Mendiola, Roz Rainiel M.

BSA 2-4
OPERATIONS MANAGEMENT & TQM QUIZ # 1

1.) What is the difference between Manufacturing and Service? Define each.
A service is a company made up of a professional or skilled team that works or helps its
clients to carry out a task. The product a service provider provides is not a product like a
television, clothing or food product that you are buying in the store. A service company offers a
product that consists mainly of personal labor and knowledge to perform the requested activity.
For example, you might buy your first house with an immobilizer, because you would like to
draw on their know-how, negotiation abilities and knowledge from the documents required.
Manufacturing refers to a mass production of commodities which, with manual labor
and/or equipment, convert raw materials, parts and components into completed commerce. The
finished goods might be directly sold to consumers, other producers to make more sophisticated
products or to wholesalers distributing the goods to shops.
While manufacturing concentrate on the manufacture of commodities and store them in
a warehouse prior to delivery to customers, service delivery facilitates simultaneous production
and consumption of services. A car firm, for example, manufactures a car and holds it at the
warehouse till a customer may buy it. In the presence of the customer. For subsequent use,
services cannot be saved. When there is a great demand for services, service operations
should employ additional staff and change operations to administer the supply-demand equation
accordingly. As manufacturer companies do not need to employ additional resources and adjust
operating activities when there is great demand for items due to their nature of production and
storage. In reality, they do not need further resources.

2.) Explain in your own words why productivity matters?

I think that productivity matters because it can help not just the firm but also yourself
increase the utilization of capacity of human resources it has. As I believed that most of the top
and productive companies have happy and healthy employees, which are the core strengths of
a successful and productive organization. There are many reasons why productivity matters but
I am going to focus the effects to your company and as an individual.
When it comes to company, Workplace productivity typically leads to good customer
service and interaction. This overall customer experience is the key to delighting customers and
customers and is used for customer loyalty by nearly all highly productive firms. If a client is
loyal to your company, he or she will share his or her experience with others which is a highly
productive marketing advantage. Another, is the staff is an investment and they should bring a
healthy or worthwhile return to the company just like any investment. So, the corporation fulfills
its objectives of investing in the companies when its employees are extremely productive.
Productivity also serves to motivate and encourage workplace culture, creating an even better
business environment. And lastly, more often than not, when a company is very productive, it
will eventually succeed, and the employees will thus be compelled to receive incentives. These
include pay increases, bonuses, health insurance, etc. This will also motivate and provide more
chances for employees as the company grows. Productivity in the workplace is a major part of
each organization and success is just around the corner if top management understands this
concept. However, you may want to start looking for a job if your employer does not give you
the motivation to raise productivity, because your organization's life blood is running out.
As an individual, it matters because when you are productive, it will give you the reason
to get up every morning and continue despite any challenges you may face. Another is, being in
control is very important, as it gives you the power to steer in the right direction and stay on the
right path. Every time you overcome an obstacle, every time you don’t let yourself get distracted
by other things, you’re one step closer towards reaching your goals. And lastly, productivity is
important and why you should care. Because setting out on those paths and accomplishing your
goals will ultimately lead to a meaningful and fulfilled life. A happy life.

3.) On your own words, Explain Project Management.

Project management is a processes, methods, skills, knowledge and experience
application in order to achieve specified project goals within agreed parameters, in accordance
with project acceptance criteria. The final outputs in project management are limited to a limited
timetable and budget.
One of the main characteristics of project management is its deliverable finishing period
and a fixed period of time, unlike ongoing management. This means that a professional in the
project needs a large number of competencies; typically, technical competencies and certainly
managerial expertise and solid commercial understanding. It mainly consists of four stages or
process and that are: Initiation, Planning, Execution and Closure. But what is the purpose of
project management in the word of a student?
I think that the purpose of it is that Project management is responsible for designing and
managing a project to achieve its objectives and achievements. It requires risk identification and
management, careful management of resources, intelligent budgeting and effective
communication across a variety of teams and stakeholders.
What is the importance of it and is it rewarding? I think that it is important because the
most common cause of the project failure in most of the years were a lack of clear objectives.
Project managers assist companies in achieving their priorities and defining their project goals.
The scope and objectives might easily be jumbled when the administration of the project is left
to the team. Unclear focus might lead to slowing, missing time limits and excessive expenditure.
Moreover, many teams may not detect possible risk factors as they occur without a project
manager who oversees the project plans and job breakdowns. The team could wind up
prioritizing the mistaken tasks if it doesn't address evolving project risks. And Risk management
is reduced and easy to repair because it is planned ahead for possible errors that happened
within the project. And lastly, yes, it is rewarding because when a goal or an objective is focused
on and plans are planned out the road to achieving is a breeze despite the risks and obstacles
that need to be conquered the reward of it is so worth it as they say.

