Question 1

________ is the measure of how well an organization is using its resources (inputs)to produce goods and services (outputs).
A) Profit
B) Turnover
C) Productivity
D) Work standardization

Accepted Answer

Productivity is the measure of efficiency in converting inputs into outputs. It measures how well an organization is utilizing its resources - time, labor, energy, capital, and materials - to produce goods and services. Profit measures the financial gain of the organization, turnover is the total amount of revenue a company generates through its business operations, and work standardization is the process of establishing a uniform way of performing tasks. Therefore, the best choice is C - Productivity.

Question 2

Which of the following leads to cost reduction?
A) productivity
B) excess inventory
C) customer satisfaction
D) high demand

Accepted Answer

Productivity leads to cost reduction as it improves efficiency and reduces wastage of resources. Excess inventory, customer satisfaction, and high demand may not necessarily lead to cost reduction.

Question 3

Which of the following is true of time and motion studies?
A) It does not involve reviewing any activity done in the organization.
B) It is less accurate than work sampling techniques as a method to determine time standards.
C) It follows the motto of working smart but not hard.
D) It is a popular way of determining the percentage of time spent on each activity during a working day.

Accepted Answer

The answer of Which of the following is true of...

Question 4

Orange County Choppers (OCC)is a production motorcycle manufacturer based in Orange County.Orange County Choppers has garnered worldwide praise and recognition for their custom motorcycles.Which of the following production processes do they use?
A) small batch
B) job shop
C) assembly line
D) continuous flow

Accepted Answer

Orange County Choppers uses a job shop production process, where custom motorcycles are made to order for specific customers with unique specifications and designs.

Question 5

The ________ allows a company to capture the highest economies of scale.
A) job shop production process
B) small batch production process
C) assembly-line production process
D) continuous flow production process

Accepted Answer

The continuous flow production process, also known as mass production or a production line, is designed for large-scale production of standardized products. It is characterized by high-speed, low-variety, and repetitive production. This process allows for the efficient use of resources, reducing production costs per unit, and increasing economies of scale. Therefore, it is the ideal choice for a company to capture the highest economies of scale.

Question 6

Scott Refinery,based in Washington,processes approximately three hundred thousand barrels of crude oil a day.Which production process does it follow?
A) job shops
B) continuous flow production
C) small batch processes
D) assembly-line processes

Accepted Answer

Scott Refinery's production of three hundred thousand barrels of crude oil a day indicates that it follows a continuous flow production process, where the products are produced continuously without interruption.

Question 7

Economies of scale occur when the per-unit cost of production falls as a firm's output increases.How is this commonly achieved?
A) when the company suffers from a dip in the demand for its products or services
B) when the company has certain fixed costs that do not change with the rise or fall in units produced
C) when the company has a predetermined order of tasks to be completed
D) when the managers of a company have an autocratic approach to leadership

Accepted Answer

Economies of scale are achieved when the cost per unit of production decreases as output increases. This is because certain costs, such as overhead and capital investments, can be spread out over a larger number of units. This is commonly seen in manufacturing industries where fixed costs, such as equipment and facility costs, remain the same regardless of the level of production. Therefore, as output increases, the fixed costs are spread out over more units, resulting in lower per-unit costs.

Question 8

Hot Oven Bakery has an order for 1000 boxes of chocolate chip cookies from Shoprite supermarkets.They also have an order for 300 boxes of gingersnaps.Which of the production processes is Hot Oven Bakery most likely to follow?
A) continuous flow production
B) small batch processes
C) job shops
D) assembly-line processes

Accepted Answer

Small batch processes are suitable for producing a moderate quantity of goods, like the 1000 boxes of cookies, allowing for flexibility and efficiency in handling different types of products.

Question 9

Lotus Cars uses a manufacturing process in which individual steps in the assembly of the product are carried out by workers or machines as the product is moved along.Which manufacturing process is Lotus Cars using?
A) continuous flow production
B) assembly-line processes
C) job shops
D) small batch processes

Accepted Answer

Lotus Cars is using assembly-line processes where workers or machines perform individual steps in the assembly of the product as it moves along the line.

Question 10

________ are commonly used for setting standards for repetitive,well-defined jobs.
A) Just-in-time systems
B) Time and motion studies
C) Work sampling techniques
D) Critical path methodologies

Accepted Answer

Time and motion studies are commonly used to setting standards for repetitive, well-defined jobs. These studies involve breaking down a task into individual steps and measuring how long each step takes to complete, in order to identify potential areas for improvement and establish a standard time for completing the task.

Question 11

________ are achieved when the per-unit allocation of fixed costs and,therefore,the total cost per unit go down as more units are produced.
A) Economies of scale
B) Econometrics
C) Quality installments
D) Utilization increments

Accepted Answer

Economies of scale refer to the cost advantages that result from increasing the scale of production, where the per-unit allocation of fixed costs decreases as more units are produced. This results in a lower total cost per unit and improved efficiency. The other options do not relate to this concept.

Question 12

A ________ is the amount of time it takes a trained employee to complete a specific activity or process.
A) unit of labor
B) work standard
C) work-sample index
D) level of effort measurement

Accepted Answer

A work standard is a predetermined time for completing a specific task or process based on an analysis of time, motion, and method studies. It is used to establish the expected level of performance, monitor progress, and identify areas for improvement. A unit of labor refers to the amount of work performed by an employee in a given period. A work-sample index is a method for assessing job performance by measuring the number of times an employee completes specific tasks within a set time frame. A level of effort measurement is a broader concept that encompasses the amount of resources, including time and labor, required to complete a project or achieve a specific goal.

