Strategic Operations
Textbook Exam Questions
Course Introduction
Strategic Operations focuses on the design and management of processes and systems that deliver the goods and services of organizations. The course explores how operational decisions align with broader business strategies to create competitive advantage, examining topics such as process analysis, supply chain management, capacity planning, quality improvement, and innovation. Students learn to evaluate operations from a strategic perspective, understand key trade-offs, and utilize analytical tools for performance measurement and optimization. Real-world case studies and simulations help illustrate the connection between operational excellence and organizational success in both manufacturing and service industries.
Recommended Textbook Operations Management 11th Edition by William
J. Stevenson
Available Study Resources on Quizplus
25 Chapters
2405 Verified Questions
2405 Flashcards
Source URL: https://quizplus.com/study-set/2678
Page 2
Chapter 1: Introduction to Operations Management
Available Study Resources on Quizplus for this Chatper
70 Verified Questions
70 Flashcards
Source URL: https://quizplus.com/quiz/53444
Sample Questions
Q1) Operations managers are responsible for assessing consumer wants and needs and selling and promoting the organization's goods or services.
A)True
B)False
Answer: False
Q2) Budgeting, analysis of investment proposals, and provision of funds are activities associated with the _______ function.
A)operation
B)marketing
C)purchasing
D)finance
E)internal audit
Answer: D
Q3) Operations management and marketing are the two functional areas that exist to support activities in other functions such as accounting, finance, IT and human resources.
A)True
B)False
Answer: False
To view all questions and flashcards with answers, click on the resource link above.
Page 3
Chapter 2: Competitiveness, Strategy, and Productivity
Available Study Resources on Quizplus for this Chatper
73 Verified Questions
73 Flashcards
Source URL: https://quizplus.com/quiz/53443
Sample Questions
Q1) The majority of our textbook deals with tactical operations that support established functional strategies.
A)True
B)False
Answer: True
Q2) One major shortcoming of the Balanced Scorecard is that it doesn't tend to take into account sustainability issues.
A)True
B)False
Answer: True
Q3) In an assembly operation at a furniture factory, six employees assembled an average of 450 standard dining chairs per 5-day week.What is the labor productivity of this operation?
A)90 chairs/worker/day
B)20 chairs/worker/day
C)15 chairs/worker/day
D)75 chairs/worker/day
E)none of the above
Answer: C
To view all questions and flashcards with answers, click on the resource link above.
Page 4
Chapter 3: Forecasting
Available Study Resources on Quizplus for this Chatper
164 Verified Questions
164 Flashcards
Source URL: https://quizplus.com/quiz/53442
Sample Questions
Q1) One reason for using the Delphi method in forecasting is to:
A)avoid premature consensus (bandwagon effect)
B)achieve a high degree of accuracy
C)maintain accountability and responsibility
D)be able to replicate results
E)prevent hurt feelings
Answer: A
Q2) For new products in a strong growth mode, a low alpha will minimize forecast errors when using exponential smoothing techniques.
A)True
B)False
Answer: False
Q3) Accuracy in forecasting can be measured by:
A)MSE
B)MRP
C)MAPE
D)MTM
E)A & C
Answer: E
To view all questions and flashcards with answers, click on the resource link above.
Page 5
Chapter 4: Product and Service Design
Available Study Resources on Quizplus for this Chatper
77 Verified Questions
77 Flashcards
Source URL: https://quizplus.com/quiz/53441
Sample Questions
Q1) One of the main advantages of standardization is that it increases the potential variety of products.
A)True
B)False
Q2) One approach to extending a product's life cycle is to promote alternate uses of the product.
A)True
B)False
Q3) Which of the following is not true about re-manufacturing?
A)Re-manufactured products can be sold at lower cost.
B)The process requires mostly unskilled and semiskilled workers.
C)There is less depletion of natural resources.
D)It produces high quality products easily.
E)Re-manufacturing is mainly carried out by small and mid-sized companies.
Q4) The three Rs - Reduce, Re-use and Recycle - are more applicable in service design than in product design.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 6
Chapter 5: Strategic Capacity Planning for Products and Services
Available Study Resources on Quizplus for this Chatper
103 Verified Questions
103 Flashcards
Source URL: https://quizplus.com/quiz/53439
Sample Questions
Q1) If this new blood analysis machine has design and effective capacities of 6,000 and 5,000 blood analyses per year, respectively, and Dr.J.expects to perform 4,500 HIV blood analyses each year, what will be the utilization of this machine?
