Chapter 11 Business Concepts

_____ is the practice of comparing a company's own performance with that of a company which excels in the same activity. Select one: a. Copycatting b. Sourcing c. Benchmarking d. Quality comparison

Benchmarking

_____ refers to the maximum number of goods that a facility can produce over a given period of time under normal working conditions. Select one: a. Operations breadth b. Product ceiling c. Capacity d. Production control

Capacity

____ systems are revolutionizing the production process by automating and integrating all aspects of a company's operations. Select one: a. Computer-aided-manufacturing b. Computer-integrated-design c. Computer-aided-design (CIM) d. Computer-integrated-manufacturing

Computer-integrated-manufacturing

Material costs often make up ____ of total manufacturing costs. Select one: a. 25% b. 75% c. 50% d. 10%

50%

Once you've forecasted the demand for a product, you can calculate the _____ requirements of your production facility. Select one: a. budget b. capital c. personnel d. capacity

capacity

A _____ software system determines the steps needed to produce components and instructs the machines that do the work. Select one: a. computer-aided-manufacturing (CIM) b. collaborative c. central-design d. component-adaptor-production

computer-aided-manufacturing (CIM)

Businesses, such as print or sign shops, that produce low-volume, high-variety goods according to customer specifications use a process called _____. Select one: a. make-to-order b. mass production c. mass customization d. customer customization

make-to-order

Managers focus on all of the following as quality assurance principles except Select one: a. continuous improvement b. optimal enhancement c. employee involvement d. customer satisfaction

optimal enhancement

_____ is a set of international quality standards established by the International Organization for Standardization (ISO). Select one: a. ISO 14000 b. ISO 9000 c. ISO 100 d. ISO 500

ISO 9000

Intangibility refers to which of the following Select one: a. The physical features of a service layout b. That fact that services can't be held or touched c. The characteristics that add value to a service d. The attributes of a service that can be held or touched

That fact that services can't be held or touched

An integral part of TQM (total quality management) is _____, which can be characterized as the commitment to making constant improvements in design, production, and delivery Select one: a. marketing-mix improvement b. continuous improvement c. quality assurance d. incremental capacity

continuous improvement

A computer-aided design (CAD) system allowed PowerSki's CEO, Bob Montgomery, to do all of the following except: Select one: a. work out design problems before moving to the production stage. b. control production processes and equipment. c. test the product digitally and make more than 400 design changes on the computer. d. design the engine and the board itself.

control production processes and equipment.

Which of the following do service providers have to consider when estimating demand and capacity? Select one: a. How many customers they will have b. How long it will take to serve each customer c. When customers will want their services d. All of these

d. All of these

As operations manager for Consolidated American Tanks, Jim Sherman's major task is _____. Select one: a. working with other managers b. making goal-oriented decisions c. improving operational efficiency d. all of these

d. all of these

In producing large items, manufacturers often use a _____ layout, in which workers go to products that stay in one place Select one: a. stationary b. fixed-position c. immobile d. cellular

fixed-position

Both product and process layouts arrange work by _____. Select one: a. strategy b. capacity c. function d. orders

function

In a _____ layout, high-volume goods are produced efficiently by people, equipment, or departments arranged in a series of workstations at which previously made parts are assembled. Select one: a. manufacturing b. assembly-line c. product-line d. product

product

In many companies, employees who perform similar jobs work in _____ to identify efficiency and to propose solutions. Select one: a. excellence circles b. quality circles c. value groups d. troubleshooting teams

quality circles

Companies decide to outsource for the following reasons with the exception of: Select one: a. reduce product design costs. b. focus on the creation of new products. c. take advantage of the production expertise of suppliers. d. reduce labor costs.

reduce product design costs.

All decisions made in the planning stage, which have long-range implications and are crucial to a firm's success, involve _____. Select one: a. trade-offs b. layoffs c. computerized input d. soul searching

trade-offs