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1. In terms of operations management the forecast which projects a company’s sales is called: Economic forecast

Technological forecast

Demand forecast

Associative model

2. In which one of the following techniques, the least squares method models uses one dependent and one or more independent variables? Trend adjusted forecast Regression analysis

Simple moving average Exponential smoothing

3. The operational strategy must be in line with the: Department goals

Organizational goals

Management goals

None of the above

4. Which one of the following strategies specifies how the firm will employ its production capabilities to support its corporate strategy? Tactical

Operations

Manufacturing

Production

5. The systematic processing of data to yield information is a part of __________. Management science

Information sciences

Industrial engineering

Scientific management

6. Collaborative Planning, Forecasting, and Replenishment (CPFR) a Web based tool used to coordinate demand forecasting, ____________ and inventory replenishment between supply chain trading partners. Production and purchase planning

Demand and supply planning

Quantitative forecasting

Demand management

7. Parabolic, exponential and growth are element of: Linear trends None of the above

Forecast accuracy

8. Which of the following ensures that the design meets the performance characteristics that are specified in the product concept? Functional design

Production design

Service design

Product design

9. The forecasting time horizon that would typically be easiest to predict would be: Medium-range

Long-range

Short-range

Intermediate range

10. Most of the organizations adopt a defensive design R&D Strategy in an attempt to prolong the life of the product by employing new packaging, redesigning it, improving its reliability. This is __________ phase in product life cycle. Growth

Maturity

Saturation

Decline

11. The three major business functions necessary to all organizations are: Accounting, personnel, operations

Marketing, finance/accounting, operations

Marketing, accounting, personnel

Marketing, finance, operations

12. As the time horizon increases the accuracy of the forecast: Decreases

Increases

Is not affected with time horizon

None of the above

13. Four important pillars capital, quality, ________ and technology. are responsible for positively as well as negatively affecting on the Productivity of the organization. Customers

Process

System

Management

14. Releasing products with defects should be informed to the customers. This statement comes under ______ frame work. Legal

Ethical

Environmental

None of the above

15. Sequence of data points that are measured typically at successive times at regular time intervals is known as: Moving average

Weighted moving average

Time series

Forecasts

16. Planning workforce requirements, scheduling of the equipment and financial analysis are the major uses of__________. Productivity ratios

Productivity Growth

Multifactor productivity

Operations strategy

17. Which one of the following is not a step of decision process: Specify objectives

Determine the product of chance probabilities

Analyze and select alternative

Implement and monitor the result

18. The forecasting time horizon that would typically be easiest to predict would be: Medium-range

Long-range

Short-range

Intermediate range

19. _____ means that the relevant parameters such as cost, capacity and demand have known values. a. b. c. d.

Risk Certainty Uncertainty None of above

20. The forecasting model that is based upon estimates of salesperson's expected sales is likely to be called ________. Delphi method Sales force combination Consumer market survey Panel of executive opinion

21. Completion of any operations depends upon the slowest process in the assembly line. What operations managers need to do in order to be successful? Target and eliminate bottlenecks Identify the bottlenecks Make slowest process more slow None of the above 22. Operations based strategy involves all activities except; Select correct option: Supply chain management Quick response to customer needs Flexibility and inventory management Identifying customer wants and needs 23. Which of the following is not an attribute to classify services? Tangibility Perish ability Simultaneity Degree of Customer Contact 24. As a manager, you have defined the purpose of the forecasts. What should be the next step in forecasting process? Collecting and analyzing the appropriate data Determining the purpose of the forecast Choosing a forecasting technique Setting up a time horizon or a time limit

25. Forecasting accuracy has_______ relation with time horizon. Inverse Linear Direct Parallel Ref: As time increases the accuracy of the Forecast decreases (Page No.34) 26. ______________ is a wave like variations of more than one year’s duration. Cycle Trend Seasonality Random variation

Ref: wavelike variations of more than one year’s duration these occurs because of political, economic and even agricultural conditions.(Page No.37) 27. In which one of the following decision environments it is impossible to assess the likelihood of various future events? Certainty Uncertainty Risk Bounded rationality 28. Which one of the following forms of productivity has units of output per dollar input? Capital Energy Labor Machine 29. Which one of the following refers to a decision environment in which relevant parameters have known values? Certainty Uncertainty Risk Bounded rationality Ref: Certainty: Means that the relevant parameter such as costs, capacity and demand have known values (Page No.24) 30. To make operations strategy effective it should be: Independent of the organization’s strategy Consistent with the organization’s strategy Developed by a first line manager Independent of time dimension 31. Organizational strategies relate to which of the following sets of factors? Survival, profitability, growth rate and market share Profitability, survival, lead times and target market Quality, operating resources, growth rate and market share Scheduling, profitability, lead times and survival 32. All of the following are steps in forecasting process EXCEPT: Determine the purpose of the forecast Establish a time horizon Assigning weights to the criteria Monitor the forecast Determine the purpose of the forecast meaning what is the purpose and when will it be required. This will provide the level of detail for resources required man, machine, time and capital. ·Establish a time horizon. We already know that as time increases the accuracy of the Forecast decreases ·Select a forecasting technique whether qualitative or quantitative ·Gather and analyze the appropriate data. It goes without saying that before a forecast can be

