CH. 2 Operations & Supply Chain Strategy for FINAL EXAM

Question 1

A set of competitive priorities coupled with supply chain structural and infrastructural design choices intended to create capabilities that support a set of value propositions targeted to address the needs of critical customers.

Answer 1

operations strategy

Question 2

determines the overall mission of the firm and the types of businesses that the firm wants to be in.

Answer 2

corporate strategy

Question 3

the semi-independent organizations used to manage different product and market segments.

Answer 3

strategic business units (SBU)

Question 4

when a firm successfully formulates and implements a value-creating strategy.

Answer 4

strategic competitiveness

Question 5

an integrated and coordinated set of commitments and actions designed to exploit core competencies and gain a competitive advantage.

Answer 5

strategy

Question 6

when a firm implements a value-creating strategy that competitors are unable to duplicate or find too costly to imitate.

Answer 6

competitive advantage

Question 7

determines how the function will support the overall business unit strategy

Answer 7

functional strategy

Question 8

the customer or customer segment receiving priority because it is critical to the firm’s current or future success.

Answer 8

critical customer

Question 9

all of the tangible or intangible “benefits” that customers can expect to obtain by using the products offered by the firm

Answer 9

value proposition

Question 10

operational activities that the firm can perform well; these define the types of problems and solutions that operations can address proficiently.

Answer 10

capabilities

Question 11

product traits that cause a customer to select one product over its competitors.

Answer 11

order winners

Question 12

product traits that must be met at a certain level for the product to be considered by the customer.

Answer 12

order qualifier

Question 13

product traits that, if not satisfied, cause the loss of either the current order or future orders.

Answer 13

order losers

Question 14

A collection of product and service features that is both attractive to customers and different than competitors’ offerings.

Answer 14

value proposition

Question 15

A product’s fitness for consumption in terms of meeting customers’ needs and desires.

Answer 15

quality

Question 16

the degree to which a product is delivered or available when the customer wants it.

Answer 16

timeliness

Question 17

the amount of time that passes between the beginning and ending of a set of activities.

Answer 17

lead time

Question 18

the total time that a firm takes to conceive, design, test, produce, and deliver a new or revised product for the marketplace.

Answer 18

time to market

Question 19

the time that passes from the instant the customer places an order for a product until the instant that the customer receives the product.

Answer 19

order-to-delivery lead time

Question 20

both radical and incremental changes in process and products

Answer 20

innovation

Question 21

the expenses incurred in acquiring and using a product.

Answer 21

cost

Question 22

an operations ability to respond efficiently to changes in products, processes (including supply chain relationships), and competitive environments.

Answer 22

flexibility

Question 23

maintaining operations that are both profitable and non dampening to society or the environment.

Answer 23

sustainability

Question 24

developing operations that anticipate and deal with problems resulting from natural events, social factors, economic issues, or technological issues.

Answer 24

risk management

Question 25

an approach to corporate performance measurement that focuses on a company’s total impact measured in terms of profit, people (social responsibility), and the planet (environmental responsibility).

Answer 25

Triple bottom line

Question 26

unique and superior operational abilities that stem from the routines, skills, and processes that the firm develops and uses.

Answer 26

capabilities

Question 27

specialized routines, procedures, and performance measurement systems that guide operational activities.

Answer 27

processes

Question 28

access and development of sources of information, and use of proprietary decision support systems and processes.

Answer 28

planning systems

Question 29

proprietary usage of hardware or software that enables the firm to do things differently and/or better than competitors.

Answer 29

technology

Question 30

unique and exclusive relationships with customers and suppliers that are unmatched by competitors.

Answer 30

supply chain relationships