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In recent years, the service sector of the U.S. economy has:
A. grown much more rapidly than the manufacturing sector.
B. become the low-wage sector of the U.S. economy.
C. achieved extremely high productivity gains according to government reports.
D. focused less on quality and more on reducing costs of production.
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A
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Manufacturing output in the U.S. continues to increase. The high unemployment of skilled workers who previously worked in the manufacturing sector _________________________.
A. is the result of untrained laborers.
B. is strictly a factor of U.S. manufacturing companies outsourcing the majority of their work.
C. can be reconciled by the fact that manufacturing is very efficient and requires fewer workers to produce the same amount, or even more output.
D. can be attributed to manufacturing going green.
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C
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One strategy U.S. manufacturers have employed in order to become more competitive is:
A. focusing on providing the lowest-priced products.
B. relying on advanced technology and the Internet to unite companies.
C. maintaining a distance relationship with suppliers in an effort to guard trade secrets.
D. increasing advertising budgets.
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B
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To strengthen its manufacturing base in the future, U.S. will have to:
A. uncover lower wage workers in the U.S. to compete with China.
B. continue to innovate.
C. support students in high school and college interested in studying the arts.
D. cut the amount of benefits offered to workers.
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B
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The resurgence of U.S. manufacturing firms in recent years can be credited to:
A. the government’s willingness to implement policies designed to protect U.S. firms from low-cost foreign competition.
B. a decision by many U.S. manufacturers to drastically reduce costs by making more extensive use of mass-production techniques.
C. a number of significant changes in both the production techniques and management styles used by U.S. firms.
D. a relaxation of government laws that has allowed manufacturing firms to merge more easily, thus achieving stronger market positions.
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C
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Production management is the traditional term used to describe all the activities managers do to help their firms create:
A. resources.
B. goods.
C. services.
D. equities.
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B
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Operations management is a specialized area in management that converts resources into:
A. services, rather than goods.
B. goods, rather than services.
C. both goods and services.
D. financial data.
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C
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__________ is the specialized area of management that converts or transforms resources into goods and services.
A. Logistics management
B. Resource engineering
C. Intrapreneuring
D. Operations management
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D
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__________ is the creation of goods and services using land, labor, capital, entrepreneurship, and knowledge.
A. Resource recombination
B. Supply chain management
C. Production
D. Purchasing
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C
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The U.S. economy is now dominated by the _________ sector.
A. farm
B. manufacturing
C. service
D. trade
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C
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Operations management in the service sector is focused on creating:
A. good experiences for those who use the service.
B. jobs for the local community.
C. additional customer expectations.
D. inexpensive ways to get things done.
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A
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Experts in operations management for service industry businesses stress:
A. using records from accounting to determine what business to go after.
B. relying on one’s individual operation as opposed to developing partnerships.
C. training employees on quality management.
D. training employees to always adhere to only one way of doing things.
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C
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The basic reason the term production management has been replaced by the term operations management is that:
A. the U.S. economy has moved toward a more socialist approach with government controlling a greater share of the production process.
B. a much larger share of total output is being produced by nonprofit organizations.
C. the United States is now a service economy.
D. the United States now exports more than it imports.
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C
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Which of the following statements best describes the distinction between production management and operations management? Production management involves:
A. activities managers perform to help create services while operations management involves the activities managers perform to produce goods.
B. activities managers perform to obtain physical resources while operations management involves the activities managers perform to obtain the financial resources.
C. activities managers perform to help create goods while operations management is a broader term that involves the activities involved in producing services as well as goods.
D. activities managers perform to help create intangible products while operations management involves the activities managers perform to produce tangible products.
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C
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Which of the following statements about operations management in the service sector is most accurate? Operations management in the service sector:
A. is all about providing the service at the lowest cost.
B. should focus on providing customers with a good experience.
C. has less flexibility than operations management in the manufacturing sector, because services are not technology driven.
D. has done a good job of increasing output, but a poor job of improving quality.
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B
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For most service businesses the quality standard has become:
A. providing prompt and predictable service.
B. providing a competitive level of service at the lowest cost.
C. delighting customers by anticipating their needs.
D. less important than it is for manufacturing businesses.
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C
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Aaron is a freshman in college who has not yet decided on his major. He is thinking about majoring in operations management and is exploring job opportunities in this field. Which of the following statements about jobs for operations management majors is most accurate? If he majors in operations management, Aaron will:
A. have limited job opportunities because operations management positions are only available in the slowly growing manufacturing sector.
B. acquire skills and knowledge that are valuable to firms in both the manufacturing and service sectors.
C. have plenty of job offers, but they will mainly be in low-wage positions in the service sector.
D. find plenty of employment opportunities in the government and education, but not very many in the private sector.
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B
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The Ritz-Carlton hotel offers restaurants with the finest service, elevators that run smoothly, and a front desk that processes people quickly. Many times fresh-cut flowers are in the lobbies and dishes of fruit are in each room. __________ is responsible for implementing these customer benefits.
