Test Bank for Operations Management, 11E, Global Edition, Jay Heizer, Barry Render

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Test Bank for Operations Management, 11E, Global Edition, Jay Heizer, Barry Render. Note : this is not a text book. Description: ISBN-13: 978-0132921145 ISBN-10: 0132921146.


Chapter 1: Operations and Productivity

1) Which of the following are the primary functions of all organizations?
A) production/operations, marketing, and human resources
B) marketing, human resources, and finance/accounting
C) sales, quality control, and production/operations
D) marketing, production/operations, and finance/accounting
E) research and development, finance/accounting, and purchasing

2) Which of the following pioneers was NOT making a professional impact during the Scientific Management Era?
A) Frank Gilbreth
B) W. Edwards Deming
C) Henry L. Gantt
D) Lillian Gilbreth
E) Frederick W. Taylor

3) Which of the following would NOT be an operations function in a commercial bank?
A) auditing
B) teller scheduling
C) maintenance
D) collection
E) check clearing

4) The marketing function’s main concern is with:
A) producing goods or providing services.
B) procuring materials, supplies, and equipment.
C) building and maintaining a positive image.
D) generating the demand for the organization’s products or services.
E) securing monetary resources.

5) Which of the following tasks within an airline company are related to operations?
A) crew scheduling
B) international monetary exchange
C) sales
D) advertising
E) accounts payable

6) What is a global network of organizations and activities that supply a firm with goods and services?
A) supply tree
B) provider network
C) supply chain
D) vendor network
E) vendor tree

7) Which of the following fosters specialization and worldwide supply chains?
A) more expensive transportation
B) instant communication
C) economies of scope
D) managers with a broad knowledge of many things
E) high trade tariffs

8) Reasons to study operations management include:
A) studying how people organize themselves for productive enterprise.
B) knowing how goods and services are consumed.
C) understanding what human resource managers do.
D) learning about a costly part of the enterprise.
E) A and D

9) Reasons to study operations management include learning about:
A) how people organize themselves for productive enterprise.
B) how goods and services are produced.
C) what operations managers do.
D) a costly part of the enterprise.
E) all of the above.

10) What are the five elements in the management process?
A) plan, direct, update, lead, and supervise
B) accounting, finance, marketing, operations, and management
C) organize, plan, control, staff, and manage
D) plan, organize, staff, lead, and control
E) plan, lead, organize, manage, and control

Chapter 2: The Global Environment and Operations Strategy

1) Which of the following statements regarding the Dreamliner 787 is true?
A) Boeing has found partners in over a dozen countries.
B) The new aircraft incorporates a wide range of aerospace technologies.
C) The new aircraft uses engines from not one, but two manufacturers.
D) Boeing will add only 20 to 30 percent of the aircraft’s value.
E) All of the above are true.

2) Boeing’s new 787 Dreamliner:
A) is assembled in Washington, D.C.
B) uses engines from Japan.
C) has its fuselage sections built in Australia.
D) has increased efficiency from new engine technology.
E) results from a partnership of about a dozen companies.

3) Cost cutting in international operations can take place because of:
A) lower taxes and tariffs.
B) lower wage scales.
C) lower indirect costs.
D) less stringent regulations.
E) all of the above.

4) Which of the following did the authors NOT suggest as a reason for globalizing operations?
A) reduce costs
B) improve the supply chain
C) pursue stockholder approval ratings
D) understand markets
E) attract and retain global talent

5) Multinational organizations can shop from country to country and cut costs through:
A) lower wage scales.
B) lower indirect costs.
C) less stringent regulations.
D) lower taxes and tariffs.
E) all of the above.

6) The term maquiladora is most synonymous with:
A) free trade zones in Mexico.
B) Chinese forced labor camps.
C) home-based or cottage industry.
D) areas that do not meet U.S. standards for workplace safety and pollution.
E) tax breaks provided by some South American countries to other South American countries.

