108 test bank for operations management an integrated approach 3rd edition reid

For which of the following values in week 2 would labor productivity decrease?. e environmental scanning If inputs increase by 10% and outputs increase by 4%, what i s the percentage

Test Bank for Operations Management An Integrated Approach 3rd Edition Reid

What term describes the process of obtaining goods or servi

ces from an outside provider?

1 a) outproviding

2 b) transferization

3 c) outsourcing

4 d) subsourcing

5 e) supersourcing

Which of the following competitive priorities typically requir

es the use of more general purpose equipment?

1 a) technology

2 b) cost

3 c) quality

4 d) flexibility

5 e) time

Highly

skilled hourly workers would be most needed by comp anies employing which of

the following competitive priorities?

1 a) location

2 b) cost

3 c) flexibility

4 d) development speed

5 e) time

Which type of technology has had the greatest impact on bu

siness?

1 a) process technology

2 b) information technology

3 c) environmental technology

4 d) safety technology

5 e) product technology

Suppose that a plant has a daily productivity of 0.85 parts pe

r employee? What can we conclude?

1 a) the plant must be very labor intensive

2 b) the plant is not earning profits

3 c) the plant must be highly automated

4 d) the plant should lay off workers

5 e) nothing

Suppose that on Monday the cost of inputs sums to $1000, a

nd the value of outputs sums to $4000 For which of th

e following values on Tuesday would productivity incr ease?

1 a) inputs = $1100, outputs = $4000

2 b) inputs = $1100, outputs = $4200

3 c) inputs = $850, outputs = $3600

4 d) inputs = $1000, outputs = $3900

5 e) inputs = $2000, outputs = $8000

Suppose that in week 1 a company produced 1000 units usi

ng 60 labor hours For which of

the following values in week 2 would labor productivity decrease?

1 a) units = 2000, hours = 120

2 b) units = 1500, hours = 95

3 c) units = 1000, hours = 58

4 d) units = 500, hours = 30

5 e) units = 2000, hours = 100

Which of the following is a valid type of “productivity measu

re?”

1 a) multi output productivity measure

2 b) partial productivity measure

3 c) multi part productivity measure

4 d) multi component productivity measure

5 e) imperfect productivity measure

How does Federal Express maintain its ability to compete on

time during peak demand periods?

1 a) it subcontracts overload to other firms

2 b) it purchases more planes

3 c) overtime

4 d) it uses a very flexible part‐time workforce

5 e) it purchases more vans

Which of the following is not typically considered to be a cor

e competency?

1 a) workforce

2 b) mission

3 c) market understanding

4 d) technology

5 e) facilities

The process of monitoring the external environment is calle

d what?

1 a) environmental examination

2 b) environmental inspection

3 c) environmental scrutiny

4 d) environmental perusal

5 e) environmental scanning

If inputs increase by 10% and outputs increase by 4%, what i

s the percentage productivity increase?

1 a) 5.45%

2 b) 250.00%

3 c) - 5.45%

4 d) 5.77%

5 e) -5.77%

Suppose that last month the cost of inputs summed to $100,

000, and the value of outputs summed to $800,000 Fo

r which of the following values this month would produ ctivity increase?

1 a) inputs = $110,000, outputs = $800,000

2 b) inputs = $50,000, outputs = $400,000

3 c) inputs = $200,000, outputs = $1,600,000

4 d) inputs = $100,000, outputs = $820,000

5 e) inputs = $300,000, outputs = $1,600,000

Computer aided manufacturing is an example of what?

1 a) process technology

2 b) information technology

3 c) environmental technology

4 d) safety technology

5 e) product technology

If inputs increase by 6% and outputs increase by 24%, what i

s the percentage productivity increase?

1 a) 400.00%

2 b) 16.98%

3 c) 0.25%

4 d) 4.00%

5 e) 18.00%

Consider a pizza parlor Which of the following would not b

e a valid productivity measure?

1 a) pizzas produced / number of workers used

2 b) pizzas produced / number of ovens

3 c) pizzas produced / cost of workers and ingredients

4 d) pizzas produced / cost of all inputs used

5 e) labor hours / pizzas produced

Which of the following would not be considered a core com

petency that a company might have?

1 a) a highly trained workforce

2 b) an inefficient distribution system

3 c) skills in attracting and raising capital

4 d) use of information technology

5 e) quality control techniques

Which of the following is not considered one of the

four broad categories of competitive priorities?

1 a) technology

2 b) cost

3 c) quality

4 d) flexibility

5 e) time

When does productivity increase?

1 a) inputs increase while outputs remain the same

2 b) inputs decrease while outputs remain the same

3 c) outputs decrease while inputs remain the same

4 d) inputs and outputs increase proportionally

5 e) none of the above

What are the three primary types of technology?

1 a) product technology, process technology, and information technology

2 b) product technology, process technology, and environmental technology

3 c) product technology, process technology, and safety technology

4 d) information technology, environmental technology, and safety technology

5 e) environmental technology, information technology, and process technology

If inputs increase by 30% and outputs decrease by 15%, wha

t is the percentage change in productivity?