4.) Explain the forecasting approaches.

There are two approaches when it comes to Forecasting: Top-down Approach and
Bottom-up Approach. The first one is the Top-down Approach wherein this way, the corporate or
strategic level predictions are made. It begins with an overall economic prediction. The report
anticipates the gross domestic product, the consumer and wholesale pricing index, interest
rates, unemployment level, government spending, etc.
 It then determines the existing market share of its product and forecasts commercial
success. This projection is used to plan operations and budget future programs. Meaning that
the company starts with a complete market evaluation. You first identify your company's existing
market size and the factor in corresponding sales patterns. You may then estimate how much
your items or services will be purchased on the market. In the light of these trends, you study
the strengths and weaknesses of your business and preferably how your strengths are amplified
and your deficiencies remedied.
Another approach is the Bottom-up approach where it in the approaching years, middle
and low staff are planning business operations. For example, they poll customers to see what
people want to purchase. These predictions are made by various salesmen, who finally
summarize the sales estimate.
In order to make such estimates, a questionnaire is typically posted or completed by
calling forward-looking customers. For a limited period of one year these projections are usually
reliable.
In other words, it is based on the product or service, which makes a forecast of what you
need to make your offer on the market (i.e., things like how many employees you have, how
many factories you can open or how many clients you have). Bottom-up projections, also known
as an operating expenditure plan, assess aspects such as production capacity, individual
departmental cost, and adjustable markets to provide a more realistic sales estimate.
5.) What are the advantages and disadvantages of Standardization? Explain.
Standardization is defined as a way of achieving a firm's techniques, mostly due to its
production process and uniformity throughout the company. Standardization helps decrease
costs by eliminating double effort, and allows the organization, when making purchases, to take
advantage of scale economies. It is crucial to understand the advantages and cons of
standardization.
The first key benefit of standardization is quality control; clients have a uniform brand-
wide experience, irrespective of their ownership. The second major benefit of standardization is
that it can contribute to cost reduction because only the products are included. The third
advantage of standardization is marketing: standardization enables companies to avoid reliance
on a single supplier source; this is because standardization helps to open markets. Companies
have also raised their supplier demand, which is mostly dependent on uniformity.
Although there are some advantages in standardization, there are also disadvantages to
it. These are: Standardization's first downside is that it will lose its distinct characteristics. This is
because if an organization grows on its client base that appreciates its distinctive offerings, the
standardization will mean that the company would lose reactivity. This is because
standardization could be turned against the enterprise when an organization extends to new
markets, namely in international countries. For example, if a restaurant deals with a certain type
of food, adapting to new markets where clients can prefer dishes such as chicken tenders may
be difficult. It may make it challenging for the company to answer these new consumer
expectations with their standardized rules. Standardization's other downsides are that it can
work for select companies only and that it cannot work for other companies. For instance, for
those companies dealing with customer service or advertising standardization is not
appropriate, the other drawbacks of standardizing are that they hamper or hamper creativity and
response time in companies. It would become the status quo if firms were to make the shift,
which would be hard to break, and eventually become the corporate culture which makes it
difficult to change. To sum it all up, standardization would depend on the company and
employees a chance to make or break with utilization of their skills when it comes to this.
6.) Explain the obstacles to implementing TQM
Most organizations are content with their present state, especially small ones with a
specialty. They are content with the amount of work done and the profit achieved, and with the
perceived satisfaction of their customers. TQM is not needed for organizations with this culture
until they start losing market shares. I think there are several obstacles that hinder when it
comes to TQM.
Management lack of engagement: First of all., to succeed in any organizational
undertaking, managerial time and organizational resources must be substantially managed. The
objective must be made known to all staff managers explicitly and continually under the TQM
concept. Another is that Unable to influence the culture of organization: It is difficult to change
the culture of an organization and it will take up to five years. Individuals resist change – they
are used to a specific method and the preferred way. Management needs to grasp and use the
fundamental ideas of change. They do; when people desire to achieve their own wants, people
alter Do not wait for anyone to engage in conduct that serves the ideals of the organization,
save for appropriate reasons. In order to embrace the change, people need to be pushed from
fear to confidence.
There are many obstacles that can be observed and hindered but to counter these
obstacles is that to plan ahead and pursue what is the goal in the first place. I know that it is
difficult to take initiation within a group but if one does not take one step then it is failure in the
beginning for not trying and taking a risk because of it.

