CHAPTER 1: OPERATIONSAND PRODUCTIVITY
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TRUE/FALSE
1. Some |of |the |operations-related |activities |of |Hard |Rock |Café |include |designing |meals |and |analyzing
|them |for |ingredient |cost |and |labor |requirements.
True |(Global |company |profile, |easy)
2. The |production |process |at |Hard |Rock |Café |is |limited |to |meal |preparation |and |serving |customers.
False |(Global |company |profile, |easy)
3. All |organizations, |including |service |firms |such |as |banks |and |hospitals, |have |a |production |function.
True |(What |is |operations |management? |moderate)
4. Operations |management |is |the |set |of |activities |that |create |value |in |the |form |of |goods |and |services
|by |transforming |inputs |into |outputs.
True |(What |is |operations |management? |easy)
5. An |example |of |a |"hidden" |production |function |is |money |transfers |at |banks.
True |(What |is |operations |management? |moderate)
6. One |reason |to |study |operations |management |is |to |learn |how |people |organize |themselves |for
|productive |enterprise.
True |(Why |study |OM, |easy)
7. The |operations |manager |performs |the |management |activities |of |planning, |organizing, |staffing,
|leading, |and |controlling |of |the |OM |function.
True |(What |operations |managers |do, |easy)
8. "How |much |inventory |of |this |item |should |we |have?" |is |within |the |critical |decision |area |of
|managing |quality.
False |(What |operations |managers |do, |easy)
9. In |order |to |have |a |career |in |operations |management, |one |must |have |a |degree |in |statistics |or
|quantitative |methods.
False |(What |operations |managers |do, |easy)
10. Henry |Ford |is |known |as |the |Father |of |Scientific |Management.
False |(The |heritage |of |operations |management, |easy)
11. Shewhart’s |contributions |to |operations |management |came |during |the |Scientific |Management |Era.
False |(The |heritage |of |operations |management, |easy)
12. Students |wanting |to |pursue |a |career |in |operations |management |will |find |multidisciplinary
|knowledge |beneficial.
True |(Where |are |the |OM |jobs? |easy)
1
,13. Customer |interaction |is |often |high |for |manufacturing |processes, |but |low |for |services.
False |(Operations |in |the |service |sector, |moderate)
14. Productivity |is |more |difficult |to |improve |in |the |service |sector.
True |(The |productivity |challenge, |moderate)
15. Manufacturing |now |constitutes |the |largest |economic |sector |in |postindustrial |societies.
False |(Operations |in |the |service |sector, |moderate)
16. In |the |past |half-century, |the |number |of |people |employed |in |manufacturing |has |more |or |less |held
|steady, |but |each |manufacturing |employee |is |manufacturing |about |20 |times |as |much.
True |(Operations |in |the |service |sector, |easy)
17. A |knowledge |society |is |one |that |has |migrated |from |work |based |on |knowledge |to |one |based |on
|manual |work.
False |(The |productivity |challenge, |easy)
18. Productivity |is |the |total |value |of |all |inputs |to |the |transformation |process |divided |by |the |total |value |of
|the |outputs |produced.
False |(The |productivity |challenge, |easy)
19. Measuring |the |impact |of |a |capital |acquisition |on |productivity |is |an |example |of |multi-factor
|productivity.
False |(The |productivity |challenge, |moderate)
20. Ethical |and |social |dilemmas |arise |because |stakeholders |of |a |business |have |conflicting |perspectives.
True |(Ethics |and |social |responsibility, |easy) |{AACSB: |Ethical |Reasoning}
MULTIPLE CHOICE |
21. At |Hard |Rock |Café, |tasks |that |reflect |operations |or |operations |management |include
a. designing |meals
b. testing |meals |(recipes)
c. analyzing |meals |for |the |cost |of |ingredients
d. preparing |employee |schedules
e. all |of |the |above
e |(Global |company |profile, |easy)
22. An |operations |task |performed |at |Hard |Rock |Café |is
a. borrowing |funds |to |build |a |new |restaurant
b. advertising |changes |in |the |restaurant |menu
c. calculating |restaurant |profit |and |loss
d. preparing |employee |schedules
e. all |of |the |above
d |(Global |company |profile, |moderate)
2
,23. Operations |management |is |applicable
a. mostly |to |the |service |sector
b. to |services |exclusively
c. mostly |to |the |manufacturing |sector
d. to |all |firms, |whether |manufacturing |and |service
e. to |the |manufacturing |sector |exclusively
d |(What |is |operations |management? |moderate)
