Question 1

Which factor helped create a greater and critical focus on the OM function:

Accepted Answer

Global competition and supply chain management have both contributed to a greater and critical focus on the OM function. Global competition requires companies to be more efficient and effective in their operations in order to remain competitive. Supply chain management has also become a crucial aspect of operations as companies seek to streamline and optimize their supply chains to reduce costs and improve customer satisfaction. Both of these factors have led to a greater emphasis on the OM function and its importance in overall business success.

Question 2

Operations management (OM) is responsible for producing products in a cost-effective and __________ way.

Accepted Answer

Operations management is responsible for managing the production process efficiently in order to reduce costs and increase profitability. The focus is on optimizing resources, increasing productivity, and improving quality while minimizing waste and unnecessary expenses. A cost-effective approach is essential for the long-term success of any business.

Question 3

The design of service processes should include the following elements:

Accepted Answer

The design of service processes typically includes physical, sensual, and psychological elements to ensure a comprehensive customer experience.

Question 4

When designing facility layout, the _______ layout fits best with intermittent processes:

Accepted Answer

The process layout is best suited for intermittent processes because it groups together similar processes or machines, allowing for the handling of varied products or job types. This flexibility is ideal for operations where the production volume is not consistent or where there is a need to produce a variety of products.

Question 5

Design for manufacturing (DFM) guidelines focus on ________ and ________:

Accepted Answer

DFM guidelines focus on simplifying the manufacturing process and standardizing parts and processes to reduce costs and improve quality.

Question 6

A consumer who purchases a Dell computer would be a customer of which type of operation:

Accepted Answer

Dell is a computer manufacturer, therefore a consumer who purchases a Dell computer would be a customer of a manufacturing operation.

Question 7

Understanding a the evolution of a product, from introduction to maturity, is known as:

Accepted Answer

The description provided matches the concept of the product life cycle management, which involves understanding the different stages involved in a product's evolution, from introduction to maturity, and adapting strategies to meet each stage's needs. Choice A is about managing the time required to complete a cycle, choice B is about involving multiple teams and disciplines simultaneous in design and development, choice C is about refurbishing or repairing an existing product, and choice D is about designing a product with the manufacturing process in mind.

Question 8

___________ is the facility layout that would best fit with the production of a jumbo jetliner.

Accepted Answer

The production of a jumbo jetliner involves assembling a large and complex product that cannot be easily moved around. Therefore, a fixed position layout would be the most appropriate choice for producing a jumbo jetliner. This layout involves bringing all necessary materials, equipment, and labor to a fixed location where the product is assembled.

Question 9

The _______ process type should be used when producing to very specific customer needs:

Accepted Answer

The answer of The _______ process type should be used...

Question 10

Product and process design together can impact:

Accepted Answer

Both product and process design have a significant impact on the quality, cost, and customer satisfaction of a product or service. Product design affects the quality and customer satisfaction by determining the features and attributes of a product that satisfy the needs and preferences of customers. Process design plays a crucial role in improving efficiency, reducing costs, and ensuring high-quality outputs that meet customer expectations. Thus, both product and process design are essential to achieving the desired quality, cost, and customer satisfaction outcomes.

Question 11

The __________ nature of a service makes product design more complex:

Accepted Answer

The intangible nature of a service refers to the fact that services cannot be touched, seen or felt. As a result, designing a service requires the consideration of a wide range of factors such as the service environment, customer expectations, and the interactions between the customers and service providers. This makes service design significantly more complex than product design.

Question 12

The OM decision about ____________ relates to how the product or service will be produced:

Accepted Answer

Process design refers to the decisions made regarding how a product or service will be produced, including factors such as equipment and resource allocation, work flow, and quality control measures.

Question 13

An effective product design process should encompass four steps, including:

Accepted Answer

The four steps in an effective product design process are typically identified as: product screening, concept testing, business analysis, and product development. Customer relationship management could be a part of the business analysis step, but it is not one of the four main steps. Psychological benefit analysis and standardization are not typically included as steps in the product design process. Therefore, the correct answer is only B) Product screening.

Question 14

An example of an OM decision would be:

Accepted Answer

Both B and C are examples of operational decision making within a company. The decision of where to locate a factory is a significant operational decision as it can impact factors such as transportation costs, availability of resources, and tax incentives. Similarly, scheduling workers is an important operational decision as it directly impacts productivity, efficiency and employee satisfaction. Therefore, option E is the best choice as it includes both operational decisions. A is a marketing decision, and D is a strategic decision, neither of which fall under the umbrella of operational decision making.

Question 15

OM plays a critical role in a company's supply chain because it:

Accepted Answer

Operations management is responsible for producing and delivering the product or service. It involves planning, organizing, and controlling various operational activities of the company, such as production, inventory management, quality control, and logistics. Effective operations management is critical to a company's success because it ensures that the product or service is delivered to the customer in a timely, efficient, and cost-effective manner.

Question 16

A __________ process focuses on providing product customization:

Accepted Answer

Intermittent processing focuses on providing product customization, as it involves producing small batches of unique products. This type of process is common in industries such as aerospace, furniture, and custom-designed clothing. Repetitive processing focuses on producing large quantities of standard products, while standardized processing focuses on producing large quantities of identical products with consistent quality. Late stage processes refer to processes that occur towards the end of a product's life cycle.

Question 17

_________ processes produce small quantities of products in groups based on particular specifications or customers:

Accepted Answer

Batch processes produce small quantities of products in groups based on particular specifications or customers.

Question 18

The variable cost of a new computer keyboard is $25 per unit, and the fixed costs to produce the keyboard are $20,000 per year. If the selling price of the keyboard is $45, how many units must the company sell to break even?

Accepted Answer

To break even, the total revenue must equal the total costs. The fixed costs are $20,000, and the variable cost per unit is $25. The selling price per unit is $45. The break-even point in units is calculated as: Fixed Costs / (Selling Price - Variable Cost) = $20,000 / ($45 - $25) = 1000 units.

Question 19

The _________ stage of the product design process may include early supplier involvement:

Accepted Answer

The idea development stage of the product design process may include early supplier involvement. This is because suppliers can provide valuable input on the feasibility and cost of manufacturing a product, which can help to inform the design process.

Question 20

Features of a repetitive process include:

Accepted Answer

Repetitive processes are typically capital-intensive, utilizing machinery and equipment to produce standardized products efficiently.

Quiz 5: Operations Management