Deck 1: The Operations Function

Question 1

The supply chain extends from

A) supplier to manufacturing.
B) supplier to supplier.
C) dealer to customer.
D) supplier to customer.

Answer 1

supplier to customer.

Question 2

Inventory decisions involve

A) determining what to order, how much to order, and when to order.
B) tracking the flow of materials.
C) managing the finished goods inventories.
D) all of these.

Answer 2

all of these.

Question 3

The five major decision responsibilities of operations management are

A) process, quality, capacity, sourcing, and human resources.
B) process, quality, human resources, logistics, and inventory.
C) quality, inventory, human resources, capacity, and supply chain.
D) process, capacity, quality, supply chain, and inventory.

Answer 3

process, capacity, quality, supply chain, and inventory.

Question 4

Why is operations management a more encompassing term than production management?

A) Operations management is concerned with multiple products and services.
B) Operations management refers to service as well as manufacturing organizations.
C) Operations management is broader including the financing and marketing functions.
D) Operations management makes use of the tools of quantitative analysis and computer systems.

Question 5

Which of the following is NOT a new challenge facing operations?

A) Globalization of operations
B) Responding to the voice of the customer
C) Quality teams
D) Environmental concerns

Question 6

Common inputs to the operations transformation process include all of the following EXCEPT

A) raw materials.
B) energy.
C) capacity.
D) labor.
E) conversion processes.

Question 7

Which of the following functions is responsible for the actual movement of goods and/or services across organizations?

A) Logistics
B) Operations
C) Purchasing
D) None of these

Question 8

Supply chain management includes the integration of

A) suppliers.
B) manufacturers.
C) customers.
D) all of the above.

Question 9

A comprehensive decision-making framework for operations includes

A) consideration of other organizational functions.
B) consideration of operations in isolation of other functions.
C) suppliers but not customers.
D) customers but not suppliers.

Question 10

The essence of operations management can be described by

A) process, capacity, and people.
B) decisions, function, and process.
C) planning, control, and organization.
D) integrated planning and control.

Question 11

The operations management function is especially important for all of the following reasons EXCEPT

A) its governance of the transformation process.
B) the integrative nature of business decision making.
C) decreasing order response time.
D) the responsibility for the quality of products and services produced.
E) the responsibility for managing the largest portion of a firm's assets and people.

Question 12

Capacity decisions

A) include staffing and scheduling.
B) include inventory control.
C) include defining product specifications.
D) are none of these.

Question 13

Approximately what percentage of the American workforce works in service industries?

A) 20%
B) 40%
C) 80%
D) 90%

Question 14

Key elements/events that should be monitored in the firm's external environment include all of the following EXCEPT

A) competitors.
B) political events.
C) economic events.
D) social trends.
E) All of these should be monitored.

Question 15

Which one of the following would NOT generally be classified under the heading of input in a university system?

A) Staff
B) Equipment
C) Facilities
D) Knowledge
E) Research

Question 16

Which of the following does NOT come under the process category of the operations decision framework?

A) Layout of the facility
B) Job design
C) The type of equipment and technology
D) Product or service inspection

Question 17

A productive process approach

A) views operations as a separate organizational function.
B) must provide feedback information for control of process inputs and technology.
C) is of limited use in service organizations.
D) disregards human and social concerns.

Question 18

Supply chain management includes all of the following EXCEPT

A) purchasing.
B) inventory control.
C) advertising.
D) customer service.

Question 19

Challenges facing operations and supply chain managers signify that

A) more emphasis should be placed on manufacturing than on service industries.
B) every operation should be externally directed to meet the customers' requirements.
C) operations decisions should precede decisions in other functions in an organization.
D) to be competitive, strategies for operations should have a narrow focus such as consideration of the effects of industry changes only.

Question 20

The major decision responsibilities of the operations management function include all of the following EXCEPT

A) quality.
B) process.
C) capacity.
D) capability.
E) inventory.

Question 21

The process view provides a basis for viewing an entire business as a system of interconnected processes.

Question 22

When a company employs statistical tools to reduce the likelihood of a product recall,this best represents what type of decision?

A) Process
B) Quality
C) Supply chain
D) Logistics

Question 23

Which of the following is NOT true regarding the process view of operations?

A) Operations managers are responsible for the conversion process.
B) A sales office may be viewed as a production process.
C) It is a basis for analyzing operations across the entire supply chain.
D) All of the above are true.

Question 24

Which of the following is NOT a typical application of analytics in operations and supply chain management?

A) Forecasting
B) Capacity and scheduling
C) Logistics and sourcing
D) All of the above are typical applications.

Question 25

Which of the following would NOT be considered an operations and supply chain position title?

A) Business metrics/analytics analyst
B) Continuous improvement lead
C) Commodity sourcing manager
D) All of the above would be considered operations and supply chain position titles.

Question 26

The operations definition emphasizes decision,function,and process elements of the organization.Briefly discuss the need to address these fundamental elements.

Question 27

Operations decisions concerning the type of process selected are often made in conjunction with which of these functions?

A) Marketing
B) Finance
C) Human resources
D) All of the above

Question 28

Decision making using analytics is viewed as

A) prescriptive (use of mathematical models to optimize decisions).
B) predictive (use of data to predict what is likely to happen).
C) descriptive (use of data to summarize the present situation).
D) all of the above.

Question 29

A company using a team of people from marketing,human resources,and operations to develop a new service offering is

A) practicing cross-functional decision making.
B) supporting functional silo development.
C) better off allowing marketing to design the new service.
D) none of the above.

Question 30

Contemporary challenges facing operations today include all of the following EXCEPT

A) scientific management.
B) integration with other functions.
C) environmental concerns.
D) advancing service operations.
E) globalization of operations.

Question 31

Pricing decisions typically require interface with which aspects of operations?

A) Quality, capacity, and inventory
B) Process, quality, and inventory
C) Process, inventory, and supply chain
D) Pricing decisions do not require interfacing with operations.

Question 32

Operations decisions concerning inventory levels are often made with which of these functions?

A) Marketing
B) Finance
C) Marketing and finance
D) Marketing, finance, and information systems

Question 33

The focus of supply chain decisions is

A) sourcing and logistics.
B) capacity and inventory.
C) quality and process.
D) none of the above.

Question 34

Which of the following is NOT one of the important challenges facing operations and supply chain managers?

A) Service operations lagging behind manufacturing operations
B) Other functions (e.g., marketing, finance) being unwilling to share information
C) Finding suppliers with appropriate sustainability practices
D) Applying scientific management principles to increase efficiency

Question 35

When a company upgrades its assembly line,this best represents what type of decision?

A) Process
B) Quality
C) Inventory
D) Supply chain

Question 36

Which of the following would NOT be considered an output of an airline flight operation?

A) Transportation from point A to point B
B) Flight safety
C) Satisfied customer
D) Seat assignment

Question 37

Identify the critical operations decision areas in an organization,and discuss the responsibilities of an operations manager while addressing these decisions.

Question 38

When a company develops a report card for evaluating its suppliers,this best represents what type of decision?

A) Process
B) Quality
C) Supply chain
D) Capacity

Question 39

The transformation view of the operations function provides a unified approach for studying the manufacturing and service industries.

Question 40

Which of the following statements is INCORRECT?

A) Marketing is typically responsible for generating demand for products.
B) Human resources is typically responsible for assuring the quality of products.
C) Operations is typically responsible for producing and delivering products and services.
D) Finance is typically responsible for acquiring and allocating capital.

Question 41

What are the five inputs and two outputs of an operations transformation process?