Ops

    Cards (156)

    • What is the focus of process management in operations management?
      Process analysis and capacity management
    • What does process analysis involve?
      Flow time, process capacity, bottleneck, resource utilization
    • What is congestion analysis used for?
      To analyze queue formation due to demand
    • What does Little's Law state?
      L = R × T
    • What is the purpose of operations strategy?
      To align competitive strategy with operations
    • What are the components of operations management?
      • Systematic design
      • Direction and control of processes
      • Transformation of inputs into outputs
    • What is flow time in process management?
      The minimum time for a unit to pass
    • How is resource capacity defined?
      Output per time unit at maximum
    • What is a bottleneck in a process?
      The resource with the smallest capacity
    • How is utilization calculated?
      Utilization = Flow rate / Capacity
    • What can be done to reduce flow time?
      Decrease work content and reduce wait time
    • How can process capacity be increased?
      Decrease the unit load of bottleneck resources
    • What is the purpose of build-up diagrams?
      To visualize queue formation due to demand
    • What does queueing theory analyze?
      Random inter-arrival times and service workflow
    • What is the formula for waiting time in queueing theory?
      Waiting time = Processing time × Utilization
    • How does waiting time change with utilization?
      Waiting time increases with higher utilization
    • What happens to waiting time as utilization approaches 100%?
      Waiting time increases dramatically
    • What are levers to reduce queues?
      Increase service capacity and reduce variability
    • What does Little's Law apply to?
      Any stationary processes
    • What is the critical ratio in inventory management?
      Optimal service level based on costs
    • What are the two types of inventory-related costs?
      Carrying cost and shortage cost
    • What is the purpose of inventory management?
      To determine when and how much to order
    • What is the newsvendor model used for?
      Short life cycle products with uncertain demand
    • What does the Economic Order Quantity (EOQ) formula calculate?
      Optimal order quantity for inventory
    • What is the reordering point (ROP) in inventory management?
      Inventory level to trigger a new order
    • What is the carrying cost in inventory management?
      Cost of holding inventory over time
    • What is the shortage cost in inventory management?
      Cost incurred from not having inventory
    • Why do we hold inventory?
      To manage demand uncertainty and production buffers
    • What is the formula for calculating the optimal stock quantity in the newsvendor model?
      F(Q) = Cu / (Cu + Co)
    • What is the service level (SL) in inventory management?
      The probability of satisfying all demand
    • What is the expected mismatch cost in inventory management?
      Cost of leftover inventory and lost sales
    • What are the key components of inventory management?
      • Inventory-related costs: carrying and shortage costs
      • Types of inventory
      • Ordering decisions: when and how much to order
    • What are the performance objectives of operations strategy?
      • Cost
      • Quality
      • Time
      • Flexibility
    • What are the types of process structures?
      • Continuous Flow
      • Line Flow
      • Batch
      • Project
      • Job Shop
    • What are the trade-offs in aligning strategy and operations?
      • No best way to serve all markets
      • Best production methods evolve over time
      • Value improves with process competencies
    • What is the product-process matrix?
      • Aligns product variety with process flexibility
      • Helps in process design decisions
    • What are the key factors in inventory management decisions?
      • Demand uncertainty
      • Production process buffers
      • Supply economies of scale
    • What is the significance of the Economic Order Quantity (EOQ)?
      • Minimizes total inventory costs
      • Balances ordering and holding costs
    • What is the role of safety stock in inventory management?
      • Acts as a buffer against demand variability
      • Helps maintain service levels
    • What is the expected mismatch cost formula?
      • Expected mismatch cost = Cu × Exp. lost sales + Co × Exp. leftover inventory
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