Operations Management Exam #1
PREPARATION Questions and
Answers Latest 2025 Top Rated A+
Quantitative Methods
A decision making approach that seeks to obtain a mathematically optimal
solution
-Linear programming
-Queuing techniques
-Inventory models
-Project models
-Forecasting techniques
-Statistical models
Historical Evolution of OM
Industrial Revolution
Scientific Management
Decision Models and Management Science
Influence of Japanese Manufacturers
Pre-Industrial Revolution
Craft production - highly skilled workers use simple, flexible tools to
produce small quantities of customized goods
Industrial Revolution
The Industrial Revolution (late 18th century)
-Began in England in the 1770s
-Division of labor - Adam Smith, 1776
-Application of the steam engine, 1780s
-Cotton Gin and Interchangeable parts - Eli Whitney, 1792
Substituting machine power for human power.
Management theory and practice did not advance appreciably during this
period
Scientific Management (Early 20th century)
,"Science of Management" based on observation, measurement, analysis
and improvement of work methods, and economic incentives
Management is responsible for:
-planning, carefully selecting and training workers
-finding the best way to perform each job
Emphasis was on maximizing output
-Ford Model-T, 1908-1927
-Modern-Times, 1936
Decision Models &
Management Science (Mid 20th century)
OR applications in warfare - Operations Research (OR) Groups
Mathematical model for inventory management (F.W. Harris, 1915)
Statistical procedures for sampling and quality control (Dodge, Romig &
Shewart , 1930s)
Statistical sampling theory (Tippett, 1935)
Linear programming (George Dantzig , 1947)
Influence of Japanese Manufacturers
Late 20th century
Refined and developed management practices that increased productivity
-Credited for the "quality revolution"
-continual improvement
-employee empowerment
-Lean Operations / Just-in-Time production
Key Issues for Operations Managers Today
Economic conditions
Innovating
Quality problems
Management technology
The Internet, e-commerce, e-business
, Supply chain management
Risk management
Revenue management
Competing in a global economy
Globalization, Outsourcing
Environmental concerns
Ethical behavior
Customization
requires more resources and effort than more standardized products and
services
Theory X
Workers do not like work and must be induced to do it
Theory Y
Workers enjoy work and are committed to doing it
Components of the Supply Chain
Forecasting, purchasing, inventory management, information management,
quality assurance, scheduling, production, distribution, delivery, and
customer service
Doesn't include marketing or finance because those are the two other
functions of an organization next to operations
Ethics
a standard behavior that guides how we should act in various situations
Business Sustainability
refers to economic, environmental, and social sustainability
Division of Labor
allows employers to employ less-skilled workers than would have been
needed in craft production
Which of the following are reasons organizations fail?
Not investing enough in necessary capital or human resources
Underestimating the importance of internal communication and cooperation
between functional areas
Putting too much emphasis on short term financial performance
PREPARATION Questions and
Answers Latest 2025 Top Rated A+
Quantitative Methods
A decision making approach that seeks to obtain a mathematically optimal
solution
-Linear programming
-Queuing techniques
-Inventory models
-Project models
-Forecasting techniques
-Statistical models
Historical Evolution of OM
Industrial Revolution
Scientific Management
Decision Models and Management Science
Influence of Japanese Manufacturers
Pre-Industrial Revolution
Craft production - highly skilled workers use simple, flexible tools to
produce small quantities of customized goods
Industrial Revolution
The Industrial Revolution (late 18th century)
-Began in England in the 1770s
-Division of labor - Adam Smith, 1776
-Application of the steam engine, 1780s
-Cotton Gin and Interchangeable parts - Eli Whitney, 1792
Substituting machine power for human power.
Management theory and practice did not advance appreciably during this
period
Scientific Management (Early 20th century)
,"Science of Management" based on observation, measurement, analysis
and improvement of work methods, and economic incentives
Management is responsible for:
-planning, carefully selecting and training workers
-finding the best way to perform each job
Emphasis was on maximizing output
-Ford Model-T, 1908-1927
-Modern-Times, 1936
Decision Models &
Management Science (Mid 20th century)
OR applications in warfare - Operations Research (OR) Groups
Mathematical model for inventory management (F.W. Harris, 1915)
Statistical procedures for sampling and quality control (Dodge, Romig &
Shewart , 1930s)
Statistical sampling theory (Tippett, 1935)
Linear programming (George Dantzig , 1947)
Influence of Japanese Manufacturers
Late 20th century
Refined and developed management practices that increased productivity
-Credited for the "quality revolution"
-continual improvement
-employee empowerment
-Lean Operations / Just-in-Time production
Key Issues for Operations Managers Today
Economic conditions
Innovating
Quality problems
Management technology
The Internet, e-commerce, e-business
, Supply chain management
Risk management
Revenue management
Competing in a global economy
Globalization, Outsourcing
Environmental concerns
Ethical behavior
Customization
requires more resources and effort than more standardized products and
services
Theory X
Workers do not like work and must be induced to do it
Theory Y
Workers enjoy work and are committed to doing it
Components of the Supply Chain
Forecasting, purchasing, inventory management, information management,
quality assurance, scheduling, production, distribution, delivery, and
customer service
Doesn't include marketing or finance because those are the two other
functions of an organization next to operations
Ethics
a standard behavior that guides how we should act in various situations
Business Sustainability
refers to economic, environmental, and social sustainability
Division of Labor
allows employers to employ less-skilled workers than would have been
needed in craft production
Which of the following are reasons organizations fail?
Not investing enough in necessary capital or human resources
Underestimating the importance of internal communication and cooperation
between functional areas
Putting too much emphasis on short term financial performance
