Deck 15: Operation and Information System Management

Question 1

The Widget Company may base its decision of where to locate its facilities on

A) the availability of labor.
B) the cost of energy.
C) how close to customers they need to be.
D) all of the above

Answer 1

D

Question 2

The process of analyzing the design to determine the materials and parts that it requires in the production process is known as

A) MRP.
B) facilities layout design.
C) make-buy analysis.
D) JIT.

Answer 2

A

Question 3

The firm's ability to produce the product during a given period is referred to as

A) capacity.
B) input.
C) conversion.
D) MRP.

Answer 3

A

Question 4

A particularly complex project's conversion activities might best be monitored with a

A) PDCA cycle.
B) PERT network.
C) Gantt chart.
D) load chart.

Question 5

The assembly line at the BMW factory in Regensburg, Germany, that can accommodate several different models of the car simultaneously is an example of

A) a fixed-position layout.
B) flexible manufacturing.
C) statistical process control.
D) MRP.

Question 6

The foundation of operations management is

A) acquiring inputs.
B) delivering the output.
C) planning.
D) determining the customer.

Question 7

Given the size of the product, an aircraft manufacturer would be most likely to use a ________ layout.

A) product
B) process
C) fixed-position
D) facilities

Question 8

When the operations manager determines a minimum level of inventory then reorders inputs when this level is reached, she is using

A) fixed-interval reordering.
B) a conversion process.
C) MRP.
D) fixed-point reordering.

Question 9

Strategic planning can help the firm determine

A) the need for the product.
B) the market the firm wishes to target.
C) if the firm wants to make or buy their product.
D) all of the above

Question 10

Materials, energy, information, management, technology, and labor that are needed to create a product are known as

A) facilities layout design.
B) process.
C) inputs.
D) outputs.

Question 11

An effective conversion process

A) converts the inputs into the final product.
B) lowers the cost of creating the product.
C) creates a better product for the same cost.
D) all of the above

Question 12

________ systems are used to keep inventory levels more or less constant.

A) Conversion
B) Reordering
C) Inventory
D) Statistical process

Question 13

Which of the following is not an appropriate tool for determining an efficient sequence and monitoring for activities in the conversion process?

A) PERT network
B) Gantt chart
C) Deming wheel
D) Load chart

Question 14

Which of the following is not a stage of operations management?

A) Acquiring inputs
B) Controlling the conversion processes
C) Planning the strategy of the organization
D) Delivering the output

Question 15

Which tool for monitoring the conversion process is a visual sequence of the process steps?

A) Gantt chart
B) PDCA cycle
C) Deming wheel
D) PERT chart

Question 16

The three stages of operations management are

A) highly interrelated.
B) separate.
C) somewhat influenced by each other.
D) are not related to the organization's strategic planning process.

Question 17

The employee and equipment stay in one workstation as the product moves through the system in a ________ layout.

A) product
B) process
C) fixed-position
D) facilities

Question 18

When self-managed teams are used in flexible manufacturing

A) team members learn all the tasks in the production process.
B) team members schedule work and hire new staff.
C) productivity and efficiency typically increase.
D) all of the above

Question 19

In the ________, the firm begins with an assessment of whether they will lose or gain a competitive advantage by outsourcing the product or some aspect of its production.

A) strategic planning process
B) make-buy analysis
C) conversion process
D) output process

Question 20

Which tool for monitoring the conversion process would list the people involved in each step and the time frame for their involvement?

A) PDCA cycle
B) PERT chart
C) Deming wheel
D) Load chart

Question 21

The International Organization for Standardization

A) develops technical standards that guide production and distribution.
B) is a network of national standards from five major countries.
C) is meant to make international trade more difficult to keep jobs at home.
D) all of the above

Question 22

________ is considered the father of quality management.

A) Imai
B) Pareto
C) Deming
D) Kanban

Question 23

The ultimate goal of six sigma is where defects occur at the rate of 1 per

A) 1,300.
B) 300,000.
C) 1 million.
D) 3.4 million.

Question 24

Which of the following is not a component of the Deming wheel?

A) Plan
B) Do
C) Convert
D) Act

Question 25

The Japanese process of continuous improvement in the organization's production system from numerous small, incremental improvements in production processes is known as

A) just-in-time.
B) kaizen.
C) kanban.
D) ISO.

Question 26

Customer fulfillment begins when

A) an order is received.
B) when the firm's product will be delivered.
C) when the inputs are ready to produce the product.
D) when capacity is evaluated.

Question 27

Which of the following is not a statistical process control tool?

A) Pareto analysis
B) Check sheets
C) Gantt charts
D) Cause-and-effect diagrams

Question 28

The source of standards for defining quality today is the

A) customer.
B) operations department.
C) strategic planning team.
D) internal standards set.

Question 29

The difference between what customers want and what they actually get from the company is known as

A) the learning/doing gap.
B) the quality gap.
C) kaizen.
D) process reengineering.

Question 30

________ ultimately decide what constitutes quality through ________.

A) Customers; purchasing decisions
B) Managers; operations decisions
C) Employees; quality circles
D) Managers; company and employee goals

Question 31

Which of the following is a recommendation for implementing kaizen?

A) Wait until the solutions have been perfected to implement.
B) Do not discard conventional ideas in devising solutions.
C) Focus wisdom on the kaizen process, not money.
D) The knowledge of one person is more valuable than the wisdom of ten people.

Question 32

The basis of ________ is the understanding that all employees and organizational units should be working harmoniously to satisfy the customer.

A) quality circles
B) TQM
C) MRP
D) ORR

Question 33

Releasing orders so that the work is evenly distributed is referred to as

A) partial productivity.
B) ORR.
C) load leveling.
D) customer fulfillment.

