Deck 3: Product Design and Process Selection

Question 1

Lands' End is a well-known benchmarking target because of its __________ .

A)catalog business
B)supply chain management
C)success at resolving complaints
D)labor relations
E)environmental policies

Answer 1

catalog business

Question 2

Involving suppliers early in the design process is called:

A)reengineering
B)disaggregation
C)redesign
D)benchmarking
E)supplier involvement

Answer 2

supplier involvement

Question 3

Which of the following is not a fixed cost?

A)land rent
B)materials
C)overhead
D)taxes
E)insurance

Answer 3

materials

Question 4

___________ is a vital link between customers and product design.

A)Engineering
B)Accounting
C)The Internet
D)Operations
E)Marketing

Question 5

Which of the following is not a step in product design?

A)final design
B)preliminary design and testing
C)idea development
D)conceptual design
E)product screening

Question 6

A company's product design supports its business strategies by

A)designing products that appeal to its customers
B)designing as many products as possible
C)including the company's mission somewhere in the product
D)designing products that aid strategic planning activities
E)designing the company's strategy

Question 7

The ease with which the product can be made is its

A)manufacturability
B)repeatability
C)readiness for manufacturing
D)reliability
E)accountability

Question 8

In 1997,who performed a large benchmarking study for IBM?

A)Boston Consulting Group
B)Anderson Consulting
C)i2 Technologies
D)Mercer Management Consultants
E)Manugistics

Question 9

Which of the following is true regarding the relative predictability of the cycle of new product introductions?

A)new car models are predictable,but new fashion and new skin care products are not
B)new car models and new fashion are predictable,but new skin care products are not
C)new car models,new fashion,and new skin care products are all predictable
D)new car models,new fashion,and new skin care products are all unpredictable
E)new fashion and new skin care products are predictable,but new car models are not

Question 10

Studying the practices of companies considered "best in class" and comparing the performance of our company against their performance is

A)competition
B)copying
C)frustration
D)benchmarking
E)notching

Question 11

What technique is based on computing the quantity of goods a company needs to sell to just cover its costs?

A)net present value
B)break-even analysis
C)internal rate of return
D)activity based costing
E)variable costing

Question 12

Evaluating a product idea to determine its likelihood of success is

A)product screening
B)estimating
C)technological forecasting
D)product windowing
E)product evolution

Question 13

Reverse engineering is:

A)altering the basic design based on user input.
B)reengineering a failing product.
C)acquiring a competitor's product and relabeling it for sale.
D)acquiring a competitor's product and studying its design features.
E)changing your mind on the previous design.

Question 14

In product screening,issues such as "Will we need new facilities and equipment?" and "Can material for production be readily obtained?" are addressed by

A)marketing
B)finance
C)engineering
D)operations
E)accounting

Question 15

Approximately what percentage of ideas do not make it past the screening stage?

A)30%
B)50%
C)60%
D)80%
E)90%

Question 16

Service design differs from product design by including _____________ .

A)customer needs
B)marketing personnel in the decision making process
C)speed
D)quality
E)the esthetic and psychological benefits of the product

Question 17

When designing the Taurus model,what did Ford Motor Company do with regard to BMW and Toyota?

A)benchmarking
B)hired some of their employees
C)reverse engineering
D)copied their quality management techniques
E)bought some of their dealerships

Question 18

All product designs begin with ____________ .

A)a blueprint
B)a cost analysis
C)an idea
D)a feasibility study
E)a focus group

Question 19

Costs that are proportional to the amount of units produced,such as materials and labor,are

A)fixed costs
B)marginal revenue
C)sunk costs
D)cost drivers
E)variable costs

Question 20

In product screening,issues such as,"What is the market size?" and "What is the long term-product potential?" are addressed by:

A)marketing
B)finance
C)engineering
D)operations
E)accounting

Question 21

Which of the following is correct sequence for relating product design,process selection,and arrangement of equipment in the factory?

A)product design determines arrangement of equipment which determines process selection
B)product design determines process selection which determines arrangement of equipment
C)process selection determines product design which determines arrangement of equipment
D)process selection determines arrangement of equipment which determines product design
E)arrangement of equipment determines process selection which determines product design

Question 22

In break-even analysis,what is the break-even point?

A)the quantity where revenue equals total cost
B)the quantity where revenue equals fixed cost
C)the quantity where revenue equals variable cost
D)the quantity beyond which the firm starts to lose money
E)the quantity where variable cost equals fixed cost

Question 23

What type of process is designed to produce a large volume of a standardized product for mass production,such as automobiles?

A)project processes
B)batch processes
C)line processes
D)continuous processes
E)recycle processes

Question 24

Building a bridge over the Mississippi River for a new highway uses a

A)project process
B)batch process
C)line process
D)continuous process
E)recycle process

Question 25

Which type of operation is used to produce many different products with varying process requirements in lower volumes?

