| A | B |
|---|
| Operations Management | All activities managers engage in to produce goods and services |
| Mass Production | A manufacturing process that lowers the cost required to produce a large number of identical or similar products over a long period of time |
| Analytical Process | A process sin operations management in which raw materials are broken into different component parts |
| Synthetic Process | A process in operations management in which raw materials or components are combined to create a finished product |
| Utility | The ability of a good or service to satisfy a human need |
| Form Utility | Utility created by converting raw materials, people, finance, and information into finished product |
| Service Economy | An economy in which more effort is devoted to the production of services that to the production of goods |
| Research and Development (R&D) | A set of activities intended to identify new ideas that have the potential to result in new goods and services |
| Design Planning | The development of a plan for converting a product idea into an actual product or service |
| Product Line | A group of similar products that differ only in relatively minor characteristics |
| Product Design | The process of creating a set of specifications from which a product can be produced |
| Capacity | The amount of products or services that an organization can produce in a given time |
| Labor-Intensive Technology | A process in which people must do most of the work |
| Capital-Intensive Technology | A process in which machines and equipment do most of the work |
| Plant Layout | The arrangement of machinery, equipment, and personnel within a product facility |
| Planning Horizon | The period during which an operational plan will be in effect |
| Purchasing | All the activities involved in obtaining required materials, supplies, components, and part from other firms |
| Inventory Control | The process of managing inventories in such a way as to minimize inventory cost, including both holding cost and potential stock-out costs |
| Materials Requirements Planning (MRP) | A computerized system that integrates production planning and inventory control |
| Just-In-Time Inventory System | A system designed to ensure that materials or supplies arrive at a facility just when they are needed so that storage and holding costs are minimized |
| Scheduling | The process of ensuring the materials and other resources are at the right place at the right time |
| Gantt Chart | A graphic scheduling device that displays the tasks to be performed on the vertical axis and the time required for each task on the horizontal axis |
| PERT (Program Evaluation and Review Technique) | A scheduling technique that identifies the major activities necessary to complete a project and sequences them based on the time required to perform each one |
| Critical Path | The sequence of production activities that takes the longest time from start to finish |
| Malcolm Baldrige National Quality Award | An award given by the President of the United States to organizations that apply and are judged to be outstanding in specific managerial tasks that lead to improved quality for both products and services |
| Quality Control | The process of ensuring the goods and services are produced in accordance with design specifications |
| Statistical Process Control (SPC) | A system that uses sampling to obtain data that are plotted on control charts and graphs to see if the production process is operating as it should and to pinpoint problem areas |
| Statistical Quality Control (SQC) | A set of specific statistical techniques used to monitor all aspects of the production process to ensure that both work in progress and finished products meet the firm’s quality standards |
| Inspection | The examination of the quality of work in process |
| Six Sigma | A disciplined approach that relies on statistical data and improved methods to eliminate defects for a firm’s products and services |
| Quality Circle | A team of employees who meet on company time to solve problems to product quality |
| International Organization for Standardization | A nongovernmental organization in Geneva, Switzerland, with a membership of 156 countries that develops standards for products to facilitate trade across national borders |
| Productivity | The average level of output per worker per hour |
| Automation | The total or near-total use of machines to do work |
| Robotics | The use of programmable machines to perform a variety of tasks by manipulating materials and tools |
| Computer-Aided Design (CAD) | The use of computers to aid in the development of products |
| Computer-Aided Manufacturing (CAM) | The use of computers to plan and control manufacturing processes |
| Computer-Integrated Manufacturing (CIM) | A computer system that not only helps to design products but also controls the machinery needed to produce the finished product |
| Continuous Process | A manufacturing process in which a firm produces the same product(s) over a long period of time |
| Flexible Manufacturing Systems (FMS) | A single production system that combines robotics and computer integrated manufacturing |
| Intermittent Process | A manufacturing process in which a firm’s manufacturing machines and equipment are changed to produce different products |
| Human Resources Management (HRM) | All the activates involved in acquiring, maintaining, and developing an organization’s human resources |
| Human Resources Planning | The development of strategies to meet a firm’s future human resources needs |
| Replacement Chart | A list of key personnel and their possible replacements within a firm |
| Skills Inventory | A computerized data bank containing information on the skills and experiences of all present employees |
| Cultural (workplace) Diversity | Difference among people in a work force owing to race, ethnicity, and gender |
| Job Analysis | A systematic procedure for studying jobs to determine their various elements and requirements |
| Job description | A list of the elements that make up a particular job |
| Job Specification | A list of the qualifications required to perform a particular job |
| Recruiting | The process of attracting qualified job applicants |
| External Recruiting | The attempt to attract job applicants from outside an organization |
| Internal Recruiting | Considering present employees as applicants for available positions |
| Selection | The process of gathering information about applicants for a position and then using that information to choose the most appropriate applicant |
| Orientation | The process of acquainting new employees with an organization |
| Compensation | The payment employees receive in return for their labor |
| Compensation System | The policies and strategies that determine employee compensation |
| Wage Survey | A collection of data on prevailing wage rates within an industry or a geographic area |
| Job Evaluation | The process of determining the relative worth of the various jobs within a firm |
| Comparable Worth | A concept that seeks equal compensation for jobs requiring about the same level of education, training, and skills |
| Hourly Wage | A specific amount of money paid for each hour of work |
| Salary | A specific amount of money paid for an employee’s work during a set calendar period, regardless of the actual number of hours worked |
| Commission | A payment that is a percentage of sales revenue |
| Incentive payment | A payment in addition to wages, salary, or commissions |
| Lump-Sum Salary Increase | An entire pay raise taken in one lump sum |
| Profit Sharing | The distribution of a percentage of a firm’s profit among its employees |
| Employee Benefit | A reward in addition to regular compensation that is provided indirectly to employees |
| Flexible Benefit Plan | Compensation plan whereby an employee receives a predetermined amount of benefit dollars to spend on a package of benefits he or she has selected to met individual needs |
| Employee Training | The process of teaching operations and technical employees how to do their present jobs more effectively and efficiently |
| Management Development | The process of preparing managers and other professionals to assume increased responsibility in both present and future positions |
| Performance Appraisal | The evaluation of employees’ current and potential levels of performance to allow managers to make objective human resources decisions |
