MGT 100 Ch.5-8

Computer manufacturing systems

CAD + CAM = CIM

The government agency that advises and assists small businesses by providing management and financial assistance including counseling on improving operations and assisting with obtaining debt financing is known as the ____. A. Small-Business Development Centers (SBDC's) B. Service Corps of Retired Executives (SCORE) C. Small Business Administration (SBA) D. Small-Business Institutes (SBI's) E. Better Business Bureau

Small Business Administration

____ are business clinics, usually located on college campuses that provide free counseling and training for owners of small businesses. A. Better Business Bureau (BBB) B. Small-Business Investments Companies (SBIC's) C. Self-Employment Assistance D. Service Corps of Retired Executives (SCORE) E. Small-Business Development Centers (SBDC's)

Small-Business Development Centers (SBDC's)

Which of the following is a way in which the Small Business Administration provides financial assistance to small businesses? A. Small-Business Investment Companies (SBIC's) B. Small-Business Development Centers (SBDC's) C. Self-Employment Assistance (SEA) D. Service Corps of Retired Executives (SCORE) E. Better Business Bureau (BBB)

Small-Business Investment Companies (SBIC's)

Which of the following is NOT a factor that influences whether a firm is decentralized? A. prior use of centralization or decentralization B. the external environment C. a code of ethics D. the abilities of lower-level management E. the nature of decision risk

a code of ethics

six sigma

a disciplined approach that relies on statistical data and improved methods to eliminate defects for a firm's products and services

Franchises offer people starting a business the advantage of a recognized name, management assistance, and A. no royalties or fees B. discounted fees C. large territories without competition D. a greater chance for success E. a lot of regulations

a greater chance for success

quality circle

a team of employees who meet on company time to solve quality problems

When does routing take place for operations managers? A. prior to all material procurement B. prior to even considering which parts to purchase and where C. after materials have been purchased, but before their use is determined D. as the final stage of the manufacturing process E. after materials have been purchased and their use determined

after materials have been purchased and their use determined

A process in operations management in which raw materials are broken into different component parts is known as ____; while a process in which raw materials or components are combined to create a finished product is known as ______. A. analytical process; manufacturing process B. remanufacturing process; manufacturing process C. synthetic process; remanufacturing process D. synthetic process; analytical process E. analytical process; synthetic process

analytical process; synthetic process

Knowing how to sort large amounts of information in order to find relevant facts to resolve a problem or issue is an example of: A. interpersonal skills B. technical skills C. analytical skills D. leadership E. conceptual skills

analytical skills

decentralized organization

authority is consciously spread widely across levels

centralized organization

authority is systematically at highest levels

How are basic research and applied research different? A. applied research just wants to uncover new knowledge; while, basic research involves research activities undertaken specifically to put new or existing knowledge to use producing goods and services B. basic research just wants to uncover new knowledge; while, applied research wants to discover new knowledge with some potential use C. applied research just wants to uncover new knowledge; while, basic research wants to discover new knowledge with some potential use. D. basic research wants to discover new knowledge with some potential use; while, applied research involves research activities undertaken specifically to put new or existing knowledge to use producing goods and services. E. basic research involves research activities undertaken specifically to put new or existing knowledge to use producing goods and services; while, applied research wants to discover new knowledge with some potential use.

basic research just wants to uncover new knowledge; while, applied research wants to discover new knowledge with some potential use

______, one tool that is used for total quality management (TQM), is the process of evaluating the products, processes, or management practices of another organization for the purpose of improving quality. A. statistical process control B. inventory control C. benchmarking D. quality control E. efficient scheduling

benchmarking

How is the production of services similar to the production of manufactured goods? A. the level of involvement of the customer is the same for both manufactured goods and services B. since both manufactured goods and services are intangible, it is difficult to evaluate customer satisfaction. C. both types of businesses must plan, design, execute, evaluate, improve, and redesign their products to satisfy customers. D. both manufactured goods and services are labor-intensive E. the durability is the same for both manufactured goods and services.

