School of Economics and  

 
Management 
Approved by 
Department of Industrial
Management 
 
Final exam   Type of quiz: Open book  Time: 90 minutes 
Subject. code:Subject: Academic English (Anh văn 
EM4411  chuyên ngành) 
Class code: Exam class code:                         Semester: 20211 
130297  129187          
 
Student’s full name: Nguyen Thu Hien   Student ID: 20202915 

Date of Birth: 08/11/2002  

 
Question 1 (2 marks) 
Distinguish among consumers, internal consumers, and external consumers? 
Illustrate how these concepts apply to McDonald’s restaurant, a Pizza Hut, or a
similar franchise? 
 
Question 2 (2 marks) 
Watch the video ‘How Toyota changed the way we make things’.  
List out in details how Toyota change the operation management to get success 
 
Question 3 (2 marks) 
What are levels of business strategy? Explain these strategies with Vin
Cooperation 
 
Question 4 (2 marks) 
Please, translate following sentences into English: 
Theo Hội đồng các chuyên gia quản lý chuỗi cung ứng (Council of Supply Chain
Management Professionals) quản lý chuỗi cung ứng bao gồm tất cả các hoạt động
quản lý hậu cần gồm lập kế hoạch và quản lý tất cả các hoạt động liên quan đến
việc tìm nguồn cung ứng và thu mua, bao gồm tất cả hoạt động Logistics. Quan
trọng hơn, nó cũng bao gồm sự phối hợp và hợp tác với các đối tác trong một chuỗi
cung ứng toàn diện, trong đó có thể là nhà cung cấp, các nhà cung cấp dịch vụ bên
thứ ba, và khách hàng. Về bản chất, quản lý chuỗi cung ứng tích hợp quản trị cung
cầu bên trong và giữa các công ty khác nhau.” 
 
Hoạt động quản lý chuỗi cung ứng thường hay bị nhầm lẫn với hoạt động
logistics và kho vận, tuy chúng có điểm tương đồng nhưng quản lý chuỗi cung ứng
thì mang ý nghĩa lớn hơn và bao quát cả logistics vận tải hàng hóa trong
đó. Logistics là việc hoạch định, thực hiện, kiểm soát việc vận chuyển và dự trữ
hiệu quả hàng hóa, dịch vụ cũng như những thông tin liên quan từ nơi xuất phát
đến nơi tiêu thụ để đáp ứng yêu cầu của khách hàng, là một phần của chuỗi cung
ứng. 
 
Question 5 (2 marks) 
From your knowledge of production processes and from the case below,
identify how each of the 10 decisions of OM is applied at Frito-Lay? 
Frito-Lay: Operations Management in Manufacturing  
Frito-Lay, the massive Dallas-based subsidiary of PepsiCo, has 38 plants and
48,000 employees in North America. Seven of Frito-Lay’s 41 brands exceed $1
billion in sales: Fritos, Lay’s, Cheetos, Ruffles, Tostitos, Doritos, and Walker’s
Potato Chips. Operations is the focus of the firm—from designing products for
new markets, to meeting changing consumer preferences, to adjusting to rising
commodity costs, to subtle issues involving flavors and preservatives—OM is
under constant cost, time, quality, and market pressure. Here is a look at how the
10 decisions of OM are applied at this food processor.  
In the food industry, product development kitchens experiment with new products,
submit them to focus groups, and perform test marketing. Once the product
specifications have been set, processes capable of meeting those specifications and
the necessary quality standards are created. At Frito-Lay, quality begins at the
farm, with onsite inspection of the potatoes used in Ruffles and the corn used in
Fritos. Quality continues throughout the manufacturing process, with visual
inspections and with statistical process control of product variables such as oil,
moisture, seasoning, salt, thickness, and weight. Additional quality evaluations are
conducted throughout shipment, receipt, production, packaging, and delivery.  
The production process at Frito-Lay is designed for large volumes and small
variety, using expensive special-purpose equipment, and with swift movement of
material through the facility. Product-focused facilities, such as Frito-Lay’s,
typically have high capital costs, tight schedules, and rapid processing. Frito- Lay’s
facilities are located regionally to aid in the rapid delivery of products because
freshness is a critical issue. Sanitary issues and necessarily fast processing of
products put a premium on an efficient layout. Production lines are designed for
balanced through- put and high utilization. Cross-trained workers, who handle a
variety of production lines, have promotion paths identified for their particular skill
set. The company rewards employees with medical, retirement, and education
plans. Its turnover is very low.  
The supply chain is integral to success in the food industry; vendors must be
chosen with great care. Moreover, the finished food product is highly dependent on
perishable raw materials. Consequently, the supply chain brings raw material
(potatoes, corn, etc.) to the plant securely and rapidly to meet tight production
schedules. For instance, from the time that potatoes are picked in St. Augustine,
Florida, until they are unloaded at the Orlando plant, processed, packaged, and
shipped from the plant is under 12 hours. The requirement for fresh product
requires on- time, just-in-time deliveries combined with both low raw materials
and finished goods inventories. The continuous-flow nature of the specialized
equipment in the production process permits little work-in-process inventory. The
plants usually run 24/7. This means that there are four shifts of employees each
week.  
Tight scheduling to ensure the proper mix of fresh finished goods on automated
equipment requires reliable systems and effective maintenance. Frito-Lay’s
workforce is trained to recognize problems early, and professional maintenance
personnel are available on every shift. Downtime is very costly and can lead to late
deliveries, making maintenance a high priority. 
====================== END ====================== 

