Operations Management Exam Questions and Answers

Operations Management Exam Questions and Answers Operations managers are responsible for assessing consumer wants and needs and selling and promoting the organization's goods or services. - ANSWER FALSE Operation managers are not responsible for promoting goods/services. Often, the collective success or failure of companies' operations functions will impact the ability of a nation to compete with other nations. - ANSWER TRUE A nation is often only as competitive as its companies. Companies are either producing goods or delivering services. This means that only one of the two types of operations management strategies are used. - ANSWER FALSE Most systems involve a blend of goods and services. Operations, marketing, and finance function independently of each other in most organizations. - ANSWER FALSE Operations, marketing and finance are naturally dependent upon one another The greater the degree of customer involvement, the more challenging the design and management of operations. - ANSWER TRUE Greater customer involvement leads to more complexity in the design and management of operations. Goods producing organizations are not involved in service activities. - ANSWER FALSE Most systems involve a blend of goods and services. Service operations require additional inventory because of the unpredictability of consumer demand. - ANSWER FALSE Service operations cannot use inventory as a hedge against unpredictable demand. The value of outputs is measured by the prices customers are willing to pay for goods or services. - ANSWER TRUE Customers' willingness to pay for goods or services sets the value of these outputs. The use of models will guarantee the best possible decisions. - ANSWER FALSE Models are useful, but their use does not guarantee the best decisions. People who work in the field of operations should have skills that include both knowledge and people skills. - ANSWER TRUE Operations management requires a blend of knowledge and people skills.