MNGT 368 Test 1

Every Business Major is managed through these three major functions
1. Finance
2. Marketing and
3. Operations management
Which business function is responsible for planning, coordinating, and controlling the resources needed to produce a company’s products and services?
Operations Management
Division Of Labor is
A concept that involves breaking down the production of a product into a series of small, elementary task, each of which is performed by a different worker
Outsourcing
A process of obtaining goods or services from an outside provider
When does productivity increase?
When inputs decrease, while outputs remain the same.
Service design differs from product design by including ______.
The esthetic and psychological benefits of the product.
Which type of operation is used to produce many different products with varying process requirements in lower volumes?
Intermittent
Service organization supply chains are:
Similar to manufacturing organizations
What term refers to processes or activities that are completed in house?
Insource
In six-sigma, the level of defects is reduced to approximately ___ parts per million.
3.4 parts per million
A quality circle is
a team of volunteer production employees and their supervisors who meet regularly to solve quality problems.
What tool is useful in helping everyone develop a clear picture of how an operation or process works?
A Flowchart
What measures the central tendency of a set of date?
The Mean
What measure the difference between the largest and smallest observations in a set of data?
Range
What is a control chart that monitors changes in the mean value of a process?
X-Bar Chart
JIT Considers waste anything that _____.
Does not add Value
Quality in Just-In-Time is centered on building quality into the ____.
Process
True or False. The need to offer a greater variety of product choices to customers of a traditionally standardized product is the challenge of Flexibility.
True
True or False. Productivity gains in the service sector have been much lower than that of manufacturing.
True
True or False. Repetitive Operations are used to produce many different products with varying process requirements in lower volumes.
False
True or False. The Amount of outsourcing in industry is increasing.
True
True of False. A useful tool for translating customers’ everday language into specific technical requirements is QUALITY FUNCTION DEPLOYMENT.
True
Quality Function Deployment
A useful tool for translating customers’ everyday language into specific technical requirements
True or False. At a factory, the TRANSFORMATION PROCESS, is the physical change of Raw Materials and components into products.
True
Transformation Process
The physical change of Raw Materials and components into products
True or False. Companies that compete based on FLEXIBILITY often cannot compete based on COST.
True
True or False. Analyzing Customer preferences is an ongoing process
True
True or False. Service Organizations can also benefit from Supply Chain Management
True
True or False. In using Quality Function Deployment, conducting focus groups is one way to find out precisely what features customers want in a product.
True
True or False. Upper and Lower control limits are usually set at +-6 standard deviations from the mean.
False
Operations Management is responsible for increasing the organization’s effeciency, which means the company will be able to ______
Eliminate activities that do not add value
What are long-term decisions that set the direction for the entire organization called?
Strategic
A key feature of scientific management is that workers are motivated only by
Money
What would not be considered a core competency that a company might have?
An Inefficient distribution system
What type of technology has had the greatest impact on business?
Information Technology
A company’s product design supports its business strategies by
Designing products that appeal to its customers.
Which respect to competitive priorities, intermittent operations compete more on _____ compared to repetitive operations
Flexibility and Delivery
The time between order placement and the receipt of goods is called
Lead Time
What refers to owning or controlling sources of raw materials and components?
Backward integrations
The definition of Quality that involves the product functioning as expected without failure is
Reliability
Employees of the organization who recieve goods or services from others in the company are
Internal Customers
Costs of quality inspections, testing, test equipment, and labs are examples of _____ costs.
Appraisal Cost.
P-Charts are used to measure
The Proportion of items in a sample that are defective
On a control chart, what separates common from assignable causes of variation?
Control Limits
What is a control chart that monitors changes in the dispersion of variability of a process?
R-Chart
The broad view of JIT is now often termed _____.
Lean Production
The ultimate goal of JIT is to produce products in a lot size of _____?
One
Something you would not expect to see in a just-in-time work environment is
Clutter
True or False; Firms that focus on QUALITY as their primary competitive priority usually implement either product design quality or process quality, but not both
False
True or False; To remain competitive, companies must be innovative and bring out new products regularly
True
True or False; ISO certification has become a requirement for conducting business in many indutries
True
True or False; A process that is in control has no variation
False
An example of an operation that does not add value is
Moving components to a warehouse for storage until the factory needs them
Which of the following is NOT primarily performed by the operation management function?
Advertising Strategy
The following ARE performed by the operation management function
1. Job design and work measurement
2. Location analysis
3. Quality Management
4. Facility Layout
Increasing the level of responsibility of a job by adding planning and coordination tasks is
Job Enrichment
Operational Efficiency is
performing operations task well
What are the three primary types of Technology?
1. Product Technology
2. Process Technology
3. Information Technology
Studying the practices of companies considered “best in class” and comparing the performance of our company against their performance is;
Benchmarking
Which product and service strategy is used to produce standard components that can be combined to customer specifications?
Assemble to Order
Which term refers to inaccurate or distorted information created in the supply chain?
Bullwhip Effect
Which activity appears to be most frequently outsourced by large companies?
Manufacturing
One common definition of quality is _____, which focuses on measuring how well a product or service meets targets and tolerances detemrined by its designers
Conformance to specifications
Giving workers responsbility for seeking out quality problems and connecting them is
Employee Empowerment
Studying business practices of comapnies considered “best in class” is called
Benchmarking
A process chart is a
graph that shows whether a sample falls within the common or normal range
What is the first step that should be taken if an observation falls below the lower control limit on a control chart?
Search for Assignable causes
What are the two types of control charts for attiributes
P and C
The central belief of the JIT philosophy is
Elimination of Waste
JIT is a _____ system
Pull
With JIT a company’s relationship with its suppliers includes
Being in partnership with them
True or False; The need to offer a greater variety of product choices to customers of a traditionally standardized product is the challenge of flexibility.
True
True or False; Productivity gains in the service sector have been much lower than that of manufacturing
True
True or False; Repetitive operations are used to produce many different products with varying process requirements in lower volumes
False
True or False; The amount of outsourcing in industry is increasing
True
True or False; A useful tool for translating customers’ everyday language into specific technical requirements is Quality Function Deployment
True
True or False; An important task in quality control is to find out the range of natural random variation in process
True
Every business is managed through what three major functions?
1. Finance
2. Marketing
3. Operation Management
JIT uses a pull system where communication starts with either the customer or with the ____ work station in the production line
Last