Operations Management, 12e (Heizer/Render/Munson)
Chapter 1 Operations and Productivity
Section 1 What is Operations Management?
1) Some of the operations-related activities of Hard Rock Café include designing meals and analyzing
them for ingredient cost and labor requirements.
Answer: TRUE
Diff: 1
Key Term: Operations management
Objective: LO 1.1 Define operations management
Learning Outcome: Discuss operations and operations management as a competitive advantage for the organization
2) Because Hard Rock Cafés are themed restaurants, operations managers focus their layout design
efforts on attractiveness while paying little attention to efficiency.
Answer: FALSE
Diff: 1
Learning Outcome: Discuss operations and operations management as a competitive advantage for the organization
3) All organizations, including service firms such as banks and hospitals, have a production function.
Answer: TRUE
Diff: 2
Key Term: Production
Objective: LO 1.1 Define operations management
Learning Outcome: Discuss operations and operations management as a competitive advantage for the organization
4) Operations management is the set of activities that creates value in the form of goods and services by
transforming inputs into outputs.
Answer: TRUE
Diff: 1
Key Term: Operations management
Objective: LO 1.1 Define operations management
Learning Outcome: Discuss operations and operations management as a competitive advantage for the organization
5) An example of a "hidden" production function is the transfer of funds between accounts at a bank.
Answer: TRUE
Diff: 2
Key Term: Production
Objective: LO 1.1 Define operations management
Learning Outcome: Discuss operations and operations management as a competitive advantage for the organization
1
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,6) At Hard Rock Café, tasks that reflect operations or operations management include:
A) designing efficient layouts.
B) providing meals.
C) receiving ingredients.
D) preparing effective employee schedules.
E) all of the above.
Answer: E
Diff: 1
Key Term: Operations management
Objective: LO 1.1 Define operations management
Learning Outcome: Discuss operations and operations management as a competitive advantage for the organization
7) An operations task performed at Hard Rock Café is:
A) borrowing funds to build a new restaurant.
B) advertising changes in the restaurant menu.
C) calculating restaurant profit and loss.
D) preparing employee schedules.
E) all of the above.
Answer: D
Diff: 2
Key Term: Operations management
AACSB: Reflective thinking
Objective: LO 1.1 Define operations management
Learning Outcome: Discuss operations and operations management as a competitive advantage for the organization
8) Operations management is applicable:
A) mostly to the service sector.
B) to services exclusively.
C) mostly to the manufacturing sector.
D) to all firms, whether manufacturing or service.
E) to the manufacturing sector exclusively.
Answer: D
Diff: 2
Key Term: Operations management
Objective: LO 1.1 Define operations management
Learning Outcome: Discuss operations and operations management as a competitive advantage for the organization
9) ________ is the set of activities that creates value in the form of goods and services by transforming
inputs into outputs.
Answer: Operations management
Diff: 1
Key Term: Operations management
Objective: LO 1.1 Define operations management
Learning Outcome: Discuss operations and operations management as a competitive advantage for the organization
2
Copyright © 2017 Pearson Education, Inc.
,10) Identify three or more operations-related tasks carried out by Hard Rock Café.
Answer: Providing custom meals; designing, testing, and costing meals; acquiring, receiving, and storing
supplies; recruiting and training employees; preparing employee schedules; designing efficient restaurant
layouts.
Diff: 1
Key Term: Operations management
Objective: LO 1.1 Define operations management
Learning Outcome: Discuss operations and operations management as a competitive advantage for the organization
11) Define operations management. Will your definition accommodate both manufacturing and service
operations?
Answer: Operations management can be defined as the management of all activities directly related to
the creation of goods and/or services through the transformation of inputs into outputs. Yes.
Diff: 1
Key Term: Operations management
Objective: LO 1.1 Define operations management
Learning Outcome: Discuss operations and operations management as a competitive advantage for the organization
Section 2 Organizing to Produce Goods and Services
1) Which of the following are the primary functions of all organizations?
A) production/operations, marketing, and human resources
B) marketing, human resources, and finance/accounting
C) sales, quality control, and production/operations
D) marketing, production/operations, and finance/accounting
E) research and development, finance/accounting, and purchasing
Answer: D
Diff: 2
Key Term: Operations management
Objective: LO 1.1 Define operations management
Learning Outcome: Discuss operations and operations management as a competitive advantage for the organization
2) Which of the following pioneers was NOT making a professional impact during the Scientific
Management Era?
A) Frank Gilbreth
B) W. Edwards Deming
C) Henry L. Gantt
D) Lillian Gilbreth
E) Frederick W. Taylor
Answer: B
Diff: 2
Learning Outcome: Discuss operations and operations management as a competitive advantage for the organization
3
Copyright © 2017 Pearson Education, Inc.
, 3) Which of the following would NOT be an operations function in a commercial bank?
A) auditing
B) teller scheduling
C) maintenance
D) collection
E) check clearing
Answer: A
Diff: 2
Key Term: Operations management
Objective: LO 1.1 Define operations management
Learning Outcome: Discuss operations and operations management as a competitive advantage for the organization
4) The marketing function is concerned 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.
Answer: D
Diff: 2
5) The purchasing function is concerned 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.
Answer: B
Diff: 2
6) The finance function is concerned 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.
Answer: E
Diff: 2
7) Which of the following tasks within an airline company are related to operations?
A) crew scheduling
B) international monetary exchange
C) sales
D) advertising
E) accounts payable
Answer: A
Diff: 2
Key Term: Operations management
Objective: LO 1.1 Define operations management
Learning Outcome: Discuss operations and operations management as a competitive advantage for the organization
4
Copyright © 2017 Pearson Education, Inc.
