, Chapter 01
Introduction to Managing Operations Across the Supply Chain
Multiple Choice Questions
1. Which of the following is NOT one of the processes included in operations management?
A. Design
B. Finance
C. Produce
D. Deliver
2. A supply chain is a global network of organizations and activities involved in:
A. Producing, buying, servicing, and disposing of goods and services.
B. Designing, transforming, consuming, and disposing of goods and services.
C. Financing, producing, and marketing of goods and services.
D. Designing, financing, selling, and disposing of goods and services
3. Operations managers answer questions of what, how, when, where, and who by defining both the
___________ and _____________ aspects of the operations management system.
A. Financing and capacity
B. Marketing and delivery
C. Structural and infrastructural
D. Production and accounting
A. Workforce, capacity, and facilities.
B. Workforce, production planning, and materials controls.
C. Capacity, facilities, and technology.
D. Materials controls, supply chain, and value definition.
5. Joe Jones was asked to undertake a project to determine the resources and capacity his firm would need
in the next three to 10 years. These types of decisions are considered to be:
A. Infrastructural aspects of operations management.
B. Positional aspects of operations management.
C. Assessment aspects of operations management.
D. Structural aspects of operations management.
6. Physical goods can be differentiated from services in the operations management process by:
A. Longer lead times and they can be inventoried.
B. More capital intensive and short lead times.
C. More labor intensive and longer lead times.
D. More expensive and easier to control.
7. Which of the following functions would NOT have to think about "processes"?
, B. Production management
C. Supply management
D. Accounting
E. All of these have to think about "processes."
8. Which of the following statements about operations management processes is NOT true?
A. Inputs to operations management processes can be materials, people, and/or information.
B. Outputs of operations management processes are always tangible goods.
C. Operations management processes involve transformation of inputs into valuable outputs.
D. Design of operations processes should reflect what customers want.
9. Growth of the supply chain management perspective in operations management results from the advent
of:
A. Technology and infrastructure advances.
B. Collaborative networks.
C. A focus on core capabilities.
D. All of these.
10. During the "mass production" era, operations management focused primarily on:
A. Production and design.
B. Internal production.
C. The global supply chain.
D. Sales, production and design.
11. While there is overlap between operations management and supply chain management, the two are
different in that:
A. Operations management focuses on production, supply chain management focuses on supply and
logistics.
B. Operations management focuses on tangible goods, supply chain management focuses on services.
C. Operations management focuses on processes, supply chain management focuses on relationships and
flows.
D. All of these.
12. Johnson Company makes widgets, which it then sends to Smith Company. Smith Company puts the
widgets in packages. Smith Company is considered by Johnson to be a:
A. Critical customer.
B. Upstream product supplier.
C. Aftermarket supplier.
D. Downstream product supplier.
13. To an operations manager, the "critical customer" is:
A. The person who buys a product.
B. The person who has the greatest impact on design, sales, and growth opportunities for the product.
C. The Echelon 1 customer.
D. The person who uses the product.
, 14. Which functional activities are the most closely related to operations managers’ attempts to manage the
flow of materials and information in a firm?
A. Finance, accounting, and supply management
B. Logistics, finance and supply management
C. Logistics, supply, and customer management
D. Customer, finance, and logistics management
15. Jones Manufacturing sells a part to Lear Corporation. Lear puts this part into a radio, which Lear then sells
to Ford. From Ford's point of view, Jones Manufacturing is a(n) __________ supplier.
A. Echelon 1
B. Echelon 2
C. Tier 1
D. Tier 2
16. Operations management is:
A. The management of production.
B. The management of services.
C. The management of processes.
D. The management of physicians.
17. Which of the following statements are reasons why operations management is important?
A. Efficient and productive operations drive the economic well-being of nations.
B. Operations management is responsible for much of the value created by organizations.
C. Operations management is a key source of competitive differentiation among firms.
D. All of these are reasons why operations management is important.
18. A process is:
A. A set of planned steps used to achieve an objective.
B. A system of activities that transforms inputs into valuable outputs.
C. A system of decisions.
D. A combined effort by people who want to get something done.
19. Which of the following statements is NOT true regarding supply chain management?
A. Globalization has slowed the growth of supply chain management.
B. Supply chain management is a way of viewing operations management.
C. Supply chain management has grown as a result of a focus on core competencies.
D. Supply chain management is about making the most of relationships with suppliers.
20. Every organization operates which of the following types of supply chains?
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