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    Question 1
    Service organizations generally
    are in close proximity to the customer
    rely on physical inventory
    take advantage of patents
    can delegate human behavior and marketing skills
    Question 2
    Which one of the following has the highest goods content?
    medicine prescription
    computer repair
    automobile loan
    symphony performance
    Question 3
    The quality revolution is most related to
    continuous improvement
    mass production
    time-based competition
    service
    Question 4
    A golf simulator in a retail sports store is an example of
    non- durable goods replacing services
    primary good
    goods content
    biztainment
    Question 5
    Service management skills would include all of the following except
    accounting and finance
    knowledge and technical expertise about operations
    marketing and cross-selling
    human interaction
    Question 6
    The three issues that are at the core of operations management include all of the following except
    cost
    quality
    utilization
    efficiency
    Question 7
    Which of the following would be the lowest in goods content and highest in service content?
    fast food restaurant
    attending a theater production
    getting an oil change for your car
    filling a medical prescription
    Question 8
    Support processes would typically include all of the following except
    inventory management
    customer help desk operations
    research and development
    manufacturing and assembly
    Question 9
    A support process could be any of the following except
    assembling automobiles
    purchasing materials and supplies
    managing inventory
    installing a product
    Question 10
    Which of the following is not a key activity of an operations manager?
    translating market knowledge into goods services and processes
    continually learning and adapting to global and environmental changes
    managing cash flows and strategic investments
    exploiting technology to improve productivity
    Question 11
    A value creation process could be any of the following except
    Answer
    shipping a customers order
    providing a home mortgage
    assembling a dishwasher
    purchasing production material
    Moving to another question will save this response.
    Question 12
    Which of the following is not a current challenge to OM?
    Globalization
    Technology
    Quality
    mass production
    Question 13
    Which one of the following is not an example of biztainment?
    iPhone applications
    automobile leasing
    product demonstrations
    virtual factory tours
    Question 14
    Which of the following is the correct sequence describing the evolution of operations management?
    efficiency customization quality service sustainability time-based competition
    quality efficiency time-based competition sustainability customization service
    efficiency quality customization time-based competition service sustainability
    quality service customization time-based competition efficiency sustainability
    Question 15
    In relating operations management and the customer benefit package (CBP) which is the correct timing sequence?
    Operating system processes lead to customer needs and expectations which lead to customer benefit package.
    Customer benefit package leads to customer needs and expectations which lead to operating system processes.
    Customer needs and expectations lead to customer benefit package which leads to operating system processes.
    Customer needs and expectations lead to operating system processes which lead to customer benefit package.
    Question 16
    Which of the following generally does not result from vertical integration?
    less control over cost
    more control over quality
    more complexity in managing
    higher levels of risk
    Question 17
    When break-even analysis is applied to an outsourcing decision the breakeven quantity is
    the ratio of fixed costs to the difference between variable outsourcing cost and variable in-house production cost
    the ratio of the difference between variable outsourcing cost and variable in-house production cost to fixed costs
    the product of the variable costs times the fixed costs
    the product of the variable costs times the production quantity
    Question 18
    The control of Wal-Marts value chain is ______ while the control of General Electrics is ________.
    post-production focused preproduction focused
    horizontal vertical
    centralized decentralized
    backward integrated forward integrated
    Question 19
    From the pre- and post-service view of a value chain goods and services design contract negotiation and consulting services would be considered
    pre-production services
    production processes
    post-production services
    value creation
    Question 20
    Outsourcing is
    the same as offshoring
    the opposite of vertical integration
    the opposite of backward integration
    the same as diversifying
    Question 21
    Operational structure of the value chain deals with
    management hierarchy
    vertical integration
    configuration of resources
    culture
    Question 22
    Computer software would be an example of
    an intangible good
    a nondurable good
    a service
    a value creation process
    Question 23
    Which of the following is not normally considered a variable cost?
    labor
    transportation
    equipment lease
    material
    Question 24
    For a restaurant order-taking bill payment and home delivery would be considered
    services
    inputs
    processes
    outputs
    Question 25
    The first second and third waves of outsourcing experienced by the U.S. are
    goods-producing jobs simple service work skilled knowledge work
    simple service work goods-producing jobs skilled knowledge work
    simple service work skilled knowledge work goods-producing jobs
    skilled knowledge work simple service work goods-producing jobs
    Question 26
    The perception of the benefits associated with a good service or bundle of goods and services in relation to what buyers are willing to pay for them is the definition of
    proportionality
    competitiveness
    value
    equity
    Question 27
    ____ is the process of managing information services and physical goods to insure their availability at the right place at the right time at the right cost and at the right quantity with the highest attention given to quality.
    Preproduction service
    Value proposition
    Operational structure
    Value chain integration
    Question 28
    In the value chain model for a hospital patients drugs and staff would be considered
    suppliers
    inputs
    processes
    outputs
    Question 29
    A company has two alternatives for meeting a customer requirement for 9000 units of a specialty molding. If done in-house fixed cost would be $350000 with variable cost at $30 per unit. If outsourced the cost is $80 per unit. Determine the breakeven point and determine if they should make the item in-house or outsource it.
    breakeven point = 7000 units; outsource
    breakeven point = 7000 units; make in-house
    breakeven point = 11667 units; outsource
    breakeven point = 11667 units; make in-house
    Question 30
    The United States has experienced three waves of outsourcing. Which of the following isnotone of the waves?
    skilled knowledge work
    mass customization
    simple service work
    goods-producing jobs

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