SCMA331 (CH9)

In the office relationship chart, which rating reflects the highest importance for two departments' closeness to each other? A) A B) E C) I D) O E) X

A) A

Which of the statements below best describes office layout? A) positions workers, their equipment, and spaces/offices to provide for movement of information B) addresses the layout requirements of large, bulky projects such as ships and buildings C) seeks the best personnel and machine utilization in repetitive or continuous production D) allocates shelf space and responds to customer behavior E) deals with low-volume, high-variety production

A) positions workers, their equipment, and spaces/offices to provide for movement of information

Which of the following is NOT one of McDonald's "seven major innovations"? A) the Happy Meal B) drive-through windows C) breakfast menus D) play areas E) self-service kiosks

A) the Happy Meal

The objective of layout strategy is to: A) minimize cost. B) develop an effective and efficient layout that will meet the firm's competitive requirements. C) maximize flexibility. D) minimize space used. E) maximize worker satisfaction.

B) develop an effective and efficient layout that will meet the firm's competitive requirements.

Deloitte & Touche solved the empty desk problem by: A) assigning permanent desks. B) implementing a "hoteling" program. C) creating open offices. D) no longer allowing employees to work from home. E) reducing the number of allowable sick days per employee.

B) implementing a "hoteling" program.

Which of the following does NOT support the retail layout objective of maximizing customer exposure to products? A) Locate high-draw items around the periphery of the store. B) Use prominent locations for high-impulse and high-margin items. C) Maximize exposure to expensive items. D) Use end-aisle locations. E) Convey the store's mission with the careful positioning of the lead-off department.

C) Maximize exposure to expensive items.

What is the primary reason why retailers tend to locate high-draw items around the periphery of the store? A) More shelf space for those popular items is available around the periphery. B) There will be less congestion of customers than there would be in the middle. C) This arrangement will help to maximize customer exposure to other items in the store. D) It is easier to put large advertisement signs on the outside walls right next to the items. E) This arrangement allows customers to travel through the store as quickly as possible.

C) This arrangement will help to maximize customer exposure to other items in the store.

A hospital's layout most closely resembles which of the following? A) product oriented B) work cell C) job shop D) project E) retail

C) job shop

Workspace can inspire informal and productive encounters if it balances what three physical and social aspects? A) proximity, privacy, and persuasion B) privacy, persuasion, and permission C) proximity, privacy, and permission D) proximity, persuasion, and permission E) proximity, persuasion, and passion

C) proximity, privacy, and permission

Which of the following constitutes a major trend influencing office layouts? A) downsizing B) globalization C) environmental issues D) off-site employees E) health issues

D) off-site employees

"A special arrangement of machinery and equipment to focus on production of a single product or group of related products" describes what layout type? A) fixed-position layout B) intermittent production C) job shop D) work cell E) warehouse layout

D) work cell

Which of the following is NOT a retail layout practice? A) Locate the high-draw items around the periphery of the store. B) Distribute power items throughout the store. C) Use end-aisle locations to maximize product exposure. D) Use prominent locations for high-impulse and high-margin items. E) All of the above are retail layout practices.

E) All of the above are retail layout practices.

A good layout requires determining: A) material handling equipment. B) capacity and space requirements. C) environment and aesthetics. D) cost of moving between various work areas. E) all of the above

E) all of the above

Slotting fees: A) are charged by retailers to stock a product. B) can amount to as much as $25,000. C) are not a part of Walmart's business practices. D) can reduce the ability of small businesses to introduce new products. E) all of the above

E) all of the above

Retail layouts are based on the notion that: A) handling costs should be minimized. B) storage costs should be minimized. C) average customer visit duration should be maximized. D) space used should be minimized. E) maximizing customer exposure rate maximizes sales and profit.

E) maximizing customer exposure rate maximizes sales and profit.

The main goal of retail layout is: A) minimizing material handling cost. B) minimizing customer confusion regarding location of items. C) minimizing storage costs. D) minimizing space required. E) maximizing profitability per square foot of floor space.

E) maximizing profitability per square foot of floor space.

What layout strategy deals with low-volume, high-variety production? A) fixed-position layout B) retail layout C) warehouse layout D) office layout E) process-oriented layout

E) process-oriented layout

The ________ layout's main objective is to equalize the task time for each station. A) work cell B) fixed position C) office D) job shop E) product oriented

E) product oriented

(T/F)The layout approach that addresses trade-offs between space and material handling is called the fixed-position layout.

FALSE

(T/F)Utilization of the total "cube" is the dominant consideration in office layout.

FALSE

In what specific areas does the layout decision establish a firm's competitive priorities?

Layout decisions establish a firm's competitive priorities in regard to: capacity, processes, flexibility, and cost, as well as quality of work life, customer contact, and image.

Identify the seven fundamental layout strategies. Describe the use of each one very briefly.

Office layout: Positions workers, their equipment, and spaces/offices to provide for movement of information. 2. Retail layout: Allocates display space and responds to customer behavior. 3. Warehouse layout: Addresses trade-offs between space and material handling. 4. Fixed-position layout: Addresses the layout requirements of large, bulky projects such as ships and buildings. 5. Process-oriented layout: Deals with low-volume, high-variety production. 6. Work-cell layout: Arranges machinery and equipment to focus on production of a single product or a group of related products. 7. Product-oriented layout: Seeks the best personnel and machine utilization in repetitive or continuous production.

(T/F)Category management is the use of computer software to evaluate the profitability of various merchandising plans for hundreds of categories.

TRUE

(T/F)One guideline for a retail layout is to locate high-draw items around the periphery of the store.

TRUE

(T/F)One guideline for determining the arrangement and space allocation of a retail store is to place high-impulse and high-margin items in prominent locations.

TRUE

(T/F)Servicescape refers to the physical surrounding in which the service is delivered.

TRUE

(T/F)The objective of layout strategy is to develop an effective and efficient layout that will meet the firm's competitive requirements.

TRUE

Identify McDonald's seven major innovations.

The seven major innovations are indoor seating, drive-through windows, breakfast menus, play areas, the "Made by You" kitchen system, the self-service kiosk, and the 21st century look. Diff: 3

To develop a good facility layout, what must be determined?

You need to consider the following to determine a good layout: material handling equipment, capacity and space requirements, environment and aesthetics, flows of information, and cost of moving between various work areas.

A(n) ________ groups workers, their equipment, and spaces/offices to provide for comfort, safety, and movement of information.

office layout

The ________ uses non-numeric "closeness" ratings to determine which departments should be located near one another and which departments should be kept farther apart.

office relationship chart or relationship chart