62) Which of the following would be used to provide coordination for completing large-scale
projects?
A) Master schedule
B) Detailed schedules
C) Staff schedules
D) Project schedules
E) Coordination schedules
63) Which of the following breaks large tasks down to a series of smaller steps and includes all
activities to successfully perform the task?
A) Master schedule
B) Coordination schedule
C) Gantt chart
D) Detailed schedule
E) PERT chart
64) Which of the following indicates the critical path needed for the completion of large
projects?
A) Master schedule
B) Coordination schedule
C) Gantt chart
D) Detailed schedule
E) PERT chart
65) What is the main advantage of using a PERT chart on a large scale project?
A) It aids in the ordering of supplies and materials.
B) It shows the most time-consuming path for project completion.
C) It allows managers to plan for delays.
D) It allows managers to monitor performance by comparing results with detailed schedules.
E) It identifies which tasks can be performed at the same time as others.
66) Staff schedules identify which products will be produced and when.
67) A detailed schedule will consider employees’ needs and the company’s efficiency and cost,
including demand for production.
68) If parts A, B, and C must be produced this week, a detailed schedule will indicate the
sequence of work.
69) Describe how a Gantt chart and a PERT chart are similar, and how they are different.
70) In operations control, production managers monitor production performance by which
method?
A) Comparing results with detailed plans and schedules
B) Checking on each worker on the production floor
C) Observing activities from a platform above the workers
D) Constantly talking with employees involved
E) Performing spot checks of worker performance
71) What is the name for a production system in which all the needed materials and parts arrive
at the precise moment they are required for each production stage?
A) Quality control system
B) Process control system
C) Just-in-time production
D) Standardized production
E) Custom-products production
72) Which type of system is designed for smooth production flow to avoid inefficiencies,
eliminate unnecessary inventories, and continuously improve production processes?
A) Quality system
B) Lean system
C) Managed system
D) Production system
E) Flexible system
73) Which term refers to the acquisition of the raw materials a company needs to produce its
products?
A) Development
B) Purchasing
C) Goods control
D) Quality control
E) Wholesaling
74) Which of the following refers to the receiving, storing, handling, and counting of all raw
materials, partly finished goods, and finished goods?
A) Materials handling
B) Inventory control
C) Quality control
D) Wholesaling
E) Distribution control
75) Which department is responsible for ensuring that operations departments produce products
that meet specific, predetermined standards?
A) Purchasing
B) Production systems
C) Quality control
D) Productivity
E) Marketing
76) How can managers and employees support quality control efforts within the organization?
A) Identify and correct mistakes and failures
B) Pursue cost savings measures
C) Develop project schedules such as Gantt or PERT charts
D) Identify the critical path for activities of the project
E) Outline the proper sequence of events before the process begins
77) Which of the following identifies the process of determining which outside firm will provide
service and materials for the production process?
A) Materials management
B) Purchasing
C) Inventory control
D) Inventories of information
E) Supplier selection
78) Material management requires the negotiation of terms of service and maintaining the
relationship between the buyer and those who sell the firm goods. Which process supports this
activity?
A) Supplier selection
B) Purchasing
C) Inventory control
D) Production
E) Materials management
79) Which material management process describes the movement of finished goods from a
business to the customer?
A) Procurement
B) Purchasing
C) Inventory control
D) Transportation
E) Warehousing
80) Which material management process stores incoming materials for production and finished
goods for distribution?
A) Warehousing
B) Lean production
C) Transportation
D) Purchasing
E) Supply chain
81) Just-in-time (JIT) production systems normally require large amounts of safety stock to be
maintained in a firm’s warehouse.
82) Operations control includes materials management and quality control.
83) Materials management involves the flow of materials inside of the production facility, while
distribution management involves the flow of finished goods.
84) Inventory control is the means of moving resources to the producer and finished goods to the
customer.
85) Explain how JIT production and lean manufacturing are related.
86) Describe the activities associated with transportation, warehousing, and inventory control in
the materials management process.
87) Which of the following terms includes all activities involved in getting quality products into
the marketplace?
A) Quality control
B) Quality reliability
C) Total quality management
D) Performance quality
E) Quality overview
88) What should a firm use to evaluate the work activities, materials flow and paperwork in an
effort to determine how those activities provide benefit for the customers?
A) Value-added analysis
B) Benchmarking
C) Getting closer to the customer
D) Supply chain management
E) Follow-up
89) Which term describes the idea that quality belongs to each person who creates it while
performing a job?
A) Quality control
B) Quality ownership
C) Quality circles
D) Total quality management
E) Quality improvement teams
90) What name is given to the process by which a company analyzes another company’s product
to identify desirable improvements in its own product?
A) Quality reliability analysis
B) Benchmarking
C) Performance quality analysis
D) Competitive product analysis
E) Quality outsourcing
91) Which of the following is patterned after the successful Japanese concept of quality circles?
