1) The goal of waiting-line management is to eliminate customer waiting lines.
2) The term “computer-aided manufacturing” refers primarily to the use of robotics in
process control.
3) Traditional strategies of business organizations have tended to emphasize cost
minimization or product differentiation.
4) An advantage of trend-adjusted exponential smoothing over the linear trend equation
is its ability to adjust over time to changes in the trend.
5) Job design relates to people, therefore technology has little impact.
6) Service often requires greater labor content, whereas manufacturing is more capital
intensive.
7) The greater the degree of customer involvement, the more challenging the design and
management of operations.
8) Operations management involves continuous decision making; hopefully most
decisions made will be:
A.redundant.
B.minor in nature.
C.informed.
D.quantitative.
E.qualitative.
9) Consider the following work breakdown structure:
What is the estimated expected (mean) time for activity E?
A.35 days
B.36 days
C.39 days
D.40 days
E.45 days
10) Once a project is underway, the project manager usually is not responsible for
effectively managing:
A.the people.
B.costs.
C.resources.
D.time.
E.project priority.
11) Although it is generally the case that service systems have enough capacity, waiting
lines result when __________ exceeds capacity for periods of time.
A.homogeneity
B.variability
C.price
D.demand
E.heterogeneity
12) A job has a 70 percent learning curve. If the first unit took 10 hours to complete, the
third unit should take roughly how many hours?
A.7
B.5.7
C.5
D.3.5
E.4.9
13) Effectively using labor resources during periods of peak demand and low demand
would be the goal of aggregate planners in:
A.manufacturing.
B.military.
C.archeology.
D.libraries.
E.financial services.
14) The need for safety stocks can be reduced by an operations strategy which:
A.increases lead time.
B.increases lead time variability.
C.increases lot sizes.
D.decreases ordering costs.
E.decreases lead time variability.
15) The owner/operator of the local franchise of Handyman, Inc., has four jobs to do
today, shown in the order they were received:
If he uses the shortest processing time first priority rule to schedule these jobs, what
will be the average completion time?
A.7.5 hours
B.5 hours
C.3 hours
D.2.5 hours
E.2 hours
16) Ann Chovies, owner of the Perfect Pasta Pizza Parlor, uses 20 pounds of pepperoni
each day in preparing pizzas. Order costs for pepperoni are $10.00 per order, and
carrying costs are 4 cents per pound per day. Lead time for each order is three days, and
the pepperoni itself costs $3.00 per pound. If she were to order 80 pounds of pepperoni
at a time, what would be the total daily costs, including the cost of the pepperoni?
A.$60.00
B.$63.20
C.$64.00
D.$64.10
E.$65.00
17) A job is expected to have a learning curve of 90 percent. The third unit required 16
hours. The 12th unit should take approximately how many hours?
A.2.67
B.4.83
C.7.94
D.10.31
E.12.95
18) What is credited with gains in industrial productivity, increased standards of living,
and affordable products?
A.personal computers
B.the Internet
C.mass transportation
D.mass production
E.multilevel marketing
19) The Balanced Scorecard is a useful tool for helping managers translate their
strategy into action in the following areas:
A.Sustainability; Flexibility; Efficiency; Technology
B.Customers; Financial; Internal Business Processes; Learning and Growth
C.Customization; Standardization; Efficiency; Effectiveness
D.The Environment; The Community; Suppliers; Other Stakeholders
E.Strategy; Tactics; Productivity; Profitability
20) A company is preparing a bid on a government contract for 40 units of a certain
product. The operations manager estimates the assembly time required for the first two
units to be 10.4 hours and 8.8 hours.
If a contract for 30 units is canceled after the first 20 units, approximately how much of
the expected total direct labor will have been expended to that point?
A.73 percent
B.55 percent
C.61 percent
D.50 percent
E.It is impossible to say without additional information.