7) Which of the following is true of maquiladoras?
A) They discourage foreign businesses from outsourcing.
B) They assess tariffs only on the value-added work done.
C) They originated in China.
D) None of the above
E) All of the above

8) Which of the following represents a reason for globalizing operations?
A) to improve the supply chain
B) to improve operations
C) to expand a product’s life cycle
D) to attract and retain global talent
E) all of the above

9) Which of the following does NOT represent a valid reason for globalizing operations?
A) reduce costs
B) improve the supply chain
C) reduce responsiveness
D) attract and retain global talent
E) understand markets

10) The purpose of NAFTA is to:
A) substitute cheap labor in Mexico for expensive labor in the United States.
B) curb illegal immigration from Mexico to the United States.
C) phase out all trade and tariff barriers between North America and South America.
D) phase out all trade and tariff barriers between the United States, Canada, and Mexico.
E) provide fair and equitable tariff rates for trade between the United States, Canada, and Mexico.

Chapter 3: Managing Projects

1) Which of the following statements regarding Bechtel is true?
A) Its competitive advantage is project management.
B) Bechtel was the construction contractor for the Hoover Dam.
C) While helping to rebuild Iraq, Bechtel’s crews had to travel under armed escort.
D) Bechtel’s procurement program is global in nature.
E) All of the above are true.

2) Which of the following statements about Bechtel is true?
A) Even though Bechtel is over 100 years old, the Kuwaiti oil fields was its first “project.”
B) Bechtel is the world’s premier manager of massive construction and engineering projects.
C) Bechtel’s competitive advantage is supply chain management.
D) While its projects are worldwide, its network of suppliers is largely in the United States
E) All of the above are true.

3) Which of the following projects were completed by Bechtel?
A) Hoover Dam
B) Boston Central Artery/Tunnel
C) Rebuilding Kuwait after Iraq’s invasion in 1990
D) Rebuilding Iraq after the U.S. invasion, starting in 2003
E) All of the above were Bechtel projects

4) The phases of project management are:
A) planning, scheduling, and controlling.
B) planning, programming, and budgeting.
C) planning, organizing, staffing, leading, and controlling.
D) different for manufacturing projects than for service projects.

5) Which of the following is NOT one of the phases of project management?
A) planning
B) scheduling
C) controlling
D) budgeting
E) All of the above are project management phases.

6) A project organization:
A) is effective for companies with multiple large projects.
B) is appropriate only in construction firms.
C) often fails when the project cuts across organizational lines.
D) is most helpful for ongoing projects with no termination date.
E) is most helpful when the work contains simple and unrelated tasks.

7) A code of ethics especially for project managers:
A) has been established by the Project Management Institute.
B) has been formulated by the Federal government.
C) has been formulated by the World Trade Organization.
D) is inappropriate, since everyone should use the same guidance on ethical issues.
E) does not exist at this time.

8) Ethical issues that may arise in projects large and small include:
A) gifts from contractors.
B) exaggerated expense reports.
C) compromised quality standards to meet bonuses or avoid penalties related to schedules.
D) pressure to mask delays with false status reports.
E) all of the above.

9) The project organization works best when which of the following conditions are satisfied?
I. Work tasks can be defined with a specific goal and deadline.
II. The job is typical and familiar to the existing organization.
III. The work contains interrelated tasks requiring specialized skills.
IV. The project is temporary but unimportant to long-term organizational success.
V. The project cuts across organizational lines.
A) I, II, III, IV, V
B) None of the above conditions need to be satisfied.
C) I, III, V
D) I, II, III, V
E) I, III, IV, V

10) A project organization that becomes permanent is often referred to as a:
A) fixed project organization.
B) matrix organization.
C) normal organization.
D) standard organization.
E) permanent project organization.

