OPS CHAPTER 1

72. All other things remaining the same, if the sales revenue increases, asset turnover ratio will A. Increase B. Decrease C. Stay the same D. may increase or decrease E. there is no way to tell for sure

A. Increase

67. Which of the following is not a characteristic that distinguishes services from goods? A. Service jobs are unskilled. B. A service is intangible. C. Services are perishable. D. Services are heterogeneous. E. None of these

A. Service jobs are unskilled.

69. One of the "package of features" that make up a service is: A. Appearance B. Facilitating goods C. Packaging D. Cost E. Implied use

B. Facilitating goods

The goods-services continuum consists of which set of the following A. no goods, some goods, even mix some service, no service B. Pure goods, core goods, pure service, core service c. no service, some service, good service, excellent service D. Self-service, help desk service, face-to-face service, service-with-a-smile E. None of these

B. Pure goods, core goods, pure service, core service

One reason for studying operations and supply chain management (OSCM) is which of the following? A. OSCM is essential for understanding organizational behavior b. Most business graduates do OSCM work regardless of their job title C. All managers should understand the basic principles that guide the design of transformation processes D. OSCM is a required course in all business degree programs E. OSCM is the most rigorous business discipline

C. All managers should understand the basic principles that guide the design of transformation processes

Which of the following are defined as core goods? A. Chemicals B. Airlines C. Data storage systems D. Hotels E. None of these

C. Data storage systems

71. Which of the following is a measure of operations and supply management efficiency used by Wall Street? A. Dividend payout ratio B. Current ratio C. Receivable turnover D. Earnings per share growth E. Financial leverage

C. Receivable turnover

73. Inventory turnover is an operations efficiency measure and which of the following is the most appropriate answer. A. measures efficiency in turning inventory into sales B. purpose os to measure liquidity C. A or B but not both D. A and B E. Neither A nor B

D. A and B

66. Which of the following are not listed in the text as jobs in OSCM? A. Department store manager B. Project manager C. Hospital administrator D. Data center manager E. Call center manager

D. Data center manager

70. Which of the following is not a measure of operations and supply chain management efficiency used by Wall Street? A. Inventory turnover B. Revenue per employee C. Receivable turnover D. Earnings per share E. Asset turnover

D. Earnings per share

68. Which of the following is not a way that operations and supply processes are categorized? A. Planning B. Return C. Delivery D. Selecting E. Making

D. Selecting

74. The correct order in the good-services continuum is A. pure services - core Services - core goods - pure goods B. pure goods - pure services - core services - core goods C. pure goods - pure services - core goods - core services D. pure goods - core goods - core services - pure services E. core goods - core services - pure goods - pure services

D. pure goods - core goods - core services - pure services

. Current issues in OSCM do not include: A. Coordinating relationships between organizations B. Making senior management aware that OSCM can be a competitive weapon C. The triple bottom line D. Managing customer touch points E. Increasing global supply chain employment

E. Increasing global supply chain employment

"Business analytics" involves the analysis of data through a unique combination of linear programming, game theory, and queuing theory to better solve business problems

False

"Green belt" programs are coordinated public works projects aimed a placing an environmentally friendly zone around major cities

False

"Supply chain" includes only inbound freight and inventory

False

A bank branch manager position is not an OSCM-type of job

False

A service innovation, unlike a product innovation, cannot be patented

False

A supply chain manager is an OSCM job while a purchasing manager is not

False

Although planning involves determining how the various supply chain processes (sourcing, making, delivering, and returning) will be met, planning itself is not considered a supply chain process

False

Automobiles and appliances are classified as "pure goods"

False

Capturing information directly from the source through such systems as point-of-sale, radio-frequency identificaiton tags, bar-code scanners and automatic recognition has had little impact on operations and supply chain management

False

Delivering is not considered in supply chain analysis whe outside carriers are contracted to move products to customers

False

Efficiency means doing the something at lowest possible cost

False

Internet technology has made the sharing of reliable real-time information expensive

False

Investors pay close attention to efficiency and productivity measures like net income per employee because they are interested in

False

It is critical that a sustainable strategy meet the needs of shareholders and employees first, and then focus on preserving the environment

False

OSCM is concerned with management of the trickiest parts of the system that produces a good or delivers a service

False

Operations and supply chain processes can be conveniently categorized as planning, sourcing, making and delivering

False

Operations and supply chain strategy are not important issues to investors who tend to focus on growth, dividends, and earnings per share.