A. Human resources management
B. The management staff
C. Operations management
D. Production management
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C
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Each day the general manager at the New Life Grocery Store reviews employee work schedules, including the late night stock crew, the checkers, the baggers, the deli, produce, and meat department crews, and the office personnel. He coordinates work schedules with shipments, as well as the information he collects from registers that indicates the busiest hours at the store, and then he communicates any exceptions to his department managers. These daily tasks are part of ______________.
A. operations management
B. promotions management
C. distributive management
D. marketing management
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A
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Upon their return from a recent scuba diving and snorkeling trip on the island of Cozumel, Mexico, Tyler and Diana highly recommended the resort where they stayed. Guest services were extremely prompt in assisting with diving excursions. All resort employees were trained to greet every guest each time they encountered them, whether it was on a pathway to the pools and beaches, or in the restaurants. Many times, the employees even referred to each guest by name. _____________ in the service sector is about creating a good experience for customers.
A. Enterprise resource planning
B. Intermittent planning
C. Operations management
D. Production management
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C
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Production creates:
A. time utility.
B. possession utility.
C. form utility.
D. marginal utility
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C
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___________ utility is the value added by the creation of finished goods and services using raw materials, components, and other inputs.
A. Manufacturing
B. Marginal
C. Consumption
D. Form
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D
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In ____________, materials are physically or chemically changed to produce a product.
A. process manufacturing
B. assembly processes
C. utilitarian production
D. diffusive manufacturing
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A
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A(n) __________ puts together components to make a product.
A. modular process
B. compression process
C. assembly process
D. econometric process
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C
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A production process characterized by long production runs to turn out finished goods over time is known as a(n):
A. assembly process.
B. continuous process.
C. extended process.
D. unrestricted process
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B
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A production process characterized by a short production run and frequent adjustments to machines so that different products can be produced is known as a(n):
A. just-in-time process.
B. lean manufacturing system.
C. analytic process.
D. intermittent process.
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D
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Most new manufacturing facilities use:
A. continuous processes.
B. intermittent processes.
C. traditional processes.
D. synthetic processes.
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B
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In the past, the idea behind mass production was to:
A. produce goods of the highest possible quality.
B. give producers the maximum flexibility to respond to customer preferences.
C. make large quantities of a limited variety of products at very low cost.
D. give workers more control over their work environment.
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C
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____________ uses computers to help design products.
A. PERT
B. QPC
C. DPA
D. CAD
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D
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__________ involves computers directly in the production process.
A. CAD
B. CAM
C. AMDA
D. AMCAP
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B
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CAD/CAM makes it possible to custom-design products to meet the needs of __________ with __________.
A. small markets; a decrease in cost
B. very large markets; no increase in cost
C. small markets; very little increase in cost
D. international markets; products that are complex
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C
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CAD has __________ productivity in many firms.
A. unfortunately had no effect on
B. actually decreased
C. increased
D. splintered
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C
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Sophisticated software that enables computer-aided design machines to communicate with computer-aided manufacturing machines is called:
A. a flexible system.
B. a computer-based feedback control system.
C. computer-integrated manufacturing.
D. heuristic manufacturing integration.
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C
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In __________, machines are designed to do multiple tasks so that they can produce a variety of products.
A. systems engineering
B. microdesign
C. modular construction
D. flexible manufacturing
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D
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In manufacturing, one way to compete with cheap labor is to:
A. use robots.
B. hire experienced people.
C. make the production line longer.
D. increase inputs to the system.
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A
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The goal of lean manufacturing is to:
A. keep inventories of finished goods as high as possible.
B. produce goods and services with less of everything that goes into the process.
C. produce a very limited variety of goods.
D. become more self-sufficient by producing major components rather than buying them.
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B
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______________ means tailoring products to meet the needs of a large number of individual customers.
A. Mass customization
B. Mass production
C. Competing in time
D. Feedback response production
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A
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Which of the following statements describes past processes that existed in manufacturing that negatively affected a firm’s competitive advantage?
A. Companies tended to produce a large quantity of the same product at a very low cost.
B. Companies required their suppliers to only deliver the amount of good needed for a short-term production run.
C. Companies changed their equipment too often, which created lost time on the job.
D. Companies refused to train employees in technology and on machinery.
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A
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Which of the following statements about the impact of CAD/CAM on manufacturing is most accurate? CAD/CAM:
A. is most useful to firms producing durable goods such as automobiles.
B. has replaced ERP as the most sophisticated resource planning technique.
C. allows firms to save money by replacing skilled labor with computers to perform all of the high-skill tasks.
D. has made it possible to produce custom-designed products with little increase in costs.
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D
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A big advantage of computer-integrated manufacturing software is that it:
A. makes it possible to custom-design products to meet the needs of small markets with very little increase in cost.
B. replaces "dumb" robots with "smart" computers.
C. allows personal computers to communicate directly with the firm’s server.
D. controls all of the actions of the assembly line from a central location
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A
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