Introduction to Operations and Supply Chain Management 5th Edition by Cecil B. Bozarth Test bank
1
Introduction to Operations & Supply Chain Management, 5e (Bozarth)
Chapter 1 Introduction to Operations and Supply Chain Management
1.1 Why Study Operations and Supply Chain Management?
1) The collection of people, technology, and systems within an organization that has primary
responsibility for providing the organization's products or services is called:
A) the supply chain.
B) the operations function.
C) the factory set.
D) relationship management.
Answer: B
Diff: 2
Reference: 1.1 Why Study Operations and Supply Chain Management?
Keywords: operations function
AACSB: Application of Knowledge
LO: 1.1: Describe what the operations function is and why it is critical to an organization's survival.
2) Which of these is NOT a component of the operations function in an organization?
A) people
B) technology
C) systems
D) information
Answer: D
Diff: 1
Reference: 1.1 Why Study Operations and Supply Chain Management?
Keywords: operations function, people
AACSB: Application of Knowledge
LO: 1.1: Describe what the operations function is and why it is critical to an organization's survival.
3) ________ is an example of an output of the transformation process.
A) Material
B) Information
C) Satisfied customers
D) Intangible needs
Answer: C
Diff: 2
Reference: 1.1 Why Study Operations and Supply Chain Management?
Keywords: output, transformation, process, customer
AACSB: Application of Knowledge
LO: 1.1: Describe what the operations function is and why it is critical to an organization's survival.
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Copyright © 2019 Pearson Education, Inc.
4) Typical inputs to the transformation process include:
A) tangible goods.
B) satisfied customers.
C) intangible needs.
D) fulfilled needs.
Answer: C
Diff: 2
Reference: 1.1 Why Study Operations and Supply Chain Management?
Keywords: intangible needs, inputs, transformation process
AACSB: Application of Knowledge
LO: 1.1: Describe what the operations function is and why it is critical to an organization's survival.
5) Which of the following statements about the operations function is NOT correct?
A) Inputs to operations can take many different forms.
B) Nearly all operations activities require coordination with other business functions.
C) The outputs of an operations function are always tangible.
D) Operations management activities are information and decision intensive.
Answer: C
Diff: 2
Reference: 1.1 Why Study Operations and Supply Chain Management?
Keywords: operations function, tangible outputs
AACSB: Application of Knowledge
LO: 1.1: Describe what the operations function is and why it is critical to an organization's survival.
6) Which of the following is NOT a flow typically found in a supply chain?
A) physical
B) information
C) monetary
D) risk
Answer: D
Diff: 2
Reference: 1.1 Why Study Operations and Supply Chain Management?
Keywords: supply chain, flow
AACSB: Application of Knowledge
LO: 1.2: Describe what a supply chain is and how it relates to a particular organization's operations function.
7) Which of the following is primarily a supply chain management decision?
A) from whom to purchase materials
B) how many of each item should be produced
C) the mix of labor skill and automation
D) the location of the plant
Answer: A
Diff: 3
Reference: 1.1 Why Study Operations and Supply Chain Management?
Keywords: supply chain, decision, supplier
AACSB: Application of Knowledge
LO: 1.2: Describe what a supply chain is and how it relates to a particular organization's operations function.
3
Copyright © 2019 Pearson Education, Inc.
8) Which of these statements about flows in a supply chain is best?
A) Information and monetary flows move upstream and downstream, but physical flows move
downstream only.
B) Information flows move upstream and downstream, monetary flows move upstream only, and
physical flows move downstream only.
C) Information and monetary flows move upstream only and physical flows move downstream only.
D) Information, physical and monetary flows move both upstream and downstream.
Answer: D
Diff: 2
Reference: 1.1 Why Study Operations and Supply Chain Management?
Keywords: information flows, physical flows, monetary flows
AACSB: Application of Knowledge
LO: 1.2: Describe what a supply chain is and how it relates to a particular organization's operations function.
9) Which of the following statements regarding the supply chain is TRUE?
A) A second-tier supplier is downstream from a first-tier supplier.
