Exam 1: Introduction to Operations and Supply Chain Management

Human resources management provides product demand estimates that are used in production decisions.

An order qualifier is the characteristic of a product that wins orders in the marketplace.

The four primary functional areas of a firm are marketing, finance, operations, and legal.

Briefly describe how operations can be viewed as a transformation process. Operations is often defined as a transformation process. Inputs such as raw materials, labor, equipment, and capital are transformed into outputs (goods and services). Customer feedback is used to adjust the transformation process. An objective of the operations manager is to ensure that the transformation process operates efficiently and the outputs of the process have greater value than the sum of the inputs. In this way the transformation process creates value, making it possible to view the transformation process as a value chain extending from supplier to customer.

An operations manager benefits from an integrated view of business organizations.

The major factors impacting globalization of the supply chain include all the following except

A manager of a global supply chain is concerned with all the following except

Order qualifiers are the characteristics of a product that have to be satisfied just to be considered for purchase by a customer.

All of the following are responsibilities of operations managers except

Because of a global recession in the late 2000s ,companies started focusing on the most critical factors to sustain their business during the downturn.

Single factor productivity measures compare output to an individual input.

Snacknow, a food service firm, is calculating its monthly productivity report. From the following data calculate the energy productivity. Labor rate $10 Units produced 10,000 Labor hours 1,000 Cost of materials $2000 Cost of energy $500

The ____________ function helps strategy evolve by creating new ways of delivering a firm's competitive priorities.

Telco Inc., a manufacturing firm, is calculating its monthly productivity report. From the following data calculate the labor productivity. Labor rate $20 Machine rate $15 Units produced 50,000 Labor hours 4,000 Machine hours 2,000 Cost of materials $20,000 Cost of energy $5,000

A major challenge and opportunity for many firms is the globalization of the supply chain.

Companies that compete on ______________ are able to produce a wide variety of products in response to customer needs.

Mass production is well suited to all of the following except

Globalization of the supply chain has many pros and few, if any, cons.

Briefly describe the four primary functional areas of a firm. How is operations related to them? The four primary functional areas of a firm are marketing, finance, operations, and human resources. For most firms, operations is the technical core or "hub" of the organization, interacting with the other functional areas and suppliers to produce goods and services for customers. For example, marketing provides sales forecasts to operations and operations provides marketing with product availability information, lead time estimates and delivery schedules. Operations provides finance with inventory and production data, capital budgeting and equipment requests, and technology plans. Finance provides the capital resources for financing inventory and securing more capital equipment. Operations relies on human resources to meet its personnel needs-hiring, training, and evaluating workers.

The first of five basic steps in strategy formulation is determining a firm's order winners and order qualifiers.