Question 1

Which of the following is a similarity between goods and services?

Accepted Answer

A)  mass production 
B)  consistency 
C)  automation 
D)  application of operations management 
E)  all of the above 
A)  mass production 
B)  consistency 
C)  automation 
D)  application of operations management 
E)  all of the above

Question 2

One reason to study operations management is to learn how people organize themselves for productive enterprise.

Accepted Answer

A) True 
 B)False

Question 3

Productivity can be improved by

Accepted Answer

A)  increasing inputs while holding outputs steady 
B)  decreasing outputs while holding inputs steady 
C)  increasing inputs and outputs in the same proportion 
D)  decreasing inputs while holding outputs steady 
E)  none of the above 
A)  increasing inputs while holding outputs steady 
B)  decreasing outputs while holding inputs steady 
C)  increasing inputs and outputs in the same proportion 
D)  decreasing inputs while holding outputs steady 
E)  none of the above

Question 4

A knowledge society is one that has migrated from work based on knowledge to one based on manual work.

Accepted Answer

A) True 
 B)False

Question 5

An example of a "hidden" production function is money transfers at banks.

Accepted Answer

A) True 
 B)False

Question 6

Gibson Valves produces cast bronze valves on an assembly line. If 1600 valves are produced in an 8-hour shift, the productivity of the line is

Accepted Answer

A)  2 valves/hr 
B)  40 valves/hr 
C)  80 valves/hr 
D)  200 valves/hr 
E)  1600 valves/hr 
A)  2 valves/hr 
B)  40 valves/hr 
C)  80 valves/hr 
D)  200 valves/hr 
E)  1600 valves/hr

Question 7

A swimming pool company has 100,000 labor hours available per summer and with a labor productivity of 5 pools per 6,000 hours.
a. How many pools can the company install this summer?
b. Suppose the multifactor productivity was one pool per $25,000. How much should the company expect to spend this summer constructing the pools?

Accepted Answer

(a) 100,000 hours *

Question 8

Measuring the impact of a capital acquisition on productivity is an example of multifactor productivity.

Accepted Answer

A) True 
 B)False

Question 9

Marketing, Production, and __________ are the three functions that all organizations must perform to create goods and services.

Accepted Answer

The answer of Marketing, Production, and __________ are the three...

Question 10

A grocery chain is considering the installation of a set of 4 self-checkout lanes. The new self-checkout lane setup will replace 2 old cashier lanes that were staffed by a cashier and bagger on each lane. One cashier mans all 4 self-checkouts (answering questions, checking for un-scanned items, taking coupons, etc). Checkout on the new lanes takes 2 minutes (customers bag their own orders) while checkout with the old lanes took only 45 seconds. In addition the electricity costs for both setups are $.05 per checkout while bagging (material) costs are $.1 per checkout with the old system and $.15 for the new system. The new lanes also require $100 in capital costs. Assume that the lanes are always in use for 8 hours per day (1 shift) and that a worker makes $10/hour.
a. How many checkouts did the old system provide in a shift?
b. How many checkouts does the new system provide?
c. What is the multifactor productivity for each system?

Accepted Answer

(a) 2 lanes * 8 hours * 3600 seconds/hou

Question 11

The "Father of Scientific Management" is

Accepted Answer

A)  Henry Ford 
B)  Frederick W. Taylor 
C)  W. Edwards Deming 
D)  Frank Gilbreth 
E)  just a figure of speech, not a reference to a person 
A)  Henry Ford 
B)  Frederick W. Taylor 
C)  W. Edwards Deming 
D)  Frank Gilbreth 
E)  just a figure of speech, not a reference to a person

Question 12

A foundry produces circular utility access hatches (manhole covers). If 120 covers are produced in a 10-hour shift, the productivity of the line is

Accepted Answer

A)  1.2 covers/hr 
B)  2 covers/hr 
C)  12 covers/hr 
D)  1200 covers/hr 
E)  none of the above 
A)  1.2 covers/hr 
B)  2 covers/hr 
C)  12 covers/hr 
D)  1200 covers/hr 
E)  none of the above

Question 13

In order to have a career in operations management, one must have a degree in statistics or quantitative methods.

