Operations Management by William J. Stevenson Ch. 2

Competitiveness 3 4 5 9
How effectively an organization meets the wants and needs of customers relative to others that offer similar goods or services
Mission
The reason for the existence of an organization
Mission Statement
States the purpose of an organization
Goals
Provide detail and scope of the mission
Strategies
Plans for achieving organizational goals
Tactics
The methods and actions taken to accomplish strategies
Cost Competencies
The special attributes or abilities that give an organization a competitive edge
SWOT
Analysis of strengths, weaknesses, opportunities, and threats
Order Qualifiers
Characteristics that customers perceive as minimum standards of acceptability to be considered as a potential for purchase
Order Winners
Characteristics of an organizations goods or services that cause it to be perceived as better than the competition
Environmental Scanning
The monitoring of events and trends that present threats or opportunities for a company
Operations Strategy
The approach, consistent with the organization strategy, that is used to guide the organizations function
Quality-Based Strategy
Strategy that focuses on quality in all phases of an organization
Time-Based Strategy
Strategy that focuses on reduction of time needed to accomplish tasks
Productivity
A measure of the effective use of resources, usually expressed as the ratio of output to input
Productivity =
Output / Input
Productivity Growth =
((Current Productivity – Previous Productivity) / Previous Productivity) x100