Question 1 An operations task performed at Hard Rock Caf is Answer borrowing funds to build a new restaurant advertising changes

in the restaurant menu calculating restaurant profit and loss preparing employee schedules all of the above 1 points Question 2 Which of the following statements concerning the operations management decision is relevant to services? Answer There are many objective quality standards. The customer is not involved in most of the process. The work force's technical skills are very important. Labor standards vary depending on customer requirements. Ability to inventory may allow the leveling of the output rates. 1 points Question 3 Bridget's Hamburger Stand uses only 7 ingredients but offers 15 different burgers. This process is known as Answer Robust Design

QFD Modular Design CAD Value analysis 1 points Question 4 What is the expected value with perfect information in the following decision table?

Answer 50 20 0 26 0 30 0 35 0 1 points Question 5 Which of the following examples involves customer participation in the design of the service? Answer investing in a mutual fund buying a life insurance policy providing the stockbroker with the desired distribution of the portfolio

seeing a movie at the theater eating at a fast-food restaurant 1 points Question 6 Which of the following are examples of transnational firms? Answer Nestl Asea Brown Boveri Reuters Citicorp All of the above are transnationals. 1 points Question 7 Long-range forecasting is generally done in planning for Answer job scheduling production levels cash budgeting capital expenditures planning purchasing 1 points Question 8 A project being analyzed by PERT has 38 activities, 16 of which are on the critical path. If the estimated time along the critical path is 90 days with a project variance of 25, the probability that the project will be completed in 88 days or less is

Answer 0.02 28 0.34 46 0.65 54 0.97 72 18 1 points Question 9 Which of the following is an example of competing on the basis of differentiation? Answer A firm manufactures its product with less raw material waste than its competitors do. A firm's products are introduced into the market faster than its competitors' products are. A firm's distribution network routinely delivers its product on time. A firm offers more reliable products than its competitors do. A firm advertises more than its competitors do. 1 points Question 10 Which service design technique(s) would ordinarily not be appropriate for fullservice restaurant meals? Answer modularizing the product customization as late in the process as possible reducing customer interaction

the moment of truth All of the above are appropriate. 1 points Question 11 The Beta distribution is used in project management to Answer calculate slack on activities not on the critical path calculate the probability that a project will be completed within its budget calculate pessimistic and optimistic activity times determine which activity should be crashed none of the above 1 points Question 12 A network has been crashed to the point where all activities are critical. Additional crashing Answer is unnecessary is impossible is prohibitively expensive may require crashing multiple tasks simultaneously can be done, but all critical tasks must be reduced in duration 1 points Question 13 Which of the following services is least likely to be unique, i.e., customized to a particular individual's needs?

Answer dental care hairdressing legal services elementary education computer consulting 1 points Question 14 Computer monitoring of tracking signals and self-adjustment if a signal passes a preset limit is characteristic of Answer exponential smoothing including trend adaptive smoothing trend projection focus forecasting multiple regression analysis 1 points Question 15 Which of the following activities takes place once the mission has been developed? Answer The firm develops alternative or back-up missions in case the original mission fails. The functional areas develop their functional area strategies. The functional areas develop their supporting missions.

The ten OM decision areas are prioritized. Operational tactics are developed. 1 points Question 16 Which of the international operations strategies involves high cost reductions and high local responsiveness? Answer international strategy global strategy transnational strategy multidomestic strategy none of the above 1 points Question 17 Which of the following is not part of value-chain analysis? Answer product research quality management supply-chain management marketing human resources 1 points Question 18 Operations management is applicable

Answer mostly to the service sector to services exclusively mostly to the manufacturing sector to all firms, whether manufacturing and service to the manufacturing sector exclusively 1 points Question 19 Which of the following did the authors not suggest as a reason for globalizing operations? Answer reduce costs improve the supply chain stockholder approval ratings attract new markets None of the above were suggested. 1 points Question 20 The expected value of perfect information (EVPI) is the Answer payoff for a decision made under perfect information payoff under minimum risk average expected payoff

difference between the payoff under perfect information and the payoff under risk none of the above 1 points Question 21 Which of the following does not represent reasons for globalizing operations? Answer reduce costs improve supply chain reduce responsiveness attract and retain global talent None of the above are valid reasons for globalizing operations. 1 points Question 22 An operations manager is not likely to be involved in Answer the design of goods and services to satisfy customers' wants and needs the quality of goods and services to satisfy customers' wants and needs the identification of customers' wants and needs work scheduling to meet the due dates promised to customers maintenance schedules 1 points Question 23 Which of the following is an example of competing on quick response? Answer

