Exam 19: Managing Operations

____________ can help focus attention on an objective quality standard.

Refer to the scenario below to answer the following questions. Quality and Mass Customization (Scenario) Upon graduating from college, Steve Jungman began his career as a management trainee at Felcher & Sons Inc., a manufacturer of mid-priced office furniture. The firm has recently decided to expand overseas with manufacturing plants in Singapore and Thailand and sales offices in the Asia, Europe, and Australia. In conjunction with this investment in new plants and technologies, the firm plans develop an online presence that will enable customers to individually tailor the products they order from Felcher & Sons. Terry Tate, VP of operations for Felcher & Sons, is overseeing the development of these plants and the new production capabilities. Mr. Tate has asked that Steve be assigned to help him in this process. -Tate asks Steve if he has heard of ISO 9000. Steve says he has but cannot remember what it is. Mr. Tate informs Steve that ISO 9000 is __________.

Which of the following statements concerning operations management is true?

__________ chain management is internally oriented and focused on efficiency.

Organizational barriers are among the most difficult obstacles to handle. Which of the following is one such organizational barrier?

Quality improvement initiatives are not possible without _____________.

Refer to the scenario below to answer the following questions. Quality and Mass Customization (Scenario) Upon graduating from college, Steve Jungman began his career as a management trainee at Felcher & Sons Inc., a manufacturer of mid-priced office furniture. The firm has recently decided to expand overseas with manufacturing plants in Singapore and Thailand and sales offices in the Asia, Europe, and Australia. In conjunction with this investment in new plants and technologies, the firm plans develop an online presence that will enable customers to individually tailor the products they order from Felcher & Sons. Terry Tate, VP of operations for Felcher & Sons, is overseeing the development of these plants and the new production capabilities. Mr. Tate has asked that Steve be assigned to help him in this process. -This reminds Steve about a quality standard program called Six Sigma that establishes a goal of no more than 3.4 defects per __________ units or procedures.

System security and Internet security breaches are prominent issues in value chain management. What is the major reason for such threats?

An organizational system takes in inputs and transforms them through various processes, procedures, work activities, and so forth into finished goods and services. Which of the following terms refers to the management of all these processes?

Taitron Components Incorporated engages in the distribution of brand name electronic components, as well as the supply of original designed and manufactured (ODM) electronic components. The company decides to improve its value chain management function. What are some of the possible benefits that Taitron can obtain from this move?

Refer to the scenario below to answer the following questions. Value Chain Management (Scenario) Randy is the new strategic manager for Solutions Tech Inc., a management consulting firm dedicated to assisting small businesses in the pursuit of success. He is currently in a meeting with Rob, who is the owner of a successful small business that creates computer displays for large-scale production facilities. Randy is reviewing the business strategy at Rob's business and has some recommendations. -Randy tells Rob that the value chain management approach radically changes organizational processes. Rob asks Randy if he could elaborate on this point a bit more. Randy says "when managers decide to manage operations using value chain management, old processes are no longer appropriate. Managers must critically evaluate all organizational processes to determine where value is being __________."

Refer to the scenario below to answer the following questions. Importance of Operations Management (Scenario) Melissa had been asked to attend training in operations management. Her background and training had previously been in accounting, but with the reorganization looming, it was either learn a new skill or look for another job. She was actually looking forward to the training. She felt her background with numbers should prove valuable in operations management, but she admitted that she knew little about the field. Until now, she had been in a support staff function and had little feel for how their product went from raw materials to finished product. Melissa's first class would be tonight at Canadian University, and she was excited about the opportunity. -At the first class, Melissa learned that the term operations management referred to the design, operation, and control of the __________ process that converts inputs into outputs.

Refer to the scenario below to answer the following questions. Quality or Not? (Scenario) On Monday, the big news arrived. Top managers at Bob's company announced they would be implementing a new productivity improvement program. Their goals, they said, were to "plan for the now, impress shareholders, and use the program to increase short-term profits. Those who don't agree can begin looking for a new job." Bob, along with everyone else, grumbled under his breath. What in the world was top management thinking? Their "zero quality defects" program had failed and now they were jumping on this new bandwagon. Training was nonexistent in the company, and managers were fond of pushing responsibility for these programs down to the lowest level. Top management was not happy with the quality of the product, and now they wanted total quality concerning the employees too. At lunch, Bob read the notice board, which said, "Statistical process control classes will begin immediately, see your supervisor for a training date." Bob sighed and wondered what fad was next. -Bob knows something about quality in successful organizations. He understands that the success of any effort to implement new productivity improvement program has to start with ____________ which seems to be lacking in this company.

Organizations with successful quality improvement programs rely on ________.

Refer to the scenario below to answer the following questions. Quality or Not? (Scenario) On Monday, the big news arrived. Top managers at Bob's company announced they would be implementing a new productivity improvement program. Their goals, they said, were to "plan for the now, impress shareholders, and use the program to increase short-term profits. Those who don't agree can begin looking for a new job." Bob, along with everyone else, grumbled under his breath. What in the world was top management thinking? Their "zero quality defects" program had failed and now they were jumping on this new bandwagon. Training was nonexistent in the company, and managers were fond of pushing responsibility for these programs down to the lowest level. Top management was not happy with the quality of the product, and now they wanted total quality concerning the employees too. At lunch, Bob read the notice board, which said, "Statistical process control classes will begin immediately, see your supervisor for a training date." Bob sighed and wondered what fad was next. -Bob noticed that goals stated by the management focused on the shareholders and profits. In his opinion and limited knowledge of quality improvement programs, Bob recognizes that the most important focus should be on______________.

An organization wants to improve its competitive cost structure and the ability to offer more competitive prices. Which of the following actions is certain to help them achieve this goal?

Which of the following is a main requirement if a value chain strategy is to be successful?

Refer to the scenario below to answer the following questions. Importance of Operations Management (Scenario) Melissa had been asked to attend training in operations management. Her background and training had previously been in accounting, but with the reorganization looming, it was either learn a new skill or look for another job. She was actually looking forward to the training. She felt her background with numbers should prove valuable in operations management, but she admitted that she knew little about the field. Until now, she had been in a support staff function and had little feel for how their product went from raw materials to finished product. Melissa's first class would be tonight at Canadian University, and she was excited about the opportunity. -Until now, Melissa had thought more about "profitability" than "productivity." She found it hard to remember that the formula for productivity was "the overall output of goods and services produced __________ the inputs needed to generate that output."

Organizations with extensive and successful quality improvement programs need to have homogeneous work teams.

It is easier to see the operations management process at work in service organizations than it is in manufacturing organizations.