Question 1

What is the difference between a firm's mission and its strategy?

Accepted Answer

A firm's mission is the purpose or rationale for its existence; whereas, a firm's strategy is how it expects to achieve its mission and goals.

Question 2

Identify three factors fueling the continuing growth of outsourcing.

Accepted Answer

(1) increased technological expertise, (2) more reliable and cheaper transportation, and (3) the rapid development and deployment of advancements in telecommunications and computers.

Question 3

An effective operations management effort must have a strategy so it knows where it is going and a mission so it knows how to get there.

Accepted Answer

A) True 
 B)False  False

Question 4

Which of the international operations strategies involves high cost reductions and high local responsiveness?

Accepted Answer

A)  international strategy 
B)  global strategy 
C)  transnational strategy 
D)  multidomestic strategy 
E)  worldwide strategy 
A)  international strategy 
B)  global strategy 
C)  transnational strategy 
D)  multidomestic strategy 
E)  worldwide strategy

Question 5

Which of the following statements is TRUE?

Accepted Answer

A)  Corporate mission is shaped by functional strategies. 
B)  Corporate strategy is shaped by functional strategies. 
C)  Functional strategies are shaped by corporate strategy. 
D)  External conditions are shaped by corporate mission. 
E)  Functional area missions are merged to become the organizational mission. 
A)  Corporate mission is shaped by functional strategies. 
B)  Corporate strategy is shaped by functional strategies. 
C)  Functional strategies are shaped by corporate strategy. 
D)  External conditions are shaped by corporate mission. 
E)  Functional area missions are merged to become the organizational mission.

Question 6

Porter's Five Forces Model is used to evaluate competition based on which 5 aspects?

Accepted Answer

A)  research and development, cost, legal regulations, suppliers, customers 
B)  immediate rivals, potential entrants, customers, suppliers, and substitute products 
C)  potential entrants, customers, suppliers, legal regulations, and cost 
D)  immediate rivals, potential entrants, cost, substitute products, and legal regulations 
E)  cost, legal regulations, advertising effectiveness, potential entrants, and immediate rivals 
A)  research and development, cost, legal regulations, suppliers, customers 
B)  immediate rivals, potential entrants, customers, suppliers, and substitute products 
C)  potential entrants, customers, suppliers, legal regulations, and cost 
D)  immediate rivals, potential entrants, cost, substitute products, and legal regulations 
E)  cost, legal regulations, advertising effectiveness, potential entrants, and immediate rivals

Question 7

Response-based competitive advantage can be:

Accepted Answer

A)  flexible response. 
B)  reliable response. 
C)  quick response. 
D)  all of these. 
E)  none of the these. 
A)  flexible response. 
B)  reliable response. 
C)  quick response. 
D)  all of these. 
E)  none of the these.

Question 8

Identify five main advantages of outsourcing.

Accepted Answer

(1) cost savings, (2) gaining

Question 9

The ability of an organization to produce goods or services that have some uniqueness in their characteristics is:

Accepted Answer

A)  mass production. 
B)  time-based competition. 
C)  competing on productivity. 
D)  competing on quality. 
E)  competing on differentiation. 
A)  mass production. 
B)  time-based competition. 
C)  competing on productivity. 
D)  competing on quality. 
E)  competing on differentiation.

Question 10

Which of the following does NOT represent a valid reason for globalizing operations?

Accepted Answer

A)  reduce costs 
B)  improve the supply chain 
C)  reduce responsiveness 
D)  attract and retain global talent 
E)  understand markets 
A)  reduce costs 
B)  improve the supply chain 
C)  reduce responsiveness 
D)  attract and retain global talent 
E)  understand markets

Question 11

Before establishing and implementing strategy, a resources view would ensure that which of the following resources are available?