A firm produces its product with less raw material waste than its competitors. A firm offers more reliable products than its competitors. A firm's products are introduced into the market faster than its competitors' products. A firm's research and development department generates many ideas for new products. A firm advertises more than its competitors. 1 points Question 24 Productivity measurement is complicated by Answer the competition's output the fact that precise units of measure are often unavailable stable quality the workforce size the type of equipment used 1 points Question 25 Quality function deployment (QFD) Answer determines what will satisfy the customer translates customer desires into the target design is used early in the design process is used to determine where to deploy quality efforts all of the above

1 points Question 26 Which of the following is a similarity between goods and services? Answer mass production consistency automation application of operations management all of the above 1 points Question 27 What is the expected value with perfect information of the following decision table?

Answer 5,00 0 10,0 00 40,0 00 60,0 00 70,0 00 1 points Question 28 Which of the international operations strategies uses import/export or licensing of existing products?

Answer international strategy global strategy transnational strategy multidomestic strategy none of the above 1 points Question 29 Analysis of a PERT problem shows the estimated time for the critical path to be 108 days with a variance of 64. There is a .90 probability that the project will be completed before approximately day __________. Answer 98 10 8 10 9 11 5 11 8 1 points Question 30 The last step of the decision-making process is to Answer develop a model evaluate each alternative pick the best alternative

implement the decision check the decision with senior management 1 points Question 31 Which of the following statements is not true? Answer Virtually all of Honda's sales (autos, motorcycles, generators, lawn mowers) are based on its outstanding engine technology. Intel focuses on microprocessors. Michelin focuses on tires. Firms such as 3M establish goals for profitability from new products. Dell Computers provides fast delivery to customers, but, in return, customers may only select from a limited choice of hardware configurations. 1 points Question 32 A decision tree is a(n) Answer algebraic representation of alternatives and states of nature behavioral representation of alternatives and states of nature matrix representation of alternatives and states of nature schematic representation of alternatives and states of nature tabular representation of alternatives and states of nature 1 points Question 33 Which of the following is the best example of competing on low-cost leadership?

Answer A firm produces its product with less raw material waste than its competitors. A firm offers more reliable products than its competitors. A firm's products are introduced into the market faster than its competitors' products. A firm's research and development department generates many ideas for new products. A firm advertises more than its competitors. 1 points Question 34 Reasons to study Operations Management include Answer studying why people organize themselves for productive enterprise knowing how goods and services are consumed understanding what human resource managers do learning about a costly part of the enterprise A and D 1 points Question 35 Which of the following would not be an operations function in a fast-food restaurant? Answer advertising and promotion designing the layout of the facility maintaining equipment

making hamburgers and fries purchasing ingredients 1 points Question 36 Value analysis takes place Answer when the product is selected and designed during the initial stages of production when something needs to be done to assure product success when the product is first conceived during the production process when it is clear the new product is a success when the product cost is very low 1 points Question 37 Which of the following product development strategies has the highest risk? Answer acquiring the developer alliances joint ventures new internally developed products purchasing technology 1 points Question 38 A project manager is interested in crashing a project with variable activity times. Which of the following tools should he/she employ?

Answer PERT CPM Gantt Chart either PERT or CPM PERT, CPM, or a Gantt chart are fine 1 points Question 39 Which of the following tasks within an Airline Company are related to Operations? Answer Crew Scheduling International Monetary Exchange Reservations Advertising Design of aircraft safety features 1 points Question 40 Which of the following would likely cause a change in market opportunities based upon levels of income and wealth? Answer economic change sociological and demographic change technological change

political change legal change 1 points Question 41 A firm can effectively use its operations function to yield competitive advantage through all of the following except Answer customization of the product setting equipment utilization goals below the industry average speed of delivery constant innovation of new products maintaining a variety of product options 1 points Question 42 Which of the following is an example of globalization of operations strategy? Answer Boeing's Dreamliner has engines with higher fuel/payload efficiency. Ford's new auto models have dent-resistant panels. A Chinese manufacturer, Haier, now operates plants in the United States. Hard Rock Caf provides an "experience differentiation" at its restaurants. All of the above are examples. 1 points Question 43 A cleaning company uses 10 lbs each of chemicals A, B and C for each house it cleans. After some quality complaints, the company has decided to increase its use

