QUESTION In the product layout arrangement, similar work is grouped by function. Indicate whether the statement is true or false. ANSWER Answer: FALSE Explanation: The process layout groups by function. In the product layout, equipment and tasks are arranged into an assembly line—a sequence of steps for producing a single product.
QUESTION Because restaurants have little room to store supplies long term, and because they can’t store perishables long term anyway, most restaurants tend to rely on the just-in-time system of inventory control, at least for their perishable foodstuffs. Indicate whether the statement is true or false. ANSWER Answer: TRUE Explanation: With just-in-time inventory control, […]
QUESTION Ezra’s company makes cream-filled cupcakes. Because of refrigeration concerns, Ezra takes extra care during the stage in the production process when the cream is injected into the cakes. Ezra loses a fair amount of product to cakes falling apart before they are boxed, and he doesn’t worry about the individual plastic wrapping that goes […]
QUESTION Quality assurance is defined as the process of minimizing errors by managing each stage of production. Indicate whether the statement is true or false. ANSWER Answer: TRUE Explanation: Quality assurance is defined as the process of minimizing errors by managing each stage of production.
QUESTION A Gantt chart is an ideal way to schedule a large and complex project. Indicate whether the statement is true or false. ANSWER Answer: FALSE Explanation: Although a Gantt chart can express the interrelations among the activities of relatively small projects, it becomes cumbersome and unwieldy when used for large, complex projects. More […]
QUESTION Operations management works in exactly the same way for manufacturing and for services. Indicate whether the statement is true or false. ANSWER Answer: FALSE Explanation: There are differences in how operations management works for manufacturing businesses, which mainly produce goods, and how it works for service businesses, which mainly deal with people.
QUESTION Form utility is the value that people add in converting resources, including natural resources, capital, human resources, entrepreneurship, and knowledge, into finished products. Indicate whether the statement is true or false. ANSWER Answer: TRUE Explanation: The way that operations processes add value to resources and convert them into products is by changing their […]
QUESTION Which of the following, if true, most strongly supports the conclusion that All American Burger should adopt a decentralized approach? A) The value of a decentralized approach has been a popular topic in academic research. B) A large percentage of All American Burger’s revenue comes from a small number of menu items. C) The […]
QUESTION Transformation processes add value to factors of production to produce goods or services. Indicate whether the statement is true or false. ANSWER Answer: TRUE Explanation: Operations is about transformation, which adds value to factors of production such as natural resources and capital to produce goods or services.
QUESTION Old rubber tires are cut into small pieces and then strewn on the floor of an indoor riding arena to make a surface comfortable for horses to move on. This process is an example of synthetic transformation. Indicate whether the statement is true or false. ANSWER Answer: FALSE Explanation: This process is an […]
