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MGT 3332 EXAM 1 QUESTIONS AND ACCURATE ANSWERS

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MGT 3332 EXAM 1 QUESTIONS AND
ACCURATE ANSWERS


A system in which low-skilled workers use specialized equipment to produce high
volumes of standardized goods - ANSWER Mass Production

Buying goods or services instead of producing or providing them in-house is called: -
ANSWER outsourcing

T/F: 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. It is the
marketing functional area that is responsible for assessing consumer wants and needs
and selling and promoting the organization's goods or services.

The fact that a few improvements in a few key areas of operations will have more impact
than many improvements in many other areas is consistent with the: (phenomenon) -
ANSWER Pareto phenomenon: direct our attention to the difference between the
"important few" and the "trivial many."

T/F: 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.

Production systems with customized outputs typically have relatively what kind of
workers? - ANSWER Skilled workers who are necessary to accommodate the variation
inherent in customized outputs.

Which is not an area of significant difference between manufacturing and service
operations?

uniformity of input

customer contact

measurement of productivity

labor content of jobs

forecasting demand - ANSWER Forecasting demand

Manufacturing and service operations both use forecasting and capacity planning to
match supply and demand.

, T/F: Service often requires relatively greater labor content when compared to
manufacturing. - ANSWER True

Service operations tend to be more labor intensive than manufacturing.

Which of the following is not a characteristic of service operations?

low uniformity of input

intangible output

high labor content

high customer contact

easy measurement of productivity - ANSWER Easy measurement of productivity

The productivity of service operations is often hard to measure.

Marketing depends on operations for information regarding (uses this to make promises
to customers) : - ANSWER Lead time

Marketing uses lead time information to make promises to customers.

Modern firms increasingly rely on other firms to supply goods and services instead of
doing these tasks themselves. This increased level of _____ is leading to increased
emphasis on _____ management. - ANSWER This increased level in OUTSOURCING is
leading to increased emphasis SUPPLY CHAIN management.

Supply chain management takes a more systematic view of the firm, its operations, and
its suppliers.

T/F: Goods-producing organizations are not involved in service activities. - ANSWER
False

There are very few pure goods or pure services, so most companies sell product
packages which combine goods and services. Therefore, most production systems
involve a blend of goods and services.



A term that refers to service and production processes that use resources in ways that
do not harm ecological systems. - ANSWER Sustainability



If one organization is better able than most to respond to changes in demands or
opportunities, we say that organization exhibits higher: - ANSWER Agility

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