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In the past, the idea behind mass production was to:


A) produce goods of the highest possible quality.
B) give producers the maximum flexibility to respond to customer preferences.
C) make large quantities of a limited variety of products at very low cost.
D) give workers more control over their work environment.

E) A) and C)
F) A) and B)

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The Deming Cycle is designed to catch errors before they happen.

A) True
B) False

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Technological improvements are largely responsible for the increase in productivity and efficiency of U.S. plants.

A) True
B) False

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Statistical process control (SPC) is the process of taking statistical samples of product components at each stage of the production process and plotting those results on a graph. Any variances from quality standards are recognized and can be corrected if beyond the set standards.

A) True
B) False

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A company becomes lean by _________ its capacity to produce high-quality goods, while ___________ its need for resources.


A) investigating; planning
B) increasing; decreasing
C) decreasing; increasing
D) planning; investigating

E) C) and D)
F) A) and D)

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An assembly process involves physically or chemically manipulating raw materials to create a product.

A) True
B) False

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How has the emphasis of quality control changed in recent years? Describe some of the modern quality control techniques that illustrate this change in emphasis.

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In the past, quality control was done by...

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IMPUZZLED! Corporation produces jigsaw puzzles. The quality of its materials and the calibration of machines that cut and fit pieces of a puzzle are extremely important if it is to eliminate defects and meet customer specifications. If the company meets or exceeds Six Sigma criteria, it will have no more than 60 defects per million puzzles.

A) True
B) False

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Which of the following statements about the impact of CAD/CAM on manufacturing is most accurate? CAD/CAM:


A) is most useful to firms producing durable goods such as automobiles.
B) has replaced ERP as the most sophisticated resource planning technique.
C) allows firms to save money by replacing skilled labor with computers to perform all of the high-skill tasks.
D) has made it possible to produce custom-designed products with little increase in costs.

E) B) and C)
F) A) and C)

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Operations managers at Alumax Corporation have found that they can achieve efficient production only by producing very large quantities of aluminum without shutting down the production process. This indicates that Alumax should use a(n) ___________ production process.


A) intermittent
B) assembly
C) continuous
D) systematic

E) All of the above
F) B) and C)

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In a PERT network, the sequence of tasks that takes the longest to complete is called the:


A) optimal path.
B) maximum path.
C) straight path.
D) critical path.

E) All of the above
F) A) and D)

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An important strategy in operations management is using technology to anticipate customer needs. In the hotel industry, this is known as guest-recognition services.

A) True
B) False

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The main idea in the Making Ethical Decisions box "Do We Stay or Do We Go?" indicates:


A) a need for firms to place a higher level of importance on time-to-market when choosing facilities locations.
B) that the goal of finding the lowest cost location should never be overshadowed by other concerns if the firm is to remain loyal to its stockholders.
C) that many locations do not meet ISO 14000 standards.
D) a need for firms to consider the economic impact of their existence and/or departure from a particular location.

E) C) and D)
F) B) and D)

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The primary characteristic of a just-in-time inventory system is that suppliers deliver parts and materials right at the time that the buyer is going to use them in the production process.

A) True
B) False

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Recent research suggests that the best way to maintain consistently high quality in the production process is to give a group of specialists in a separate quality control department the authority to inspect each product at the end of the production process.

A) True
B) False

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Cooltreet, Inc., combines sugar, cream, eggs, and flavorings, then churns and cools the resulting mixture to a very low temperature until it freezes, creating ice cream. The method Cooltreet uses is an example of:


A) an analytic production system.
B) process manufacturing.
C) an assembly process.
D) a symbiotic process.

E) None of the above
F) A) and B)

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Six Sigma is a benchmark of quality standards that many product and service industries try to achieve.

A) True
B) False

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The operations planning practice of inputting sales forecasts into computer software that accurately predicts the amount and timing of materials needed to complete products and projects is ________________.


A) enterprise resource planning
B) materials requirement planning
C) virtual accuracy tool
D) computer-based materials model

E) B) and D)
F) All of the above

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A firm that is certified as meeting both ISO 9000 and ISO 14000 standards has demonstrated:


A) world-class management of both quality and environmental standards.
B) sound financial and marketing practices.
C) ethical treatment of both customers and employees.
D) that its recruitment and training programs for employees protect and promote basic human rights.

E) A) and B)
F) A) and C)

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MRP is a technique that helps managers:


A) develop a reliable sales forecast.
B) schedule the sequence of tasks workers must perform in order to complete a project.
C) determine how many workers are needed to staff various departments.
D) make sure that the right parts and materials are available at the right time.

E) B) and C)
F) B) and D)

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