OMGT Chapter 1 (Test 1) Study Guide | Introduction to Operations Management Review &
Practice Questions
Electronic commerce refers to the use of information technology solutions to automate
business transactions. - ANS ✔✔T
The drive for efficiency has decreased the level of globalization in the world economy over the
last twenty years. - ANS ✔✔F
Some organizations do not have an operations function. - ANS ✔✔F
Of the three flows linking organizations in a supply chain, information and monetary flows
always move upstream and physical flows always move downstream. - ANS ✔✔F
Most organizations cannot function as part of a larger supply chain. - ANS ✔✔F
The supply chain is a network of manufacturers and service providers that work together to
convert and move goods from the raw materials stage to the end user. - ANS ✔✔T
To participate in a supply chain, a firm need not actually handle the physical goods at some
point. - ANS ✔✔T
Information and materials are two examples of inputs to the transformation process. - ANS
✔✔T
The transformation process can be used to describe the production of ONLY intangible services.
- ANS ✔✔F
Practice Questions
Electronic commerce refers to the use of information technology solutions to automate
business transactions. - ANS ✔✔T
The drive for efficiency has decreased the level of globalization in the world economy over the
last twenty years. - ANS ✔✔F
Some organizations do not have an operations function. - ANS ✔✔F
Of the three flows linking organizations in a supply chain, information and monetary flows
always move upstream and physical flows always move downstream. - ANS ✔✔F
Most organizations cannot function as part of a larger supply chain. - ANS ✔✔F
The supply chain is a network of manufacturers and service providers that work together to
convert and move goods from the raw materials stage to the end user. - ANS ✔✔T
To participate in a supply chain, a firm need not actually handle the physical goods at some
point. - ANS ✔✔T
Information and materials are two examples of inputs to the transformation process. - ANS
✔✔T
The transformation process can be used to describe the production of ONLY intangible services.
- ANS ✔✔F