both types of businesses must plan, design, execute, evaluate, improve, and redesign their products to satisfy customers

The amount of products or services that an organization can produce in a given time is known as: A. capacity B. product line C. mass production D. design process E. analytical process

capacity

What are the three key ingredients in small business survival as well as failure? A. capital, management, and planning B. planning, record keeping, and marketing C. marketing, financing, and planning D. human resource development, record keeping, and planning

capital, management, and planning

When the decisions to be made by a business are risky and when low-level managers are not highly skilled in decision making then the company tends to be more ____. A. decentralized B. cross-functional C. undercentralized D. centralized E. overcentralized

centralized

All of the following are potential disadvantages of committees, except: A. committees make more accurate decisions than individuals B. committees have deliberations that take longer than individual actions C. committees may undergo unnecessary compromise D. committees may have one person who dominate the committee process

committees make more accurate decisions than individuals

The CEO of a large beverage company led the company in the takeover of its two largest bottlers. The CEO pushed for the merger because buying the bottlers gave the company control of 80 percent of its North American distribution, making it easier for the company to test new products. The CEO's ability to think in abstract terms and see how parts of the company fit together to achieve long-term goals is an example of _____. A. analytical skills B. communication skills C. conceptual skills D. technical skills E. interpersonal skills

conceptual skills

The three steps of the ___ process include setting standards against which performance can be compared, measuring actual performance and comparing it with the standard, and taking corrective action as necessary. A. motivating B. leading C. planning D. controlling E. organizing

controlling

Th inner rites, rituals, heroes, and values of a firm are known as: A. corporate rules B. corporate regulations C. corporate goals D. corporate norms E. corporate culture

corporate culture

___ is a new alternative to traditional financing that uses online sites to invite people to contribute. A. selling life insurance policies to companies who become the policy beneficiaries B. credit cards C. angel investing D. crowdfunding

crowdfunding

Giving employees not only tasks, but also power to make commitments, use resources, and take whatever actions are necessary to carry out those tasks is the definition of : A. departmentalization B. delegation of authority C. accountability D. leadership E. responsibility

delegation of authority

What is the advantage of departmentalization by customer? A. departmentalization by customer allows the firm to deal efficiently with unique customers or customer groups B. departmentalization by customer demands a large administrative staff and elaborate control system of coordination C. departmentalization by customer can lead to slow decision making D. departmentalization by customer cannot be combined with any other departmentalization base E. departmentalization by customer causes some duplication of specialized activities

departmentalization by customer allows the firm to deal efficiently with unique customers or customer groups

The form of departmentalization that groups jobs that perform similar functional activities, like finance and marketing, is called: A. departmentalization by location B. departmentalization by function C. departmentalization by economics D. departmentalization by product E. departmentalization by customer

departmentalization by function

When a company looks to departmentalize by areas of business like Japan, America, and Australia it is exemplifying _____. A. departmentalization by location B. departmentalization by customer C. departmentalization by economics D. departmentalization by function E. departmentalization by product

departmentalization by location

All of the following are steps in the operational planning process, except: A. estimating market demand B. selecting a planning horizon C. comparing market demand with capacity D. developing a plan to convert the idea into a new good or service E. adjusting products or services to meet demand

developing a plan to convert the idea into a new good or service

Which category of industries includes retailing, wholesaling, transportation, and communications--industries concerned with the movement of goods from producers to consumers? A. production B. service C. distribution D. technological

distribution

____ franchises occur when two franchisors offer their products together; this is becoming a new small-business trend. A. twin B. partnering C. dual-branded D. matching

dual-branded

Which of the following is NOT an advantage of smallness in business? A. personal relationships with customers and employees B. simplified record keeping C. ability to adapt to change D. easy to raise capital E. independence

easy to raise capital

lean manufacturing

eliminating waste from activities required to produce a product or service

The final step in managerial decision making entails _____. A. implementing the alternative B. generating alternatives C. evaluating the solution D. identifying the problem E. selecting an alternative

