Deck 1: Operations Management

Question 1

Two-thirds of today's businesses operate globally.

Answer 1

True

Question 2

Operations management designs,operates,and improves productive systems.

Answer 2

True

Question 3

The set of activities that create and deliver products to the customer is known as the supply chain.

Answer 3

True

Question 4

The European Union requires that strict quality and environmental standards be met before companies can do business with member countries.

Question 5

China is reshaping the way firms compete globally.

Question 6

The adaptation of mass production to emphasize efficiency,rather than quality is known as lean production.

Question 7

A warehouse operation is an example of a physical transformation process.

Question 8

The four primary functional areas of a firm are marketing,finance,operations,and human resources.

Question 9

A transformation process is a series of activities from supplier to customer that add value to a product or service.

Question 10

To be effective an operations manager needs an integrated view of business organizations.

Question 11

Mass production refers to high-volume production of a standardized product.

Question 12

Human resources management provides demand estimates that are used in production decisions.

Question 13

Operations management is concerned only with the day-to-day operations of a firm's productive systems.

Question 14

Globalization requires that firms compete on cost and not quality,speed,or flexibility.

Question 15

Operations research is concerned with the systematic analysis of work methods.

Question 16

The systematic analysis of work methods is known as scientific management.

Question 17

A retail operation is an example of an exchange transformation process.

Question 18

Globalization has affected both manufacturing and service operations.

Question 19

The process of producing high-volume,standardized products for a large market is known as craft production.

Question 20

Globalization of the supply chain for many products has many pros and few,if any,cons.

Question 21

Strategy formulation starts with determining a firm's order winners and order qualifiers.

Question 22

An order qualifier is a customer criterion that wins the order.

Question 23

The transformation process associated with health care is best described as

A)locational.
B)exchange.
C)physiological.
D)informational.

Question 24

Many companies now find it necessary to have some global presence to remain competitive.

Question 25

Operations management is concerned with

A)the design of a firm's productive systems.
B)the operation of a firm's productive systems.
C)the improvement of a firm's productive systems.
D)all of the above.

Question 26

Order qualifiers are the characteristics of a product that have to be satisfied just to be considered for purchase by a customer.

Question 27

Canadian companies can become globally competitive by emphasizing the strategic importance of operations.

Question 28

Deployment is a step in strategy formulation that evaluates the alignment between core competencies and order winners.

Question 29

To be competitive firms must create and sustain core competencies that are in tune with their customer's order winners.

Question 30

Core competencies tend to be processes and not products or technologies.

Question 31

Firms compete in the marketplace based on cost,speed,quality,and flexibility.

Question 32

Productivity increases enable a nation to raise its standard of living.

Question 33

Ensuring good quality underlies all operational decisions.

Question 34

Emphasizing the strategic role of operations enhances the competitiveness of Canadian companies.

Question 35

Order winners and order qualifiers change over time in response to the dynamics of changing market conditions.

Question 36

Single factor productivity compares output to an individual input.

Question 37

Productivity is the most common measure of competitiveness.

Question 38

A major challenge and opportunity for many firms is the globalization of the supply chain.

Question 39

A nation's productivity is unrelated to its standard of living.

Question 40

Positioning is a step in strategy formulation that compares core competencies and order winners.

Question 41

Which of the following is not an event or concept associated with the quality revolution?

A)TQM (total quality management)
B)PERT/CPM
C)Business process reengineering
D)JIT

Question 42

All of the following are transformation processes except

A)physiological.
B)locational.
C)exchange.
D)optimal.

Question 43

The work of W.Edwards Deming is most closely associated with

A)MRP.
B)TQM.
C)supply chain management.
D)time and motion studies.

Question 44

All of the following are characteristics of today's consumer market except

A)longer product life cycles.
B)shorter product life cycles.
C)more customized products.
D)product proliferation.

Question 45

All of the following are responsibilities of operations managers except

A)acquiring financial resources.
B)managing inventories.
C)planning production.
D)scheduling production.

Question 46

A firm who is adept at recognizing global windows of opportunity,acting on those very quickly,with tight linkages can be said to be competing on

A)flexibility.
B)speed.
C)quality.
D)cost.

Question 47

Dividing a job into a series of small tasks each performed by a different worker is known as

A)craft production.
B)scientific management.
C)division of labour.
D)interchangeable parts.

Question 48

Companies go global to

A)take advantage of favourable costs.
B)to keep abreast of trends and access new technologies.
C)to build reliable sources of supply.
D)all the above.

Question 49

A manager of a global supply chain is concerned with all the following except

A)timeliness.
B)quality.
C)social issues.
D)All the above are concerns.

Question 50

The ratio of a firm's monthly output to the number of labour hours used in the same month would be a measure of

A)labour productivity.
B)capital productivity.
C)machine productivity.
D)multifactor productivity.

Question 51

Mass production is well suited to all of the following except

A)producing large volumes of goods quickly.
B)adapting quickly to changes in market demand.
C)producing standardized products for a large market.
D)all of the above.

Question 52

Which of the following is not one of the four primary functional areas of a firm?

A)human resources
B)legal
C)marketing
D)operations

Question 53

Japanese firms used the concept of ___ to convert from mass production to lean production.

A)division of labour
B)scientific management
C)just-in-time
D)interchangeable parts

Question 54

The major factors impacting globalization of the supply chain include all the following except

A)creation of the WTO.
B)Regional Trade Agreements.
C)fall of communism.
D)advances in information and transportation technology.

Question 55

The degree of competitiveness in an industry can affect

A)product innovation.
B)technological investment.
C)operating strategy.
D)all of the above.

Question 56

The production system that prizes flexibility over efficiency and quality over quantity is known as

A)mass production.
B)craft production.
C)lean production.
D)electronic commerce.

Question 57

Linear programming,simulation,and waiting line theory are most closely associated with which era in the historical development of operations management?

A)human relations
B)operations research
C)globalization
D)Internet revolution

Question 58

Linear programming,waiting line,simulation,and PERT/CPM are all parts of which era of operations management?

A)Quality Research
B)Operations Research
C)Internet Revolution
D)Globalization