Operations Management Flashcards

Flash cards about Operations Management for exam review.

What does 'operations' refer to?

The business processes that involve transformation and value adding.

What primary goal does cost leadership focus on?

Aiming to have the lowest costs or to be the most price-competitive in the market while still being profitable.

What are economies of scale?

Cost advantages that can be created because of an increase in the scale of business operations.

Give an example of a perishable good.

Food (e.g., apples).

What does Supply Chain Management involve?

The integration and management of the flow of supplies throughout the supply chain.

What is global sourcing?

Purchasing supplies or services without being constrained by location.

What role do human resources play in the transformation process?

They coordinate and combine inputs to produce goods and services.

What are the '4 V's' that influence transformation processes?

Volume, variety, variation in demand, and visibility.

What is a warranty?

A promise made by a business that they will correct any defects in the good or service sold during a specified period.

What does global sourcing mean?

The practice of sourcing goods/services from suppliers around the world.