MBA 705 Ch 8 & 9 questions and
answers
Decline ✔✔Finance is emphasized
Use the SW/OT matrix ✔✔to develop alternatives
Use the SLSC matrix ✔✔to evaluate the alternatives
Elements of the Experience Curve ✔✔(1) learning, (2) economies of scale, and (3)
capital-labor substitutionCapital-Labor Substitution ✔✔An organization's ability to
substitute labor for capital or vice
versa as production increases.
Experience Curve ✔✔The reduction in per-unit costs that occur as an organization
gains
experience producing a product or service
Functional Strategies ✔✔The strategies pursued by each functional area of a
business
unit, such as marketing, finance, or production.
Human Capital ✔✔The sum of the capabilities of individuals in an organization.
, Just-In-Time (JIT) Inventory System ✔✔An inventory system, popularized by the
Japanese, in which suppliers deliver parts just at the time they are needed by the
buying organization to use in its production process.
Knowledge Management ✔✔People and their skills and abilities (i.e., knowledge
capital) represent the only resource that cannot readily be reproduced by a firm's
competitors. Knowledge capital must be effectively leveraged if high-performing
firms are to remain as such over the long term.
Learning ✔✔The increased efficiency that occurs when an employee performs a
task repeatedly.
Process R & D ✔✔R & D activities that seek to reduce the costs of operations and
make them more efficient.
Product/Service R & D ✔✔R & D activities directed toward improvements or
innovations in the quality or uniqueness of a company's outputs.
Total Quality Management (TQM) ✔✔A broad-based program designed to
improve product and service quality and to increase customer satisfaction by
incorporating a holistic commitment to quality as seen through the eyes of the
customer.
answers
Decline ✔✔Finance is emphasized
Use the SW/OT matrix ✔✔to develop alternatives
Use the SLSC matrix ✔✔to evaluate the alternatives
Elements of the Experience Curve ✔✔(1) learning, (2) economies of scale, and (3)
capital-labor substitutionCapital-Labor Substitution ✔✔An organization's ability to
substitute labor for capital or vice
versa as production increases.
Experience Curve ✔✔The reduction in per-unit costs that occur as an organization
gains
experience producing a product or service
Functional Strategies ✔✔The strategies pursued by each functional area of a
business
unit, such as marketing, finance, or production.
Human Capital ✔✔The sum of the capabilities of individuals in an organization.
, Just-In-Time (JIT) Inventory System ✔✔An inventory system, popularized by the
Japanese, in which suppliers deliver parts just at the time they are needed by the
buying organization to use in its production process.
Knowledge Management ✔✔People and their skills and abilities (i.e., knowledge
capital) represent the only resource that cannot readily be reproduced by a firm's
competitors. Knowledge capital must be effectively leveraged if high-performing
firms are to remain as such over the long term.
Learning ✔✔The increased efficiency that occurs when an employee performs a
task repeatedly.
Process R & D ✔✔R & D activities that seek to reduce the costs of operations and
make them more efficient.
Product/Service R & D ✔✔R & D activities directed toward improvements or
innovations in the quality or uniqueness of a company's outputs.
Total Quality Management (TQM) ✔✔A broad-based program designed to
improve product and service quality and to increase customer satisfaction by
incorporating a holistic commitment to quality as seen through the eyes of the
customer.
