Chapter 7. Process Strategy Flashcards
Dell’s approach to personal computer manufacturing is to use a product focus, which gives the company its low-cost competitive advantage
False (Global company profile, easy)
A firm’s process strategy is its approach to transforming resources into goods and services
True (Introduction, easy)
In process-focused facilities, equipment utilization is low.
True (Four process strategies, moderate)
The typical full-service restaurant uses a product-focused process.
False (Four process strategies, moderate)
Harley-Davidson, because it has so many possible combinations of products, utilizes the process strategy of mass customization.
False (Four process strategies, moderate)
A value-stream map includes both (1) inventory quantities, and (2) symbols for customers and suppliers.
True (Process analysis and design, moderate)
The assembly line is a classic example of a repetitive process.
True (Four process strategies, easy)
One essential ingredient of mass customization is modular design.
True (Four process strategies, moderate)
The tool that calculates which process has the lowest cost at any specified production volume is a crossover chart
True (Four process strategies, moderate)
The term focused processes refers to the quest for increased efficiency, whether in goods or services, that results from specialization
True (Four process strategies, moderate)
Service blueprinting is a process analysis technique that focuses on the customer and the provider’s
interaction with the customer.
True (Process analysis and design, moderate)
Activity times should not be included in a service blueprint
False (Process analysis and design, moderate)
A process map with the addition of a time axis becomes a process chart
False (Process analysis and design, moderate)
Time-function mapping is a flow diagram with time added to the horizontal axis
True (Process analysis and design, moderate)
Process maps use distance, but not time, to show the movement of material, product, or people
through a process
False (Process analysis and design, moderate)
Professional services typically require low levels of labor intensity.
False (Service process design, moderate)
An example of the postponement strategy for improving service productivity is having the
customer wait until you have sufficient time to serve the customer.
False (Service process design, moderate)
Process control is the use of information technology to monitor and control a physical process.
True (Production technology, easy) {AACSB: Use of IT}
One use of camera-and-computer-based vision systems is to replace humans doing tedious and
error-prone visual inspection activities.
True (Production technology, easy) {AACSB: Use of IT}
Automated storage and retrieval systems are commonly used in distribution facilities of retailers.
True (Production technology, moderate) {AACSB: Use of IT}
Flexible manufacturing systems, because of easily changed control programs, are able to perform
such tasks as manufacturing one-of-a-kind parts economically.
True (Production technology, moderate) {AACSB: Use of IT}
Production technology has had a major impact on services, but as yet there has been little reduction
in service labor requirements
False (Technology in services, moderate) {AACSB: Use of IT}
Optical checkout scanners and ATMs are examples of technology’s impact on services
True (Technology in services, moderate) {AACSB: Use of IT}
Successful process redesign focuses on departmental areas where small, continuous improvements
can be made.
False (Process redesign, moderate)