7.) Define technology and its kinds. Elaborate.

Technology means the utilization of scientific information, in the industry or in our
everyday life, for practical objectives or applications. Therefore, basically, we employ technology
whenever we employ our scientific knowledge to reach a particular aim. Well, it's a bit more than
that. Technology usually involves a particular piece of equipment, yet it can be unbelievably
basic or brilliantly complicated. From wheel discovery through computers to MP3 devices,
everything is possible.
There are many kinds of technologies that wander around us especially in the world we
live in A crucial and most important range of technology is medical technology. This includes the
technology-driven machinery and services in the medical sciences. Different sorts of medical
techniques, such as disease analysis tools, pain reduction tools and illness treatment tools, are
available. All are beneficial in protecting humans against hazardous bacteria and viruses, which
improve their lifetime.
Another kind of technology: Assistive technology is also a well-known sort of technology
that assists disabled persons to perform specific tasks. As we already know, persons with leg
problems have a hard time walking, those with hearing problems listening and blindness
watching what we are seeing. The helpful technology devices will help to ensure that every
person is able to integrate within his or her body or as external equipment. An example of
assistive technology is the automated self-operated wheelchair. Some additional examples of
aid technology are presented below.
 The most extensive group of members is likely to be found in the entertainment
technology. It ranges from your desk computer speakers to music class guitar. These
technology gadgets offer the folks with their large assortment a pleasant relaxation. This area of
technology is utilized for video games, theatrical creation, film production and many more
entertainment. In our everyday lives it is really hard to resist this type of technology. Some of the
entertainment technology items have been supplied here.
There are many kinds of technology that are useful especially in these times and it can
help reduce workload and improve efficiency and that’s the good thing of it because the future is
coming into us and we have no choice but to embrace and adapt to it starting from these kinds
of technologies.
8.) On your own words, explain location decisions.
While localization choices are rarely taken for most companies, they can permanently
affect the revenue and performance of the company. Existing enterprises are normally required
to decide where they are to expand, including the enlargement of the current facility, the
addition of new sites, or the relocation of existing sites.
Contrary to other company procedures, which can be adapted fast and easily over time,
changing locations can be a time-consuming and time-consuming undertaking. One of the
biggest challenges in finding a suitable location is that one location that is probably "better" than
the other options may not be found. This is because a number of factors can greatly influence
the decision of an organization as to where its various operations should be located.
Location Decision means choosing a business location for business. It is not so very
important decision for the business. Its main aim is to find out the best alternatives from different
choices. Location Decision is important for both small and large organization. There are many
objectives when it comes to location decision making: Accessibility Location is important for
every business to sell its products directly to customers a fixed place. For example, the clothing
shop which is located in the busy area attracts more customers than the clothing shop which is
located in a town area. Location can influence the customers to a great extent. Competition: The
location of the business also affects the competition to a great extent as all the business sells
similar goods and services. So, the business should choose a location for selling its goods and
services where few competitors are available. Operating Expenses: The total cost of production
also influences by business location decisions. If the location of the business is in a crowded
area, then its rent is more than the business whose location is located in the less expensive
area. And lastly, Tax and Regulations The location of the business determines the state and
local tax that the owner have to pay. The rates of sales tax and income tax are different from
each other so it has a great impact on the earning of the owner.
9.) Define PERT-CPM and its advantages