OIM 210 EXAM 1 PREPARATION
QUESTIONS WITH CORRECT
DETAILED ANSWERS
Where does GAP do most of its manufacturing? - Answer-Bangladesh, Vietnam, China
Contract manufacturing - Answer-Outsourcing production to third party firms
Net Income (profit) = Revenues-expenses - Answer-Revenues=selling clothes
Expenses=labor costs
Lead time for designing clothing lines - Answer-1) Design your collection
2) Send it out to contract manufacturers
3) Wait until your merchandise comes back to you
Lead time for Gap - Answer-6 months
What could go wrong with a long lead time? - Answer-1) Change of preferences
2) Trends
3) Change in material costs
4) Guessing game
SKU - Answer-A stock keeping unit-distinct item
How many SKUs does Gap have? - Answer-2k-4k
Data comes from multiple sources at Zara - Answer-1) PDAs: Personal digital assistant-
a smartphone without the phone
2) Collects data about what customers want to see in store
3) POS: Point of sales system
4) Cash register: info about what's in stock
Who designs ZARA fashion? - Answer--Young people
-Teams
-Cross pollination of ideas
Vertical Integration - Answer-When a single firm owns several layers of its value chain
RFID at Zara - Answer--All products shipped through 2 distribution centers in 72 hours
-Reuse: from store back to distribution centers. With millions of tags, savings can be
substantial
, -Privacy: remove tags at point of purchase
RFID - Answer-Small, chip based tags that emit a unique identifying code for the item
they are attached to
Finance - Answer--Many I-bankers will work on IPOS (initial public stock offerings), wish
to sell their stock on the public market
-IPO markets need new firms
-I banks will be involved in valuing merger and acquisition deals
-Computer automated trading is responsible for some 60% of US equity trading volume
Accounting - Answer--Numbers used by accountants are all recorded, stored, and
reported by information systems, and the reliability of audit involves tehcnology
-Sarbanes Oxley Act: raises executive and board responsibility and ties criminal
penalties to certain accounting and financial violations
-In the US, it is very important to make sure accountants. Negligence=potential jail time
-Major accounting firm has spawned a tech focused consulting practice
Marketing - Answer--Online channels provided a way to track and monitor consumer
activity
-Firms are leveraging this insight to understand how to get the right product to the right
customer, through the right channel, with the right message, at the right price, at the
right time
-Rise of social media: broadcasting WOM influence, generate sales, improve
reputations, better serve customers, innovate
Operations - Answer--Focused on producing goods and services
-Quality programs, process redesign, supply chain management, factory automation,
and service operations are all tech centric
HR - Answer--Use technology for employee training, screening, and evaluation
-Databases look for specific skill sets
-Important to have professional social networks
-Social media is the new resume
Information systems department - Answer--Ensures that systems get built and keep
running but also take on strategic roles targeted at proposing solutions for how
technology can give the firm a competitive edge
Internet of thing - Answer-Ex: disney wrist bands
Contains booking and payment info
Ex: drones for farming
Regularly survey their crops at closer distance
Radical - Answer--Wipe out everything that was before them
Ex: iPhones
QUESTIONS WITH CORRECT
DETAILED ANSWERS
Where does GAP do most of its manufacturing? - Answer-Bangladesh, Vietnam, China
Contract manufacturing - Answer-Outsourcing production to third party firms
Net Income (profit) = Revenues-expenses - Answer-Revenues=selling clothes
Expenses=labor costs
Lead time for designing clothing lines - Answer-1) Design your collection
2) Send it out to contract manufacturers
3) Wait until your merchandise comes back to you
Lead time for Gap - Answer-6 months
What could go wrong with a long lead time? - Answer-1) Change of preferences
2) Trends
3) Change in material costs
4) Guessing game
SKU - Answer-A stock keeping unit-distinct item
How many SKUs does Gap have? - Answer-2k-4k
Data comes from multiple sources at Zara - Answer-1) PDAs: Personal digital assistant-
a smartphone without the phone
2) Collects data about what customers want to see in store
3) POS: Point of sales system
4) Cash register: info about what's in stock
Who designs ZARA fashion? - Answer--Young people
-Teams
-Cross pollination of ideas
Vertical Integration - Answer-When a single firm owns several layers of its value chain
RFID at Zara - Answer--All products shipped through 2 distribution centers in 72 hours
-Reuse: from store back to distribution centers. With millions of tags, savings can be
substantial
, -Privacy: remove tags at point of purchase
RFID - Answer-Small, chip based tags that emit a unique identifying code for the item
they are attached to
Finance - Answer--Many I-bankers will work on IPOS (initial public stock offerings), wish
to sell their stock on the public market
-IPO markets need new firms
-I banks will be involved in valuing merger and acquisition deals
-Computer automated trading is responsible for some 60% of US equity trading volume
Accounting - Answer--Numbers used by accountants are all recorded, stored, and
reported by information systems, and the reliability of audit involves tehcnology
-Sarbanes Oxley Act: raises executive and board responsibility and ties criminal
penalties to certain accounting and financial violations
-In the US, it is very important to make sure accountants. Negligence=potential jail time
-Major accounting firm has spawned a tech focused consulting practice
Marketing - Answer--Online channels provided a way to track and monitor consumer
activity
-Firms are leveraging this insight to understand how to get the right product to the right
customer, through the right channel, with the right message, at the right price, at the
right time
-Rise of social media: broadcasting WOM influence, generate sales, improve
reputations, better serve customers, innovate
Operations - Answer--Focused on producing goods and services
-Quality programs, process redesign, supply chain management, factory automation,
and service operations are all tech centric
HR - Answer--Use technology for employee training, screening, and evaluation
-Databases look for specific skill sets
-Important to have professional social networks
-Social media is the new resume
Information systems department - Answer--Ensures that systems get built and keep
running but also take on strategic roles targeted at proposing solutions for how
technology can give the firm a competitive edge
Internet of thing - Answer-Ex: disney wrist bands
Contains booking and payment info
Ex: drones for farming
Regularly survey their crops at closer distance
Radical - Answer--Wipe out everything that was before them
Ex: iPhones