evaluating the solution

Which of the following is the most likely reason that a small-business owner may become frustrated as a franchisee? A. site selection B. reduced stress and responsibility C. creating and managing national advertising D. management training and support E. excessive restrictions resulting in less freedom

excessive restrictions resulting in less freedom

____ is a significant question because, once the design has been made and implemented, the firm must live with it due to the high costs involved. A. facility location B. process layout C. use of technology D. continuous manufacturing organization E. fixed-position layout

facility location

Which characteristics does NOT support a narrow span of management? A. workers are physically located far from one another B. the manager has much work to do in addition to supervising workers C. few new problems are expected to arise D. new problems arise frequently E. a great deal of interaction is required between supervisor and workers

few new problems are expected to arise

If the span of management is wide, ____ levels are needed, and the organization is ____. If the span of management is narrow, ____ levels are needed, and the resulting organization is ____. A. fewer; flat; more; tall B. more; tall; fewer; flat C. fewer; tall; more; flat D. more; flat; fewer; tall

fewer; flat; more; tall

Sandra is a no-nonsense manager with excellent budgeting skills. On projects that Sandra manages, the team always comes in under budget. When forecasting costs for a plan, Sandra is extremely accurate. Sandra is skilled at managing which resource for her company? A. employees B. information C. financial D. physical E. suppliers

financial

A(n) ____ combines electronic machines and computer-integrated manufacturing in a single production system. A. flexible manufacturing system B. intermittent process C. continuous process D. robotics system E. technological displacement

flexible manufacturing system

When a local pizza parlor takes raw ingredients such as tomatoes, cheese, and flour to make a pizza for a customer, the raw ingredients are known as the _____ of the conversion process and the degree to which the resources are physically changed is known as the ____ of the conversion process. A. magnitude; utility B. magnitude; focus C. focus; magnitude D. focus; utility E. utility; focus

focus; magnitude

What utility is created by people converting raw materials, finances, and information into finished products? A. time utility B. form utility C. possession utility D. place utility E. operations utility

form utility

A person who buys a franchise is known as the: A. franchise B. agent C. franchisor D. seller E. franchisee

franchisee

Franchising allows a _____ the opportunity to set up a small business relatively quickly, and because of its association with an established brand, a ____ outlet often reaches the break-even point faster than an independent business would. A. franchisee; franchise B. franchise; franchisee C. franchisor; franchise D. franchisee; franchisor E. franchisor; franchisee

franchisee; franchise

Management must coordinate four types of resources to produce goods and services, but another way to look at management is in terms of the different ____ managers perform. A. events B. functions C. meetings D. financial tasks

functions

____ is the second step in the decision-making process and it depends on creativity for new and useful ideas, regardless of where the ideas come from. A. evaluating the solution B. generating alternatives C. identifying the problem D. selecting an alternative E. implementing the solution

generating alternatives

An informal channel of communication separate from management's formal official communications related to a job or organization that can sometimes be gossip is called a: A. groupthink B. memo C. grapevine D. announcement E. email

grapevine

John had a good idea for a candy manufacturing business. He decided that he wanted to take the risk, become an entrepreneur, and start his own business. Now, ten years later, John's candy company has 20 locations all over the United States and employs nearly 1,000 people. This example illustrates: A. that there is a large demand for candy in the US B. that entrepreneurs are of superior intelligence C. the risks associated with entrepreneurship D. how small business fuels job creation and innovation E. that small businesses have little effect on the economy

how small business fuels job creation and innovation

Nadine manages the quality control department for her company. Recently, Nadine became aware of a quality problem with one of the company's products. After studying the issue Nadine determined the quality of raw materials used in the product was deficient and began looking at changing suppliers. Which step in the decision-making process did Nadine exemplify when she determined the quality of raw materials was substandard? A. generating alternatives B. develop options C. identifying the problem D. evaluating the solution E. selecting an alternative

identifying the problem

product refinement

improving a product's performance characteristics to increase its utility to consumers

product extension

improving and adding additional performance features that extend the want-satisfying capability of the product and its life cycle in the market

