Question 1

(TCO 1) Which of the following is a current trend in operations management?

• Quality circles
• Domestic focus
• Supply chain independence
• Mass customization
• All of the above

Question 2

(TCO 2) Which of the following does not represent a reason for globalizing operations?

• Reduce costs
• Improve supply chain
• Understand new markets
• Attract and retain global talent
• None of the above

Question 3

(TCO 1) Which one the following is not a reason why productivity is difficult to improve in the service sector?

• Labor intensive
• Focuses on individual attributes
• Often an intellectual task
• Easy to mechanize and automate
• Difficult to evaluate for quality

Question 4

(TCO 4) Gibson Valves produces air valves on a five-person assembly line. If they produce 1,200 valves in an 8-hour shift, what is the labor productivity of the line?

• 2 valves/labor hour
• 4 valves/labor hour
• 30 valves/labor hour
• 40 valves/labor hour
• 80 valves/labor hour

Question 5

(TCO 4) Gibson Valves produces cast bronze valves on an assembly line, currently producing 2,000 valves during each 8-hour shift. If the production is increased to 2,400 valves for each 8-hour shift, the productivity will increase by

• 10%.
• 20%.
• 25%.
• 40%.
• 50%.

.

Question 6

(TCO 4) Susan has a part-time "cottage industry" producing seasonal plywood yard ornaments for resale at local craft fairs and bazaars. She currently works a total of 5 hours per day to produce 10 ornaments. She thinks that by redesigning the ornaments and switching from the use of wood glue to a hot glue gun that she can increase her total production to 25 ornaments per day. What is her new productivity?

• 2 ornaments per hour
• 3 ornaments per hour
• 4 ornaments per hour
• 5 ornaments per hour

Question 7

(TCO 2) Which is not true regarding differences between goods and services?

• Tangible goods are generally produced and consumed simultaneously; services are not.
• Most goods are common to many customers; services are often unique to the final customer.
• Services tend to have a more inconsistent product definition than goods.
• Services tend to have higher customer interaction than goods.
• All of the above

Question 8

(TCO 2) A mission is

• the purpose or rationale for an organization's existence.
• a broad statement of strategies.
• a simulation used to test various product line options.
• a plan for cost reduction.
• an action plan to achieve the mission.

Question 9

(TCO 2) The impact of a firm's strategies to achieve their mission is which of the following?

• They exploit opportunities and strengths.
• They operate on medium-range tactics.
• They are not long range.
• They neutralize threats and avoid weaknesses.
• They both exploit opportunities and strengths, and they neutralize threats and avoid weaknesses.

Question 10

(TCO 4) Which is not a reason for a firm to internationalize operations?

• Track customer complaints
• Improve the supply chain
• Provide better goods and services
• Understand markets
• All of the above