The Short Test for the Operation Management class December 21, 2020

True or False questions:

1. Operations managers are responsible for assessing consumer wants and needs and selling and
promoting the organization's goods or services. 
FALSE

2. Often, the collective success or failure of companies' operations functions will impact the ability of a
nation to compete with other nations. 
TRUE

3. Warranty and the service costs are likely to decrease as a result of better quality.
TRUE

4. Operations, marketing, and finance function independently of each other in most organizations. 
FALSE

5. A characteristic that was once an order winner may become an order qualifier, and vice versa. 
TRUE

6. An example of a strategic operations management decision is the choice of where to locate. 
TRUE

7. Companies are either producing goods or delivering services. This means that only one of the two
types of operations management strategies are used. 
FALSE

8. Strategy includes both organizational and functional strategies. 

TRUE

9. Mission statements should be as specific as possible regarding exactly how they will be
accomplished. 
FALSE
10. Environmental scanning is a search for events or trends that present either threats or opportunities to
the organization. 
TRUE

11. Standardization has the advantage of reducing variability. 

TRUE

12. Sustainability is often associated with corporate social responsibility.

Answer: TRUE

13. Firms that do not consider the impact of their decisions on all of their stakeholders see reduced sales
and profits.
TRUE

14. An improvement in quality must necessarily increase costs.

FALSE

15. Conforming to standards is the focus of the product-based definition of quality.

FALSE

Multiple choice Questions

1. Which of the following is not a type of operations? 
A. goods production
B. storage/transportation
C. entertainment
D. communication
E. all the above involve operations

2. Which one of the following would not generally be classified under the heading of
transformation? 
A. assembling
B. teaching
C. staffing
D. farming
E. consulting
3. The responsibilities of the operations manager are: 
A. planning, organizing, staffing, procuring, and reviewing
B. planning, organizing, staffing, directing, and controlling
C. forecasting, designing, planning, organizing, and controlling
D. forecasting, designing, operating, procuring, and reviewing
E. designing and operating

4. Product design and choice of location are examples of _______ decisions. 

A. strategic
B. tactical
C. operational
D. customer focused
E. design

5. Three broad categories of definition of quality are: 

A. user based, manufacturing based, and product based

B. user based, technology based, and marketing based
C. user based, transformed based, and selling based
D. performance based, technology based and marketing based
E. performance based, technology based and product based

6. The fundamental purpose for the existence of any organization is described by its: 

A. policies
B. procedures
C. corporate charter
D. mission statement
E. bylaws

7. Core competencies in organizations generally relate to: 

A. cost
B. quality
C. time
D. flexibility
E. all of the above

8. Scheduling personnel is an example of an operations management: 

A. mission implementation
B. operational decision
C. organizational strategy
D. functional strategy
E. tactical decision
 9. For an organization to grow its market share, it must: 
A. advertise using multimedia
B. lower prices
C. exceed minimum standards of acceptability for its products or services
D. establish an internet website
E. broaden its mission statement

10. The marketing function's main concern is with:

A. producing goods or providing services.
B. procuring materials, supplies, and equipment.
C. building and maintaining a positive image.
D. generating the demand for the organization's products or services.
E. securing monetary resources.

11. Reasons to study operations management include learning about:

A. how people organize themselves for productive enterprise.
B. how goods and services are produced.
C. what operations managers do.
D. a costly part of the enterprise.
E. all of the above.

12. Which of the following is LEAST likely to be a low-cost leadership competitive advantage?
A. low overhead
B. effective capacity use
C. inventory management
D. broad product line
E. mass production

13. Which one of the following is not a factor of successful product and service design? 
A. be aware of what the competitors are doing
B. be aware of what customers want
C. know what government regulations are
D. use computerized design techniques
E. know what new technologies are available

14. Standardization is an appropriate strategy in which stage of the product life cycle?
A. introduction
B. growth
C. maturity
D. decline
E. retirement
15. Which of the following is not a reason for redesigning a product or service? 
A. to reduce labor or material cost
B. to increase the level of employee satisfaction
C. to increase the level of customer satisfaction
D. to attract and increase customer demand
E. to increase quality

16. Which of the following statements best characterizes delivery reliability?

A. a company that always delivers on the same day of the week
B. a company that always delivers at the promised time
C. a company that delivers more frequently than its competitors
D. a company that delivers faster than its competitors
E. a company that has a computerized delivery scheduling system