MGT 393 EXAM 1 QUESTIONS & ANSWERS
One reason for studying operations & supply chain management (OSCM) - Answer -all
managers should understand the basic principles that guide the design of
transformation processes
The goods-services continuum consists of - Answer -Pure goods, core goods, core
services, pure services
Which of the following are defined as core goods? - Answer -data storage system
Current issues in OSCM do not include - Answer -Increasing global supply chain
employment
Which of the following is not a characteristic that distinguishes services from goods? -
Answer -Service jobs are unskilled.
In the history of operations management the use of continuous improvement and value
engineering started in what decade? - Answer -1990s
Which of the following gurus are credited with helping to develop total quality
management (TQM)? - Answer -J. M. Juran
Which of the following is not a measure of operations and supply chain management
efficiency used by Wall Street? - Answer -Earnings per share
A total systems approach to managing the flow of information, materials and services
from raw material suppliers to the end customer is called what? - Answer -Supply chain
management
One of the characteristics that distinguish a manufactured product from a service
product is which of the following? - Answer -A manufactured product is a tangible,
physical item
Which of the following product attributes is a value added service? - Answer -internet
monitoring of orders
A doctor completes a surgical procedure on a patient without error. The patient dies
anyway. In operations management terms, we could refer to this doctor as being
efficient but not effective. - Answer -True
Effectiveness means doing the right things to create the most value for the company -
Answer -True
A worker can be efficient without being effective. - Answer -True
, The term "value" refers to the relationship between quality and the price paid by the
consumer. - Answer -True
Supply networks cannot be constructed for every product or service - Answer -False-
can
Automobiles and appliances are classified as "pure goods." - Answer -False-core
goods
Trying to maximize effectiveness and efficiency at the same time can create conflict. -
Answer -True
JIT is designed to achieve high-volume production using a significant inventory of
component parts that minimizes the probability of running out of supplies. - Answer -
False- just enough
While companies have different positions in the supply chain, all require planning,
sourcing, making, delivering and returning processes. - Answer -True
Logistics failure - Answer -Detailed tracking, alternate suppliers
Major quality failure - Answer -Carefully select and monitor suppliers
Natural disaster - Answer -Contingency planning, insurance
Regulatory risk - Answer -Good legal advice, compliance
Country risks - Answer -Currency hedging, local sourcing
One of the competitive dimensions that form the competitive position of a company
when planning their strategies is making the best trade off. - Answer -False-not making
the best trade off
Productivity is a relative measure - Answer -True
An order winner is a set of screening criteria that permits a firm's products to be
considered as possible candidates for purchase. - Answer -False-qualifier
An order qualifier is a set of screening criteria that permits a firm's products to be
considered as possible candidates for purchase - Answer -True
The job of operations and supply strategy is to deliver the most feature-rich, lowest
quality product at the highest price within specified parameters of delivery time and
customization. Operations and supply chain strategy is concerned with setting broad
One reason for studying operations & supply chain management (OSCM) - Answer -all
managers should understand the basic principles that guide the design of
transformation processes
The goods-services continuum consists of - Answer -Pure goods, core goods, core
services, pure services
Which of the following are defined as core goods? - Answer -data storage system
Current issues in OSCM do not include - Answer -Increasing global supply chain
employment
Which of the following is not a characteristic that distinguishes services from goods? -
Answer -Service jobs are unskilled.
In the history of operations management the use of continuous improvement and value
engineering started in what decade? - Answer -1990s
Which of the following gurus are credited with helping to develop total quality
management (TQM)? - Answer -J. M. Juran
Which of the following is not a measure of operations and supply chain management
efficiency used by Wall Street? - Answer -Earnings per share
A total systems approach to managing the flow of information, materials and services
from raw material suppliers to the end customer is called what? - Answer -Supply chain
management
One of the characteristics that distinguish a manufactured product from a service
product is which of the following? - Answer -A manufactured product is a tangible,
physical item
Which of the following product attributes is a value added service? - Answer -internet
monitoring of orders
A doctor completes a surgical procedure on a patient without error. The patient dies
anyway. In operations management terms, we could refer to this doctor as being
efficient but not effective. - Answer -True
Effectiveness means doing the right things to create the most value for the company -
Answer -True
A worker can be efficient without being effective. - Answer -True
, The term "value" refers to the relationship between quality and the price paid by the
consumer. - Answer -True
Supply networks cannot be constructed for every product or service - Answer -False-
can
Automobiles and appliances are classified as "pure goods." - Answer -False-core
goods
Trying to maximize effectiveness and efficiency at the same time can create conflict. -
Answer -True
JIT is designed to achieve high-volume production using a significant inventory of
component parts that minimizes the probability of running out of supplies. - Answer -
False- just enough
While companies have different positions in the supply chain, all require planning,
sourcing, making, delivering and returning processes. - Answer -True
Logistics failure - Answer -Detailed tracking, alternate suppliers
Major quality failure - Answer -Carefully select and monitor suppliers
Natural disaster - Answer -Contingency planning, insurance
Regulatory risk - Answer -Good legal advice, compliance
Country risks - Answer -Currency hedging, local sourcing
One of the competitive dimensions that form the competitive position of a company
when planning their strategies is making the best trade off. - Answer -False-not making
the best trade off
Productivity is a relative measure - Answer -True
An order winner is a set of screening criteria that permits a firm's products to be
considered as possible candidates for purchase. - Answer -False-qualifier
An order qualifier is a set of screening criteria that permits a firm's products to be
considered as possible candidates for purchase - Answer -True
The job of operations and supply strategy is to deliver the most feature-rich, lowest
quality product at the highest price within specified parameters of delivery time and
customization. Operations and supply chain strategy is concerned with setting broad
