Operations and Supply Chain Management 16th Edition By F. Robert Jacobs
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Chapter 1-22m
Chapter 01 Test Bank Static m m m m
1. Efficiency means doing the right things to create the most value for the company.
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FALSE
Efficiency means doing something at the lowest possible cost.
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2. Effectiveness means doing the right things to create the most value for the company.
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TRUE
Effectiveness means doing the right things to create the most value for the company.
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AACSB: mAnalytical mThinking
Blooms:
mRemember
mDifficulty: m1
mEasy
Learning mObjective: m01-04 mEvaluate mthe mefficiency mof ma
mfirm.mTopic: mEfficiency, mEffectiveness,
mand mValue
3. A doctor completes a surgical procedure on a patient without error. The patient dies anyway. In operations management
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mterms, we could refer to this doctor as being efficient but not effective.
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TRUE
Efficiency means doing something at the lowest possible cost. Effectiveness means doing the right things to create the most
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mvalue. The doctor performed the surgery without error. Because the patient died, no value was created.
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AACSB: mAnalytical mThinking
Blooms:
mAnalyzemDifficulty:
m2 mMedium
Learning mObjective: m01-04 mEvaluate mthe mefficiency mof ma
mfirm.mTopic: mEfficiency, mEffectiveness,
mand mValue
4. A worker can be efficient without being effective.
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TRUE
Efficiency means doing something at the lowest possible cost. Effectiveness means doing the right things to create the most
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value. These are different things.
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AACSB: mAnalytical
mThinking mBlooms:
mUnderstand
mDifficulty: m2
mMedium
,Learning mObjective: m01-04 mEvaluate mthe mefficiency mof ma
mfirm. mTopic: mEfficiency, mEffectiveness,
mand mValue
,5. A process can be effective without being efficient.
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TRUE
Often, maximizing effectiveness and efficiency at the same time creates conflict between the two goals. "Being efficient" at the
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customer service counter at a local store or bank means using the fewest number of clerks possible at the counter. Being
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effective, though, means minimizing the amount of time customers need to wait in line.
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mAnalytical AACSB:
Thinking mBlooms: m
mUnderstand
mDifficulty: m2
mMedium
Learning mObjective: m01-04 mEvaluate mthe mefficiency mof ma
mfirm. mTopic: mEfficiency, mEffectiveness,
mand mValue
6. Operations and supply chain management is defined as the design, operation, and improvement of the systems that
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mcreate and deliver the firm's primary products and services.
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TRUE
Operations and supply chain management is defined as the design, operation, and improvement of the systems that create and
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deliver the firm's primary products and services.
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AACSB: mAnalytical mThinking
Blooms:
mRemember
mDifficulty: m1
mEasy
Learning mObjective: m01-01 mIdentify mthe melements mof moperations mand msupply mchain mmanagement. m(OSCM)
Topic: mWhat mIs mOperations mand mSupply mChain mManagement?
7. The term "value" refers to the relationship between quality and the price paid by the consumer.
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TRUE
Related to efficiency and effectiveness is the concept of value, which can be metaphorically defined as quality divided by price.
m m m m m m m m m m m m m m m m m m m
AACSB: mAnalytical mThinking
Blooms:
mRemember
mDifficulty: m1
mEasy
Learning mObjective: m01-04 mEvaluate mthe mefficiency mof ma
mfirm.mTopic: mEfficiency, mEffectiveness,
mand mValue
8. Attempting to balance the desire to efficiently use resources while providing a highly effective service may create conflict
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mbetween the two goals.
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TRUE
Often maximizing effectiveness and efficiency at the same time creates conflict between the two goals.
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AACSB: mAnalytical mThinking
Blooms:
mAnalyze
mDifficulty: m1
mEasy
Learning mObjective: m01-04 mEvaluate mthe mefficiency mof ma
mfirm.mTopic: mEfficiency, mEffectiveness,
mand mValue
, 9. Central to the concept of operations strategy are the notions of operations focus and trade-offs.
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TRUE
Central to this thinking was the notion of factory focus and manufacturing trade-offs. Because a factory cannot excel on all
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performance measures, its management must devise a focused strategy, to perform a limited set of tasks extremely well. This
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requires trade-offs.
m m
AACSB: mAnalytical mThinking
Blooms:
mRemember
mDifficulty: m1
mEasy
Learning mObjective: m01-03 mRecognize mthe mmajor mconcepts mthat mdefine mthe moperations mand msupply mchain mmanagement mfield.
Topic: mHistorical mDevelopment mof mOperations mand mSupply mChain mManagement
10. OSCM is concerned with management of the trickiest parts of the system that produces a good or delivers a service.
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FALSE
OSCM is concerned with the management of the entire system that produces a good or delivers a service.
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AACSB: mAnalytical mThinking
Blooms:
mRemember
mDifficulty: m1
mEasy
Learning mObjective: m01-01 mIdentify mthe melements mof moperations mand msupply mchain mmanagement m(OSCM).
Topic: mWhat mIs mOperations mand mSupply mChain mManagement?
11. OSCM is a functional field of business with clear line management responsibilities.
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TRUE
OSCM is a functional field of business with clear line management responsibilities.
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AACSB: mAnalytical mThinking
Blooms:
mRemember
mDifficulty: m1
mEasy
Learning mObjective: m01-02 mKnow mthe mpotential mcareer mopportunities min moperations mand msupply mchain mmanagement.
Topic: mWhat mIs mOperations mand mSupply mChain mManagement?
12. The supply network can be thought of as a pipeline through which cash, material, and information flow.
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FALSE
Think of the supply network as a pipeline through which material and information flow.
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AACSB: mAnalytical
mThinkingmBlooms:
mUnderstand
mDifficulty: m1 mEasy
Learning mObjective: m01-01 mIdentify mthe melements mof moperations mand msupply mchain mmanagement m(OSCM).
Topic: mWhat mIs mOperations mand mSupply mChain mManagement?
13. Supply networks cannot be constructed for every product or service.
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FALSE
Networks such as this can be constructed for any product or service.
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