Production and Operations Management

301. The fact that a few improvements in a few key areas of operations will have more impact than many improvements in many other areas is consistent with the:

  1. Irwin phenomenon.
  2. Pareto phenomenon.
  3. Stevenson phenomenon.
  4. Tellier phenomenon.
  5. Adam Smith phenomenon.
Correct answer: (B)
Pareto phenomenon.

302. Operations and sales are the two- ______________ functions in businesses.

  1. strategic.
  2. tactical.
  3. support.
  4. line.
Correct answer: (D)
line.

303. If an artificial variable remains in the solution with a positive value after the stopping criterion has been reached, the problem

  1. is infeasible.
  2. is optimal.
  3. needs a new basis.
  4. has more than one solution.
Correct answer: (A)
is infeasible.

304. The transportation model method that is used to evaluate location alternatives minimizes total.

  1. sources.
  2. destinations.
  3. capacity.
  4. shipping costs.
Correct answer: (D)
shipping costs.

305. Which of the following is NOT an element of TQM?

  1. Leadership.
  2. Perceived quality.
  3. Employee empowerment.
  4. Customer focus.
Correct answer: (B)
Perceived quality

306. Which of the following is not a type of operations?

  1. goods production.
  2. storage/transportation.
  3. entertainment.
  4. all the above involve operations.
Correct answer: (D)
all the above involve operations.

307. Which one of the following would not generally be classified under the heading of transformation?

  1. assembling.
  2. teaching.
  3. staffing.
  4. farming.
Correct answer: (C)
staffing.

308. Farming is an example of:r

  1. an obsolete activity.
  2. a virtual organization.
  3. non-manufactured goods.
  4. a growth industry.
  5. customized manufacturing.
Correct answer: (C)
non-manufactured goods.

309. The operating characteristic (OC) curve shows the probability of

  1. rejection for every possible true percentage of defectives.
  2. acceptance for every possible true percentage of defectives.
  3. making type I errors for various percentages of defectives.
  4. none of the above.
Correct answer: (B)
acceptance for every possible true percentage of defectives.

310. Which of the following is not a type of operations?

  1. goods production.
  2. storage/transportation.
  3. entertainment.
  4. price reduction.
Correct answer: (D)
price reduction.
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