Production & Operations Management


  • Operations Management includes all of these activities except
    • Schedule work
    • Secure financial resources
    • Maintain Quality
    • Manage inventories

Ans. Secure financial resources

  • Which of the following is not included in “5Ps” of Operations Management
    • Product
    • Plant
    • Processes
    • Price

Ans. Price

  • The major difference between goods and services is:
    • It is difficult to inventory services
    • Services lack the profitability that goods enjoy
    • Goods production usually requires more labor than services
    • Goods are always customized, services are always standardized

Ans. It is difficult to inventory services

  • Technology choices don’t have a major effect on:
    • Costs
    • Employee turnover
    • Productivity
    • Quality

Ans. Employee turnover

  • Which of the following is not true about a lean production system?
    • It puts emphasis on quality, flexibility, and time reduction.
    • It puts emphasis on reducing a company’s labor force.
    • It uses small production batch sizes.
    • It uses safety stock to protect against uncertainty.

Ans. It uses safety stock to protect against uncertainty.

  • Many factors impact productivity, one factor not generally stated as having a negative impact on productivity is:
    • Government regulations
    • Liability claims
    • Increased emphasis on services
    • Emphasis on short-term performance

Ans. Liability claims

  • Which is the correct hierarchy of operations management decisions (highest first)?
    • Operational, strategic, tactical
    • Goals, missions, productivity
    • Strategic, operational, tactical
    • Strategic, tactical, operational

Ans. Strategic, tactical, operational

  • Which of the following has least likely source of input for developing an operations strategy?
    • Planning personnel
    • Suppliers
    • Top Management
    • Production personnel

Ans. Suppliers

  • A measure of productivity which reflects a combination of some or all of the resources used to obtain a certain output is:
    • Machine productivity
    • Multi-factor productivity
    • Materials productivity
    • Overhead productivity

Ans. Multi-factor productivity

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