MGT 303
true
Break-even analysis can be used to help choosing among alternative investments, processes, or equipment
true
Break-even analysis can be used to help choosing among alternative processes or equipment
false
Break-even analysis can only be used in production equipment decision making when dealing solely with fixed costs, not variable costs.
true
Buffering in a production process refers to a storage area between stages
true
Engineer-to-order firms will work with the customer to design the product and then make it from purchased materials, parts and components
false
The essential issue in satisfying customers in the 'make-to-stock' environment is to balance the cost of the finished item against the willingness of the consumer to pay for it
true
The objective of a retail service layout is to maximize net profit per square foot of space
false
A project layout is similar to the basic production layout format of the work center
true
A service system with a high degree of customer contact is more difficult to control
false
A supporting facility is the same thing as a facilitating good
true
A work center is a basic production layout format in which similar equipment or functions are grouped together
true
A work-center layout is where similar equipment or functions are grouped together
true
According to our textbook, service cannot be inventoried
true
According to the textbook, Poka-yoke is roughly translated from Japanese as "avoid mistakes"
true
An explicit service is readily observable by the senses
1000 units
Assume a fixed cost for a process of $15,000. The variable cost to produce each unit of product is $10, and the selling price for the finished product is $25. Which of the following is the number of units that has to be produced and sold to break-even? a. 500 b. 600 c. 700 d. 800 e. 1000
false
In Break-even analysis, the break-even point is where total profit and total cost are equal
true
In project layout, the product remains at one location
true
In the "make-to-stock" environment, firms should transform the material/inventory to finished goods.
music
In the design of retail service layouts, the term "ambient conditions" could refer to which of the following? a. music b. how much money a customer spends c. how long a customer stays d. staffing e. customers' perceptions of the service
false
It is easy to separate the operations management functions from marketing in services.
false
It is not necessary that a well-designed service system be robust
false
Manufacturing workstations should not be very close together
true
Most services are provided to customer under the concept of "service package", which is defined as a bundle of goods and services that is provided in some environment
false
The "service blueprint" is a classification of services
true
The service-system design matrix identifies six forms of service encounters
True
Volume is one of the determinants of process structure (layout)
true
Volume is one of the determinants of process structure (layout)
product-process matrix
Which of the following is NOT a basic type of process structure? a. product-process matrix b. work center c. manufacturing cell d. assembly line e. continuous process
product-process matrix
Which of the following is not a basic type of process structure? Product-process matrix workcenter manufacturing cell assembly line
service encounter
Which of the following is not part of "the service triangle"? Employees Customers Service Encounter Supporting Systems
service encounter
Which of the following is not part of "the service triangle"? a. employees b. support systems c. customers d. service strategy e. service encounter
The company's total margin (profit) will be less than its investment
You are hired as a consultant to decide if your client should purchase a new, highly specialized piece of equipment. The product to be produced by this equipment is forecast to have a total worldwide demand of 15,000 units over the entire product life. The initial investment to acquire and install the equipment is $256,000. The variable cost to produce each unit is $15, and the selling price for the finished product is $30.Which of the following best describes the situation the firm is facing?