Question 1

What is the primary difference between ISO 9000 and ISO 14000?

Accepted Answer

A)   More organisations have adopted ISO 14000.
B)   ISO 9000 is more focused on employee compensation.
C)   ISO 14000 involves environmental concerns.
D)   ISO 9000 is used only in Europe; ISO 14000 is used worldwide.
E)   ISO 14000 is used for service businesses instead of manufacturers.F) B) and E)
G) A) and B)

Question 2

According to management experts, increased government regulations have increased productivity among workers.

Accepted Answer

A) True 
 B)False

Question 3

The quantity that customers will demand at the going price is called the

Accepted Answer

A)   economic demand.
B)   market demand.
C)   capacity.
D)   consumer need.
E)   inventory.F) B) and E)
G) A) and B)

Question 4

When New Coke was introduced, it failed miserably in the market.After removing it from its product line, what did Coca-Cola most likely do with the capacity devoted to producing this product?

Accepted Answer

A)   Shift the excess capacity to the production of other soft-drink products
B)   Eliminate the excess capacity by selling all New Coke facilities
C)   Fire all the employees involved with the production of New Coke
D)   Subcontract the production of New Coke to another producer
E)   Decrease the work week of its production line employeesF) A) and B)
G) All of the above

Question 5

FMS allows a company to combine ____ into a single system.

Accepted Answer

A)   people and robotics
B)   robots and digital personal computers
C)   robotics and computer-integrated manufacturing
D)   people and materials
E)   robots and materialsF) B) and D)
G) A) and B)

Question 6

Arbach's responsibility is to ensure that materials used in production are at the right place at the right time.His job involves

Accepted Answer

A)   quality control.
B)   lead time planning.
C)   operational planning.
D)   scheduling.
E)   design planning.F) B) and D)
G) D) and E)

Question 7

A situation in which machines and equipment do most of the work is known as

Accepted Answer

A)   high technology.
B)   quality control.
C)   a labour-intensive technology.
D)   an industrial installation.
E)   a capital-intensive technology.F) A) and B)
G) B) and C)

Question 8

Purchasing personnel should check the reliability of potential suppliers as well as suppliers' ability to meet delivery schedules.

Accepted Answer

A) True 
 B)False

Question 9

When machines and equipment do most of the work in a manufacturing plant, it is referred to as a mechanical-intensive process.

Accepted Answer

A) True 
 B)False

Question 10

When VHS VCRs were first introduced, sales were zero.As VCRs started to catch on, sales began to increase more and more rapidly until they peaked.After the peak, sales fell when DVD players took over that market with VCR sales almost non-existent now.This pattern is

Accepted Answer

A)   the research and development cycle.
B)   development and implementation.
C)   the product line planning and exiting cycle.
D)   the introduction to decline cycle.
E)   the product life cycle.F) D) and E)
G) All of the above

Question 11

The process of checking and testing products to ensure that they meet specifications is called

Accepted Answer

A)   inventory control.
B)   quality control.
C)   quality inspection.
D)   assurance.
E)   check pointing.F) A) and B)
G) A) and C)

Question 12

A group of similar products that differ only in relatively minor characteristics is called

Accepted Answer

A)   inventory.
B)   a product line.
C)   product design.
D)   design planning.
E)   inventory control.F) C) and D)
G) B) and D) B

Question 13

Purina has a new product idea to create a cat food that will give cats more energy and allow them to live longer, more pleasurable lives.Management appoints a team to convert this cat food idea into an actual product.This process is called

Accepted Answer

A)   design planning.
B)   process engineering.
C)   operational planning.
D)   product lining.
E)   product refining.F) C) and D)
G) A) and E) A

Question 14

The process of managing inventories to minimise both holding costs and potential stock-out costs is called inventory control.

Accepted Answer

A) True 
 B)False  True

Question 15

Which of the following statements is true?

Accepted Answer

A)   ISO is Greek for "unacceptable."
B)   ISO 9000 sets guidelines for quality management procedures.
C)   ISO 9000 is accepted more in Japan than in the United States or Europe.
D)   ISO 14000 is a system used to notify customers who have purchased unsafe products from manufacturers in foreign nations.
E)   Although ISO 9000 was popular in the early 1990s, it has been replaced with ISO 20000.F) B) and D)
G) C) and D)

Question 16

Capacity to a service business means something completely different from capacity to a production business.

