Q&A Hero

Q: Process design A.is the way new product ideas are developed. B.is the next stage after product design. C.is considered less important to a company than product design. D.should occur at the same time as product design.

Q: An example of a prototype is A.a military aircraft. B.the personal computer. C.a Broadway play. D.the original McDonald's restaurant.

Q: Which of the following is NOT part of the new product development process? A.Concept development B.Product design C.Development of the marketing strategy D.Pilot production/testing

Q: The market-pull view of new product innovation is to A."pull" the products into the market as fast as possible. B.develop products that the company can sell, based on customer needs. C.market whatever the company makes best. D.make new products appealing through innovative packaging.

Q: How do operations strategic decisions differ for a product imitator strategy versus a product innovator strategy?

Q: What are five focused initiatives with which a company should start its sustainability journey?

Q: Think of an example of any manufacturing (e.g., 3M) or service (e.g., Southwest Airlines) firm. Briefly discuss in your own words the operations mission, order winner, order qualifiers, and distinctive competence of the chosen firm(s). Feedback: See below.

Q: Imitative products have low profit margins and predictable demand.

Q: Business strategy can be derived from a firm's distinctive competence that is difficult for competitors to copy or imitate.

Q: A corporate strategy drives the business strategy, which in turn drives the operations strategy in an organization.

Q: McDonald's distinctive competence has changed over time from continuous improvement of the transformation system and brand to the unique service and supply chain transformation system.

Q: Which of the following would NOT be examined in a sustainable operations initiative? A. New product development B. Packaging C. Services D. All of these would be examined.

Q: Which of the following should be the first step as operations embark on a sustainability initiative? A. Work with suppliers to reduce input waste. B. Focus on reducing energy consumption. C. Measure the environmental impact of current operations. D. None of the above.

Q: Which of the following would NOT be appropriate for the supply chain strategy of a manufacturer of a generic chicken soup? A. Suppliers chosen for their ability to reliably deliver B. Suppliers chosen for the excess capacity they maintain C. Suppliers chosen on the basis of low cost D. All of the above would be appropriate.

Q: Firms competing in an emerging market prioritize which of these supply chain characteristics? A. Efficiency B. High inventory turnover C. Lower capacity utilization D. Low-cost production

Q: The two fundamental supply chain strategies are A. low cost or high quality. B. innovative or imitative. C. economies of scale or economies of scope. D. none of the above.

Q: Which of the following statements concerning supply chain strategy is NOT correct? A. Supply chains are too complex to achieve sustainable competitive advantage for the entire supply chain. B. Supply chain strategy applies from the ultimate customer back to the suppliers to your suppliers. C. The capabilities of customers also factor into supply chain strategy. D. All supply chain partners should be working toward the same mission and objectives.

Q: Global corporations are likely to A. design products and services to fit global tastes. B. develop a global distinctive competence for operations. C. standardize logistics and inventory control. D. perform all of the above.

Q: Which of the following is NOT an example of an operations distinctive competence? A. The ability to make pints of ice cream with a solid chocolate core B. The ability to make airplane wings out of composite materials C. The ability of a chiropractic clinic to achieve a 99.5% customer approval rating D. The ability to meet with doctors individually to introduce them to new products

Q: Which of these statements concerning distinctive competence is true? A. If a distinctive competence does not meet a customer need, it is worthless. B. Learning and culture are not considered good opportunities for establishing distinctive competence. C. If the firm selects the right operations objectives, there is no need to develop or maintain a distinctive competence. D. The concept of distinctive competence is unique to operations strategy.

Q: Which of these statements concerning business strategy is true? A. Business strategy success relies on the creation of all-purpose operations that are best for all circumstances. B. Not all functional strategies must support the business strategy, only marketing and finance. C. Strong business strategies call for excellence across all four operations objectives. D. Drastically different types of operations are needed to support different business strategies.