delivered data is required. The closer the real life data more realistic would be the forecast. This may be the time when you would like to identify the important assumptions and suppositions. ·Prepare the forecast. ·Monitor the forecast. A forecast has to be closely monitored to determine whether it is fulfilling its basic purpose. This helps in re-examining the method, assumptions and validity of the data and preparing a revised forecast. 33. Which one of the following is a pessimistic approach in decision making theory? Maximin Maximax Minimax regret Laplace 34. Which one of the following is used to generate consensus forecast? Delphi method Time series method Exponential smoothing Associative model 35. All of the following are examples of transformation process EXCEPT: Cutting Packing Facilitating Labeling 36. All of the following are examples of Qualitative forecasting except: Judgmental Delphi Method Consumer Survey Naïve Forecasting 37. All of the following are the major factors affecting design strategy except: Cost Market Time-to-market Revenue 38. All of the following are the primary reasons for design process except: Economic Social and demographic Political, liability, or legal Personal 39. refers to a manufacturer being liable for an injury or damage caused by a faulty product. Product liability Manufacturer’s liability Organizational liability All of the given options

40. _________ is the postponement tactic. Product differentiation Delayed differentiation Service differentiation All of the given options 41. The situation in which a product, part or system does not perform as intended is referred to as: Reliability Durability Failure Maturity

42. DFA stands for: Design for Assurance Design for Accuracy Design for Authenticity Design for Assembly 43. Taguchi approach helps in determining: Controllable factors only Un -controllable factors only Both controllable factors and un -controllable factors None of the given options 44. ________ is the bringing together of engineering, design and manufacturing personnel together early in the design phase. Robust design Concurrent engineering Canabalization Design for Manufacturing (DFM) 45. Reliability can be measured effectively by using: Probability Durability Failure Forecasting 46. _____________ determines the best possible outcome. Maximum Minimax Maximax Laplace

47. Decision tree is analyzed from: Left to right

Right to left Any side All of the above 48. Judgmental forecasts include all of the following except: Executive opinion Consumer surveys Delphi method Regression analysis 49. In order to design a new product or service, an organization takes into account: External factors Internal factors a&b Economic, social and demographic conditions 50. FDA, OSHA and CRS resolve: Legal issues Political issues Ethical issues Environmental issues 51. Design that results in products or services that can function over a broad range of conditions is called: Computer Aided Design Robust design Design for re manufacturing Modular design 52. Which of the following is wrong with respect to Naïve forecast Quick and easy to prepare Provides high accuracy Simple to use Can be a standard for accuracy 53. Steps in CPFR include all of the following except: · Creation of a front end partnership agreement · Sharing forecast · Inventory replenishment · Development of supply forecasts 54. Identify the right sequence in product or service life cycle. Introduction, Maturity, Growth, Decline, Saturation Introduction, Growth, Maturity, Saturation, Decline Introduction, Growth, Saturation, Maturity, Decline Introduction, Saturation, Growth, Maturity, Decline 55. In the absence of enough time, ________ forecasts are preferred. Qualitative

Quantitative Naïve forecasts None of the given options 56. ___________ are based on samples taken from potential customers. · Executive opinion Consumer surveys Delphi method All of the given options 57. Which of the following activities is unnecessary ,when an organization decides to design its new product or service or refine its existing product or service: a Translate customer wants and needs into product and service requirements b Refine existing products and services c Develop new products and services d Manage the purchasing activities religiously and diligently. 58. While focusing on capacity planning, organizations look for which of the following alternatives. a. How much will it cost b. How much holidays the workers can enjoy. c. How much compensation they need to pay to their CEO. d. None of the above 59. Which of the following is not one of the assumptions for Cost Volume Analysis a. One product is not involved b. Everything produced can be sold c. Variable cost per unit is the same regardless of volume d. Fixed costs do not change with volume 60. Which of the following does not fall under Economic Production Quantity ( EPQ) a. Only two or more item are involved b. Annual demand is known c. Usage rate is constant d. Usage occurs continually 61. Advantages of Process Layout Include a. Equipment used is less costly b. Low unit cost. c. Labor specialization. d. Low material handling cost 62. Common types of Operations include a. Continuous Processing. b. Intermittent Processing. . c. Automation d. All of the above 63. System performance is measured by a. Average number of customers being refused service b. Average time customers wait

