Operations Management (Chapter 1) – Flashcards

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What is an example of a "hidden" production function?
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Money transfers at banks
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Which of the following is not one of the ten critical decisions of operations management?
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Determining the financial leverage position
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An operations task performed at Hard Rock Café is:
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Preparing employee schedules.
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Operations management is applicable
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to all firms, whether manufacturing or service.
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Which of the following are the primary functions of all organizations?
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Marketing, Production/Operations, and Finance/Accounting
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Which of the following would not be an operations function in a commercial bank?
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Auditing
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The marketing function's main concern is with
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Generating the demand for the organizations products or services.
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Which of the following tasks within an Airline Company are related to Operations?
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Crew Scheduling
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Reasons to study Operations Management include
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Studying how people organize themselves for productive enterprise. Learning about a costly part of the enterprise.
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Reasons to study Operations Management include learning about
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How people organize themselves for productive enterprise. How goods and services are produced. What operations managers do. A costly part of the enterprise.
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The first five elements in the management process are
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Plan, Organize, Staff, Lead, and Control
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Illiteracy and poor diets have been known to cost countries up to what percent of their productivity?
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20%
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Which of the following is not an element of the management process?
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Pricing
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An operations manager is not likely to be involved in
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The identification of customers wants and needs.
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All of the following decisions fall within the scope of operations management except for
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Creating the company income statement
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The ten critical decisions of operations management include
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Layout strategy, maintenance, process and capacity design, and managing quality.
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Which of the following is not one of the ten critical decisions of operations management?
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Mass customization
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The ten critical decisions of operations management include?
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Process and capacity design
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Which of the following are part of the ten critical decisions of operations management?
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Design of goods and services. Managing Quality. Layout Strategy.
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ASQ, ISM, APICS, and PMI are important professional organizations to operations management because
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They provide certification for professionals. They allow professionals to keep up with industry developments. They facilitate professional networking.
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Walter Shewhart is listed among the important people of operations management because of his contributions to
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Statistical quality control.
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Walter Skewhart, in the ______, provided the foundations for _____ in operations management.
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1920's, statistical sampling.
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Eli Whitney, in the _____, provided the foundations for _____ in operations management.
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nineteenth century, interchangeable parts.
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The person most responsible for popularizing interchangeable parts in manufacturing was
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Eli Whitney.
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The "Father of Scientific Management" is
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Frederick W. Taylor
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Henry Ford is noted for his contributions to
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Assembly line operations.
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Who among the following is associated with contributions to quality control in operations management?
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W. Edwards Deming
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The field of operations management is shaped by advances in which of the following fields?
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Chemistry and physics. Industrial engineering and management science. Biology and anatomy. Information technology.
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Which of the following is the best example of a pure service?
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Counseling
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Which of the following statements is true?
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The person most responsible for initiating the use of interchangeable parts in manufacturing was Eli Whitney.
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The service sector makes up approximately what percentage of all jobs in the United States?
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79 percent
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Which is not true regarding differences between goods and services?
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Tangible goods are generally produced and consumed simultaneously, services are not.
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Which is not true regarding differences between goods and services?
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Goods tend to have higher customer interaction than services.
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Which of the following services is least likely to be unique, i.e., customized to a particular individuals needs?
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Elementary Education.
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Which of the following is not a typical service attribute?
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Easy to store.
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Which of the following statements is true?
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Each manufacturing employee now produces about 20 times more than in 1950.
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Which of the following attributes is most typical of a service?
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Production and consumption occur simultaneously.
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Which of the following is a similarity between goods and services?
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Application of operations management.
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Current trends in operations management include
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Just in time performance. Rapid product development. Mass customization. Empowered employees.
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Which of the following is a current trend in operations management?
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Just in time performance. Global focus. Supply chain partnering. Mass customization.
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Which of the following statements about trends in operations management is false?
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Environmentally sensitive production is giving way to low cost focus.
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Productivity measurement is complicated by
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The fact that precise units of measure are often unavailable.
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The total of all outputs produced y the transformation process divided by the total of the inputs is
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Multifactor productivity
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Which productivity variable has the greatest potential to increase productivity?
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Management
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Which of the following nets the largest productivity improvement?
