OPERATIONS MANAGEMENT: SUSTAINABILITY AND SUPPLY
CHAIN MANAGEMENT
4TH CANADIAN EDITION
CHAPTER NO. 01: OPERATIONS AND PRODUCTIVITY
1.1 END-OF-CHAPTER PROBLEMS
1) Some of the operations-related activities of Hard Rock Café include designing meals
and analyzing them for ingredient cost and labour requirements.
Answer: TRUE
Diff: 1 Type: TF
Skill: comprehension
Learning Outcome: LO1 Define operations management
2) Because Hard Rock Cafés are themed restaurants, operations managers focus their
layout design efforts on attractiveness while paying little attention to efficiency.
Answer: FALSE
Diff: 1 Type: TF
Skill: comprehension
Learning Outcome: LO1 Define operations management
3) All organizations, including service firms such as banks and hospitals, have a
production function.
Answer: TRUE
Diff: 2 Type: TF
Skill: knowledge
Learning Outcome: LO1 Define operations management
,4) Operations management is the set of activities that creates value in the form of goods
and services by transforming inputs into outputs.
Answer: TRUE
Diff: 1 Type: TF
Skill: knowledge
Learning Outcome: LO1 Define operations management
5) An example of a "hidden" production function is money transfers at banks.
Answer: TRUE
Diff: 3 Type: TF
Skill: comprehension
Learning Outcome: LO1 Define operations management
6) One reason to study operations management is to learn how people organize
themselves for productive enterprise.
Answer: TRUE
Diff: 1 Type: TF
Skill: knowledge
Learning Outcome: LO1 Define operations management
7) The operations manager performs the management activities of planning, organizing,
staffing, leading, and controlling of the OM function.
Answer: TRUE
Diff: 1 Type: TF
Skill: knowledge
Learning Outcome: LO2 Identify the 10 strategic decisions of operations management
8) "How much inventory of this item should we have?" is within the critical decision
area of managing quality.
,Answer: FALSE
Diff: 1 Type: TF
Skill: comprehension
Learning Outcome: LO2 Identify the 10 strategic decisions of operations management
9) In order to have a career in operations management one must have a degree in
statistics or quantitative methods.
Answer: FALSE
Diff: 1 Type: TF
Skill: knowledge
Learning Outcome: LO3 Identify career opportunities in operations management
10) Henry Ford is known as the father of scientific management.
Answer: FALSE
Diff: 1 Type: TF
Skill: knowledge
Learning Outcome: LO3 Identify career opportunities in operations management
11) Shewhart's contributions to operations management came during the Scientific
Management Era.
Answer: FALSE
Diff: 1 Type: TF
Skill: knowledge
Learning Outcome: LO3 Identify career opportunities in operations management
12) Customer interaction is often high for manufacturing processes, but low for services.
Answer: FALSE
Diff: 2 Type: TF
, Skill: knowledge
Learning Outcome: LO4 Explain the distinction between goods and services
13) Productivity has proven more difficult to improve in the service sector.
Answer: TRUE
Diff: 2 Type: TF
Skill: knowledge
Learning Outcome: LO8 Identify the critical variables in enhancing productivity
14) Manufacturing constitutes the largest economic sector in postindustrial societies.
Answer: FALSE
Diff: 2 Type: TF
Skill: knowledge
Learning Outcome: LO4 Explain the distinction between goods and services
15) Productivity in Canada has increased significantly every year since 1973.
Answer: FALSE
Diff: 1 Type: TF
Skill: comprehension
Learning Outcome: LO5 Explain the difference between production and productivity
16) A knowledge society is one that has migrated from work based on knowledge to
one based on manual work.
Answer: FALSE
Diff: 1 Type: TF
Skill: knowledge
Learning Outcome: LO5 Explain the difference between production and productivity