Question 1

Which of the following is not true about the systems approach?
A) It recognizes the importance of taking into account the impact on all parts of the system.
B) It emphasizes interrelationships among subsystems.
C) It concentrates on efficiency within subsystems.
D) It becomes essential whenever something is being redesigned or improved.
E) The objectives of the whole take precedence over those of any one part.

Accepted Answer

The systems approach does not concentrate solely on efficiency within subsystems, but rather the efficiency and effectiveness of the entire system as a whole.

Question 2

Value-added refers to:
A) the cost of inputs.
B) the price of outputs.
C) the difference between cost of inputs and what customers are willing to pay.
D) the extra profit obtained from increased productivity.
E) all of the choices are correct.

Accepted Answer

Value-added refers to the difference between the cost of inputs and what customers are willing to pay. It is the value that a company adds to a product or service through its production process, marketing, and distribution. This is what contributes to the overall profitability of the company. Option A is incorrect because the cost of inputs alone does not reflect the value that a company adds to a product. Option B is also incorrect as the price of outputs does not necessarily reflect the value added. Option D is not a comprehensive definition of value added as it only highlights the profitability aspect. Option E is incorrect as not all the choices provided are correct.

Question 3

Which of the following is not a general approach to decision-making?
A) Establishing priorities
B) Subjective approach
C) Analysis of trade-offs
D) Systems approach
E) Quantitative approaches

Accepted Answer

Subjective approach is not a general approach to decision-making as it implies personal biases and feelings rather than objective analysis and rational consideration of options. The other options, such as establishing priorities, analysis of trade-offs, systems approach, and quantitative approaches, are commonly used approaches to decision-making.

Question 4

Which of the following does not relate to system design?
A) Long term capacity
B) Location of facilities
C) Inventory management
D) Process design
E) Departmental layout

Accepted Answer

Inventory management is more related to operations management than system design. System design refers to the planning and implementation of a system, including aspects such as process design, departmental layout, location of facilities, and long-term capacity planning. Inventory management is part of the operations function and involves the day-to-day control of inventory levels, ordering, and tracking.

Question 5

Dealing with the fact that certain aspects of any management situation are more important than others is called:
A) analysis of trade-offs.
B) sensitivity analysis.
C) establishing priorities.
D) analysis of variance.
E) decision analysis.

Accepted Answer

Establishing priorities involves determining which aspects of a management situation are most important and should be addressed first. This helps managers focus their efforts and allocate resources efficiently. Analysis of trade-offs, sensitivity analysis, analysis of variance, and decision analysis are all related techniques but do not directly address the issue of prioritization.

Question 6

Tactical planning and control activities involve making decisions about all of the following EXCEPT:
A) location of facilities.
B) scheduling.
C) material requirements planning.
D) project management.
E) inventory management.

Accepted Answer

Tactical planning and control activities involve making decisions about scheduling, material requirements planning, project management, and inventory management. However, the location of facilities is part of strategic planning, which involves long-term decisions about the overall direction of the company.

Question 7

The responsibilities of operations managers classified as controlling activities are:
A) inventory, production pace, quality, and costs.
B) organizing departments, subcontracting, supplier contracts, and staffing.
C) forecasting, planning, organizing, and directing.
D) scheduling, job assignments, purchasing, and logistics.
E) capacity, location, layout, and mix of products.

Accepted Answer

Controlling activities involve monitoring and regulating specific activities to ensure they are executed within the set boundaries. The responsibilities of operations managers in controlling activities include controlling inventory, production pace, quality, and costs. Therefore, choice A is the best option. The other options listed involve different activities that are not necessarily related to controlling activities.

Question 8

System capacity and location of facilities are examples of:
A) financial decisions.
B) tactical decisions.
C) systems design decisions.
D) operational planning decisions.
E) forecasting decisions.

Accepted Answer

System capacity and location of facilities are part of the overall systems design decisions. These decisions are focused on creating a system that meets the needs of the organization and its customers. They require a broader perspective and a longer-term view compared to operational planning decisions, which are more focused on day-to-day activities. Financial decisions, tactical decisions, and forecasting decisions may be important factors in making systems design decisions, but they are not the primary focus.

Question 9

Economic analysis of investment proposals,and provision of funds are activities associated with the:
A) operation function.
B) marketing function.
C) purchasing function.
D) finance function.
E) industrial engineering function.

Accepted Answer

Economic analysis of investment proposals and provision of funds are functions related to finance. Finance is responsible for managing and allocating financial resources to achieve the objectives of the organization. This function is important to ensure that the organization has the necessary funds to support its operations and growth. Therefore, the correct choice is D.

Question 10

The marketing function's main concern is with:
A) producing goods or providing services.
B) assessing customer wants and needs.
C) procuring materials, supplies, and equipment.
D) performing economic analysis of investment proposals.
E) securing monetary resources.

Accepted Answer

The marketing function is primarily concerned with assessing customer wants and needs in order to create products or services that meet those needs and effectively promote them to the target market.

Question 11

Which is not a quantitative technique to problem solving?
A) Linear programming
B) Queuing techniques
C) Statistical techniques
D) Heuristic approach
E) All of the choices are quantitative approaches.