of chemical A by an additional 10 lbs for each house. By what % has productivity (houses per pound of chemical) fallen? Answer 0% 10 % 15 % 25 % 33 % 1 points Question 44 A graphic technique for defining the relationship between customer desires and product/service is Answer Product Lifecycle Management the House of Quality the moment of truth the assembly drawing the product development team 1 points Question 45 The factor responsible for the largest portion of productivity increase in the U.S. is Answer labor management

capital All three combined; it is impossible to determine the contribution of individual factors. None of these; most productivity increases come from investment spending. 1 points Question 46 A tabular presentation that shows the outcome for each decision alternative under the various possible states of nature is called a(n) Answer isoquant table payback period matrix payoff table feasible region decision tree 1 points Question 47 Which time-series model below assumes that demand in the next period will be equal to the most recent period's demand? Answer naive approach moving average approach weighted moving average approach exponential smoothing approach none of the above 1 points Question 48

The stage in the product life cycle at which it is a poor time to change quality is Answer introducti on growth maturity decline incubatio n 1 points Question 49 One method used to determine a product's total environmental impact from conversion of inputs through production and to disposal is Answer QFD Design for manufacturability Value Analysis Life Cycle Assessment C and D 1 points Question 50 The ability of an organization to produce goods or services that have some uniqueness in their characteristics is Answer mass production time-based competition

competing on productivity competing on flexibility competing on differentiation 1 points Question 51 The last four months of sales were 8, 10, 15, and 9 units. The last four forecasts were 5, 6, 11, and 12 units. The Mean Absolute Deviation (MAD) is Answer 2 -10 3.5 9 10. 5 1 points Question 52 If an activity whose normal duration is 13 days can be shortened to 10 days for an added cost of $1,500, the crash cost per period is Answer $500 $1,50 0 $750 $13,0 00 $15,0 00 1 points Question 53

A forecasting method has produced the following over the past five months. What is the mean absolute deviation?

Answer 0. 2 1. 0 0. 0 1. 2 8. 6 1 points Question 54 An engineering drawing shows the Answer dimensions, tolerances, materials, and finishes of a component dimensions, tolerances, cost, and sales or use volume of a component materials, finishes, machining operations, and dimensions of a component cost, materials, tolerances, and lead-time for a component cost, dimensions, and machining operations for a component 1 points Question 55 Gibson Valves produces cast bronze valves on an assembly line. If 1600 valves are produced in an 8-hour shift, the productivity of the line is Answer

2 valves/hr 40 valves/hr 80 valves/hr 200 valves/hr 1600 valves/hr 1 points Question 56 The Dulac Box plant produces 500 cypress packing boxes in two 10-hour shifts. Due to higher demand, they have decided to operate three 8-hour shifts instead. They are now able to produce 600 boxes per day. What has happened to production? Answer It has increased by 50 sets/shift. It has increased by 37.5 sets/hr. It has increased by 20%. It has decreased by 8.3%. It has decreased by 9.1%. 1 points Question 57 The following decision tree has how many state of nature nodes

Answer 0 1 2 3 4 1 points Question 58 What is the EMV for Option 1 in the following decision table?

Answer 20 0 24 0 25 0 26 0

30 0 1 points Question 59 Three commonly used productivity variables are Answer quality, external elements, and precise units of measure labor, capital, and management technology, raw materials, and labor education, diet, and social overhead quality, efficiency, and low cost 1 points Question 60 Which of the following statements regarding PERT times is true? Answer The optimistic time estimate is an estimate of the minimum time an activity will require. The optimistic time estimate is an estimate of the maximum time an activity will require. The probable time estimate is calculated as t = (a + 4m + b). Pessimistic time estimate is an estimate of the minimum time an activity will require. Most likely time estimate is an estimate of the maximum time an activity will require. 1 points Question 61 Which of the following statements about time-series forecasting is true? Answer

It is based on the assumption that future demand will be the same as past demand. It makes extensive use of the data collected in the qualitative approach. The analysis of past demand helps predict future demand. Because it accounts for trends, cycles, and seasonal patterns, it is more powerful than causal forecasting. All of the above are true. 1 points Question 62 What is the EMV for Option 1 in the following decision table?

