180. (p. 235) Overall auto production is the U.S. is expected to __________ over the next several years.
A. level out
181. (p. 235-236) Efforts to redesign and rebuild America’s manufacturing base are likely to:
D. give way to an intense effort to convert the U.S. to an entirely service-based economy.
182. (p. 235) To become more competitive, U.S. manufacturing has done which of the following?
D. increased the advertising budget dramatically
183. (p. 235-236) To strengthen its manufacturing base in the future the U.S. will have to:
D. cut the amount of benefits offered to workers.
184. (p. 235) 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.
185. (p. 236) Production management has been the traditional term used to describe all the activities managers do
D. equities.
186. (p. 236) Operations management is a specialized area in management that converts resources into:
A. services, rather than goods.
187. (p. 236) __________ is the specialized area of management that converts or transforms resources into goods
and services.
A. Logistics management
188. (p. 236) __________ is the creation of goods and services using land, labor, capital, entrepreneurship, and
knowledge.
A. Resource recombination
189. (p. 236) The U.S. economy is now dominated by the __________ sector.
A. production
190. (p. 237) Operations management in the service industry is all about creating:
D. inexpensive ways to get things done.
191. (p. 237) Operations management in service industries often includes:
A. using records from the accounting department.
192. (p. 238) Operations management is the __________ phase of management.
D. building
193. (p. 236) The basic reason the term production management has been replaced by the term operations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.
194. (p. 236) Aaron Nance is a freshman in college who has not yet decided on his major. He is thinking about
majoring in operations management and is concerned about 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:
D. find plenty of employment opportunities in the government and education, but not very many in the private
sector.
195. (p. 236) 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.
196. (p. 237) Which of the following statements about operations management in the service sector is most
accurate? Operations management in the service sector:
D. has done a good job of increasing output, but a poor job of improving quality.
197. (p. 238) For most service businesses the quality standard has become:
A. providing prompt and predictable service.
198. (p. 237) 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
199. (p. 237-238) John Smith manages one location of the Six Seasons, an upscale hotel chain located throughout
the U.S. The chain’s target market is business travelers. John and his staff will go to any lengths to service the
guests. Many times staff members have had to locate U.S. electrical adapters for European guests in electronic
stores close to the hotel. This led to a change in the items carried in the hotel shop. Now adapters useful to
guests from around the world are carried as a regular item in the Six Seasons shop.
To ensure the guests are delighted and able to easily use their electronic equipment at the hotel John and his
staff have engaged in:
D. production.
200. (p. 238) Production creates:
A. time utility.
201. (p. 238) ___________ utility is the value added by the creation of finished goods and services using raw
materials, components, and other inputs.
A. Manufacturing
202. (p. 239) In ____________, materials are physically or chemically changed to produce a product.
D. diffusive manufacturing
203. (p. 239) A(n) __________ puts together components to make a product.
204. (p. 239) A production process characterized by long production runs to turn out finished goods over time is
known as a(n):
D. unrestricted process.
205. (p. 239) 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.
D. synthetic systems.
207. (p. 239) The whole idea behind mass production was to:
A. produce goods of the highest possible quality.
208. (p. 240) ____________ uses computers to help design products.
A. PERT
209. (p. 240) __________ involves computers directly in the production process.
D. AMCAP
210. (p. 240) CAD/CAM makes it possible to custom-design products to meet the needs of __________ with
__________.
A. small markets; a decrease in cost
211. (p. 240) CAD has __________ productivity in many firms.
A. unfortunately had no effect on
212. (p. 240) Sophisticated software that enables computer-aided design machines to communicate with
computer-aided manufacturing machines is called:
A. a flexible system.
213. (p. 240) In __________, machines are designed to do multiple tasks so that they can produce a variety of
products.
A. systems engineering
214. (p. 240) In manufacturing, one way to compete with cheap labor is to:
D. increase inputs to the system.
215. (p. 241) The goal of lean manufacturing is to:
D. become more self sufficient by producing major components rather than buying them.
216. (p. 241) ______________ means tailoring products to meet the needs of a large number of individual
D. Feedback response production
217. (p. 238) SitRite Furniture Company uses labor and machinery to transform wood, plastic, metal and cloth into
comfortable chairs, sofas, and love seats. This process creates:
D. intangible productivity.
218. (p. 239) Wild Bill’s Cap Emporium offers to produce hats and caps according to customers’ requests. Wild
Bill’s must be using a(n):
A. analytic system.
219. (p. 240) 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.
220. (p. 240) The use of CIM (computer-integrated manufacturing) by a firm often leads to:
D. staff becoming dissatisfied and leaving.
221. (p. 240) A big advantage of computer integrated manufacturing software is that it:
D. controls all of the actions of the assembly line from a central location.
Nickels – Chapter 09 #221
222. (p. 240) A basic characteristic of flexible manufacturing is that it:
D. is only possible when using mass production processes.
223. (p. 241) A company becomes lean by __________ its capacity to produce high-quality goods while
D. planning; investigating
224. (p. 241) Lean manufacturing __________ productivity.
