SCMA test 1
The operations manager performs the management activities of planning, organizing, staffing, leading, and controlling of the OM function.
true
Which of the following is one of the 10 strategic operations management decisions? A) depreciation policy for tax returns B) advertising C) process and capacity design D) pricing E) debt/equity ratio
C
The World Trade Organization helps provide governments and industries around the world with protection from firms that engage in unethical conduct.
true
Because Hard Rock Cafés are themed restaurants, operations managers focus their layout design efforts on attractiveness while paying little attention to efficiency.
False
Manufacturing now constitutes the largest economic sector in postindustrial societies.
False
Shewhart's contributions to operations management came during the Scientific Management Era.
False
Some of the operations-related activities of Hard Rock Café include designing meals and analyzing them for ingredient cost and labor requirements. T/F
True
Production processes are being dispersed to take advantage of national differences in labor costs.
true
Productivity is generally more difficult to improve in the service sector than in the manufacturing sector.
true
The World Trade Organization has helped to significantly reduce tariffs around the world.
true
To attract and retain global talent, and to expand a product's life cycle, are both reasons to globalize.
true
Which of the following statements is TRUE? A) The person most responsible for initiating the use of interchangeable parts in manufacturing was Eli Whitney. B) The origins of management by exception are generally credited to Frederick W. Taylor. C) The person most responsible for initiating the use of interchangeable parts in manufacturing was Walter Shewhart. D) The origins of the scientific management movement are generally credited to Henry Ford. E) The person most responsible for initiating the use of interchangeable parts in manufacturing was Henry Ford.
A
Which of the following tasks within an airline company are related to operations? A) crew scheduling B) international monetary exchange C) sales D) advertising E) accounts payable
A
Which of the following would NOT be an operations function in a commercial bank? A) auditing B) teller scheduling C) maintenance D) collection E) check clearing
A
All of the following decisions fall within the scope of operations management EXCEPT for: A) creating the company income statement. B) design of goods and services. C) location strategy. D) managing quality. E) human resources and job design.
A
Walter Shewhart, in the ________, provided the foundations for ________ in operations management. A) 1920s; statistical sampling B) United Kingdom; mass production C) U.S. Army; logistics D) nineteenth century; interchangeable parts E) 1900s; queuing theory
A
Which is NOT true regarding differences between goods and services? A) Tangible goods are generally produced and consumed simultaneously; services are not. B) Most goods are common to many customers; services are often unique to the final customer. C) Services tend to have a more inconsistent product definition than goods. D) Services tend to have higher customer interaction than goods. E) None, i.e., all of the above are true.
A
Customer interaction is often high for manufacturing processes, but low for services.
False
Ethical and social dilemmas arise because stakeholders of a business have conflicting perspectives
true
NAFTA seeks to phase out all trade and tariff barriers among Canada, Mexico, and the United States.
true
One reason for global operations is to gain improvements in the supply chain.
true
One reason to globalize is to learn to improve operations.
true
Which of the following attributes is most typical of a service? A) production and consumption occur simultaneously B) tangible C) mass production D) consistency E) easy to automate
A
Which of the following is the best example of a pure service? A) counseling B) oil change C) heart transplant D) electric Co-Op E) restaurant
A
One reason to study operations management is to learn how people organize themselves for productive enterprise.
true
The "Father of Scientific Management" is: A) Henry Ford. B) Frederick W. Taylor. C) W. Edwards Deming. D) Frank Gilbreth. E) just a figure of speech, not a reference to a person.
B
Which of the following fosters specialization and worldwide supply chains? A) more expensive transportation B) instant communication C) economies of scope D) managers with a broad knowledge of many things E) high trade tariffs
B
Which of the following is NOT a strategic operations management decision? A) maintenance B) price C) layout design D) quality E) inventory
B
Which of the following is NOT a typical service attribute? A) intangible product B) easy to store C) customer interaction is high D) simultaneous production and consumption E) difficult to resell
B
Which of the following pioneers was NOT making a professional impact during the Scientific Management Era? A) Frank Gilbreth B) W. Edwards Deming C) Henry L. Gantt D) Lillian Gilbreth E) Frederick W. Taylor
B
An operations manager is NOT likely to be involved in: A) the design of goods and services to satisfy customers' wants and needs. B) the quality of goods and services to satisfy customers' wants and needs. C) the identification of customers' wants and needs. D) work scheduling to meet the due dates promised to customers. E) maintenance schedules.
