Operations Management ,10th ed, Stevenson - Exam Preparation Test Bank (Downloadable Doc)

Chapter 01

Introduction to Operations Management




True / False Questions


1. Operations managers are responsible for assessing consumer wants and needs and
selling and promoting the organization's goods or services.
FALSE




Difficulty: Easy
TLO: 4
Taxonomy: Knowledge




2. Often, the collective success or failure of companies' operations functions will impact the
ability of a nation to compete with other nations.
TRUE




Difficulty: Easy
TLO: 1
Taxonomy: Knowledge




3. Companies are either producing goods or delivering services. This means that only one of
the two types of operations management strategies are used.
FALSE




Difficulty: Medium
TLO: 3
Taxonomy: Application

,
,4. Operations, marketing, and finance function independently of each other in most
organizations.
FALSE




Difficulty: Medium
TLO: 2
Taxonomy: Knowledge




5. The greater the degree of customer involvement, the more challenging the design and
management of operations.
TRUE




Difficulty: Easy
TLO: 4
Taxonomy: Application




6. Goods producing organizations are not involved in service activities
FALSE




Difficulty: Medium
TLO: 3
Taxonomy: Knowledge




7. Service operations require additional inventory because of the unpredictability of
consumer demand.
FALSE




Difficulty: Easy
TLO: 3
Taxonomy: Knowledge

, 8. The value of outputs is measured by the prices customers are willing to pay for goods or
services.
TRUE




Difficulty: Easy
TLO: 4
Taxonomy: Knowledge




9. The use of models will guarantee the best possible decisions.
FALSE




Difficulty: Medium
TLO: 6
Taxonomy: Synthesis




10. People who work in the field of operations should have skills that include both
knowledge and people skills.
TRUE




AACSB: RT
Difficulty: Medium
TLO: 4
Taxonomy: Synthesis




11. Assembly lines achieved productivity but at the expense of standard of living.
FALSE




AACSB: RT
Difficulty: Hard
TLO: 7
Taxonomy: Synthesis