What is a group created by the members themselves to accomplish goals may or may not be relevant to an organization? A. formal group B. informal group C. task force D. committee E. groupthink

informal group

Which skills are defined as the ability to deal with people, both inside and outside the organizations? A. technical skills B. communication skills C. conceptual skills D. analytical skills E. interpersonal skills

interpersonal skills

The process of managing inventories in such a way as to minimize inventory costs, including both holding costs and potential stock-out costs is referred to as: A. raw materials inventory B. materials requirements planning C. just-in-time inventory D. economic order quality model E. inventory control

inventory control

To combat the potential negative consequences of specialization, managers often turn to ____, the systematic shifting of employees from one job to another. A. departmentalization B. job sharing C. span of management D. job rotation E. division of labor

job rotation

Job design alternatives

job rotation job enlargement job enrichment

One reason for _____ is efficiency. People can perform more efficiently if they master just one distinct task rather than all tasks. A. job specialization B. job sharing C. flextime D. job enrichment E. job rotation

job specialization

What is the concept's name that is built on an idea of eliminating waste from all of the activities required to product or service? A. continuous process B. flexible manufacturing C. lean manufacturing D. direct manufacturing E. indirect manufacturing

lean manufacturing

Which of the following is NOT a potentially negative consequence of job specialization? A. less injuries B. higher rate of absenteeism C. poor quality of work D. boredom and dissatisfaction with jobs E. high employee turnover

less injuries

Knowledgeable entrepreneurs choose areas with which they are familiar. These are most often the more established industries that require only a ____ investment and some special _____. A. high initial; industrial tools B. low initial; skills or knowledge C. mid-sized initial; on-the-job training D. low initial; on-the-job training

low initial; skills or knowledge

Which of the following is not one of the four types of utilities? A. place B. time C. magnitude D. form E. possession

magnitude

The process of coordinating people and other resources to achieve the goals of an organization is known as: A. management B. planning C. goals D. financing E. staffing

management

Which of the following is least likely to be a role of operations management? A. quality control B. oversee the transformation process C. marketing of products D. managing logistics E. manufacturing productivity

marketing of products

_____ structures provide flexibility, enhanced cooperation, and creativity, and they enable the company to respond quickly to changes in the environment by giving special attention to specific projects or problems. A. line-and-staff B. line C. matrix D. self-managed E. network

matrix

Which of the following is NOT a component to be addressed by management in order for total quality management (TQM) programs to be effective? A. increasing employee participation B. improving customer satisfaction C. continuous quality improvement D. strengthening supplier partnerships E. maximizing shareholder profits

maximizing shareholder profits

In this type of culture (popular in large banks and investment firms), you have employees who are passionate, energetic, goal-oriented, and have a sense of purpose and excitement for their work. A. fragmented culture B. mercenary culture C. normative culture D. communal culture E. networked culture

mercenary culture

The level of management that is responsible for developing tactical and operational plans and makes up the largest group of managers in most organizations is _____. A. middle management B. top management C. operational management D. first-line management E. financial management

middle management

According to the US Office of Management and Budget, ___ of the major technological advances of the 20th century originated with individual inventors and small companies. A. nearly all B. less than 10% C. more than half D. about one-fourth

more than half

Employees have different ____; some are interested primarily in earning as much money as they can, while others may be spurred on by opportunities to get promoted. A. planning B. agendas C. networking D. implementing E. motivations

motivations

Which of the following is NOT a disadvantage of a network structure? A. lack of a clear hierarchy B. high turnover of hourly workers C. low morale of hourly workers D. no centralized leader E. problems controlling the work quality of other organizations

no centralized leader

Jake works in production for his company. Each week his work group is assigned a production quota to ensure enough product is available to meet the goals of the company. In this case, the production quota is an example of a(n) ____ plan. A. business B. strategic C. tactical D. operational E. SWOT