24. Which |of |the |following |are |the |primary |functions |of |all |organizations?
a. operations, |marketing, |and |human |resources
b. marketing, |human |resources, |and |finance/accounting
c. sales, |quality |control, |and |operations
d. marketing, |operations, |and |finance/accounting
e. research |and |development, |finance/accounting, |and |purchasing
d |(Organizing |to |produce |goods |and |services, |moderate)
25. Budgeting, |paying |the |bills, |and |collection |of |funds |are |activities |associated |with |the
a. management |function
b. control |function
c. finance/accounting | function
d. production/operations | function
e. staffing |function
c |(Organizing |to |produce |goods |and |services, |moderate)
26. Which |of |the |following |would |not |be |an |operations |function |in |a |fast-food |restaurant?
a. advertising |and |promotion
b. designing |the |layout |of |the |facility
c. maintaining |equipment
d. making |hamburgers |and |fries
e. purchasing |ingredients
a |(Organizing |to |produce |goods |and |services, |moderate)
27. The |marketing |function's |main |concern |is |with
a. producing |goods |or |providing |services
b. procuring |materials, |supplies, |and |equipment
c. building |and |maintaining |a |positive |image
d. generating |the |demand |for |the |organization's |products |or |services
e. securing |monetary |resources
d |(Organizing |to |produce |goods |and |services, |moderate)
28. Reasons |to |study |Operations |Management |include
a. studying |why |people |organize |themselves |for |free |enterprise
b. knowing |how |goods |and |services |are |consumed
c. understanding |what |human |resource |managers |do
d. learning |about |a |costly |part |of |the |enterprise
e. all |of |the |above
d |(Why |study |OM? |moderate)
3
, 29. Reasons |to |study |Operations |Management |include |learning |about
a. why |people |organize |themselves |for |productive |enterprise
b. how |goods |and |services |are |produced
c. what |operations |managers |do
d. a |costly |part |of |the |enterprise
e. all |of |the |above
e |(Why |study |OM? |easy)
30. The |five |elements |in |the |management |process |are
a. plan, |direct, |update, |lead, |and |supervise
b. accounting/finance, |marketing, |operations, |and |management
c. organize, |plan, |control, |staff, |and |manage
d. plan, |organize, |staff, |lead, |and |control
e. plan, |lead, |organize, |manage, |and |control
d |(What |do |operations |managers |do? |easy)
31. Illiteracy |and |poor |diets |have |been |known |to |cost |countries |up |to |what |percent |of |their
|productivity?
a. 2%
b. 5%
c. 10%
d. 20%
e. 50%
d |(Productivity |variables, |moderate) |{AACSB: |Multiculture |and |Diversity}
32. Which |of |the |following |is |not |an |element |of |the |management |process?
a. controlling
b. leading
c. planning
d. pricing
e. staffing
d |(What |do |operations |managers |do? |easy)
33. An |operations |manager |is |not |likely |to |be |involved |in
a. the |design |of |goods |and |services |to |satisfy |customers' |wants |and |needs
b. the |quality |of |goods |and |services |to |satisfy |customers' |wants |and |needs
c. the |identification |of |customers' |wants |and |needs
d. work |scheduling |to |meet |the |due |dates |promised |to |customers
e. maintenance |schedules
c |(What |do |operations |managers |do? |easy)
34. All |of |the |following |decisions |fall |within |the |scope |of |operations |management |except |for
a. financial |analysis
b. design |of |goods |and |processes
c. location |of |facilities
d. managing |quality
e. All |of |the |above |fall |within |the |scope |of |operations |management.
a |(What |do |operations |managers |do? |easy)
4
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TRUE/FALSE
1. Some |of |the |operations-related |activities |of |Hard |Rock |Café |include |designing |meals |and |analyzing
|them |for |ingredient |cost |and |labor |requirements.
