Chapter 1 Operations and Productivity
Section 1 What Is Operations Management?
1) Some of the operations-related activities of Hard Rock Café include designing music
instruments and analyzing them for cost and labor requirements.
Answer: FALSE
Diff: 1
Objective: LO 1.1 Define operations management
AACSB: Reflective thinking
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
Objective: LO 1.1 Define operations management
AACSB: Reflective thinking
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
Objective: LO 1.1 Define operations management
AACSB: Application of knowledge
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 tangible goods,
and intangible outputs like services, by transforming inputs into outputs.
Answer: TRUE
Diff: 1
Objective: LO 1.1 Define operations management
AACSB: Application of knowledge
Learning Outcome: Discuss operations and operations management as a competitive advantage
for the organization
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