Question 34

Quality management techniques

A) are limited to operations management.
B) seldom cut across departmental boundaries.
C) can be used in team performance.
D) all of the above

Question 35

Quality today

A) has become less visible.
B) is often "baked in" to the management process.
C) continues to be critically important to the survival and competitiveness of business.
D) all of the above

Question 36

Common causes of ongoing variances that operations management should correct include which of the following?

A) Scheduling errors
B) Inaccurate documentation
C) Weak designs
D) all of the above

Question 37

The measurement of how well an organization utilizes all of its resources to produce its outputs is known as

A) ORR activity.
B) total factor productivity.
C) partial productivity.
D) TQM.

Question 38

A quality management approach emphasizes

A) the empowerment of workers and their responsibility for the quality of the outcomes of work processes.
B) employee motivation.
C) employee ability levels.
D) a separate quality inspector.

Question 39

Which of the following is not a method of managing quality?

A) Process reengineering
B) Kaizen
C) Just-in-time
D) MRP

Question 40

According to the kaizen principle of continuous improvement, the status quo of the process is the ________ step.

A) innovation
B) maintenance
C) kaizen
D) kanban

Question 41

Facilities layout affects the efficiency of the production system.

Question 42

The kanban system is driven by

A) inventory levels.
B) quality.
C) customer demand.
D) management goals.

Question 43

In fixed-interval reordering systems, the operations manager determines a minimum level of inventory and once this level is reached, inputs are reordered.

Question 44

The value of JIT inventory systems is

A) saving on warehouse space and labor.
B) ensuring financial resources are not tied up in inputs waiting to be used.
C) identifying defects in input rather quickly.
D) all of the above

Question 45

An information technology form of quality management is

A) MRP
B) JIT
C) ERP
D) TQM

Question 46

A form of JIT system that originated in Japan and uses cards to generate inventory is known as

A) ISO
B) kanban
C) kaizen
D) MRP

Question 47

When a plant manager monitors production and randomly checks the quality of the products as they are being produced, he is using

A) feedforward control.
B) concurrent control.
C) feedback control.
D) Deming's wheel.

Question 48

In process reengineering, the firm is viewed as

A) a complete process.
B) an individual area supplying materials to other areas.
C) small increments of ongoing change.
D) separate and distinct processes.

Question 49

The goal of a JIT system is

A) creating the firm's product in the least amount of time.
B) improving the firm's profitability.
C) creating an appropriate strategic plan.
D) developing best practices for quality improvement.

Question 50

One of the main principles of kaizen is

A) finding an appropriate facilities layout.
B) creating a website of best practices.
C) sharing ideas.
D) reducing waste in materials, inventory, production steps, and activities that don't add value.

Question 51

Feedforward control is used to ensure

A) control takes place as the work is being carried out.
B) corrections are made after the process has been completed.
C) problems are prevented before they occur.
D) quality standards are met.

Question 52

Creating capacity that exceeds the amount of products that can be sold is inefficient because unused capacity wastes the firm's resources.

Question 53

A problem experienced with JIT is

A) that having just enough inventory leaves the firm without a buffer.
B) keeping the labor supply stable.
C) maintaining production equipment when demand is higher than expected.
D) all of the above

Question 54

In a JIT system, the firm's inventory of inputs are

A) kept at the lowest level possible.
B) purchased from a single supplier.
C) kept at the highest level possible.
D) kept in nearby warehouses.

Question 55

The bureaucratic control process includes which of the following steps?

A) Establishing standards
B) Identifying shortcomings
C) Taking corrective action
D) all of the above

Question 56

A Y-shaped layout is less amenable to flexible manufacturing then a straight-line layout.

Question 57

The problem of lost cards experienced with the kanban system is addressed with

A) JIT.
B) an electronic kanban system that uses a scanner to read in a code on a container.
C) process reengineering.
D) all of the above

Question 58

A waste-reduction technique that enables the organization to control inputs is

A) using a limited number of suppliers.
B) maximizing facilities layout.
C) creating a best practices website.
D) all of the above

Question 59

Which of the following is true concerning the measurement of performance?

A) Qualitative standards are easier to measure than quantitative standards.
B) Quantitative standards and data can be measured objectively.
C) Qualitative standards are not open to human interpretation.
D) Only quantitative data should be measured for a company to improve its performance.

Question 60

Many of the steps to improve quality and efficiency cut across departmental boundaries.

Question 61

What is flexible manufacturing?

Question 62

In a JIT system, inputs arrive at the organization just before they are needed.

Question 63

What is the advantage of an electronic kanban system over the physical card system?

Question 64

What are the steps that make up the quality approach according to Deming?

Question 65

The kaizen principle of continuous improvement is incorporated into the ISO 9000 standards and is a part of most quality improvement efforts.

Question 66

The least useful type of control is concurrent control.

Question 67

In bureaucratic control, managers seldom use written guidelines to establish internal performance expectations.

Question 68

What is operations management and what are the three stages of operation?

Question 69

What is the role of a firm's suppliers in quality?

Question 70

Discuss the traditional, Western management approach to quality as compared to the quality management philosophy.

Question 71

What are the three basic control types that a manager can exercise?

Question 72

What is a JIT system?

Question 73

Which type of control would have been most helpful to BP in averting the oil spill in the Gulf of Mexico? Why?

Question 74

Explain the three steps in kaizen and the circular nature of the process.

Question 75

Contrast a product, process, and fixed-position layout.

Question 76

Discuss three tools to analyze the steps to determine an efficient sequence and to monitor the process.

Question 77

What are the four steps in the control process?

Question 78

Recently, TQM has become less visible in the organization because it is less important overall.

Question 79

How does total factor productivity differ from partial productivity?

Question 80

What is MRP?