Chapter 2

Question 1

Tangible resources such as buildings, equipment, and computer systems

Answer 1

Structural element

Question 2

The people, policies, decisions rules and organization structure choices made by a firm

Answer 2

Infrastructural element

Question 3

A mechanism by which a business coordinates its decisions regarding structural and infrastructural elements (the overarching goal of the business)

Answer 3

Strategy

Question 4

A statement that explains why an organization exists. It describes what is important to the organization, called its core values, and it identifies the organization’s domain

Answer 4

Mission statement

Question 5

The strategy that identifies a firm’s targeted customers and sets time frames and performance objectives for the business

Answer 5

Business strategy

Question 6

An organizational strength or ability, developed over a long period that customers find valuable and competitors find difficult or even impossible to copy

Answer 6

Core competency

Question 7

A strategy that translates a specific business strategy into specific actions for functional areas such as marketing, HR, and finance. Functional strategies should align with the overall business strategy and with each other

Answer 7

Functional strategy

Question 8

Top Down Model of Strategy

Answer 8

Mission Statement
Business Strategy
Operations and SC Strategies
Other functional strategies

Question 9

A functional strategy that indicates how structural and infrastructural elements within the operations and supply chain areas will be acquired and developed to support the overall business strategy

Answer 9

Operations and Supply Chain Strategy

Question 10

A measure that uses the performance and importance scores for various dimensions of performance for an item or a service to calculate a score that indicates the overall value of an item or a service to a customer

Answer 10

Value index

Question 11

Performance Dimensions (4/5)

Answer 11

Quality
Time
Flexibility
Speed (Cost-in book)

Question 12

A firm can’t be best at

Answer 12

All performance dimensions

Question 13

Value index calculation

Answer 13

Importance of dimension x performance with regard to dimension

Question 14

When making a selection with value index you want to

Answer 14

Choose the higher value index

Question 15

The characteristic of a product or service that bear on its ability to satisfy stated or implied needs

Answer 15

Quality

Question 16

Three types of quality

Answer 16

Performance
Conformance
Reliability

Question 17

Addresses the basic operating characteristics of a product or service (what are we looking to get out of it) -what are the basic operating characteristics of the product or service?)

Answer 17

Performance quality

Question 18

Addresses whether a product was made or a service performed the specifications (standards of how product should be built/ perform)- was the product made or the service performed to specifications

Answer 18

Conformance quality

Question 19

Addresses whether a product will work for a long time without failing or requiring maintenance (if the battery is supposed to last 24 hours, did it do that?)

Answer 19

Reliability quality

Question 20

Three subcategories of time

Answer 20

Delivery speed
Delivery reliability
Delivery window

Question 21

Refers to how quickly the operations or supply chain function can fulfill a need once it has been identified (how fast can we get it)

Answer 21

Delivery speed

Question 22

Refers to the ability to deliver products or services when promised (how consistent are we with delivery)

Answer 22

Delivery reliability

Question 23

The acceptable time range in which deliveries can be made (did the thing/person actually show up in the scheduled time frame)

Answer 23

Delivery window

Question 24

Three types of flexibility

Answer 24

Mix
Changeover
Volume

Question 25

Considers how quickly operations and supply chains can respond to te unique needs of customers

Answer 25

Flexibility

Question 26

The ability to produce a wide range of products or services (# of products or services that you offer)

Answer 26

Mix flexibility

Question 27

The ability to provide a new product with minimal delay (how quickly you can go from making one product to another)

Answer 27

Changeover flexibility

Question 28

The ability to produce whatever volume the customer needs (how quickly can we go from making 1 product to a million products)

Answer 28

Volume flexibility

Question 29

4 types of cost

Answer 29

Labor
Material
Engineering
Quality-related costs (including failure costs, appraisal costs and prevention costs)

Question 30

A decision by a firm to emphasize one performance dimension over another based on the recognition that excellence on some dimensions may conflict with excellence on others

Answer 30

Trade-off

Question 31

What your company does best (you don’t share w the competition)

Answer 31

Core competency

Question 32

Performance dimension that differentiates a company’s products or services from its competitors

Answer 32

Order winner

Question 33

A performance dimension on which customers expect a minimum level of performance. (Something the product has to have for consumers) Superior performance on this will not, by itself, give a company a competitive advantage

Answer 33

Order qualifier