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Exam 8: Producing Quality Goods and Services

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Question 71

Multiple Choice

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The process of creating a set of specifications from which the product can be produced is called

A) technology.
B) research and development.
C) design planning.
D) product design.
E) a product line.

F) A) and E)
G) B) and E)

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Question 72

Multiple Choice

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When VHS VCRs were first introduced, sales were zero. As VCRs started to catch on, sales began to increase more and more rapidly until they peaked. After the peak, sales fell when DVD players took over that market with VCR sales almost non-existent now. This pattern is

A) the research and development cycle.
B) development and implementation.
C) the product line planning and exiting cycle.
D) the introduction to decline cycle.
E) the product life cycle.

F) A) and C)
G) D) and E)

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Question 73

True/False

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All the activities managers engage in to produce goods and services are called operations management.

ABC Company ABC Company is dedicated to operations control. It holds its suppliers to the highest standards, believing there is one best way to complete their tasks. ABC has even gone so far as to incorporate the Malcolm Baldrige National Quality Award criteria into its business. Following these criteria has allowed the company to grow from a small business to a large corporation. ABC plans on going international in the next couple of years to broaden its scope. ABC has kept up with new technologies. In fact, it has incorporated a new computer system that helps with the development of the company's products. This system has improved ABC's production dramatically. Now, ABC will be able to sell its products at a lower cost. The ABC management is dedicated to total quality management and will do whatever is necessary to maintain quality now and for the future. -Refer to ABC Company. Based on the information provided, what type of computer system is ABC Company using?

A product layout is often referred to as a(n)

An industrial company contacts Caterpillar to design a specific type of equipment for use in its manufacturing facility. If Caterpillar accepts this offer, the two companies will have to create a set of specifications from which the product can be made. This process is called

Product extension and refinement

What does improving productivity mean? How can a manufacturing or service business improve productivity?

Kraft combines elbow macaroni, cheese, and cardboard to make packages of Kraft Macaroni and Cheese. This most closely resembles a(n) ____ process.

In many cases, customers will travel farther to purchase a(n) ____ than they would travel to purchase a(n) ____.

Form utility is created by converting raw materials, people, finances, and information into finished products.

Chevron and other refiners emphasize material resources in the conversion process. This implies that the material resources are the ____ of the conversion process.

A group of athletic shoes in a shoe factory are partially completed but still lack their innersoles and shoestrings. These shoes are classified as

A team of engineers at General Motors is in charge of discovering new knowledge that can be used to make automobiles safer and more economical. These engineers are conducting

Briefly assess the good and bad news of the current U.S. manufacturing environment.

Product extension and refinement are expected results of a firm's development and implementation effort.

The term magnitude is used to describe the number of production processes that are used to produce products or services.

According to management experts, increased government regulations have increased productivity among American workers.

Deciding on the product line involves balancing customer preferences and production requirements.

Which of the following statements is false?