INTRODUCTION TO OPERATIONS MANAGEMENT STUDY GUIDE #2
Operations management - correct answer The management of systems or processes
that create goods and/or provide services
Goods - correct answer physical items that include raw materials, parts, subassemblies,
and final products.
Automobile
Computer
Oven
Shampoo
Services - correct answer activities that provide some combination of time, location,
form or psychological value.
Air travel
Education
Haircut
Legal counsel
Supply Chain - correct answer A sequence of activities and organizations involved in
producing and delivering a good or service
Value-added - correct answer The difference between the cost of inputs and the value
or price of outputs
Feedback - correct answer Measurements taken at various points in the transformation
process.
Control - correct answer The comparison of feedback against previously established
standards to determine if corrective action is needed.
Process - correct answer One or more actions that transform inputs into outputs.
Upper management process - correct answer These govern the operation of the entire
organization. Examples include organizational governance and organizational strategy.
Operational processes - correct answer These are core process that make up the value
stream. Examples includes purchasing, production and/or service, marketing, and sales.
Supporting processes - correct answer These support the core processes. Examples
include accounting, human resources, and IT.
4 sources of variation - correct answer The variety of goods or services being offered.
Structural variation in demand.
Random variation.
Assignable variation.
Operations management - correct answer The management of systems or processes
that create goods and/or provide services
Goods - correct answer physical items that include raw materials, parts, subassemblies,
and final products.
Automobile
Computer
Oven
Shampoo
Services - correct answer activities that provide some combination of time, location,
form or psychological value.
Air travel
Education
Haircut
Legal counsel
Supply Chain - correct answer A sequence of activities and organizations involved in
producing and delivering a good or service
Value-added - correct answer The difference between the cost of inputs and the value
or price of outputs
Feedback - correct answer Measurements taken at various points in the transformation
process.
Control - correct answer The comparison of feedback against previously established
standards to determine if corrective action is needed.
Process - correct answer One or more actions that transform inputs into outputs.
Upper management process - correct answer These govern the operation of the entire
organization. Examples include organizational governance and organizational strategy.
Operational processes - correct answer These are core process that make up the value
stream. Examples includes purchasing, production and/or service, marketing, and sales.
Supporting processes - correct answer These support the core processes. Examples
include accounting, human resources, and IT.
4 sources of variation - correct answer The variety of goods or services being offered.
Structural variation in demand.
Random variation.
Assignable variation.