Question 13

Globalization of business leads to ________.
A) increase in cost of production
B) lower profit margins
C) high pricing power for companies
D) more choices for customers

Accepted Answer

The globalization of business leads to more choices for customers as companies expand their operations and reach beyond their local markets. This can result in increased competition and pressure on businesses to offer better products, services, and pricing to attract and retain customers. While there may be some increased costs associated with globalization, such as logistics and supply chain management, it can also lead to new opportunities for companies to innovate, collaborate, and grow their business. Overall, globalization can be both a challenge and an opportunity for businesses in today's highly connected and dynamic global marketplace.

Question 14

________ occur when a firm gets more experienced at making a product and develops greater insight about how to do the task more efficiently.
A) Learning effects
B) Economies of scale
C) Work standards
D) Capacity expansions

Accepted Answer

Learning effects occur when a firm gains experience and knowledge about how to perform a task more efficiently. This can lead to a reduction in costs and increased productivity. Economies of scale refer to the cost advantages that come from producing in large quantities, work standards are guidelines for how a task should be performed, and capacity expansions involve increasing a firm's production capabilities.

Question 15

A group of 30 students attends a particular class for a predetermined amount of time and gain knowledge inputs.This is an example of which of the following?
A) learning effects
B) small batch processes
C) job shops
D) assembly-line processes

Accepted Answer

The answer of A group of 30 students attends a...

Question 16

Cars,computers,and cameras are all examples of products that are typically made via ________.
A) job shop processes
B) small batch processes
C) assembly-line processes
D) continuous flow processes

Accepted Answer

Cars, computers, and cameras are all mass-produced products that require high volumes of identical items to be produced quickly and efficiently, which is best achieved through assembly-line processes. Job shop processes are used in customized, low-volume production. Small batch processes are used for moderate volume production, and continuous flow processes are used in high-volume production of identical items with little variation in design.

Question 17

Which of the following production processes is the most flexible?
A) job shop
B) small batch
C) assembly line
D) continuous flow

Accepted Answer

Job shop production processes are the most flexible as they are able to produce a wide variety of products with varying requirements through customized production processes. This allows job shops to cater to unique and specialized demands of customers. Small batch production is also flexible, but it is not as versatile as job shops. Assembly line and continuous flow production processes are suitable for mass production of standardized products, but they lack flexibility to adjust to changing customer demands.

Question 18

In a ________,automation of a production line is achieved by controlling and guiding all machinery with computers.
A) continuous process system (CPS)
B) flexible manufacturing system (FMS)
C) manufacturing monitoring system (MMS)
D) manufacturing integration system (MIS)

Accepted Answer

A flexible manufacturing system (FMS) allows for automated production by controlling and guiding machinery with computers. A continuous process system (CPS) is also automated, but uses a constantly running process rather than discrete steps. A manufacturing monitoring system (MMS) is a system that tracks the various stages of production but does not necessarily control or guide machinery. A manufacturing integration system (MIS) is a broader term that refers to the integration of various systems across an entire manufacturing operation.

Question 19

Which of the following is true of work sampling methods?
A) They work best with repetitive, well-defined jobs.
B) They are more accurate than time and motion studies.
C) They cannot identify areas that require improvement.
D) They use observation sheets and trained observers.

Accepted Answer

Work sampling methods use observation sheets and trained observers to collect data on work performance. They are particularly useful for jobs that involve non-repetitive tasks or varying workloads, and can identify areas that require improvement. However, they are generally less accurate than time and motion studies for measuring specific tasks or activities.

Question 20

________ involves sampling the activities performed by an employee or group of employees at random times throughout a work shift.
A) Work sampling
B) Random sampling
C) Productivity analysis
D) Studying time and motion

Accepted Answer

Work sampling involves randomly sampling the activities of employees throughout a shift to determine their productivity levels. Random sampling and studying time and motion may be components of work sampling, but they do not fully capture the essence of this technique. Productivity analysis is a broader term that encompasses various methods of assessing organizational efficiency, of which work sampling is one technique.

Quiz 13: Operations Management

________ is the measure of how well an organization is using its resources (inputs) to produce goods and services (outputs) .

Which of the following leads to cost reduction?

Which of the following is true of time and motion studies?

Orange County Choppers (OCC) is a production motorcycle manufacturer based in Orange County.Orange County Choppers has garnered worldwide praise and recognition for their custom motorcycles.Which of the following production processes do they use?

The ________ allows a company to capture the highest economies of scale.

Scott Refinery,based in Washington,processes approximately three hundred thousand barrels of crude oil a day.Which production process does it follow?

Economies of scale occur when the per-unit cost of production falls as a firm's output increases.How is this commonly achieved?

Hot Oven Bakery has an order for 1000 boxes of chocolate chip cookies from Shoprite supermarkets.They also have an order for 300 boxes of gingersnaps.Which of the production processes is Hot Oven Bakery most likely to follow?

Lotus Cars uses a manufacturing process in which individual steps in the assembly of the product are carried out by workers or machines as the product is moved along.Which manufacturing process is Lotus Cars using?

________ are commonly used for setting standards for repetitive,well-defined jobs.

________ are achieved when the per-unit allocation of fixed costs and,therefore,the total cost per unit go down as more units are produced.

A ________ is the amount of time it takes a trained employee to complete a specific activity or process.

Globalization of business leads to ________.

________ occur when a firm gets more experienced at making a product and develops greater insight about how to do the task more efficiently.

A group of 30 students attends a particular class for a predetermined amount of time and gain knowledge inputs.This is an example of which of the following?

Cars,computers,and cameras are all examples of products that are typically made via ________.

Which of the following production processes is the most flexible?

In a ________,automation of a production line is achieved by controlling and guiding all machinery with computers.

Which of the following is true of work sampling methods?

________ involves sampling the activities performed by an employee or group of employees at random times throughout a work shift.