A) Supply chain management
B) Quality improvement team
C) Total quality management
D) Quality ownership
E) Value-added analysis
92) Which of the following BEST describes total quality management?
A) The principle that quality belongs to each person who creates it while performing a job
B) The consistency of a product’s quality from unit to unit
C) The sum of all activities involved in getting high-quality products into the marketplace
D) The process by which a company analyzes a competitor’s products to identify desirable
improvements
E) A certification program attesting that an operations process has met rigorous requirements
93) Which of the following BEST describes competitive product analysis?
A) The principle that quality belongs to each person who creates it while performing a job
B) The consistency of a product’s quality from unit to unit
C) The process by which a company analyzes a different company’s products to identify
desirable improvements
D) The sum of all activities involved in getting a high-quality product into the marketplace
E) Examining a product to improve its form utility
94) Which term refers to collaborative groups of employees from various work areas who meet
regularly to define, analyze, and solve common production problems?
A) Quality improvement teams
B) Quality assurance teams
C) Quality control teams
D) Quality evaluation teams
E) Quality review teams
95) Which of the following BEST describes ISO 9000?
A) The concept that all employees are valuable contributors to a firm’s business, and should be
entrusted with decisions regarding their work
B) The redesigning of business processes to improve performance, quality, and productivity
C) A program certifying that a factory, laboratory, or office has met the quality management
standards of the International Organization for Standardization
D) A certification program attesting to the fact that a factory, laboratory, or office has improved
environmental performance
E) The process of evaluating all work activities to determine the value they add for customers
96) Which of the following BEST describes ISO 14000?
A) The concept that all employees are valuable contributors to a firm’s business and should be
entrusted with decisions regarding their work
B) A certification program attesting to the fact that a factory, laboratory, or office has improved
environmental performance
C) A certification program attesting to the fact that a factory, laboratory, or office has met the
quality management standards of the International Organization for Standardization
D) A standardized method of evaluating a company’s greenhouse gas emissions
E) A certification program attesting to the fact that a factory, laboratory, or office is operating
under free-trade principles
97) Which term refers to the fundamental rethinking and radical redesign of a business activity to
achieve dramatic improvements in performance?
A) Supply chain management
B) Business process reengineering
C) Total quality management
D) Quality ownership
E) Quality control
98) Successful companies often focus total quality management efforts on both the quantity and
quality of goods produced or delivered, known as
A) cost of quality.
B) supply chain management.
C) material management.
D) productivity.
E) quality ownership.
99) Quality improvement teams are groups of employees from various work areas who define,
analyze, and solve common production problems.
100) The biggest challenge of total quality management is motivating employees throughout the
company to achieve quality goals.
101) Value-added analysis might focus on both the elimination of waste and cost minimization.
102) ISO 9000 is a certification program attesting to the fact that a factory, laboratory, or office
has improved its environmental performance.
103) Japanese companies adapted the concept of quality circles from quality improvement teams
used by U.S. companies.
104) The sales department relies on the engineering department to send samples and quotes to
prospective customers on a timely basis. The sales department may be considered the
engineering department’s internal customer.
105) Explain competitive product analysis.
106) In a total quality management environment, what are some steps that companies use to
emphasize the importance of quality?
107) Describe the five most commonly used tools for TQM.
108) Describe the relationship between a firm’s productivity level and a country’s GDP.
109) Which term refers to the flow of information, materials, and services from raw-materials
suppliers through stages in the operations process until the product reaches the end customer?
A) Distribution chain
B) Supply chain
C) Service channel
D) Distribution channel
E) Performance channel
110) Which term refers to the strategy of paying suppliers and distributors to perform certain
business processes or to provide needed materials or services?
A) Outsourcing
B) Reengineering
C) Controlling
D) Scheduling
E) Warehousing
111) Which of the following BEST describes supply chain management?
A) The principle of improving the supply chain by focusing on the slowest step in the chain
B) A limitation on the number of suppliers allowed to supply a particular company
C) Complete movement of raw materials throughout a manufacturing or service facility
D) A cost-reduction program in which wholesalers and retailers are eliminated in an effort to
entice consumers to purchase directly from manufacturers
E) The principle of looking at the supply chain as a whole in order to improve the overall flow
through the system
112) When a company shares information to improve the overall flow through a system
composed of companies working together, it is engaging in which of the following?
A) Distribution chain management
B) Total quality management
C) Supply chain management
D) Service channel analysis
E) Supplier selection analysis
113) A value chain includes an entire network of firms, beginning with suppliers and ending
when production is complete.
114) Because supply chain strategy is based on the collective effort of a number of firms, no one
firm in the chain gains a competitive advantage.
115) Each stage in the supply chain adds value for the final customer.
116) The goal of supply chain management is better overall flow in the system.
117) What is a supply chain? How can supply chain management create competitive advantage?
118) How does outsourcing affect global supply chain management?
119) Outsourcing has led to increasingly global supply chains. Describe three ways that a more
global supply chain might be risky for a company that outsources.