Chapter 4: Forecasting Demand

1) What two numbers are contained in the daily report to the CEO of Walt Disney Parks & Resorts regarding the six Orlando parks?
A) yesterday’s forecasted attendance and yesterday’s actual attendance
B) yesterday’s actual attendance and today’s forecasted attendance
C) yesterday’s forecasted attendance and today’s forecasted attendance
D) yesterday’s actual attendance and last year’s actual attendance
E) yesterday’s forecasted attendance and the year-to-date average daily forecast error

2) As compared to long-range forecasts, short-range forecasts:
A) are less accurate.
B) deal with less comprehensive issues supporting management decisions.
C) employ similar methodologies.
D) all of the above
E) none of the above

3) One use of short-range forecasts is to determine:
A) planning for new products.
B) capital expenditures.
C) research and development plans.
D) facility location.
E) job assignments.

4) Forecasts are usually classified by time horizon into which three categories?
A) short-range, medium-range, and long-range
B) finance/accounting, marketing, and operations
C) strategic, tactical, and operational
D) exponential smoothing, regression, and time series
E) departmental, organizational, and industrial

5) A forecast with a time horizon of about 3 months to 3 years is typically called a:
A) long-range forecast.
B) medium-range forecast.
C) short-range forecast.
D) weather forecast.
E) strategic forecast.

6) Forecasts used for new product planning, capital expenditures, facility location or expansion, and R&D typically utilize a:
A) short-range time horizon.
B) medium-range time horizon.
C) long-range time horizon.
D) naive method, because there is no data history.
E) trend extrapolation.

7) The three major types of forecasts used by organizations in planning future operations are:
A) strategic, tactical, and operational.
B) economic, technological, and demand.
C) exponential smoothing, Delphi, and regression.
D) causal, time-series, and seasonal.
E) departmental, organizational, and territorial.

8) Which of the following most requires long-range forecasting (as opposed to short-range or medium-range forecasting) for its planning purposes?
A) job scheduling
B) production levels
C) cash budgeting
D) capital expenditures
E) purchasing

9) Short-range forecasts tends to ________ longer-range forecasts.
A) be less accurate than
B) be more accurate than
C) have about the same level of accuracy as
D) employ the same methodologies as
E) deal with more comprehensive issues than

10) What forecasting systems combine the intelligence of multiple supply chain partners?

Chapter 5: Product Design

1) Which of these statements regarding Regal Marine is TRUE?
A) Product design is a critical decision for the firm.
B) Regal uses a three-dimensional CAD system to shorten product development time.
C) Regal still uses some wooden parts and hand-produces some components.
D) Regal’s use of CAD has resulted in a superior product.
E) All of the above are true.

2) Regal Marine:
A) no longer builds boats with any wooden parts.
B) has replaced all human labor with robots.
C) treats the product design decision as critical to its success.
D) gets its competitive advantage by being the low-cost producer of boats designed by others.
E) designs several new boats each year, but contracts other firms for their manufacture.

3) The three major elements of the product decision are:
A) selection, definition, and design.
B) goods, services, and hybrids.
C) strategy, tactics, and operations.
D) cost, differentiation, and speed of response.
E) legislative, judicial, and executive.

4) In which stage of the product life cycle should product strategy focus on process modifications as the product is being “fine-tuned” for the market?
A) introduction
B) growth
C) maturity
D) decline
E) incubation

5) A product’s life cycle is divided into four stages, which are:
A) introduction, growth, saturation, and maturity.
B) introduction, growth, stability, and decline.
C) introduction, maturity, saturation, and decline.
D) introduction, growth, maturity, and decline.
E) incubation, growth, maturity, and decline.

6) When should product strategy focus on forecasting capacity requirements?
A) at the introduction stage of the product life cycle
B) at the growth stage of the product life cycle
C) at the maturity stage of the product life cycle
D) at the decline stage of the product life cycle
E) at the saturation stage of the product life cycle

7) The analysis tool that lists products in descending order of their individual dollar contribution to the firm is:
A) decision tree analysis.
B) Pareto analysis.
C) breakeven analysis.
D) product-by-value analysis.
E) product life cycle analysis.

