Module 7 - Module Summary

Summary.svgSummary

In this module, students learned about physical resources, including inventory, site selection, capacity planning, facility layout, and distribution networks. Strategic intangible resources were explained, including talent, leadership, knowledge, relational capital, and influence. This module explored human resource management, leveraging human capital, employees vs. contractors, compensation, training, and performance evaluation. Key business partnerships were discussed to assist students with understanding the potential for value creation through strategic alliances. Additionally, formal and informal networks and their effects were described with examples. Finally, students learned about key business activities by industry and were provided examples of when those activities offer a competitive advantage, parity, or disadvantage.

 

Glossary.svgGlossary

Lesson 1 - Physical Resources

  • capacity planning - regulating inventory by designing the capacity based on organizational capacity 
  • facility layout - a facility layout controls where machinery in a manufacturing process is positioned to facilitate workflow and shorten steps in the production process
  • inventory - tangible assets that are carefully managed, such as raw materials, parts, and components to make products for end users
  • tangible goods - assets that can be touched, moved, or stored; includes real estate, equipment, and inventory

 

Lesson 2 - Strategic Intangible Resources

  • intangible - something created with the mind including intellectual property, trade secrets, and ways of doing business
  • succession planning - a process to prevent a lack of leadership due to the departure or death of a senior employee 
  • relational capital - value of relationships within an organization

 

Lesson 3 - Human Resources

  • benefits - a form of compensation paid by employers to employees over and above regular salary or wages
  • compensation - the money received by an employee from an employer as salary or wages
  • contract worker - an individual who enters into a contractual agreement with a business in order to provide a service in exchange for a fee
  • human capital - the skills, knowledge, and experience possessed by an individual or population, viewed in terms of their value or cost to an organization or country
  • human resources - the department responsible for managing all matters related to employees
  • performance appraisal - a regular review of an employee's job performance and overall contribution to a company

 

Lesson 4 - Key Business Partnerships

  • supplier partner - a business or operation that provides raw materials or components needed to make the core product
  • strategic alliance - a mutually beneficial arrangement that retains each company's independence
  • joint business development - a strategic alliance that is sometimes called a joint venture; has a defined contract and project times
  • franchise - a partnership in which the franchisor grants the franchisee rights to use the brand and system that they have established
  • coopetition - a partnership between two or more competitors which combine their resources

 

Lesson 5 - Networks

  • network - web of relationships that connect people
  • networking - act of joining or creating a network
  • network effect - when a good or service becomes more valuable to individual users as more people consume it
  • business network - nexus of human relationships that aims to help its members, directly or indirectly, advance their business goals

 

Lesson 6 - Key Business Activities

  • bottleneck - a work process that is delayed and not providing proper flow to the next step
  • competitive advantage - being in a favorable position in relation to competitors in a market
  • competitive disadvantage - being in an unfavorable position in relation to competitors in a market
  • competitive parity - being equal with all other competitors in a market
  • disruptive strategy - a strategy that gives a company a clear competitive advantage
  • jobs to be done - key activities which the customer performs
  • key activity - any activity that a business is engaged in to make a profit  
  • non-key activity - any important activity not directly related to revenue but which leads to overall business success

 

Quiz.svgModule Quiz

The module quiz will assess your understanding of the material in lessons you've read. This is a multiple-choice quiz that may only be taken one time. It is an open-book/open-note quiz. Please feel free to use the information presented in the lessons from this module to help answer the questions to the best of your abilities. To set up your computer, open the quiz in a new tab or a new window by right-clicking on the quiz link, and then select "Open in a New Tab" or "Open in a New Window". While this is an untimed quiz, you will only be able to take this quiz one time. 

Please read through the directions on the following page before starting your quiz.