A)0%
B)75%
C)83%
D)90%
E)100%
Q2) What is the break-even quantity (produced and sold)?
Q3) Which of the following is not a strategy to manage service capacity?
A)hiring extra workers
B)backordering
C)pricing and promotion
D)part time workers
E)subcontracting
Q4) What are total revenues for the break-even quantity?
Q5) What profit (loss) would there be for a quantity of 10,000?
Q6) Utilization is defined as the ratio of effective capacity to design capacity.
A)True
B)False Page 7
To view all questions and flashcards with answers, click on the resource link above.
Page 8
Chapter 6: Process Selection and Facility Layout
Available Study Resources on Quizplus for this Chatper
151 Verified Questions
151 Flashcards
Source URL: https://quizplus.com/quiz/53437
Sample Questions
Q1) If departments A through D were to be located in areas 1 through 4, respectively, what would be the total distance loads would be moved each month?
Q2) The term computer aided manufacturing (CAM) refers primarily to the use of robotics in process control.
A)True
B)False
Q3) If transportation costs are $.25 per load per foot moved, what are total monthly costs for an optimum layout?
Q4) What are total weekly costs for an optimum layout?
A)$3,100
B)$3,600
C)$6,200
D)$7,200
E)$8,200
Q5) Group technology is closely connected to cellular manufacturing. A)True
B)False
Q6) What is the minimum possible cycle time?
Q7) What is the total flow between departments B and D?
To view all questions and flashcards with answers, click on the resource link above. Page 9
Chapter 7: Work Design and Measurement
Available Study Resources on Quizplus for this Chatper
151 Verified Questions
151 Flashcards
Source URL: https://quizplus.com/quiz/53436
Sample Questions
Q1) What is the effect of an increase in the desired confidence level on the number of observations necessary in a time study?
A)increases
B)decreases
C)unaffected
D)may increase or decrease, depending on the sample standard deviation
E)impossible to say without additional information
Q2) For a confidence level of 95.44% and a maximum error of .04, what should be the sample size for estimating the proportion of time spent performing activity B?
Q3) How many observations should be made if she wants to be 0.8664 confident that the maximum error in the observed time is 0.5 second? Assume that the standard deviation of the task time is 4 seconds.
A)10
B)12
C)120 D)144 E)169
Q4) What is the estimated proportion of time this worker spends performing activity A?
To view all questions and flashcards with answers, click on the resource link above.
10
Chapter 8: Location Planning and Analysis
Available Study Resources on Quizplus for this Chatper
80 Verified Questions
80 Flashcards
Source URL: https://quizplus.com/quiz/53434
Sample Questions
Q1) What would be total annual costs for the Alpha Ave.location with twenty persons living there?
A)$5,400
B)$4,000
C)$5,000
D)$7,000
E)$9,000
Q2) What are total costs for site B for a quantity of 5,000 units per year?
Q3) The lower cost of foreign labor is often offset by lower levels of productivity.
A)True
B)False
Q4) What is the composite score for location C?
A)76
B)75
C)78
D)74
E)76.33
Q5) Advanced communications has aided globalization. A)True
B)False
11
To view all questions and flashcards with answers, click on the resource link above.
Chapter 9: Management of Quality
Available Study Resources on Quizplus for this Chatper
102 Verified Questions
102 Flashcards
Source URL: https://quizplus.com/quiz/53432
Sample Questions
Q1) The typical difference between "quality circles" and "continuous improvement teams" is ________.
A)Quality circles work on product design only
B)Continuous improvement teams work on product and process design
C)Continuous improvement teams use only engineers while quality circles use just the workers doing the work
D)the amount of employee empowerment
E)There is no difference-they are just the same
Q2) ISO 9000 standards do not have a requirement for ________.
A)resource
B)remedial
C)systems
D)training
E)management
Q3) User instructions and follow-up services after delivery are important elements of overall product or service quality.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
12
Chapter 10: Quality Control
Available Study Resources on Quizplus for this Chatper
141 Verified Questions
141 Flashcards
Source URL: https://quizplus.com/quiz/53431
Sample Questions
Q1) Studies on a bottle-filling machine indicates it fills bottles to a mean of 16 ounces with a standard deviation of 0.10 ounces.What is the process specification, assuming the Cpk index of 1?
A)0.10 ounces
B)0.20 ounces
C)0.30 ounces
D)16.0 ounces plus or minus 0.30 ounces
E)none of the above
Q2) What is the estimate of the standard deviation of the sampling distribution for an instructor's sample proportion of failures?
