Question 1

Which of the following statements best describes "process thinking"?

Accepted Answer

A) It is a way to manage thought processes to make better decisions. 
B) It is a way to view business as a system of interrelated activities. 
C) It is a way to approach work systematically. 
D) It is a way to categorize elements of work activities.

Question 2

Which of the following statements is NOT true regarding supply chain management?

Accepted Answer

A) Globalization has slowed the growth of supply chain management. 
B) Supply chain management is a way of viewing operations management. 
C) Supply chain management has grown as a result of a focus on core capabilities. 
D) Supply chain management is about making the most of relationships with suppliers.

Question 3

Which of the following functions would NOT have to think about "processes"?

Accepted Answer

A) Logistics management 
B) Production management 
C) Supply management 
D) Accounting 
E) All of these have to think about "processes."

Question 4

Which of the following is NOT one of the processes included in operations management?

Accepted Answer

A) Design 
B) Finance 
C) Produce 
D) Deliver

Question 5

Different levels of planning in supply chain operations management include:

Accepted Answer

A) General and detailed planning. 
B) Strategic,tactical,and operational planning. 
C) Long-term and short-term planning. 
D) Logistical,operational,and procurement planning.

Question 6

Johnson Company makes widgets,which it then sends to Smith Company.Smith Company puts the widgets in packages.Smith Company is considered by Johnson to be a:

Accepted Answer

A) Key customer. 
B) Upstream product supplier. 
C) Aftermarket supplier. 
D) Downstream product supplier.

Question 7

Which of the following factors is NOT a major change driver that supply chain managers are concerned about?

Accepted Answer

A) Technology changes 
B) Regulatory changes 
C) Global political changes 
D) Supply chain managers are concerned about all of these changes.

Question 8

Suppose that you are the general manager of a hotel.For which of the following issues would you first seek help from an operations manager in your firm?

Accepted Answer

A) Our prices seem to be too high. 
B) Customers' complaints are rising. 
C) We need a new insurance policy. 
D) We are running out of cash.

Question 9

A process is:

Accepted Answer

A) A set of planned steps used to achieve an objective. 
B) A system of activities that transforms inputs into valuable outputs. 
C) A system of decisions. 
D) A combined effort by people who want to get something done.

Question 10

Operations management is:

Accepted Answer

A) The management of production. 
B) The management of services. 
C) The management of processes. 
D) The management of physicians.

Question 11

How is "supply chain management" different than "operations management"?

Accepted Answer

A) They are exactly the same thing 
B) Supply chain management focuses mainly on supplier relationships,while operations management focuses mainly on production 
C) Supply chain management is about relationships and flows,while operations management is about processes 
D) Supply chain management is external,while operations management is internal

Question 12

To an operations manager,the "key customer" is:

Accepted Answer

A) The person who buys a product. 
B) The person who has the greatest impact on design,sales,and growth opportunities for the product. 
C) The Echelon 1 customer. 
D) The person who uses the product.

Question 13

Every organization operates which of the following types of supply chains?

Accepted Answer

A) Product and tangible goods supply chains. 
B) Information and personnel supply chains. 
C) Direct and indirect supply chains. 
D) Product and resource/technology supply chains.

Question 14

A supply chain is a global network of organizations and activities involved in:

Accepted Answer

A) Producing,buying,servicing,and disposing of goods and services. 
B) Designing,transforming,consuming,and disposing of goods and services. 
C) Financing,producing,and marketing of goods and services. 
D) Designing,financing,selling,and disposing of goods and services.

Question 15

An example of strategic planning is:

Accepted Answer

A) Deciding where to locate a new manufacturing plant. 
B) Forecasting next week's demand of a given product item. 
C) Targeting customer demand for aggregate product families. 
D) Setting inventory levels for a given product.

Question 16

During the "mass production" era,operations management focused primarily on:

Accepted Answer

A) Production and design. 
B) Internal production. 
C) The global supply chain. 
D) Sales,production,and design.

Question 17

Which functional activities are the most closely related to operations managers' attempts to manage the flow of materials and information in a firm?

Accepted Answer

A) Finance,accounting,and supply management 
B) Logistics,finance,and supply management 
C) Logistics,supply,and customer management 
D) Customer,finance,and logistics management

Question 18

Which of the following statements is a reason why operations management is important?

Accepted Answer

A) Efficient and productive operations drive the economic well-being of nations. 
B) Operations management is responsible for much of the value created by organizations. 
C) Operations management is a key source of competitive differentiation among firms. 
D) All of these are reasons why operations management is important.

Question 19

Jones Manufacturing sells a part to Lear Corporation.Lear puts this part into a radio,which Lear then sells to Ford.From Ford's point of view,Jones Manufacturing is a(n)__________ supplier.

Accepted Answer

A) Echelon 1 
B) Echelon 2 
C) Tier 1 
D) Tier 2

Question 20

Up until the latter parts of the 20th century,operations management mainly focused on:

Accepted Answer

A) Design 
B) Internal production 
C) External outsourcing 
D) Globalization

Exam 1: Introduction to Managing Operations Across the Supply Chain