Question 1

In the context of the perspectives of a value chain, product and service guarantees, contract negotiations and consulting services would be considered as _____.

Accepted Answer

A)  preproduction services 
B)  production processes 
C)  postproduction services 
D)  after-sales services 
A)  preproduction services 
B)  production processes 
C)  postproduction services 
D)  after-sales services

Question 2

Which of the following statements in the perspective of a value chain is TRUE?

Accepted Answer

A)  Pre- and postproduction services complete the ownership cycle for a good or service. 
B)  Offshoring is the process of having suppliers provide goods and services that were previously provided internally. 
C)  Value chain integration includes improving external processes for the client, and not the internal processes. 
D)  A value chain is a narrower concept than a supply chain that focuses more on the physical movement of goods, not services. 
A)  Pre- and postproduction services complete the ownership cycle for a good or service. 
B)  Offshoring is the process of having suppliers provide goods and services that were previously provided internally. 
C)  Value chain integration includes improving external processes for the client, and not the internal processes. 
D)  A value chain is a narrower concept than a supply chain that focuses more on the physical movement of goods, not services.

Question 3

List the variety of economic and noneconomic issues to be considered when making offshore decisions.

Accepted Answer

Economic issues include-low labor costs,

Question 4

A U.S. motorcycle manufacturer has the option of either making the gas tank in their newly designed motorcycle, or subcontracting it to a manufacturer from Sinagpore. The manufacturer expects to produce 1,000 units per year. Costs for the two options are:
 $\begin{array}{|l|c|c|}
\hline \text { Source } & \text { Fixed Cost } & \text { Variable Cost } \
\hline \text { Make in-house } & \$ 15,000 & \$ 21.50 \
\hline \text { Buy from Singapore } & \$ 0 & \$ 29.00 \
\hline
\end{array}$
-The annual cost to outsource the manufacturing to Singapore is _____.

Accepted Answer

A)  less than or equal to $30,000 
B)  more than $30,000 but less than or equal to $40,000 
C)  more than $40,000 but less than or equal to $50,000 
D)  more than $50,000 but less than or equal to $60,000 
A)  less than or equal to $30,000 
B)  more than $30,000 but less than or equal to $40,000 
C)  more than $40,000 but less than or equal to $50,000 
D)  more than $50,000 but less than or equal to $60,000

Question 5

The control of Walmart's value chain is _____, while the control of General Electric's is _____.

Accepted Answer

A)  postproduction focused; preproduction focused 
B)  horizontal; vertical 
C)  centralized; decentralized 
D)  backward integrated; forward integrated 
A)  postproduction focused; preproduction focused 
B)  horizontal; vertical 
C)  centralized; decentralized 
D)  backward integrated; forward integrated

Question 6

Sustainable practices can lead to increased revenues.

Accepted Answer

A) True 
 B)False

Question 7

The United States has experienced three waves of outsourcing. Which of the following is NOT one of the waves?

Accepted Answer

A)  Skilled knowledge work 
B)  Mass customization 
C)  Simple service work 
D)  Goods-producing jobs 
A)  Skilled knowledge work 
B)  Mass customization 
C)  Simple service work 
D)  Goods-producing jobs

Question 8

A supply chain is more inclusive than a value chain.

Accepted Answer

A) True 
 B)False

Question 9

A manufacturing company needs to know whether to make in-house or buy a roller gear assembly for its production of a new fax machine. The company expects to produce 9,000 units per year. The following estimates have been made:
 $\begin{array}{|l|c|c|}
\hline & \text { Make } & \text { Buy } \
\hline \text { Fixed cost per year } & \$ 8,000 & \$ 0 \
\hline \text { Variable cost per part } & \$ 5.45 & \$ 6.93 \
\hline
\end{array}$
-The annual cost to make the roller gear assembly in-house is _____.

Accepted Answer

A)  less than or equal to $30,000 
B)  more than $30,000 but less than or equal to $40,000 
C)  more than $40,000 but less than or equal to $50,000 
D)  more than $50,000 but less than or equal to $60,000 
A)  less than or equal to $30,000 
B)  more than $30,000 but less than or equal to $40,000 
C)  more than $40,000 but less than or equal to $50,000 
D)  more than $50,000 but less than or equal to $60,000

Question 10

Pre-planning, response, and recovery from natural or anthropogenic disasters is called _____.