Accepted Answer

A) True 
 B)False

Question 14

Reasons to study Operations Management include

Accepted Answer

A)  studying how people organize themselves for productive enterprise 
B)  knowing how goods and services are consumed 
C)  understanding what human resource managers do 
D)  learning about a costly part of the enterprise 
E)  A and D 
A)  studying how people organize themselves for productive enterprise 
B)  knowing how goods and services are consumed 
C)  understanding what human resource managers do 
D)  learning about a costly part of the enterprise 
E)  A and D

Question 15

The Dulac Box plant produces wooden packing boxes to be used in the local seafood industry. Current operations allow the company to make 500 boxes per day, in two 8-hour shifts (250 boxes per shift). The company has introduced some moderate changes in equipment, and conducted appropriate job training, so that production levels have risen to 300 boxes per shift. Labor costs average $10 per hour for each of the 5 full-time workers on each shift. Capital costs were previously $3,000 per day, and rose to $3,200 per day with the equipment modifications. Energy costs were unchanged by the modifications, at $400 per day. What is the firm's multifactor productivity before and after the changes?

Accepted Answer

MFP before: 500 boxes / ($10x5

Question 16

The person most responsible for popularizing interchangeable parts in manufacturing was

Accepted Answer

A)  Frederick Winslow Taylor 
B)  Henry Ford 
C)  Eli Whitney 
D)  Whitney Houston 
E)  Lillian Gilbreth 
A)  Frederick Winslow Taylor 
B)  Henry Ford 
C)  Eli Whitney 
D)  Whitney Houston 
E)  Lillian Gilbreth

Question 17

Which of the following nets the largest productivity improvement?

Accepted Answer

A)  increase output 15% 
B)  decrease input 15% 
C)  increase both output and input by 5% 
D)  increase output 10%, decrease input 3% 
E)  decrease input 10%, increase output 3% 
A)  increase output 15% 
B)  decrease input 15% 
C)  increase both output and input by 5% 
D)  increase output 10%, decrease input 3% 
E)  decrease input 10%, increase output 3%

Question 18

Shewhart's contributions to operations management came during the Scientific Management Era.

Accepted Answer

A) True 
 B)False

Question 19

A local university is considering changes to its class structure in an effort to increase professor productivity. The old schedule had each professor teaching 5 classes per week, with each class meeting an hour per day on Monday, Wednesday, and Friday. Each class contained 20 students. The new schedule has each professor teaching only 3 classes, but each class meets daily for an hour. New classes contain 50 students.
a. Calculate the labor productivity for the initial situation (students/hour).
b. Calculate the labor productivity for the schedule change (students/hour).
c. Are there any ethical considerations that should be accounted for?
d. Suppose that each teacher also is required to have 2 hours of Office Hours each day he/she taught class. Is the schedule change a productivity increase?

Accepted Answer

(a) Professors teach 100 students in 15

Question 20

Operations management is applicable

Accepted Answer

A)  mostly to the service sector 
B)  to services exclusively 
C)  mostly to the manufacturing sector 
D)  to all firms, whether manufacturing or service 
E)  to the manufacturing sector exclusively 
A)  mostly to the service sector 
B)  to services exclusively 
C)  mostly to the manufacturing sector 
D)  to all firms, whether manufacturing or service 
E)  to the manufacturing sector exclusively

Exam 1: Operations and Productivity

Which of the following is a similarity between goods and services?

One reason to study operations management is to learn how people organize themselves for productive enterprise.

Productivity can be improved by

A knowledge society is one that has migrated from work based on knowledge to one based on manual work.

An example of a "hidden" production function is money transfers at banks.

Gibson Valves produces cast bronze valves on an assembly line. If 1600 valves are produced in an 8-hour shift, the productivity of the line is

Measuring the impact of a capital acquisition on productivity is an example of multifactor productivity.

Marketing, Production, and __________ are the three functions that all organizations must perform to create goods and services.

The "Father of Scientific Management" is

A foundry produces circular utility access hatches (manhole covers). If 120 covers are produced in a 10-hour shift, the productivity of the line is

In order to have a career in operations management, one must have a degree in statistics or quantitative methods.

Reasons to study Operations Management include

The person most responsible for popularizing interchangeable parts in manufacturing was

Which of the following nets the largest productivity improvement?

Shewhart's contributions to operations management came during the Scientific Management Era.

Operations management is applicable

Operations Strategy in a Global Environment

Project Management

Forecasting

Design of Goods and Services

Managing Quality

Statistical Process Control

Process Strategy

Capacity and Constraint Management

Location Strategies

Layout Strategies

Human Resources, Job Design, and Work Measurement

Supply-Chain Management

Outsourcing as a Supply-Chain Strategy

Inventory Management

Aggregate Planning

Material Requirements Planning MRP and ERP

Short-Term Scheduling

Just-In-Time and Lean Options

Maintenance and Reliability

Decision-Making Tools

Linear Programming

Transportation Models

Waiting-Line Models

Learning Curves

Simulation

Filters