Operations Management Test 1 Suckaaaaaaass

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Operationsmanage

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Quizzes Created: 3 | Total Attempts: 2,882

Questions: 82 | Attempts: 1,349 | Updated: Mar 22, 2023

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Operations Management Test 1 Suckaaaaaaass - Quiz

Questions and Answers

1.

1. The four decision areas in operations management are:
- A.
  
  A) Planning, technology, inventory, control
- B.
  
  B) Process, quality, capacity, inventory
- C.
  
  C) Process, quality, technology, capacity
- D.
  
  D) None of these
Correct Answer
B. B) Process, quality, capacity, inventory

Explanation
The correct answer is B) Process, quality, capacity, inventory. These four decision areas are crucial in operations management. Process refers to the methods and procedures used to transform inputs into outputs. Quality involves ensuring that products or services meet customer expectations and standards. Capacity focuses on determining the optimal level of resources needed to meet demand. Lastly, inventory management involves controlling the amount and type of inventory to ensure smooth operations and minimize costs.

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2.

2. Capacity decisions:
- A.
  
  A) Include forecasting and scheduling
- B.
  
  B) Include inventory control
- C.
  
  C) Require management of personnel
- D.
  
  D) None of these
Correct Answer
A. A) Include forecasting and scheduling

Explanation
Capacity decisions involve determining the amount of resources needed to meet the demand for a product or service. This includes forecasting, which involves predicting future demand, and scheduling, which involves determining the timing and allocation of resources to meet that demand. Therefore, option A is the correct answer as it accurately states that capacity decisions include forecasting and scheduling. Option B, inventory control, may be related to capacity decisions but is not explicitly mentioned. Option C, management of personnel, may be a part of capacity decisions but is not specifically mentioned. Option D, none of these, is incorrect as capacity decisions do involve forecasting and scheduling.

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3.

3. Inventory decisions and control systems involve:
- A.
  
  A) Determining what to order, how much to order and when to order
- B.
  
  B) Tracking the flow of materials
- C.
  
  C) Managing the finished goods inventories
- D.
  
  D) All of these
Correct Answer
D. D) All of these

Explanation
The correct answer is D) All of these. Inventory decisions and control systems involve determining what to order, how much to order, and when to order. This includes tracking the flow of materials and managing the finished goods inventories. All of these aspects are important in effectively managing and controlling inventory levels to meet customer demand and minimize costs.

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4.

4. The four major decision responsibilities of operations management are:
- A.
  
  A) Process, quality, capacity, and human resources
- B.
  
  B) Process, quality, human resources, and inventory
- C.
  
  C) Quality, inventory, human resources, and capacity
- D.
  
  D) Quality, capacity, inventory, and human resources
- E.
  
  E) Process, capacity, quality, and inventory
Correct Answer
E. E) Process, capacity, quality, and inventory

Explanation
The correct answer is E) Process, capacity, quality, and inventory. This answer is correct because these are the four major decision responsibilities of operations management. Process refers to the methods and procedures used to produce goods or services. Capacity refers to the ability to produce goods or services in the desired quantity. Quality refers to the level of excellence or superiority of goods or services. Inventory refers to the stock of goods or materials held by a company. These four responsibilities are crucial in managing operations effectively and efficiently.

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5.

5. Which of the following does not come under the process category of decision making?
- A.
  
  A) Layout of the facility
- B.
  
  B) Job design
- C.
  
  C) The type of equipment and technology
- D.
  
  D) Product or service inspection
Correct Answer
D. D) Product or service inspection

Explanation
Product or service inspection does not come under the process category of decision making because it is a quality control activity that occurs after the production process. The process category of decision making involves decisions related to the layout of the facility, job design, and the type of equipment and technology used in the production process. These decisions directly impact the efficiency and effectiveness of the production process, while product or service inspection is a separate activity that ensures the final product or service meets the desired quality standards.

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6.

6. The service industry makes up approximately what percentage of all jobs in the United States?
- A.
  
  A) 12%
- B.
  
  B) 40%
- C.
  
  C) 66%
- D.
  
  D) 79%
- E.
  
  E) 90%
Correct Answer
D. D) 79%

Explanation
The service industry in the United States makes up approximately 79% of all jobs. This means that the majority of employment opportunities in the country are in sectors such as healthcare, retail, hospitality, and professional services. The service industry plays a vital role in the US economy and contributes significantly to its overall growth and development.

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7.

7. Typical differences between goods and services do not include
- A.
  
  a. cost per unit
- B.
  
  b. ability to inventory items
- C.
  
  c. timing of production and consumption
- D.
  
  d. customer interaction
- E.
  
  e. knowledge content
Correct Answer
A. a. cost per unit

Explanation
The typical differences between goods and services include the ability to inventory items, timing of production and consumption, customer interaction, and knowledge content. However, the cost per unit is not a typical difference between goods and services. Goods are tangible products that can be measured and sold in specific quantities, while services are intangible actions or performances that cannot be measured in the same way. The cost per unit is not a relevant factor in distinguishing between goods and services.

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8.

