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The American economy is now characterized as a(n) ____ economy.


A) industrial
B) centralized
C) service
D) stagnant
E) bureaucratic

F) A) and D)
G) B) and D)

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A situation in which people do most of the work is called


A) a quality circle.
B) quality control.
C) design planning.
D) a labor-intensive technology.
E) a capital-intensive technology.

F) A) and B)
G) A) and C)

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Quality control is the process of ensuring that materials are at the right place at the right time.

A) True
B) False

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When all products undergo the same operations in the same sequence, a(n) ____ is used.


A) product design
B) product layout
C) process layout
D) output layout
E) fixed layout

F) B) and D)
G) B) and C)

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The just-in-time inventory system focuses on minimizing


A) scheduling.
B) materials resource planning.
C) stock-out costs.
D) customer complaints.
E) storage and holding costs.

F) A) and B)
G) C) and D)

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How do routing and timing affect the scheduling process for a furniture manufacturer like Drexel-Heritage?

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Routing of materials is the sequence of ...

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The Acme Toy Company introduced a new electric train, the Silver Bullet, in its Christmas catalog last year. Within four days of the catalog's mailing date, Acme had received phone orders for its entire inventory of trains. Jeff Murrah, the sales manager responsible for the Silver Bullet, was delighted with the product's success. However, his excitement was overshadowed by the ____ cost resulting from lost sales that his division would suffer.


A) variable
B) stock-out
C) opportunity
D) fixed
E) holding

F) C) and E)
G) D) and E)

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A group of design engineers for Ford Motor Company spends two months of summer in the Arizona desert researching fuel performance at extreme temperatures. Ford uses the results of these tests to improve the quality of its automobiles. The group of engineers is engaging in


A) applied research.
B) product design.
C) basic research.
D) design planning.
E) horizon planning.

F) A) and B)
G) None of the above

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After World War II, the United States became the most productive country in the world.

A) True
B) False

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When Dell decided to produce and market an affordable personal computer, it had to consider a number of issues: what the computer would look like, where and how it would be produced, what options it would include, and so on. Supplying answers to these questions is part of


A) operational planning.
B) basic research.
C) applied research.
D) design planning.
E) scheduling.

F) B) and D)
G) C) and D)

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Materials that will become part of a product during the conversion process are called raw materials.

A) True
B) False

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A product layout is often referred to as a(n)


A) fixed-position layout.
B) output layout.
C) fixed capacity.
D) work-cell formation.
E) assembly line.

F) B) and C)
G) A) and E)

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ABC Company ABC Company is dedicated to operations control. It holds its suppliers to the highest standards, believing there is one best way to complete their tasks. ABC has even gone so far as to incorporate the Malcolm Baldrige National Quality Award criteria into its business. Following these criteria has allowed the company to grow from a small business to a large corporation. ABC plans on going international in the next couple of years to broaden its scop -Refer to ABC Company. Based on the information provided, what type of computer system is ABC Company using?


A) PERT
B) Continuous
C) CAD
D) CID
E) CPM

F) A) and E)
G) B) and D)

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ABC Company ABC Company is dedicated to operations control. It holds its suppliers to the highest standards, believing there is one best way to complete their tasks. ABC has even gone so far as to incorporate the Malcolm Baldrige National Quality Award criteria into its business. Following these criteria has allowed the company to grow from a small business to a large corporation. ABC plans on going international in the next couple of years to broaden its scop -Refer to ABC Company. For ABC, using the Baldrige award criteria could result in all of the following except


A) form utility.
B) better employee relations.
C) increased market share.
D) improved profitability.
E) higher productivity.

F) A) and C)
G) D) and E)

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Deborah works for Northrop Grumman Corporation. She is assigned to a group of employees who work on solving quality issues the company is facing. Deborah participates in a(n)


A) quality circle.
B) employee group.
C) total quality management program.
D) inspection control group.
E) quality review committee.

F) A) and B)
G) B) and C)

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A government-funded group of scientists is assigned to discover new knowledge and scientific advances. These scientists are not required to consider the potential use of this knowledge. This group is conducting


A) development and implementation.
B) research for product life cycles.
C) applied research.
D) academic research and development.
E) basic research.

F) A) and B)
G) D) and E)

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​Ray's ATV Parts used _____ to design customized products and control the machinery needed to produce the finished product.


A) ​computer-aided manufacturing (CAM)
B) ​computer-aided design (CAD)
C) ​computer-integrated manufacturing (CIM)
D) ​computer generated mistakes (CGM)

E) All of the above
F) A) and D)

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At a Schlage Lock factory, many employees are needed to use tiny screwdrivers and other tools to carefully assemble the inner workings of door knobs and locks. They must sit at a station and look through a magnifying glass to complete this work. This production process could best be described as


A) labor-intensive technology.
B) highly automated.
C) capital-intensive technology.
D) high capacity.
E) refined product design.

F) A) and D)
G) A) and C)

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


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

F) C) and D)
G) A) and D)

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Define design planning. How does it differ from operational planning?

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Design planning is the development of a ...

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