Test Bank on Operations Management 5th Canadian Edition by Stevenson et al.
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Course
Nursing
Institution
Nursing
Book
Operations Management
Test Bank on Operations Management 5th Canadian Edition
by Stevenson et al.
Chapter 01
1. As a service business, the operations management activities of an airline company have nothing in common
with the operations management activities within a bicycle manufacturing company.
True False
2. Op...
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Test Bank on Operations Management 5th Canadian Edition
by Stevenson et al.
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Question and Answers
,Test Bank on Operations Management5th Canadian Edition by
Stevenson et al.
Chapter 01
1. As a service business, the operations management activities of an airline company have nothing in common
with the operations management activities within a bicycle manufacturing company.
True False
2. Operations managers are responsible for managing activities and resources that produce goods and/or provide
services.
True False
3. Effectiveness refers to achieving intended goals whereas efficiency refers to minimizing cost and time.
True False
4. Operations, marketing, and finance function independently of each other in most organizations.
True False
5. The operations function exists only in firms that are goods-oriented.
True False
6. Operations management pertains almost exclusively to the management of manufacturing operations.
True False
7. Value-added refers to the cost of the inputs required to produce goods and services.
True False
8. As long as a product is ready in advance of when customers demand it, the timing of when a product is
manufactured does not influence the value-added.
True False
,9. Storing an item earlier than the scheduled delivery date is an example of a value adding activity.
True False
10. Management information systems (MIS) are concerned with providing management with the information it
needs to effectively manage.
True False
11. Operations management involves both system design and planning/control decisions.
True False
12. System design decisions have very little impact on planning/control decisions.
True False
13. An example of an operations control decision is the choice of location.
True False
14. Scheduling jobs is a system design decision and not a planning decision.
True False
15. Design decisions are usually strategic and long term, while planning decisions are tactical and medium
term.
True False
16. Managing inventory levels is considered a planning/control operations decision area.
True False
17. A basic difference between manufacturing and service organizations is that services are action-oriented and
manufacturing is goods-oriented.
True False
, Operations Management - 5th Canadian Edition - Stevenson et al.
18. Service involves a much higher degree of customer contact than the production of goods.
True False
19. Service often requires a higher labour content, whereas the production of goods is more capital intensive.
True False
20. Measurement of productivity in service is more straightforward than in goods production due to the high
degree of uniformity of inputs.
True False
21. Models are simplified representations of something and thus ignore important aspects of a situation.
True False
22. Quantitative techniques are often quick and practical techniques for many decisions.
True False
23. A systems approach emphasizes interrelationships among subsystems, but its main theme is that the whole
is greater than the sum of its individual parts.
True False
24. Queuing techniques are useful for analyzing situations in which waiting lines form.
True False
25. It is essential to use the systems approach when something is being designed, redesigned, implemented,
improved, or otherwise changed.
True False
26. A systems approach is to concentrate on efficiency within a subsystem and thereby achieve overall
efficiency.
True False
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