Question 1

Which of the following is not a step for formulating an operations strategy?

Accepted Answer

Defining the mission and values of the organization is a broader strategic activity that precedes the formulation of an operations strategy. It is more related to the overall direction and purpose of the organization rather than the specific approach to operations.

Question 2

Tracking productivity measures over time enables managers to judge organizational performance and to decide where improvements are needed.

Accepted Answer

Tracking productivity measures over time allows managers to track progress and identify areas for improvement.

Question 3

Which of the following is not a major decision-making category for operations policies and action plans?

Accepted Answer

The major decision-making categories for operations policies and action plans are generally considered to include Facility, Capacity, Process types and technology, Human resources, and Quality. Productivity is not considered a separate category, but rather a result of effective implementation of the other categories.

Question 4

Labour productivity is one example of a multifactor productivity measurement.

Accepted Answer

Labour productivity measures the output per worker or per hour worked, not a multifactor productivity measurement which takes into account multiple inputs like labor, capital, and materials.

Question 5

Workers are the main determinant of productivity.

Accepted Answer

Productivity is influenced by a variety of factors including technology, capital, processes, management, and the work environment, in addition to the workers themselves.

Question 6

Product variety is an example of:

Accepted Answer

The answer of Product variety is an example of:
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Question 7

Of the following,which aspect of strategic planning involves medium or short-term projects to accomplish specific objectives?

Accepted Answer

Action plans involve setting specific goals and objectives for the short to medium term and outlining the steps necessary to achieve them. Functional strategies refer to specific plans for each functional area of the organization, while forecasts relate to predictions of future events. Mission/vision statements set the overall direction and purpose of the organization, and goals and objectives are the desired outcomes the organization wants to achieve.

Question 8

Strategies have a(n)__________ impact on the general direction and basic character of a company.

Accepted Answer

Strategies are designed to guide the long-term direction of a company, so they have a significant impact on the overall direction and character of the company. Short-term strategies, on the other hand, are focused on immediate goals and are less likely to have a significant impact on the company's overall direction.

Question 9

Even though labour cost as a proportion of total cost has been decreasing in manufacturing companies,labour productivity is still the main measure being used to gauge the performance of individuals and plants.

Accepted Answer

Although labour cost as a proportion of total cost has been decreasing in manufacturing companies, labour productivity is still a commonly used measure to evaluate individual and plant performance.

Question 10

Variability of the output of services makes it more difficult to measure service productivity.

Accepted Answer

Variability of the output of services, such as differences in quality or customization, can make it challenging to establish a standardized measure of service productivity.

Question 11

Labour productivity is an example of a total productivity measure.

Accepted Answer

Labour productivity is an example of a partial productivity measure, as it only considers the output produced relative to one input (labour), rather than multiple inputs.

Question 12

The shared beliefs of an organizations stakeholders are its:

Accepted Answer

Values are the shared beliefs and principles of an organization and its stakeholders, which guide decision-making and behavior. Policies, vision, strategy, and mission are all important aspects of an organization, but they are not necessarily reflective of shared beliefs across stakeholders.

Question 13

Which of the following is not a key purchasing criterion?

Accepted Answer

Vendor relations is not a key purchasing criterion. It is a factor that can influence the purchasing decision, but it is not a key criterion.

Question 14

Vision and strategy are at the centre of the Balanced Scorecard framework.

Accepted Answer

The Balanced Scorecard framework starts with the development of a clear vision and strategy, which then guides the selection of appropriate measures and targets for each of the Balanced Scorecard perspectives: financial, customer, internal processes, and learning and growth. Therefore, vision and strategy are essential components of the framework.

Question 15

Productivity is directly related to competitiveness.

Accepted Answer

Productivity is a key factor in determining the competitiveness of a company or industry. High levels of productivity mean that a company can produce more goods or services in a given amount of time, which can lead to lower costs, increased profits, and a better ability to compete in the market. On the other hand, low productivity can make a company less competitive, resulting in higher costs, lower profits, and difficulty competing with other companies.

Question 16

Labour costs are included as one of the inputs in all productivity measures.

Accepted Answer

Productivity measures can vary, and while labor costs are included in some measures (like labor productivity), they are not included in all productivity measures, such as total factor productivity, which considers multiple inputs beyond just labor.

Question 17

Characteristics that customers perceive as minimum standards of acceptability are called:

Accepted Answer

Order qualifiers are the characteristics that are considered necessary for a product or service to even be considered by customers. These are the minimum standards of acceptability that customers expect. For example, a car must have four wheels and be able to move to even be considered by a customer. Order winners are characteristics that distinguish a product or service from its competitors and are the reasons why customers choose that product or service. Core competencies and distinctive competencies are internal strengths of a company, while minimum attributes is not a commonly used term in marketing.

Question 18

Which of the following is not one of the competitive priorities organizations emphasize as the basis of competing with one-another?

Accepted Answer

Product duplication is not a competitive priority that organizations emphasize as a basis of competing with one another. The correct competitive priorities are cost, quality, flexibility, and delivery reliability.

Question 19

Computer automation will always result in increased productivity.

Accepted Answer

While computer automation often leads to increased productivity by streamlining processes and reducing manual labor, it can also lead to challenges such as job displacement, initial high costs, and potential inefficiencies if not properly implemented or if the technology does not align well with the specific needs of the business or task.

Question 20

Service productivity is easier to measure than manufacturing productivity because it is more labour intensive.

Accepted Answer

Service productivity is often harder to measure than manufacturing productivity because it involves intangible outputs and variable customer needs, making it less straightforward to quantify.

Quiz 2: Competitiveness, strategic Planning, and Productivity