True |(Global |company |profile, |easy)
2. The |production |process |at |Hard |Rock |Café |is |limited |to |meal |preparation |and |serving |customers.
False |(Global |company |profile, |easy)
3. All |organizations, |including |service |firms |such |as |banks |and |hospitals, |have |a |production |function.
True |(What |is |operations |management? |moderate)
4. Operations |management |is |the |set |of |activities |that |create |value |in |the |form |of |goods |and |services
|by |transforming |inputs |into |outputs.
True |(What |is |operations |management? |easy)
5. An |example |of |a |"hidden" |production |function |is |money |transfers |at |banks.
True |(What |is |operations |management? |moderate)
6. One |reason |to |study |operations |management |is |to |learn |how |people |organize |themselves |for
|productive |enterprise.
True |(Why |study |OM, |easy)
7. The |operations |manager |performs |the |management |activities |of |planning, |organizing, |staffing,
|leading, |and |controlling |of |the |OM |function.
True |(What |operations |managers |do, |easy)
8. "How |much |inventory |of |this |item |should |we |have?" |is |within |the |critical |decision |area |of
|managing |quality.
False |(What |operations |managers |do, |easy)
9. In |order |to |have |a |career |in |operations |management, |one |must |have |a |degree |in |statistics |or
|quantitative |methods.
False |(What |operations |managers |do, |easy)
10. Henry |Ford |is |known |as |the |Father |of |Scientific |Management.
False |(The |heritage |of |operations |management, |easy)
11. Shewhart’s |contributions |to |operations |management |came |during |the |Scientific |Management |Era.
False |(The |heritage |of |operations |management, |easy)
12. Students |wanting |to |pursue |a |career |in |operations |management |will |find |multidisciplinary
|knowledge |beneficial.
True |(Where |are |the |OM |jobs? |easy)
1
,13. Customer |interaction |is |often |high |for |manufacturing |processes, |but |low |for |services.
False |(Operations |in |the |service |sector, |moderate)
14. Productivity |is |more |difficult |to |improve |in |the |service |sector.
True |(The |productivity |challenge, |moderate)
15. Manufacturing |now |constitutes |the |largest |economic |sector |in |postindustrial |societies.
False |(Operations |in |the |service |sector, |moderate)
16. In |the |past |half-century, |the |number |of |people |employed |in |manufacturing |has |more |or |less |held
|steady, |but |each |manufacturing |employee |is |manufacturing |about |20 |times |as |much.
True |(Operations |in |the |service |sector, |easy)
17. A |knowledge |society |is |one |that |has |migrated |from |work |based |on |knowledge |to |one |based |on
|manual |work.
False |(The |productivity |challenge, |easy)
18. Productivity |is |the |total |value |of |all |inputs |to |the |transformation |process |divided |by |the |total |value |of
|the |outputs |produced.
False |(The |productivity |challenge, |easy)
19. Measuring |the |impact |of |a |capital |acquisition |on |productivity |is |an |example |of |multi-factor
|productivity.
False |(The |productivity |challenge, |moderate)
20. Ethical |and |social |dilemmas |arise |because |stakeholders |of |a |business |have |conflicting |perspectives.
True |(Ethics |and |social |responsibility, |easy) |{AACSB: |Ethical |Reasoning}
MULTIPLE CHOICE |
21. At |Hard |Rock |Café, |tasks |that |reflect |operations |or |operations |management |include
a. designing |meals
b. testing |meals |(recipes)
c. analyzing |meals |for |the |cost |of |ingredients
d. preparing |employee |schedules
e. all |of |the |above
e |(Global |company |profile, |easy)
22. An |operations |task |performed |at |Hard |Rock |Café |is
a. borrowing |funds |to |build |a |new |restaurant
b. advertising |changes |in |the |restaurant |menu
c. calculating |restaurant |profit |and |loss
d. preparing |employee |schedules
e. all |of |the |above
d |(Global |company |profile, |moderate)
2
,23. Operations |management |is |applicable
a. mostly |to |the |service |sector
b. to |services |exclusively
c. mostly |to |the |manufacturing |sector
d. to |all |firms, |whether |manufacturing |and |service
e. to |the |manufacturing |sector |exclusively
d |(What |is |operations |management? |moderate)
