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