations strategy: linked to business strategy, leading to a consistent pattern of decision-
making and competitive advantage for the firm
Elements:
- Operations mission
- Operations objectives; cost, quality, delivery, flexibility
- Operations policies; how will the objectives be achieved
- Distinctive competence
How does operations strategy relate to organizational (corporate) strategy?
Corporate strategy defines the business that the company is pursuing.
common objectives of operations
Cost, quality, delivery, flexibility
What are examples of measurements related to these common objectives?
Cost: manufacturing cost as a percentage of sales
Quality: customer satisfaction
Delivery: percentage of orders filled from stock
Flexibility: number of months to introduce new products
product imitator strategy
Typical of a mature, price sensitive market with a standardized product- emphasize cost as the
dominant objective
product innovator strategy
Emerging and possibly growing markets where advantage can be gained by bringing out superior
quality products in a short amount of time-low emphasis on cost. - flexibility.
