Chapter 1: Introduction

Question 1

What is the primary point of departure of the academic field of Industrial Management?

Answer 1

A business and its value creation processes

Question 2

What do we mean when we label certain business operations as industrialized?

Answer 2

Med industrialiserad verksamhet menas att verksamheten är storskalig och leds och organiseras på ett medvetet systematiskt sätt. Massproduktion, standardisering och repeterbarhet.

Question 3

Describe a company´s economic cycle

Answer 3

Revenue is generated through the value created, while value creation involves the consumption of resources.

1. Start capital: Allows the business to begin operations.
2. Acquire resources: Obtain necessary materials and tools.
3. Create products/services: Develop offerings for customers.
4. Generate revenue: Earn income from sales.
5. Distribution: Either distribute profits or reinvest in new resources.

Question 4

What are the 3 central value creating processes in a industrial company?

Answer 4

• Product Development: Provides a new value proposition.
• Production: The process of creating value.
• Marketing: Capturing the value.