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Operations managers, who usually use quantitative approaches, are not really concerned with ethical decision making.

A) True
B) False

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False

Operations and sales are the two ________ functions in businesses.


A) strategic
B) tactical
C) support
D) value-adding
E) line

F) B) and D)
G) A) and D)

Correct Answer

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Supplying operations with parts and materials, performing work on products, and/or performing services are part of the firm's:


A) division of labor.
B) market development.
C) outsourcing.
D) external process orientation.
E) internal supply chain.

F) A) and E)
G) All of the above

Correct Answer

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Which is not an area of significant difference between manufacturing and service operations?


A) cost per unit
B) uniformity of output
C) labor content of jobs
D) customer contact
E) measurement of productivity

F) B) and E)
G) A) and B)

Correct Answer

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Service involves a much higher degree of customer contact than manufacturing.

A) True
B) False

Correct Answer

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


A) globalization
B) quality improvement
C) flexibility and agility
D) mass production for greater economies of scale
E) technological advances

F) B) and E)
G) A) and B)

Correct Answer

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Manufacturing work sent to other countries is called:


A) downsizing.
B) outsourcing.
C) internationalization.
D) vertical integration.
E) entrepreneurship.

F) C) and D)
G) A) and C)

Correct Answer

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

A) True
B) False

Correct Answer

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Farming is an example of:


A) an obsolete activity.
B) a virtual organization.
C) nonmanufactured goods.
D) a growth industry.
E) customized manufacturing.

F) A) and B)
G) C) and D)

Correct Answer

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Among Ford's many contributions was the introduction of mass production, using the concepts of interchangeable parts and division of labor.

A) True
B) False

Correct Answer

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Many operations management decisions can be described as trade-offs.

A) True
B) False

Correct Answer

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Product design and process selection are examples of _______ decisions.


A) financial
B) tactical
C) system design
D) system operation
E) forecasting

F) B) and E)
G) A) and B)

Correct Answer

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The use of models will guarantee the best possible decisions.

A) True
B) False

Correct Answer

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Operations managers are responsible for assessing consumer wants and needs and selling and promoting the organization's goods or services.

A) True
B) False

Correct Answer

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The value of outputs is measured by the prices customers are willing to pay for goods or services.

A) True
B) False

Correct Answer

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What is credited with gains in industrial productivity, increased standards of living, and affordable products?


A) personal computers
B) the Internet
C) mass transportation
D) mass production
E) multilevel marketing

F) A) and B)
G) C) and E)

Correct Answer

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

A) True
B) False

Correct Answer

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False

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


A) increased supply chain stability
B) lower levels of outsourcing
C) reduced competitive pressures
D) increased globalization
E) greater emphasis on local markets

F) B) and E)
G) A) and E)

Correct Answer

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The operations manager has primary responsibility for making operations system design decisions, such as system capacity and location of facilities.

A) True
B) False

Correct Answer

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Some companies attempt to maximize the revenue they receive from fixed operating capacity by influencing demands through price manipulation. This is an example of:


A) illegal price discrimination.
B) collusion.
C) volume analysis.
D) revenue management.
E) outsourcing.

F) A) and B)
G) C) and D)

Correct Answer

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D

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