Importance of OM
The goal of operations management is to __________, which is essential to business success.
Increase revenue for the firm?
Six Sigma
A quality control method that limits manufacturing defects to 3.4 out of a million
What is the theory that has a five-step lifecycle to improve processes?
Business process management (BPM)
When did the supply chain management theory start being commonly used?
The 1990s
What exercise is used to demonstrate and teach collaborative visualization?
Drawing how to make toast
Operations management is about the __________, which is essential to consumers actually being able to obtain your product.
Kanban System
A system that uses visual cues to incite action and keep a process flowing
What approach to improving processes involves throwing out the current process and starting from scratch?
Business process reengineering.
What are the seven parts of the classic supply chain model?
Sell, plan, source, make, deliver, return, and enable
What four things does the "hard" management approach focus on?
Structure, processes, systems, and metrics
Strong operations management results in _____________.
High quality products/services that meet consumer needs
Supply chain management
The type of management that oversees all parts of a product or service from creation to sale.
Improving cooperation leads to what?
Less usage of resources
Keeping the supply chain functioning properly is essential because it affects ____________.
Costs, profits, and production efficiency
What three things does the "soft" approach to management deal with?
Feelings, interpersonal relationships, and traits
Operations management ensures that every step of the production process is carried out ______________.
Efficiently and in a way that ensures maximum productivity
Heijunka
A lean method for reducing the unevenness in a production process and minimizing the chance of overburden
Solving ___________ is essential to raising revenue by either growing sales or reducing costs of production.
The productivity paradox
What recent event put a lot of strain on supply chains all over the globe?
The Covid-19 pandemic
What are the three major disruption types that have spawned new operations management research?
Material flows, information flows, and financial flows
What kind of organizations need operations management to be successful?
Every organization, big or small, non-profit or for-profit
Little's Law (equation)
T = I/R
T: The average throughput time (waiting and processing time)
I: The average number of things in the process
R: The average exit rate (flow rate) from the process
What are the six rules operations managers can use to achieve smart simplicity?
(1) Understand what your people do
(2) Reinforce integrators
(3) Increase total quantity of power
(4) Extend the shadow of the future
(5) Increase reciprocity
(6) Reward those who cooperate
What is supply chain disruption risk caused by?
Either man-made or natural disasters.
What acronym represents the steps the Six Sigma approach uses to address problems?
DMAIC (define, measure, analyze, improve, and control)