BUS140 Homework Ch.0-5

Which is NOT true regarding differences between goods and services? A) Services are generally produced and consumed simultaneously; tangible goods are not. B) Services tend to be more knowledge-based than goods. C) Services tend to have a more inconsistent product definition than goods. D) Goods tend to have higher customer interaction than services. E) Reselling is unusual in services; goods often have some residual value.

Which of the following is a similarity between goods and services? A) mass production B) consistency C) automation D) Both have quality standards. E) Both can usually be kept in inventory.

Which of the following are among the 10 strategic operations management decisions? I.design of goods and services II.managing quality III.layout strategy IV.marketing V.pricing of goods and services

The Dulac Box plant produces 500 cypress packing boxes in two 10-hour shifts. What is the productivity of the plant? A) 25 boxes/hr. B) 50 boxes/hr. C) 5000 boxes/hr. D) 0.04 boxes/hr. E) 250 boxes/hr.

A foundry produces circular utility access hatches (manhole covers). Currently, 120 covers are produced in a 10-hour shift. If labor productivity can be increased by 20%, it would then be: A) 14.4 covers/hr. B) 24 covers/hr. C) 240 covers/hr. D) 1200 covers/hr. E) 10 covers/hr.

Which of the following nets the largest productivity improvement when productivity is greater than 1? A) increase output 15% B) decrease input 15% C) increase both output and input by 5% D) increase output 10%, decrease input 3% E) decrease input 10%, increase output 3%

Operations management is applicable: A) mostly to the service sector. B) to services exclusively. C) mostly to the manufacturing sector. D) to all firms, whether manufacturing or service. E) to the manufacturing sector exclusively.

Which of the following statements about organizational missions is FALSE? A) They reflect a company's purpose. B) They indicate what a company intends to contribute to society. C) They are formulated after strategies are known. D) They define a company's reason for existence. E) They provide guidance for functional area missions.

Which of the following strategic concepts allow firms to obtain competitive advantage? A) productivity, efficiency, and quality leadership B) differentiation, cost leadership, and response C) differentiation, quality leadership, and response D) distinctive competency, cost leadership, and experience E) differentiation, distinctive competency, quality leadership, and capacity

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 global talent E) understand markets

Which of the following is the best example of competing on low-cost leadership? A) A firm produces its product with less raw material waste than its competitors do. B) A firm offers more reliable products than its competitors do. C) A firm's products are introduced into the market faster than its competitors' products are. D) A firm's research and development department generates many ideas for new products.

Advantages of outsourcing do NOT include: A) cost savings. B) gaining outside expertise. C) maintaining a focus on core competencies. D) accessing outside technology. E) potential creation of future competition.

Which of the following OM strategy/issues should a firm with a product in the maturity stage of its life cycle be LEAST concerned with at the present time? A) increase capacity B) long production runs C) standardization D) cost cutting E) fewer rapid product changes

An operations manager is performing a factor-rating analysis to help her choose an outsourcing provider. She is focusing on three factors: A, B, and C, with weights of .50, .20, and .30, respectively. She has scored one potential outsourcer, Ling Services, on each of the factors using a scale of 10-50. Ling Services received a score of 30 for factor A, 46 for factor B, and 22 for factor C. What is the factor-rating score for Ling Services? A) 98.0 B) 32.7 C) 21.8 D) 29.2 E) 30.8

A company is choosing an outside firm to provide its payroll services. It has chosen four comparative categories of interest: client reviews, financial condition, IT capabilities, and government stability. These categories have been assigned weights of 30%, 10%, 20%, and 40%, respectively. Three potential providers were scored on each of those factors (see table below) using a scale of 1-10, with a score of 1 meaning worst possible and 10 meaning best possible. Using the factor-rating method, which provider should be chosen? Provider A Provider B Provider C Client reviews 2 6 10 Financial condition 8 4 2 IT capabilities 5 8 2 Government stability 3 1 2 A) A B) B C) C D) None E) Not enough data to decide

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.

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.

8) Which of the following statements concerning CPM activities is false? A) The early finish of an activity is the early start of that activity plus its duration. B) The late finish is the earliest of the late start times of all successor activities. C) The late start of an activity is its late finish less its duration. D) The late finish of an activity is the earliest late start of all preceding activities. E) The early start of an activity is the latest early finish of all preceding activities.

9) A simple CPM network has three activities, A, B, and C. A is an immediate predecessor of B and of C. B is an immediate predecessor of C. The activity durations are A=4, B=3, C=8. A) The critical path is A-B-C, duration 15. B) The critical path is A-C, duration 12. C) The critical path is A-B-C, duration 13.5 D) The critical path cannot be determined without knowing PERT expected activity times. E) The network has no critical path.

