Question 1

The higher productivity of U.S. plants is due to technological improvements.

Accepted Answer

A) True 
 B)False

Question 2

________ utility is the value added by the creation of finished goods and services using raw materials, components, and other inputs.

Accepted Answer

A)  Manufacturing 
B)  Marginal 
C)  Consumption 
D)  Form 
A)  Manufacturing 
B)  Marginal 
C)  Consumption 
D)  Form

Question 3

The main idea in the Making Ethical Decisions box "Do We Stay or Do We Go?" indicates

Accepted Answer

A)  a need for firms to place a higher level of importance on time-to-market when choosing facilities locations. 
B)  that the goal of finding the lowest cost location should never be overshadowed by other concerns if the firm is to remain loyal to its stockholders. 
C)  that many locations do not meet ISO 14001 standards. 
D)  a need for firms to consider the economic impact of their existence and/or departure from a particular location. 
A)  a need for firms to place a higher level of importance on time-to-market when choosing facilities locations. 
B)  that the goal of finding the lowest cost location should never be overshadowed by other concerns if the firm is to remain loyal to its stockholders. 
C)  that many locations do not meet ISO 14001 standards. 
D)  a need for firms to consider the economic impact of their existence and/or departure from a particular location.

Question 4

In a PERT network, the sequence of tasks that takes the longest to complete is called the

Accepted Answer

A)  optimal path. 
B)  maximum path. 
C)  straight path. 
D)  critical path. 
A)  optimal path. 
B)  maximum path. 
C)  straight path. 
D)  critical path.

Question 5

The Deming Cycle approach to quality control consists of: Plan, Do, Check, Act.

Accepted Answer

A) True 
 B)False

Question 6

The advantage of computer-integrated manufacturing software is that it allows computer-aided design machines to communicate directly with computer-aided manufacturing machines.

Accepted Answer

A) True 
 B)False

Question 7

New developments in information technology have

Accepted Answer

A)  had little effect on business location decisions. 
B)  given firms even greater flexibility in their location decisions. 
C)  caused a movement of firms back to urban areas where access to this technology is greatest. 
D)  reduced the impact government policies have on location decisions. 
A)  had little effect on business location decisions. 
B)  given firms even greater flexibility in their location decisions. 
C)  caused a movement of firms back to urban areas where access to this technology is greatest. 
D)  reduced the impact government policies have on location decisions.

Question 8

________ is a technique to analyze and sequence tasks involved in completing a project, to estimate the time needed to complete each task, and to determine the minimum amount of time needed to complete each project.

Accepted Answer

A)  PERT 
B)  ECON 
C)  LIFO 
D)  GANTT 
A)  PERT 
B)  ECON 
C)  LIFO 
D)  GANTT

Question 9

Bryant is an outdoorsman. Inspired by his love of hunting and fishing, he started an online company specializing in his favorite hunting and fishing gear. He decided to locate his business near Kentucky Lake, partly because of low labor costs, but mainly because the area offered excellent fishing and hunting opportunities, a low crime rate, and a pleasant climate. Bryant's location decision was strongly influenced by quality of life considerations.

Accepted Answer

A) True 
 B)False

Question 10

Contemporary operations management planning is an interfirm process. An interfirm process is

Accepted Answer

A)  a process that must integrate all of the functional units of a firm's operation, including production, marketing, finance, and logistics. 
B)  a process that uses a confidential plan, not shared with suppliers or customers, which stays within the firm. 
C)  a process where several firms work closely together to design, produce, and ship products to customers. 
D)  a process that seeks stability by adhering to top-down management. 
A)  a process that must integrate all of the functional units of a firm's operation, including production, marketing, finance, and logistics. 
B)  a process that uses a confidential plan, not shared with suppliers or customers, which stays within the firm. 
C)  a process where several firms work closely together to design, produce, and ship products to customers. 
D)  a process that seeks stability by adhering to top-down management.

Question 11

Mass production techniques allowed firms to respond quickly to the individual needs of consumers.

Accepted Answer

A) True 
 B)False

Question 12

Service businesses know that in order to delight customers they must be able to anticipate their needs.

Accepted Answer

A) True 
 B)False

Question 13

Manufacturing companies are concerned with production management, while service companies are concerned with operations management.

Accepted Answer

A) True 
 B)False

Question 14

In the Adapting to Change box, we read that 3D printing can prove to be revolutionary for the medical industry because

Accepted Answer

A)  it basically eliminates the need for human (doctor) intervention. 
B)  it saves on insurance costs. 
C)  it can produce models to help with organ transplants and improved medical imaging. 
D)  it creates images for a doctor without the need for the patient to show up to the examination. 
A)  it basically eliminates the need for human (doctor) intervention. 
B)  it saves on insurance costs. 
C)  it can produce models to help with organ transplants and improved medical imaging. 
D)  it creates images for a doctor without the need for the patient to show up to the examination.

