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Maintaining ___________ involves producing what the customer wants while reducing errors before and after delivery to the customer.


A) manufacturing control
B) allocative efficiency
C) CAD/CAM
D) quality

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

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The purpose of determining the critical path on a PERT network is to:


A) identify the sequence of tasks that takes the longest to complete.
B) estimate a payment schedule so that a budget can be established.
C) find the sequence of events that is the most expensive to complete.
D) establish a delivery schedule for a just-in-time inventory control program.

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

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An important strategy in operations management is using technology to anticipate customer needs.In the hotel industry,this is known as guest-recognition services.

A) True
B) False

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Sophisticated software that enables computer-aided design machines to communicate with computer-aided manufacturing machines is called:


A) a flexible system.
B) a computer-based feedback control system.
C) computer-integrated manufacturing.
D) heuristic manufacturing integration.

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

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Justin Tyme is a manager at Elastic Plastic,Inc.His duties include production scheduling and keeping tabs on the company's inventory.These activities suggest that Justin is involved in promotions management.

A) True
B) False

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Under the Six Sigma quality standard the idea is to detect potential problems,in order to prevent their occurrence.

A) True
B) False

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The PERT network provides a project manager with a plan that puts all the activities of a project in the correct order that they must be accomplished;shows which activities can be accomplished simultaneously,and,also gives the manager a good estimate of how long each activity will take to complete.

A) True
B) False

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Justin is a project manager for a large defense systems company.Each contract for sophisticated weaponry requires the cooperation of several firms.Each time Justin begins a new project,he reviews what it takes to successfully complete a project.Which of the following would not constitute one of his goals?


A) He wants to meet the demands of the customer's contract with respect to the kind of product the customer wants and how soon they need it
B) He wants the product to achieve the quality level expected by the customer
C) He wants his company to be the lead company and maintain a leadership position in all aspects of the project to project a strong image to the customer
D) He wants to work within the costs budgeted for this project

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

Correct Answer

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Today manufacturers are relying more heavily on:


A) one or two suppliers because firms share so much information.
B) the bidding process to obtain the lowest price.
C) many suppliers to keep its leverage.
D) developing an MRP system for purchasing.

E) B) and C)
F) B) and D)

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Dewey Dare is a production and operations manager with a clothing manufacturer.He has been looking into a system that will enable his company to take measurements from a customer and program machines to design and produce custom-cut clothes at little additional cost.This type of system is an example of the benefits of:


A) mass production.
B) just-in-time production systems.
C) the PERT method.
D) CAD/CAM.

E) A) and D)
F) B) and C)

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Computers and robots are only useful in continuous production processes where the same type of product is produced many times.

A) True
B) False

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Which of the following statements about operations management in the service sector is most accurate? Operations management in the service sector:


A) is all about providing the service at the lowest cost.
B) should focus on providing customers with a good experience.
C) has less flexibility than operations management in the manufacturing sector,because services are not technology driven.
D) has done a good job of increasing output,but a poor job of improving quality.

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

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As businesses strive for market expansion,companies add to their sales force,but opt to eliminate sales offices across the nation and internationally.How are these firms able to remotely operate a sales force that contributes toward increasing the bottom line?


A) A sensible strategy is to transport sales professionals to the world headquarters on a bi-weekly basis
B) The business strategically moves manufacturing facilities to low cost areas and allocates more funds toward the sales professionals to meet face to face with management
C) The operation is maintained with an advanced MRP system
D) The operation is managed with teleconferencing information technology,and telecommuting

E) All of the above
F) B) and C)

Correct Answer

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Seat-belts Unlimited,Inc.is located about 8 miles from two major auto assembly plants.The firm delivers seat-belts about every two hours to each of the plants.The assembly plants only accept the number of seat-belts that they will assemble into cars,during the next two hours after delivery.The auto plants embrace lean manufacturing.

A) True
B) False

Correct Answer

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Enterprise resource planning ERP) goes beyond the capabilities of MRP because it:


A) gives much more precise cost estimates.
B) finds the critical path and computes its length.
C) monitors the computerized functions of all the divisions and subsidiaries of the firm in a single software program.
D) handles research data about more than one product at the same time.

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

Correct Answer

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Companies such as IBM prefer to stay the course and continue to compete by selling products instead of services.

A) True
B) False

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In order to schedule deliveries,Minimotors's suppliers need detailed information about when parts are needed.Minimotors will purchase a sophisticated computer application that will link its operation to sales forecasts to make sure needed parts and supplies are available at the right time to meet customer demands.This planning system is known as:


A) Materials requirement planning MRP) .
B) Program evaluation and review technique PERT) .
C) Minimum daily requirements scheduling MDRS) .
D) Sales-based requirements forecasting SBRF) .

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

Correct Answer

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Modular facilities layouts consist of:


A) teams of workers who work together on a complex assembly.
B) lines of workers who do a small series of tasks and then pass along the product through the line to the next worker.
C) virtual companies and their supplier relationships.
D) workers who have a model in front of them that they try to replicate several times.

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

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To strengthen its manufacturing base,the U.S.will need to continue to innovate.

A) True
B) False

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The main idea in the Making Ethical Decisions box,"Stay or Leave?" indicates:


A) a need for firms to place a higher level of importance on time to market when choosing facilities locations.
B) that the goal of finding the lowest cost location should never be overshadowed by other concerns if the firm is to remain loyal to its stockholders.
C) that many locations do not meet ISO 14000 standards.
D) a need for firms to consider the economic impact of its existence and/or departure from a particular location.

E) C) and D)
F) B) and C)

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