operation management
What do operations management processes transform inputs such as materials, energy, money, people, and data into?
valuable outputs (goods and services)
Why can manufacturing operations store goods to balance supply and demand while service operations cannot?
Because goods are tangible and can be stored as inventory, while services are intangible and cannot be stored.
Process
A system of activities that transforms inputs into valuable outputs
What is the network of organizations that contains the system of activities used to produce and deliver goods and services?
Supply chain
What planet is known as the Red Planet?
Mars
Why must marketing, finance, and HR managers understand operations management, and what risks arise if they don’t?
Because their decisions affect production, inventory, and customer satisfaction; ignoring operations can cause bottlenecks, higher costs, or poor service.
What happens to demand in service systems when customers must wait for service during peak periods?
It becomes a backlog of demand
The pro-cess of transforming a tan-gible good into an intangible product or service, through digitization or direct service replacement (term)
dematerialization
What does supply chain management focus on managing across organizations?
Relationships and flows of information, materials, energy, money, and people
What is the largest ocean on Earth?
Pacific Ocean
What type of operations management decisions affect physical resources like capacity, facilities, technology, and the supply chain network?
Structural decisions
Why do service operations often use reservation and appointment systems?
To manage demand and reduce long customer wait times
What kind of processes are used by companies to plan and execute the supply, manufacture, and delivery of goods and services?
Production processes
What is the term for a unique set of skills that gives a firm a competitive advantage because rivals cannot easily duplicate it?
Core capability
what product doesn't get over date
honey
The management of processes used to design, supply, produce, and deliver valu-able goods and services to customers.
operations management
Why is quality control generally more difficult in service operations than in goods production?
Because service attributes are harder to measure objectively
What are the processes called that companies use to develop new goods and services?
design processes
Why do firms outsource noncore activities to other organizations in the supply chain?
To focus on their core capabilities while suppliers perform other activities more efficiently.
What element on the periodic table has the chemical symbol “Fe”?
Iron
Why are structural decisions in operations management difficult to change once implemented?
Because they require significant investment and time, often years
Why must service operations maintain sufficient capacity during peak demand instead of using inventory like manufacturing firms?
Because services are intangible and cannot be stored, so production and consumption occur at the same time.
Why must operational processes change when customer desires change?
Because processes must be designed to meet customer needs such as speed, flexibility, or quality.
Why has the focus on core capabilities increased the importance of collaboration within supply chain networks?
Because firms outsource noncore activities to specialized partners, making organizations more dependent on coordination and collaboration across the supply chain.
What ancient civilization built the city of Machu Picchu in the Andes Mountains?
The Inca civilization