Operations Management (Chapter 1) – Flashcards
Unlock all answers in this set
Unlock answersquestion
            What is an example of a "hidden" production function?
answer
        Money transfers at banks
question
            Which of the following is not one of the ten critical decisions of operations management?
answer
        Determining the financial leverage position
question
            An operations task performed at Hard Rock Café is:
answer
        Preparing employee schedules.
question
            Operations management is applicable
answer
        to all firms, whether manufacturing or service.
question
            Which of the following are the primary functions of all organizations?
answer
        Marketing, Production/Operations, and Finance/Accounting
question
            Which of the following would not be an operations function in a commercial bank?
answer
        Auditing
question
            The marketing function's main concern is with
answer
        Generating the demand for the organizations products or services.
question
            Which of the following tasks within an Airline Company are related to Operations?
answer
        Crew Scheduling
question
            Reasons to study Operations Management include
answer
        Studying how people organize themselves for productive enterprise.  Learning about a costly part of the enterprise.
question
            Reasons to study Operations Management include learning about
answer
        How people organize themselves for productive enterprise.  How goods and services are produced.  What operations managers do.  A costly part of the enterprise.
question
            The first five elements in the management process are
answer
        Plan, Organize, Staff, Lead, and Control
question
            Illiteracy and poor diets have been known to cost countries up to what percent of their productivity?
answer
        20%
question
            Which of the following is not an element of the management process?
answer
        Pricing
question
            An operations manager is not likely to be involved in
answer
        The identification of customers wants and needs.
question
            All of the following decisions fall within the scope of operations management except for
answer
        Creating the company income statement
question
            The ten critical decisions of operations management include
answer
        Layout strategy, maintenance, process and capacity design, and managing quality.
question
            Which of the following is not one of the ten critical decisions of operations management?
answer
        Mass customization
question
            The ten critical decisions of operations management include?
answer
        Process and capacity design
question
            Which of the following are part of the ten critical decisions of operations management?
answer
        Design of goods and services.  Managing Quality.  Layout Strategy.
question
            ASQ, ISM, APICS, and PMI are important professional organizations to operations management because
answer
        They provide certification for professionals.  They allow professionals to keep up with industry developments.  They facilitate professional networking.
question
            Walter Shewhart is listed among the important people of operations management because of his contributions to
answer
        Statistical quality control.
question
            Walter Skewhart, in the ______, provided the foundations for _____ in operations management.
answer
        1920's, statistical sampling.
question
            Eli Whitney, in the _____, provided the foundations for _____ in operations management.
answer
        nineteenth century, interchangeable parts.
question
            The person most responsible for popularizing interchangeable parts in manufacturing was
answer
        Eli Whitney.
question
            The "Father of Scientific Management" is
answer
        Frederick W. Taylor
question
            Henry Ford is noted for his contributions to
answer
        Assembly line operations.
question
            Who among the following is associated with contributions to quality control in operations management?
answer
        W. Edwards Deming
question
            The field of operations management is shaped by advances in which of the following fields?
answer
        Chemistry and physics.  Industrial engineering and management science.  Biology and anatomy.  Information technology.
question
            Which of the following is the best example of a pure service?
answer
        Counseling
question
            Which of the following statements is true?
answer
        The person most responsible for initiating the use of interchangeable parts in manufacturing was Eli Whitney.
question
            The service sector makes up approximately what percentage of all jobs in the United States?
answer
        79 percent
question
            Which is not true regarding differences between goods and services?
answer
        Tangible goods are generally produced and consumed simultaneously, services are not.
question
            Which is not true regarding differences between goods and services?
answer
        Goods tend to have higher customer interaction than services.
question
            Which of the following services is least likely to be unique, i.e., customized to a particular individuals needs?
answer
        Elementary Education.
question
            Which of the following is not a typical service attribute?
answer
        Easy to store.
question
            Which of the following statements is true?
answer
        Each manufacturing employee now produces about 20 times more than in 1950.
question
            Which of the following attributes is most typical of a service?
answer
        Production and consumption occur simultaneously.
question
            Which of the following is a similarity between goods and services?
answer
        Application of operations management.
question
            Current trends in operations management include
answer
        Just in time performance.  Rapid product development.  Mass customization.  Empowered employees.
question
            Which of the following is a current trend in operations management?
answer
        Just in time performance.  Global focus.  Supply chain partnering.  Mass customization.
question
            Which of the following statements about trends in operations management is false?
answer
        Environmentally sensitive production is giving way to low cost focus.
question
            Productivity measurement is complicated by
answer
        The fact that precise units of measure are often unavailable.
