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1
INCORRECT
Historically in most manufacturing organizations, operations was viewedas an internal function that is buffered from the external environment.
A)
True
B)
False
2
CORRECT
Recently, there has been a decline in the interest in operationsmanagement.
A)
True
B)
False
3
CORRECT
The strategic issues of OM are broad in nature including how muchcapacity should be acquired.
A)
True
B)
False
4
INCORRECT
Warehousing OM transformations are referred to as exchangetransformations.
A)
True
B)
False
5
INCORRECT
Who developed the use of standardization in large-scale mass productionusing a moving assembly line?
A)
Frederick Winslow Taylor
B)
Frank Gilbreth
C)
Adam Smith
D)
Charles Babbage
E)
Henry Ford
6
INCORRECT
Which of the following is NOT associated with the work of Taylor?
A)
A one-best way of doing things.
B)
The hierarchal needs of labor.
C)
The scientific method.
D)
Clear distinctions between the responsibilities of labor andmanagement.
7
INCORRECT
Match the transformations:1. exchangeA. manufacturing2. physicalB. making a sick person well3. physiologicalC. retailing4. storageD. warehousing
A)
1C, 2A, 3D,
 
4B
B)
1D, 2A, 3C,4B
C)
1A, 2B, 3D,4C
D)
1B, 2C, 3D,4A
E)
1C, 2A, 3B,4D
8
INCORRECT
Which of the following is NOT an OM tactical issue?
A)
How many workers do we need?
B)
Where do we locate the facility or facilities?
C)
When should we have material delivered?
D)
Should we work overtime or put on a second shift?
9
CORRECT
Which of the following is NOT an example of the shift of power fromproducers to consumers?
A)
increasingly higher quality products
B)
a focus on shorter delivery times
C)
less emphasis on reducing labor and material costs
D)
better utilization of facilities
10
CORRECT
Higher productivity derived from efficient operations leads to
A)
more expensive goods and services
B)
lower quality goods and services
C)
higher discretionary incomes for consumers
D)
increased dependence on expensive labor
11
INCORRECT
Which of the following is consistent with contemporary operationsmanagement?
A)
limitation of expensive aluminum recycling efforts
B)
raw waste disposal into waterways in acceptablequantities
C)
restricting air pollutant production to areas where pollution isnormal
D)
replanting of forest land to reduce erosion
12
CORRECT
Which of the following best describes the concept of the value chain?
A)
adding financial value to an organization through the acquisitionof other firms
B)
the step-wise increases in product prices as raw materials areturned into goods/services
C)
the steps in manufacturing that add value to finished products
D)
all steps in the transformation process that add value even if 
 
they don't come from manufacturingThe correct answer for each question is indicated by a .
1
CORRECT
Corporate strategy refers to the overall strategy of the firm.
A)
True
B)
False
2
CORRECT
Operations strategy can be divided into two major categories, structuralelements and infrastructural elements.
A)
True
B)
False
3
CORRECT
The four basic competitive priorities are cost, quality, delivery andflexibility.
A)
True
B)
False
4
CORRECT
Service warranties are becoming more important as order winners.
A)
True
B)
False
5
INCORRECT
Operations management divides decisions into three broad categories.They are:
A)
Strategic, operational andfinancial
B)
Personnel, financial andoperational
C)
Strategic, tactical andoperational planning and control
D)
Planning, tactical and control
E)
Planning, organizing andfinancial
6
INCORRECT
Which of the following has been added most recently to the four basiccompetitive priorities?
A)
Service
B)
Cost
C)
Quality
D)
Delivery
E)
Flexibility
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