O.M. Ch. 3-MC Flashcards

1
Q

Concentrating on one process performance measure at a time is a good idea.

A

False

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

World-class organizations normally use between 3 and 10 performance measures per process.

A

True

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

Labor cost is an organizational-level, rather than an operational-level, measure of financial performance.

A

False

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

Errors in service creation and delivery are sometimes called service upsets.

A

True

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

Queue time is a fancy term for wait time.

A

True

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

Two important aspects of measuring time performance are speed and accuracy.

A

False

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

Productivity of a process is computed by dividing the quantity of input by the quantity of output.

A

False

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

The measures for the quantity of input and quantity of output used in the productivity equation must be in the same units.

A

False

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

Managers can objectively make internal decisions that impact external outcomes with the aid of interlinking models.

A

True

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

Actionable performance measures provide the basis for decisions at the strategic level in an organization.

A

False

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

The primary purpose of the Baldrige Performance Excellence Program is to provide a framework for performance excellence through neutral, outside-party assessment of an organization’s strengths and weaknesses.

A

False

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

Production being scheduled to real-time sales data is an example of “information replaces assets.”

A

True

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

The Service-Profit Chain focuses on employees or service-providers.

A

True

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

The number of performance measures normally used per process by world-class organizations is

A

between 3 and 10

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

Which of the following is more an operational-level performance measure than an organizational-level performance measure?

A

budget variance

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

Which of the following is not generally considered a customer-satisfaction measure?

A

credit applications

17
Q

Assurance, one of the key dimensions used to assess service quality, is defined as

A

knowledge and courtesy of the service providers, and their ability to inspire trust and confidence in customers

18
Q

Which of the following is not a key dimension used to assess service quality?

A

functionality

19
Q

Two important aspects of measuring time performance are speed and

A

reliability

20
Q

Flexibility can relate either to adapting to changing customer needs or to

A

changing volume of demand

21
Q

The time required to “ramp up” to an increased production output level in response to a surge in sales of a product is a measure of

A

volume flexibility

22
Q

Creating, acquiring, and transferring knowledge, and modifying the behavior of employees in response to internal and external change is the definition of

23
Q

The triple bottom line refers to the areas of sustainability measurement that include environmental, economic, and

24
Q

The quantitative modeling of cause-and-effect relationships between external and internal performance criteria is called

A

interlinking

25
The value of a loyal customer quantifies the
total revenue or profit each target-market customer generates over the buyer's life cycle
26
In computing the value of a loyal customer (VLC), customer defection rate is used in determining
buyer's life cycle (BLC)
27
Actionable performance measures provide the basis for decisions at the
level at which they are applied
28
The balanced scorecard is designed to be linked directly to an organization's
strategy