Operations and Supply Chain Strategy Flashcards

A set of vocabulary flashcards covering operations and supply chain strategy concepts from the lecture.

Business Strategy

A mechanism for coordinating and guiding decisions regarding the elements of a business.

Core Competencies

Organizational strengths and abilities that develop over long time periods, which customers find valuable and competitors find difficult or impossible to copy.

Structural Business Elements

Capital assets that are difficult to change, such as buildings, equipment, computer systems, and other capital assets.

Infrastructural Business Elements

Business elements that are relatively easy to change, including people, policies, decision rules, and organizational structure.

Functional Strategy

A strategy that translates the business strategy into functional terms, identifies specific actions required, facilitates coordination with other areas, and provides direction and guidance for functional decisions.

Operations and SC Strategy

A strategy that helps managers choose the right mix of structural and infrastructural elements, ensures choices are aligned with the firm's business strategy, and supports the development of core competencies.

Customer Value Assessment

An evaluation in a world of limited time and resources to understand customer values, including why customers choose or recommend a firm and what the firm must excel in or be competent in.

Quality

Characteristics of a product or service that bear on its ability to satisfy stated or implied needs, including performance quality, conformance quality, and reliability quality.

Time

A performance dimension related to product or service delivery, encompassing delivery speed and delivery reliability.

Flexibility

A performance dimension measuring how quickly supply chains can respond to the unique needs of different customers, involving mix, changeover, and volume.

Cost

The expense associated with a material or service, including labor, materials, engineering, and quality.

Tradeoffs

The decision by a firm to emphasize one performance dimension over another.

Value Index

A measure that uses performance and importance scores for various dimensions of performance to determine the best value to the customer.