A).0075
B).03
C).075
D).3
E).75
Q3) "Assignable variation" is variation due to a specific cause, such as tool wear.
A)True
B)False
Q4) An operator collected the following time series data from a process:
Q5) What is the sample proportion of defectives for sample #1? #2? #3?
To view all questions and flashcards with answers, click on the resource link above. Page 13
Chapter 11: Aggregate Planning and Master Scheduling
Available Study Resources on Quizplus for this Chatper
81 Verified Questions
81 Flashcards
Source URL: https://quizplus.com/quiz/53429
Sample Questions
Q1) A master production schedule quantity of 300 units will arrive in week 6.Weekly demand over weeks 3 through 10 is forecasted at 50 units.At present, orders have been booked in various quantities in weeks 1, 2, 3 and 4.What is the available to promise for week 6?
A)50
B)6
C)300
D)100
E)Cannot be determined without projected on-hand information
Q2) Given the projected demands for the next six months, prepare an aggregate plan that uses inventory, regular time and overtime, and backorders.The plan must wind up with no units in ending inventory in Period 6.Regular time capacity is 150 units per month.Overtime capacity is 20 units per month.Overtime cost is $30 per unit, backorder cost is $20 per unit, inventory holding cost is $5 per unit, regular time cost of $20 per unit, and beginning inventory is zero.
Q3) What is total regular time capacity?
Q4) Use either the transportation method or linear programming to develop an optimum aggregate plan, given the following data:
Q5) What are total overtime costs?
To view all questions and flashcards with answers, click on the resource link above. Page 14
Chapter 12: MRP and ERP
Available Study Resources on Quizplus for this Chatper
89 Verified Questions
89 Flashcards
Source URL: https://quizplus.com/quiz/53428
Sample Questions
Q1) The output of MRP is:
A)gross requirements
B)net requirements
C)a schedule of requirements for all parts and end items
D)inventory reorder points
E)economic order quantities and reorder points
Q2) The master schedule needs to be for a period long enough to cover the stacked or cumulative lead time necessary to produce the end items.
A)True
B)False
Q3) When should an order for Carved Chocolate Eggs be released?
A)at the start of week 2
B)at the start of week 3
C)at the start of week 4
D)at the start of week 5
E)at the start of week 6
Q4) Low level coding represents items less than $18 per unit.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 15
Chapter 13: Inventory Management
Available Study Resources on Quizplus for this Chatper
162 Verified Questions
162 Flashcards
Source URL: https://quizplus.com/quiz/53427
Sample Questions
Q1) What is the economic order quantity for pepperoni?
A)20 pounds
B)40 pounds
C)60 pounds
D)80 pounds
E)100 pounds
Q2) If unsold copies can be returned for half credit and copies sell for $4.25 each, find the optimal stocking level.
Q3) The rate of demand is an important factor in determining the ROP.
A)True
B)False
Q4) The EOQ model is most relevant for which one of the following?
A)ordering items with dependent demand
B)determination of safety stock
C)ordering perishable items
D)determining fixed interval order quantities
E)determining fixed order quantities
Q5) Cycle counting can be used in motorcycle inventory control.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 16
Chapter 14: Jit and Lean Operations
Available Study Resources on Quizplus for this Chatper
88 Verified Questions
88 Flashcards
Source URL: https://quizplus.com/quiz/53426
Sample Questions
Q1) Preventive maintenance will eliminate the need to carry supplies of spare parts.
A)True
B)False
Q2) Limited WIP lowers inventory carrying costs but reduces flexibility.
A)True
B)False
Q3) In the lean philosophy, the larger the lot size, the easier it is to schedule.
A)True
B)False
Q4) The four building blocks of lean operations are: product design, process design, personnel/organizational elements, and manufacturing planning and control.
A)True
B)False
Q5) A successful conversion to a lean system requires that the conversion:
A)be done as quickly as possible
B)begin at the start of the process and work forward
C)convert vendors to lean as one of the last steps
D)reduce setup times as one of the last steps
E)all of the above
To view all questions and flashcards with answers, click on the resource link above. Page 17
Chapter 15: Supply Chain Management
Available Study Resources on Quizplus for this Chatper
89 Verified Questions
89 Flashcards
Source URL: https://quizplus.com/quiz/53424
Sample Questions
Q1) Which of the following is a principle required for ethical behavior in purchasing?
A)loyalty to employer.
B)justice to those you deal with.
C)faith in your profession.
