8

Question 1

Price
Price + Quality
Price + Quality + Service
Price + Quality + Service + Innovation

Answer 1

Cost Maximization and Efficiency
Quality Minimization
Service Optimization
Innovation and Service

Question 2

Supply chain Vs Development chain

Answer 2

Supply chain = physical product

development chain = new product introduction

Question 3

(Lead Time, Demand Uncertainty)

push/pull

Answer 3

Pull Inventory Positioning
Continuous Replenishment Push

Question 4

Capacity for efficient supply chain

low or high?

Answer 4

is low, since production is continuous

Question 5

3 key characteristics of development chains

Answer 5

Technology Clock speed
Make/Buy Decision (for parts)
Product Structure (modular/integral)

Question 6

Rank on level of Modularity and Uncertainty

Laptop
Phone
Food
Furniture

Answer 6

Laptop - Modular + low uncertainty
Phone - Modular + high uncertainty
Food - Integral + low uncertainty
Furniture - Integral + high uncertainty

Question 7

Opposite of Modular =

Answer 7

integral

Question 8

1. Part Standardization
2. Process Standardization
3. Product Standardization
4. Procurement standardization

Answer 8

1. through risk pooling + economies of scale
2. point of differentiation, think Benaton
3. downward substitution (car rentals)
4. Same Vendor

Question 9

Type of standardization 2x2

Product Modularity, Process Modularity

Answer 9

Part Standardization Process Standardization

Product Standardization Procurement Standardization

Question 10

Mass customization formula = __ production + __ production

Answer 10

craft production

mass production

Question 11

3 organization-design principles for mass customizlation

Answer 11

Modular product design
Modular process design
Agile supply network

Question 12

Making mass customization work requires SICF

Answer 12

Instantaneous: rapid response
Costless: not traditional craft
Seamless: link invisible to customer
Frictionless: little overhead