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OPERATIONS MANAGEMENT 2 FINAL
Vocabulary
44
Management
Undergraduate 4
12/11/2009

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Term
A batch process is less flexible than an assembly line and less effiecent than a job shop.
Definition
FALSE
Term
A customer service function at an insurance firm that handles claims based on the first letter of the customer's last name is an example of applying group technology to a servic operation.
Definition
FALSE
Term
The product-process matrix illustrates that low volume, one-of-a-kind products are ideally suited to a job show process
Definition
TRUE
Term
Products that use standard components, but the final configuaration of those components is a customer-specific are called make-to-order.
Definition
TRUE
Term
According to the law of variability, converting from an assemble to order to a make-to-order production process should increase productivity of the manufacturing process.
Definition
FALSE
Term
As the degree of service customization decrease, managers have more opportunity to focos on cost and production.
Definition
TRUE
Term
Cross sourcing is a strategy in which two suppliers are ussed for the same purchased product or service.
Definition
FALSE
Term
A recent trend in supply management is a reduction in the total supply base, although the authors not that the number of first-tier suppliers has actually increased slightly.
Definition
FALSE
Term
a manager deciding where 6 depts could be located in a six room office building has over 500 possibe arrangements
Definition
TRUE
Term
The Delphu method, panel consenus forcasting, and market surverys are all qualitative methods, but only market surverus do not use experts.
Definition
TRUE
Term
Over the long run, flucatations in demand sue to seasonaility are greater than those due to randomness.
Definition
TRUE
Term
In the waiting line theory, the number of channels refers to the number of customer waiting line in the system.
Definition
TRUE
Term
A waiting line cannot be both multiple-channel and multiple-phase.
Definition
FALSE
Term
With only a half hour for lunch I screamed into the parking lot of the neareast Golden Arches Supper Club at 40 miles an hour. WHen I saw the drive through line was 15 cars deep I didnt bother getting in line; I was off to visit the Colonel. THis behavir might be described as balking.
Definition
TRUE
Term
In operations and supply chain environments that must deal wtih random demand, it is virtually impossible to achieve very high capacity utilization levels and still provide acceptable customer service.
Definition
TRUE
Term
A ninety percent learning curve is steeper than an eigty percent learning curve.
Definition
FALSE
Term
Learning curve theory suggest that productivity will increase as people and systems learn to perform taks more efficiently.
Definition
TRUE
Term
Outsourcing can be risky because it decreases the firm's strageic flexibility.
Definition
FALSE
Term
A company that uses portfolio analysis would probably classift things like office supplies in the Bottleneck quadrant.
Definition
FALSE
Term
Capacity is the capability of a worker, machine, work cente, plant, or organization to produce output per time period.
Definition
TRUE
Term
A traditional university classroom has room for 30 students and is scheduled for use during 12 consecutive one hour period from 8:00am to 8:00pm in the spring semeseter. Its theorictical capacity is therfore half of its rated capacity.
Definition
FALSE
Term
In general, higher conformance quality reduces capacity since the extra care taken during production slow the output rate.
Definition
FALSE
Term
A model with a positive mean forecast error suggest that on average, the model over forecasts.
Definition
FALSE
Term
The tracking signal calculated for the first forecast is always either +1 or -1.
Definition
FALSE
Term
A collaborative planning, forecasting, and replenishment system eliniates the need for forecasting.
Definition
FALSE
Term
Forecast are almost always wrong.
Definition
TRUE
Term
A firm's capacity can be limited by member of its supl chain.
Definition
TRUE
Term
The back room refers to the part of the service procss where the customer is not visible to the other customers waiting for service.
Definition
FALSE
Term
Building rental and deprecitation on campital equipment are example of fixed costs.
Definition
TRUE
Term
In a decision tree, outcome poiint are under direct control of the decision maker and show the results of choices.
Definition
FALSE
Term
The theory of Constraints would support the statement that a chain is only as strong as its weakest link.
Definition
TRUE
Term
A manufacturer seeking to reduce the varability of quality should use multiple sourcing.
Definition
FALSE
Term
it is more costly to create a more realistic simulation than one that is less realistic.
Definition
TRUE
Term
In most cases, simulation models provide optimal soution to problems just like the most of the equations presented in your textbook.
Definition
FALSE
Term
Target costing is not the act of designing a process to meet a specific cost objective.
Definition
TRUE
Term
The ease with which parts can be replaced, checked, or evaluated is testability
Definition
FALSE.
Term
The concept development phase addresses the feasbility of a product or service.
Definition
FALSE
Term
In the planing phase, the oeprations and supply chain function develops inital cost estimates and identifies key supply chain partners.
Definition
TRUE
Term
The development funnel demonstrates that while initital conceptual development takes a long time, products design can progress quickly through the final phases of development.
Definition
FALSE
Term
Products deceloped using a concurrent engineering process can be developed more quickly than those using a sequential development process.
Definition
TRUE
Term
Quality function development can be used to show linkages between customer requirements and product characteristcs.
Definition
TRUE
Term
Product design doesn't refer to the development of physcial products and intangible services.
Definition
FALSE
Term
The greater the randomness in the model, the greater the number of periods should be used in a moving average forecast
Definition
TRUE
Term
WHen there is a significant upward or downward trend in the data, the two best forecasting models are exponetial smoothing and linear regression.
Definition
FALSE
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