1. Award: 10.00 points As a service business, the operations management activities of an airline company have nothing in common with the operations management activities within a bicycle manufacturing company. True False References True / False 2. Difficulty: Medium Learning Objective: 01-01 Define the term operations management and identify operations management jobs. Award: 10.00 points Operations managers are responsible for managing activities and resources that produce goods and/or provide services. True False References True / False Difficulty: Easy Learning Objective: 01-01 Define the term operations management and identify operations management jobs. 3. Award: 10.00 points Effectiveness refers to achieving intended goals whereas efficiency refers to minimizing cost and time. True False References True / False 4. Difficulty: Medium Learning Objective: 01-01 Define the term operations management and identify operations management jobs. Award: 10.00 points Operations, marketing, and finance function independently of each other in most organizations. True False References True / False Difficulty: Medium Learning Objective: 01-01 Define the term operations management and identify operations management jobs. 5. Award: 10.00 points The operations function exists only in firms that are goods-oriented. True False References True / False 6. Difficulty: Easy Learning Objective: 01-02 Identify the three major functions of organizations and describe how they interact. Award: 10.00 points Operations management pertains almost exclusively to the management of manufacturing operations. True False References True / False Difficulty: Easy Learning Objective: 01-02 Identify the three major functions of organizations and describe how they interact. 7. Award: 10.00 points Value-added refers to the cost of the inputs required to produce goods and services. True False References True / False 8. Difficulty: Medium Learning Objective: 01-02 Identify the three major functions of organizations and describe how they interact. Award: 10.00 points As long as a product is ready in advance of when customers demand it, the timing of when a product is manufactured does not influence the value-added. True False References True / False Difficulty: Medium Learning Objective: 01-02 Identify the three major functions of organizations and describe how they interact. 9. Award: 10.00 points Storing an item earlier than the scheduled delivery date is an example of a value adding activity. True False References True / False 10. Difficulty: Medium Learning Objective: 01-02 Identify the three major functions of organizations and describe how they interact. Award: 10.00 points Management information systems (MIS) are concerned with providing management with the information it needs to effectively manage. True False References True / False Difficulty: Easy Learning Objective: 01-02 Identify the three major functions of organizations and describe how they interact. 11. Award: 10.00 points Operations management involves both system design and planning/control decisions. True False References True / False 12. Difficulty: Easy Learning Objective: 01-03 Describe the scope of operations management and provide an overview of this textbook, including differentiating between design and planning/control decisions. Award: 10.00 points System design decisions have very little impact on planning/control decisions. True False References True / False Difficulty: Medium Learning Objective: 01-03 Describe the scope of operations management and provide an overview of this textbook, including differentiating between design and planning/control decisions. 13. Award: 10.00 points An example of an operations control decision is the choice of location. True False References True / False 14. Difficulty: Hard Learning Objective: 01-03 Describe the scope of operations management and provide an overview of this textbook, including differentiating between design and planning/control decisions. Award: 10.00 points Scheduling jobs is a system design decision and not a planning decision. True False References True / False Difficulty: Medium Learning Objective: 01-03 Describe the scope of operations management and provide an overview of this textbook, including differentiating between design and planning/control decisions. 15. Award: 10.00 points Design decisions are usually strategic and long term, while planning decisions are tactical and medium term. True False References True / False 16. Difficulty: Medium Learning Objective: 01-03 Describe the scope of operations management and provide an overview of this textbook, including differentiating between design and planning/control decisions. Award: 10.00 points Managing inventory levels is considered a planning/control operations decision area. True False References True / False Difficulty: Easy Learning Objective: 01-03 Describe the scope of operations management and provide an overview of this textbook, including differentiating between design and planning/control decisions. 