Exam 1: Introduction to Operations Management

Operations and sales are the two functional areas that exist to support activities in other functions such as accounting, finance, IT, and human resources.

One concern in the design of production systems is the degree of standardization.

The process of comparing outputs to previously established standards to determine if corrective action is needed is called:

Which of the following would tend to increase the importance of supply chain management?

Modern firms increasingly rely on other firms to supply goods and services instead of doing these tasks themselves. This increased level of _____________ is leading to increased emphasis on ____________ management.

Which of the following is not an ongoing trend in manufacturing?

The word "technology" is used only to refer to "information technology."

Value added by definition is always a positive number since "added" implies increases.

Which of the following is not a benefit of using models in decision making?

Prior to the Industrial Revolution, goods were produced primarily by craftsmen or their apprentices using custom-made parts.

Which of the following does not relate to system design?

Buying goods or services instead of producing or providing them in-house is called:

The greater the degree of customer involvement, the more challenging the design and management of operations.

The use of models will guarantee the best possible decisions.

Which of the following is not a characteristic of service operations?

Service operations require additional inventory because of the unpredictability of consumer demand.

Which of the following is essential to consider with respect to managing a process to meet demand?

Elton Mayo's Hawthorne experiments were significant contributions to the human relations movement, which emphasized the importance of the human element in job design.

The fact that a few improvements in a few key areas of operations will have more impact than many improvements in many other areas is consistent with the:

Managers should most often rely on quantitative techniques for important decisions since quantitative approaches result in more accurate decisions.