Chapter 1 Operations and Productivity
Section 1 What is Operations Management?
1) Some of the operations-related activities of Hard Rock Café include designing meals and analyzing
them for ingredient cost and labor requirements.
Answer: TRUE
Diff: 1
Key Term: Operations management
Objective: LO 1.1 Define operations management
Learning Outcome: Discuss operations and operations management as a competitive advantage for the organization
2) Because Hard Rock Cafés are themed restaurants, operations managers focus their layout design
efforts on attractiveness while paying little attention to efficiency.
Answer: FALSE
Diff: 1
Learning Outcome: Discuss operations and operations management as a competitive advantage for the organization
3) All organizations, including service firms such as banks and hospitals, have a production function.
Answer: TRUE
Diff: 2
Key Term: Production
Objective: LO 1.1 Define operations management
Learning Outcome: Discuss operations and operations management as a competitive advantage for the organization
4) Operations management is the set of activities that creates value in the form of goods and services by
transforming inputs into outputs.
Answer: TRUE
Diff: 1
Key Term: Operations management
Objective: LO 1.1 Define operations management
Learning Outcome: Discuss operations and operations management as a competitive advantage for the organization
5) An example of a "hidden" production function is the transfer of funds between accounts at a bank.
Answer: TRUE
Diff: 2
Key Term: Production
Objective: LO 1.1 Define operations management
Learning Outcome: Discuss operations and operations management as a competitive advantage for the organization
1
Copyright © 2017 Pearson Education, Inc.
,6) At Hard Rock Café, tasks that reflect operations or operations management include:
A) designing efficient layouts.
B) providing meals.
C) receiving ingredients.
D) preparing effective employee schedules.
E) all of the above.
Answer: E
Diff: 1
Key Term: Operations management
Objective: LO 1.1 Define operations management
Learning Outcome: Discuss operations and operations management as a competitive advantage for the organization
7) An operations task performed at Hard Rock Café is:
A) borrowing funds to build a new restaurant.
B) advertising changes in the restaurant menu.
C) calculating restaurant profit and loss.
D) preparing employee schedules.
E) all of the above.
Answer: D
Diff: 2
Key Term: Operations management
AACSB: Reflective thinking
Objective: LO 1.1 Define operations management
Learning Outcome: Discuss operations and operations management as a competitive advantage for the organization
8) Operations management is applicable:
A) mostly to the service sector.
B) to services exclusively.
C) mostly to the manufacturing sector.
D) to all firms, whether manufacturing or service.
E) to the manufacturing sector exclusively.
Answer: D
Diff: 2
Key Term: Operations management
Objective: LO 1.1 Define operations management
Learning Outcome: Discuss operations and operations management as a competitive advantage for the organization
9) ________ is the set of activities that creates value in the form of goods and services by transforming
inputs into outputs.
Answer: Operations management
Diff: 1
Key Term: Operations management
Objective: LO 1.1 Define operations management
Learning Outcome: Discuss operations and operations management as a competitive advantage for the organization
2
Copyright © 2017 Pearson Education, Inc.
,10) Identify three or more operations-related tasks carried out by Hard Rock Café.
Answer: Providing custom meals; designing, testing, and costing meals; acquiring, receiving, and storing
supplies; recruiting and training employees; preparing employee schedules; designing efficient restaurant
layouts.
Diff: 1
Key Term: Operations management
Objective: LO 1.1 Define operations management
Learning Outcome: Discuss operations and operations management as a competitive advantage for the organization
11) Define operations management. Will your definition accommodate both manufacturing and service
operations?
Answer: Operations management can be defined as the management of all activities directly related to
the creation of goods and/or services through the transformation of inputs into outputs. Yes.
Diff: 1
Key Term: Operations management
Objective: LO 1.1 Define operations management
Learning Outcome: Discuss operations and operations management as a competitive advantage for the organization
Section 2 Organizing to Produce Goods and Services
1) Which of the following are the primary functions of all organizations?
A) production/operations, marketing, and human resources
B) marketing, human resources, and finance/accounting
C) sales, quality control, and production/operations
D) marketing, production/operations, and finance/accounting
E) research and development, finance/accounting, and purchasing
Answer: D
Diff: 2
Key Term: Operations management
Objective: LO 1.1 Define operations management
Learning Outcome: Discuss operations and operations management as a competitive advantage for the organization
2) Which of the following pioneers was NOT making a professional impact during the Scientific
Management Era?
A) Frank Gilbreth
B) W. Edwards Deming
C) Henry L. Gantt
D) Lillian Gilbreth
E) Frederick W. Taylor
Answer: B
Diff: 2
Learning Outcome: Discuss operations and operations management as a competitive advantage for the organization
3
Copyright © 2017 Pearson Education, Inc.
, 3) Which of the following would NOT be an operations function in a commercial bank?
A) auditing
B) teller scheduling
C) maintenance
D) collection
E) check clearing
Answer: A
Diff: 2
Key Term: Operations management
Objective: LO 1.1 Define operations management
Learning Outcome: Discuss operations and operations management as a competitive advantage for the organization
4) The marketing function is concerned 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.
Answer: D
Diff: 2
5) The purchasing function is concerned 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.
Answer: B
Diff: 2
6) The finance function is concerned 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.
Answer: E
Diff: 2
7) Which of the following tasks within an airline company are related to operations?
A) crew scheduling
B) international monetary exchange
C) sales
D) advertising
E) accounts payable
Answer: A
Diff: 2
Key Term: Operations management
Objective: LO 1.1 Define operations management
Learning Outcome: Discuss operations and operations management as a competitive advantage for the organization
4
Copyright © 2017 Pearson Education, Inc.
