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Exam 11: Operations Management in Manufacturing and Service Industries

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Question 51

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SCENARIO-BASED Quality Checked Tax Service has expanded to eight offices in different parts of a major U.S. city. The owners began 30 years ago, when income tax forms and returns were processed manually and clients waited for weeks or even months for refunds to arrive. By using the latest available software and taking advantage of computerized capabilities, Quality Checked has stayed one step ahead of the national chains and other independent tax services in its market area. In fact, it’s become so successful that management has taken out a state license for selling insurance and investment products to clients, who will pay for these financial products out of their tax returns. -Location and site selection is less important to a service provider like Quality Checked than to a goods producer or seller.

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Question 52

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A _____ chart is an easy-to-use graphical tool that helps operations managers determine the status of projects.

A) flow
B) production
C) Gantt
D) PERT

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Question 53

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What is benchmarking and why is it used by companies

A flexible manufacturing system makes it possible to change equipment setups by programming manually controlled machines.

_____ refers to "the totality of features and characteristics of a product or service that bear on its ability to satisfy stated or implied needs."

Describe just-in-time production and explain why companies adopt this production method.

SCENARIO-BASED Quality Checked Tax Service has expanded to eight offices in different parts of a major U.S. city. The owners began 30 years ago, when income tax forms and returns were processed manually and clients waited for weeks or even months for refunds to arrive. By using the latest available software and taking advantage of computerized capabilities, Quality Checked has stayed one step ahead of the national chains and other independent tax services in its market area. In fact, it’s become so successful that management has taken out a state license for selling insurance and investment products to clients, who will pay for these financial products out of their tax returns. -Because tax preparation is a highly competitive business, it's important that Quality Checked integrate certain facets of TQM, such as continuous improvement and benchmarking, into its daily operations.

As operations manager for Consolidated American Tanks, Jim Sherman's major task is _____.

ISO standards focus on a company's output, not on the way in which it does its work.

A company that uses a just-in-time production method produces its product just-in-time to deliver them to customers.

A cellular layout requires large teams of workers who can handle all aspects of building a product component.

_____ refers to the maximum number of goods that a facility can produce over a given period of time under normal working conditions.

Why did David Sell, former Burger King vice president, propose moving the drink station from behind the counter at the BK restaurants How did this save Burger King money

Businesses, such as print or sign shops, that produce lowvolume, highvariety goods according to customer specifications use a process called _____.

Developing a process for customizing sandwiches allowed Burger King to cut back one employee per day.

Welding can be dangerous and result in injuries to employees. As an alternative to having human welders, some companies use industrial robots.

A CIM system is a common element in _____ systems, in which computer-controlled equipment can easily be adapted to produce a variety of goods.

Bob Montgomery, CEO of PowerSki, used a computer-aided design (CAD) software package to operate the industrial robots used in the production of the jetboards.

_____ systems are revolutionizing the production process by automating and integrating all aspects of a company's operations.

After calculating your capacity requirements, you're ready to determine how much investment you'll need to make in your plant and equipment.