Chapter1

Question 1

SWOT analysis

Answer 1

An analytical framework that helps companies define appropriate strategies by identifying internal strength and weaknesses, as well as external threats and opportunities.

Question 2

Safety stock

Answer 2

Inventory kept to compensate for uncertainty

Question 3

Six sigma

Answer 3

A quality, philosophy, and practice that relies on the DMAIC methodology and to statistical analysis to identify and remove the causes of defects.

Question 4

Supply chain management

Answer 4

The value creation engine of every organization supply chain management involves collaboratively managing value- added processes and projects to meet the real needs of customers profitably.

Question 5

Transformation process

Answer 5

Process that takes a set of purchased inputs and turns them into something that possesses greater.

Question 6

Value chain

Answer 6

The process or activities companies used to add value to a product/service and thus meet customer needs.

Question 7

Value proposition

Answer 7

The promises you make to customers about how your firm will meet their needs.