question
            The total of all outputs produced y the transformation process divided by the total of the inputs is
answer
        Multifactor productivity
question
            Which productivity variable has the greatest potential to increase productivity?
answer
        Management
question
            Which of the following nets the largest productivity improvement?
answer
        Decrease input by 15%
question
            Productivity can be improved by
answer
        Decreasing inputs while holding outputs steady.
question
            The largest contributor to productivity increases is _____, estimated to be responsible for ______ of the annual increase.
answer
        Management, over one-half.
question
            The factor responsible for the largest portion of productivity increase in the U.S. is
answer
        Management
question
            Which of the following is not true when explaining why productivity tends to be lower in the service sector than in the manufacturing sector?
answer
        Service operations are typically capital intensive.
question
            Three commonly used productivity variables are
answer
        Labor, capital, and management.
question
            The service sector has lower productivity improvements than the manufacturing sector because
answer
        Services usually are labor intensive.
question
            Productivity tends to be more difficult to improve in the service sector because the work is
answer
        Often difficult to automate.   Typically labor intensive.  Frequently processed individually.  Often an intellectual task performed by professionals.
question
            Among the ethical and social challenges facing operations managers are
answer
        Honoring stakeholder commitments.  Maintaining a sustainable environment.  Efficiently developing and producing safe, quality products.  Providing a safe workplace.
question
            Among the ethical and social challenges facing operations managers are
answer
        Maintaining a sustainable environment.
question
            Which of the following is not among the ethical and social challenges facing operations managers?
answer
        Increasing executive pay.
question
            A business's stakeholders, whose conflicting perspectives cause ethical and social dilemmas, include
answer
        Lenders.  Suppliers.  Owners.  Employees.
question
            Starbucks stopped requiring signatures on credit card purchases under $25 in an attempt to reduce
answer
        Transaction time or service time.
question
            _____ is the set of activities that transforms inputs into goods and services.
answer
        Operations management.
question
            Marketing, production, and _____ are the three functions that all organizations must perform to create goods and services.
answer
        Finance/Accounting
question
            "Should we make or buy this component?" is an issue in the _____ critical decision area.
answer
        Supply chain management.
question
            Henry Ford and _____ are credited with the development of the moving assembly line.
answer
        Charles Soresen.
question
            When a tangible product is not included in a service, such as with counseling, it is called a _____.
answer
        Pure Service.
question
            _____ is the ability of the organization to be flexible enough to cater to the individual whims of consumers.
answer
        Mass customization.
question
            _____ is the operations management trend that moves more decision making to the individual worker.
answer
        Empowered employees.
question
            _____ is the total of all outputs produced by the transformation process divided by the total of the inputs.
answer
        Multifactor productivity.
question
            Productivity is the ratio of ____ to _____. Using this relationship, productivity can be improved by _____ or _____.
answer
        Outputs; inputs; reducing inputs while holding outputs constant; increasing outputs while holding inputs constant.
question
            Identify three or more operations related tasks carried out by Hard Rock Café.
answer
        Providing customer meals; designing, testing, and costing meals; Acquiring, receiving, and storing supplies; recruiting and training employees; preparing employee schedules; Designing efficient restaurant layouts.
question
            Define operations management. Will your definition accommodate both manufacturing and service operations?
answer
        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.
question
            Operations mangers should be well versed in what disciplines in order to make good decisions?
answer
        Management science, information technology, and often one of the biological or physical sciences.
question
            Why are services typically more difficult to standardize, automate, and make efficient?
answer
        Services typically require customer interaction, which makes it difficult to standardize, automate, and make efficient.
question
            How do services differ from goods? Identify five ways.
answer
        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.
question
            Services are often knowledge based. Provide two examples.
answer
        Educational, medical and legal services.
question
            Why are organizations changing from batch - large - shipments to just in time - JIT?
answer
        Organizations are changing to just in time shipments because inventor requires a large financial investment, and impedes the responsiveness to changes in the marketplace.
question
            Identify the three productivity variables used in the text.
answer
        The three common variables are labor, capital, and management.
question
            What is a knowledge society?
answer
        A knowledge society is one in which much of the labor force has migrated from manual work to work based on knowledge.
question
            Why are operations managers faced with ethical and social challenges?
answer
        Businesses have diverse stakeholders, which include owners, employees, lenders, and distributors. These stakeholders hold conflicting perspectives.
question
            What are some of the ethical and social challenges faced by operations managers?
answer
        Efficiently developing and producing safe quality products; maintaining a clean environment; providing a safe workplace; honoring community commitments.