Question 15

The ability to integrate computers into the design and manufacture of products has had the greatest impact on production techniques in recent years.

Accepted Answer

A) True 
 B)False

Question 16

How has the emphasis of quality control changed in recent years? Describe some of the modern quality control techniques that illustrate this change in emphasis.

Accepted Answer

In the past, quality control primarily c

Question 17

The Four Seasons hotel chain offers restaurants with the finest service, elevators that run smoothly, and a front desk that checks people in quickly. Many times fresh-cut flowers are in the lobbies and dishes of fruit are in each room. ________ is responsible for implementing these customer benefits.

Accepted Answer

A)  Human resources management 
B)  The management staff 
C)  Operations management 
D)  Production management 
A)  Human resources management 
B)  The management staff 
C)  Operations management 
D)  Production management

Question 18

The Corporate Comfort Furniture Company mass manufactures first-rate desks and chairs for executive offices. But now, the company is about to make a radical change in its production process. Customers will be able to provide specific measurements, select from a variety of fabric patterns, and answer some basic questions about the furniture styles they like, then design a chair and desk that is ergonomically designed for maximum comfort for its users. The new method Corporate Comfort will use is an example of

Accepted Answer

A)  just-in-time manufacturing. 
B)  analytic production. 
C)  mass customization. 
D)  individualized production. 
A)  just-in-time manufacturing. 
B)  analytic production. 
C)  mass customization. 
D)  individualized production.

Question 19

To strengthen its manufacturing base in the future, U.S. will have to

Accepted Answer

A)  uncover lower wage workers in the U.S. to compete with China. 
B)  continue to innovate. 
C)  support students in high school and college interested in studying the arts. 
D)  cut the amount of benefits offered to workers. 
A)  uncover lower wage workers in the U.S. to compete with China. 
B)  continue to innovate. 
C)  support students in high school and college interested in studying the arts. 
D)  cut the amount of benefits offered to workers.

Question 20

For most service businesses the quality standard has become

Accepted Answer

A)  providing prompt and predictable service. 
B)  providing a competitive level of service at the lowest cost. 
C)  pleasing customers by anticipating their needs. 
D)  less important than it is for manufacturing businesses. 
A)  providing prompt and predictable service. 
B)  providing a competitive level of service at the lowest cost. 
C)  pleasing customers by anticipating their needs. 
D)  less important than it is for manufacturing businesses.

Exam 9: Production and Operations Management

The higher productivity of U.S. plants is due to technological improvements.

________ utility is the value added by the creation of finished goods and services using raw materials, components, and other inputs.

The main idea in the Making Ethical Decisions box "Do We Stay or Do We Go?" indicates

In a PERT network, the sequence of tasks that takes the longest to complete is called the

The Deming Cycle approach to quality control consists of: Plan, Do, Check, Act.

The advantage of computer-integrated manufacturing software is that it allows computer-aided design machines to communicate directly with computer-aided manufacturing machines.

New developments in information technology have

________ is a technique to analyze and sequence tasks involved in completing a project, to estimate the time needed to complete each task, and to determine the minimum amount of time needed to complete each project.

Contemporary operations management planning is an interfirm process. An interfirm process is

Mass production techniques allowed firms to respond quickly to the individual needs of consumers.

Service businesses know that in order to delight customers they must be able to anticipate their needs.

Manufacturing companies are concerned with production management, while service companies are concerned with operations management.

In the Adapting to Change box, we read that 3D printing can prove to be revolutionary for the medical industry because

The ability to integrate computers into the design and manufacture of products has had the greatest impact on production techniques in recent years.

How has the emphasis of quality control changed in recent years? Describe some of the modern quality control techniques that illustrate this change in emphasis.

To strengthen its manufacturing base in the future, U.S. will have to

For most service businesses the quality standard has become

Taking Risks and Making Profits Within the Dynamic Business Environment

Understanding Economics and How It Affects Business

Doing Business in Global Markets

Demanding Ethical and Socially Responsible Behavior

How to Form a Business

Entrepreneurship and Starting a Small Business

Management and Leadership

Structuring Organizations for Todays Challenges

Motivating Employees

Human Resource Management: Finding and Keeping the Best Employees

Dealing With Employeemanagement Issues

Marketing: Helping Buyers Buy

Developing and Pricing Goods and Services

Distributing Products

Using Effective Promotions

Understanding Accounting and Financial Information

Financial Management

Using Securities Markets for Financing and Investing Opportunities

Money, Financial Institutions, and the Federal Reserve

Working Within the Legal Environment

Using Technology to Manage Information

Managing Risk

Managing Personal Finances

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