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Production and Operations Management Multiple Choice Questions and Answers | Production and Operations Management MCQs Quiz

(1) Which of the following is not a typical attribute of goods?
[A] output can be inventoried
[B] often easy to automate
[C] aspects of quality difficult to measure
[D] output can be resold
Answer: aspects of quality difficult to measure
(2) The Dulac Box plant produces 500 cypress packing boxes in two 10-hour shifts. What is the productivity of the plant?
[A] 25 boxes/hr
[B] 50 boxes/hr
[C] 5000 boxes/hr
[D] none of the above
Answer: 25 boxes/hr
(3) The total of all outputs produced by the transformation process divided by the total of the inputs is
[A] utilization
[B] greater in manufacturing than in services
[C] defined only for manufacturing firms
[D] multi-factor productivity
Answer: multi-factor productivity
(4) Productivity tends to be more difficult to improve in the service sector because the work is
[A] often difficult to automate
[B] typically labor intensive
[C] frequently individually processed
[D] often an intellectual task performed by professionals
E all of the above
Answer: all of the above
(5) Intermediaries play an important role in matching.
[A] supply and demand
[B] product to region
[C] information and promotion
[D] manufacturer to product
Answer: supply and demand
(6) A distinguishing feature of a contractual VMS is that coordination and conflict management among the independent members of the channel are attained through ______________
[A] contractual agreements
[B] working partnerships
[C] oral agreements
[D] limited liability corporations
Answer: contractual agreements
(7) Which type of product might require a more direct marketing channel to avoid delays and too much handling?
[A] products in their maturity stage
[B] perishable products
[C] high-priced products
[D] lower-priced products
Answer: perishable products
(8) Which of the following transportation modes is used for digital products?
[A] ship
[B] rail
[C] air
[D] the internet
Answer: the internet
(9) Identify from the following list a major strategic risk associated with outsourcing.
[A] Outsourcing landed cost is usually higher than insourcing cost
[B] The supplier is purchased by a competitor
[C] The business loses sight of market trends
[D] The cost of supplied material is passed on to the customer
Answer: The supplier is purchased by a competitor
(10) ______________ happens in manufacturing when information about consumer demand for any product becomes increasingly distorted as it moves upstream in the manufacturing process.
[A] information effect
[B] bullwhip effect
[C] supply effect
[D] demand effect
Answer: bullwhip effect