17. Award: 10.00 points A basic difference between manufacturing and service organizations is that services are actionoriented and manufacturing is goods-oriented. True False References True / False 18. Difficulty: Easy Learning Objective: 01-04 Compare production of goods and services. Award: 10.00 points Service involves a much higher degree of customer contact than the production of goods. True False References True / False 19. Difficulty: Easy Learning Objective: 01-04 Compare production of goods and services. Award: 10.00 points Service often requires a higher labour content, whereas the production of goods is more capital intensive. True False References True / False Difficulty: Medium Learning Objective: 01-04 Compare production of goods and services. 20. Award: 10.00 points Measurement of productivity in service is more straightforward than in goods production due to the high degree of uniformity of inputs. True False References True / False 21. Difficulty: Medium Learning Objective: 01-04 Compare production of goods and services. Award: 10.00 points Models are simplified representations of something and thus ignore important aspects of a situation. True False References True / False 22. Difficulty: Medium Learning Objective: 01-06 Describe the key aspects of operations management decision making. Award: 10.00 points Quantitative techniques are often quick and practical techniques for many decisions. True False References True / False Difficulty: Medium Learning Objective: 01-06 Describe the key aspects of operations management decision making. 23. Award: 10.00 points A systems approach emphasizes interrelationships among subsystems, but its main theme is that the whole is greater than the sum of its individual parts. True False References True / False 24. Difficulty: Medium Learning Objective: 01-06 Describe the key aspects of operations management decision making. Award: 10.00 points Queuing techniques are useful for analyzing situations in which waiting lines form. True False References True / False Difficulty: Easy Learning Objective: 01-06 Describe the key aspects of operations management decision making. 25. Award: 10.00 points It is essential to use the systems approach when something is being designed, redesigned, implemented, improved, or otherwise changed. True False References True / False 26. Difficulty: Easy Learning Objective: 01-06 Describe the key aspects of operations management decision making. Award: 10.00 points A systems approach is to concentrate on efficiency within a subsystem and thereby achieve overall efficiency. True False References True / False Difficulty: Medium Learning Objective: 01-06 Describe the key aspects of operations management decision making. 27. Award: 10.00 points Many operations management decisions can be described as trade-offs. True False References True / False 28. Difficulty: Medium Learning Objective: 01-06 Describe the key aspects of operations management decision making. Award: 10.00 points The Pareto phenomenon is one of the most important and pervasive concepts that can be applied at all levels of management. True False References True / False Difficulty: Medium Learning Objective: 01-06 Describe the key aspects of operations management decision making. 29. Award: 10.00 points Operations managers, who usually use quantitative approaches, have no responsibility to make ethical decisions. True False References True / False 30. Difficulty: Medium Learning Objective: 01-06 Describe the key aspects of operations management decision making. Award: 10.00 points Prior to the Industrial Revolution, goods were produced primarily by craftsmen or their apprentices using custom made parts. True False References True / False Difficulty: Medium Learning Objective: 01-07 Briefly describe the historical evolution of operations management. 31. Award: 10.00 points Frederick Taylor spearheaded the scientific management movement in America. True False References True / False 32. Difficulty: Medium Learning Objective: 01-07 Briefly describe the historical evolution of operations management. Award: 10.00 points The Human Relations Movement, which emphasized the importance of the human element in job design, was replaced by the more technical aspects of Scientific Management. True False References True / False Difficulty: Medium Learning Objective: 01-07 Briefly describe the historical evolution of operations management. 33. Award: 10.00 points The moving assembly line introduced by Henry Ford is an example of the development of mass production based on large volumes of standardized goods produced using low or semi-skilled workers and highly specialized equipment. True False References True / False 34. Difficulty: Easy Learning Objective: 01-07 Briefly describe the historical evolution of operations management. Award: 10.00 points The impact of globalization for manufacturing companies has seen reduced reliance on long international supply chains because of the increasing cost to ship components and finished goods to foreign markets. True False References True / False Difficulty: Easy Learning Objective: 01-08 Identify the major trends that affect operations management. 35. Award: 10.00 points The transformation process and feedback is useful in the control of manufacturing operations but does not apply to service operations. True False References True / False 36. Difficulty: Medium Learning Objective: 01-02 Identify the three major functions of organizations and describe how they interact. Award: 10.00 points One responsibility of marketing is to identify customer wants and needs and communication them to operations. True False References True / False Difficulty: Medium Learning Objective: 01-02 Identify the three major functions of organizations and describe how they interact. 