CHAPTER 1 Flashcards
Science and art of ensuring good and services are created and delivered successfully to customers.
Operations Management
T OR F: OM is important because it makes companies successful.
True
Why is OM important?
It makes companies successful.
Predict future demand for raw materials, finished goods, and services.
Forecasting
Manage flow of materials, info, people, and money from suppliers to customers.
Supply Chain Management
Determine best configuration of machines, storage offices, and departments.
Facility Layout & Design
Using technology to improve productivity and respond faster to customers.
Technology selection
Ensuring goods, services, and processes will meet customer expectations and requirements.
Product inspected and conform to the highest quality standards. If not, it was removed from inventory to determine where the process broke down and to initiate corrective action.
Quality Management
Coordinate the acquisition of materials. supplies, and services.
Purchasing
Ensure that the right amount of resources (labor, equipment, materials, and information) is available when needed.
Resource & Capacity Management
Select the right equipment, information, and work methods to produce high-quality goods and services efficiently.
When a new product was to be introduced, the best way to produce it had to be determined. Charting the detailed steps needed to make the product.
Process Design
Decide the best way to assign people to work tasks and job responsibilities.
Job Design
Determine the best types of interactions between service providers and customers, and how to recover from service upsets.
Service encounter design
Determine when resources such as employees and equipment should be assigned to work.
Created to ensure that enough product was available for both retail and wholesale customers.
Scheduling
Decide the best way to manage the risks associated with products and operations to preserve resources for future generations.
Sustainability
This was tightly controlled to keep cost down and to avoid production that wasn’t needed.
Inventory Management
A value chain begins with _____ who provide inputs to a goods-producing or service-providing process or network of processes.
Suppliers
Physical product that you can see, touch, or possibly consume.
Good
Does not quickly wear out and typically lasts at least three years.
Durable good
No longer useful once it’s used, or lasts for less than three years.
Nondurable good
Any primary or complementary activity that does not directly produce a physical product.
Service
Which of the following statements is NOT true of goods and services?
a. Service encounters can be between a customer and a service provider.
b. Services cannot be stored as inventory for future sale.
c. A shoe is a durable good that provides a service.
d. Normally, patents do not protect services.
C
The three issues that are at the core of operations management include all of the following EXCEPT _____.
a. cost
b. quality
c. tangibility
d. efficiency
C
Which of the following key activities is NOT performed by operations managers?
a. Purchasing
b. Cost accounting
c. Forecasting
d. Service encounter design
B
An operations manager is expected to perform several key activities EXCEPT:
a. coordinating the acquisition of materials, supplies, and services
b. determining when resources should be assigned to work.
c. managing cash flow and strategic investments.
d. making use of technology to improve productivity.
C
Computer software is an example of a _____.
a. tangible product
b. nondurable good
c. service
d. value creation process
B
Identify the statement about goods and services that is NOT true?<br></br><br></br>a. Services that do not involve significant interaction with customers can be managed much the same as goods in a factory.<br></br><br></br>b. A service is any primary or complementary activity that does not directly produce a physical product.<br></br><br></br>c. Some very significant differences exist between goods and services that create different demands on the operations function.<br></br><br></br>d. Designing and managing operations in a goods-producing firm is quite similar to that in a service-providing organization.
Identify a FALSE statement about goods and services.<br></br><br></br>a. Service encounters can be between a customer and a service provider.<br></br><br></br>b. The demand for services is time-dependent, especially over the short term.<br></br><br></br>c. There is no way to recapture the lost revenue from a hotel room.<br></br><br></br>d. A moment of truth is a feature a customer recognizes, pays for, or uses.
Which of the following jobs requires the most service management skills and knowledge?<br></br><br></br>a. Airplane mechanic<br></br>b. Usher at sports stadium<br></br>c. Restaurant cook<br></br>d. Airline Flight attendant
Which of the following statements about goods and services is FALSE?<br></br><br></br>a. Service encounters can be between a customer and a service provider.<br></br><br></br>b. Demand for physical goods is more difficult to predict than demand for services.<br></br><br></br>c. Services cannot be stored as physical inventory for future sale.<br></br><br></br>d. Normally, patents do not protect services.
Which of the following statements is NOT true regarding the differences between goods and services?<br></br><br></br>a. Demand for services is easier to forecast.<br></br>b. Customers participate in many services.<br></br>c. Services cannot be stored as physical inventory.<br></br>d. Patents do not protect service processes.
Which of the following statements about goods and services is FALSE?<br></br><br></br>a. Service encounters are interactions between customers and service providers.<br></br><br></br>b. Services can be stored as physical inventory for future sale.<br></br><br></br>c. Goods are tangible, while services are intangible.<br></br><br></br>d. The demand for service is more difficult to predict than the demand for goods.