Question 1

Which of the following is the rationale behind the development of flexible manufacturing techniques?

Accepted Answer

A) Efficiency will increase with an increase in the setup time for complex production. 
B) Efficiency will improve with an increase in setup costs. 
C) Actual production time will decrease with a decrease in setup time. 
D) An increase in setup time will increase the actual production time. 
E) Efficiency will increase with an increase in the actual production time.

Question 2

Marketing function involves research activities to create new or improved products that add value to a product.

Accepted Answer

A) True 
 B)False

Question 3

An organization that increases its quality can improve its profits by _____ the prices of its products due to increased reliability and _____ its operating costs due to increased productivity.

Accepted Answer

A) decreasing; reducing 
B) reducing; increasing 
C) increasing; increasing 
D) increasing; reducing 
E) discounting; increasing

Question 4

An automobile manufacturer redesigning the body of one of its cars to improve its aerodynamics is an example of quantum product innovation.

Accepted Answer

A) True 
 B)False

Question 5

What is customer relationship management? Describe the possible changes in the operation of a grocery store in a small town that recently implemented a customer relationship management system.

Accepted Answer

The answer of What is customer relationship management? Describe the...

Question 6

__________ members of a team bear the primary responsibility for the success of a project and stay with a project from inception to completion.

Accepted Answer

A) Contract 
B) Core 
C) Permanent 
D) Developmental 
E) Founding

Question 7

_______ is a technique that forces managers to choose among competing projects so functional resources are not spread thinly over too many projects.

Accepted Answer

A) Brainstorming 
B) A stage-gate development funnel 
C) Process reengineering 
D) A product development plan 
E) A project development plan

Question 8

The just-in-time view of inventory leads an organization to stockpile excess inputs in a warehouse in case it needs them to meet sudden upturns in demand.

Accepted Answer

A) True 
 B)False

Question 9

A value chain is a series of functional activities that convert inputs into finished goods or services that customers value.

Accepted Answer

A) True 
 B)False

Question 10

Attaining _____ includes all the other methods of achieving competitive advantage.

Accepted Answer

A) superior efficiency 
B) superior quality 
C) superior innovation 
D) superior responsiveness to customers 
E) superior speed and flexibility

Question 11

_____ is a strategy based on the use of IT to reduce the costs associated with the product assembly processor the way services are delivered to customers.

Accepted Answer

A) Six Sigma 
B) Flexible manufacturing technology 
C) Process reengineering 
D) Total quality management (TQM) 
E) Customer relationship management (CRM)

Question 12

______ is the gradual improvement and refinement of existing products over time as existing technologies are perfected.

Accepted Answer

A) Quantum process innovation 
B) Quantum product innovation 
C) Incremental product innovation 
D) Incremental process innovation 
E) Process reengineering

Question 13

Which of the following is true about quantum product innovations?

Accepted Answer

A) Quantum product innovations are always more important than incremental product innovations. 
B) Quantum product innovations involve improving and refining existing products. 
C) Quantum product innovations are rarer than incremental product innovations. 
D) Quantum product innovations are more frequent than incremental product innovations. 
E) Quantum product innovations result largely from ongoing technological advances.

Question 14

NutraPlus manufactures dietary supplements.Each workstation is self-contained, and a product goes to whichever workstation is needed to perform the next operation to complete the product.This is an example of a _____ layout.

Accepted Answer

A) fixed-position 
B) process 
C) facilities 
D) product 
E) office

Question 15

________ are the goods and products manufactured using fundamental shifts in technology as a result of pioneering discoveries.

Accepted Answer

A) Quantum process innovations 
B) Quantum product innovations 
C) Incremental product innovations 
D) Incremental process innovations 
E) Product development

Question 16

Which of the following should an organization do in order to obtain a competitive advantage through superior efficiency?

Accepted Answer

A) make products that are much more reliable than the products available in the market 
B) reduce the number of inputs it requires to produce a given amount of outputs 
C) use technology to make its product unique and different when compared to its rivals' 
D) conduct surveys to determine whether a product will be successful in the market 
E) create products that will attract customers and charge a premium price for those products

Question 17

Good value chain management requires that marketing managers focus on the type of products it makes.

Accepted Answer

A) True 
 B)False

Question 18

Which of the following is true about the impact of high-quality products?

Accepted Answer

A) High product quality results in high operating costs. 
B) High product quality results in high employee productivity. 
C) High product quality lowers efficiency. 
D) High product quality reduces profits. 
E) High product quality lowers customer retention.

Question 19

According to total quality management philosophy, the managers involved in quality control or engineering define the quality.

Accepted Answer

A) True 
 B)False

Question 20

Using the Internet to manage the value chain reduces the costs of coordination both between the company and its customers and between the company and its suppliers.

Accepted Answer

A) True 
 B)False

Exam 9: Value Chain Management: Functional Strategies for Competitive Advantage

Which of the following is the rationale behind the development of flexible manufacturing techniques?

Marketing function involves research activities to create new or improved products that add value to a product.

An organization that increases its quality can improve its profits by _ the prices of its products due to increased reliability and _ its operating costs due to increased productivity.

An automobile manufacturer redesigning the body of one of its cars to improve its aerodynamics is an example of quantum product innovation.

What is customer relationship management? Describe the possible changes in the operation of a grocery store in a small town that recently implemented a customer relationship management system.

__________ members of a team bear the primary responsibility for the success of a project and stay with a project from inception to completion.

_______ is a technique that forces managers to choose among competing projects so functional resources are not spread thinly over too many projects.

The just-in-time view of inventory leads an organization to stockpile excess inputs in a warehouse in case it needs them to meet sudden upturns in demand.

A value chain is a series of functional activities that convert inputs into finished goods or services that customers value.

Attaining _____ includes all the other methods of achieving competitive advantage.

_____ is a strategy based on the use of IT to reduce the costs associated with the product assembly processor the way services are delivered to customers.

______ is the gradual improvement and refinement of existing products over time as existing technologies are perfected.

Which of the following is true about quantum product innovations?

NutraPlus manufactures dietary supplements.Each workstation is self-contained, and a product goes to whichever workstation is needed to perform the next operation to complete the product.This is an example of a _____ layout.

________ are the goods and products manufactured using fundamental shifts in technology as a result of pioneering discoveries.

Which of the following should an organization do in order to obtain a competitive advantage through superior efficiency?

Good value chain management requires that marketing managers focus on the type of products it makes.

Which of the following is true about the impact of high-quality products?

According to total quality management philosophy, the managers involved in quality control or engineering define the quality.

Using the Internet to manage the value chain reduces the costs of coordination both between the company and its customers and between the company and its suppliers.