Deck 8: Producing Quality Goods and Services

Question 1

Reducing production costs by selecting suppliers that offer higher-quality raw materials and components at reasonable prices is one way U.S. firms are trying to become more competitive in the global marketplace.

Answer 1

True

Question 2

The degree to which resources are physically changed is referred to as the focus of a production process.

Answer 2

False

Question 3

Basic research consists of activities undertaken specifically to put new or existing knowledge to use in producing goods and services.

Answer 3

False

Question 4

A typical planning horizon for many firms is one year.

Question 5

Scheduling involves both routing and timing of production activities.

Question 6

A manufacturing process that combines raw materials or components to create a finished product is referred to as a(n)

A) synthetic process.
B) technological process.
C) analytical process.
D) manufacturing utility.
E) productivity measure.

Question 7

A(n) __________ line is a group of similar products that differ only in relatively minor characteristics.

A) operation
B) process
C) product
D) fixed
E) capital-intensive

Question 8

Inventory control is concerned about

A) holding costs and manufacturing units.
B) holding costs and storage costs.
C) statistical quality control and storage costs.
D) timing and routing.
E) routing and manufacturing costs.

Question 9

A(n) __________ system combines robotics and computer-integrated manufacturing in a single production process.

A) computer-aided design
B) computer-aided manufacturing
C) Six Sigma
D) automated
E) flexible manufacturing

Question 10

Although the number of manufacturing jobs in the United States has declined, productivity is

A) the highest in the world.
B) currently a negative number.
C) pretty impressive, with productivity increasing due to innovation and increased output per worker.
D) lagging behind the productivity growth rates of such countries as Italy and Japan.
E) the lowest in the world.

Question 11

Today, the American economy is characterized as a service economy.

Question 12

The U.S. productivity growth rate has fallen in recent years.

Question 13

Operations managers often refer to the resource or resources that comprise the major or most important input as the

A) analytical process.
B) synthetic process.
C) magnitude of change.
D) focus of the production.
E) quality control process.

Question 14

__________ consists of activities aimed at uncovering new knowledge and scientific advancement.

A) Basic research
B) Applied research
C) Developmental research
D) Implementation
E) Product research

Question 15

Product __________ is the development of a plan for converting a product idea into an actual product.

A) line
B) automation
C) capacity
D) design
E) specification

Question 16

Groups of employees who meet on company time to solve problems are

A) quality squares.
B) quality circles.
C) performance committees.
D) productivity rounds.
E) inspection teams.

Question 17

ISO 9000 standards help a firm to

A) reduce government regulation.
B) become environmentally stable.
C) improve quality management.
D) use robotics and computer-aided design.
E) become more capital-intensive.