Test Bank For Operations Management, 11th Edition

Find everything you need to prepare for your exams in Test Bank For Operations Management, 11th Edition, a comprehensive guide filled with solved questions.

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Chapter 01-Introduction to Operations Management1-1Chapter 01Introduction to Operations ManagementTrue / False Questions1.Operations managers are responsible for assessing consumer wants and needs and sellingand promoting the organization's goods or services.TrueFalse2.Often, the collective success or failure of companies' operations functions will impact theability of a nation to compete with other nations.TrueFalse3.Companies are either producing goods or delivering services. This means that only one ofthe two types of operations management strategies are used.TrueFalse4.Operations, marketing, and finance function independently of each other in mostorganizations.TrueFalse5.The greater the degree of customer involvement, the more challenging the design andmanagement of operations.TrueFalse6.Goods producing organizations are not involved in service activities.TrueFalse

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Chapter 01-Introduction to Operations Management1-27.Service operations require additional inventory because of the unpredictability of consumerdemand.TrueFalse8.The value of outputs is measured by the prices customers are willing to pay for goods orservices.TrueFalse9.The use of models will guarantee the best possible decisions.TrueFalse10.People who work in the field of operations should have skills that include both knowledgeand people skills.TrueFalse11.Assembly lines achieved productivity but at the expense of standard of living.TrueFalse12.The operations manager has primary responsibility for making operations system designdecisions, such as system capacity and location of facilities.TrueFalse13.The word "technology" is used only to refer to "information technology".TrueFalse14.‘Value added' by definition is always a positive number since 'added' implies increases.TrueFalse

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Chapter 01-Introduction to Operations Management1-315.Service often requires greater labor content, whereas manufacturing is more capitalintensive.TrueFalse16.Measurement of productivity in service is more straightforward than in manufacturingsince it is not necessary to take into account the cost of materials.TrueFalse17.Special-purpose technology is a common way of offering increased customization inmanufacturing or services without taking on additional labor costs.TrueFalse18.One concern in the design of production systems is the degree of standardization.TrueFalse19.Most people encounter operations only in profit-making organizations.TrueFalse20.Service involves a much higher degree of customer contact than manufacturing.TrueFalse21.A systems approach emphasizes interrelationships among subsystems, but its main themeis that the whole is greater than the sum of its individual parts.TrueFalse22.The Pareto phenomenon is one of the most important and pervasive concepts that can beapplied at all levels of management.TrueFalse

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Chapter 01-Introduction to Operations Management1-423.Operations managers, who usually use quantitative approaches, are not really concernedwith ethical decision-making.TrueFalse24.The optimal solutions produced by quantitative techniques should always be evaluated interms of the larger framework.TrueFalse25.Managers should most often rely on quantitative techniques for important decisions sincequantitative approaches result in more accurate decisions.TrueFalse26.Many operations management decisions can be described as tradeoffs.TrueFalse27.A systems approach means that we concentrate on efficiency within a subsystem andthereby assure overall efficiency.TrueFalse28.Prior to the Industrial Revolution, goods were produced primarily by craftsmen or theirapprentices using custom made parts.TrueFalse29.Elton Mayo's "Hawthorne Experiment" was the focal point of the Human RelationsMovement, which emphasized the importance of the human element in job design.TrueFalse

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Chapter 01-Introduction to Operations Management1-530.Among Ford's many contributions was the introduction of mass production, using theconcept of interchangeable parts and division of labor.TrueFalse31.Operations management and marketing are the two functional areas that exist to supportactivities in other functions such as accounting, finance, IT and human resources.TrueFalse32.Lean production systems incorporate the advantages of both mass production and craftproduction.TrueFalse33.As an abstraction of reality, a model is a simplified version of a real phenomenon.TrueFalse34.Lean production systems use a highly skilled work force and flexible equipment.TrueFalse35.The lean production philosophy has been slow to be adopted in service industries.TrueFalse36.Operations Management activities will be less important in the future because many firmsare becoming service-oriented operations rather than goods producing operations.TrueFalse

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Chapter 01-Introduction to Operations Management1-637.A modern firm has two supply chain considerations-external links with suppliers andcustomers, and an internal network of flows to and between the operations function itself.TrueFalseMultiple Choice Questions38.Operations management involves continuous decision-making; hopefully most decisionsmade will be:A.redundantB.minor in natureC.informedD.quantitativeE.none of the above39.A 'product package' consists of:A.the exterior wrappingB.the shipping containerC.a combination of goods and servicesD.goods if a manufacturing organizationE.customer relations if a service organization40.Business organizations consist of three major functions which, ideally:A.support one anotherB.are mutually exclusiveC.exist independently of each otherD.function independently of each otherE.do not interface with each other

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Chapter 01-Introduction to Operations Management1-741.Which of the following is not a type of operations?A.goods productionB.storage/transportationC.entertainmentD.communicationE.all the above involve operations42.Technology choices seldom affect:A.costs.B.productivity.C.union activity.D.quality.E.flexibility.43.Measurements taken at various points in the transformation process for control purposesare called:A.plansB.directionsC.controlsD.feedbackE.budgets44.Budgeting, analysis of investment proposals, and provision of funds are activitiesassociated with the _______ function.A.operationB.marketingC.purchasingD.financeE.internal audit

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Chapter 01-Introduction to Operations Management1-845.Which one of the following would not generally be classified under the heading oftransformation?A.assemblingB.teachingC.staffingD.farmingE.consulting46.Manufacturing work sent to other countries is called:A.downsizedB.outsourcedC.internationalizationD.vertical integrationE.entrepreneurial ship47.Product design and process selection are examples of _______ decisions.A.financialB.tacticalC.system designD.system operationE.forecasting48.The responsibilities of the operations manager are:A.planning, organizing, staffing, procuring, and reviewingB.planning, organizing, staffing, directing, and controllingC.forecasting, designing, planning, organizing, and controllingD.forecasting, designing, operating, procuring, and reviewingE.designing and operating

