Chapter 1 Operations Management

What is a matrix structure?

Combination of functional and pure structures with shared authority

What does PERT stand for?

Program Evaluation and Review Technique

What are tactical decisions?

Mid-term decisions like inventory and labor :contentReference[oaicite:12]{index=12}

What is a project?

A series of related jobs directed toward a major output requiring significant time

What is project management?

Planning, directing, and controlling resources to meet time, cost, and technical constraints

Why is project management important?

Helps manage multiple projects and align them with organizational strategy

What skills should a project manager have?

Technical skills, leadership, communication, motivation, cross-functional experience

What are barriers to project management effectiveness?

Unclear goals, poor communication, weak leadership, lack of structure or commitment

What is a pure project structure?

A self-contained team works full-time on the project

Advantage of pure project structure?

Full authority for PM and strong team focus

Disadvantage of pure project structure?

Duplication of resources

Disadvantage of functional structure?

Weak project focus and slow response to clients

What is a Work Breakdown Structure (WBS)?

Hierarchical breakdown of tasks and subtasks

What is the critical path?

The longest path determining total project duration

What happens if a critical path activity is delayed?

The entire project is delayed

What is project crashing?

Shortening project duration by increasing cost/resources

Goal of project crashing?

Shortest completion time at minimum cost

What is Primavera used for?

Managing large-scale projects

What is resource over-allocation?

When resource demand exceeds supply

What is OSCM?

Design, operation, and improvement of systems that create and deliver products/services :contentReference[oaicite:0]{index=0}

What are the main functional areas of business?

Operations, marketing, finance, sales :contentReference[oaicite:1]{index=1}

What are the 5 supply chain processes?

Planning, sourcing, making, delivering, returning :contentReference[oaicite:4]{index=4}

What is asset turnover?

Sales generated per dollar of assets :contentReference[oaicite:10]{index=10}

What are strategic decisions?

Long-term decisions like location and capacity :contentReference[oaicite:11]{index=11}

What are key characteristics of a project?

Defined objectives, interdependent tasks, resources, time frame, uniqueness, customer, uncertainty

Are projects typically repetitive or unique?

Usually unique, one-time endeavors

What does leverage mean for a project manager?

Being in good standing with senior management

What is a functional project structure?

Project is handled within one department, employees work part-time

Advantage of functional structure?

Strong technical expertise and efficiency

Disadvantage of matrix structure?

Employees report to multiple bosses

What is a Statement of Work (SOW)?

Written description of objectives, tasks, and schedule

What is a task?

A subdivision of a project performed by a group

What is a work package?

A group of activities assigned to one unit

What is a milestone?

A key event marking progress in a project

What is a Gantt chart?

A bar chart showing timing and sequence of activities

Steps in CPM?

Identify activities, determine sequence, build network, find critical path, calculate start/finish times

What are early start/finish times?

Earliest times an activity can begin and end

What are late start/finish times?

Latest times an activity can begin and end without delay

What are the 3 PERT time estimates?

Optimistic, most likely, pessimistic

Why is PERT used?

To account for uncertainty in activity durations

When is crashing used?

When project is behind schedule or deadline is moved up

What is a time-cost model?

A model balancing project duration and cost

What is Microsoft Project used for?

Managing mid-size projects

What is a process?

Activities that transform inputs into outputs :contentReference[oaicite:2]{index=2}

What is supply chain?

Processes that move information and materials to and from a firm :contentReference[oaicite:3]{index=3}

What is efficiency?

Doing something at the lowest cost :contentReference[oaicite:5]{index=5}

What is effectiveness?

Doing the right things to create value :contentReference[oaicite:6]{index=6}

What is value?

Attractiveness of a product relative to price :contentReference[oaicite:7]{index=7}

What is benchmarking?

Comparing processes to identify best practices :contentReference[oaicite:8]{index=8}

What is inventory turnover?

How often inventory is sold and replaced :contentReference[oaicite:9]{index=9}

What are operational decisions?

Short-term day-to-day decisions :contentReference[oaicite:13]{index=13}

Still learning (24)

You've started learning these terms. Keep it up!

What are the three elements that require integration to be successful in OSCM?

Strategy, Process, and Analytics

Plant Manager

Oversees the workforce and resources required to produce the firm’s products

Supply Chain Manager

Negotiates contracts with vendors and coordinates the flow of material inputs to the production process

Project Manager

Plans and coordinates staff activities such as new product development and new facility location

Business Process Improvement Analyst

Applies the tools of lean production to reduce cycle time and eliminate waste in a process

Logistics Manager

Oversees the movement of goods throughout the supply chain

Just-in-time (JIT) production

an integrated set of activities designed to achieve high-volume production using minimal inventories of parts that arrive at workstations exactly when they are needed.