37. Award: 10.00 points One important piece of information sales needs from operations is the manufacturing lead time in order to give customers realistic estimates of how long it will take to fill their orders. True False References True / False 38. Difficulty: Easy Learning Objective: 01-02 Identify the three major functions of organizations and describe how they interact. Award: 10.00 points Quality assurance is less challenging in services, as services primarily produce intangibles. True False References True / False 39. Difficulty: Medium Learning Objective: 01-04 Compare production of goods and services. Award: 10.00 points The operations manager has the ultimate responsibility for the creation of goods or performance of services. True False References True / False Difficulty: Easy Learning Objective: 01-05 Discuss the operations manager's job. 40. Award: 10.00 points Business analytics uses software to build models which in turn support decision making. True False References True / False 41. Difficulty: Easy Learning Objective: 01-07 Briefly describe the historical evolution of operations management. Award: 10.00 points North American management practices have had a significant impact on Japanese manufacturers. True False References True / False Difficulty: Easy Learning Objective: 01-07 Briefly describe the historical evolution of operations management. 42. Award: 10.00 points Lean production systems operate with lower amounts of inventory, so emphasis is placed on anticipating when problems might occur before they arise. True False References True / False 43. Difficulty: Medium Learning Objective: 01-07 Briefly describe the historical evolution of operations management. Award: 10.00 points Major trends that affect operations are only taken into account once strategies and tactics are in place. True False References True / False Difficulty: Medium Learning Objective: 01-08 Identify the major trends that affect operations management. 44. Award: 10.00 points Concerns about global warming and pollution have caused governments to impose stricter environmental regulations on businesses. True False References True / False 45. Difficulty: Easy Learning Objective: 01-08 Identify the major trends that affect operations management. Award: 10.00 points The difference between goods and services is that goods are mostly intangible and services are mostly tangible. True False References True / False Difficulty: Easy Learning Objective: 01-01 Define the term operations management and identify operations management jobs. 46. Award: 10.00 points There are only two professional associations involved in the field of operations management. True False The text lists eight professional associations. References True / False 47. Difficulty: Easy Learning Objective: 01-01 Define the term operations management and identify operations management jobs. Award: 10.00 points Finance and operations cooperate by exchanging information and expertise. True False References True / False Difficulty: Easy Learning Objective: 01-02 Identify the three major functions of organizations and describe how they interact. 48. Award: 10.00 points Operations interfaces with supporting functions such as maintenance and human resources. True False References True / False 49. Difficulty: Easy Learning Objective: 01-02 Identify the three major functions of organizations and describe how they interact. Award: 10.00 points Managers use performance metrics to manage and control operations. True False References True / False 50. Difficulty: Easy Learning Objective: 01-06 Describe the key aspects of operations management decision making. Award: 10.00 points Worker and product safety fall under an operations manager's ethical issues. True False References True / False Difficulty: Easy Learning Objective: 01-06 Describe the key aspects of operations management decision making. 51. Award: 10.00 points Operations management encompasses all of the following EXCEPT: buying materials. capacity planning. scheduling. motivating employees and training. preparing financial statements. References Multiple Choice 52. Difficulty: Medium Learning Objective: 01-01 Define the term operations management and identify operations management jobs. Award: 10.00 points All of the following are reasons for studying operations management EXCEPT: A large percentage of a company's expenses occur in the operations management activities that are at the core of all business organizations. Activities in all of the other areas of business organizations, such as accounting and marketing are interrelated with operations management activities. Many management jobs are in operations management-related areas, such as production planning, inventory management, and more. The study of operations management applies to manufacturing, however, it is of little use in service organizations. Operations innovations lead to marketplace and strategic benefits. References Multiple Choice Difficulty: Medium Learning Objective: 01-01 Define the term operations management