Operations Management: Processes and Supply Chains, 10e (Krajewski et al.)
Chapter 3 Process Strategy
1) Process decisions are strategic in nature.
Answer: TRUE
2) No process can exist without at least one product or service.
Answer: TRUE
3) Supply chain processes are simply business processes that have either external customers or
external suppliers.
Answer: TRUE
4) Processes, by their nature, are found only in the operations function of an organization.
Answer: FALSE
5) Process structure is the mix of equipment and human skills in a process.
Answer: FALSE
6) Resource flexibility determines whether resources are organized around products or
processes.
Answer: FALSE
7) Fixed automation maximizes efficiency and results in the lowest variable cost per unit
possible with high output volume.
Answer: TRUE
8) Customer involvement reflects the ways in which customers become part of the process and
the extent of their participation.
Answer: TRUE
9) Capital intensity is the ease with which employees and equipment can handle a wide variety
of products, output levels, duties, and functions.
Answer: FALSE
10) Service providers with a line process tend to move customers, materials, or information in a
3-1
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
Chapter 3 Process Strategy
1) Process decisions are strategic in nature.
Answer: TRUE
2) No process can exist without at least one product or service.
Answer: TRUE
3) Supply chain processes are simply business processes that have either external customers or
external suppliers.
Answer: TRUE
4) Processes, by their nature, are found only in the operations function of an organization.
Answer: FALSE
5) Process structure is the mix of equipment and human skills in a process.
Answer: FALSE
6) Resource flexibility determines whether resources are organized around products or
processes.
Answer: FALSE
7) Fixed automation maximizes efficiency and results in the lowest variable cost per unit
possible with high output volume.
Answer: TRUE
8) Customer involvement reflects the ways in which customers become part of the process and
the extent of their participation.
Answer: TRUE
9) Capital intensity is the ease with which employees and equipment can handle a wide variety
of products, output levels, duties, and functions.
Answer: FALSE
10) Service providers with a line process tend to move customers, materials, or information in a
3-1
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
