The four sub-functions: procurement, manufacturing, sales and distribution in the manufacturing operating cycle
What are the three functional areas that make up the supply chain?
The three major elements of supply chain management are demand, materials, and resource capacity The goal of SCM is to increase the cash flow speed by synchronizing business processes based on constraints Indexes of the management are throughput (item flow), inventory, and expense aiming for total optimization
What is an example of an issue that might be addressed by supply chain event management quizlet?
What is an example of an issue that might be addressed by supply chain event management? A customer complains that a product arrived damaged What three functional areas make up the manufacturing operating cycle?
What information is necessary to calculate the cash to cash cycle time quizlet?
What information is necessary to calculate the cash-to-cash cycle time? Cash-to-cash cycle time is a measure of cash flow and takes many metrics into consideration, including accounts payable, inventory, cost of sales, sales, and accounts receivable
What sources of information are necessary to calculate the cash to cash cycle time?
You’ll need to reference your financial statements such as the balance sheet and income statement to give you information for the calculations The cash conversion cycle formula has three parts: Days Inventory Outstanding, Days Sales Outstanding, and Days Payable Outstanding
What are the functional areas of supply chain management?
Supply management is made up of five areas: supply planning, production planning, inventory planning, capacity planning, and distribution planning
What is functional supply chain?
The functions in a supply chain include product development, marketing, operations, distribution, finance, and customer service Supply chain management results in lower costs and a faster production cycle
On which four major areas do ERP modules typically focus quizlet?
On which four major areas do ERP modules typically focus? ERP systems from various vendors are organized in different ways, but typically modules are focused on at least the following major areas: finance, manufacturing and logistics, sales and marketing, and human resources
Which of the following is one of the categories of manufacturing operations type of inventory?
Manufacturers deal with three types of inventory They are raw materials (which are waiting to be worked on), work-in-progress (which are being worked on), and finished goods (which are ready for shipping)
What is the primary goal of an ERP system?
The main purpose of an ERP system is to increase organizational efficiency of an organization by managing and improving how company resources are utilized
Which option would reduce an organization’s cash-to-cash cycle time?
Streamlining order-to-cash processes can also reduce cash-to-cash cycle time because faster invoice processing and receipt of customer payment decreases the amount of time that an organization’s capital is unavailable Organizations can revisit their invoicing processes to see how they can be made faster
How do short and consistent lead times help to improve the order-to-cash cycle and improve profitability?
Consistent and short lead times helps inventories and can build customer satisfaction and loyalty Order processing time has a direct bearing on an organization’s order-to-cash cycle: Longer order-to-cash cycle = higher accounts receivable and higher investment in “sold” finished goods
What is a main benefit of processing transactions in real time?
Which of the following is a main benefit of processing transactions in real time? There is no delay in the processing of the transaction The amount of detail available in the system is extremely rich It allows for immediate analysis, which can be valuable in making improvements
How do you calculate operating cycle and cash cycle?
The cash operating cycle (also known as the working capital cycle or the cash conversion cycle) is the number of days between paying suppliers and receiving cash from sales Cash operating cycle = Inventory days + Receivables days – Payables days
Which are the factors that have an impact on the cash to cash cycle?
Analyzing the Factors That Affect Your Cash Flow Accounts receivable Accounts receivable represent sales that have not yet been collected in the form of cash Credit terms Credit policy Inventory Accounts payable and cash flow
Which of the following increases the cash cycle?
The correct answer to the given question is option B Having a larger percentage of customers paying with cash instead of credit
What are the 3 major functional areas of business organization?
One of the reasons for separating business operations into functional areas is to allow each to operate within its area of expertise, thus building efficiency and effectiveness across the business as a wholeThe key functional areas of a business are the following: Management Operations Marketing Accounting Finance
What are the three major business functions?
Every business is managed through three major functions: finance, marketing, and operations management
What are the 4 functional areas of a business?
The main functional areas are: marketing human resources operations finance
What are the broad functional areas of logistics?
These are (1) customer relationship management, (2) customer service management, (3) demand management, (4) order fulfillment, (5) manufacturing flow management, (6) supplier relationship management, (7) product development and commercialization, and (8) returns management
What are the main functions of the procurement and supply function?
Procurement and supply chain are part of a broad function occupied with procuring the necessary services and products to ensure the smooth running of a company’s product production and delivery
What are the key functional roles of IT in a supply chain?
Use of information technology in supply chain management provides improved visibility and accountability Use of technology can bring the necessary transparency into the whole process It allows the manufacturing companies to have better control over product flow and information flow across the supply chain
What are two of the main objectives of ERP?
Providing a software map of business functional activities, improving accuracy rate of results, increasing the flexibility of operation and improving productivity are other core objectives of ERP
Which of the following is included in an ERP solution?
ERP software can include capabilities for procurement, supply chain management, inventory, manufacturing, maintenance, order management, project management, logistics, product lifecycle management, risk management, enterprise performance management (EPM), human resources/human capital management, and customer
What is an inter enterprise system quizlet?
Inter-enterprise systems: Companies work together – doing it efficiently often requires sharing data Key to the success of Inter-enterprise Systems
What are the 3 different types of inventory?
Raw materials, semi-finished goods, and finished goods are the three main categories of inventory that are accounted for in a company’s financial accounts
What are the three kinds of inventories in operation research?
There are four main types of inventory: raw materials/components, WIP, finished goods and MRO However, some people recognize only three types of inventory, leaving out MRO
What are the three components of an inventory form?
Stages of Inventory: Raw materials – materials and components scheduled for use in making a product Work in process, WIP – materials and components that have began their transformation to finished goods Finished goods – goods ready for sale to customers Goods for resale – returned goods that are salable