Accepted Answer

A) True 
 B)False

Question 17

A business will usually choose to produce a new product in an existing facility if the cost is less than the cost of building a new one and the

Accepted Answer

A)   type of technology needed for the new product is the same as the technology used by the existing products.
B)   new product is an extension of an existing product line already produced in the factory.
C)   human resources requirement for the new product and existing products can be satisfied with the facility's current employees.
D)   product design is already completed.
E)   existing factory has enough capacity to handle demand for the new product as well as the existing products.F) None of the above
G) A) and B)

Question 18

Liz Claiborne, Inc.has a system that combines the use of computers to aid in the development of products and the use of computers to plan and control manufacturing processes.What is this combined system called?

Accepted Answer

A)   Computer-aided design
B)   Computer-integrated manufacturing
C)   Flexible marketing
D)   Computer-aided manufacturing
E)   Computer roboticsF) None of the above
G) B) and E)

Question 19

Successful operations managers must be able to do all of the following except

Accepted Answer

A)   lead and motivate people.
B)   use technology to make a manufacturer more productive.
C)   advertise and sell the firm's product.
D)   control production costs.
E)   improve product quality.F) A) and B)
G) All of the above

Question 20

The goal of applied research is scientific advancement, without regard for its potential uses in the development of goods and services.

Accepted Answer

A) True 
 B)False

Exam 8: Products and Services

What is the primary difference between ISO 9000 and ISO 14000?

Correct AnswerverifiedShow Answer

According to management experts, increased government regulations have increased productivity among workers.

Correct AnswerverifiedShow Answer

The quantity that customers will demand at the going price is called the

Correct AnswerverifiedShow Answer

When New Coke was introduced, it failed miserably in the market.After removing it from its product line, what did Coca-Cola most likely do with the capacity devoted to producing this product?

Correct AnswerverifiedShow Answer

FMS allows a company to combine ____ into a single system.

Correct AnswerverifiedShow Answer

Arbach's responsibility is to ensure that materials used in production are at the right place at the right time.His job involves

Correct AnswerverifiedShow Answer

A situation in which machines and equipment do most of the work is known as

Correct AnswerverifiedShow Answer

Purchasing personnel should check the reliability of potential suppliers as well as suppliers' ability to meet delivery schedules.

Correct AnswerverifiedShow Answer

When machines and equipment do most of the work in a manufacturing plant, it is referred to as a mechanical-intensive process.

Correct AnswerverifiedShow Answer

When VHS VCRs were first introduced, sales were zero.As VCRs started to catch on, sales began to increase more and more rapidly until they peaked.After the peak, sales fell when DVD players took over that market with VCR sales almost non-existent now.This pattern is

Correct AnswerverifiedShow Answer

The process of checking and testing products to ensure that they meet specifications is called

Correct AnswerverifiedShow Answer

A group of similar products that differ only in relatively minor characteristics is called

Correct AnswerverifiedB

Purina has a new product idea to create a cat food that will give cats more energy and allow them to live longer, more pleasurable lives.Management appoints a team to convert this cat food idea into an actual product.This process is called

Correct AnswerverifiedA

The process of managing inventories to minimise both holding costs and potential stock-out costs is called inventory control.

Correct AnswerverifiedTrue

Which of the following statements is true?

Correct AnswerverifiedShow Answer

Capacity to a service business means something completely different from capacity to a production business.

Correct AnswerverifiedShow Answer

A business will usually choose to produce a new product in an existing facility if the cost is less than the cost of building a new one and the

Correct AnswerverifiedShow Answer

Liz Claiborne, Inc.has a system that combines the use of computers to aid in the development of products and the use of computers to plan and control manufacturing processes.What is this combined system called?

Correct AnswerverifiedShow Answer

Successful operations managers must be able to do all of the following except

Correct AnswerverifiedShow Answer

The goal of applied research is scientific advancement, without regard for its potential uses in the development of goods and services.

Correct AnswerverifiedShow Answer

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B

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True

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