Exam 11: Producing Goods and Services

Video Plus sells a wide range of video games as well as other sports-related items.The company needs a larger location,and one possibility has come up for rent at a nearby strip mall at a low rental rate.It gives the company more space for both product display and for behind-the-counter staff.Although the strip mall is in an area where there is lots of petty crime,the CEO feels that the company should relocate.If the following facts were known,which one would weaken the CEO's position?

In which of the following layouts are people and equipment set up to produce only one type of good and are rearranged according to its production requirements?

The type of utility provided by convenience stores such as 7-Eleven and Circle K is

In high-contact systems capacity should be based on peak demand.

A public transit system is an example of a _________ process,while a cheque processing operation at a bank is a __________ process.

What does it mean to say,"production managers are ultimately responsible for creating utility"? Explain this phrase and the term "utility" in your response.

How should capacity planning be done for service businesses?

Lee operates a metal forming machine in a small manufacturing facility.The type of transformation technology that he is using is fabrication.

Nissan,Toyota,and Honda now build several different models of cars using the same basic "platform." This is an example of

Which of the following statements regarding production operations is true?

A supermarket has far more cash registers than it needs on an average day.This illustrates the need for a high-contact service to have capacity that meets peak demand.

Barry is a production manager who is trying to reduce waste and inefficiency by examining factory procedures on a step-by-step basis.Barry is using method improvement.

All goods-manufacturing processes can be classified in two different ways: by the type of transformation technology that transforms raw materials into finished goods,and by the nature of the transformation process (analytic or synthetic).

What are the two primary sub-areas of operations control?

By turning raw materials into finished goods,production creates

The four main areas of materials management are transportation,warehousing,inventory control,and purchasing.

What advantages are obtained from the use of a just-in-time inventory system?

What is the meaning of "operations control"?

In a(n)________ layout,equipment and people are grouped together according to their function.

Suppose that a catalogue sales warehouse hires enough order fillers to handle 1000 orders per day.When daily orders exceed this average,some orders are placed in a "to-be-done" file to be processed on a day when fewer than 1000 orders are received.This strategy illustrates the need for a high-contact service to have capacity that meets average demand.