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Chapter 01-Introduction to Operations Management1-949.Knowledge skills usually don't include:A.process knowledgeB.accounting skillsC.communication skillsD.global knowledgeE.all of the above50.Which of the following is not true about systems approach?A.A systems viewpoint is almost always beneficial in decision making.B.A systems approach emphasizes interrelationships among subsystems.C.A systems approach concentrates on efficiency within subsystems.D.A systems approach is essential whenever something is being redesigned or improved.E.All of the above are true.51.What is credited with gains in industrial productivity, increased standards of living andaffordable products?A.personal computersB.the internetC.mass transportationD.assembly linesE.multi-level marketing52.Production systems with customized outputs typically have relatively:A.high volumes of outputB.low unit costsC.high amount of specialized equipmentD.fast work movementE.skilled workers

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Chapter 01-Introduction to Operations Management1-1053.Which is not a significant difference between manufacturing and service operations?A.cost per unitB.uniformity of outputC.labor content of jobsD.customer contactE.measurement of productivity54.Which of the following is not a characteristic of service operations?A.intangible outputB.high customer contactC.high labor contentD.easy measurement of productivityE.low uniformity of output55.Which of the following is a recent trend in business?A.pollution controlB.total quality managementC.supply chain managementD.competition from foreign manufacturersE.technological change56.Farming is an example of:A.an obsolete activityB.a virtual organizationC.non-manufactured goodsD.a growth industryE.customized manufacturing

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Chapter 01-Introduction to Operations Management1-1157.Dealing with the fact that certain aspects of any management situation are more importantthan others is called:A.analysis of tradeoffsB.sensitivity analysisC.recognition of prioritiesD.analysis of varianceE.decision table analysis58.The fact that a few improvements in a few key areas of operations will have more impactthan many improvements in many other areas is consistent with the:A.Irwin phenomenonB.Pareto phenomenonC.Stevenson phenomenonD.Tellier phenomenonE.Adam Smith phenomenon59.The process of comparing outputs to previously established standards to determine ifcorrective action is needed is called:A.planningB.directingC.controllingD.budgetingE.disciplining60.Which of the following does not relate to system design?A.altering the system capacityB.location of facilitiesC.inventory managementD.selection and acquisition of equipmentE.physical arrangement of departments

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Chapter 01-Introduction to Operations Management1-1261.Taking a systems viewpoint with regard to operations in today's environment increasinglyleads decision-makers to consider ______________ in response to the ___________.A.flexibility; pressure to be more efficientB.offshoring; need to promote domestic productionC.sustainability; threat of global warmingD.technology; impact of random variationE.forecasting; stabilization of demand62.Some companies attempt to maximize the revenue they receive from fixed operatingcapacity by influencing demands through price manipulation. This is an example of__________________:A.Illegal price discriminationB.CollusionC.Volume analysisD.Revenue managementE.Outsourcing63.Which of the following is not an ongoing trend in manufacturing?A.globalizationB.quality improvementC.flexibility and agilityD.mass production for greater economies of scaleE.technological advances64.Which of the following is not a benefit of using models in decision making?A.They provide a standardized format for analyzing a problem.B.They serve as a consistent tool for evaluation.C.They are easy to use and less expensive than dealing with the actual situation.D.All of the above are benefits.E.None of the above is a benefit.

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Chapter 01-Introduction to Operations Management1-1365.Modern firms increasingly rely on other firms to supply goods and services instead ofdoing these tasks themselves. This increased level of _____________ is leading to increasedemphasis on ____________ management.A.outsourcing; supply chainB.offshoring; leanC.downsizing; total qualityD.optimizing; inventoryE.internationalization; intercultural66.Operations and sales are the two ________ functions in businesses.A.strategicB.tacticalC.supportD.value-addingE.line67.Marketing depends on operations for information regarding ___________.A.productivityB.lead timeC.cash flowD.budgetingE.corporate intelligence

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Chapter 01-Introduction to Operations Management1-1468.Two widely used metrics of variation are the __________ and the _________.A.mean; standard deviationB.productivity ratio; correlationC.standardized mean; assignable deviationD.randomized mean; standardized deviationE.normal distribution; random variation69.Which of the following statements about variation is FALSE?A.Variation prevents a production process from being as efficient as it can be.B.Some variation can be prevented.C.Variation can either be assignable or random.D.Any variation makes a production process less productive.E.Random variation generally cannot be influenced by managers.70.Which of the following is essential to consider with respect to managing a process to meetdemand?A.strategyB.demand forecastsC.capacityD.random variabilityE.all of the above

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Chapter 01-Introduction to Operations Management1-15Chapter 01 Introduction to Operations ManagementAnswerKeyTrue / False Questions1.Operations managers are responsible for assessing consumer wants and needs and sellingand promoting the organization's goods or services.FALSEOperation managers are not responsible for promoting goods/services.AACSB: Reflective ThinkingBloom's: RememberDifficulty: EasyLearning Objective: 01-04 Describe the operations function and the nature of the operations manager's job.Topic Area: The Scope of Operations Management2.Often, the collective success or failure of companies' operations functions will impact theability of a nation to compete with other nations.TRUEA nation is often only as competitive as its companies.AACSB: Reflective ThinkingBloom's: RememberDifficulty: EasyLearning Objective: 01-01 Define the term operations management.Topic Area: Operations Today
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