The problem of keeping demand sufficiently high to keep a large factory busy is a sales
issue and not a diseconomy of scale.
In a net change MRP system, requirements and schedules are updated whenever a
transaction is processed that has an impact on the item.
Asset turns is a measure of cash flow.
Projected available balance is the amount of inventory that is expected as of the
beginning of a period.
Facility location analysis considers proximity to customers important to timeliness of
deliveries.
In a process sequence where a product flows from process A to process B, process B is
called the contingent process.
Pricing for a service should primarily relate to the cost of providing the service and has
little to do with capacity issues the service provider might face.
Because services cannot be stored for later use, service managers consider time as one
of their supplies or resources.
The Association for Operations Management defines logistics as “the art and science of
obtaining, producing, and distributing material and product in the proper place and in
proper quantities.”
ISO 14000 is primarily concerned with environmental management.
Among the major trends in health care that relate to OSCM is the increased use of
remote surgery.
Facility location decisions are made using analytical techniques that are able to weigh a
large number of different variables equally.
Assemble-to-order means moving the customer order decoupling point from finished
goods to components.
Lot-for-lot (L4L) is the most common lot-sizing technique.
Using the time-cost CPM model, the crash time is the shortest possible time allowed for
each activity in the project.