Introductions to Operations Management

Question 1

The part of a business organization that is responsible for producing goods or services.

Answer 1

Operations

Question 2

The management of systems or processes that create goods and/or provide services

Answer 2

Operations Management

Question 3

are physical items that include raw materials, parts, subassemblies, and final products.

Answer 3

Goods

Question 4

are activities that provide some combination of time, location, form or psychological value.

Answer 4

Services

Question 5

a sequence of activities and organizations involved in producing and delivering a good or service

Answer 5

Supply Chain

Question 6

Measurements taken at various points in the transformation process

Answer 6

Feedback

Question 7

The comparison of feedback against previously established standards to determine if corrective action is needed.

Answer 7

Measurements

Question 8

Products are typically neither purely service- or purely goods-based.

Answer 8

Good Service Continuum

Question 9

The three basic functions of business organization

Answer 9

marketing, operations, finance

Question 10

function of business organization that handles Budgeting, Economic analysis of investment proposals, Provision of funds

Answer 10

Finance and Operations

Question 11

function of business organization that handles Demand data
Product and service design
Competitor analysis
Lead time data

Answer 11

Marketing and Operations

Question 12

one or more actions that transform inputs into outputs

Answer 12

Process

Question 13

this process governs the entire organization’s operation

Answer 13

Upper management process

Question 14

this process make up the value stream

Answer 14

Operational processes

Question 15

these support the core processes

Answer 15

Supporting processes

Question 16

Wasteful and Costly:
Supply _ Demand

Answer 16

Supply > Demand

Question 17

Opportunity Loss and Customer Dissatisfaction
Supply _ Demand

Answer 17

Supply < Demand

Question 18

Ideal
Supply _ Demand

Answer 18

Supply = Demand

Question 19

The greater the variety of goods and services offered, the greater the variation in production or service requirements.

a. Variety of goods or services being offered
b. Structural variation in demand
c. Random variation
d. Assignable Variation

Answer 19

a. Variety of goods or services offered.

Question 20

These are generally predictable. They are important for capacity planning.

a. Variety of goods or services being offered
b. Structural variation in demand
c. Random variation
d. Assignable Variation

Answer 20

b. Structural Variation in demand

Question 21

Natural variation that is present in all processes. Generally, it cannot be influenced by managers.

a. Variety of goods or services being offered
b. Structural variation in demand
c. Random variation
d. Assignable Variation

Answer 21

c. Random variation

Question 22

Variation that has identifiable sources. This type of variation can be reduced, or eliminated, by analysis and corrective action.

a. Variety of goods or services being offered
b. Structural variation in demand
c. Random variation
d. Assignable Variation

Answer 22

d. Assignable Variation

Question 23

The _______ function consists of all activities directly related to producing goods or providing services.

Answer 23

Operations

Question 24

These are typically strategic decisions that
- usually require long-term commitment of resources
- determine parameters of system operation

Answer 24

System Design

Question 25

This primary function of system decision consists of the following:

Capacity
Facility location
Facility layout
Product and service planning
Acquisition and placement of equipment

System Design or System Operation Decisions?

Answer 25

System Design

Question 26

These are generally tactical and operational decisions:
- Management of personnel
- Inventory management and control
- Scheduling
- Project management
- Quality assurance

System Design or System Operation Decisions

Answer 26

System Operation

Question 27

an abstraction of reality; a simplification of something.

Answer 27

Model/s

Question 28

• They are simplifications of real-life phenomena
• They omit unimportant details of the real-life systems they mimic so that attention can be focused on the most important aspects of the real-life system

Answer 28

Models

Question 29

This kind of information may be more emphasized in models.

Answer 29

Quantitative Information

Question 30

The use of models (does/does not) guarantee good decisions

Answer 30

does not

Question 31

A decision-making approach that frequently seeks to obtain a mathematically optimal solution
- Supported by computer calculations

Answer 31

Quantitative Approaches

Question 32

a set of interrelated parts that must work together

Answer 32

System

Question 33

The systems approach emphasizes interrelationships among _________.

Answer 33

subsystems

Question 34

The systems approach indicates that that the whole is greater than the sum of its _____.

Answer 34

parts

Question 35

The o______ and o_______ of the organization take precedence over those of any one subsystem

Answer 35

output and objectives

Question 36

This phenomenon states that a few factors account for a high percentage of occurrence of some event(s).

The critical few factors should receive the highest priority.

Answer 36

Pareto Phenomenon

Question 37

Using resources in ways that do not harm ecological systems that support human existence

Answer 37

Sustainability