Exam 16: Operations Management: Putting It All Together

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Outsourcing allows a firm to shed functions it does not perform well in order to focus on its areas of strength.

(True/False)
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ISO 9000 is a set of generic standards for quality management systems established by the International Organization for Standardization.

(True/False)
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With services quality is based mainly on customer perceptions.

(True/False)
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Total quality management (TQM) relies on a small cadre of quality experts to exert complete control over the organization's quality assurance efforts.

(True/False)
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In order to participate in the Baldrige National Quality Program, firms are required to incorporate the Six Sigma quality program.

(True/False)
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In recent years the trend has been to rely less on outsourcing.

(True/False)
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A night club owner wants to attract an up-scale, business professional type of clientele. The club has a western theme with country music playing loudly; there is hay under the riding bull in the centre of the club; and alcohol shots are sold two-for-one all night long. The owner is upset because he does not seem to be attracting the customers he wants. What could be the problem with his servicescape?

(Multiple Choice)
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Which of the following is a benefit an organization might receive from obtaining ISO 9000 certification?

(Multiple Choice)
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Jet-Away Airlines keeps things simple by using one type of airplane, which eliminates the need to train mechanics on several different models. It also flies to three specific resort destinations, and all seats are given on a first-come, first-served basis. These practices demonstrate Jet-Away's commitment to which of the following?

(Multiple Choice)
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A fixed position layout is used for goods that must be produced at a specific site or that are so large and bulky that it is not feasible to move them from station to station.

(True/False)
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Discuss three reasons why producers might hold inventories that exceed the amount needed to satisfy current demand. Discuss three drawbacks to holding large inventories? Explain.

(Essay)
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In a critical path network, those activities that aren't on the critical path typically have some slack, meaning that a delay in their completion is unlikely to create a delay in the completion of the overall project-as long as the delay isn't too great.

(True/False)
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When operations managers do their job well, a firm produces the right goods and services in the right quantities-and distributes them to the right customers at the right time.

(True/False)
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Explain the challenges lean production maintains in the service industry. Describe how WestJet Airlines has applied lean techniques to eliminate waste from its operations.

(Essay)
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The best process approach depends on considerations such as the volume of production and the degree of standardization of the product.

(True/False)
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The key to improving efficiency and effectiveness to gain a competitive advantage is improvements in which area?

(Multiple Choice)
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Which of the following is software that provides powerful drawing and drafting tools that enable users to create and edit blueprints and three-dimensional design drawings quickly and easily?

(Multiple Choice)
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Functionality within a servicescape means that the goods function as they are expected to.

(True/False)
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What is ISO and how does it help buyers and sellers in global markets? Explain and describe the ISO 9000 certification process and its relevance to an organization's standard of operations.

(Essay)
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A cellular layout falls behind the product layout and the process layout as it groups different types of machinery and equipment into self-contained cells. Products move from one station in the cell to the next in a specific sequence.

(True/False)
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