D)all of the above.
E)none of the above.
Q2) In supply chain organizations, functions must operate independently of each other.
A)True
B)False
Q3) One important objective of purchasing is to:
A)set quality standards for purchased items
B)be knowledgeable about new products
C)maintain numerous sources of supply
D)obtain the lowest prices on all purchased items
E)determine the processes that should be used
Q4) E-commerce involves business-to-business (B2B) interaction only.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 18
Chapter 16: Scheduling
Available Study Resources on Quizplus for this Chatper
134 Verified Questions
134 Flashcards
Source URL: https://quizplus.com/quiz/53423
Sample Questions
Q1) Priority rules are widely used to sequence jobs in high-volume systems. A)True B)False
Q2) In developing the sequence that will minimize throughput time, where in the schedule sequence should job W be placed?
Q3) The assignment model seeks an optimum matching of tasks and resources. A)True B)False
Q4) Using the information below, determine the following: (A) processing sequence using (1) SPT and (2) EDD rules (B) average completion time and average job tardiness under each rule
Q5) Loading is the determination of which work centers should perform which jobs. A)True B)False
Q6) If these jobs were scheduled in the sequence shown, what would be the throughput time?
Q7) What is the result of modifying the row and column reductions table?
Q8) The costs to do each of the three jobs on three alternate pieces of equipment are given below.Determine the job-equipment combination that will minimize total cost.
To view all questions and flashcards with answers, click on the resource link above. Page 19
Chapter 17: Project Management
Available Study Resources on Quizplus for this Chatper
137 Verified Questions
137 Flashcards
Source URL: https://quizplus.com/quiz/53422
Sample Questions
Q1) Simulation can be used for cases in which network activity times are dependent.
A)True
B)False
Q2) What is the estimated expected (mean) time for Activity E?
A)31 weeks
B)38 weeks
C)39 weeks
D)40 weeks
E)43 weeks
Q3) Which of the following is determined as a direct result of computing the earliest starting and finishing times for the activities of a project network?
A)expected project duration
B)activity slack time
C)which activities are on the critical path
D)variance in project duration
E)maximum project duration
Q4) What are the estimated standard deviations (in weeks) in the times for activities A-H?
Q5) In crashing this project, which activity should be the first to be reduced?
Q6) What is the estimated expected (mean) time (in weeks) for project completion?
Page 20
To view all questions and flashcards with answers, click on the resource link above.
Chapter 18: Management of Waiting Lines
Available Study Resources on Quizplus for this Chatper
81 Verified Questions
81 Flashcards
Source URL: https://quizplus.com/quiz/53421
Sample Questions
Q1) An approach to reducing the variability in processing times might include greater standardization.
A)True
B)False
Q2) What is the average number of machines down with one operator?
A)1.49
B)3.35
C)4.40
D)6.65
E)8.51
Q3) What is the average number of low priority items waiting in line for service?
Q4) Which of the following would reduce perceived waiting times most dramatically in a doctor's office?
A)putting all clocks out of sight
B)removing couches
C)having the patient fill out forms
D)implementing a "no-cell-phone" policy
E)keeping expected waiting times from the patients
Q5) What is the overall average arrival rate?
Q6) What is average time in the system for a high priority item?
21
To view all questions and flashcards with answers, click on the resource link above.
Chapter 19: Linear Programming
Available Study Resources on Quizplus for this Chatper
105 Verified Questions
105 Flashcards
Source URL: https://quizplus.com/quiz/53420
Sample Questions
Q1) Non-binding constraints are not associated with the feasible solution space; i.e., they are redundant and can be eliminated from the matrix.
A)True
B)False
Q2) For the production combination of 180 Root beer and 0 Sassafras soda, which resource is "slack" (not fully used)?
A)production time (only)
B)carbonated water (only)
C)both production time and carbonated water
D)neither production time and carbonated water
E)cannot be determined exactly
Q3) The term "range of feasibility" refers to coefficients of the objective function.
A)True
B)False
Q4) What is the optimum production combination and its profits?
Q5) What is the constraint for resource I?
Q6) What is the constraint for resource III?
Q7) What is the objective function?
To view all questions and flashcards with answers, click on the resource link above. Page 22
Chapter 20: Extension 4: Reliability
Available Study Resources on Quizplus for this Chatper
10 Verified Questions
10 Flashcards
Source URL: https://quizplus.com/quiz/53440
Sample Questions
Q1) A system consists of two components, each of which must activate if the system is to activate.One component has a reliability of .99.The other has a reliability of .95.The components are independent of one another with respect to reliability.What is the overall system reliability?