B) A first-tier supplier is upstream from a second-tier supplier.
Introduction to Operations & Supply Chain Management, 5e (Bozarth)
Chapter 1 Introduction to Operations and Supply Chain Management
1.1 Why Study Operations and Supply Chain Management?
1) The collection of people, technology, and systems within an organization that has primary
responsibility for providing the organization's products or services is called:
A) the supply chain.
B) the operations function.
C) the factory set.
D) relationship management.
Answer: B
Diff: 2
Reference: 1.1 Why Study Operations and Supply Chain Management?
Keywords: operations function
AACSB: Application of Knowledge
LO: 1.1: Describe what the operations function is and why it is critical to an organization's survival.
2) Which of these is NOT a component of the operations function in an organization?
A) people
B) technology
C) systems
D) information
Answer: D
Diff: 1
Reference: 1.1 Why Study Operations and Supply Chain Management?
Keywords: operations function, people
AACSB: Application of Knowledge
LO: 1.1: Describe what the operations function is and why it is critical to an organization's survival.
3) ________ is an example of an output of the transformation process.
A) Material
B) Information
C) Satisfied customers
D) Intangible needs
Answer: C
Diff: 2
Reference: 1.1 Why Study Operations and Supply Chain Management?
Keywords: output, transformation, process, customer
AACSB: Application of Knowledge
LO: 1.1: Describe what the operations function is and why it is critical to an organization's survival.
2
Copyright © 2019 Pearson Education, Inc.
4) Typical inputs to the transformation process include:
A) tangible goods.
B) satisfied customers.
C) intangible needs.
D) fulfilled needs.
Answer: C
Diff: 2
Reference: 1.1 Why Study Operations and Supply Chain Management?
Keywords: intangible needs, inputs, transformation process
AACSB: Application of Knowledge
LO: 1.1: Describe what the operations function is and why it is critical to an organization's survival.
5) Which of the following statements about the operations function is NOT correct?
A) Inputs to operations can take many different forms.
B) Nearly all operations activities require coordination with other business functions.
C) The outputs of an operations function are always tangible.
D) Operations management activities are information and decision intensive.
Answer: C
Diff: 2
Reference: 1.1 Why Study Operations and Supply Chain Management?
Keywords: operations function, tangible outputs
AACSB: Application of Knowledge
LO: 1.1: Describe what the operations function is and why it is critical to an organization's survival.
6) Which of the following is NOT a flow typically found in a supply chain?
A) physical
B) information
C) monetary
D) risk
Answer: D
Diff: 2
Reference: 1.1 Why Study Operations and Supply Chain Management?
Keywords: supply chain, flow
AACSB: Application of Knowledge
LO: 1.2: Describe what a supply chain is and how it relates to a particular organization's operations function.
7) Which of the following is primarily a supply chain management decision?
A) from whom to purchase materials
B) how many of each item should be produced
C) the mix of labor skill and automation
D) the location of the plant
Answer: A
Diff: 3
Reference: 1.1 Why Study Operations and Supply Chain Management?
Keywords: supply chain, decision, supplier
AACSB: Application of Knowledge
LO: 1.2: Describe what a supply chain is and how it relates to a particular organization's operations function.
3
Copyright © 2019 Pearson Education, Inc.
8) Which of these statements about flows in a supply chain is best?
A) Information and monetary flows move upstream and downstream, but physical flows move
downstream only.
B) Information flows move upstream and downstream, monetary flows move upstream only, and
physical flows move downstream only.
C) Information and monetary flows move upstream only and physical flows move downstream only.
D) Information, physical and monetary flows move both upstream and downstream.
Answer: D
Diff: 2
Reference: 1.1 Why Study Operations and Supply Chain Management?
Keywords: information flows, physical flows, monetary flows
AACSB: Application of Knowledge
LO: 1.2: Describe what a supply chain is and how it relates to a particular organization's operations function.
9) Which of the following statements regarding the supply chain is TRUE?
A) A second-tier supplier is downstream from a first-tier supplier.
B) A first-tier supplier is upstream from a second-tier supplier.