Accepted Answer

A heuristic approach is a qualitative technique used to problem solving, relying on experience and intuition rather than quantifiable data or mathematical modeling.

Question 12

Planning decisions are usually __________ and __________ term.
A) strategic; long
B) tactical; medium
C) forecasting; short
D) strategic; short
E) tactical; long

Accepted Answer

The answer of Planning decisions are usually __________ and __________...

Question 13

Which of the following is not a characteristic of models used to support decision making?
A) They provide a simplified representation of a design problem.
B) They ignore unimportant details, concentrating on the most important aspects of a situation.
C) They may be based on mathematical representations or graphical schematics.
D) They provide abstract representations of a design problem.
E) They are limited to representations of objective quantitative factors.

Accepted Answer

Models used to support decision making may include subjective, qualitative factors as well as objective, quantitative factors. Therefore, they are not limited to representations of objective quantitative factors.

Question 14

The responsibilities of operations managers classified as planning activities include:
A) inventory, production pace, quality, and costs.
B) organizing departments, subcontracting, supplier contracts, and staffing.
C) forecasting, planning, organizing, and directing.
D) scheduling, job assignments, purchasing, and logistics.
E) capacity, location, layout, and mix of products.

Accepted Answer

The responsibilities of operations managers classified as planning activities include capacity, location, layout, and mix of products. These factors are essential to determine before any production begins to ensure that resources are used efficiently, timelines are met, and costs are minimized.

Question 15

Of the following,which aspect of the evolution of operations management is affiliated with Japanese manufacturing companies?
A) total quality management
B) scientific management
C) the human relations movement.
D) the industrial revolution.
E) craft production

Accepted Answer

Total quality management is affiliated with Japanese manufacturing companies, specifically with the Toyota Production System, which emphasized continuous improvement and quality control as integral parts of the production process. This approach helped Japanese companies establish a competitive advantage in the international market.

Question 16

Which of the following responsibilities of operations managers is considered a directing activity rather than a planning or control activity?
A) selecting production equipment
B) product mix decisions
C) scheduling workers
D) inventory management
E) layout of production facilities

Accepted Answer

Directing activities involve overseeing the workforce and ensuring they are motivated and completing tasks efficiently. Scheduling workers falls under this category, as it involves assigning specific tasks to employees and coordinating their efforts towards completing them. Selecting production equipment, product mix decisions, inventory management, and layout of production facilities are all planning and control activities that involve making strategic decisions and implementing processes to achieve operational goals.

Question 17

Which of the following is not a characteristic of service operations?
A) Intangible output.
B) High customer contact.
C) High labour content.
D) Easy measurement of productivity.
E) Low uniformity of output.

Accepted Answer

Service operations are often difficult to measure in terms of productivity, as the output is intangible and the quality of service can vary depending on factors such as customer preferences and employee performance.

Question 18

Measuring process outputs at various points in order to compare outputs to previously established standards to determine if corrective action is needed is called:
A) planning and directing.
B) directing and conversion.
C) feedback and control.
D) controlling and leading.
E) leading and transformation.

Accepted Answer

The given scenario describes a feedback and control system, where the process outputs are measured and compared with previously established standards to determine if any corrective actions need to be taken. This is a key aspect of control in management, where deviations from standards are identified and corrective actions are taken to ensure that the process or project stays on track.

Question 19

The fact that improvements in a few key areas of operations will have more impact than many improvements in less significant areas is referred to as the ___________.
A) forecasting approach
B) Pareto phenomenon
C) productivity challenge
D) analysis of trade-offs
E) ethical dilemma

Accepted Answer

The Pareto phenomenon, also known as the 80/20 rule, suggests that 80% of the effects come from 20% of the causes, meaning that a few key improvements in important areas will have a greater impact than many small improvements in less significant areas.

Question 20

Which is not a significant difference between manufacturing and service operations?
A) Cost per unit
B) Uniformity of output.
C) Labour content of jobs.
D) Amount of customer contact.
E) Measurement of productivity.

Accepted Answer

The answer of Which is not a significant difference between...

Quiz 1: Introduction to Operations Management

Which of the following is not true about the systems approach?

Value-added refers to:

Which of the following is not a general approach to decision-making?

Which of the following does not relate to system design?

Dealing with the fact that certain aspects of any management situation are more important than others is called:

Tactical planning and control activities involve making decisions about all of the following EXCEPT:

The responsibilities of operations managers classified as controlling activities are:

System capacity and location of facilities are examples of:

Economic analysis of investment proposals,and provision of funds are activities associated with the:

The marketing function's main concern is with:

Which is not a quantitative technique to problem solving?

Planning decisions are usually and term.

Which of the following is not a characteristic of models used to support decision making?

The responsibilities of operations managers classified as planning activities include:

Of the following,which aspect of the evolution of operations management is affiliated with Japanese manufacturing companies?

Which of the following responsibilities of operations managers is considered a directing activity rather than a planning or control activity?

Which of the following is not a characteristic of service operations?

Measuring process outputs at various points in order to compare outputs to previously established standards to determine if corrective action is needed is called:

The fact that improvements in a few key areas of operations will have more impact than many improvements in less significant areas is referred to as the ___________.

Which is not a significant difference between manufacturing and service operations?