Answer 15,0 00 17,0 00 17,5 00 18,5 00 20,0 00 1 points Question 63 Which of these organizations is likely to have the most complex inventory decisions? Answer a marketing research firm a stock brokerage firm

a management consulting firm a computer manufacturing company a high school 1 points Question 64 Which of the following statements about organizational missions is false? Answer They reflect a company's purpose. They indicate what a company intends to contribute to society. They are formulated after strategies are known. They define a company's reason for existence. They provide guidance for functional area missions. 1 points Question 65 Which of the following is not among the ethical and social challenges facing operations managers? Answer honoring stakeholder commitments maintaining a clean environment efficiently developing and producing safe quality products increasing executive pay providing a safe workplace 1 points Question 66

At Hard Rock Caf, tasks that reflect operations or operations management include Answer designing meals testing meals (recipes) analyzing meals for the cost of ingredients preparing employee schedules all of the above 1 points Question 67 The three major types of forecasts used by business organizations are Answer strategic, tactical, and operational economic, technological, and demand exponential smoothing, Delphi, and regression causal, time-series, and seasonal departmental, organizational, and territorial 1 points Question 68 The forecasting model that pools the opinions of a group of experts or managers is known as the Answer sales force composition model multiple regression jury of executive opinion model

consumer market survey model management coefficients model 1 points Question 69 NAFTA seeks to Answer substitute cheap labor in Mexico for expensive labor in the United States curb illegal immigration from Mexico to the United States phase out all trade and tariff barriers between the United States and Mexico phase out all trade and tariff barriers between the United States, Canada, and Mexico All of the above are NAFTA goals. 1 points Question 70 Which of the following statements comparing the weighted moving average technique and exponential smoothing is true? Answer Exponential smoothing is more easily used in combination with the Delphi method. More emphasis can be placed on recent values using the weighted moving average. Exponential smoothing is considerably more difficult to implement on a computer. Exponential smoothing typically requires less record keeping of past data. Exponential smoothing allows one to develop forecasts for multiple periods, whereas weighted moving averages does not. 1 points Question 71 Match the following steps in Microsoft's development of Windows 7 to their respective WBS level.

Answer Level 1, Level 2, Level 4, Level 3, Level 3 Level 1, Level 2, Level 3, Level 4, Level 5 Level 0, Level 1, Level 2, Level 3, Level 4 Level 0, Level 2, Level 2, Level 3, Level 3 None of the above patterns is correct. 1 points Question 72 What is the expected value of perfect information of the following decision table?

Answer 0 20 50 15 0 20 0 1 points Question 73 A square node on a decision tree infers that Answer

the node splits into various states of nature, of which only one will occur there are several alternatives available the manager must pick choose an alternative both B and C A, B, and C 1 points Question 74 Which of the following statements regarding CPM networks is true? Answer There can be multiple critical paths on the same project, all with different durations. The early finish of an activity is the latest early start of all preceding activities. The late start of an activity is its late finish plus its duration. If a specific project has multiple critical paths, all of them will have the same duration. All of the above are true. 1 points Question 75 Which of these statements regarding Regal Marine is true? Answer Product design is a critical decision for the firm. Regal uses a three-dimensional CAD system to shorten product development time. Regal still uses some wooden parts and hand-produces some components. Regal's use of CAD has resulted in a superior product. All of the above are true.

1 points Question 76 Among the ethical and social challenges facing operations managers are Answer honoring stakeholder commitments maintaining a clean environment efficiently developing and producing safe quality products providing a safe workplace all of the above 1 points Question 77 The five elements in the management process are Answer plan, direct, update, lead, and supervise accounting/finance, marketing, operations, and management organize, plan, control, staff, and manage plan, organize, staff, lead, and control plan, lead, organize, manage, and control 1 points Question 78 Two critical path activities are candidates for crashing on a CPM network. Activity details are in the table below. To cut one day from the project's duration, activity should be crashed first, adding to project cost.

Answer B; $2,000 B; $8,000 C; $1,000 C; $2,000 C; $6,000 1 points Question 79 The time an activity will take assuming very unfavorable conditions is Answer the optimistic time the pessimistic time the activity variance the minimum time exactly twice as long as the expected time 1 points Question 80 The project organization works best when which of the following conditions are satisfied? I. Work can be defined with a specific goal and deadline. II. The job is typical and familiar to the existing organization. III. The work contains interrelated tasks requiring specialized skills IV. The project is temporary but unimportant to long-term organizational success V. The project cuts across organizational lines. Answer I,II,III,IV,V

None of the above conditions need to be satisfied I,III,V I,II,III,V I,III,IV,V 1 points Question 81 Eli Whitney, in the __________, provided the foundations for __________ in operations management. Answer 1920s; statistical sampling United Kingdom; mass production U.S. Army; logistics nineteenth century; interchangeable parts none of the above 1 points Question 82 A simple CPM network has three activities, A, B, and C. A is an immediate predecessor of B and of C. B is an immediate predecessor of C. The activity durations are A=4, B=3, C=8. Answer The critical path is A-B-C, duration 15. The critical path is A-C, duration 12. The critical path is A-B-C, duration 13.5 The critical path cannot be determined without knowing PERT expected activity times.

