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Exam 9: Production and Operations Management

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Question 21

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PERT is a popular technique for analyzing the tasks involved to complete a given project, estimating the time required to complete each task, and identifying the minimum time needed to complete the project.

A) True
B) False

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Question 22

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So far, the high cost of CAD/CAM techniques has limited their use to large, expensive manufactured goods such as automobiles.

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B) False

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Question 23

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The International Organization for Standardization continually updates acceptable international requirements in the areas of process control, product testing, storage, and delivery.

To strengthen its manufacturing base, the U.S. will need to continue to innovate.

One of the reasons mass production techniques lost favor is that, despite their ability to keep costs relatively low, mass production lacks flexibility.

Areas with higher than average labor costs are almost always at a major disadvantage when trying to attract new businesses.

Facility layout is the function of operations management that considers the physical arrangement of resources (including people) in the production process.

Improvements in technology have significantly increased the quality of products, as well as helped reduce costs.

A just-in-time inventory system usually reduces costs for:

Operations management in the service sector is focused on creating:

The National Bicycle Company of Japan makes 18 bicycle models in more than 2 million combinations, with each combination designed to fit the needs of a specific customer. The customer chooses the model, size, color, and design. An analysis of this company's operation would indicate that it uses:

For most service businesses the quality standard has become:

The National Quality Award is given to firms that achieve an outstanding level of overall quality based on performance in seven key areas.

A basic characteristic of flexible manufacturing is that it:

Sarah works for an architectural firm. The partners in the firm have always drawn the plans for projects by hand. While Sarah learned how to draw by hand in college, she also became skilled on computer programs that permitted her to create designs in three dimensions. She plans to demonstrate the effectiveness of such programs to the firm's partners. The computer program she will recommend to the partners is:

The Green Movement has had a large affect on the service industry, but only a negligible affect on manufacturing.

Brian is a construction manager who wants to determine how long a new project will take to complete and which tasks in the project have the greatest potential for delaying the project. The PERT Network model will help Brian answer these questions.

Casey and Kevin are scanning the "All Things Green" magazine trying to get some green ideas they can incorporate into their business. The problem with going green, however, is that quality tends to decrease, and it is difficult to incorporate contemporary operations management techniques with "green" ideas.

is the specialized area of management that converts or transforms resources into goods and services.

CAD has productivity in many firms.