Which of the following statements regarding critical paths is true? A) On a specific project, there can be multiple critical paths, all with exactly the same duration. B) Some activities on the critical path may have slack. C) Every network has only one critical path. D) The shortest of all paths through the network is the critical path. E) The duration of the critical path is the average duration of all paths in the project network.

An activity on an AOV network has these time estimates: optimistic = 2, most likely = 5, and pessimistic = 14. What is its expected activity time? A) 4.5 B) 5 C) 5.6 D) 6 E) 7.2

The network below represents a project being analyzed by the critical path method. Activity durations are A=5, B=2, C=12, D=3, E=5, F=1, G=7, H=2, I=10, and J=6. What are slack time at activity H and the Late Finish of activity H? A) 0; 13 B) 5; 24 C) 7; 22 D) 10; 24 E)12;30

In the graph above, if activity C were delayed by two time units, what would happen to the project duration? A) No delay B) Delay by 2 C) Delay by 4 D) Delay by 5 E) It depends, and is not deterministic

Two critical path activities are candidates for crashing on a CPM network. Activity details are in the table below. To cut one day from the project's duration, activity ________ should be crashed first, adding ________ to project cost. Activity A B Normal Time 4days 6 days Normal Cost $6,000 $4,000 Crash Time 3 days 4 days Crash Cost $8,000 $6,000 A)A; $2,000 B) A; $8,000 C) B; $1,000 D) B; $2,000 E) B; $6,000

When the length of critical path of a project is 40 days and the variance of the project is 4 days, what due date should be set for this project so that the probability of completing the project is 95%? Since it is on days, round the answer to the nearest higher integer. The z value of 95% is 1.645. A) 41 B) 42 C) 44 D) 47 E) 49

Which of the following product development strategies has the highest product development risk? A) acquiring the developer B) alliances C) joint ventures D) purchasing technology E) new internally developed products

JDI, Inc. is trying to decide whether to make or buy a part (#J-45FPT). Purchasing the part would cost $1.50 each. If they design and produce it themselves, it will result in a per unit cost of $0.75. However, the design investment would be $50,000. Further, they realize that for this type of part, there is a 30% chance that the part will need to be redesigned at an additional cost of $50,000. Regardless of whether they make or buy the part, JDI will need 100,000 of these parts. Using decision trees analysis and EMV, what should JDI do? A) Make B) Buy C) No action D) Make or Buy E) Not enough data to answer

According to PCN analysis, service operations exist only within the area(s) of: A) independent processing. B) independent processing and surrogate interaction. C) independent processing and direct interaction. D) surrogate interaction and direct interaction. E) independent processing, surrogate interaction, and direct interaction.

If a design can be produced to requirements even when the production process has unfavorable conditions, the design is said to be: A) modular B) robust C) independent D) CAD E) LCA

Which of the following is an example of an external product development strategy? A) new internally developed products B) enhancements to existing products C) alliances D) migrations of existing products E) All of above are examples of internal product development strategy.

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

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) purchasing E) capital expenditures

Increasing the number of periods in a moving average will accomplish greater smoothing, but at the expense of: _____ A) manager understanding. B) accuracy. C) stability. D) sensitivity to real changes in the data. E) All of the above are diminished when the number of periods increases.

What is the forecast for May using a four-month moving average? _____ Nov. 39 Dec. 36 Jan. 40 Feb. 42 Mar. 48 April 46 A) 38 B) 42 C) 43 D) 44 E) 47

Given an actual demand this period of 103, a forecast value for this period of 99, and an alpha of .4, what is the exponential smoothing forecast for next period? _____ A) 94.6 B) 97.4 C) 100.6 D) 101.6 E) 103.0

Which of the following is not present in a time series? _____ A) seasonality B) operational variations C) trend D) cycles E) random variations

If two variables were perfectly correlated, what would the coefficient of correlation r equal? _____ A) 0 B) -1 C) 1 D) B or C E) none of the above

A time-series trend equation is 25 + 2x. What is your forecast for period 7? ______ A) 39 B) 42 C) 45 D) 83 E) 125

A forecasting method has produced the following over the past five months. What is the mean absolute deviation? ______ Actual 10 8 10 6 9 Forecast 11 10 8 6 8 Error -1 -2 2 0 1 |Error| 1 2 2 0 1 A) -0.2 B) -1.0 C) 0.0 D) 1.2 E) 8.6

What is the forecast for May based on a weighted moving average applied to the following past demand data and using the weights: 4, 3, 2 (largest weight is for most recent data)? Nov. 37 Dec. 36 Jan. 40 Feb. 42 Mar. 47 April 43 A) 48.0 B) 46.2 C) 45.5 D) 44.1 E) 42.7