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ISDS 3115 Chapter 1 True/False Questions Exam 1

True
Some of the operations-related activities of Hard Rock Café include designing meals and analyzing them for ingredient cost and labor requirements.
False
Because Hard Rock Cafés are themed restaurants, operations managers focus their layout design efforts on attractiveness while paying little attention to efficiency.
True
All organizations, including service firms such as banks and hospitals, have a production function.
True
Operations management is the set of activities that creates value in the form of goods and services by transforming inputs into outputs.
True
An example of a “hidden” production function is the transfer of funds between accounts at a bank.
True
An accounting firm that provides tax services for a company would be considered to be part of that company’s supply chain.
True
One reason to study operations management is to learn how people organize themselves for productive enterprise.
True
The operations manager performs the management activities of planning, organizing, staffing, leading, and controlling of the OM function.
False
“Considers inventory ordering and holding decisions” is within the strategic operations management decision area of managing quality.
False
In order to have a career in operations management, one must have a degree in statistics or quantitative methods.
False
Henry Ford is known as the Father of Scientific Management.
False
Shewhart’s contributions to operations management came during the Scientific Management Era.
False
Customer interaction is often high for manufacturing processes, but low for services.
False
Manufacturing now constitutes the largest economic sector in postindustrial societies.
True
Although the number of people employed in manufacturing in the United States has decreased since 1950, each person is now producing almost 20 times more than in 1950.
True
Productivity is generally more difficult to improve in the service sector than in the manufacturing sector.
False
A knowledge society is one that has migrated from work based on knowledge to one based on manual work.
False
Productivity is the total value of all inputs to the transformation process divided by the total value of the outputs produced.
True
Ethical and social dilemmas arise because stakeholders of a business have conflicting perspectives.

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