8. Gibson Valves produces cast bronze valves on an assembly line, currently producing 1600 valves each 8-hour shift. If the productivity is increased by 10%, it would then be
- A.
  
  a. 180 valves/hr
- B.
  
  b. 200 valves/hr
- C.
  
  c. 220 valves/hr
- D.
  
  d. 880 valves/hr
- E.
  
  e. 1760 valves/hr
Correct Answer
C. c. 220 valves/hr

Explanation
The productivity of Gibson Valves is currently 1600 valves per 8-hour shift. If the productivity is increased by 10%, it would be 1760 valves per 8-hour shift. To find the productivity per hour, we divide the total number of valves produced in 8 hours (1760) by 8. This gives us a productivity of 220 valves per hour. Therefore, option c. 220 valves/hr is the correct answer.

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9.

9. Gibson Valves produces cast bronze valves on an assembly line, currently producing 1600 valves per shift. If the production is increased to 2000 valves per shift, labor productivity will increase by
- A.
  
  a. 10%
- B.
  
  b. 20%
- C.
  
  c. 25%
- D.
  
  d. 40%
- E.
  
  e. 50%
Correct Answer
C. c. 25%

Explanation
If the production is increased from 1600 valves per shift to 2000 valves per shift, the increase in production is 400 valves. To calculate the labor productivity increase, we divide the increase in production (400 valves) by the initial production (1600 valves) and multiply by 100. This gives us a labor productivity increase of 25%. Therefore, the correct answer is c. 25%.

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10.

10. The Dulac Box plant works two 8-hour shifts each day. In the past, 500 cypress packing boxes were produced by the end of each day. The use of new technology has enabled them to increase productivity by 30%. Productivity is now approximately
- A.
  
  a. 32.5 boxes/hr
- B.
  
  b. 40.6 boxes/hr
- C.
  
  c. 62.5 boxes/hr
- D.
  
  d. 81.25 boxes/hr
- E.
  
  e. 300 boxes/hr
Correct Answer
B. b. 40.6 boxes/hr

Explanation
The plant works two 8-hour shifts each day, so the total number of hours worked per day is 16 (2 shifts x 8 hours/shift). Before the use of new technology, 500 boxes were produced in 16 hours, which means the productivity was 31.25 boxes/hr (500 boxes / 16 hours). However, with the increase in productivity by 30%, the new productivity is approximately 40.6 boxes/hr (31.25 boxes/hr x 1.3). Therefore, the correct answer is b. 40.6 boxes/hr.

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11.

11. The Dulac Box plant produces 500 cypress packing boxes in two 10-hour shifts. Due to higher demand, they have decided to operate three 8-hour shifts instead. They are now able to produce 600 boxes per day. What has happened to production?
- A.
  
  a. It has increased by 50 sets/shift.
- B.
  
  b. It has increased by 37.5 sets/hr.
- C.
  
  c. It has increased by 20%.
- D.
  
  d. It has decreased by 8.3%.
- E.
  
  e. It has decreased by 9.1%.
Correct Answer
C. c. It has increased by 20%.

Explanation
The production has increased by 20% because the plant was originally producing 500 boxes in two 10-hour shifts, which is a total of 1000 boxes per day. After switching to three 8-hour shifts, they are now producing 600 boxes per day. This is a 20% increase from the original production of 500 boxes.

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12.

12. Productivity measurement is complicated by
- A.
  
  a. the competition's output
- B.
  
  b. the fact that precise units of measure are often unavailable
- C.
  
  c. stable quality
- D.
  
  d. the workforce size
- E.
  
  e. the type of equipment used
Correct Answer
B. b. the fact that precise units of measure are often unavailable

Explanation
Productivity measurement is complicated by the fact that precise units of measure are often unavailable. This means that it can be difficult to accurately quantify and compare the output or efficiency of different processes or systems. Without precise units of measure, it becomes challenging to determine the true level of productivity and make meaningful comparisons between different factors affecting productivity, such as the competition's output, stable quality, workforce size, and the type of equipment used.

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13.

13. Three commonly used productivity variables are
- A.
  
  a. quality, external elements, and precise units of measure
- B.
  
  b. labor, capital, and management
- C.
  
  c. technology, raw materials, and labor
- D.
  
  d. education, diet, and social overhead
- E.
  
  e. quality, efficiency, and low cost
Correct Answer
B. b. labor, capital, and management

Explanation
The correct answer is b. labor, capital, and management. This answer is correct because labor, capital, and management are three commonly used variables that contribute to productivity. Labor refers to the workforce and their skills and abilities. Capital refers to the resources and equipment used in production. Management refers to the organization and coordination of these resources. These three variables are essential in determining the efficiency and effectiveness of production processes and ultimately impact the overall productivity of a business or organization.

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14.

14. Among the ethical and social challenges facing operations managers are
- A.
  
  a. honoring financial commitments
- B.
  
  b. maintaining a clean environment
- C.
  
  c. developing low-cost products
- D.
  
  d. providing an efficient workplace
- E.
  
  e. all of the above
Correct Answer
E. e. all of the above

Explanation
The correct answer is e. all of the above. This means that among the ethical and social challenges facing operations managers, they need to address all of the options listed, including honoring financial commitments, maintaining a clean environment, developing low-cost products, and providing an efficient workplace. These challenges are important for operations managers to consider in order to ensure ethical and socially responsible practices within their organization.

