SCM 414 EXAM 1 REVIEW QUESTIONS
Which of the following describe the network and flow of materials, finished goods,
service, and information, through the processes that create goods and services and
deliver those to consumers ...
A. Business cycle B. Product life cycleC. Supply chainD. Value chain - Answers -D
In order to increase value, an organization must...A. Increase both perceived benefits
and cost proportionallyB. Decrease cost while holding perceived benefits constantC.
Decrease both perceived benefits and cost proportionallyD. Increase perceived benefits
while decreasing actual benefits - Answers -Value = perceived benefits / costs
b
Which of the following are NOT true of Operations Management?A. OM is a process of
turning inputs into outputsB. OM is a value-creating function within the firmC. OM
focuses on external network level processesD. OM is relevent to both manufacturing
and services - Answers -C
What are some of the core differences between manufacturing processes and service
processes?E.g., demand characteristics, response time requirements, quality
measurement, etc. - Answers -Manufacturing
•Physical, durable output
•Output can be inventoried
•Low customer contact
•Longer response time
•Capital intensive
•Demand often easier to predict
•Quality easily measured
•Product can be examined before purchasing
Service processes
•Intangible or perishable output
•Output cannot be inventoried
•High customer contact
•Shorter response time
•Labor intensive
•Demand more difficult to predict
•Quality not easily measured
•Service must be experienced
Explain the difference between Operations Management, Supply Chain Management,
and the Value Chain. - Answers -Operations Management (OM):
•Focuses on internal process management to ensure goods and services are created
and delivered effectively.
, •Involves the design, management, and continuous improvement of processes for
creating goods (durable and nondurable) and services.
•Core issues in OM: Efficiency, Cost, Quality
Supply Chain Management (SCM):
•Focuses on external processes and the synchronization of a firm's processes with
those of suppliers and customers.
•Manages the flow of materials, services, and information across different firms to meet
customer demand.
•SCM looks beyond internal operations to the broader network of suppliers and
customers, ensuring that supply chain-related processes (e.g., outsourcing,
warehousing, logistics) create customer value.
Value Chain:
•Encompasses both internal and external processes (OM and SCM) and includes all
activities that add value to a product or service.
•It involves the entire journey from inputs (suppliers) through value-creation processes,
and ultimately, the delivery of goods and services to customers.
•Value chain also includes post-sale services and relies on measurement and feedback
to drive improvement.
Key Differences:
•OM focuses on managing internal processes efficiently to create goods and services.
•SCM manages the external network of suppliers and customers to ensure smooth
flows across the supply chain.
•Value Chain represents the broader framework that includes both OM and SCM,
ensuring that value is created and delivered at every stage of the process.
Which of the following represents the strategic emphasis that a firm places on certain
performance measures and operational capabilities within a value chain?A. Order
winnersB. Competitive prioritiesC. Search attributesD. Order qualifiers - Answers -B
What are the 5 competitive priorities through which companies can achieve competitive
advantages in their market? - Answers -Cost, quality, time, flexibility, innovation
Which of the following companies most likely has a competitive advantage in their
market:A. A car manufacturer that builds and leverages operational capabilities to
support their prioritiesB. A sports manufacturer that treats the market as a single
segmentC. A paper company that reduces mass customizationD. A clothing
manufacturer that focuses on the organization's capability over customer needs -
Answers -A
PrimeGear, a high-end outdoor apparel company, is looking to invest in operations to
achieve its competitive priority of quality (either top quality or consistent quality). What
operational processes should PrimeGearfocus on to meet this goal? - Answers -
○Quality
•Priority: Top quality
•Ops strategy: Source high-grade materials, rigorous TQM processes, invest in skilled
workforce & continuous employee training
Which of the following describe the network and flow of materials, finished goods,
service, and information, through the processes that create goods and services and
deliver those to consumers ...
A. Business cycle B. Product life cycleC. Supply chainD. Value chain - Answers -D
In order to increase value, an organization must...A. Increase both perceived benefits
and cost proportionallyB. Decrease cost while holding perceived benefits constantC.
Decrease both perceived benefits and cost proportionallyD. Increase perceived benefits
while decreasing actual benefits - Answers -Value = perceived benefits / costs
b
Which of the following are NOT true of Operations Management?A. OM is a process of
turning inputs into outputsB. OM is a value-creating function within the firmC. OM
focuses on external network level processesD. OM is relevent to both manufacturing
and services - Answers -C
What are some of the core differences between manufacturing processes and service
processes?E.g., demand characteristics, response time requirements, quality
measurement, etc. - Answers -Manufacturing
•Physical, durable output
•Output can be inventoried
•Low customer contact
•Longer response time
•Capital intensive
•Demand often easier to predict
•Quality easily measured
•Product can be examined before purchasing
Service processes
•Intangible or perishable output
•Output cannot be inventoried
•High customer contact
•Shorter response time
•Labor intensive
•Demand more difficult to predict
•Quality not easily measured
•Service must be experienced
Explain the difference between Operations Management, Supply Chain Management,
and the Value Chain. - Answers -Operations Management (OM):
•Focuses on internal process management to ensure goods and services are created
and delivered effectively.
, •Involves the design, management, and continuous improvement of processes for
creating goods (durable and nondurable) and services.
•Core issues in OM: Efficiency, Cost, Quality
Supply Chain Management (SCM):
•Focuses on external processes and the synchronization of a firm's processes with
those of suppliers and customers.
•Manages the flow of materials, services, and information across different firms to meet
customer demand.
•SCM looks beyond internal operations to the broader network of suppliers and
customers, ensuring that supply chain-related processes (e.g., outsourcing,
warehousing, logistics) create customer value.
Value Chain:
•Encompasses both internal and external processes (OM and SCM) and includes all
activities that add value to a product or service.
•It involves the entire journey from inputs (suppliers) through value-creation processes,
and ultimately, the delivery of goods and services to customers.
•Value chain also includes post-sale services and relies on measurement and feedback
to drive improvement.
Key Differences:
•OM focuses on managing internal processes efficiently to create goods and services.
•SCM manages the external network of suppliers and customers to ensure smooth
flows across the supply chain.
•Value Chain represents the broader framework that includes both OM and SCM,
ensuring that value is created and delivered at every stage of the process.
Which of the following represents the strategic emphasis that a firm places on certain
performance measures and operational capabilities within a value chain?A. Order
winnersB. Competitive prioritiesC. Search attributesD. Order qualifiers - Answers -B
What are the 5 competitive priorities through which companies can achieve competitive
advantages in their market? - Answers -Cost, quality, time, flexibility, innovation
Which of the following companies most likely has a competitive advantage in their
market:A. A car manufacturer that builds and leverages operational capabilities to
support their prioritiesB. A sports manufacturer that treats the market as a single
segmentC. A paper company that reduces mass customizationD. A clothing
manufacturer that focuses on the organization's capability over customer needs -
Answers -A
PrimeGear, a high-end outdoor apparel company, is looking to invest in operations to
achieve its competitive priority of quality (either top quality or consistent quality). What
operational processes should PrimeGearfocus on to meet this goal? - Answers -
○Quality
•Priority: Top quality
•Ops strategy: Source high-grade materials, rigorous TQM processes, invest in skilled
workforce & continuous employee training
