| capabilities | The abilities a business has that result from its processes. Capabilities create value.
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| Capacity | The level of productive output of an organization in a specified period of time.
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| constraint management | A framework for managing the constraints of a system in a way that maximizes the system’s accomplishment of its goals.
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| Cost | The expenses associated with ownership.
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| craft production | Production of goods by highly skilled and specialized artisans.
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| disruptive technology | A new technology that displaces an existing technology.
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| facilities | The buildings and structures that house various aspects of a business.
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| integrative management framework | A management approach or “philosophy” that guides day-to-day decisions in a way that is consistent with a firm’s profitability goals. Examples include lean systems, constraint management, and supply chain management.
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| inventory (traditional definition) | Materials used in the production of products and services. Examples include raw materials inventory, work-in-process inventory, and finished goods inventory.
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| inventory (constraint management definition) | Money invested in things the system intends to sell.
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| lean system | A productive system that functions with little waste or excess, usually with low inventory levels.
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| logistics | The flow and storage of goods, services, and related information from production to consumption.
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| maquiladoras | Foreign-owned (typically U.S.-owned) manufacturing plants in Mexico.
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| mass production | High volume production of standardized products.
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| processes | Organized tasks accomplished by grouping resources together.
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| profitability | A measure of the productivity of money invested in a business, typically a ratio of net income to some input such as net sales or total assets.
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| quality | Meeting customer expectations.
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| strategy | The means by which a company positions itself for future profitability.
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| timeliness | The speed at which a business completes tasks and the degree to which it completes tasks on schedule and as promised.
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| value | The amount a customer is willing to pay for a product or service, sometimes thought of as benefits divided by cost.
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| workforce | The employees required to produce a product or service.
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