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15.

15. Which of the following would not be an operations function in a fast-food restaurant?
- A.
  
  a. advertising and promotion
- B.
  
  b. designing the layout of the facility
- C.
  
  c. maintaining equipment
- D.
  
  d. making hamburgers and fries
- E.
  
  e. purchasing ingredients
Correct Answer
A. a. advertising and promotion

Explanation
Advertising and promotion is not considered an operations function in a fast-food restaurant because it falls under the category of marketing and sales. Operations functions typically involve tasks directly related to the production and delivery of goods or services, such as designing the layout of the facility, maintaining equipment, making hamburgers and fries, and purchasing ingredients. Advertising and promotion, on the other hand, focuses on promoting the business and attracting customers, which is a separate function from the day-to-day operations.

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16.

16. Walter Shewhart is listed among the important people of operations management because of his contributions to
- A.
  
  A. assembly line production
- B.
  
  b. measuring the productivity in the service sector
- C.
  
  c. just-in-time inventory methods
- D.
  
  d. statistical quality control
- E.
  
  e. all of the above
Correct Answer
D. d. statistical quality control

Explanation
Walter Shewhart is listed among the important people of operations management because of his contributions to statistical quality control. This field focuses on using statistical methods to monitor and control the quality of products and processes. Shewhart developed the concept of control charts, which are graphical tools used to monitor process performance and identify variations. His work laid the foundation for modern quality control techniques and has been widely adopted in industries to ensure consistent and reliable product quality.

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17.

17. Eli Whitney, in the _____, provided the foundations for ______ in operations management.
- A.
  
  a. 1920s; statistical sampling
- B.
  
  b. United Kingdom; mass production
- C.
  
  c. U.S. Army; logistics
- D.
  
  d. nineteenth century; interchangeable parts
- E.
  
  e. none of the above
Correct Answer
D. d. nineteenth century; interchangeable parts

Explanation
In the nineteenth century, Eli Whitney laid the foundations for interchangeable parts in operations management. Interchangeable parts allowed for the mass production of goods, as each part could be easily replaced or interchanged with another identical part. This innovation revolutionized manufacturing processes, increasing efficiency and reducing costs. It also paved the way for the development of assembly lines and standardized production methods.

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18.

18. The "Father of Scientific Management" is
- A.
  
  a. Henry Ford
- B.
  
  b. Frederick W. Taylor
- C.
  
  c. W. Edwards Deming
- D.
  
  d. Frank Gilbreth
- E.
  
  e. just a figure of speech, not a reference to a person
Correct Answer
B. b. Frederick W. Taylor

Explanation
Frederick W. Taylor is referred to as the "Father of Scientific Management" because he is known for his contributions to the development of scientific management principles. Taylor believed in using scientific methods to improve efficiency and productivity in the workplace. He emphasized the importance of analyzing work processes, standardizing tasks, and training workers to perform their jobs in the most efficient way. Taylor's ideas had a significant impact on the field of management and laid the foundation for modern management practices.

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19.

19. Henry Ford is noted for his contributions to
- A.
  
  a. standardization of parts
- B.
  
  b. statistical quality control
- C.
  
  c. assembly line operations
- D.
  
  d. scientific management
- E.
  
  e. time and motion studies
Correct Answer
C. c. assembly line operations

Explanation
Henry Ford is noted for his contributions to assembly line operations. Assembly line operations involve dividing the production process into smaller tasks and assigning each worker a specific task to complete. This method greatly increased efficiency and productivity in manufacturing, as it allowed for faster production and reduced costs. Ford's implementation of assembly line operations in his automobile factories revolutionized the manufacturing industry and set a new standard for mass production.

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20.

20. Who among the following is associated with contributions to quality control in operations management?
- A.
  
  a. Charles Babbage
- B.
  
  b. Henry Ford
- C.
  
  c. Frank Gilbreth
- D.
  
  d. W. Edwards Deming
- E.
  
  e. Henri Fayol
Correct Answer
D. d. W. Edwards Deming

Explanation
W. Edwards Deming is associated with contributions to quality control in operations management. Deming was an American engineer, statistician, and management consultant who is best known for his work in Japan after World War II, where he helped develop the concept of total quality management (TQM). He emphasized the importance of statistical analysis and continuous improvement in achieving high-quality products and services. Deming's ideas had a significant impact on the field of operations management and continue to be influential today.

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21.

1. Example of strategic choices under the capacity area of policies in operations include:
- A.
  
  A) Make or Buy
- B.
  
  B) Investment is permanent or temporary
- C.
  
  C) Handmade or machine-made
- D.
  
  D) High levels or low-levels of inventory
- E.
  