A)intermittent
B)repetitive
C)continuous
D)downstream
E)gateway

Question 26

In break-even analysis,in order to make a profit the company must

A)sell above the break-even point
B)sell below the break-even point
C)sell at a loss
D)sell at the break-even point
E)sell on consignment

Question 27

For which of the following is break-even analysis not appropriate?

A)deciding how much of a product must be sold to make a profit
B)evaluating different processes
C)deciding whether it is better to make or buy a product
D)deciding between different products
E)deciding how to allocate overhead

Question 28

If the third stage of a repetitive line process cannot complete its activities as fast as stage one or two it has become a:

A)key work location
B)bottle neck
C)place not to work
D)project process location
E)none of these

Question 29

What type of operations focus on products in the early stage of the life cycle?

A)repetitive
B)downstream
C)gateway
D)intermittent
E)recycle

Question 30

Maturity and decline are also referred to as:

A)the early stages
B)the life cycle
C)the later stages
D)design for manufacture stages
E)re-engineering stages

Question 31

The classes that you are taking at the university use a ___________ process.

A)project
B)batch
C)line
D)continuous
E)recycle

Question 32

With respect to competitive priorities,intermittent operations compete more on _____________ compared to repetitive operations.

A)cost and features
B)durability and cost
C)availability and reliability
D)flexibility and delivery
E)durability and features

Question 33

Which of the following is a tool for evaluating an operation in terms of the sequence of steps from inputs to outputs with the goal of improving its design?

A)operations analysis
B)operations sequencing
C)process flow analysis
D)input/output analysis
E)sequencing analysis

Question 34

During the final design and testing stage:

A)the product design idea is evaluated according to the needs of the major business functions.
B)design engineers hand the product over to the final design engineers.
C)the product specifications are drawn up.
D)marketing becomes involved for the first time.
E)the product achieves full production.

Question 35

Which type of process would be least likely to produce goods for inventory rather than for a specific customer request?

A)project
B)batch
C)line
D)continuous
E)remanufacturing

Question 36

Which of the following is not a guideline for design for manufacture?

A)use modular design
B)design parts for different products
C)minimize parts
D)rely on automated equipment
E)simplify operations

Question 37

Which of the following is not included in the preliminary design and testing stage?

A)the product design idea is evaluated according to the needs of the major business functions
B)design engineers translate general performance specifications into technical specifications
C)"bugs" are worked out
D)revising the design based on test results
E)prototypes are built and tested

Question 38

What refers to the use of common and interchangeable parts?

A)design automation
B)design specification
C)design reduction
D)design standardization
E)design simplification

Question 39

Which of the following is not characteristic of intermittent operations?

A)produce many different products with varying processing requirements
B)capital intensive
C)workers need to be able to perform different tasks depending on the processing needs of the product
D)general purpose equipment
E)volume of goods produced directly tied to number of customer orders

Question 40

Which one of these refers to reducing the number of parts and features of the product whenever possible?

A)design automation
B)design specification
C)design reduction
D)design standardization
E)design simplification

Question 41

What is CAD short for?

A)conceptually appropriate design
B)computer aided design
C)commercial applications design
D)competitive advantage design
E)completely automated design

Question 42

Pre-fabricated furniture with choices of fabric colors is an example of which product and service strategy?

A)assemble-to-deliver
B)make-to-stock
C)assemble-to-order
D)make-to-order
E)make-to-package

Question 43

Services with low customer contact are called _____________ .

A)quasi-manufacturing
B)quasi-services
C)mixed services
D)pure services
E)mixed manufacturing

Question 44

What is an automated material handling system that basically is an automated warehouse?

A)CAD
B)AGV
C)AS/RS
D)FMS
E)CAM

Question 45

What is a small battery-driven truck that is not operated by a human and moves material from location to location?

A)CAD
B)AGV
C)AS/RS
D)FMS
E)CAM

Question 46

Intermittent operations group their resources based on

A)requirements of the product
B)similar operations or functions
C)shape of the shop floor
D)abilities of the labor force
E)the number of machines

Question 47

Compared to intermittent operations,repetitive operations

A)have higher material handling costs
B)have greater efficiency
C)have slower processing rates
D)have more flexibility
E)are less specialized

Question 48

Information Technology does not assist the firm in:

A)information storage
B)information processing
C)information creation
D)intra firm information communication
E)inter firm information communication

Question 49

Which product and service strategy is used to produce standard components that can be combined to customer specifications?

A)assemble-to-deliver
B)make-to-stock
C)assemble-to-order
D)make-to-order
E)make-to-package

Question 50

Which product and service strategy has the longest delivery lead time?

A)assemble-to-deliver
B)make-to-stock
C)assemble-to-order
D)make-to-order
E)make-to-package

Question 51

Vertical integration is a good strategic option for a manufacturing company when

A)it needs several different parts and subassemblies
B)it makes many different products
C)its facilities are obsolete
D)it uses distributed processing
E)it needs one input material in large volumes

Question 52

A technology which uses sensor tags to monitor perishable products is:

A)FMS
B)CAD
C)RFID
D)CAM
E)RF

Question 53

Since services are intangible,the design of the service needs ___________ .