Q: Which of the following operations strategic decisions does NOT support a product imitator strategy? A. Develop world-class processes. B. Invest in specialized automation. C. Purposefully react slowly to changes. D. Use economies of scope.

Q: Which of the following market conditions is best suited by a product innovator strategy? A. Price sensitivity B. Mature market C. Product features sensitivity D. High demand

Q: Which of the following is NOT a tactic for competing through flexible operations? A. Reduce production time. B. Select overseas suppliers. C. Increase the variety of product/service options or features. D. Add operations capacity.

Q: A retailer that invests extensively in customer service training is most likely pursuing which operations objective? A. Flexibility B. Deliver C. Cost D. Quality

Q: A decision to maintain higher inventory levels represents a focus on which operations objective? A. Quality B. Flexibility C. Delivery D. Cost

Q: An ice cream manufacturers use of energy-efficient and natural hydrocarbon (HC) freezers instead of commonly used hydroflurocarbon (HFC) freezers is an example of A. corporate strategy. B. business strategy. C. operations strategy. D. distinctive competence.

Q: The outcome of appropriately developing the operations strategy is A. a business strategy that supports the operations strategy. B. a set of decisions in synch with those of other functions. C. a comprehensive internal and external analysis. D. a clear distinctive competence.

Q: Operations strategy is a A. functional strategy. B. business strategy. C. divisional strategy. D. corporate strategy.

Q: Which of the following statements about the development of operations function mission, objectives, and strategies is FALSE? A. Operations objectives and strategies provide both short-term and long-term decision making focus and direction. B. In the development of an operations strategy, it is essential that operations objectives of cost, quality, delivery dependability, and flexibility be all equally weighted due to their equal importance. C. Examples of internal factors, which should be examined in the development of operations strategies, include product line considerations, the condition of existing equipment, and current facility capacities. D. An organizations mission, distinctive competence, objectives, and strategic decisions compose the organizations strategy.

Q: Which of the following is NOT an example of an organizations distinctive competence? A. Organizational knowledge that has been developed internally over time B. Patented proprietary equipment and processes C. The ERP (enterprise resource planning) software purchased from SAP D. Human resource skills that cannot be easily learned

Q: Which of the following statements concerning the development of operations functional mission, objectives, and strategies is correct? A. Strategic operational choices such as make versus buy or handcrafted versus machine-made specify how operations objectives will be achieved. B. Functional-level operations and strategies are determined prior to corporate objectives and strategies. C. It is common for many different types of operations to use a common or similar set of business strategies. D. Operations objectives represent a plan for achieving operations strategies.

Q: Which of the following statements concerning a firms operations strategic decisions is NOT correct? A. Strategic decisions should be established in a distinctly separate manner without regard to other functional disciplines within an organization. B. Strategic decisions should be developed for each of the decision responsibilities of process, quality, capacity, and inventory. C. Strategic decisions should indicate how operations objectives would be achieved. D. Strategic decisions may call for difficult trade-offs or choices.

Q: Which of the following statements concerning distinctive competence is NOT correct? A. Distinctive competence should match the mission of operations. B. Another name for distinctive competence is operations capability. C. Distinctive competence must be supported across the entire business as a basis for competitive advantage. D. The business strategy of a firm always emanates from the market and cannot be built over the firms distinctive competence.

Q: Which of the following statements concerning the relationship among corporate, business, and functional strategies is correct? A. Functional strategies guide the development of corporate strategies, which guide the development of business strategies. B. Business strategies guide the development of corporate strategies, which guide the development of functional strategies. C. Corporate strategies guide the development of business strategies, which guide the development of functional strategies. D. Corporate strategies guide the development of functional strategies, which guide the development of business strategies.

Q: Supply chain strategy focuses, in part, on A. sourcing and logistics. B. customers. C. information flow. D. all of the above.

