ISDS 3115 Test 1conceptual
The operations manager performs the management activities of planning, organizing, staffing, leading, and controlling of the OM function.
True
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
Cost minimization is an appropriate strategy in which stage of the product life cycle?
decline
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:
220 valves/hr
Which of the following is an example of competing on the basis of differentiation?
A firm offers more reliable products than its competitors do
Which of the following is the best example of competing on low-cost leadership?
A firm produces its product with less raw material waste than its competitors do
Which of the following is an example of competing on quick response?
A firms products are introduced into the market faster than its competitors products
"Considers inventory ordering and holding decisions" is within the strategic operations management decision area of managing quality..
False
Customer interaction is often high for manufacturing processes, but low of services.
False
Low-cost leadership is the ability to distinguish the offerings of the organization in a way that the customer perceives as adding value
False
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 organizations does NOT belong to the service sector?
Ford Motor Company
The father of scientific management is
Frederick W. Taylor
Which is NOT true regarding differences between goods and services?
Goods tend to have higher customer interaction than services
Productivity is generally more difficult to improve in the service sector than in the manufacturing sector
True
Which is NOT true regarding differences between goods and services?
Tangible goods are generally produced and consumed simultaneously; services are not
What is the goal for mass customization?
The goal is to produce customized products, whenever and wherever needed
An example of a "hidden" production function is the transfer of funds between accounts at a bank.
True
One reason to globalize is to learn to improve operations.
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 global network of organizations and activities that supply a firm with goods and services is referred to as
a supply chain
A strategy is
an action plan to achieve a mission
Which of the following is NOT a reason why domestic business operations decide to change to some form of international operation?
attract and retain local talent
Which of the following is a similarity between goods and services?
both have quality standards
Which of the following is NOT considered to be a Stakeholder?
competitors
Competing on differentiation is
concerned with uniqueness
Which of the following is the best example of a pure service?
counseling
All of the following decisions fall within the scope of operations management EXCEPT for:
creating the company income statement
According to the authors, which of the following strategic concepts allow firms to achieve their missions?
differentiation, cost leadership, and response
Which of the following is NOT a typical service attribute?
easy to store
An international business is a firm that
engages in international trade or investment
Productivity is the total value of all inputs to the transformation process divided by the total value of the outputs produced
false
Productivity increases when
inputs decrease while outputs remain the same
Which of these is NOT one of the basic functions of the management process?
inspecting
The creation of goods and services is referred to as:
production
Cost cutting in international operations can take place because of:
less stringent regulations, lower indirect costs, lower wage scales, lower taxes and tariffs
Which of the following is the purpose or rationale for an organizations existence?
mission
Which of the following international operations strategies uses decentralized authority with substantial autonomy at each business?
multidomestic
A large percentage of the revenue of most firms is spent on which function?
operations
The stated purposed of NAFTA is to
phase out all trade and tariff barriers among Canada, Mexico, and the US
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
Value-chain analysis can be used to determine if a business is adding unique value in which of the following areas?
quality management, process innovation, human resources, product research
Which of the following does NOT represent a valid reason for globalizing operations?
reduce responsiveness
Which of the following is NOT considered to be one of the primary functions that all organizations perform?
research and development
Which of the following activities at an airline is NOT an operations activity?
sales
The economics that typically produce an intangible product are referred to as
services
SWOT analysis refers to
strengths, opportunities, weaknesses, and threats
Competition in the 21st century is no longer between companies; it is between
supply chains
An operations manager is NOT likely to be involved in:
the identification of customers wants and needs
Which of the following represents a reason for globalizing operations?
to expand a product's life cycle, to improve the supply chain, to improve operations, to attract and retain global talent