D. removes the need for
225. (p. 241) The main objective of lean manufacturing is to:
A. keep labor costs as low as possible by expanding the use of other resources.
226. (p. 241) The National Bicycle Industrial Company in Japan makes 18 bicycle models in more than 2 million
combinations, with each combination designed to fit the needs of a specific customer. The customer chooses the
model, size, color, and design. Based on this information it seems that this bicycle company uses:
227. (p. 241) Marilyn’s Travel Inc. is a medium-sized travel agency that specializes in vacation packages. It has
packages available around the globe—everything from cruises, to beach resort vacations, to historical tours. The
customer chooses the amount they would like to pay, the area of the world they would like to visit and what
they would like to do. Based on this information Marilyn’s Travel uses __________ to delight their customers.
A. great human resources
228. (p. 238) To create their Deluxe Beef Sandwiches, Robbie’s Roast Beef finely slices prime roast beef, stacks it
on a sesame bun, adds special seasonings, cheese, onions, and mushrooms. The value added by Robbie’s when
it combines these ingredients to make a sandwich is known as:
A. consumer surplus.
229. (p. 239) Operations managers at Alumax Corporation have found that they can achieve efficient production
only by producing very large quantities of aluminum without shutting down the production process. This
indicates that Alumax should use a(n) ___________ production process.
230. (p. 239) Cooltreet, Inc., combines sugar, cream, eggs, and flavorings, then churns and cools the resulting
mixture to a very low temperature until it freezes, creating ice cream. The method Cooltreet is using is an
example of:
D. a symbiotic process.
231. (p. 239) MegaMachines obtains computer components from a variety of suppliers and puts them together
D. continuous production.
232. (p. 240) Westside Manufacturing has just installed some new machines that are designed to do many different
tasks and can be used to produce a variety of products. This indicates that Westside is moving toward:
D. multiple output processing.
233. (p. 241) Edwin Rivera is a production manager who believes his firm uses more of virtually all types of
resources than is necessary to produce its products. He would like to find a way to cut back on labor, and reduce
the firm’s investment in tools and space as well. It seems that Edwin would like to adopt:
A. mass production.
234. (p. 241) The EZee Office Furniture Company makes high quality desks and chairs for executive offices. The
company is about to make a radical change in its production process. It will take measurements from customers,
have them select from a variety of fabric patterns and answer some basic questions about the furniture styles
they like, then design a chair and desk that is ergonomically designed for maximum comfort for its users. The
new method EZee Office will use is an example of:
A. just-in-time manufacturing.
235. (p. 240) Dewey Dare is a production and operations manager with a clothing manufacturer. He has been
looking into a system that will enable his company to take measurements from a customer and program
machines to design and produce custom-cut clothes at little additional cost. This type of system is an example of
the benefits of:
236. (p. 240) HandZone, a manufacturer of high quality gloves and a variety of fashion accessories, already has
both computer-aided design and computer-aided manufacturing. Unfortunately, the two systems cannot
communicate with each other. David Warmdigit, a production manager at HandZone, has heard about some
software that allows CAD and CAM to work together, and wants to learn more about it. David is interested in:
A. linear programming software.
237. (p. 241) Derek manages a manufacturing firm that makes ceramic connectors that are used in jetted tubs.
Additional competition has entered the industry and Derek’s sales have suffered as a result. The marketing
group suggested that despite its cost, additional advertising would be the key to increased profits because the
ads would likely result in some increased sales. The exact amount of increased sales couldn’t be determined
however. The human resources group warned Derek not to try to cut expenses by reducing worker benefits or
he would lose the cooperation of one of the unions that works in the factory. Several other options available to
Derek were to install a CAD/CAM system, lean manufacturing or flexible manufacturing. Even mass
customization was recommended by his factory foreman. Eventually Derek decided the way to increase the
firm’s profitability was to increase its productivity, so Derek likely implemented:
A. additional advertising.
238. (p. 240) Sarah works for an architectural firm. The partners in the firm have always drawn the plans for
projects by hand. While Sarah learned how to draw by hand in college, she would much prefer using a computer
program because she can then show clients her work in three dimensions and make any changes the client
would like fairly quickly. The computer program she should recommend to the partners is:
D. SCM.
239. (p. 242) __________ is the process of selecting a geographic location for a company’s operations.
D. Geographic requirements planning
240. (p. 243) Which of the following is a likely reason that a company would move its facility from one location to
another that would have this characteristic?
A. availability of expensive labor
D. are usually the factors that receive the most attention.
242. (p. 243) Firms that have a goal of ____________ tend to locate facilities near major highways, ports, rail lines
and airports.
D. switching to a more service-oriented product mix
D. switch to less labor-intensive production methods.
244. (p. 244) Quality of life is often considered in facility location. When considering where to locate a
manufacturing facility a quality of life factor could be:
D. there is access to a cargo airport.
245. (p. 245, Reaching Beyond Our Borders box) According to the “Reaching Beyond Our Borders” box in Chapter 9,
Lockheed Martin uses __________ to enable it to succeed in a multiple-firm manufacturing environment.
A. MRI