Operations Strategy Test Preparation - 2523 Verified Questions

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Operations Strategy

Test Preparation

Course Introduction

Operations Strategy explores the critical role of operations in achieving organizational objectives and sustaining long-term competitive advantage. The course examines the alignment of operations decisions with business strategy, covering topics such as capacity planning, process design, supply chain management, technology integration, and innovation. Students learn how to analyze complex operational challenges, evaluate strategic trade-offs, and implement frameworks to improve efficiency and responsiveness. By integrating case studies and real-world examples, the course equips students with the skills to design and manage operations that support overall business goals in both manufacturing and service environments.

Recommended Textbook operations management 5th edition by r. dan reid

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20 Chapters

2523 Verified Questions

2523 Flashcards

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Chapter 1: Introduction to Operations

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132 Verified Questions

132 Flashcards

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Sample Questions

Q1) The Industrial Revolution started in the 1770s with the development of a number of inventions that relied on machine power instead of human power.

A)True

B)False

Answer: True

Q2) How has information technology tools helped with supply chain management?

Answer: They enable collaborative planning and scheduling.They allow synchronized supply chain execution and design collaboration,and they allow companies to respond better and faster to changing market needs.

Q3) What was Frederick W.Taylor's background?

A)physics

B)human resources management

C)operations research

D)psychology

E)engineering

Answer: E

Q4) What are the three major functions through which every business is managed?

Answer: finance,marketing,and operations management

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Chapter 2: Operations Strategy and Competitiveness

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130 Flashcards

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Sample Questions

Q1) McDonald's and Pizzerias compete on the same "order winners".

A)True

B)False

Answer: False

Q2) Which of the following is not described in the chapter as one of the major environmental trends that firms should monitor?

A)marketplace trends

B)global climate trends

C)economic trends

D)political trends

E)social trends

Answer: B

Q3) As long as the firm always meets the order qualifier classification it will be always be competitive and win competitive bid opportunities

A)True

B)False

Answer: False

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Chapter 3: Product Design and Process Selection

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128 Flashcards

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Sample Questions

Q1) The ease with which the product can be made is its

A)manufacturability

B)repeatability

C)readiness for manufacturing

D)reliability

E)accountability

Answer: A

Q2) 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

Answer: C

Q3) What are the guidelines for design for manufacture?

Answer: Use modular design,design parts for different products,minimize parts,simplify operations,and avoid tools

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Chapter 4: E-Commerce and Supply Chain Management

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138 Flashcards

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Sample Questions

Q1) What does ESI stand for?

A)Easy supplier integration

B)Early stage initiation

C)Every supplier's important

D)Early supplier involvement

E)Engaged supply initiative

Q2) What term refers to the mission or objectives of a partnership?

A)Impact

B)Intimacy

C)Dream

D)Conception

E)Vision

Q3) ________,________,________ are critical factors in successful partnering.

Q4) A company can use traditional financial measures such as return on investment to measure supply chain performance.

A)True

B)False

Q5) Taxation is a particularly challenging e-commerce problem because of

Q6) What are the four causes of the bullwhip effect?

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Chapter 5: Total Quality Management

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Sample Questions

Q1) The most important factor in the success or failure of TQM efforts is the _____ of the organization's _____.

Q2) The Malcolm Baldrige Award criteria category that includes continuous improvement programs,employee training,and functioning of teams is

A)Leadership

B)Strategic planning

C)Information and analysis

D)Human resource development and management

E)Business results

Q3) Suppose that a product has three parts,each of which must work in order for the product to function.The reliabilities of the parts are .898,.933,and .946,respectively.What is the reliability of the product?

Q4) External failure costs include

A)Scrap

B)Litigation costs resulting from product liability issues

C)Rework

D)Quality inspections

E)Employee training

Q5) The old concept of quality involved ________________________

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Chapter 6: Statistical Quality Control

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Sample Questions

Q1) If the upper control limit for a c-chart is 28 and the lower control limit is 4,what is the average number of defects per sample?

A)16

B)12

C)5.29

D)7.29

E)4

Q2) What are the two types of control charts for variables?

A)p and c

B)x-bar and p

C)x-bar and R

D)R and c

E)p and R

Q3) A control chart y-axis represents the quality characteristic that is being monitored.

A)True

B)False

Q4) What is a c-chart?

Q5) What does "OC" stand for?

Q6) The computed AOQ provides a sense of the ______________ of the product

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Chapter 7: Just-In-Time and Lean Systems

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Sample Questions

Q1) Matt Dillon works for a production facility that makes ball point pens.His job is to place the spring on the central ink insert.He is expected to process 200 inserts per hour.The factory uses a Kanban production system with containers that hold 50 inserts.It takes 30 minutes for Frank to receive the inserts from the previous work station.How many Kanbans are needed?

Q2) Often the best quality problem resolution solution involves a complex answer as the organization is a complex organization.

A)True

B)False

Q3) What are the three major elements of JIT?

Q4) Successfully implementing JIT requires that it be done as quickly as possible.