1 a) 100% decrease

2 b) 11.54% increase

3 c) 34.62% decrease

4 d) 15% increase

5 e) 15% decrease

Suppose that a plant has a total productivity measure of 0.8

5 What can we conclude?

1 a) the plant is not earning profits

2 b) nothing

3 c) the plant should lay off workers

4 d) the plant is highly automated

5 e) the daily productivity is excellent

Teflon is an example of what?

1 a) process technology

2 b) information technology

3 c) environmental technology

4 d) safety technology

5 e) product technology

If inputs increase by 10% and outputs increase by 5%, what i

s the percentage change in productivity?

1 a) 4.545% decrease

2 b) 4.545% increase

3 c) 4.762% increase

4 d) 4.762% decrease

5 e) 50.000% increase

During the 1970s and 1980s, firms from which country provi

ded the most serious competitive threat to U.S compa nies?

1 a) Germany

2 b) Canada

3 c) Mexico

4 d) Japan

5 e) United Kingdom

Decisions regarding which of the following are not part of th

e production process structure?

1 a) management policies

2 b) facilities

3 c) robots

4 d) flow of goods and services through the facility

5 e) flexible manufacturing system (FMS) machines

What are the two key components of the operations strategy

of Federal Express?

1 a) they own their own fleet of tractor trailers, and they use a sophisticated bar cod

e technology

2 b) they own their own fleet of tractor trailers, and they have a large warehouse in e very state

3 c) they own their own fleet of airplanes, and they have a large warehouse in every state

4 d) they use a sophisticated bar code technology, and they have a large warehouse

in every state

5 e) they own their own fleet of airplanes, and they use a sophisticated bar code tec hnology

Empire West specializes in making a wide variety of product

s out of what?

1 a) steel

2 b) paper

3 c) aluminum

4 d) plastic

5 e) copper

Suppose that a plant has a daily productivity of 200 parts pe

r employee? What can we conclude?

1 a) the daily productivity is excellent

2 b) the plant can hire more workers and still earn profits

3 c) the plant is not earning profits

4 d) the plant must be highly automated

5 e) nothing

Suppose that on Wednesday the cost of inputs summed to $

4000, and the value of outputs summed to $10,000 Fo

r which of the following values on Thursday will produ ctivity stay the same?

1 a) inputs = $2000, outputs = $5000

2 b) inputs = $5000, outputs = $10,000

3 c) inputs = $4000, outputs = $8000

4 d) inputs = $10,000, outputs = $4000

5 e) inputs = $12,000, outputs = $40,000

Decisions regarding which of the following are not

part of the production process infrastructure?

1 a) organization of workers

2 b) facilities

3 c) worker pay

4 d) quality control measures

5 e) management policies

If inputs increase by 30% and outputs increase by 15%, what

is the percentage change in productivity?

1 a) 50.00% decrease

2 b) 88.46% increase

3 c) 88.46% decrease

4 d) 11.54% increase

5 e) 11.54% decrease

68 Free Test Bank for Operations Management An

Integrated Approach 3rd Edition Reid Multiple

Choice Questions - Page 2

Vericol, Inc manufactures drugs using workers and automat

ed machines The firm has

decided to replace two workers with a new machine, w hile the output per day is not expected to change Whi

ch of the following cannot be true?

1 a) labor productivity will increase

2 b) machine productivity will decrease

3 c) labor productivity will decrease

4 d) multifactor productivity will increase

5 e) multifactor productivity will decrease

A machine shop produces metal frames on two different ma

chines The average daily production on machine 1 is

300 frames, and the average daily production on machi

ne 2 is 180 frames What is the daily machine producti vity?

1 a) 480 frames/machine

2 b) 330 frames/machine

3 c) 240 frames/machine

4 d) 160 frames/machine

5 e) 300 frames/machine

A manager has just replaced three workers with a machine t

hat is cheaper to operate than the cost of the three repl aced workers Output is expected to remain the same Which of the following is true?

1 a) labor productivity will decrease

2 b) machine productivity will increase

3 c) multifactor productivity will decrease

4 d) multifactor productivity will increase

5 e) the value of output will decrease

An organization s ʹ mission specifies its:

1 A strategy

2 B business

3 C methods.

4 D customers

5 E approach

On Tuesday George produced 100 units in 8 hours On Wed

nesday he produced 120 units in 10 hours What was his percent productivity change?

1 a) 0.50% −

2 b) 4.17% −

3 c) 4.17%

4 d) 4.00% −

5 e) 4.00%

Misaligned operational strategy and efficiency leads to:

1 A using fewer resources

2 B lower production costs

3 C foolish resource use

4 D saving money

5 E wise resource use

The few things an organization does best are its:

1 A specialties

2 B product line

3 C most profitable products.

4 D largest sellers

5 E core competencies

Which of the following is not described in the chapter as on

e of the major environmental trends that firms should monitor?

1 a) marketplace trends

2 b) global climate trends

3 c) economic trends

4 d) political trends

5 e) social trends

Suppose that output is worth $400, and labor and materials

costs are $200 and $100, respectively What is the mat erials productivity?

