Why is a system of controls necessary in small businesses?
What will be an ideal response?
After developing plans for making a profit, small businesses must design an operating system to implement those plans. That system, in turn, must be controlled in order to ensure that plans are carried out and objectives, such as profit and customer satisfaction, are reached. Planning provides the guides and standards used in performing the activities necessary to achieve company goals. Then, a system of controls is installed to ensure that performance conforms to an organization's plans. Any deviation from these plans should point to a need for change-usually in performance, but sometimes in the plans themselves.
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Recently, Lucy’s Market joined her competitor, Olive and Lemon. Lucy thought that it would be a great idea to reap the rewards of her biggest market adversary. However, her company is finding it difficult to join together with the new O and L. She feels there is a major “culture clash” between the two businesses. Which organizational hindrance does this describe?
a. Change b. Diversity c. Mission d. Mergers and acquisitions
Which one of the following statements concerning the economic order quantity (EOQ) is TRUE?
A) The EOQ is the order quantity that minimizes annual inventory holding costs. B) An increase in demand will increase the EOQ. C) The time between orders (TBO) will increase with an increase in holding costs. D) The EOQ formula assumes that there are only three relevant costs: holding, transportation, and setup.
Which of the following is not a data analysis and solution development tool from the operations consulting tool kit?
A. Statistics B. Computer simulation C. Problem analysis (SPC tools) D. Bottleneck analysis E. Plant tours/audits
Parties with rights in a negotiable instrument can be assignees or holders
Indicate whether the statement is true or false