8) At which stage of the product life cycle is product strategy likely to focus on improved cost control?
A) introduction
B) growth
C) maturity
D) saturation
E) inflation

9) ________ is used to rank a company’s products to determine which products represent the best use of the firm’s resources, or, perhaps, to determine which products are to be eliminated.
A) Value analysis
B) Value engineering
C) Financial analysis
D) Product-by-value analysis
E) Product cost justification

10) What percentage of sales from new products is indicative of industry leaders?
A) 50%
B) 7.5%
C) 10 to 15%
D) above 75%
E) 20 to 25%

Chapter 6: Quality Management and International Standards

1) Which of the following statements regarding Arnold Palmer Hospital is FALSE?
A) The hospital uses a wide range of quality management techniques.
B) The culture of quality at the hospital includes employees at all levels.
C) The hospital scores very highly in national studies of patient satisfaction.
D) The hospital’s high quality is measured by low readmission rates, not patient satisfaction.
E) The design of patient rooms, even wall colors, reflects the hospital’s culture of quality.

2) Arnold Palmer Hospital uses which of the following quality management techniques?
A) Pareto charts
B) flowcharts
C) benchmarking
D) just-in-time
E) The hospital uses all of the above techniques.

3) Companies with the highest levels of quality are how many times more productive than their competitors with the lowest quality levels?
A) 2
B) 3
C) 4
D) 5
E) None of the above because quality has no impact on productivity (units/labor hr.).

4) A successful quality strategy features which of the following elements?
A) an organizational culture that fosters quality
B) an understanding of the principles of quality
C) engaging employees in the necessary activities to implement quality
D) A and C
E) A, B, and C

5) Quality can improve profitability by reducing costs. Which of the following is not an aspect of reduced costs by quality improvements?
A) flexible pricing
B) increased productivity
C) lower rework and scrap costs
D) lower warranty costs
E) All of the above are aspects of reduced costs by quality improvements.

6) “Quality lies in the eyes of the beholder” is:
A) an unrealistic definition of quality.
B) a user-based definition of quality.
C) a manufacturing-based definition of quality.
D) a product-based definition of quality.
E) the definition of quality proposed by the American Society for Quality.

7) “Making it right the first time” is:
A) an unrealistic definition of quality.
B) a user-based definition of quality.
C) a manufacturing-based definition of quality.
D) a product-based definition of quality.
E) the definition of quality proposed by the American Society for Quality

8) Three broad categories of definitions of quality are:
A) product quality, service quality, and organizational quality.
B) user based, manufacturing based, and product based.
C) internal, external, and prevention.
D) low-cost, response, and differentiation.
E) Pareto, Shewhart, and Deming.

9) According to the manufacturing-based definition of quality:
A) quality is the degree of excellence at an acceptable price and the control of variability at an acceptable cost.
B) quality depends on how well the product fits patterns of consumer preferences.
C) even though quality cannot be defined, you know what it is.
D) quality is the degree to which a specific product conforms to standards.
E) quality lies in the eyes of the beholder.

10) Which of the following is NOT one of the major categories of costs associated with quality?
A) prevention costs
B) appraisal costs
C) internal failure costs
D) external failure costs
E) None of the above; they are all major categories of costs associated with quality.

Chapter 7: Process Design

1) A job shop is an example of a(n):
A) repetitive process.
B) continuous process.
C) line process.
D) intermittent process.
E) specialized process.

2) Three of the four types of processes are:
A) goods, services, and hybrids.
B) manual, automated, and service.
C) process focus, repetitive focus, and product focus.
D) modular, continuous, and technological.
E) input, transformation, and output.

3) Which of the following industries is most likely to have low equipment utilization?
A) auto manufacturing
B) commercial baking
C) television manufacturing
D) steel manufacturing
E) restaurants

4) A product-focused process is commonly used to produce:
A) high-volume, high-variety products.
B) low-volume, high-variety products.
C) high-volume, low-variety products.
D) low-variety products at either high- or low-volume.
E) high-volume products of either high- or low-variety.