operational

A specialized area of management involving all the activities needed to convert or transform resources into goods and services is: A. inventory management B. financial management C. operations management D. marketing management E. shipping and receiving

operations management

As a company grows, it may become necessary for it to create a(n) _____, which is a visual display of the organizational structure, lines of authority (chain of command), staff relationships, permanent committee arrangements, and lines of communication. A. code of ethics B. decentralization chart C. organization chart D. departmentalization chart E. centralization chart

organization chart

A franchisee acquires rights to all of the following, except: A. a name B. a logo C. methods of operation of the business D. national advertising by the franchise E. other franchisee's employees and management

other franchisee's employees and management

This deals with establishing organizational goals and deciding how to accomplish them; it is sometimes referred to as the "first" management functions depend upon it. A. mission B. dore competencies C. human resources D. planning E. leading

planning

Top managers spend most of their time performing which of the following management functions? A. planning B. controlling C. directing D. staffing E. organizing

planning

Which of the following is considered a shortcoming of owning a franchise? A. can start a business with limited capital B. national and local advertising programs C. possible market saturation D. centralized buying power E. guidance and advice from the franchisor

possible market saturation

The major decisions involved in design planning deal with: A. financial planning, product line, and supply-chain management B. human resources, community development, and use of technology C. product line, required capacity, and use of technology D. type of business ownership, financial planning, and human resources E. required capacity, financial planning, and physical planning

product line, required capacity, and use of technology

Which of the following is NOT a major consideration when organizing a business? A. span of management B. departmentalization C. job design D. production of a good E. delegation

production of a good

Which term describes the act of buying of all materials needed by the organization? A. purchasing B. materials requirement planning C. just-in-time D. quality control E. selling

purchasing

____ refers to the processes an organization uses to maintain its own established quality standards within the organization. A. quality control B. just-in-time inventory C. scheduling D. Malcolm Baldrige National Quality Award E. materials requirements planning

quality control

All of the following are factors that encourage certain people to start new businesses, except: A. a willingness to find and accept a challenge B. independence C. reclusive nature D. a family member(s) who has been in business E. a desire to determine one's own destiny

reclusive nature

Basic rights and obligations are delineated in a franchise agreement. Which of the following is a franchising obligation? A. rights to obtain supplies from nominated suppliers at special prices B. use of the franchisor's copyrighted materials C. follow guidelines established by the franchisor regarding exclusive territorial rights D. Requirement to purchase goods or products from the franchisor

requirement to purchase goods or products from the franchisor

Most companies use____ to determine which goods and services to provide and the features they need to possess. A. competitors B. technology C. networking D. accounting departments E. research and development (R&D)

research and development

Which technique do businesses use to improve quality of products and services as well as overall performance? A. total quality management (TQM) B. six sigma C. statistical process control (SPC) D. continuous improvement

six sigma

____ are independently owned and operated, not dominant in their field of operation, and meet certain standards of size in regard to number of employees or average annual sales. A. small businesses B. open corporations C. franchises D. joint ventures E. syndicates

small businesses

A committee that is established to investigate a major problem or pending decision of the firm (for example assessing the pros and cons of a potential merger) is known as a(n): A. task force B. group C. ad hoc committee D. team E. standing committee

task force

inspection

the examination of the quality of a work-in-progress

The production of services is different from the production of manufactured goods in all of the following ways, except: A. services are intangible, and it is therefore more difficult to evaluate customer satisfaction B. when compared to services, customers are much more involved in obtaining the manufactured good they want or need C. services are usually labor-intensive D. services are consumed immediately and, unlike manufactured goods, cannot be stored E. services are provided when and where the customer desires the service; in many cases, customers will not travel as far to obtain a service.

when compared to services, customers are much more involved in obtaining the manufactured good they want or need

A _____ span of management exists when a manager directly supervises a very large number of subordinate employees. A ____ span of management exists when a manager directly supervises only a few subordinates. A. deep; narrow B. wide; deep C. narrow; deep D. narrow; wide E. wide; narrow

wide; narrow