Accepted Answer

A)  reshoring 
B)  offshoring 
C)  emergency management 
D)  vertical integration 
A)  reshoring 
B)  offshoring 
C)  emergency management 
D)  vertical integration

Question 11

A large hotel and casino in Las Vegas is currently under construction. There will be an Italian restaurant in the hotel that will serve pizza. Management is trying to decide whether to make the pizza themselves or buy it frozen and simply heat it to customer order. One major source of commercial-grade frozen pizza is Chun-Yee Corporation. If they make the pizza themselves a substantial amount of preparation equipment will be required, along with skilled personnel. Financial data is as shown below (variable costs are estimated based on an average pizza purchase): $\begin{array}{|l|c|c|}
\hline \text { Source } & \text { Fixed Cost/year } & \text { Variable Cost } \
\hline \text { Make in-house } & \$ 7,870 & \$ 3.20 \
\hline \text { Chun-Yee } & \$ 2,460 & \$ 4.50 \
\hline
\end{array}$ At what volume is the company indifferent to either Chun-Yee or make in-house?

Accepted Answer

A)  Less than or equal to 2,000 
B)  More than 2,000 but less than or equal to 4,000 
C)  More than 4,000 but less than or equal to 6,000 
D)  More than 6,000 but less than or equal to 8,000 
A)  Less than or equal to 2,000 
B)  More than 2,000 but less than or equal to 4,000 
C)  More than 4,000 but less than or equal to 6,000 
D)  More than 6,000 but less than or equal to 8,000

Question 12

A value chain describes the flow of customer information through a production system.

Accepted Answer

A) True 
 B)False

Question 13

Which of the following lessons from the Bookmaster case study is FALSE?

Accepted Answer

A)  Total customer processing time increases in the traditional bricks-and-mortar book value chain compared to an e-book value chain. 
B)  An advantage of the internet-based e-book value chain is convenience. 
C)  The nature of service encounters changed from the traditional bricks-and-mortar book value chain to an e-book value chain. 
D)  The carbon footprint for the total traditional bricks and mortar book value chain is less than for an e-book value chain. 
A)  Total customer processing time increases in the traditional bricks-and-mortar book value chain compared to an e-book value chain. 
B)  An advantage of the internet-based e-book value chain is convenience. 
C)  The nature of service encounters changed from the traditional bricks-and-mortar book value chain to an e-book value chain. 
D)  The carbon footprint for the total traditional bricks and mortar book value chain is less than for an e-book value chain.

Question 14

Which one of the following statements is TRUE regarding the Bookmaster case study?

Accepted Answer

A)  One advantage of the virtual (web-based) value chain is mass customization using
Self-service (i.e., customer labor). 
B)  One advantage of the bricks-and-mortar value chain is more customer convenience and scope of greater product selection. 
C)  One advantage of the virtual (web-based) value chain is more management control. 
D)  One advantage of the bricks-and-mortar value chain is less of a carbon footprint. 
A)  One advantage of the virtual (web-based) value chain is mass customization using
Self-service (i.e., customer labor). 
B)  One advantage of the bricks-and-mortar value chain is more customer convenience and scope of greater product selection. 
C)  One advantage of the virtual (web-based) value chain is more management control. 
D)  One advantage of the bricks-and-mortar value chain is less of a carbon footprint.

Question 15

Define value and discuss three ways for organizations to increase value.

Accepted Answer

Value is the perception of the benefits

Question 16

Offshoring is the process of moving operations back to a company's domestic location.

Accepted Answer

A) True 
 B)False

Question 17

A vertical integration strategy generally reduces the complexity of managing a value chain.

Accepted Answer

A) True 
 B)False

Question 18

A manufacturing company needs to know whether to make in-house or buy a roller gear assembly for its production of a new fax machine. The company expects to produce 9,000 units per year. The following estimates have been made:
 $\begin{array}{|l|c|c|}
\hline & \text { Make } & \text { Buy } \
\hline \text { Fixed cost per year } & \$ 8,000 & \$ 0 \
\hline \text { Variable cost per part } & \$ 5.45 & \$ 6.93 \
\hline
\end{array}$
-The volume they are indifferent regarding the decision to make or buy is _____ units.

