agilityThe ability of an organization to respond quickly to demands or opportunities.

craft productionSystem in which highly skilled workers use simple, flexible tools to produce small quantities of customized goods.

division of laborThe breaking up of a production process into small tasks, so that each worker performs a small portion of the overall job.

e-businessUse of the Internet to transact business.

e-commerceConsumer-to-business transactions.

interchangeable partsParts of a product made to such precision that they do not have to be custom fitted.

lead timeThe time between ordering a good or service and receiving it.

lean productionSystem that uses minimal amounts of resources to produce a high volume of high-quality goods with some variety.

mass productionSystem in which low-skilled workers use specialized machinery to produce high volumes of standardized goods.

modelAn abstraction of reality; a simplified representation of something.

operations managementThe management of systems or processes that create goods and/or provide services.

outsourcingObtaining a product or service from outside the organization.

Pareto phenomenonA few factors account for a high percentage of the occurrence of some event(s).

six sigmaA process for reducing costs, improving quality, and increasing customer satisfaction.

supply chainA sequence of activities and organizations involved in producing and delivering a good or service.

systemA set of interrelated parts that must work together.

technologyThe application of scientific discoveries to the development and improvement of goods and services.

value-addedThe difference between the cost of inputs and the value or price of outputs.