  E) Flexible or hard automation
Correct Answer
A. A) Make or Buy

Explanation
Strategic choices under the capacity area of policies in operations include deciding whether to make a product or service in-house or to buy it from external suppliers. This decision involves considering factors such as cost, quality control, flexibility, and core competencies. Making the product in-house allows for greater control over quality and customization, but it may require significant investment in resources. On the other hand, buying the product from external suppliers can be more cost-effective and flexible, but it may involve relying on the capabilities and reliability of the suppliers.

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22.

2. The operation objectives of quality, cost, delivery, and flexibility are:
- A.
  
  A) Mutually exclusive
- B.
  
  B) Independent of each other
- C.
  
  C) Connected
- D.
  
  D) Unique
- E.
  
  E) Non-value-added
Correct Answer
C. C) Connected

Explanation
The operation objectives of quality, cost, delivery, and flexibility are connected. This means that they are interrelated and have an impact on each other. For example, improving quality may increase costs, but it can also lead to better customer satisfaction and increased flexibility in meeting customer demands. Similarly, focusing on cost reduction may affect quality and delivery. Therefore, these objectives cannot be considered in isolation and need to be managed together to achieve overall operational effectiveness.

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23.

3. In the product imitator strategy, the order winner is _____ for the customer, while in product innovator strategy, the order winner is ______.
- A.
  
  A) Flexibility, price
- B.
  
  B) Flexibility, quality
- C.
  
  C) Quality, price
- D.
  
  D) Price, quality
- E.
  
  E) Price, flexibility
Correct Answer
D. D) Price, quality

Explanation
In the product imitator strategy, the order winner is price for the customer. This means that customers are primarily motivated to purchase a product based on its low price compared to competitors. On the other hand, in the product innovator strategy, the order winner is quality. This means that customers are primarily motivated to purchase a product based on its high quality and superior features compared to competitors, regardless of the price.

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24.

4. According to the model provided in the lecture, operations strategy consists of which of the following four elements:
- A.
  
  A) Internal/External Analysis, Mission, Distinctive Competence, Objectives
- B.
  
  B) Mission, Distinctive Competence, Objectives, Policies
- C.
  
  C) Mission, Objectives, Policies, Tactics
- D.
  
  D) Internal/External Analysis, Mission, Objectives, Tactics
Correct Answer
B. B) Mission, Distinctive Competence, Objectives, Policies

Explanation
The correct answer is B) Mission, Distinctive Competence, Objectives, Policies. This is because the lecture model states that operations strategy consists of these four elements. The mission defines the purpose and direction of the operations, while distinctive competence refers to the unique capabilities or advantages that the operations possess. Objectives are the specific goals that the operations aim to achieve, and policies are the guidelines or rules that guide decision-making and actions within the operations.

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25.

5. A decision has been made that suppliers will be chosen on the basis of quality rather than cost. This is an example of which of the following:
- A.
  
  A) Objective
- B.
  
  B) Mission
- C.
  
  C) Distinctive Competence
- D.
  
  D) Policy
Correct Answer
A. A) Objective

Explanation
The decision to choose suppliers based on quality rather than cost indicates a specific goal or aim that the organization wants to achieve. This goal is focused on improving the quality of products or services provided by the suppliers. Therefore, it can be categorized as an objective, which represents a desired outcome or result that the organization aims to accomplish.

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26.

6. Next year's goal is to fill 99% of all orders from stock. This is an example of which of the following:
- A.
  
  A) Objective
- B.
  
  B) Mission
- C.
  
  C) Distinctive Competence
- D.
  
  D) Policy
Correct Answer
D. D) Policy

Explanation
This statement is an example of a policy because it outlines a specific goal or target for the next year, which is to fill 99% of all orders from stock. A policy is a set of guidelines or principles that an organization follows to achieve its objectives. In this case, the goal of filling 99% of orders from stock is a specific policy that the organization aims to implement in the coming year.

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27.

7. Which operations objective does the authors of the textbook suggest as the basis for improvement in the other operations objectives?
- A.
  
  A) Cost
- B.
  
  B) Quality
- C.
  
  C) Delivery
- D.
  
  D) Flexibility
Correct Answer
B. B) Quality

Explanation
The authors of the textbook suggest that improving quality should be the basis for improvement in the other operations objectives. This means that by focusing on improving the quality of products or services, it can lead to improvements in cost, delivery, and flexibility as well. When the quality is improved, it can result in cost savings due to reduced defects and rework, improved customer satisfaction and on-time delivery, and increased flexibility to meet customer demands. Therefore, quality improvement serves as a foundation for overall operational improvement.

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28.

8. Which of the following is NOT a characteristic of distinctive competence?
- A.
  
  A) Valuable resource
- B.
  
  B) Rare resource
- C.
  
  C) Inimitable resource
- D.
  
  D) Attainable
- E.
  
  E) None of the Above
Correct Answer
D. D) Attainable

Explanation
The characteristic of distinctive competence that is NOT mentioned in the given options is "Attainable". Distinctive competence refers to a unique set of capabilities and resources that a company possesses, which gives it a competitive advantage over its rivals. While valuable, rare, and inimitable resources are all key characteristics of distinctive competence, the option "Attainable" does not fit because distinctive competence is typically difficult for competitors to replicate or imitate.

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29.

