Production

Question 1

Define operations management.

Answer 1

Management of the process of transforming materials, labor, other resources into goods and services.

Question 2

Define facility location.

Answer 2

Process of selecting a location for company operations. Take in consideration:

• nearness to customers (reduce time to market)
• availability and cost of resources
• proximity to suppliers
• tax relief and governmental support

Question 3

Define facility, product and process layout

Answer 3

1. facility layout: physical arrangement of equipment, offices, people for producing goods and services
2. product layout: assembly line, sequence of step for producing 1 product
3. process layout: similar work is grouped by function

Question 4

What are the 2 strategies for dealing with suppliers?

Answer 4

• use many, ensure constant resources

- use few trusted, ensure reliability

Question 5

Define inventory control.

Answer 5

Determining the right quantity of resources (raw materials, work in progess, finished goods) and keep track of their location and use

Question 6

What is the concept “Just-in-time”?

Answer 6

Only minimal supplies are kept on the premises and others are delivered by the suppliers on an as-needed basis.

Question 7

What is supply chain management?

Answer 7

-process in which companies produce goods and services by integrating many facilities, functions, and processes from suppliers and consumers