Management and Planning

Question 1

What is operations management?

Answer 1

Operations employ labor and management (people) and use facilities and equipment (capital) to change resources (raw materials) into finished goods or to provide services.

Question 2

What is supply chain management?

Answer 2

Supply chain management broadens the playing field to include supply (vendors and suppliers), operations, logistics (transportation), and the integration of information and technology among the supply and operations elements with downstream customers and end–user customers.

Question 3

How is relative advantage defined?

Answer 3

It’s the difference between the lowest cost producer and the next-lowest cost producer.

Question 4

What is market share?

Answer 4

It is the sales a company has versus the entire industry sales volume

Question 5

What does VIRAL stand for?

Answer 5

The advantage must provide Value to consumers; it should be Inimitable (not easily imitated), Rare, and an organization must have the Aptitude (capability) and Lifespan (sustainability) to earn appropriate returns on the advantage.

Question 6

What is productivity?

Answer 6

The mathematical calculation which the ratio of the outputs achieved divided by the inputs consumed to achieve those outputs.

Question 7

Labor productivity equation

Answer 7

Labor Productivity = Quantity or Value of Units Produced / Labor Hours or Labor Cost