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Solving Operations Management Problems

Please reference the attachment. There are 20 short questions. Please only choose this posting if you this can be completed within the next 10 hours or so. Please provide the respond in an attachment only.

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Question 1

A business focusing on increasing the efficiency of its operations is more directly addressing:
Select one:

a. Consistent Quality
b. Low-Cost
c. Variety
d. Volume Flexibility

Answer: b. Low-Cost

To reduce costs processes must be designed and operated to make them efficient.

Question 2

CD players are produced on an automated assembly line process. The standard cost of CD players is $155 per unit (labor, $30; materials, $75; overhead, $50). The sales price is $300 per unit. To achieve a 15% multifactor productivity improvement by reducing materials costs only, by what percentage must these costs be reduced?
Select one:
a. 20%
b. 42%
c. 35%
d. 27%

Answer: d. 27%

Current productivity = 300 / {80 (labor + OH) + 75 (Material)} = 300 / 155= 1.94
Increasing this productivity by 15 %, makes the productivity 1.15 x 1.94 = 2.23

300 / (80 + Material Cost) = 2.23
Or Material cost = 300/2.23 -80 = 54.53
% reduction in material cost = 1- 54.53/75= 0.27 or 27%

Question 3
Competitive priorities define the dimensions on which companies should excel in producing their products or services. Which one of the following statements is TRUE?
Select one:
a. It is impossible for a firm to improve cost and quality simultaneously.
b. A firm offering little customization cannot compete simultaneously on the dimension of consistent quality.
c. A firm that competes on the dimension of volume flexibility is more likely to manufacture products that experience a seasonal demand variation.
d. A firm that competes on the dimension of customization tends to have operating systems that are inflexible.

Answer: c. A firm that competes on the dimension of volume flexibility is more likely to manufacture products that experience a seasonal demand variation.

Volume flexibility is for handling large fluctuations in demand.

Question 4
Which of the following statements about manufacturing and service processes is FALSE?

Select one:
a. Manufacturing processes usually have long response times compared to service processes.
b. At the process level, it is much easier to distinguish whether the process is providing a service or manufacturing a product.
c. Manufacturing processes tend to be capital intensive, while service processes tend to be more labor intensive
d. Quality is more easily measured in a service process than in a manufacturing process.

Answer: d. Quality is more easily measured in a service process than in a manufacturing process.

Quality is more difficult to measure in services than in manufacturing.

Question 5

Which of the following statements about the decision theory is true?

Select one:
a. If the payoff table contains expenses instead of revenues, then the pessimistic criterion is Minimin.
b. If a new alternative is added to a payoff table and the maximax criterion is applied again, the new decision must either remain with the original maximax alternative or the new alternative.
c. Maximax is a decision rule for the pessimist.
d. By definition, the maximax and maximin criteria cannot result in the selection of a common alternative in decision making under uncertainty.

Answer: b. If a new alternative is added to a payoff table and the maximax criterion is applied again, the new decision must either remain with the original maximax alternative or the new alternative.

A new alternative can either improve the previous decision or be inferior to the previous ...

Solution Summary

This solution answers 20 multiple choice questions on operations, processes, projects etc.

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