A)to be intangible
B)to be very specific
C)to be in the mind of the customer
D)to be explained to the customer prior to delivery of the service
E)to specify exactly what the customer is supposed to experience.

Question 54

What type of machine is controlled by a computer and can do a variety of tasks,such as drilling,boring,or turning parts of different sizes and shapes?

A)numerically controlled
B)variable turning
C)flexible driven
D)non-calculating
E)next component

Question 55

In manufacturing,a robot typically:

A)resembles a human in appearance
B)has a mechanical arm
C)is mobile
D)has legs
E)is very small

Question 56

What is a type of automation system that provides the flexibility of intermittent operations with the efficiency of repetitive operations?

A)CAD
B)AGV
C)AS/RS
D)FMS
E)CAM

Question 57

What term is used to describe the integration of product design,process planning,and manufacturing using an integrated computer system?

A)CAD/CAM
B)AGV
C)AS/RS
D)FMS
E)CIM

Question 58

Which product and service strategy is typically seen in repetitive operations?

A)assemble-to-deliver
B)make-to-stock
C)assemble-to-order
D)make-to-order
E)make-to-package

Question 59

Which of the following is a disadvantage of automation?

A)inflexibility for product and process changes
B)inconsistency of products
C)inefficiency for producing large volumes
D)harder to monitor quality
E)frequent interruptions of production

Question 60

If a firm's facility layout is not correct it will create:

A)project processes
B)optimum outputs
C)equal number of products
D)inefficiency
E)job satisfaction

Question 61

Company A has a great idea for a product.What is the first step for Company A?

A)do a break-even analysis
B)determine characteristics and features of the product
C)determine the process selection
D)determine characteristics and features of the product and determine the process selection
E)benchmark other similar company's products

Question 62

At the preliminary design and testing stage of new product design,design engineers translate technical specifications into general performance specifications.

Question 63

Product design and process selection decisions are typically made separately.

Question 64

Product design decisions are:

A)purely tactical decisions.
B)mixed tactical and strategic decisions.
C)strategic in nature.
D)only made by the OM department.
E)rarely made.

Question 65

Buying a competitor's new product and studying its design features by disassembling it and analyzing its parts and features is reverse engineering.

Question 66

There is a pure mathematical formula to making the decision to pursue a specific idea.

Question 67

Highly labor intensive services are called _____________ .

A)quasi-manufacturing
B)quasi-services
C)mixed services
D)pure services
E)mixed manufacturing

Question 68

Net present value is based on computing the quantity of goods a company needs to sell to just cover its costs.

Question 69

Analyzing customer preferences is an ongoing process.

Question 70

A series of stages that products pass through in their lifetime,characterized by changing product demands over time is defined as

A)Development life cycle
B)Design program
C)Product life cycle
D)Services life cycle
E)Product life methodology

Question 71

The steps in the product design process include
a)Idea Development,Product Screening,Break-even analysis,Build
b)Idea Development,Benchmarking,Preliminary Design,Final Design
c)Seek Competitors Design Specs,Product Screening,Manufacture,Sell
d)Seek Customer Input,Product Screening,Testing,Final Design
e)Idea Development,Product Screening,Preliminary Design & Testing,Final Design

Question 72

To remain competitive,companies must be innovative and bring out new products regularly.

Question 73

One source of new product ideas is a product manager.

Question 74

Which type of operational function represents an Assemble-to-Order?

A)wedding invitations
B)corporate training
C)airline flights
D)legal services
E)vacation packages

Question 75

Understanding the stages of the life cycle is not important for product design purposes.

Question 76

What are the three elements of the service package?

A)physical goods,sensual benefits,and psychological benefits
B)sales,return policy,and warranty
C)customer service,return policy,and warranty
D)kindness,information provision,and speed
E)physiological benefits,sensual benefits,and psychological benefits

Question 77

Why is a process flowchart useful?

A)for designing a product
B)for determining where the strengths are in a process
C)for determining where the weaknesses are in a process
D)for seeing the totality of the operation and for identifying potential problem areas
E)for benchmarking against other processes

Question 78

What are the three different service designs that are described in the chapter?

A)substitute people for technology; get the customer involved,high customer attention approach
B)customer-based market research,high customer attention approach,substitute technology for people
C)customer-based market research,high customer attention approach,gets the customer involved
D)substitute people for technology,customer-based market research,and high customer attention approach
E)substitute technology for people; get the customer involved,high customer attention approach

Question 79

Firms that have areas that have little customer contact and others with high customer contact are classified as _________ services.

A)pure services
B)quasi-manufacturing
C)quasi-services
D)mixed services
E)manufacturing

Question 80

Benchmarking should only be performed against firms in similar lines of business with our own.