Q: A global corporation has which of the following characteristics? A.A separate subsidiary or division for each country where it does business B.Demand based on a worldwide versus a local basis C.Products designed for each individual marketplace D.Both a and c

Q: Which of the following is NOT a characteristic of a distinctive competence? A.It could be based on human resources that are difficult to imitate. B.It could be based on proprietary technology. All of the above are characteristics of a distinctive competence. Feedback: All of these are characteristics of distinctive competence.

Q: Which of the following statements about operations objectives is NOT true? A.Focusing attention on improving quality frequently results in lower costs. B.Reducing costs often causes improvement in quality. C.Each of the operations objectives can be improved nearly simultaneously. D.Reducing the time necessary to produce and deliver a product will result in greater flexibility.

Q: Which operations objective does the author suggest as the basis for improvement in the other operations objectives? A.Cost B.Quality C.Delivery D.Flexibility

Q: A company uses proprietary computer software to offer services that other companies have not been able to emulate. These services have enabled the company to enter new markets and have caused new organizational structures to be formed. This is an example of which of the following? A.Objective B.Mission C.Distinctive competence D.Strategic decision

Q: Next year's goal is to fill 99% of all orders from stock. This is an example of which of the following? A.Objective B.Mission C.Distinctive competence D.Strategic decision

Q: A decision has been made that suppliers will be chosen based on quality rather than cost. This is an example of which of the following? A.Objective B.Mission C.Distinctive competence D.Strategic decision

Q: Strategic decisions are to be made for which of the following decision areas? A.Quality, process, capacity, and inventory B.Cost, quality, delivery, and flexibility C.Mission, distinctive competence, objectives, and tactics D.All of the above

Q: Another term used for operations objectives is A.order winners. B.order qualifiers. C.competitive priorities. D.distinctive competence.

Q: Which of the following is NOT a characteristic of a global corporation? A.Facilities and plants are located on a country-by-country basis. B.Global product design and process technology are used. C.Logistics and inventory control systems are global. D. Divisions are organized to have global responsibility for the marketing, R&D, and operations functions.

Q: Make or buy is an example of what type of strategic decision? A.Inventory B.Process C.Quality D.Capacity

Q: In the product imitator strategy, the order winner is _____ for the customer, whereas in the product innovator strategy, the order winner is ______. A.flexibility, price B.flexibility, quality C.quality, price D.price, flexibility

Q: The operation objectives of quality, cost, delivery, and flexibility are A.mutually exclusive. B.independent of each other. C.connected. D.unique.

Q: The four common objectives of operations are A.quality, delivery, cost, and innovation. B.quality, cost, flexibility, and agility. C.quality, cost, delivery, and flexibility. D.cost, quality, capacity, and flexibility.

Q: According to Michael Porter, the generic types of business strategies include A.differentiation, low cost, focus. B.high price, high quality, fast delivery. C.focus, quality, imitation. D.all of the above.

Q: The four elements that form the heart of operations strategy include A.mission, distinctive competence, objectives, and internal analysis. B.mission, distinctive competence, internal analysis, and external analysis. C.mission, objectives, internal analysis, and external analysis. D.mission, distinctive competence, objectives, and strategic decisions.

Q: At Disney, "Making People Happy" is an example of A.operations mission. B.corporate strategy. C.business strategy. D.operations strategy.

Q: What are the five inputs and two outputs of an operations transformation process?

Q: Identify the critical operations decision areas in an organization, and discuss the responsibilities of an operations manager while addressing these decisions.

Q: The process view provides a basis for viewing an entire business as a system of interconnected processes.

Q: The transformation view of the operations function provides a unified approach for studying the manufacturing and service industries.

Q: Which of the following would NOT be considered an operations and supply chain position title? A. Business metrics/analytics analyst B. Continuous improvement lead C. Commodity sourcing manager D. All of the above would be considered operations and supply chain position titles.

Q: Which of the following statements is INCORRECT? A. Marketing is typically responsible for generating demand for products. B. Human resources is typically responsible for assuring the quality of products. C. Operations is typically responsible for producing and delivering products and services. D. Finance is typically responsible for acquiring and allocating capital.

