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Unformatted text preview: 1 Jacqueline Remus Week 1 Assignment BUS 5650 Chapter 1 Question 1-13 Contrast past & present business environments with regard to the following aspects: basis of competition, manufacturing process, manufacturing technology, required labor skills, emphasis on quality, products, markets, types of cost management information needed, management organizational structure, & management focus. Prior Business Environment Contemporary Business Environment Manufacturing Basis of Competition Economies of scale, standardization Quality, functionality, customer satisfaction Manufacturing process High volume, long production runs, significant levels of in-process & finished inventory Low volume, short production run, focus on reducing inventory levels and other non value-added activities and costs Manufacturing Technology Assembly line automation, isolated technology applications Robotics, flexible manufacturing systems, integrated technology applications connected by network Required labor skills Machine paced, low-level skills Individual and team paced, high-level skills Emphasis on quality Acceptance of a normal or usual amount of waste Strive for zero defects Marketing Products Relatively few variations Large number of variations, short product life cycles Markets Largely domestic Global Management Organization Types of Cost management information needed Hierarchical; command and control Network-based organization forms; teamwork focus— employee has more responsibility & control; coaching rather than command and control Management Focus Short term: short term performance measures & compensation; concern for sustaining stock price; short tenure & high mobility of top managers Lonterm; focus on critical success factors, commitment to the long term success of the firm, including adding shareholder value 2 Brief Exercises 1-21 Consider the 3 broad categories of firms: manufacturers, retailers, & service firms. Give an example of a cost leader & differentiator in each of the 3 categories. Do there tend to be more example of a cost leader & differentiator in each of the 3 categories....
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This note was uploaded on 03/10/2012 for the course ACCOUNTING 5450 taught by Professor Brown during the Spring '12 term at Colorado Technical University.
- Spring '12