Accepted Answer

A)  less than or equal to 2,000 
B)  more than 2,000 but less than or equal to 4,000 
C)  more than 4,000 but less than or equal to 6,000 
D)  more than 6,000 but less than or equal to 8,000 
A)  less than or equal to 2,000 
B)  more than 2,000 but less than or equal to 4,000 
C)  more than 4,000 but less than or equal to 6,000 
D)  more than 6,000 but less than or equal to 8,000

Question 19

Define multinational enterprises. What challenges do they pose to operations managers?

Accepted Answer

A multinational enterprise is an organiz

Question 20

Value chain integration for goods-producing firms requires consolidating information systems among suppliers, factories, distributors, and customers; managing the supply chain and scheduling factories; and studying new ways to use technology.

Accepted Answer

A) True 
 B)False

In the context of the perspectives of a value chain, product and service guarantees, contract negotiations and consulting services would be considered as _____.

Which of the following statements in the perspective of a value chain is TRUE?

List the variety of economic and noneconomic issues to be considered when making offshore decisions.

The control of Walmart's value chain is _, while the control of General Electric's is _.

Sustainable practices can lead to increased revenues.

The United States has experienced three waves of outsourcing. Which of the following is NOT one of the waves?

A supply chain is more inclusive than a value chain.

Pre-planning, response, and recovery from natural or anthropogenic disasters is called _____.

A value chain describes the flow of customer information through a production system.

Which of the following lessons from the Bookmaster case study is FALSE?

Which one of the following statements is TRUE regarding the Bookmaster case study?

Define value and discuss three ways for organizations to increase value.

Offshoring is the process of moving operations back to a company's domestic location.

A vertical integration strategy generally reduces the complexity of managing a value chain.

Define multinational enterprises. What challenges do they pose to operations managers?

Value chain integration for goods-producing firms requires consolidating information systems among suppliers, factories, distributors, and customers; managing the supply chain and scheduling factories; and studying new ways to use technology.

Goods, Services, and Operations Management

Measuring Performance in Operations

Operations Strategy

Technology and Operations Management

Goods and Service Design

Process Selection, Design, and Analysis

Facility and Work Designs

Supply Chain Design

Capacity Management

Forecasting and Demand Planning

Managing Inventories

Resource Management

Operations Scheduling and Sequencing

Quality Management

Appendix: Quality Management

Quality Control and Spc

Appendix: Queuing Analysis

Appendix: Modeling Using Linear Programming

Lean Operating Systems

Appendix: Simulation

Project Management

Appendix: Decision Analysis

Filters

Exam 2: Value Chains

In the context of the perspectives of a value chain, product and service guarantees, contract negotiations and consulting services would be considered as _____.

Which of the following statements in the perspective of a value chain is TRUE?

List the variety of economic and noneconomic issues to be considered when making offshore decisions.

The control of Walmart's value chain is _____, while the control of General Electric's is _____.

Sustainable practices can lead to increased revenues.

The United States has experienced three waves of outsourcing. Which of the following is NOT one of the waves?

A supply chain is more inclusive than a value chain.

Pre-planning, response, and recovery from natural or anthropogenic disasters is called _____.

A value chain describes the flow of customer information through a production system.

Which of the following lessons from the Bookmaster case study is FALSE?

Which one of the following statements is TRUE regarding the Bookmaster case study?

Define value and discuss three ways for organizations to increase value.

Offshoring is the process of moving operations back to a company's domestic location.

A vertical integration strategy generally reduces the complexity of managing a value chain.

Define multinational enterprises. What challenges do they pose to operations managers?

Value chain integration for goods-producing firms requires consolidating information systems among suppliers, factories, distributors, and customers; managing the supply chain and scheduling factories; and studying new ways to use technology.

Goods, Services, and Operations Management

Measuring Performance in Operations

Operations Strategy

Technology and Operations Management

Goods and Service Design

Process Selection, Design, and Analysis

Facility and Work Designs

Supply Chain Design

Capacity Management

Forecasting and Demand Planning

Managing Inventories

Resource Management

Operations Scheduling and Sequencing

Quality Management

Appendix: Quality Management

Quality Control and Spc

Appendix: Queuing Analysis

Appendix: Modeling Using Linear Programming

Lean Operating Systems

Appendix: Simulation

Project Management

Appendix: Decision Analysis

Filters

The control of Walmart's value chain is _, while the control of General Electric's is _.