Exam 1 Flashcards
Services vs. manufacturing - Comparisons
- Degree of customer contact
- Labor content of jobs
- Uniformity of input
- Uniformity of output
- Measurement of productivity
- Production and delivery
- Quality assurance
- Amount of inventory
- Evaluation of work
- Ability to patent design
Production Types - Defined
- Continuous flow.
- Fast chain.
- Efficient chain.
- Agile.
- Custom-configured.
- Flexible
Bottlenecks
a point of congestion that creates delays and will cost your business valuable time, as well as increase your production costs.
Functional coordination interdependence
The activities that are parts of a supply chain (regardless of how it is defined) are interdependent with other supply chains in that they share various common resources.
Generally the key aspects of Supply Chain management are Purchasing (sourcing), Planning (scheduling) and Logistics (delivery)
Core competencies
The special attributes or abilities that give an organization a competitive edge. To be effective, core competencies and strategies need to be aligned.
Make/buy decisions
A make-or-buy decision is an act of choosing between manufacturing a product in-house or purchasing it from an external supplier.
Quantitative vs. qualitative
Quantitative data is numbers-based, countable, or measurable. Qualitative data is interpretation-based, descriptive, and related to language.
Efficiency vs. effectiveness -Formula, differences
Efficiency (Output/Input) is defined as the ability to accomplish something with the least amount of wasted time, money, and effort or competency in performance. Effectiveness is defined as the degree to which something is successful in producing a desired result; success.
Agility measurement
Measuring the impact of agility on business performance, therefore, requires measuring metrics assessing the level of customer service (i.e., speed, reliability and quality of service), and the cost to serve.
Sustainability
sustainability in business refers to a company’s strategy to reduce negative environmental impact resulting from their operations in a particular market.
4DX value
Focus on the wildly important, Act on the Lead Measures, Keep a Compelling Scorecard, Create a Cadence of Accountability
Business modeling shortfalls
Neglecting operations strategy
Failing to take advantage of strengths and opportunities and/or failing to recognize competitive threats
Too much emphasis on short-term financial performance at the expense of R&D
Too much emphasis on product and service design and not enough on process design and improvement
Neglecting investments in capital and human resources
Failing to establish good internal communications and cooperation
Failing to consider customer wants and needs
Order winners vs. order qualifiers
Order qualifiers
Characteristics that customers perceive as minimum standards of acceptability for a product or service to be considered as a potential for purchase
Order winners
Characteristics of an organization’s goods or services that cause it to be perceived as better than the competition
Economics of scale
Economies of scale are cost advantages companies experience when production becomes efficient, as costs can be spread over a larger amount of goods.
Productivity formula
Total output/Total input