5) Which one of the following products is most likely made in a job shop environment?
A) rolls of newsprint
B) paper forms
C) television sets
D) cigarettes
E) canned vegetables

6) Which of the following products is likely to be assembled on a repetitive process line?
A) automobiles
B) custom personal computers
C) custom cakes
D) steel
E) beer

7) An assembly line is an example of a:
A) product-focused process.
B) process-focused process.
C) repetitive process.
D) line process.
E) specialized process.
8) Arnold Palmer Hospital uses which focus?
A) process
B) repetitive
C) product
D) mass customization
E) A and D

9) One of the similarities between process focus and mass-customization is:
A) the volume of outputs.
B) the use of modules.
C) many departments and many routings.
D) the variety of outputs.
E) All of the above are similarities.

10) Frito-Lay is to ________ focus as Harley Davidson is to ________ focus.
A) process, repetitive
B) product, repetitive
C) repetitive, product
D) process, product
E) product, mass customization

Chapter 8: Location Decisions

1) FedEx chose Memphis, Tennessee, as its U.S. hub because:
A) the city is in the center of the United States, geographically.
B) the airport has relatively few hours of bad weather closures.
C) it needed a means to reach cities to which it did not have direct flights.
D) the firm believed that a hub system was superior to traditional city-to-city flight scheduling.
E) All of the above are true.

2) Which of the following statements regarding FedEx is TRUE?
A) Its hub in Memphis, Tennessee, was selected because of its low cost.
B) Memphis, Tennessee, is the only hub in the company’s global flight network.
C) FedEx believes the hub system helps reduce mishandling and delays due to better controls.
D) FedEx uses a hub system in the United States, but a city-to-city network in other countries.
E) Memphis is FedEx’s only hub airport in the United States.

3) Industrial location analysis typically attempts to:
A) minimize costs.
B) maximize sales.
C) focus more on human resources.
D) avoid countries with strict environmental regulations.
E) ignore exchange rates and currency risks.

4) A location decision for an appliance manufacturer would tend to have what type of focus?
A) cost focus
B) focus on finding very highly skilled technicians
C) revenue focus
D) environmental focus
E) education focus

5) A location decision for a traditional department store (e.g., Macy’s) would tend to have what type of focus?
A) cost focus
B) labor focus
C) revenue focus
D) environmental focus
E) education focus

6) As described in the book Aerotropolis, nowadays location decisions worldwide are often being based on what?
A) rivers
B) rail hubs
C) interstate highways
D) ports
E) airports

7) Why is Northern Mexico used as a cluster for electronics firms?
A) high traffic flows
B) venture capitalists located nearby
C) natural resources of land and climate
E) high per capita GDP

8) Among the following choices, an operations manager might best evaluate political risk of a country by looking at which type of country ranking?
A) based on competitiveness
B) based on cost of doing business
C) based on corruption
D) based on magnitude of government social programs
E) based on average duration between presidential/prime minister elections

9) ________ and ________ are to key country success factors as ________ and ________ are to key region success factors.
A) Cultural issues, location of markets; site size and cost, zoning restrictions
B) Exchange rates, labor availability; site size and cost, environmental impact
C) Labor cost, currency risk; land costs, proximity to customers
D) Land costs, proximity to customers; labor cost, air and rail systems
E) All of the above are accurate relationships.

10) Which of the following workers is the most productive?
A) $50 wages, 10 parts produced
B) $10 wages, 1 part produced
C) $30 wages, 5 parts produced
D) $100 wages, 21 parts produced
E) $500 wages, 100 parts produced

Chapter 9: Layout Decisions

1) Which of the following is NOT one of McDonald’s “seven major innovations”?
A) the Happy Meal
B) drive-through windows
C) breakfast menus
D) play areas
E) self-service kiosks

2) The objective of layout strategy is to:
A) minimize cost.
B) develop an effective and efficient layout that will meet the firm’s competitive requirements.
C) maximize flexibility.
D) minimize space used.
E) maximize worker satisfaction.