False

Raising senior management awareness of OSCM as a competitive weapon is not an important issue

False

Returning involves processes for receiving worn-out,defective, and excess products back from customers but does not involve support for customers who have problems with the product

False

SSME is an acronym standing for "service sector management economics."

False

Services are homogenous

False

Supply networks cannot be constructed for every product or service

False

Sustainability is the ability to maintain profits in a system

False

The approach that advocates making revolutionary changes as opposed to evolutionary changes is called "creation theory"

False

The mathematical results of Business Analytics are used to automate decision making and eliminate the decision maker

False

The supply chain processes mentioned in the textbook are planning, sourcing delivering, and returning

False

The supply network as can be thought of as a pipeline throuh which cash, material and information flows

False

The term "electronic commerce" refers to the buying and selling of electronic products and devices

False

Use of systems like point-of-sale, radio-frequency identification tags, bar-code scanners, and automatic recognition has made it more difficult to understand what all the information is saying

False

"Operations" refers to manufacturing and service processes used to transform resources employed by a firm into products desired

True

"Product-service bundling" refers to a company building service activities into its product offerings for its customers

True

"Supply chain" refers to processes that move information and material to and from the manufacturing and service processes of the firm.

True

A doctor completes a surgical procedure on a patient without error. the patient dies anyway. in operations management terms we could refer to this doctor as being efficient but not effective

True

A major aspect of planning involves developing a set of metrics to monitor the supply chain.

True

A process can be effective without being efficient

True

A worker can be efficient without being effective

True

All managers should understand the basic principles that guide the design of transformation processes

True

Attempting to balance the desire to efficiently use resources while providing a highly effective service may create conflict between the two goals

True

Business process reengineering, which seeks revolutionary change, is contrasted with total quality management which commonly advocates incremental change.

True

Central to the concept of operations strategy are the notions of operations focus and trade-offs

True

Core service providers integrate tangible goods into their product

True

During a recession, efficitent firms often have an opportunity to increase market share while maintaining profitability

True

Effectiveness means doing the right things to create the most value for the company

True

Green and black belt programs teach six-sigma quality tools to managers at many corporations

True

In contrast to careers in finance and marketing, careers in OSCM involve hands-on involvement with people and processes

True

Just-in-time (JIT) production was a major breakthrough in manufacturing philosophy pioneered by the Japanese

True

Lean manufacturing refers to just in time production coupled with total quality control

True

OSCM is a functional field of business with clear line management responsibilities

True

Operations and supply chain management is defined as the design, operation, and improvement of the systems that create and deliver the firms primary products and services

True

Operations and supply management changes constantly because of the dynamic nature of competing in global business and the constant evolution of information technology

True

Planning is where a firm must determine how anticipated demand will be met with available resources

True

Service science management and engineering aims to apply the latest concepts in information technology to continue to improve service prodcutivity of technology-based organizations

True

Services are defined and evaluated as a package of features that affect the five senses

True

Services are intangible processes that cannot be weighed or measured

True

The "triple bottom line" relates to the economic, employee and environmental impact of a firms strategy

True

The Baldrige National Quality Award was started under the direction of the National institute of Standards and Technology

True

The approach that advocates making revolutionary changes as opposed to evolutionary changes is called "business process reengineering"

True

The central idea of supply chain management is to apply a total system approach to managing the flow of information, materials, and services from raw material suppliers through factories and warehouses to the end customer

True

The term "electronic commerce" refers to the use of the internet as an essential element of business activity

True

The term "value" refers to the relationship between quality and the price paid by the consumer

True*

Wall Street analysts are not particularly concerned with how efficient companies are from an operations and supply mangement view

false