9. Boeing's new 787 Dreamliner
- A.
  
  a. is assembled in Washington, D.C.
- B.
  
  b. uses engines from Japan
- C.
  
  c. has its fuselage sections built in Australia
- D.
  
  d. has increased efficiency from new engine technology
- E.
  
  e. results from a partnership of about a dozen companies
Correct Answer
D. d. has increased efficiency from new engine technology

Explanation
The correct answer is d. has increased efficiency from new engine technology. This answer is supported by the information given in the question. The question states that Boeing's new 787 Dreamliner has increased efficiency, and it can be inferred that this increased efficiency is due to the use of new engine technology.

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30.

10. Examples of response to the global environment include
- A.
  
  a. Boeing's worldwide sales and production
- B.
  
  b. Benneton's flexibility in design, production, and distribution
- C.
  
  c. A Chinese manufacturer, Haier, opening plants in the United States
- D.
  
  d. Ford's partnerships with Volvo and Mazda
- E.
  
  e. All of the above are examples.
Correct Answer
E. e. All of the above are examples.

Explanation
All of the options mentioned in the question are examples of responses to the global environment. Boeing's worldwide sales and production demonstrate their ability to adapt and cater to global markets. Benneton's flexibility in design, production, and distribution allows them to meet the diverse demands of different countries. A Chinese manufacturer, Haier, opening plants in the United States shows their expansion into new markets. Ford's partnerships with Volvo and Mazda indicate their collaboration with international companies to enhance their global presence. Therefore, all of these examples represent responses to the global environment.

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31.

11. Which of the following did the authors not suggest as a reason for globalizing operations?
- A.
  
  a. reduce costs
- B.
  
  b. improve the supply chain
- C.
  
  c. stockholder approval ratings
- D.
  
  d. attract new markets
- E.
  
  e. All of the above were suggested.
Correct Answer
C. c. stockholder approval ratings

Explanation
The authors did not suggest "stockholder approval ratings" as a reason for globalizing operations. The other options, such as reducing costs, improving the supply chain, and attracting new markets, were all mentioned as potential reasons for globalizing operations.

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32.

12. According to the authors, which of the following strategic concepts allow firms to achieve their missions?
- A.
  
  a. productivity, efficiency, and quality leadership
- B.
  
  b. differentiation, cost leadership, and quick response
- C.
  
  c. differentiation, quality leadership, and quick response
- D.
  
  d. distinctive competency, cost leadership, and experience
- E.
  
  e. differentiation, distinctive competency, quality leadership, and capacity
Correct Answer
B. b. differentiation, cost leadership, and quick response

Explanation
The authors state that firms can achieve their missions by implementing the strategic concepts of differentiation, cost leadership, and quick response.

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33.

13. Which of the following is an example of competing on quick response?
- A.
  
  a. A firm produces its product with less raw material waste than its competitors.
- B.
  
  b. A firm offers more reliable products than its competitors.
- C.
  
  c. A firm's products are introduced into the market faster than its competitors’ � products.
- D.
  
  d. A firm's research and development department generates many ideas for new products.
- E.
  
  e. A firm advertises more than its competitors.
Correct Answer
C. c. A firm's products are introduced into the market faster than its competitors’ � products.

Explanation
Competing on quick response refers to the ability of a firm to introduce its products into the market faster than its competitors. This can give the firm a competitive advantage as it allows them to capture market share before their competitors. Options a, b, d, and e do not directly relate to competing on quick response as they focus on other aspects such as waste reduction, product reliability, idea generation, and advertising. Therefore, the correct answer is c. A firm's products are introduced into the market faster than its competitors’ products.

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34.

14. Standardization is an appropriate strategy in which stage of the product life cycle?
- A.
  
  a. introduction
- B.
  
  b. growth
- C.
  
  c. maturity
- D.
  
  d. decline
- E.
  
  e. retirement
Correct Answer
C. c. maturity

Explanation
Standardization is an appropriate strategy in the maturity stage of the product life cycle. During this stage, the product has reached its peak in terms of market acceptance and sales. Standardization involves streamlining and simplifying the product to reduce costs and increase efficiency. By standardizing the product, companies can achieve economies of scale, improve production processes, and meet the needs of a larger customer base. This strategy helps maximize profits and maintain market share in the mature stage when competition is high and product differentiation becomes less important.

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35.

15. Cost minimization is an appropriate strategy in which stage of the product life cycle?
- A.
  
  a. introduction
- B.
  
  b. growth
- C.
  
  c. maturity
- D.
  
  d. decline
- E.
  
  e. retirement
Correct Answer
D. d. decline

Explanation
Cost minimization is an appropriate strategy in the decline stage of the product life cycle because at this stage, the demand for the product decreases and competition intensifies. As a result, companies need to focus on reducing costs to maintain profitability. By cutting expenses, such as reducing production and marketing costs, companies can maximize their profits and mitigate the impact of declining sales. This strategy helps to optimize resources and ensure the product remains profitable until its eventual retirement from the market.

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36.