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Decrease input by 15%
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Productivity can be improved by
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Decreasing inputs while holding outputs steady.
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The largest contributor to productivity increases is _____, estimated to be responsible for ______ of the annual increase.
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Management, over one-half.
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The factor responsible for the largest portion of productivity increase in the U.S. is
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Management
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Which of the following is not true when explaining why productivity tends to be lower in the service sector than in the manufacturing sector?
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Service operations are typically capital intensive.
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Three commonly used productivity variables are
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Labor, capital, and management.
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The service sector has lower productivity improvements than the manufacturing sector because
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Services usually are labor intensive.
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Productivity tends to be more difficult to improve in the service sector because the work is
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Often difficult to automate. Typically labor intensive. Frequently processed individually. Often an intellectual task performed by professionals.
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Among the ethical and social challenges facing operations managers are
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Honoring stakeholder commitments. Maintaining a sustainable environment. Efficiently developing and producing safe, quality products. Providing a safe workplace.
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Among the ethical and social challenges facing operations managers are
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Maintaining a sustainable environment.
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Which of the following is not among the ethical and social challenges facing operations managers?
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Increasing executive pay.
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A business's stakeholders, whose conflicting perspectives cause ethical and social dilemmas, include
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Lenders. Suppliers. Owners. Employees.
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Starbucks stopped requiring signatures on credit card purchases under $25 in an attempt to reduce
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Transaction time or service time.
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_____ is the set of activities that transforms inputs into goods and services.
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Operations management.
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Marketing, production, and _____ are the three functions that all organizations must perform to create goods and services.
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Finance/Accounting
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"Should we make or buy this component?" is an issue in the _____ critical decision area.
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Supply chain management.
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Henry Ford and _____ are credited with the development of the moving assembly line.
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Charles Soresen.
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When a tangible product is not included in a service, such as with counseling, it is called a _____.
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Pure Service.
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_____ is the ability of the organization to be flexible enough to cater to the individual whims of consumers.
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Mass customization.
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_____ is the operations management trend that moves more decision making to the individual worker.
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Empowered employees.
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_____ is the total of all outputs produced by the transformation process divided by the total of the inputs.
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Multifactor productivity.
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Productivity is the ratio of ____ to _____. Using this relationship, productivity can be improved by _____ or _____.
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Outputs; inputs; reducing inputs while holding outputs constant; increasing outputs while holding inputs constant.
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Identify three or more operations related tasks carried out by Hard Rock Café.
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Providing customer meals; designing, testing, and costing meals; Acquiring, receiving, and storing supplies; recruiting and training employees; preparing employee schedules; Designing efficient restaurant layouts.
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Define operations management. Will your definition accommodate both manufacturing and service operations?
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Operations management can be defined as the management of all activities directly related to the creation of goods and/or services through the transformation of inputs into outputs.
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Operations mangers should be well versed in what disciplines in order to make good decisions?
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Management science, information technology, and often one of the biological or physical sciences.
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Why are services typically more difficult to standardize, automate, and make efficient?
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Services typically require customer interaction, which makes it difficult to standardize, automate, and make efficient.
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How do services differ from goods? Identify five ways.
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A service is usually intangible; it is often produced and consumed simultaneously; often unique; it involves high customer interaction; product definition is inconsistent; often knowledge based; and frequently dispersed.
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Services are often knowledge based. Provide two examples.
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Educational, medical and legal services.
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Why are organizations changing from batch - large - shipments to just in time - JIT?
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Organizations are changing to just in time shipments because inventor requires a large financial investment, and impedes the responsiveness to changes in the marketplace.
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Identify the three productivity variables used in the text.
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The three common variables are labor, capital, and management.
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What is a knowledge society?
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A knowledge society is one in which much of the labor force has migrated from manual work to work based on knowledge.
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Why are operations managers faced with ethical and social challenges?
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Businesses have diverse stakeholders, which include owners, employees, lenders, and distributors. These stakeholders hold conflicting perspectives.
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What are some of the ethical and social challenges faced by operations managers?
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Efficiently developing and producing safe quality products; maintaining a clean environment; providing a safe workplace; honoring community commitments.
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