Q: Which of the following is NOT a typical application of analytics in operations and supply chain management? A. Forecasting B. Capacity and scheduling C. Logistics and sourcing D. All of the above are typical applications.

Q: Decision making using analytics is viewed as A. prescriptive (use of mathematical models to optimize decisions). B. predictive (use of data to predict what is likely to happen). C. descriptive (use of data to summarize the present situation). D. all of the above.

Q: Which of the following is NOT one of the important challenges facing operations and supply chain managers? A. Service operations lagging behind manufacturing operations B. Other functions (e.g., marketing, finance) being unwilling to share information C. Finding suppliers with appropriate sustainability practices D. Applying scientific management principles to increase efficiency

Q: Which of the following would NOT be considered an output of an airline flight operation? A. Transportation from point A to point B B. Flight safety C. Satisfied customer D. Seat assignment

Q: Pricing decisions typically require interface with which aspects of operations? A. Quality, capacity, and inventory B. Process, quality, and inventory C. Process, inventory, and supply chain D. Pricing decisions do not require interfacing with operations.

Q: Operations decisions concerning inventory levels are often made with which of these functions? A. Marketing B. Finance C. Marketing and finance D. Marketing, finance, and information systems

Q: Operations decisions concerning the type of process selected are often made in conjunction with which of these functions? A. Marketing B. Finance C. Human resources D. All of the above

Q: A company using a team of people from marketing, human resources, and operations to develop a new service offering is A. practicing cross-functional decision making. B. supporting functional silo development. C. better off allowing marketing to design the new service. D. none of the above.

Q: When a company upgrades its assembly line, this best represents what type of decision? A. Process B. Quality C. Inventory D. Supply chain

Q: When a company develops a report card for evaluating its suppliers, this best represents what type of decision? A. Process B. Quality C. Supply chain D. Capacity

Q: When a company employs statistical tools to reduce the likelihood of a product recall, this best represents what type of decision? A. Process B. Quality C. Supply chain D. Logistics

Q: The focus of supply chain decisions is A. sourcing and logistics. B. capacity and inventory. C. quality and process. D. none of the above.

Q: Which of the following is NOT true regarding the process view of operations? A. Operations managers are responsible for the conversion process. B. A sales office may be viewed as a production process. C. It is a basis for analyzing operations across the entire supply chain. D. All of the above are true.

Q: Which of the following is NOT one of the primary professional societies for operation and supply chain managers? A. APICS B. ISM C. ASQ D. IMC

Q: Which of the following is NOT true regarding service and manufacturing operations? A. Both can be viewed as transformation processes. B. Both convert raw materials, energy, labor, and capital into valued outputs. C. Both are managed by operations managers. D. Both employ roughly 50% of the U.S. workforce.

Q: Contemporary challenges facing operations today include all of the following EXCEPT . scientific management. B. integration with other functions. C. environmental concerns. D. advancing service operations. E. globalization of operations. Feedback: Scientific management is not a contemporary challenge, but is a significant element of operations history.

Q: Key elements/events that should be monitored in the firms external environment include all of the following EXCEPT A. competitors. B. political events. C. economic events. D. social trends. E. All of these should be monitored.

Q: The operations management function is especially important for all of the following reasons EXCEPT A. its governance of the transformation process. B. the integrative nature of business decision making. C. decreasing order response time. D. the responsibility for the quality of products and services produced. E. the responsibility for managing the largest portion of a firms assets and people.

Q: The major decision responsibilities of the operations management function include all of the following EXCEPT A. quality. B. process. C. capacity. D. capability. E. inventory.

Q: Common inputs to the operations transformation process include all of the following EXCEPT A. raw materials. B. energy. C. capacity. D. labor. E. conversion processes.

Q: A comprehensive decision-making framework for operations includes A. consideration of other organizational functions. B. consideration of operations in isolation of other functions. C. suppliers but not customers. D. customers but not suppliers.