C
Henry Ford is noted for his contributions to: A) material requirements planning. B) statistical quality control. C) assembly line operations. D) scientific management. E) time and motion studies.
C
What is a global network of organizations and activities that supply a firm with goods and services? A) supply tree B) provider network C) supply chain D) vendor network E) vendor tree
C
Who was the person most responsible for popularizing interchangeable parts in manufacturing? A) Frederick Winslow Taylor B) Henry Ford C) Eli Whitney D) Whitney Houston E) Lillian Gilbreth
C
An operations task performed at Hard Rock Café is: A) borrowing funds to build a new restaurant. B) advertising changes in the restaurant menu. C) calculating restaurant profit and loss. D) preparing employee schedules. E) all of the above.
D
Boeing's new 787 Dreamliner: A) is assembled in Washington, D.C. B) uses engines from Japan. C) has its fuselage sections built in Australia. D) has increased efficiency from new engine technology. E) results from a partnership of about a dozen companies.
D
Eli Whitney, in the ________, provided the foundations for ________ in operations management. A) 1920s; statistical sampling B) United Kingdom; mass production C) U.S. Army; logistics D) nineteenth century; interchangeable parts E) 1890s; queuing theory
D
The marketing function's main concern is with: A) producing goods or providing services. B) procuring materials, supplies, and equipment. C) building and maintaining a positive image. D) generating the demand for the organization's products or services. E) securing monetary resources.
D
The service sector makes up approximately what percentage of all jobs in the United States? A) 12% B) 40% C) 66% D) 86% E) 94%
D
Walter Shewhart is listed among the important people of operations management because of his contributions to: A) assembly line production. B) measuring productivity in the service sector. C) just-in-time inventory methods. D) statistical quality control. E) information technology.
D
What are the five elements in the management process? A) plan, direct, update, lead, and supervise B) accounting, finance, marketing, operations, and management C) organize, plan, control, staff, and manage D) plan, organize, staff, lead, and control E) plan, lead, organize, manage, and control
D
Which is NOT true regarding differences between goods and services? A) Services are generally produced and consumed simultaneously; tangible goods are not. B) Services tend to be more knowledge-based than goods. C) Services tend to have a more inconsistent product definition than goods. D) Goods tend to have higher customer interaction than services. E) Reselling is unusual in services; goods often have some residual value.
D
Which of the following are among the 10 strategic operations management decisions? I. design of goods and services II. managing quality III. layout strategy IV. marketing V. pricing of goods and services A) I, II, V B) I, II, IV C) II, III, V D) I, II, III E) All of the above
D
Which of the following are the primary functions of all organizations? A) production/operations, marketing, and human resources B) marketing, human resources, and finance/accounting C) sales, quality control, and production/operations D) marketing, production/operations, and finance/accounting E) research and development, finance/accounting, and purchasing
D
Which of the following is NOT among the ethical and social challenges facing operations managers? A) honoring stakeholder commitments B) training, retaining, and motivating employees C) efficiently developing and producing safe high-quality green products D) increasing executive pay E) providing a safe workplace
D
Which of the following is NOT an element of the management process? A) controlling B) leading C) planning D) pricing E) staffing
D
Which of the following is NOT one of the 10 strategic operations management decisions? A) layout strategy B) maintenance C) process and capacity design D) mass customization E) supply chain management
D
Which of the following is a similarity between goods and services? A) mass production B) consistency C) automation D) Both have quality standards. E) Both can usually be kept in inventory.
D
Which of the following services is LEAST likely to be unique, i.e., customized to a particular individual's needs? A) dental care B) hairdressing C) legal services D) elementary education E) computer consulting
D
Who among the following is associated with contributions to quality control in operations management? A) Charles Babbage B) Henry Ford C) Frank Gilbreth D) W. Edwards Deming E) Henri Fayol
D
A business's stakeholders, whose conflicting perspectives cause ethical and social dilemmas, include: A) lenders. B) suppliers. C) owners. D) employees. E) all of the above.
E
At Hard Rock Café, tasks that reflect operations or operations management include: a) designing efficient layouts b) providing meals c) receiving ingredients d) preparing effective employee schedules e) all of the above
E
Cost cutting in international operations can take place because of: A) lower taxes and tariffs. B) lower wage scales. C) lower indirect costs. D) less stringent regulations. E) all of the above.