and identify operations management jobs. 53. Award: 10.00 points The three primary functions that exist in most business organizations are: manufacturing, production, and operations. operations, marketing, and finance. operations, accounting, and marketing. operations, production, and finance. operations, sales and accounting References Multiple Choice 54. Difficulty: Medium Learning Objective: 01-02 Identify the three major functions of organizations and describe how they interact. Award: 10.00 points The three major functions of business organizations: perform differently but their functions and processes are similar. are related indirectly only. must work together, but not very closely. function independently of each other. perform similar and related activities. References Multiple Choice Difficulty: Medium Learning Objective: 01-02 Identify the three major functions of organizations and describe how they interact. 55. Award: 10.00 points Which of the following is not a type of service operations? Retail trade Transportation and warehousing Fabrication of metals Banking Hotels and restaurants References Multiple Choice 56. Difficulty: Medium Learning Objective: 01-04 Compare production of goods and services. Award: 10.00 points Measurements taken at various points in the transformation process for control purposes are called: plans. directions. controls. feedback. proposals. References Multiple Choice Difficulty: Hard Learning Objective: 01-02 Identify the three major functions of organizations and describe how they interact. 57. Award: 10.00 points Measuring process outputs at various points in order to compare outputs to previously established standards to determine if corrective action is needed is called: planning and directing. directing and conversion. feedback and control. controlling and leading. leading and transformation. References Multiple Choice 58. Difficulty: Medium Learning Objective: 01-02 Identify the three major functions of organizations and describe how they interact. Award: 10.00 points Value-added refers to: the cost of inputs. the price of outputs. the difference between cost of inputs and the value or price of outputs. the extra profit obtained from increased productivity. the ratio of outputs compared to inputs. References Multiple Choice Difficulty: Hard Learning Objective: 01-02 Identify the three major functions of organizations and describe how they interact. 59. Award: 10.00 points Economic analysis of investment proposals, and provision of funds are activities associated with the: operation function. marketing function. purchasing function. finance function. industrial engineering function. References Multiple Choice 60. Difficulty: Easy Learning Objective: 01-02 Identify the three major functions of organizations and describe how they interact. Award: 10.00 points The marketing function's main concern is with: producing goods or providing services. assessing customer wants and needs. procuring materials, supplies, and equipment. performing economic analysis of investment proposals. securing monetary resources. References Multiple Choice Difficulty: Easy Learning Objective: 01-02 Identify the three major functions of organizations and describe how they interact. 61. Award: 10.00 points Planning decisions are usually __________ and __________ term. strategic; long tactical; medium forecasting; short strategic; short tactical; long References Multiple Choice 62. Difficulty: Medium Learning Objective: 01-03 Describe the scope of operations management and provide an overview of this textbook, including differentiating between design and planning/control decisions. Award: 10.00 points Which of the following does not relate to system design? Long term capacity Location of facilities Inventory management Process design Departmental layout References Multiple Choice Difficulty: Hard Learning Objective: 01-03 Describe the scope of operations management and provide an overview of this textbook, including differentiating between design and planning/control decisions. 63. Award: 10.00 points Tactical planning and control activities involve making decisions about all of the following EXCEPT: location of facilities. scheduling. material requirements planning. project management. inventory management. References Multiple Choice 64. Difficulty: Hard Learning Objective: 01-03 Describe the scope of operations management and provide an overview of this textbook, including differentiating between design and planning/control decisions. Award: 10.00 points System capacity and location of facilities are examples of: financial decisions. tactical decisions. systems design decisions. operational planning decisions. forecasting decisions. References Multiple Choice Difficulty: Hard Learning Objective: 01-03 Describe the scope of operations management and provide an overview of this textbook, including differentiating between design and planning/control decisions. 