A).99
B).95
C).94
D).90
E)Cannot be determined with this information.
Q2) Product reliability involves both short-term and long-term perspectives.
A)True
B)False
Q3) Reliability is the probability that a product or system will function when activated. A)True
B)False
Q4) Redundancy is often more cost-effective than increasing individual component reliability.
A)True B)False
To view all questions and flashcards with answers, click on the resource link above. Page 23
Chapter 21: Extension 5: Decision Theory
Available Study Resources on Quizplus for this Chatper
126 Verified Questions
126 Flashcards
Source URL: https://quizplus.com/quiz/53438
Sample Questions
Q1) If she uses the maximin criterion, which advertising strategy will she use?
A)print
B)mixed
C)television
D)either print or mixed
E)either mixed or television
Q2) If she feels that there is a 60% chance that the new cable network will be successful, what is her expected cost (per thousand "hits") under certainty?
A)$3.40
B)$4.60
C)$8.00
D)$9.00
E)$10.00
Q3) The expected value approach applies to decision-making under uncertainty.
A)True
B)False
Q4) The value of perfect information is inversely related to losses predicted.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 24
Chapter 22: Extension 7: Learning Curves
Available Study Resources on Quizplus for this Chatper
68 Verified Questions
68 Flashcards
Source URL: https://quizplus.com/quiz/53435
Sample Questions
Q1) A manager is trying to estimate the learning rate for a new job.The first unit took 16 hours and the fourth unit required about 13 hours.The learning rate is:
A)70%
B)75%
C)80%
D)85%
E)90%
Q2) How long did it take to produce the first unit?
A)5 hours
B)6 hours
C)6.25 hours
D)6.33 hours
E)6.5 hours
Q3) Approximately how long will it take to produce the 15<sup>th</sup> unit?
A)4.3 hours
B)5.5 hours
C)4.7 hours
D)6.9 hours
E)3.4 hours
To view all questions and flashcards with answers, click on the resource link above.
Page 25
Chapter 23: Extension 8: The Transportation Model
Available Study Resources on Quizplus for this Chatper
20 Verified Questions
20 Flashcards
Source URL: https://quizplus.com/quiz/53433
Sample Questions
Q1) Dummy rows or columns to equate supply and demand are available but not required in linear programming models of transportation problems.
A)True
B)False
Q2) Which of the following is not an assumption of the transportation model?
A)Actual supply and demand must be equal.
B)Shipping costs per unit are constant per unit.
C)Items to be shipped are homogeneous.
D)There is only one transportation route between each source and destination.
E)There is only one transportation mode between each source and destination.
Q3) The transportation model method for evaluating location alternatives minimizes total:
A)sources
B)destinations
C)capacity
D)demand
E)shipping cost
Q4) The transportation model assumes similar, homogeneous goods.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 26
Chapter 24: Extension 10: Acceptance Sampling
Available Study Resources on Quizplus for this Chatper
65 Verified Questions
65 Flashcards
Source URL: https://quizplus.com/quiz/53430
Sample Questions
Q1) The ability of an acceptance sampling plan to discriminate between good and bad lots is described by its operating characteristic curve.
A)True
B)False
Q2) A good sampling plan will occasionally reject a lot with very good quality.
A)True
B)False
Q3) If he uses an acceptance sampling plan of n = 8 and c = 1, what is the probability that, if this lot is 10% defective, it will be accepted for shipment without inspection?
A).9619
B).9428
C).8131
D).4305
E).1869
Q4) The purpose of acceptance sampling is to decide whether a batch of items satisfies pre-determined standards.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Chapter 25: Extension 14: Maintenance
Available Study Resources on Quizplus for this Chatper
38 Verified Questions
38 Flashcards
Source URL: https://quizplus.com/quiz/53425
Sample Questions
Q1) The major approaches used in plans to deal with breakdowns include all of the following except:
A)standby equipment
B)inventories of spare parts
C)operator repair of minor problems
D)readily available repair personnel
E)All of these are major approaches.
Q2) Ideally, preventive maintenance will be performed:
A)after a planned inspection
B)after the passage of a specified period of time
C)after a predetermined number of operating hours
D)just prior to the start of the workday
E)just prior to a breakdown or failure
Q3) In the area of maintenance, the Pareto phenomenon is reflected in the fact that, regardless of problem classification, all equipment will justify about the same expense.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
28