Question 1:

Difference among Customer, Internal and External Customers

• Consumers: Ultimate buyers of goods and services

 Internal customers are people who are connected with the company. They
are purchasing the products right from inside the business while external
customers are in no way affiliated with the company. Internal customers
know the sellers pretty well so they know how to make bargains and get it at
a reasonable price while external customers are not personally familiar with
the sellers, it would be hard for some to get them at nice prices. Internal
customers, even if they don’t get to bargain the products, can avail of bigger
discounts unlike the external customers who get the usual price.
 Internal and external customers always want to get good products when
buying something. No matter what their position in the company is, clients
treat them the same way and still maintain good customer service.
Example – Starbucks Coffee
We going to look at Starbucks coffee as an example of a company that has both
internal and external customers, and we should be able to apply some of the
terminology that we introduced above. The internal customers will be the people
that work within the business of Starbucks. The internal customers will be
everyone from the Board of Directors of the company, to the supervisors and team
members that serve coffee at the customer interface. So information and
communication will flow from the board of directors to the people on the ground,
and data and feedback from customers can flow from the people in the coffee
shops back to the internal customers in the marketing department. External
customers and consumers will be the everyday public that come in to the coffee
shop and buy coffee for themselves and their friends. Of course the user will be the
consumer of the product, whether that is the purchaser or not. The connected
stakeholder would be the coffee suppliers from around the world, and the pension
schemes that own shares in the business. Other stakeholders will include other
businesses which are based around the Starbucks stores, as well as those impacted
by the environment around coffee plantations (which is something that Starbucks is
very keen to deal with since it has an ethical purchasing policy).

Question 2:
- Toyota decided to model his production line on a similar idea. With the
supermarket formula only enough parts were produced in the first phase to replace
what was used in the second, and so on. This is where the Just-in-time System
really took shape. Toyota was able to eliminate much of the waste in Ford system
making smaller numbers of parts to be used when it needed them allowing the
company to operate on a tighter budget.
- As part of this, Ohno developed Kanban, a sign based scheduling method which
shows goods-in, goods-in-production and goods-out. It’s now seen as a precursor
to barcodes.
- Toyoda also noticed that American car companies were still employing many of
Henry Ford’s early production techniques. They kept operations at full tilt in order
to maximize efficiencies of scale, but then had to repair defective cars after they
rolled off the line. -
- However, this caused more problems and didn’t encourage workers or machines
to stop making the mistake. So he placed a cord at about every station which any
worker could pull to stop the entire assembly if they spotted the problem. The
whole team would work on it to prevent it from happening again. As teams
identified more problems the number of errors began to drop dramatically.
- Combined with the culture of continuous incremental improvement called Kaizen
the Toyota production system built a brand known for making reliable and
affordable cars.