16. The stage in the product life cycle at which it is a poor time to change quality is
- A.
  
  a. introduction
- B.
  
  b. growth
- C.
  
  c. maturity
- D.
  
  d. decline
- E.
  
  e. incubation
Correct Answer
C. c. maturity

Explanation
In the maturity stage of the product life cycle, the product has already gained a significant market share and has a stable customer base. At this stage, changing the quality of the product may disrupt the existing customer base and lead to dissatisfaction among loyal customers. It is important to maintain consistent quality during the maturity stage to retain customers and sustain the product's success in the market.

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37.

17. Costs, quality, and human resource decisions interact strongly with the _______ decision.
- A.
  
  a. layout design
- B.
  
  b. process and capacity design
- C.
  
  c. supply chain management
- D.
  
  d. goods and service design
- E.
  
  e. All of the above are correct.
Correct Answer
D. d. goods and service design

Explanation
Costs, quality, and human resource decisions are all factors that need to be considered when designing goods and services. The layout design, process and capacity design, and supply chain management are all important aspects of goods and service design. Therefore, all of the above options are correct.

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38.

18. Which of the following best describes "experience differentiation"?
- A.
  
  a. immerses consumers in the delivery of a service
- B.
  
  b. uses people's five senses to enhance the service
- C.
  
  c. complements physical elements with visual and sound elements
- D.
  
  d. consumers may become active participants in the product or service
- E.
  
  e. All are elements of experience differentiation.
Correct Answer
E. e. All are elements of experience differentiation.

Explanation
Experience differentiation refers to the strategy of creating a unique and memorable customer experience that sets a product or service apart from competitors. This can be achieved by immersing consumers in the delivery of a service, using people's five senses to enhance the service, complementing physical elements with visual and sound elements, and allowing consumers to become active participants in the product or service. All of these elements contribute to creating a differentiated experience that attracts and retains customers.

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39.

1. Modular design involves:
- A.
  
  A) Dividing the production process into separate work units
- B.
  
  B) Dividing the products into product lines
- C.
  
  C) Dividing the products into their similar components
- D.
  
  D) Dividing the products into different cost categories
Correct Answer
C. C) Dividing the products into their similar components

Explanation
Modular design involves dividing the products into their similar components. This means that the products are broken down into smaller, more manageable parts or modules that can be easily assembled or replaced. This approach allows for greater flexibility and efficiency in the production process, as different modules can be produced separately and then combined to create a variety of different products. It also makes it easier to identify and fix any issues or defects in the components, as they can be isolated and addressed individually. Overall, modular design helps streamline the production process and improve the overall quality and functionality of the products.

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40.

2. Quality Function Deployment
- A.
  
  A) Is easily explained by means of a house of quality
- B.
  
  B) Does not consider customer attributes important
- C.
  
  C) Depends only on engineering characteristics
- D.
  
  D) Assumes interactions are unimportant
Correct Answer
A. A) Is easily explained by means of a house of quality

Explanation
Quality Function Deployment (QFD) is a method used to translate customer requirements into specific technical design requirements for a product or service. One of the tools used in QFD is the House of Quality, which is a matrix that helps visualize the relationship between customer requirements and the technical features of a product. Therefore, option A is correct as it states that QFD can be easily explained using a house of quality.

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41.

3. Quality Function Deployment includes which of the following: (1) relative importance of customer attributes, (2) tolerance stack-up, (3) a comparison to the competitor's product, (4) engineering characteristics, (5) customer perceptions, (6) customer attributes, (7) variation around a target, (8) value analysis.
- A.
  
  A) 3, 5, 6, 7, 8
- B.
  
  B) 1, 3, 4, 5, 6
- C.
  
  C) 1, 2, 4, 6, 7
- D.
  
  D) 2, 5, 6, 7, 8
Correct Answer
B. B) 1, 3, 4, 5, 6

Explanation
Quality Function Deployment (QFD) is a method used in product development to ensure that customer requirements are met. It involves translating customer needs and expectations into specific engineering characteristics.

The correct answer, B) 1, 3, 4, 5, 6, includes the following components of QFD:
1) Relative importance of customer attributes: This helps prioritize customer requirements based on their importance.
3) A comparison to the competitor's product: This allows for benchmarking and understanding the market competition.
4) Engineering characteristics: These are the specific technical requirements that need to be met in the product design.
5) Customer perceptions: This refers to the subjective opinions and impressions of customers regarding the product.
6) Customer attributes: These are the specific characteristics or features that customers desire in a product.

These components are all essential in the QFD process to ensure that the final product meets customer expectations and requirements.

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42.

4. Quality Function Deployment
- A.
  
  A) Is a tool for linking customer requirements to technical specifications
- B.
  
  B) Facilitates inter-functional cooperation between marketing, engineering, and manufacturing
- C.
  
  C) Relates engineering characteristics to each other
- D.
  
  D) A and B only
- E.
  
  E) A, B, and C
Correct Answer
D. D) A and B only

Explanation
Quality Function Deployment (QFD) is a tool used to link customer requirements to technical specifications, ensuring that the final product or service meets the needs and expectations of the customer. It also facilitates inter-functional cooperation between marketing, engineering, and manufacturing teams, allowing for effective communication and collaboration throughout the product development process. Therefore, the correct answer is D) A and B only.