A)True

B)False

Q5) JIT is often mistakenly assumed to

A)refer to the final assembly schedule only

B)dictate the product standards specification

C)refer to only just-in-time manufacturing

D)be a core element of ISO 9000 requirements

E)be driven by the finance department long range spending plan

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Chapter 8: Forecasting

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126 Flashcards

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Sample Questions

Q1) Which of the following is not typically done jointly by CPFR trading partners?

A)set forecasts

B)plan production

C)replenish inventories

D)raise capital

E)evaluate their success in the marketplace

Q2) The MSE is always greater than or equal to the MAD.

A)True

B)False

Q3) Which of the following forecasting methods is specifically designed to go through several rounds of modification before generating a final forecast?

A)Exponential smoothing

B)Executive opinion

C)Delphi method

D)Naïve method

E)Gamma method

Q4) Multiple regression is a(n)___________ of linear regression.

Q5) What is a correlation coefficient?

Q6) What are the two categories of quantitative models?

Q7) What are the five basic steps in the forecasting process?

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Chapter 9: Capacity Planning and Facility Location

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137 Flashcards

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Sample Questions

Q1) Disadvantages of globalization include ________________________________.

A)use of cheap labor in certain countries

B)increased stigma due to locating factories overseas

C)reduction of trade barriers

D)increased sales in foreign markets

E)political risks for countries with unstable governments

Q2) Two sizes are being considered for a new facility,medium and large.Discuss best operating level in this context.

Q3) Which of the following is not a quality-of-life factor?

A)climate

B)a desirable lifestyle

C)good schools

D)a low crime rate

E)room for customer parking

Q4) An example of an output measure of capacity is labor hours.

A)True

B)False

Q5) Input measures of capacity work better when a company produces a single product.

A)True

B)False

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Chapter 10: Facility Layout

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Sample Questions

Q1) A process layout is seen in companies with continuous processing systems.

A)True

B)False

Q2) A predecessor can be worked in parallel with a successor.

A)True

B)False

Q3) Which of the following is more like a product layout as compared to a process layout?

A)Resources used are general purpose.

B)Facilities are less capital intensive.

C)Processing rates are slower.

D)Space requirements for inventory storage are higher.

E)Scheduling resources is less challenging.

Q4) The number of trips or products moved between pairs of departments is recorded in a ____________________.

Q5) Typically,an REL chart is more subjective than a from-to matrix.

A)True

B)False

Q6) Cycle time assumes that each workstation has ____________ time to work on a product.

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Chapter 11: Work System Design

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123 Flashcards

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Sample Questions

Q1) For the step in a time study that involves breaking the job down into easily recognizable elements,each of these elements should ________________.

A)overlap

B)not be stand-alone

C)not involve the worker

D)have clear starting and ending points

E)be semi-continuous

Q2) Determining if the best financial opportunity is to have an individual perform the task or automate the task is which of the following?

A)Technical Feasibility

B)Behavioral Feasibility

C)Activity Based Accounting Feasibility

D)Job Enrichment Feasibility

E)Economic Feasibility

Q3) What are the approaches to eliminating employee boredom? Briefly describe each.

Q4) An advantage of using predetermined time data is that you can calculate standard times before the job begins.

A)True

B)False

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Chapter 12: Independent Demand Inventory Management

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Sample Questions

Q1) In a periodic review system,if you are basing your time between orders on the EOQ,what should be its length in weeks?

A)EOQ / 52

B)EOQ / average weekly demand

C)average weekly demand / EOQ

D)52 / EOQ

E)(EOQ)(average weekly demand)

Q2) What costs are considered in the quantity discount model?

A)annual ordering costs + annual holding costs

B)annual purchasing costs + annual holding costs + annual ordering costs

C)annual ordering costs + annual holding costs + annual shortage costs d.annual purchasing costs + annual ordering costs + annual shortage costs e.ordering costs per order + annual holding costs

Q3) What inventory function protects against supply shortages?

Q4) When is the basic EOQ model a special case of the EPQ model?

A)The demand per day approaches the demand per year.

B)The production rate per day approaches 0.

C)The production rate per day approaches infinity.

D)The back order cost approaches infinity.

E)d/p = 1.

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Chapter 13: Aggregate Planning

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Sample Questions

Q1) In the level production plan you do not add ______,_____ or ______ to meet peak demand.

Q2) A difficulty with back orders,even when the customer waits,can be ________________.

A)finding space to store the product

B)extra administrative costs

C)added inventory holding costs

D)possible deterioration of the product

E)that other customers will want back orders also

Q3) The next level down in the planning process after development of the aggregate plan is the _____________.

A)materials requirements plan

B)engineering plan

C)rough-cut capacity plan

D)master production schedule

E)purchasing plan

Q4) If the marketing plan does not meet the strategic business objectives,top management and marketing revise either the _________ or the ___________.

Q5) Subcontracting has unattractive ________________________ effects.

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Chapter 14: Resource Planning

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Sample Questions

Q1) List the major users of ERP systems.