Accepted Answer

A)  financial 
B)  physical 
C)  human 
D)  technological 
E)  all of these 
A)  financial 
B)  physical 
C)  human 
D)  technological 
E)  all of these

Question 12

An operations manager is performing a factor-rating analysis to help her choose an outsourcing provider. She is focusing on three factors: A, B, and C, with weights of .30, .20, and .50, respectively. She has scored one potential outsourcer, Ling Services, on each of the factors using a scale of 10-50. Ling Services received a score of 30 for factor A, 46 for factor B, and 22 for factor C. What is the factor-rating score for Ling Services?

Accepted Answer

A)  98.0 
B)  32.7 
C)  21.8 
D)  29.2 
E)  30.8 
A)  98.0 
B)  32.7 
C)  21.8 
D)  29.2 
E)  30.8

Question 13

Production processes are being dispersed to take advantage of national differences in labor costs.

Accepted Answer

A) True 
 B)False

Question 14

________ are areas located along the United States-Mexico border in which factories receive preferential tariff treatment.

Accepted Answer

The answer of ________ are areas located along the United...

Question 15

Identify five main disadvantages of outsourcing.

Accepted Answer

(1) increased logistics and inventory co

Question 16

Identify four trade agreements that are facilitating the growth of world trade.

Accepted Answer

NAFTA, APE

Question 17

The theory of comparative advantage implies that you should allow another firm to perform work activities for your company if that company can do it more productively than you can.

Accepted Answer

A) True 
 B)False

Question 18

The World Trade Organization has helped significantly reduce tariffs around the world.

Accepted Answer

A) True 
 B)False

Question 19

What is the practice of transferring a firm's activities that have traditionally been internal to external suppliers?

Accepted Answer

A)  nearshoring 
B)  farshoring 
C)  offshoring 
D)  outsourcing 
E)  backsourcing 
A)  nearshoring 
B)  farshoring 
C)  offshoring 
D)  outsourcing 
E)  backsourcing

Question 20

Since the early 1990s, residents in a number of developing countries have overcome culture, religious, ethnic, and political productivity barriers. These disappearing barriers coupled with simultaneous advances in technology, reliable shipping, and cheap communication have all led to the growth of what three things?

Accepted Answer

1. World trade
2. Gl

Exam 2: Operations Strategy in a Global Environment

What is the difference between a firm's mission and its strategy?

Identify three factors fueling the continuing growth of outsourcing.

An effective operations management effort must have a strategy so it knows where it is going and a mission so it knows how to get there.

Which of the international operations strategies involves high cost reductions and high local responsiveness?

Which of the following statements is TRUE?

Porter's Five Forces Model is used to evaluate competition based on which 5 aspects?

Response-based competitive advantage can be:

Identify five main advantages of outsourcing.

The ability of an organization to produce goods or services that have some uniqueness in their characteristics is:

Which of the following does NOT represent a valid reason for globalizing operations?

Before establishing and implementing strategy, a resources view would ensure that which of the following resources are available?

Production processes are being dispersed to take advantage of national differences in labor costs.

________ are areas located along the United States-Mexico border in which factories receive preferential tariff treatment.

Identify five main disadvantages of outsourcing.

Identify four trade agreements that are facilitating the growth of world trade.

The theory of comparative advantage implies that you should allow another firm to perform work activities for your company if that company can do it more productively than you can.

The World Trade Organization has helped significantly reduce tariffs around the world.

What is the practice of transferring a firm's activities that have traditionally been internal to external suppliers?

Operations and Productivity

Project Management

Forecasting

Design of Goods and Services

Managing Quality

Process Strategies

Location Strategies

Human Resources, Job Design, and Work Measurement

Supply Chain Management

Inventory Management

Aggregate Planning and Sop

Material Requirements Planning Mrp and Erp

Short-Term Scheduling

Lean Operations

Maintenance and Reliability

Decision-Making Tools

Linear Programming

Transportation Models

Waiting-Line Models

Learning Curves

Simulation

Applying Analytics to Big Data in Operations Management

Filters