Exam 1: Operations and Supply Chain Management

Services are intangible processes that cannot be weighed or measured.

Efficiency means doing the right things to create the most value for the company.

Supply networks cannot be constructed for every product or service.

Servitization refers to a company building service activities into its product offerings for current users.

The term "value" refers to the relationship between quality and the price paid by the consumer.

Supply and demand planning involves forecasting demand, making intermediate term plans for how demand will be met, controlling different types of inventory, but not the detailed weekly scheduling of processes.

The central idea of supply chain management is to apply a total system approach to managing the flow of information, materials, and services from raw material suppliers through factories and warehouses to the end customer.

Effectiveness means doing the right things to create the most value for the company.

Operations and supply management changes constantly because of the dynamic nature of competing in global business and the constant evolution of information technology.

Science Management and Engineering aims to apply the latest concepts in information technology to continue to improve service productivity of technology-based organizations.

Supply and demand planning is needed to coordinate the manufacturing, service, and supply chain processes.

Internet technology has made the sharing of reliable real-time information expensive.

Services are defined and evaluated as a package of features that affect the five senses.

"Supply Chain" refers to supply chain processes that move information and material to and from the manufacturing and service processes of the firm.

The "triple bottom line" relates to the economic, employee, and environmental impact of a firm's strategy.

The term "electronic commerce" refers to the use of the Internet as an essential element of business activity.

Operations and supply chain management is defined as the design, operation, and improvement of the systems that create and deliver the firm's primary products and services.

Central to the concept of operations strategy are the notions of operations focus and trade-offs.

Just in time (JIT) production was a major breakthrough in manufacturing philosophy pioneered by the Japanese.

The approach that advocates making revolutionary changes as opposed to evolutionary changes is called "business process reengineering."