Deck 1: Introduction

Question 1

OSCM is a functional field of business with clear line management responsibilities.

Answer 1

True

Question 2

OSCM is concerned with management of the trickiest parts of the system that produces a good or delivers a service.

Answer 2

False

Question 3

Operations and supply chain management is defined as the design, operation, and improvement of the systems that create and deliver the firm's primary products and services.

Answer 3

True

Question 4

"Supply chain" includes only inbound freight and inventory.

Question 5

The term "value" refers to the relationship between quality and the price paid by the consumer.

Question 6

A process can be effective without being efficient.

Question 7

The supply chain processes mentioned in the textbook are planning, sourcing, delivering, and returning.

Question 8

Central to the concept of operations strategy are the notions of operations focus and trade-offs.

Question 9

It is critical that a sustainable strategy meet the needs of shareholders and employees first, and then focus on preserving the environment.

Question 10

The supply network can be thought of as a pipeline through which cash, material, and information flow.

Question 11

Supply networks cannot be constructed for every product or service.

Question 12

A doctor completes a surgical procedure on a patient without error. The patient dies anyway. In operations management terms, we could refer to this doctor as being efficient but not effective.

Question 13

Attempting to balance the desire to efficiently use resources while providing a highly effective service may create conflict between the two goals.

Question 14

All managers should understand the basic principles that guide the design of transformation processes.

Question 15

Effectiveness means doing the right things to create the most value for the company.

Question 16

A worker can be efficient without being effective.

Question 17

"Supply chain" refers to processes that move information and material to and from the manufacturing and service processes of the firm.

Question 18

Planning is where a firm must determine how anticipated demand will be met with available resources.

Question 19

Although planning involves determining how the various supply chain processes (sourcing, making, delivering, and returning) will be met, planning itself is not considered a supply chain process.

Question 20

"Operations" refers to manufacturing and service processes used to transform resources employed by a firm into products desired by customers.

Question 21

Automobiles and appliances are classified as "pure goods."

Question 22

Core service providers integrate tangible goods into their product.

Question 23

Services are intangible processes that cannot be weighed or measured.

Question 24

The Baldrige National Quality Award was started under the direction of the National Institute of Standards and Technology.

Question 25

Services are defined and evaluated as a package of features that affect the five senses.

Question 26

Internet technology has made the sharing of reliable real-time information expensive.

Question 27

Operations and supply management changes constantly because of the dynamic nature of competing in global business and the constant evolution of information technology.

Question 28

Use of systems like point-of-sale, radio-frequency identification tags, bar-code scanners, and automatic recognition has made it more difficult to understand what all the information is saying.

Question 29

Service innovations can be patented.

Question 30

Delivering is not considered in supply chain analysis when outside carriers are contracted to move products to customers.

Question 31

Lean manufacturing refers to just-in-time production coupled with total quality control.

Question 32

In contrast to careers in finance and marketing, careers in OSCM involve hands-on involvement with people and processes.

Question 33

"Product-service bundling" refers to a company building service activities into its product offerings for its customers.

Question 34

Operations and supply chain processes can be conveniently categorized as planning, sourcing, making, and delivering.

Question 35

A supply chain manager is an OSCM job while a purchasing manager is not.

Question 36

Capturing information directly from the source through such systems as point-of-sale, radio-frequency identification tags, bar-code scanners, and automatic recognition has had little impact on operations and supply chain management.

Question 37

A major aspect of planning involves developing a set of metrics to monitor the supply chain.

Question 38

Just-in-time (JIT) production was a major breakthrough in manufacturing philosophy pioneered by the Japanese.

Question 39

Services are homogeneous.

Question 40

Returning involves processes for receiving worn-out, defective, and excess products back from customers but does not involve support for customers who have problems with the product.

Question 41

The term "electronic commerce" refers to the use of the Internet as an essential element of business activity.

Question 42

The approach that advocates making revolutionary changes as opposed to evolutionary changes is called "business process reengineering."

Question 43

Green and black belt programs teach six-sigma quality tools to managers at many corporations.

Question 44

Services cannot be stored.

Question 45

The term "electronic commerce" refers to the buying and selling of electronic products and devices.

Question 46

"Business analytics" involves the analysis of data through a unique combination of linear programming, game theory, and queuing theory to better solve business problems.

Question 47

The central idea of supply chain management is to apply a total system approach to managing the flow of information, materials, and services from raw material suppliers through factories and warehouses to the end customer.

Question 48

Business process reengineering, which seeks revolutionary change, is contrasted with total quality management which commonly advocates incremental change.

Question 49

The goods-services continuum consists of which set of the following categories?

A) No goods, some goods, even mix, some service, no service
B) Pure goods, core goods, core services, pure services
C) No service, some service, good service, excellent service
D) Self-service, help desk service, face-to-face service, service-with-a-smile
E) None of these choices are correct

Question 50

The approach that advocates making revolutionary changes as opposed to evolutionary changes is called "creation theory."

Question 51

Sustainability is the ability to maintain profits in a system.

Question 52

The mathematical results of Business Analytics are used to automate decision making and eliminate the decision maker.

