GSCM ch. 1

17 flashcards · Other · by Daniel F.

1. Operations and supply chain management

   The design, operation, and improvement of the systems that create and deliver the firm’s primary products and services.

2. Supply Chain Processes

3. differences between goods and services

   Intangibility, Interaction with the customer, Heterogeneity, Perishability and time dependency, package of fea- tures that affect the five senses

4. The Goods–Services Continuum

5. Product–service bundling

   When a firm builds service activities into its product offerings to create additional value for the customer.

6. Efficiency

   doing something at the lowest possible cost

7. Effectiveness

   doing the things that will create most value for the customer.

8. Value

   the attractiveness of a product relative to its cost

9. Benchmarking

   When one company studies the processes of another company to identify best practices.

10. Receivable turnover

    measures the number of times receivables are collected, on average, during the fiscal year annual credit sales / average account receivable lower the ratio, the longer receivables are being held and the higher the risk of them not being collected

11. inventory turnover

    measures the average number of times inventory is sold and replaced during the fiscal year (how efficient the company turns its inventory into sales) costs of goods sold / average inventory

12. Asset turnover

    the amount of sales generated for every dollar’s worth of assets (easures how efficient a firm is using its assets in generating sales revenue) revenue (or sales) / total assets

13. Cash conversion cycle

    Days sales outstanding + Days inventory − Payable period

14. Logistics

    the part of the supply chain process that plans, implements, and controls the efficient, effective flow and storage of goods, service and related information from the point of origin to the point of consumption in order to meet customer's requirements

15. Materials Management

    all activities to move materials, components and information efficiently to and within the production process and all activities to use the production process efficiently

16. Physical distribution

    the movement of goods and information outward from the end of the assembly line to the customer

17. Supply Chain

    all activities associated with the flows and transformation of goods and services from the raw materials stage through to the end-user, as well as the associated information and monetary flows