MGSC 395 Exam 1 Concepts Screenshot And Review Questions And Answers Solution Guaranteed

How do operations and supply chain fit in the overall business? - correct answers Integrates into different functional areas: -Finance (Acquires financial resources and capital for inputs) -Operations (Translates materials and services into outputs) -Marketing (Generates sales of outputs) (left to right: Material and service inputs, Product and service outputs, sales rev) Middle- Support functions: Accounting Information systems Human Resources Engineering What is the supply chain? - correct answersan interrelated series of processes *within and across firms* that produces a service or product to the satisfaction of customers Process - correct answersAny activity or group of activities that takes one or more inputs, transforms them, and provides one or more outputs for its customers. External -> and internal -> customers:) ( mutliple processes Inside each) Multiple inputs -- Process o->o->o -- Output Examples: onboarding, customer service complaints, information tech Why do we want internal customers? - correct answersFeedback to control process What is the supply chains main function? - correct answersLinking external parties with internal groups The *synchronization* of a firm's processes with those of its *suppliers* and *customers* to match the flow of materials, services, and information with customer demand Operation - correct answersa group of resources performing all or part of one or more processes. Process o->o->o Process o->o->o = All operation, or just 1 Process o->o->o What is a key part of operations? And it can be _______? - correct answersProcesses, and it can be improved Are processes and suppliers internal or external? - correct answersBoth What's the difference between service and manufacturing process? - correct answers1.) Nature of output Example: You don't go and watch how a company makes something, like food compared to service 2.) Degree of customer contact What makes something more like manufacturing? - correct answers-Physical, durable output -Output can be inventoried -Low customer contact -Long response time -Capital intensive -Quality easily measured What makes something more like service? - correct answers-Intangible, perishable output -Output cannot be inventoried -High customer contact -Short response time -Labor intensive -Quality not measured easily Key "processes: in the supply chain - correct answersEach activity in a process should add value to the preceding activities; waste and unnecessary cost should be eliminated! What drives how processes, operations, and supply chain perform? - correct answersThe operation strategy and related plans must be linked to the overall corporate strategy to succeed for the long-term. Operations Strategy - correct answersthe means by which operations implements the firm's corporate strategy and helps to build a customer-driven firm Competitive Priorities - correct answersthe critical dimensions that a process or supply chain must possess to satisfy its internal or external customers, both now and in the future Competitive Priorities include - correct answersCost Quality Time Flexibility Competitive Capabilities - correct answersthe cost, quality, time, and flexibility dimensions that a process or supply chain *actually possesses* and is able to deliver. Comes from market analysis (which comes from corporate strategy) Competitive Capabilities include - correct answersComes from Operations Strategy -> Decisions -Current -Needed -Planned How do you identify what it takes to sell your product or service? - correct answersOrder qualifiers and order winners Order qualifiers - correct answersMinimum level required from a set of criteria for a firm to do business in a particular market segment. Necessary for it to enter competition -Gets foot in the door Example: needing a phone to be an Iphone (brand) Order Winners - correct answersa criterion customers use to differentiate the services or products of one firm from those of another. (be better than competitors.) What does successful implementation of a strategy or plan depend on? - correct answerssuccessful design and execution of processes What is one of the key aspects of successful execution of a strategy/plan? - correct answersHaving the right performance metrics of the process What's crucial for managers? - correct answersTo understand information on the process, knowing what it means and can use it properly. What are the types of information managers should understand? What's the warning for these meaures? - correct answers-On-time delivery -schedule performance -in full delivery -number of defects delivered -internal quality performance -productivity/return on investment -cost Warning: All of these measures can be manipulated -intentionally and unintentionally production performance scorecard, what dictates what's doing the best/worst? - correct answersPlan vs actual Depends on what looking for: on schedule? on budget? What is the most used metric? - correct answersProductivity Productivity and what does it do? - correct answersComparing results of the process (output) to effort to get the results (input) P = Output/Input -Helps us "normalize" performance, more meaningful to compare a ratio than raw numbers What metric is similar to ROI? - correct answersproductivity Labor Productivity - correct answersthe quantity of goods and services that can be produced by one worker or by one hour of work Multifactor Productivity - correct answersan overall measure of performance that indicates how much labor, capital, materials, and energy it takes to produce an output break-even analysis - correct answersthe process of determining the number of units a firm must sell to cover all costs. -Quantitative analysis used to compare processes Break-even quantity - correct answersthe volume at which total revenues equal total costs How to calculate break-even quantities? - correct answersBy setting revenue equal to total cost Breakeven Fb stands for - correct answersThe fixed cost (per year) of the buy option Breakeven Fm stands for - correct answersThe fixed cost of the make option Breakeven Cb stands for - correct answersThe variable cost (per unit) of the buy option Breakeven Cm stands for - correct answersThe variable cost of the make option What is the classic usage of "make versus buy"? - correct answersBreak-even concept used to evaluate alternatives Total Cost to Buy Equation - correct answersFb + cbQ Total cost to make - correct answersFm + cmQ Solve for Q equation - correct answersQ = Fm-Fb / Cb-Cm Process structure matrix - Service - correct answersFront Office -High customer interaction -Flexible or individualized processes -Ex: professional services Hybrid Office Back Office -Low customer interaction -Standard Process -Ex: Insurance claim processing Process structure matrix - Manufacturing - correct answersJob Process -Low volume -Made to customer order -Flexible or unique processes -Ex: Customized Products Batch Process -> small batch and large batch process Line Process Continuous flow process -Low customer interaction -Standard processes -Ex: consumer products Resource Flexibility - example of one of the tradeoffs - correct answersWorkforce: Flexible vs specialized Equipment: General-purpose vs special-purpose Ex: People vs machines Advantages and disadvantages of customer involvement - correct answersAdv: -Inc net value to the customer -Better quality, faster delivery, greater flexibility, and lower cost -Reduction in product, shipping, and inventory costs -Coordination across the supply chain Dis: -Can be disruptive -Managing timing and volume can be challenging -Quality measurement can be difficult -Requires interpersonal skills -Multiple locations may be necessary How to improve business model and process? - correct answersProcess reengineering and process improvement