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43.

5. Design for manufacturing involves:
- A.
  
  A) Simplification of products
- B.
  
  B) Development of successive generations of products
- C.
  
  C) Manufacture of multiple products using common parts, processes, and modules
- D.
  
  D) Both A and B
- E.
  
  E) Both A and C
Correct Answer
E. E) Both A and C

Explanation
Design for manufacturing involves both the simplification of products and the manufacture of multiple products using common parts, processes, and modules. Simplification of products aims to reduce complexity and make the manufacturing process more efficient. By using common parts, processes, and modules, manufacturers can streamline production, reduce costs, and increase flexibility. Therefore, both options A and C are correct.

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44.

6. Regal Marine
- A.
  
  a. no longer builds boats with any wooden parts
- B.
  
  b. designs and builds boat hulls by hand
- C.
  
  c. treats the product design decision as critical to its success
- D.
  
  d. gets its competitive advantage by being the low-cost producer of boats designed by others
- E.
  
  e. designs several new boats each year, but contracts other firms for their manufacture
Correct Answer
C. c. treats the product design decision as critical to its success

Explanation
Regal Marine treats the product design decision as critical to its success. This means that the company places a high importance on the design of their boats and believes that it plays a key role in their overall success. They likely invest a significant amount of time, effort, and resources into designing their boats to ensure that they meet the needs and preferences of their target market. By treating the product design decision as critical, Regal Marine aims to differentiate themselves from competitors and create a unique selling proposition for their boats.

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45.

7. Which of the following represent an opportunity for generating a new product?
- A.
  
  a. understanding the customer
- B.
  
  b. demographic change, such as decreasing family size
- C.
  
  c. changes in professional standards
- D.
  
  d. economic change, such as rising household incomes
- E.
  
  e. All of the above are such opportunities.
Correct Answer
E. e. All of the above are such opportunities.

Explanation
Understanding the customer allows a company to identify their needs and preferences, which can lead to the development of new products that cater to those specific demands. Demographic change, such as decreasing family size, presents an opportunity for creating products that target smaller households or individuals. Changes in professional standards can create a demand for new products that align with the updated requirements. Economic change, such as rising household incomes, opens up possibilities for developing higher-end or luxury products. Therefore, all of the mentioned factors represent opportunities for generating new products.

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46.

8. Which of the following statements is not true?
- A.
  
  A. Virtually all of Honda’s sales (autos, motorcycles, generators, lawn mowers) are based on its outstanding engine technology.
- B.
  
  B. Intel focuses on microprocessors and chips.
- C.
  
  C. Microsoft focuses on PC software.
- D.
  
  D. Firms such as 3M establish goals for profitability from new products.
- E.
  
  E. Dell Computers provides fast delivery to customers, but, in return, customers may only select from a limited choice of hardware configurations.
Correct Answer
E. E. Dell Computers provides fast delivery to customers, but, in return, customers may only select from a limited choice of hardware configurations.

Explanation
The statement states that Dell Computers provides fast delivery to customers, but, in return, customers may only select from a limited choice of hardware configurations. This statement is not true because Dell Computers actually offers a wide range of hardware configurations for customers to choose from.

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47.

9. Which of the following is true regarding value engineering?
- A.
  
  a. Value engineering occurs only after the product is selected and designed.
- B.
  
  b. Value engineering is the same as value analysis.
- C.
  
  C. Value engineering is oriented toward improvement of design.
- D.
  
  d. Value engineering occurs during production when it is clear the product is a success.
- E.
  
  e. Value engineering can save substantial amounts of product cost, but quality suffers.
Correct Answer
C. C. Value engineering is oriented toward improvement of design.

Explanation
Value engineering is a systematic approach that focuses on improving the value of a product or service through the analysis and modification of its design. It aims to identify unnecessary costs and find alternative solutions that can reduce costs without compromising quality. Therefore, option c is true as it correctly states that value engineering is oriented toward the improvement of design.

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48.

10. Black & Decker’s hand-powered tools and Hewlett-Packard’s printer business are examples of using enhancements and migrations of existing products to build on a what?
- A.
  
  A. product template
- B.
  
  B. product pulpit
- C.
  
  C. product platform
- D.
  
  D. product dais
- E.
  
  D. product dais
Correct Answer
C. C. product platform

Explanation
Black & Decker's hand-powered tools and Hewlett-Packard's printer business are examples of using enhancements and migrations of existing products to build on a product platform. A product platform refers to a set of common components, technologies, and design principles that can be used to develop multiple products. By leveraging existing products and making improvements or adaptations, companies can create a platform that allows for the development of new products with reduced time and cost. Black & Decker and Hewlett-Packard have utilized this strategy to expand their product offerings and cater to different customer needs while capitalizing on their existing expertise and resources.

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49.