Question 53

Service does not require interaction with the customer.

Question 54

Which of the following are defined as core goods?

A) Chemicals
B) Airlines
C) Data storage systems
D) Hotels
E) None of these choices are correct

Question 55

One reason for studying operations and supply chain management (OSCM) is which of the following?

A) OSCM is essential for understanding organizational behavior.
B) Most business graduates do OSCM work regardless of their job title.
C) All managers should understand the basic principles that guide the design of transformation processes.
D) OSCM is a required course in all business degree programs.
E) OSCM is the most rigorous business discipline.

Question 56

Which of the following is not a characteristic that distinguishes services from goods?

A) Service jobs are unskilled.
B) A service is intangible.
C) Services are perishable.
D) Services are heterogeneous.
E) None of these choices are correct

Question 57

Which of the following are not listed in the text as jobs in OSCM?

A) Department store manager
B) Project manager
C) Hospital administrator
D) Data center manager
E) Call center manager

Question 58

"Green belt" programs are coordinated public works projects aimed a placing an environmentally friendly zone around major cities.

Question 59

Which of the following is not a way that operations and supply processes are categorized?

A) Planning
B) Return
C) Delivery
D) Selecting
E) Making

Question 60

The "triple bottom line" relates to the economic, employee, and environmental impact of a firm's strategy.

Question 61

Which of the following is a measure of operations and supply management efficiency used by Wall Street?

A) Dividend payout ratio
B) Current ratio
C) Receivable turnover
D) Earnings per share growth
E) Financial leverage

Question 62

_____ involves processes for receiving worn-out, defective, and excess products back from customers and support for customers who have problems with delivered products.

A) Planning
B) Sourcing
C) Making
D) Delivering
E) Returning

Question 63

One of the "package of features" that make up a service is:

A) appearance
B) facilitating goods
C) packaging
D) cost
E) implied use

Question 64

The correct order in the good-services continuum is

A) pure services - core Services - core goods - pure goods.
B) pure goods - pure services - core services - core goods.
C) pure goods - pure services - core goods - core services.
D) pure goods - core goods - core services - pure services.
E) core goods - core services - pure goods - pure services.

Question 65

Which of the following is not a "Core Service"?

A) Hotels
B) Airlines
C) Internet service providers
D) Universities

Question 66

_____ consists of the processes needed to operate an existing supply chain strategically.

A) Planning
B) Sourcing
C) Making
D) Delivering
E) Returning

Question 67

This concept aggressively seeks to eliminate causes of production defects.

A) Manufacturing strategy
B) Just-in-time
C) Total quality control
D) Lean manufacturing
E) Total quality management

Question 68

_____ is where carriers are picked to move products to warehouses and customers, coordinate and schedule the movement of goods and information through the supply network, develop and operate a network of warehouses, and run the information systems.

A) Planning
B) Sourcing
C) Making
D) Delivering
E) Returning

Question 69

What is known as managing the entire organization so it excels in all dimensions of products and services important to the customer?

A) Manufacturing strategy
B) Just-in-time
C) Total quality control
D) Lean manufacturing
E) Total quality management

Question 70

Which of the following is not a measure of operations and supply chain management efficiency used by Wall Street?

A) Inventory turnover
B) Revenue per employee
C) Receivable turnover
D) Earnings per share
E) Asset turnover

Question 71

The goods-services continuum consists of which set of the following categories?

A) No goods, some goods, even mix, some service, no service
B) Pure goods, core goods, core services, pure services
C) No service, some service, good service, excellent service
D) Self-service, help desk service, face-to-face service, service-with-a-smile
E) None of these choices are correct

Question 72

Inventory turnover measures:

A) the efficiency in turning inventory into sales.
B) liquidity.
C) the speed of receivables collection.
D) liquidity and the efficiency in turning inventory into sales.
E) none of the these.

Question 73

This philosophy is an integrated set of activities designed to achieve high-volume production using minimal inventories of parts that arrive exactly when they are needed.

A) Manufacturing strategy
B) Just-in-time
C) Total quality control
D) Lean manufacturing
E) Total quality management

Question 74

All other things remaining the same, if the sales revenue increases, asset turnover ratio will

A) increase.
B) decrease.
C) stay the same.
D) may increase or decrease.
E) there is no way to tell for sure.

Question 75

What is the term that emphasizes how a factory's capabilities could be used strategically to gain advantage over a competing company?

A) Manufacturing strategy
B) Just-in-time
C) Total quality control
D) Lean manufacturing
E) Total quality management

Question 76

This philosophy seeks to achieve high customer service with minimum levels of inventory investment.

A) Manufacturing strategy
B) Just-in-time
C) Total quality control
D) Lean manufacturing
E) Total quality management

Question 77

_____ is where the major product is produced or the service provided.

A) Planning
B) Sourcing
C) Making
D) Delivering
E) Returning

Question 78

_____ involves the selection of suppliers that will deliver the goods and services needed to create the firm's product.

A) Planning
B) Sourcing
C) Making
D) Delivering
E) Returning