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Operations and Supply Chain Management > Test Review > Flashcards

Test Review Flashcards

1
Q

Joseph Juran

A

Quality is “fitness for use”
Pareto Principle
Cost of Quality
General Management approach as well as statistics

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2
Q

W. Edwards Deming

A

14 points for transformation of management

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3
Q

Transformation of management

A
  1. Constant purpose towards improvement
  2. Systems, not employees, cause defects
  3. Break down barriers between departments
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4
Q

Ishikawa

A

Cause and effect diagrams- fishbone diagrams

Teamwork is essential- quality circles

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5
Q

Taguchi

A

Robust design to ensure highest quality product or procedure

Quality must be designed into product

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6
Q

Crosby

A

All errors eliminated

Do it right the first time

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7
Q

Six Sigma Quality

A

System to eliminate defects in processes/products
Reduce variation in processes that lead to product defects
+/- six standard deviations- 3.4 defects per 1 million
99.99996% defect free

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8
Q

DMAIC Process- Six Sigma Roadmap

A 
Define
Measure
Analyze
Improve
Control
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9
Q

Continuous Improvement

A

Kaizan- Japanese- step by step
PDCA- Plan- Do- Check- Act- Deming
Benchmarking- what do top performers do

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10
Q

Tools used for continuous improvement (7)

A 
Process flowchart
Run chart
Control Charts
Cause and Effect
Check sheet
Histogram
Pareto
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11
Q

Run chart

A

Central tendency

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12
Q

Control charts

A

Upper and lower control limits

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13
Q

Cause and Effect Diagrams

A

Fishbone

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14
Q

Check Sheet

A

data recorded in real time

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15
Q

Pareto

A

Most frequent- in descending order

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16
Q

Gantt Chart

A

Timeline for project management to illustrate how it will run
Very specified, large to-do list
Shows how long (start and end date) and who is responsible

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17
Q

Trying to manage all aspects of organization in order to excel in all dimensions important to customer

A

Quality Management

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18
Q

Two aspects of quality

A

Features- customer needs

Freedom from trouble (defects)

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19
Q

Total Quality Management (TQM)

A

Continuous Improvement
Leadership Development
Partnership Development
Culture

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20
Q

Relates customer needs and expectations to specific design characteristics through series of grids or matrices

A

Quality Function Deployment (QFD)

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21
Q

Processes that require inputs and transform them into outputs for the public to consume

A

Operations

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22
Q

Processes through which capital, materials, and people are combined to produce services and goods for the public

A

Operations

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23
Q

A condition or circumstance that puts a company in a superior or favorable business position over its competitors

A

Competitive advantage

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24
Q

How do operations managers help firms

A

Implementing strategy by allocating resources

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25
Q

4 Types of Demand

A
  1. Peak
  2. Seasonal
  3. Chase
  4. Unexpected
26
Q

Goods available for sale and raw inventory to produce goods for sale

A

Inventory

27
Q

Purpose of inventory

A

Help businesses meet demand and work more efficiently

28
Q

Types of Inventory (6)

A
  1. Raw Materials
  2. Work in process
  3. Finished good
  4. Replacement Parts inventory
  5. Supplies
  6. Transportation (pipeline)
29
Q

Systems that companies use to track inventory

A

Periodic and Perpetual Systems

30
Q

Inventory system that continuously monitors inventory levels

A

Perpetual system

31
Q

Inventory system that randomly monitors inventory systems

A

Period system

32
Q

5 main reasons to use Perpetual Inventory System

A
  1. inventory requires exact balance at all times
  2. Big businesses, banks
  3. High volume, high value items
  4. Best for accurate financial statements
  5. Expensive to implement and maintain
33
Q

5 Reasons to use periodic inventory system

A
  1. Requires a physical count to know exact inventory
  2. Supplier only delivers at specific time intervals
  3. Low value, low volume items
  4. Small businesses
  5. Inexpensive to implement and maintain
34
Q

Two models used to help companies control the cost of ordering, receiving, and holding inventory

A

EOQ- Economic Order Quantity

EPQ- Economic Production Quantity

35
Q

Measure of an organization’s ability to sustainably provide customers with demanded services/goods in the amount requested, in a timely manner, given current resources

A

Capacity

36
Q

Max rate of output in the current system

A

Throughput

37
Q

The ability of an overall organization to produce sufficient number of goods and services to meet demands of customers, considering both strongest and weakest production points

A

System Capacity

38
Q

Determined by the department with the lowest output or the slowest time

A

System Capacity

39
Q

Needed to support customer demand and maintain production capacity as demands for products change

A

Capacity Planning

40
Q

Capacity Planning Strategies (4)

A

Lead
Lag
Match
Adjustment

41
Q

Adds capacity with anticipation of increase in demand

A

lead strategy- proactive

42
Q

Adding capacity only after a company is at full capacity or more due to increase in demand

A

lag strategy- reactive

43
Q

Adds capacity in small amounts in response to changing demands

A

Match strategy

44
Q

Add or reduce capacity in small or large amounts as consumer demand or major changes to product or system occurs

A

Adjustment Strategy

45
Q

Maximum achievable output of a process or system

A

Design Capacity

46
Q

Maximum capacity given product mix, equipment changeovers, and scheduled downtime of production schedule

A

Effective Capacity

47
Q

Capacity Utilization Formula

A

Actual Output/Design Capacity

48
Q

Efficiency Formula

A

Actual Output/Effective Capacity

49
Q

Types of facility layouts

A

Process layout

Product layout

50
Q

Layout for high demand of same or similar products

A

Product layout (Sequential layout)

51
Q

Layout for many different products with the same equipment and low volume of any individual product

A

Process layout (Functional Layout)

52
Q

Requires that each production facility has a defined marketing area and each facility produces a complete line or products for that area

A

Regional facility strategy

53
Q

When Regional facility strategy is used

A

When transportation costs are too high

When customer access and convenience are important

54
Q

One facility is responsible for producing one product or product line and shipping that product throughout the world and country

A

Product facility strategy

55
Q

When to use product facility strategy

A

when production process is complex and hard to control

56
Q

Total cost formula

A

Variable costs x # of units + fixed costs

VC(x) + FC

57
Q

The ability to produce more goods at a lower cost by better utilizing the same fixed costs

A

Economies of scale

58
Q

Building the volume necessary to cover fixed costs by producing a variety of products on the same equipment- requires flexibility by the organization

A

Economies of scope

59
Q

Determining the most appropriate method for completing a task

A

Process selection

60
Q

Types of process selection (4)

A

Job Shop
Batch
Assembly Line
Continuous Flow

61
Q

The most limiting constraint on a system

A

Bottleneck

62
Q

A constraint in the supply chain that requires the longest time or has the slowest rate

A

Bottleneck

Operations and Supply Chain Management (1 decks)

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