G
GAAP
Acronym for generally accepted accounting principles.
Gain sharing
A method of incentive compensation where employees share collectively in savings from productivity improvements. Syn: gain sharing plans.
Gain sharing plans
Syn: gain sharing.
GAMP
Acronym for generally accepted manufacturing practices.
G and A
Abbreviation for general and administrative expenses.
Gantt chart
The earliest and best-known type of planning and control chart, especially designed to show graphically the relationship between planned performance and actual performance over time. Named after its originator, Henry L. Gantt, the chart is used (1) for machine loading, in which one horizontal line is used to represent capacity and another to represent load against that capacity; or (2) for monitoring job progress, in which one horizontal line represents the production schedule and another parallel line represents the actual progress of the job against the schedule in time. Syn: job progress chart, mileston chart.
Gapped schedule
A schedule in which every piece in a lot is finished at one work center before any piece in the lot can be processed at the succeeding work center; the movement of material in complete lots, causing time gaps between the end of one operation and the beginning of the next. It is a result of using a batched schedule at each operation (work center), where process batch and transfer batch are assumed to be the same or equal. Syn: gap phasing, straight-line schedule. Ant: overlapped schedule.
Gap phasing
Syn: gapped schedule.
Gate review
The formal review process between the major phases of a new product introduction effort. The determination to continue or to stop the project is formally made at each review point or gate.
Gateway work center
A work center that performs the first operation of a particular routing sequence.
Gauge
An instrument for measuring or testing.
GDSS
Abbreviation for group decision support system.
General and administrative expenses (G and A)
The category of expenses on the income statement that includes the costs of general managers, computer systems, research and development, and others.
Generally accepted accounting principles (GAAP)
Accounting practices that conform to conventions, rules, and procedures that have general acceptability by the accounting profession.
Generally accepted manufacturing practices (GAMP)
A group of practices and principles, independent of any one set of techniques, that defines how a manufacturing company should be managed. Included are such elements as the need for data accuracy, frequent communication between marketing and manufacturing, top management control of the production planning process (sales and operations planning process), systems capable of validly translating high-level plans into detailed schedules, and so on. Today GAMP includes such paradigms as Just-in-Time, theory of constraints, total quality management, business process reengineering, and supply chain management.
General stores
Syn: supplies.
General warranty
An assurance that the product is fit for use. See: special warranty, warranty.
Generic processing
A means of developing routings or processes for the manufacture of products through a family relationship, usually accomplished by means of tabular data to establish interrelationships. It is especially prevalent in the manufacture of raw material such as steel, aluminum, or chemicals.
GERT
Acronym for graphical evaluation and review technique.
Globalization
The interdependence of economies globally that results from the growing volume and variety of international transactions in goods, services, and capital, and also from the spread of new technology.
Global marketing
The use of one marketing strategy in all countries in which a company operates, selling a single product worldwide.
Global measures
The set of measurements that refers to the overall performance of the firm. Net profit, return on investment, and cash flow are examples of financial measures; and throughput, operating expense, and inventory are examples of operational measures.
Global strategy
A strategy that focuses on improving worldwide performance through the sales and marketing of common goods and services with minimum product variation by country. Its competitive advantage grows through selecting the best locations for operations in other countries. See: multinational strategy.
GNP
Abbreviation for gross national product.
go/no-go
The state of a unit or product. Two parameters are possible: go (conforms to specification) and no-go (does not conform to specification).
Good
A tangible product, merchandise, or ware.
Goodwill
An intangible item that is only recorded on a company’s books as the result of a purchase. Generally, it is inseparable from the enterprise but makes the company more valuable, for example, a good reputation.
Government market
A market in which most or all buyers consist of agencies of the federal, state, or local government. See: consumer market, industrial market, institutional market.
Grades
The sublabeling of items to identify their particular makeup and to separate one lot from other production lots of the same item.
Graphical evaluation and review technique (GERT)
A network analysis technique that allows for probability distributions of activity durations and also conditions under which some activities may not be carried out. See: critical path method, network analysis, program evaluation and review technique.
Graphical forecasting methods
The use of visual information to predict sales patterns typically involves plotting information in a graphical form. It is relatively easy to convert a spreadsheet into a graph that conveys the information visually. Trends and patterns of data are easier to spot, and extrapolation of previous demand can be used to predict future demands.
Graphical user interface (GUI)
A connection between the computer and the user employing a mouse and icons so that the user makes selections by pointing at icons and clicking the mouse.
Green belt
A manager or team member who has been trained in six sigma improvement methods and will have full-time responsibilities for process and quality improvement.
Green marketing
In advertising, promoting products because of their environmental sensitivity.
Grievance
A complaint by an employee concerning alleged contract violations handled formally through contractually fixed procedures. If unsettled, a grievance may lead to arbitration.
Grievance procedures
Methods identified in a collective bargaining agreement to resolve problems that develop or to determine if a contract has been violated.
Gross margin
The difference between total revenue and the cost of goods sold. Syn: gross profit margin.
Gross national product (GNP)
The market value of all goods and services produced in a nation in a given year.
Gross profit
Sales minus cost of goods sold.
Gross profit margin
Syn: gross margin.
Gross profit margin rate
Sales minus cost of goods sold then divided by sales.
Gross requirement
The total of independent and dependent demand for a component before the netting of on-hand inventory and scheduled receipts.
Gross sales
The total amount charged to all customers during the accounting time period.
Group classification code
A part of a material classification technique that provides for designation of characteristics by successively lower order groups of code. Classification may denote function, type of material, size, shape, etc.
Group decision support system (GDSS)
The software designed to support groups in unstructured decision making by supporting brainstorming, conflict resolution, voting, and other techniques.
Grouping
Matching like operations and running them together sequentially, thereby taking advantage of a common setup.
Group technology (GT)
An engineering and manufacturing philosophy that identifies the physical similarity of parts (common routing) and establishes their effective production. It provides for rapid retrieval of existing designs and facilitates a cellular layout.
Groupthink
A situation in which a team seizes on one solution to a problem and does not consider other viable solutions either because members are afraid of confrontation or because they convince themselves that their ideas aren’t worth discussing.
Growth-share matrix
In marketing, a division of products by relative market share and market growth rate. Products are divided as follows: (1) Cash cows—high market share, low growth rate; (2) Stars—high market share, high growth rate; (3) Dogs—low market share, low growth rate; and (4) Question marks—low market share, high growth rate. Sometimes this same set of terms is used to categorize products by market share and profitability. See: cash cow, dog, question mark, star.
GT
Abbreviation for group technology.
Guarantee
A contractual obligation by one entity to another that a fact regarding a product is true. See: warranty.
GUI
Acronym for graphical user interface, pronounced “gooey.”