65. Award: 10.00 points The responsibilities of operations managers classified as planning activities include: inventory, production pace, quality, and costs. organizing departments, subcontracting, supplier contracts, and staffing. forecasting, planning, organizing, and directing. scheduling, job assignments, purchasing, and logistics. capacity, location, layout, and mix of products. References Multiple Choice 66. Difficulty: Medium Learning Objective: 01-05 Discuss the operations manager's job. Award: 10.00 points Which of the following responsibilities of operations managers is considered a directing activity rather than a planning or control activity? selecting production equipment product mix decisions scheduling workers inventory management layout of production facilities References Multiple Choice Difficulty: Medium Learning Objective: 01-05 Discuss the operations manager's job. 67. Award: 10.00 points Of the following, which aspect of the evolution of operations management is affiliated with Japanese manufacturing companies? total quality management scientific management the human relations movement. the industrial revolution. craft production References Multiple Choice 68. Difficulty: Hard Learning Objective: 01-07 Briefly describe the historical evolution of operations management. Award: 10.00 points Which is not a significant difference between manufacturing and service operations? Cost per unit Uniformity of output. Labour content of jobs. Amount of customer contact. Measurement of productivity. References Multiple Choice Difficulty: Hard Learning Objective: 01-04 Compare production of goods and services. 69. Award: 10.00 points Which of the following is not a characteristic of service operations? Intangible output. High customer contact. High labour content. Easy measurement of productivity. Low uniformity of output. References Multiple Choice 70. Difficulty: Medium Learning Objective: 01-04 Compare production of goods and services. Award: 10.00 points The responsibilities of operations managers classified as controlling activities are: inventory, production pace, quality, and costs. organizing departments, subcontracting, supplier contracts, and staffing. forecasting, planning, organizing, and directing. scheduling, job assignments, purchasing, and logistics. capacity, location, layout, and mix of products. References Multiple Choice Difficulty: Hard Learning Objective: 01-05 Discuss the operations manager's job. 71. Award: 10.00 points Which of the following is not a general approach to decision-making? Establishing priorities Subjective approach Analysis of trade-offs Systems approach Quantitative approaches References Multiple Choice 72. Difficulty: Medium Learning Objective: 01-06 Describe the key aspects of operations management decision making. Award: 10.00 points Which of the following is not a characteristic of models used to support decision making? They provide a simplified representation of a design problem. They ignore unimportant details, concentrating on the most important aspects of a situation. They may be based on mathematical representations or graphical schematics. They provide abstract representations of a design problem. They are limited to representations of objective quantitative factors. References Multiple Choice Difficulty: Medium Learning Objective: 01-06 Describe the key aspects of operations management decision making. 73. Award: 10.00 points Which of the following is not true about the systems approach? It recognizes the importance of taking into account the impact on all parts of the system. It emphasizes interrelationships among subsystems. It concentrates on efficiency within subsystems. It becomes essential whenever something is being redesigned or improved. The objectives of the whole take precedence over those of any one part. References Multiple Choice 74. Difficulty: Medium Learning Objective: 01-06 Describe the key aspects of operations management decision making. Award: 10.00 points Which is not a quantitative technique to problem solving? Linear programming Queuing techniques Statistical techniques Heuristic approach Forecasting techniques References Multiple Choice Difficulty: Hard Learning Objective: 01-06 Describe the key aspects of operations management decision making. 75. Award: 10.00 points Dealing with the fact that certain aspects of any management situation are more important than others is called: analysis of trade-offs. sensitivity analysis. establishing priorities. analysis of variance. decision analysis. References Multiple Choice 76. Difficulty: Medium Learning Objective: 01-06 Describe the key aspects of operations management decision making. Award: 10.00 points 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 ___________. forecasting approach Pareto phenomenon productivity challenge analysis of trade-offs ethical dilemma References Multiple Choice Difficulty: Medium Learning Objective: 01-06 Describe the key aspects of operations management decision making. 77. Award: 10.00 points Which of the following developments related to the historical evolution of operations management is the oldest? The human relations movement advocated by Mayo, Maslow, and Hertzberg. The introduction of the moving assembly line by Henry Ford. Scientific management principles espoused by Frederick Taylor. The principle of division of labour documented in Adam Smith's book The Wealth of Nations. The influence of Japanese management practices. References Multiple Choice 78. Difficulty: Medium Learning Objective: 01-07 Briefly describe the historical evolution of operations management. Award: 10.00 points Which of the following is not properly matched? Mathematical model for inventory management-Elton Mayo Division of labour-Adam Smith Scientific Management-F. W. Taylor Motion study-Frank and Lillian Gilbreth Moving assembly line-Henry Ford References Multiple Choice Difficulty: Medium Learning Objective: 01-07 Briefly describe the historical evolution of operations management. 