Multiple Choice Question

An operations manager is not likely to be involved in

a. the design of goods and services to satisfy customers' wants and needs

b. the quality of goods and services to satisfy customers' wants and needs

c. the identification of customers' wants and needs

d. work scheduling to meet the due dates promised to customers

e. maintenance schedules

Cost cutting in international operations can take place because of

a. lower taxes and tariffs

b. lower wage scales

c. lower indirect labour costs

d. less stringent regulations

e. all of the above

Forecasts used for new product planning, capital expenditures, facility location or expansion, and R&D typically utilise a

a. short-range time horizon

b. medium-range time horizon

c. long-range time horizon

d. naive method because there is no data history

e. all of the above

Operations management is applicable

a. mostly to the service sector

b. to services exclusively

c. mostly to the manufacturing sector

d. to all firms, whether manufacturing and service

e. to the manufacturing sector exclusively

Reducing the complexity of a product and improving its maintainability for use are activities of

a. Product Lifecycle Management (PLM)

b. product-by-value-analysis

c. manufacturability and value engineering

d. organising for product development

e. design for destruction (DFD)

The analysis tool that helps determine what products to develop, and by means of what strategy by listing products in descending order of their individual dollar contribution to the firm is a

a. decision tree analysis

b. Pareto analysis

c. break-even analysis

d. product-by-value analysis

e. product life cycle analysis

The five elements in the management process are

a. plan, direct, update, lead, and supervise

b. accounting/finance, marketing, operations, and management

c. organise, plan, control, staff, and manage

d. plan, organise, staff, lead, and control

e. plan, lead, organise, manage, and control

The Ten Critical Decisions of Operations Management include

a. finance/accounting

b. advertising

c. process and capacity design

d. pricing

e. all of the above

What is the approximate forecast for May using a four-month moving average, Nov39, Dec36, Jan40, Feb42, Mar48, April46 ?

a. 38

b. 42

c. 43

d. 44

e. 47

When done correctly, mass customisation

a. increases pressure on supply chain performance

b. helps eliminate the guesswork that comes with sales forecasting

c. drives down inventories

d. increases pressure on scheduling

e. all of the above

Which of the following is false regarding repetitive processes?

a. They use modules.

b. They allow easy switching from one product to the other.

c. They are the classic assembly lines.

d. They have more structure and less flexibility than a job shop layout.

e. They include the assembly of basically all automobiles.

Which of the following is not among the eight components of revenue and volume for a service firm?

a. quality of the management

b. shipment cost of finished goods

c. purchasing power of the customer-drawing area

d. uniqueness of the firm's and its competitor's locations

e. competition in the area

Which of the following is not an element of the management process?

a. controlling

b. leading

c. planning

d. pricing

e. staffing

Which of the following is not one of the Ten Critical Decisions of Operations Management?

a. layout strategy

b. maintenance

c. process and capacity design

d. mass customisation

e. supply chain management

Which of the following is true of business strategies?

a. An organisation should stick with its strategy for the life of the business.

b. All firms within an industry will adopt the same strategy.

c. Well-defined missions make strategy development much easier.

d. Strategies are formulated independently of aSWOT analysis.

e. Organisational strategies depend on operations strategies.

Which of the following makes products that are friendlier to the environment?

a. using less materials

b. more recycled materials

c. using less energy

d. using less harmful ingredients

e. all of the above

Which of the following represent an opportunity for generating a new product?

a. understanding the customer

b. demographic change, such as decreasing family size

c. changes in professional standards

d. economic change, such as rising household incomes

e. All of the above are such opportunities.

Which of the following represent reasons for globalising operations?

a. to gain improvements in the supply chain

b. to improve operations

c. to expand a product's life cycle

d. to attract and retain global talent

e. All of the above are valid.

Which of the following statements regarding product life cycle and profitability is true?

a. Profit is highest in the growth phase of the life cycle because the product is new and unique.

b. Profit is lowest in the growth stage of the life cycle because costs are high.

c. Profit is at its greatest in the decline stage of the product life cycle.

d. Breakeven is attained in the growth stage of the product life cycle.

e. Cash flow turns positive in the maturity phase.

Which of the following uses three types of participants: decision makers, staff personnel, and respondents?

a. executive opinions

b. sales force composites

c. the Delphi method

d. consumer surveys

e. time series analysis