c. System utilization d. b and c. 64. Inventory carrying costs are influenced by: a. Order Quantity in Units b. Holding carrying cost per unit. c. Demand d. a and b only. 65. Bar coding helps in determining the : a. Status of the inventory of an item in warehouse b. Price of the product c. Size of the lot as well as the size and specifications of the product d. All of the above 66. Therbligs are basic elemental motions which include: a. Search b. Select c. Throw d. a and b only 68. The hierarchy and sequence of planning and decision-making is: mission, organizational strategy, tactics, and operational decisions. TRUE Mission is at the highest level of the hierarchy, while operation decisions are at the lowest. 69. Strategy includes both organizational and functional strategies. TRUE Organizational strategies shape functional strategies. 70. Organizational strategy should be determined without considering the realities of functional area strengths and weaknesses since they can be changed to meet our strategy. FALSE Functional strengths and weaknesses serve as the building blocks of organizational strategy. 71. Mission statements should be as specific as possible regarding exactly how they will be accomplished. FALSE Mission statements are very long-term and should provide enough room to accommodate major changes in direction. 72. Improving efficiency will guarantee a similar improvement in productivity. FALSE Efficiency is narrower than productivity. 73. As long as we match a competitor on quality and price we will gain market share. FALSE We usually have to better a competitor to win market share. 74. Environmental scanning is a search for events or trends that present either threats or

opportunities to the organization. TRUE These events or trends should be taken into account when strategy is being formulated. 75. Standardization has the advantage of reducing variability. TRUE Standardization leads to reduced variability. 76. Traditional strategies of business organizations have tended to emphasize cost minimization or product differentiation. TRUE Time- and quality-based strategies are more recent developments. 77. The majority of our textbook deals with tactical operations that support established functional strategies. TRUE This represents the majority of on-going decision-making in operations. 78 Quality-based strategies focus on customer satisfaction by ensuring that each product is carefully and thoroughly inspected prior to delivery to prevent sending out bad product. FALSE Quality strategies are based on avoiding quality problems. 79 Time-based strategies focus on reducing the time required to accomplish certain activities, such as new product development or delivery to the customer. TRUE Being first to market or responding quickest to customer wants can be attractive strategies. 80 Functional strategies should be designed to directly support a firm's mission. FALSE Functional strategies should support organizational strategy. 81 Companies are required to use environmental scanning because of both federal and state regulations regarding environmental pollution control. FALSE Companies are not required to use scanning, but not using scanning is risky. 82 The Balanced Scorecard is an attractive tool to use in the formation of strategy. FALSE The Balanced Scorecard is used for the implementation of strategy. 83 One major shortcoming of the Balanced Scorecard is that it doesn't tend to take into account sustainability issues. TRUE Companies need to be aware of the impact they are having in these areas and respond accordingly. 84 Competitiveness doesn't include: A. Productivity B. Effectiveness C. Profitability

D. Operations Strategy E. Operations Management A company can be competitive relative to similar companies and still be unprofitable if the competitive environment is inherently unprofitable. 85. Product design and choice of location are examples of _______ decisions. A. strategic B. tactical C. operational D. customer focused E. design These decisions are made high in the hierarchy. 86 Scheduling personnel is an example of an operations management: A. mission implementation B. operational decision C. organizational strategy D. functional strategy E. tactical decision Staffing level decisions are made low in the hierarchy. 87 Productivity is expressed as: A. output plus input B. output minus input C. output times input D. output divided by input E. input divided by output Productivity is the ratio of outputs to inputs. 88. An example of a strategic operations management decision is the choice of where to locate. TRUE Location decisions are strategic in nature. 89. An example of an operational operations management decision is inventory level management. TRUE Inventory management is an operational decision. 90. Government statistics are a good source of data about productivity trends in the service sector. FALSE The service sector is often omitted in government statistics. 91 An example of a tactical operations management decision is determining employment levels. TRUE Staffing is an ongoing, tactical decision. 92 Productivity is defined as the ratio of output to input.

TRUE Divide outputs by inputs to get productivity. 93 Productivity is defined as the ratio of input to output. FALSE Productivity is the ratio of outputs to inputs. 94 Competitiveness relates to the profitability of an organization in the marketplace. FALSE Competitiveness relates to how effectively an organization meets the wants and needs of customers relative to other organizations that offer similar goods or services. 95 If people would only work harder, productivity would increase. FALSE Working harder can actually reduce productivity in some cases. 96 Tracking productivity measures over time enables managers to judge organizational performance and decide where improvements are needed. TRUE Productivity trends direct attention toward problems and opportunities. 97 Productivity is directly related to the ability of an organization to compete. TRUE A more productive organization is a more competitive organization. 98 A characteristic that was once an order winner may become an order qualifier, and vice versa. TRUE Order qualifiers and order winners are shaped by the environment. 99 Outsourcing tends to improve quality but at the cost of lowered productivity. FALSE Outsourcing can lead to both quality and productivity improvements. 100 Productivity tends to be only a very minor factor in an organization's ability to compete. FALSE An organization's ability to compete is directly affected by its productivity. 101 An organization that is twice as productive as its competitor will be twice as profitable. FALSE Productivity advantages don't necessarily translate into profitability advantages. 102 National productivity is determined by averaging the productivity measures of various companies or industries. FALSE National productivity is determined by dividing inputs by outputs across a national economy; averaging industry measures would lead to a distorted estimate.

103 Wage and salary increases that are not accompanied by productivity increases tend to exert inflationary pressures on a nation's economy. TRUE True increases in stan...