Operations Management Processes and Supply Chains 10th Edition
Krajewski Test Bank
Operations Management: Processes and Supply Chains, 10e (Krajewski et al.)
Chapter 1 Using Operations to Compete
1) Operations management refers to the direction and control of inputs that transform processes into
products and services.
Answer: TRUE
Reference: Operations and Supply Chain Management Across the Organization
Difficulty: Easy
Keywords: operations management, inputs, process, transformation
2) As a functional area of a business, Operations translates materials and services into outputs.
Answer: TRUE
Reference: Operations and Supply Chain Management Across the Organization
Difficulty: Easy
Keywords: operations management, inputs, process, transformation
3) The three main line functions of any business include Operations, Finance and Marketing.
Answer: TRUE
Reference: Operations and Supply Chain Management Across the Organization
Difficulty: Easy
Keywords: operations management, inputs, process, transformation
4) Support functions in an organization include Accounting, Human Resources and Engineering.
Answer: TRUE
Reference: Operations and Supply Chain Management Across the Organization
Difficulty: Easy
Keywords: operations management, inputs, process, transformation
5) A process involves transforming inputs into outputs.
Answer: TRUE
Reference: A Process View
Difficulty: Easy
Keywords: process, inputs, outputs
6) Inputs to a process can include human resources.
Answer: TRUE
Reference: A Process View
Difficulty: Easy
Keywords: inputs, process, resources
7) Every process has a customer.
Answer: TRUE
Reference: A Process View
Difficulty: Easy
Keywords: process, customer
8) A nested process refers to a process within a process.
Answer: TRUE
Reference: A Process View
Difficulty: Easy
Keywords: nested process
9) At the level of the firm, service providers offer just services and manufacturers offer just products.
Answer: FALSE
Reference: A Process View
Difficulty: Moderate
Keywords: manufacturing, service, similarity, goods, services
10) At the process level, it is much easier to distinguish whether the process is providing a service or
manufacturing a product.
Answer: TRUE
Reference: A Process View
Difficulty: Moderate
Keywords: manufacturing process, service process, goods, services
11) In a service process, output can be inventoried.
Answer: FALSE
Reference: A Process View
Difficulty: Easy
Keywords: manufacturing process, service process, inventory
12) Manufacturing processes tend to be capital intensive, while service processes tend to be more labor
intensive.
Answer: TRUE
Reference: A Process View
Difficulty: Easy
Keywords: manufacturing process, service process, capital intensive, labor intensive
13) Quality is more easily measured in a service process than in a manufacturing process.
Answer: FALSE
Reference: A Process View
Difficulty: Moderate
Keywords: manufacturing process, service process, quality
14) Manufacturing processes usually have long response times compared to service processes.
Answer: TRUE
Reference: A Process View
Difficulty: Moderate
Keywords: manufacturing process, service process, response time
15) Contact with the customer is usually higher in a manufacturing process than in a service process.
Answer: FALSE
Reference: A Process View
Difficulty: Easy
Keywords: manufacturing process, service process, customer contact
16) A core process is a set of activities that delivers value to external customers.
Answer: TRUE
Reference: The Supply Chain View
Difficulty: Moderate
Keywords: core process, supply chain
Learning Outcome: Discuss operations and operations management as a competitive advantage for the
organization.
17) A supply chain is the cumulative work of a firm’s processes.
Answer: TRUE
Reference: The Supply Chain View
Difficulty: Easy
Keywords: process, supply chain
18) The supplier relationship process selects the suppliers of services, materials and information, while
the order fulfillment process facilitates the timely and efficient flow of these items into the firm.
Answer: FALSE
Reference: The Supply Chain View
Difficulty: Moderate
Keywords: supplier relationship, process, order fulfillment process
19) Environmental scanning refers to the unique resources and strengths that an organization’s
management considers when formulating a strategy.
Answer: FALSE
Reference: The Supply Chain View
Difficulty: Moderate
Keywords: environmental scanning, strategy
20) A firm’s core competencies should determine its core processes.
Answer: TRUE
Reference: The Supply Chain View
Difficulty: Easy
Keywords: core competency, core process
21) Competitive priorities are the means by which operations implements the firm’s corporate strategies.
Answer: FALSE
Reference: Competitive Priorities and Capabilities
Difficulty: Moderate
Keywords: competitive priority, corporate strategy
22) Flexibility is a possible competitive priority.
Answer: TRUE
Reference: Competitive Priorities and Capabilities
Difficulty: Easy
Keywords: flexibility, competitive priority
Learning Outcome: Discuss options for measuring supply chain performance.
23) Consistent quality is not important to today’s consumers.
Answer: FALSE
Reference: Competitive Priorities and Capabilities
Difficulty: Easy
Keywords: consistent quality, competitive priorities
Learning Outcome: Discuss options for measuring supply chain performance.
24) Volume flexibility involves accelerating or decelerating the rate of production of services or products
to handle large fluctuations in demand.
Answer: TRUE
Reference: Competitive Priorities and Capabilities
Difficulty: Hard
Keywords: volume flexibility
Learning Outcome: Discuss options for measuring supply chain performance.
25) A firm once made purchasing decisions based on which supplier had the lowest cost. But once cash
flow was healthy, purchasing decisions were made based on which company could provide the goods
and services the fastest. In this case, delivery speed is clearly the order qualifier.
Answer: FALSE
Reference: Competitive Priorities and Capabilities
Difficulty: Moderate
Keywords: competitive priority, order qualifier
Learning Outcome: Discuss options for measuring supply chain performance.
26) Strategic plans are developed farther into the future than tactical plans.
Answer: TRUE
Reference: Operations Strategy As a Pattern of Decisions
Difficulty: Easy
Keywords: strategic plans, tactical plans
27) Productivity is measured as input divided by output.
Answer: FALSE
Reference: Trends in Operations Management
Difficulty: Easy
Keywords: productivity, input, output
AACSB: Analytic skills