The network has no critical path. 1 points Question 83 Which of the following is not one of The Ten Critical Decisions of Operations Management? Answer layout strategy maintenance process and capacity design mass customization supply-chain management 1 points Question 84 Franz Colruyt has achieved low-cost leadership through Answer Spartan headquarters absence of voice mail low-cost facilities no background music all of the above 1 points Question 85 Doing nothing would yield how much profit if favorable market conditions prevail according to the following decision table?

Answer $5,000 $20,000 -$10,000 $0 unable to determine 1 points Question 86 Yamaha manufactures which set of products with complementary demands to address seasonal fluctuations? Answer golf clubs and skis swimming suits and winter jackets jet skis and snowmobiles pianos and guitars ice skates and water skis 1 points Question 87 In which stage of the product life cycle should product strategy focus on process modifications? Answer introduction

growth maturity decline none of the above 1 points Question 88 In time series, which of the following cannot be predicted? Answer large increases in demand technological trends seasonal fluctuations random fluctuations large decreases in demand 1 points Question 89 Which of the following statements contributing to the growth of services is true? Answer Services now constitute the largest economic sector in postindustrial societies The number of people employed in manufacturing has more or less held steady since 1950 Each manufacturing employee now produces about 20 times more than in 1950 All of the above are true. None of the above is true. 1 points

Question 90 Which of the following environmental factors has not been a factor in Microsoft's changing strategy? Answer Google security issues faster processors the Internet none of the above 1 points Question 91 With reference to cultural and ethical issues, the World Trade Organization has Answer succeeded in providing equal protection of intellectual property among nations made progress in providing equal protection of intellectual property among nations phased out all trade and tariff barriers between the United States and Mexico eliminated slave labor and child labor played little role in addressing cultural and ethical issues among nations 1 points Question 92 Reducing the complexity of a product and improving a product's maintainability for use are activities of Answer Product Lifecycle Management (PLM)

product-by-value-analysis manufacturability and value engineering organizing for product development design for destruction (DFD) 1 points Question 93 Productivity tends to be more difficult to improve in the service sector because the work is Answer often difficult to automate typically labor-intensive frequently processed individually often an intellectual task performed by professionals All of the above make service productivity more difficult. 1 points Question 94 What is the EMV for Option 2 in the following decision table?

Answer 10,0 00 16,0 00 20,0 00

24,0 00 30,0 00 1 points Question 95 The __________ distribution is used by PERT analysis to calculate expected activity times and variances. Answer Normal Beta Alpha Gaussi an Binomi al 1 points Question 96 Ethical issues that may arise in projects large and small include Answer gifts from contractors exaggerated expense reports compromised safety or health standards to save time or reduce costs pressure to mask delays with false status reports all of the above 1 points Question 97 Which of the following is not a step in the forecasting process?

Answer Determine the use of the forecast. Eliminate any assumptions. Determine the time horizon. Select forecasting model. Validate and implement the results. 1 points Question 98 Which of the following statements is true? Answer The person most responsible for initiating use of interchangeable parts in manufacturing was Eli Whitney. The origins of management by exception are generally credited to Frederick W. Taylor. The person most responsible for initiating use of interchangeable parts in manufacturing was Walter Shewhart. The origins of the scientific management movement are generally credited to Henry Ford. The person most responsible for initiating use of interchangeable parts in manufacturing was Henry Ford. 1 points Question 99 Given an actual demand of 103, a previous forecast value of 99, and an alpha of .4, the exponential smoothing forecast for the next period would be Answer 94.6 97.4 100. 6

101. 6 103. 0 1 points Question 100 A PERT project has 45 activities, 19 of which are on the critical path. The estimated time for the critical path is 120 days. The sum of all activity variances is 64, while the sum of variances along the critical path is 36. The probability that the project can be completed between days 108 and 120 is Answer -2.00 0.02 27 0.10 58 0.47 73 0.97 73 1 points Save and Submit
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