E
Reasons to study operations management include learning about: A) how people organize themselves for productive enterprise. B) how goods and services are produced. C) what operations managers do. D) a costly part of the enterprise. E) all of the above.
E
Reasons to study operations management include: A) studying how people organize themselves for productive enterprise. B) knowing how goods and services are consumed. C) understanding what human resource managers do. D) learning about a costly part of the enterprise. E) A and D
E
The 10 strategic operations management decisions include: A) layout strategy. B) maintenance. C) process and capacity design. D) managing quality. E) all of the above.
E
The field of operations management is shaped by advances in which of the following fields? A) chemistry and physics B) industrial engineering and management science C) biology and anatomy D) information technology E) all of the above
E
What term is given to those individuals with a vested interest in an organization, including customers, distributors, suppliers, owners, lenders, employees, and community members? A) alumni B) investors C) vestors D) stockholders E) stakeholders
E
Which of the following influences layout design? A) inventory requirements B) capacity needs C) personnel levels D) technology E) All of the above influence layout decisions
E
Which of the following statements regarding the Dreamliner 787 is true? A) Boeing has found partners in over a dozen countries. B) The new aircraft incorporates a wide range of aerospace technologies. C) The new aircraft uses engines from not one, but two manufacturers. D) Boeing will add only 20 to 30 percent of the aircraft's value. E) All of the above are true.
E
All organizations, including service firms such as banks and hospitals, have a production function.
True
An example of a "hidden" production function is the transfer of funds between accounts at a bank.
True
Operations management is the set of activities that creates value in the form of goods and services by transforming inputs into outputs.
True
A foundry produces circular utility access hatches (manhole covers). Currently, 120 covers are produced in a 10-hour shift. If labor productivity can be increased by 20%, it would then be: A) 14.4 covers/hr. B) 24 covers/hr. C) 240 covers/hr. D) 1200 covers/hr. E) 10 covers/hr.
a
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 productivity? A) It has not changed. B) It has increased by 37.5 boxes/hr. C) It has increased by 20%. D) It has decreased by 8.3%. E) It has decreased by 9.1%.
a
The Dulac Box plant produces 500 cypress packing boxes in two 10-hour shifts. What is the productivity of the plant? A) 25 boxes/hr. B) 50 boxes/hr. C) 5000 boxes/hr. D) 0.04 boxes/hr. E) 250 boxes/hr.
a
The largest contributor to productivity increases is ________, estimated to be responsible for ________ of the annual increase. A) management; over one-half B) Mr. Deming; one-half C) labor; two-thirds D) capital; 90% E) technology; over one-half
a
A cleaning company uses $10 of chemicals, $40 of labor, and $5 of misc. expenses for each house it cleans. After some quality complaints, the company has decided to increase its use of chemicals by 50%. By what percentage has multifactor productivity fallen? A) 0% B) 8.3% C) 25% D) 50% E) 16.7%
b
Productivity measurement is complicated by: A) the competition's output. B) the fact that precise units of measure are often unavailable. C) stable quality. D) the workforce size. E) the type of equipment used.
b
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) 32.5 boxes/hr. B) 40.6 boxes/hr. C) 62.5 boxes/hr. D) 81.25 boxes/hr. E) 300 boxes/hr.
b
The factor responsible for the largest portion of productivity increase in the United States is: A) labor. B) management. C) capital. D) All three combined; it is impossible to determine the contribution of individual factors. E) none of these.
b
Three commonly used productivity variables are: A) quality, external elements, and precise units of measure. B) labor, capital, and management. C) technology, raw materials, and labor. D) education, diet, and social overhead. E) quality, efficiency, and low cost.
b
Which of the following nets the largest productivity improvement? A) increase output 15% B) decrease input 15% C) increase both output and input by 5% D) increase output 10%, decrease input 3% E) decrease input 10%, increase output 3%
b
A foundry produces circular utility access hatches (manhole covers). If 120 covers are produced in a 10-hour shift, the productivity of the line is: A) 1.2 covers/hr. B) 2 covers/hr. C) 12 covers/hr. D) 1200 covers/hr. E) 120 covers/hr.
