MGT 3332 Midterm Prep Exam Questions And
Answers A+ Graded
As a general rule, continuous processing systems produce products with very little
variety. - ANSWER True
In general, job-shop systems have a lower unit cost than continuous systems do
because continuous systems use costly specialized equipment. - ANSWER False
Continuous processing is the best way to produce customized output. - ANSWER False
A job-shop processing system generally requires less-skilled workers than a continuous
processing system. - ANSWER False
Continuous production systems are typically very rigid and costly to change. - ANSWER
True
The estimation of costs is generally most difficult when the ___________ process has
been chosen. - ANSWER Job Shop
The type of processing system which is used for highly standardized products is: -
ANSWER Continuous
Process choice is _________ driven. - ANSWER Demand
In which type of operation are you likely to see, at most, only minor variations in the
product or service being produced using the same process and the same equipment? -
ANSWER Repetitive Production
Key aspects of the process selection challenge include _________ and __________. -
ANSWER Capital Intensity; Process flexibility
Job shops tend to be __________ while continuous processes tend to be __________. -
ANSWER small scale and flexible; Large scale and inflexible
The substitution of machinery that has sensing and control devices for human labor is
best described by the term: - ANSWER Automation
For service organizations, the dominant factors in location analysis usually are
market-related. - ANSWER True
You cannot make a mistake by locating where labor costs are low. - ANSWER False
For service and retail stores, a prime factor in location analysis is customer access. -
ANSWER True
, Web-based, retail businesses should be located near the customer to reduce their long
distance phone charges. - ANSWER False
The center of gravity method uses the earth's center to establish starting grid
coordinates (i.e., the 0,0,0 point) in three dimensions (x, y and z). - ANSWER False
Nearness to raw materials would be most important to a: - ANSWER Manufacturing
Company
The center of gravity method is used to _______ travel time or shipping costs. - ANSWER
Minimize
Some communities offer financial and other incentives to ______ new businesses. -
ANSWER Attract
Retail businesses often engage in ____________, the tendency to locate in close proximity
to one another. - ANSWER Clustering
When a location evaluation includes both quantitative and qualitative inputs, a technique
that can be used is: - ANSWER Factor Rating
In regards to supply chain management and the location decision, a primary challenge
is to address _______________ distribution. - ANSWER Centralized and Decentralized
For service firms such as banks and supermarkets, location decisions are critical
elements of __________ strategy. - ANSWER Marketing
Broadly defined, quality refers to the ability of a product or service to occasionally meet
or exceed customer expectations. - ANSWER False
Crosby's concept of "quality is free" means that it is less expensive to do it right initially
than to do it over. - ANSWER True
Answers A+ Graded
As a general rule, continuous processing systems produce products with very little
variety. - ANSWER True
In general, job-shop systems have a lower unit cost than continuous systems do
because continuous systems use costly specialized equipment. - ANSWER False
Continuous processing is the best way to produce customized output. - ANSWER False
A job-shop processing system generally requires less-skilled workers than a continuous
processing system. - ANSWER False
Continuous production systems are typically very rigid and costly to change. - ANSWER
True
The estimation of costs is generally most difficult when the ___________ process has
been chosen. - ANSWER Job Shop
The type of processing system which is used for highly standardized products is: -
ANSWER Continuous
Process choice is _________ driven. - ANSWER Demand
In which type of operation are you likely to see, at most, only minor variations in the
product or service being produced using the same process and the same equipment? -
ANSWER Repetitive Production
Key aspects of the process selection challenge include _________ and __________. -
ANSWER Capital Intensity; Process flexibility
Job shops tend to be __________ while continuous processes tend to be __________. -
ANSWER small scale and flexible; Large scale and inflexible
The substitution of machinery that has sensing and control devices for human labor is
best described by the term: - ANSWER Automation
For service organizations, the dominant factors in location analysis usually are
market-related. - ANSWER True
You cannot make a mistake by locating where labor costs are low. - ANSWER False
For service and retail stores, a prime factor in location analysis is customer access. -
ANSWER True
, Web-based, retail businesses should be located near the customer to reduce their long
distance phone charges. - ANSWER False
The center of gravity method uses the earth's center to establish starting grid
coordinates (i.e., the 0,0,0 point) in three dimensions (x, y and z). - ANSWER False
Nearness to raw materials would be most important to a: - ANSWER Manufacturing
Company
The center of gravity method is used to _______ travel time or shipping costs. - ANSWER
Minimize
Some communities offer financial and other incentives to ______ new businesses. -
ANSWER Attract
Retail businesses often engage in ____________, the tendency to locate in close proximity
to one another. - ANSWER Clustering
When a location evaluation includes both quantitative and qualitative inputs, a technique
that can be used is: - ANSWER Factor Rating
In regards to supply chain management and the location decision, a primary challenge
is to address _______________ distribution. - ANSWER Centralized and Decentralized
For service firms such as banks and supermarkets, location decisions are critical
elements of __________ strategy. - ANSWER Marketing
Broadly defined, quality refers to the ability of a product or service to occasionally meet
or exceed customer expectations. - ANSWER False
Crosby's concept of "quality is free" means that it is less expensive to do it right initially
than to do it over. - ANSWER True