79. Award: 10.00 points Which of the following is not a major trend influencing the strategies of manufacturing organizations? Globalization The Internet and e-commerce Introduction of mass production Supply chain management Technological advances References Multiple Choice 80. Difficulty: Medium Learning Objective: 01-08 Identify the major trends that affect operations management. Award: 10.00 points Operating at minimum cost and time is referred to as ___________. Value added Efficiency Effectiveness Trade-offs Economies of scale References Multiple Choice Difficulty: Medium Learning Objective: 01-01 Define the term operations management and identify operations management jobs. 81. Award: 10.00 points Which of the following functions is mostly service based, as identified in the "goods-service" continuum? Automotive assembly Automotive repair Restaurant meal Software development Teaching References Multiple Choice 82. Difficulty: Hard Learning Objective: 01-02 Identify the three major functions of organizations and describe how they interact. Award: 10.00 points The service industry in Canada has been growing. According to Statistics Canada, what percent of jobs are in services? More than 29% More than 48% More than 58% More than 79% More than 84% References Multiple Choice Difficulty: Hard Learning Objective: 01-04 Compare production of goods and services. 83. Award: 10.00 points A balance achieved between two incompatible features is referred to as (a) ___________. Break even Quantitative technique Heuristic Trade-off Systems approach References Multiple Choice 84. Difficulty: Medium Learning Objective: 01-06 Describe the key aspects of operations management decision making. Award: 10.00 points In the Historical Evolution of Operations Management. Which of the following was emphasized during the Human Relations Movement era? Division of labour The importance of workers in work design. The use of economic incentives The transfer of control from workers to management The development of time and motion studies. References Multiple Choice Difficulty: Medium Learning Objective: 01-07 Briefly describe the historical evolution of operations management. 85. Award: 10.00 points Many major trends affect operations. Disaster preparation and response falls under which major trend? Technology Globalization Supply chains Internet and ecommerce Sustainability References Multiple Choice 86. Difficulty: Hard Learning Objective: 01-08 Identify the major trends that affect operations management. Award: 10.00 points The number of defective parts produced in a given time period would be measured and managed by which of the following performance metrics? Forecast accuracy Quality Inventory Schedules Flexibility References Multiple Choice Difficulty: Medium Learning Objective: 01-06 Describe the key aspects of operations management decision making. 87. Award: 10.00 points Moral principles that govern a person's behaviour are called what? Priorities Trade-Offs Work design Ethics Motivation References Multiple Choice 88. Difficulty: Easy Learning Objective: 01-06 Describe the key aspects of operations management decision making. Award: 10.00 points The substitution of machine power for human power was an innovation specific to what? The industrial revolution Scientific management The human relations movement The Japanese influence on manufacturing The division of labour References Multiple Choice Difficulty: Easy Learning Objective: 01-07 Briefly describe the historical evolution of operations management. 89. Award: 10.00 points These software systems are used to coordinate sales, materials management, production and accounting/finance activities. Material requirements planning (MRP) Electronic data interchange (EDI) Enterprise resource planning (ERP) Decision models (DM) Business analytics (BI) References Multiple Choice 90. Difficulty: Medium Learning Objective: 01-07 Briefly describe the historical evolution of operations management. Award: 10.00 points This involves the sequencing of organizations involved in producing and delivering a product. Globalization Inventory control Logistics Supply chains Job assignments References Multiple Choice Difficulty: Easy Learning Objective: 01-08 Identify the major trends that affect operations management. 91. Award: 10.00 points This refers to the reduced use of resources and harm to the environment. Logistics Sustainability Material requirements planning Cost control Globalization References Multiple Choice 92. Difficulty: Easy Learning Objective: 01-08 Identify the major trends that affect operations management. Award: 10.00 points Which of the following is NOT considered a Green initiative? Reducing packaging Buying locally Expanding globalization Conserving water and energy use Recycling References Multiple Choice Difficulty: Medium Learning Objective: 01-08 Identify the major trends that affect operations management.