1 a) 2.00

2 b) 1.33

3 c) 0.25

4 d) 0.75

5 e) 4.00

Suppose that in year 1 a company produced $100 Million wo

rth of outputs while inputs totaled $50 Million For whi

ch of the following values in year 2 would productivity decrease?

1 a) outputs = $90 Million, inputs = $50 Million

2 b) outputs = $400 Million, inputs = $200 Million

3 c) outputs = $250 Million, inputs = $100 Million

4 d) outputs = $50 Million, inputs = $25 Million

5 e) outputs = $60 Million, inputs = $25 Million

Suppose that weekly output is worth $1000, and labor and m

aterials costs are $300 and $200, respectively What is the multifactor productivity ratio?

1 a) 1000

2 b) 8

3 c) 2

4 d) 3

5 e) 0.5

Focusing on the quality of goods and services includes:

1 A high performance design and product consistency.

2 B zero defects and generous return policies.

3 C the quality of inputs, processes, and execution.

4 D using the latest Operations Management tools.

5 E meeting design specifications.

Last month Stacy sold 10 houses while working 20 days Th

is month she sold the same number of houses in 22 da

ys What is her percent productivity change?

1 a) 10.00%

2 b) − 9.09%

3 c) 9.09%

4 d) 10.00% −

5 e) − 4.55%

Last month a plant produced 10,000 units using 2000 labor h

ours This month it produced 12,000 units using 3000 l abor hours What is the percent productivity decrease

?

1 a) 200%

2 b) 100%

3 c) 50%

4 d) 25%

5 e) 20%

A company used to produce 300 units every day, but 20% of

the units were defective After installing a new proces

s, the defect rate has been reduced to 5%, while output has remained the same What is the percent increase i

n productivity due to installing the new process?

1 a) 15.79%

2 b) 0.00%

3 c) 15.00%

4 d) 18.75%

5 e) 75.00% −

Suppose that in January a company produced 5000 units usi

ng 1000 labor hours For which of the following values

in February would labor productivity decrease?

1 a) units = 5000, hours = 900

2 b) units = 10,000, hours = 1500

3 c) units = 10,000, hours = 2000

4 d) units = 2500, hours = 500

5 e) units = 5000, hours = 1100

Yesterday, John produced 100 units in 8 hours Today he pr

oduced the same amount in 6 hours What is his perce

nt productivity change?

1 a) 33.33%

2 b) 0.00%

3 c) 25.55%

4 d) 25.00% −

5 e) 4.67%

Firms choose their competitive priorities from:

1 A cost, quality, time, and flexibility.

2 B vision, mission, and strategic planning.

3 C focus groups and customer surveys.

4 D manufacturing or service focus.

5 E environmental scanning, mission, and core competencies.

A firm produces 500 units per day using five workers on a fi

ve

hour shift On average, 15% of the units produced are defective and must be scrapped What is the labor pro ductivity for non defective units?

1 a) 17 units/hour

2 b) 3 units/hour

3 c) 20 units/hour

4 d) 85 units/hour

5 e) 15 units/hour

A firm produces 100 units using 800 labor hours What is its

labor productivity?

1 a) 0.125 units/hour

2 b) 8 units/hour

3 c) 100 units/hour

4 d) 800 units/hour

5 e) -0.125 units/hour

Which of the following has used the Internet to conduct a fa

shion show in order to boost sales?

1 a) The Gap

2 b) Eddie Bauer

3 c) Fruit of the Loom

4 d) Victoria’s Secret

5 e) Sears

Last month a plant produced 1200 units using 150 labor hou

rs This month it produced 1500 units using 300 labor hours What is the percent productivity decrease?

1 a) 37.50%

2 b) 60.00%

3 c) 100.00%

4 d) 300.00%

5 e) 200.00%

A machine shop produces metal brackets on two different m

achines Machine 1 can produce a bracket every 10 mi nutes Machine 2 can produce a bracket every 4 minut

es What is the average productivity per machine?

1 a) 4.3 brackets/hour

2 b) 8.6 brackets/hour

3 c) 10.5 brackets/hour

4 d) 21.0 brackets/hour

5 e) 7.0 brackets/hour

A company used to produce 500 units every 2 days, but 10%

of the units were defective After installing a new proce

ss, defects have been eliminated while output has rem ained the same What is the percent increase in produ ctivity due to installing the new process?

1 a) 10.00%

2 b) 25.00%

3 c) 11.11%

4 d) 0.00%

5 e) 5.56%

A firm that sold $14.000 worth of output while using $1 2,000 worth of input had _ total productivity:

1 A 0.857

2 B 1.333

3 C 0.167

4 D 6.000

5 E 1.167

Suppose that on Thursday a company produced 80 units usi

ng 160 labor hours For which of the following values

on Friday would daily labor productivity increase?

1 a) units = 70, hours = 160

2 b) units = 80, hours = 180

3 c) units = 240, hours = 500

4 d) units = 160, hours = 300

5 e) units = 40, hours = 100

Setting competitive priorities means:

1 A making hard choices

2 B accepting trade‐offs

3 C insisting on one answer.

4 D trying to do many things.

5 E abandoning financial analysis.