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William J Stevenson, Hydeh Mottaghi xe iy xe iy xe iy xe iy xe iy
Chapter 01 8e Stevenson iy
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1) As a service business, the operations management activities of an airline company have
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xe iy nothing in common with the operations management activities within a bicycle
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xe iy manufacturing company. xe iy
⊚ true x e i y
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2) Operations managers are responsible for managing activities and resources that produce
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xe iy goods and/or provide services.xe iy xe iy xe iy
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3) Effectiveness refers to achieving intended goals whereas efficiency refers to minimizing cost
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4) Operations, marketing, and finance function independently of each other in most
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5) The operations function exists only in firms that are goods-oriented.
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6) Operations management pertains almost exclusively to the management of manufacturing
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xe iy operations.
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,7) x e Value-added refers to the cost of the inputs required to produce goods and
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⊚ true
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8) As long as a product is ready in advance of when customers demand it, the timing of when a
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xe iy
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xe iy product is manufactured does not influence the value-added.
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9) Storing an item earlier than the scheduled delivery date is an example of a value adding
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xe iy activity.
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10) Management information systems (MIS) are concerned with providing management with the iy
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xe iy information it needs to effectively manage. xe iy xe iy xe iy xe iy xe iy
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11) Operations management involves both system design and planning/control decisions. iy
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12) System design decisions have very little impact on planning/control decisions.
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13) An example of an operations control decision is the choice of location.
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,14) Scheduling jobs is a system design decision and not a planning
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xe iy decision.
⊚ true
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15) Design decisions are usually strategic and long-term, while planning decisions are usually
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xe iy tactical and medium-term. xe iy xe iy
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16) Managing inventory levels is considered a planning/control operations decision area. iy
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17) A basic difference between manufacturing and service organizations is that a service is
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xe iy focused on acts while manufacturing is focused on goods.
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18) Service involves a much higher degree of customer contact than the production of goods.
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19) Service often requires a higher labour content, whereas the production of goods is more
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xe iy capital intensive. xe iy
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20) Measurement of productivity in service is more straightforward than in goods production due iy
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xe iy to the high degree of uniformity of inputs.
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, 21) Models are simplified representations of something and thus ignore important aspects of a
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22) Quantitative techniques are often quick applications of simple mathematical principles. iy
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23) A systems approach emphasizes interrelationships among subsystems, but its main theme is
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xe iy that the whole is greater than the sum of its individual parts.
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24) Queuing techniques are useful for analyzing situations in which waiting lines form.
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25) It is essential to use the systems approach when something is being designed, redesigned,
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xe iy implemented, improved, or otherwise changed. xe iy xe iy xe iy xe iy
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26) A systems approach is to concentrate on efficiency within a subsystem and thereby achieve
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xe iy overall efficiency. xe iy
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27) Many operations management decisions can be described as trade-offs.
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