3) The ________ layout’s main objective is to equalize the task time for each station.
A) work cell
B) fixed position
C) office
D) job shop
E) product oriented

4) A hospital’s layout most closely resembles which of the following?
A) product oriented
B) work cell
C) job shop
D) project
E) retail

5) What layout strategy deals with low-volume, high-variety production?
A) fixed-position layout
B) retail layout
C) warehouse layout
D) office layout
E) process-oriented layout

6) “A special arrangement of machinery and equipment to focus on production of a single product or group of related products” describes what layout type?
A) fixed-position layout
B) intermittent production
C) job shop
D) work cell
E) warehouse layout

7) A good layout requires determining:
A) material handling equipment.
B) capacity and space requirements.
C) environment and aesthetics.
D) cost of moving between various work areas.
E) all of the above

8) Which of the statements below best describes office layout?
A) positions workers, their equipment, and spaces/offices to provide for movement of information
B) addresses the layout requirements of large, bulky projects such as ships and buildings
C) seeks the best personnel and machine utilization in repetitive or continuous production
D) allocates shelf space and responds to customer behavior
E) deals with low-volume, high-variety production

9) Deloitte & Touche solved the empty desk problem by:
A) assigning permanent desks.
B) implementing a “hoteling” program.
C) creating open offices.
D) no longer allowing employees to work from home.
E) reducing the number of allowable sick days per employee.

10) In the office relationship chart, which rating reflects the highest importance for two departments’ closeness to each other?
A) A
B) E
C) I
D) O
E) X

Chapter 10: Job Design and Work Measurement

1) A NASCAR pit crew consists of how many members?
A) 7
B) 5
C) 9
D) 10
E) 4

2) Most pit crew members have background experience in what area?
A) mechanical engineering
B) athletics
C) car mechanics
D) automobile race driving
E) No specific area—crew members come from all sorts of backgrounds.

3) Which of the following best describes mutual commitment in an organization?
A) an instance in which management is committed to the employees and the employees are committed to management
B) both management and the employees are committed to the same objective
C) both management and the employees are committed, but to different objectives
D) management obtains the commitment of the employees to a stated objective
E) both management and the employees can rely on each other

4) Mutual trust is:
A) when employees have gained the trust of management.
B) reflected in reasonable, documented employment policies that are honestly and equitably implemented to the satisfaction of both management and employee.
C) when management has gained the trust of the employees.
D) when management recognizes that the employees are competent, motivated people both able and willing to perform at the level required to produce a quality product.
E) when management and the employees both agree on common objectives.

5) The objective of a human resource strategy is to:
A) produce the demand forecast at the lowest possible labor cost.
B) match employment levels with demand.
C) achieve a reasonable quality of work life at low cost.
D) manage labor and design jobs so people are effectively and efficiently utilized.
E) hire the most diversified workforce possible.

6) The two most basic policies associated with employment stability are:
A) job enrichment and job enlargement.
B) employment for life and guaranteed minimum wage.
C) follow demand exactly and hold employment constant.
D) incentive plans and piece-rate plans.
E) full-time and part-time.

7) A manufacturing plant allows its engineers to come in at 7 A.M. plus or minus an hour but still requires them to work 8-hour days. Which of the following scheduling techniques is the firm employing?
A) flextime
B) constant employment
C) part-time status
D) flexible workweek
E) compressed workweek

8) Working four shifts of ten hours each instead of five shifts of eight hours each is known as which of the following?
A) flextime
B) constant employment
C) part-time status
D) flexible workweek
E) flexwork

9) Four of the components of job design are:
A) employment stability, work schedules, work sampling, and motivation & incentive systems.
B) job specialization, job expansion, psychological components, and self-directed teams.
C) labor specialization and enrichment, motivation and incentive systems, employment stability, and work sampling.
D) ergonomics and work methods, method time measurement, work schedules, and incentive systems.
E) labor specialization, time studies, work sampling, and pre-determined time standards.

10) What is the behavioral approach to job design that involves giving the worker more tasks requiring similar skills?
A) job enlargement
B) job enrichment
C) job enhancement
D) job rotation
E) job involvement