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Operations Management 2
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Operations Management 2
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25 Questions

1. Productivity goals, according to Deming, should be strictly numerical to avoid ambiguity.
2. The goal of operations management is to manage the process of turning labor and raw materials into goods and services of some type.
3. Aesthetics may improve how a product looks but they do not contribute to the actual quality of the product.
4. The three inputs in the transformation process are people, equipment, and materials.
5. The majority of U.S. companies in 2010 still produce goods rather than services.
6. A load chart can tell you how many workers are busy at a given point in time.
7. Deming advocated an approach in which managers never get complacent about the quality of their product.
8. Each link in a value chain adds an equal amount of value to a product.
9. Beginning in the 1950s U.S. firms began to focus on manufacturing rather than finance and marketing.
10. Employees in a value chain management organization must be flexible.
11. Customers played a role in IKEA's success by being willing to pay higher prices for high quality furniture.
12. Value in a value chain management system is determined by managers.
13. Value chain management is efficiency oriented.
14. In value chain management activities are eliminated from the organizational process if they do not add value to the process.
15. Product quality and service quality are two different things.
16. In the Six Sigma system, the higher the sigma value, the greater number of defects you would expect from a product.
17. Companies in Japan and Germany in the 1960s and 1970s began to catch up with U.S. firms by focusing on quality.
18. The customer is part of the value chain in value chain management.
19. Value chain management is externally oriented.
20. The goal of value chain management is to meet, but never to exceed the needs and desires of customers.
21. Operations management is likely to play a key role in American firms regaining their preeminence among world companies.
22. Deming's 14 points were useful in their time but are now largely considered to be obsolete.
23. Organizational processes in value chain management refer to how work is done.
24. Partners in a value chain management system need to be able to both learn from and educate other partners in the value chain.
25. The critical path in a PERT network is the least time-consuming sequence required to complete a project in the shortest period of time.

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