11. Products are more "environmentally friendly" when they are made
- A.
  
  a. using cheaper materials
- B.
  
  b. using less energy
- C.
  
  c. according to OSHA standards
- D.
  
  d. where environmental regulations are lax
- E.
  
  e. more difficult to disassemble
Correct Answer
B. b. using less energy

Explanation
Using less energy to make products makes them more "environmentally friendly" because it reduces the overall carbon footprint and energy consumption associated with the manufacturing process. This helps to conserve natural resources and reduce greenhouse gas emissions, leading to a more sustainable and eco-friendly production.

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50.

12. Reducing the complexity of a product and improving a product's maintainability for use are activities of
- A.
  
  a. Product Lifecycle Management (PLM)
- B.
  
  b. product-by-value-analysis
- C.
  
  c. manufacturability and value engineering
- D.
  
  d. organizing for product development
- E.
  
  e. design for destruction (DFD)
Correct Answer
C. c. manufacturability and value engineering

Explanation
The activities of reducing the complexity of a product and improving its maintainability for use align with the principles of manufacturability and value engineering. These activities involve finding ways to simplify the design and production process of a product, making it easier to manufacture and maintain. By doing so, companies can reduce costs, improve quality, and enhance customer satisfaction. Product Lifecycle Management (PLM) is a broader concept that encompasses various activities throughout the entire lifecycle of a product, while product-by-value analysis focuses on analyzing the value of a product to determine its cost-effectiveness. Organizing for product development refers to the structure and processes within a company for managing product development projects. Design for destruction (DFD) is not relevant to the given activities.

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Current Version
Mar 22, 2023

Quiz Edited by
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Feb 16, 2012

Quiz Created by
Operationsmanage

Operations Management Test 1 Suckaaaaaaass

1. The four decision areas in operations management are:

2. Capacity decisions:

3. Inventory decisions and control systems involve:

4. The four major decision responsibilities of operations management are:

5. Which of the following does not come under the process category of decision making?

6. The service industry makes up approximately what percentage of all jobs in the United States?

7. Typical differences between goods and services do not include

8. Gibson Valves produces cast bronze valves on an assembly line, currently producing 1600 valves each 8-hour shift. If the productivity is increased by 10%, it would then be

9. Gibson Valves produces cast bronze valves on an assembly line, currently producing 1600 valves per shift. If the production is increased to 2000 valves per shift, labor productivity will increase by

10. The Dulac Box plant works two 8-hour shifts each day. In the past, 500 cypress packing boxes were produced by the end of each day. The use of new technology has enabled them to increase productivity by 30%. Productivity is now approximately

11. The Dulac Box plant produces 500 cypress packing boxes in two 10-hour shifts. Due to higher demand, they have decided to operate three 8-hour shifts instead. They are now able to produce 600 boxes per day. What has happened to production?

12. Productivity measurement is complicated by

13. Three commonly used productivity variables are

14. Among the ethical and social challenges facing operations managers are

15. Which of the following would not be an operations function in a fast-food restaurant?

16. Walter Shewhart is listed among the important people of operations management because of his contributions to

17. Eli Whitney, in the _____, provided the foundations for ______ in operations management.

18. The "Father of Scientific Management" is

19. Henry Ford is noted for his contributions to

20. Who among the following is associated with contributions to quality control in operations management?

1. Example of strategic choices under the capacity area of policies in operations include:

2. The operation objectives of quality, cost, delivery, and flexibility are:

3. In the product imitator strategy, the order winner is _____ for the customer, while in product innovator strategy, the order winner is ______.

4. According to the model provided in the lecture, operations strategy consists of which of the following four elements:

5. A decision has been made that suppliers will be chosen on the basis of quality rather than cost. This is an example of which of the following:

6. Next year's goal is to fill 99% of all orders from stock. This is an example of which of the following:

7. Which operations objective does the authors of the textbook suggest as the basis for improvement in the other operations objectives?

8. Which of the following is NOT a characteristic of distinctive competence?

9. Boeing's new 787 Dreamliner

10. Examples of response to the global environment include

11. Which of the following did the authors not suggest as a reason for globalizing operations?

12. According to the authors, which of the following strategic concepts allow firms to achieve their missions?

13. Which of the following is an example of competing on quick response?

14. Standardization is an appropriate strategy in which stage of the product life cycle?

15. Cost minimization is an appropriate strategy in which stage of the product life cycle?

16. The stage in the product life cycle at which it is a poor time to change quality is

17. Costs, quality, and human resource decisions interact strongly with the _______ decision.

18. Which of the following best describes "experience differentiation"?

1. Modular design involves:

2. Quality Function Deployment

4. Quality Function Deployment

5. Design for manufacturing involves:

6. Regal Marine

7. Which of the following represent an opportunity for generating a new product?

8. Which of the following statements is not true?

9. Which of the following is true regarding value engineering?

10. Black & Decker’s hand-powered tools and Hewlett-Packard’s printer business are examples of using enhancements and migrations of existing products to build on a what?

11. Products are more "environmentally friendly" when they are made

12. Reducing the complexity of a product and improving a product's maintainability for use are activities of

17. Eli Whitney, in the _, provided the foundations for __ in operations management.

3. In the product imitator strategy, the order winner is _ for the customer, while in product innovator strategy, the order winner is __.