c
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) 180 valves/hr. B) 200 valves/hr. C) 220 valves/hr. D) 880 valves/hr. E) 1760 valves/hr.
c
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) 10%. B) 20%. C) 25%. D) 40%. E) 50%.
c
The service sector has lower productivity improvements than the manufacturing sector because: A) the service sector uses less skilled labor than manufacturing. B) the quality of output is lower in services than manufacturing. C) services usually are labor-intensive. D) service sector productivity is hard to measure. E) the service sector is often easy to mechanize and automate.
c
Which of the following statements about challenges in operations management is FALSE? A) Job specialization is giving way to empowered employees. B) Local or national focus is giving way to global focus. C) Sustainable production is giving way to a low-cost focus. D) Rapid product development is partly the result of shorter product cycles. E) The goal of mass customization is to produce customized products, whenever and wherever needed.
c
Which productivity variable has the greatest potential to increase productivity? A) labor B) globalization C) management D) capital E) energy
c
A cleaning company uses 10 lbs each of chemicals A, B and C for each house it cleans. After some quality complaints, the company has decided to increase its use of chemical A by an additional 10 lbs for each house. By what % has productivity (houses per pound of chemical) fallen? A) 0% B) 10% C) 15% D) 25% E) 33%
d
Gibson Valves produces cast bronze valves on an assembly line. If 1600 valves are produced in an 8-hour shift, the productivity of the line is: A) 2 valves/hr. B) 40 valves/hr. C) 80 valves/hr. D) 200 valves/hr. E) 1600 valves/hr.
d
Illiteracy and poor diets have been known to cost countries up to what percent of their productivity? A) 2% B) 5% C) 10% D) 20% E) 50%
d
Productivity can be improved by: A) increasing inputs while holding outputs steady. B) decreasing outputs while holding inputs steady. C) increasing inputs and outputs in the same proportion. D) decreasing inputs while holding outputs steady. E) none of the above.
d
The total of all outputs produced by the transformation process divided by the total of the inputs is: A) utilization. B) greater in manufacturing than in services. C) defined only for manufacturing firms. D) multifactor productivity. E) single-factor productivity.
d
A small metal shop operates 10 hours each day, producing 100 parts/hour. If productivity were increased 20%, how many hours would the plant have to work to produce 1000 parts? A) less than 2 hours B) between 9 and 10 hours C) between 2 and 6 hours D) between 6 and 8 hours E) between 8 and 9 hours
e
Current challenges in operations management include all of the following EXCEPT: A) just-in-time performance. B) rapid product development. C) mass customization. D) empowered employees. E) None of the above are exceptions, i.e., all are current challenges.
e
Productivity tends to be more difficult to improve in the service sector because the work is: A) often difficult to automate. B) typically labor-intensive. C) frequently processed individually. D) often an intellectual task performed by professionals. E) All of the above make service productivity more difficult.
e
Which of the following is NOT true when explaining why productivity tends to be lower in the service sector than in the manufacturing sector? A) Services are typically labor-intensive. B) Services are often difficult to evaluate for quality. C) Services are often an intellectual task performed by professionals. D) Services are difficult to automate. E) Service operations are typically capital intensive.
e
Boeing's development of the 787 Dreamliner is an example of a company obtaining a competitive advantage through product differentiation/innovation.
true
"Considers inventory ordering and holding decisions" is within the strategic operations management decision area of managing quality.
false
A knowledge society is one that has migrated from work based on knowledge to one based on manual work.
false
A product will always be in the same stage of its product life cycle regardless of the country.
false
Henry Ford is known as the Father of Scientific Management.
false
In order to have a career in operations management, one must have a degree in statistics or quantitative methods.
false
NAFTA seeks to phase out all trade and tariff barriers between the United States and Asia.
false
Productivity is the total value of all inputs to the transformation process divided by the total value of the outputs produced.
false
Competition in the 21st century is no longer between companies; it is between supply chains.
true
Operations management is applicable: A) mostly to the service sector. B) to services exclusively. C) mostly to the manufacturing sector. D) to all firms, whether manufacturing or service. E) to the manufacturing sector exclusively
to all the firms, whether manufacturing or service
Although the number of people employed in manufacturing in the United States has decreased since 1950, each person is now producing almost 20 times more than in 1950.
true
An accounting firm that provides tax services for a company would be considered to be part of that company's supply chain.
true