24. Which |of |the |following |are |the |primary |functions |of |all |organizations?
a. operations, |marketing, |and |human |resources
b. marketing, |human |resources, |and |finance/accounting
c. sales, |quality |control, |and |operations
d. marketing, |operations, |and |finance/accounting
e. research |and |development, |finance/accounting, |and |purchasing
d |(Organizing |to |produce |goods |and |services, |moderate)
25. Budgeting, |paying |the |bills, |and |collection |of |funds |are |activities |associated |with |the
a. management |function
b. control |function
c. finance/accounting | function
d. production/operations | function
e. staffing |function
c |(Organizing |to |produce |goods |and |services, |moderate)
26. Which |of |the |following |would |not |be |an |operations |function |in |a |fast-food |restaurant?
a. advertising |and |promotion
b. designing |the |layout |of |the |facility
c. maintaining |equipment
d. making |hamburgers |and |fries
e. purchasing |ingredients
a |(Organizing |to |produce |goods |and |services, |moderate)
27. The |marketing |function's |main |concern |is |with
a. producing |goods |or |providing |services
b. procuring |materials, |supplies, |and |equipment
c. building |and |maintaining |a |positive |image
d. generating |the |demand |for |the |organization's |products |or |services
e. securing |monetary |resources
d |(Organizing |to |produce |goods |and |services, |moderate)
28. Reasons |to |study |Operations |Management |include
a. studying |why |people |organize |themselves |for |free |enterprise
b. knowing |how |goods |and |services |are |consumed
c. understanding |what |human |resource |managers |do
d. learning |about |a |costly |part |of |the |enterprise
e. all |of |the |above
d |(Why |study |OM? |moderate)
3
, 29. Reasons |to |study |Operations |Management |include |learning |about
a. why |people |organize |themselves |for |productive |enterprise
b. how |goods |and |services |are |produced
c. what |operations |managers |do
d. a |costly |part |of |the |enterprise
e. all |of |the |above
e |(Why |study |OM? |easy)
30. The |five |elements |in |the |management |process |are
a. plan, |direct, |update, |lead, |and |supervise
b. accounting/finance, |marketing, |operations, |and |management
c. organize, |plan, |control, |staff, |and |manage
d. plan, |organize, |staff, |lead, |and |control
e. plan, |lead, |organize, |manage, |and |control
d |(What |do |operations |managers |do? |easy)
31. Illiteracy |and |poor |diets |have |been |known |to |cost |countries |up |to |what |percent |of |their
|productivity?
a. 2%
b. 5%
c. 10%
d. 20%
e. 50%
d |(Productivity |variables, |moderate) |{AACSB: |Multiculture |and |Diversity}
32. Which |of |the |following |is |not |an |element |of |the |management |process?
a. controlling
b. leading
c. planning
d. pricing
e. staffing
d |(What |do |operations |managers |do? |easy)
33. An |operations |manager |is |not |likely |to |be |involved |in
a. the |design |of |goods |and |services |to |satisfy |customers' |wants |and |needs
b. the |quality |of |goods |and |services |to |satisfy |customers' |wants |and |needs
c. the |identification |of |customers' |wants |and |needs
d. work |scheduling |to |meet |the |due |dates |promised |to |customers
e. maintenance |schedules
c |(What |do |operations |managers |do? |easy)
34. All |of |the |following |decisions |fall |within |the |scope |of |operations |management |except |for
a. financial |analysis
b. design |of |goods |and |processes
c. location |of |facilities
d. managing |quality
e. All |of |the |above |fall |within |the |scope |of |operations |management.
a |(What |do |operations |managers |do? |easy)
4