Toyota’s production system changed not just how cars are made lovely but how we
approach making things from staff.
Question 3:

Level of business strategy are:

 Business – level strategy

 Functional – level strategy
 Corporate – level strategy

Explain these strategies with Vin cooperation:

Vin cooperation is an extremely correct strategy of Vin Group. It helps Vin’s brand
be popular and accessible to many people. Vin Group develops multi-industry in
all fields such as: VinFast, Vinmart, VinHomes, Vincom, VinPearl, Vinschool,
VinUni,… This tactic also helps the corporation develop strongly, companies
cooperation for development.

Question 4:
*TRANSLATION:

According to the Council of Supply Chain Management Professionals, supply

chain management includes all logistics management activities including planning
and managing all activities related to logistics. sourcing and purchasing, including
all logistics activities. More importantly, it also includes coordination and
cooperation with partners in a comprehensive supply chain, which can be
suppliers, third-party service providers, and customers. In essence, supply chain
management integrates supply and demand management within and between
different companies.”

Supply chain management is often confused with logistics and warehousing,

although they have similarities, supply chain management has a larger meaning
and includes freight logistics in it. Logistics is the planning, implementation,
control of the efficient transportation and storage of goods, services and related
information from the point of origin to the place of consumption to meet customer
requirements, part of the supply chain.

Question 5:

1. Design of good and services: Frito currently owns 7 successful products that
contribute a huge amount of profits to them. However. Frito Lay always tries to
make some innovation in their product designs. Their product development
department would experiment with new products and send them to evaluation
groups who are responsible for its marketing testing. After these processes, they
can decide whether they should launch these products or not.

2. Managing quality: Frito Lay has a strict quality control process that involves a
variety of process such as visual inspection, oil control, weight control, etc.
Moreover, they also conduct quality checks throughout shipment, receipt,
production, packaging, and
delivery.

3. Process and capacity design: Frito-Lay’s process should be suitably design for
their high volumes and small variety, so they have to invest heavily in some high-
technology machine that can sustain the rapid process. Moreover, they also focus
on green manufacturing and sustainability. They use solar energy to reduce their
electricity
expense and recycle carton boxes to protect the environment.

4. Location strategy: Because chips require a high freshness of input materials so

Frito Lay has to set up their plant near raw material sources. Moreover, their plan
should be near the retailers to make on-time delivery.

5. Layout strategy: Sanitary problems and rapid processing of product require Frito
Lay to focus on the efficiency of their plant layout. The assembly lines should be
easy for workers to do all production steps in the shortest time.

6. Human resources: There are cross-training for workers who have to operate a
variety of production lines. The firm also gives them a specific path with a good
promotion policy.Frito Lay also rewards employees with high condition of
medical, retirement. And education policy.

7. Supply-chain management: Supply chain is a very important factor that brings

success to food-related company. The quality of finished product is highly
dependent on the freshness of raw material. Frito Lay should strictly choose good
vendors that can supply high-quality raw materials on time, so they can enhance
their production’s efficiency.

8. Inventory, material requirements planning, and JIT: The inventory turnover rate
forFrito-Lay is 200 times per year. This allows for better flow of fresh goods.

9. Intermediate and short-term scheduling: Frito-Lay upholds tight scheduling to

ensure the proper mix of fresh finished good on automated equipment, which
requires reliable
systems and effective maintenance.

10. Maintenance: Frito Lay has to focus on maintenance because downtime is very
costly and leads to a delay in production. They trained their employees to
recognize the flaws early and do a professional fix, so they can avoid some
problems that force them to stop their
production lines.
and do a professional fix, so they can avoid some problems that force them to stop
their
production lines
and do a professional fix, so they can avoid some problems that force them to stop
their
production lines

and do a professional fix, so they can avoid some problems that force them to stop
their
production lines

and do a professional fix, so they can avoid some problems that force them to stop
their
production lines

and do a professional fix, so they can avoid some problems that force them to stop
their
production lines