Q2) The MRP input listing the intermediate assemblies,subassemblies,component parts,raw materials,and the quantities of each needed to produce one final product is the ___________________________.

A)authorized master production schedule

B)bill of materials file

C)inventory records file

D)part status file

E)assembly time chart

Q3) An end item has no parents.

A)True

B)False

Q4) Selection of the lot size rule to be used should be based on minimizing ____________________.

A)the order size

B)late shipments

C)total processing time

D)quality problems

E)the sum of ordering and carrying costs

Q5) What are some technological motivations for implementing ERP systems?

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Chapter 15: Scheduling

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131 Flashcards

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Sample Questions

Q1) When were Gantt charts developed?

A)early 1800s

B)early 1900s

C)early 1920s

D)early 1940s

E)early 1960s

Q2) What is the formula for makespan?

Q3) Which of the following is a measure of how long after the due date the job is completed?

A)job belatedness

B)mean flow time

C)makespan

D)job overdueness

E)job tardiness

Q4) What does makespan measure?

A)WIP inventory

B)due-date performance

C)the amount of time it takes to finish a batch of jobs

D)job tardiness

E)job lateness

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Chapter 16: Project Management

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Sample Questions

Q1) List and briefly describe the phases in the project life cycle.

Q2) In making a backward pass through a network,activity L has an activity time of 4 and immediately precedes activities M,P,and T.The late start times for activities M,P,and T are 22,17,and 27,respectively.The late finish times for activities M,P,and T are 29,27,and 33,respectively.What is the late start time for activity L?

A)13

B)17

C)22

D)33

E)37

Q3) One way of wasting safety time in the critical chain approach is multitasking,which involves ___________.

A)waiting until the last minute to start a project

B)interaction among project activities

C)having the computer operating system do everything

D)using a person or resource for more than one project

E)reversing the order of the activities

Q4) What are the steps involved in using network planning techniques?

Q5) PERT stands for ___________________.

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Chapter 17: Spreadsheet Modeling: an Introduction

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Sample Questions

Q1) There are a number of different model types which do not share any commonalities.

A)True

B)False

Q2) The most common form of models are mathematical models.

A)True

B)False

Q3) Which of the following is not one of the standard items included in a footer?

A)worksheet name

B)author name

C)solution time

D)date

E)time

Q4) A _________________ is a picture or diagram identifying controllable and uncontrollable inputs and outputs.

Q5) The MATCH function in Excel returns the relative position in the array that matches the lookup value.

A)True

B)False

Q6) The sample standard deviation is found by using the Excel ___________ function.

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Chapter 18: Introduction to Optimization

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Sample Questions

Q1) When formulating optimization problems,which of the following represent the typical sequence?

A)(1)text-based formulation,(2)diagram,(3)algebraic formulation

B)(1)text-based formulation,(2)algebraic formulation,(3)diagram C)(1)diagram,(2)algebraic formulation,(3)text-based formulation

D)(1)diagram,(2)text-based formulation,(3)algebraic formulation

E)(1)algebraic formulation,(2)diagram,(3)text-based formulation

Q2) Describe what steps one should use if the Solver Results box says,"The conditions for Assume Linear Model are not satisfied"?

Q3) The text-based formulation of an optimization problem should state what three things?

A)decision variables,random variables,and parameters

B)decision variables,objective function,and constraints

C)decision variables,random variables,and constraints

D)decision variables,random variables,and objective function

E)random variables,parameters,and objective function

Q4) After running a Linear Program in Excel Solver,what message do you hope to see in the "Solver Results" box?

Q5) When is a Linear Program unbounded?

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Chapter 19: Waiting Line Models

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129 Flashcards

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Sample Questions

Q1) Waiting line priority rules determines _________ customer is served _________.

Q2) Implementing process improvements or dedication of additional resources is one way to improve:

A)priority rule applications

B)the number of lines required

C)server efficiency

D)service facilities

E)arrival rates

Q3) If only two cars can physically fit between the ordering and pay window of a fast-food drive-through,the waiting line system has a ____ _____ waiting line.

A)constrained server

B)finite size

C)infinite size

D)multi-phase

E)single service

Q4) Large-scale waiting line systems discrete-event simulation is run to _____ the behavior of the system.

Q5) In a single-line,multi-server,single phase model,customers form a ________ line.

Q6) What are the five characteristics that define a service system?

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Chapter 20: Master Scheduling and Rough-Cut Capacity Planning

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Sample Questions

Q1) In MPS terminology,what is another name for the current period?

A)the hot seat

B)the live wire

C)the live basket

D)the empty buck

E)the action bucket

Q2) A primary objective of the master production schedule is to achieve the desired customer service level.

A)True

B)False

Q3) The ______ _____ shows how many products or services are planned for each time period.

Q4) What term refers to proven capacity calculated from actual performance data?

A)manifested capacity

B)established capacity

C)demonstrated capacity

D)confirmed capacity

E)affirmed capacity

Q5) Discuss the Master scheduler responsibility.

Q6) Discuss how the MPS is evaluated in terms of cost. Page 22

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