Exam 10: Operations Management, Productivity, and Quality

Describe the five elements of the long-range operations plan.

Soft manufacturing relies less on computers than lean manufacturing does.

What is total quality management?

Give an example of a product that is produced through a synthetic process.

Internal failures in quality/cost studies focus on costs incurred during production and before bad products leave the plant.

In a(n) ________ layout, equipment and people are grouped together according to their function. assembly line process product customer-oriented flexible

ISO 9000:2000 certified businesses must have documented procedures for each stage of production. have no defects. have strict quality controls. produce a variety of quality goods. be productive.

Clean Sweep Corporation is a consumer goods company manufacturing home-care cleaning products. Sales of Sparkle, its flagship disinfectant, and some of its other cleaning products have been sluggish during the last two quarters. Of late, retailers have also shown a lack of confidence in these product lines. The management is looking at different ways to improve the efficiency of its entire supply chain. Some senior executives believe that the company should shift to a just-in-time logistics system. However, this opinion does not have unanimous support. A senior executive claims that a move to a "just-in-time" logistics system would be a mistake because even if the system is effective at reducing inventory and handling costs, the change would not be noticed by customers. The executive claims that the change should be rejected as it runs counter to Clean Sweep's goal of being "customer-focused." Which of the following is the best criticism of the senior executive's position? It does not prove that focusing on the customer helps an organization become successful. It does not suggest an improvement to Clean Sweep's current system. It fails to recognize that having a more efficient supply chain will allow Clean Sweep to offer more value to its customers. It does not establish that the costs of switching to the new system would outweigh any cost-reduction benefits the system might provide. It does not describe the inventory systems used by Clean Sweep's competitors.

The so-called third industrial revolution emphasizes greater productivity in services operations than in manufacturing operations. a decreasing emphasis on manufacturing in North America and an increasing emphasis on manufacturing in China. trade deficits in the advanced industrial countries and trade surpluses in developing countries. new technologies, software, robots, and miniaturization. movement of industrial facilities away from downtown areas and toward suburban areas.

Louis is a production manager. How can he determine if production machinery is capable of meeting the upper and lower specification limits? Use control charts Conduct a process capability study Conduct competitive product analysis Implement a quality circles program Hire a marketing consultant

Operations control requires production managers to monitor production performance by comparing results with detailed plans and schedules.

George is developing information about the amount of variation in the production of electronic components. He is doing a value-added analysis. benchmarking. a quality study. a process capability study. a specification study.

What does a just-in-time production system attempt to accomplish? Materials and parts needed at each production step are brought together at the right time Attempts to control the overall production process Shows when production must be completed to satisfy consumer demand just-in-time Shows the critical path where production problems will be the most damaging to the schedule Breaks down the production process into steps necessary for completion

The schedule that shows which products will be produced, when production will occur, and what resources will be used during specified time frames is called a(n) inventory control schedule. master production schedule. control chart. short-term detailed production schedule. material requirements plan.

Identify the primary factor influencing the location of high-contact services.

The Coast Capital Savings Credit Union branch in Surrey, B.C., simplified the banking experience of its customers and developed an innovative new service called "You're the Boss Mortgage" which was named the Mortgage of the Year by canadianmortgagetrends.com. This is an example of statistical product control. benchmarking. quality/cost studies. getting close to the customer. competitive product analysis.

When a company turns out ornaments in time for Christmas, this is an illustration of ownership utility.

Selecting the kind of production that is best for the company is driven by the firm's business strategy.

Which of the following is not a function of quality improvement teams? Solve the problem Gather data to evaluate the severity of problems Analyze alternative solutions for the problem Define problem areas All of the above are functions of quality improvement teams.

What is a supply chain?