EXAM 1
Which of the following statements is NOT true? -When excess capacity exists, cost can decrease.When -excess capacity exists, cost can increaseWhen -capacity is inadequate, market share can shrink.When -capacity is inadequate, customers can be lost
When excess capacity exists, cost can decrease.
The person who believed that management must do more to improve the work environment and processes so that quality can be improved was
W. Edwards Deming.
Which of the following is NOT one of the four reasons that we study OM?
We want to understand what marketing managers do
A set of skills, talents, and capabilities in which a firm is particularly strong is referred to as
core competencies
An international business is a firm that
engages in international trade or investment.
Which of the following is a quantitative forecasting method?
exponential smoothing
Which of these is NOT an advantage of outsourcing?
potential creation of future competition
Which of the following OM decisions determines how a good or service is produced and commits management to specific technology, quality, human resources, and capital investment?
process and capacity design
Competing on cost is
achieving maximum value as perceived by the customer
The production process at Hard Rock Cafe does NOT include which of the following activities?
advertising
Many services maintain records of sales noting:
all of these answers. (The day of the week, unusual events, the weather, and holiday impacts)
A strategy is
an action plan to achieve a mission
Which of the following activities at a commercial bank is NOT an operations activity?
auditing
Which of the following is NOT a characteristic of services?
standardized product
A business's stakeholders, whose conflicting perspectives cause ethical and social dilemmas, include:
All answers: Suppliers, owners, employees, and lenders
SWOT analysis refers to
strengths, opportunities, weaknesses, and threats.
According to the textbook (but disputed by the instructor), competition in the 21st century is no longer between companies; it is between
supply chains
A forecasting technique consistently produces a negative tracking signal. This means that
the forecasting technique consistently over-predicts.
"Today's forecast equals yesterday's actual demand" is referred as
the naive approach.
In general, the supply chain starts with
the provider of basic raw materials.
Competing on differentiation is
concerned with uniqueness.
Which of the following is a qualitative forecasting method?
Delphi method
Which one of the following statements is NOT true about the forecasting in the service sector?
Detailed forecasts of demand are not needed.
What is the difference between a multinational corporation (MNC) and an international business?
For the multinational firm, the business done outside the country is especially significant.
Which of the following statements is NOT true regarding forecasting?
Forecasting is exclusively an objective prediction.
The father of scientific management is
Frederick W. Taylor
Which one of the following statements is incorrect regarding globalization and globalization strategies?
Globalization strategies could simplify the operations manager's job
Which forecast error measure is probably the easiest to interpret?
MAPE
Current challenges in operations management include all of the following EXCEPT:
None of the other answers are exceptions, i.e., all are current challenges.
Which of the following is a reality each company faces regarding its forecasting system?
Outside factors that we cannot predict or control often impact the forecast.
Which of these statements accurately captures a current trend in operations?
Rapid product development.
Forecasts may be influenced by a product's position in its life cycle. True or false?
True
Linear-regression analysis is a straight-line mathematical model to describe the functional relationships between independent and dependent variables. True or False?
True
Most forecasting techniques assume that there is some underlying stability in the system.
True
The World Trade Organization has helped to significantly reduce tariffs around the world.
True
Which of the following does not represent competing on response?
based on providing uniqueness
The service sector constitutes what percentage of employment in the United States?
between 80% to 95%
CPFR is
collaborative, planning, forecasting, and replenishment.
As compared to long-range forecasts, short-range forecasts:
deal with less comprehensive issues supporting management decisions.
Which of these is NOT a disadvantage of outsourcing?
decreased logistics and inventory costs
Which of the following tasks would NOT typically represent an operations management activity at Hard Rock Cafe?
filing a tax return
Which of the following is NOT among the ethical and social challenges facing operations managers?
increasing executive pay
Which of the following is NOT one of the three strategic approaches to competitive advantage?
innovation
Productivity increases when
inputs decrease while outputs remain the same.
A tracking signal
is a measurement of how well a forecast is predicting actual values.
Which of the following is NOT an OM strategy/issue during the introduction stage of the product life cycle?
long production runs
Which appears to provide the best opportunity for increases in productivity?
management
A large percentage of the revenue of most firms is spent on which function?
operations
Which of the following is NOT considered to be one of the three primary functions that all organizations perform?
research and development
What two numbers are contained in the daily report to the CEO of Walt Disney Parks & Resorts regarding the six Orlando parks?
yesterday's forecasted attendance and yesterday's actual attendance