Operations Management (McGraw-Hill), Chapter 1

managing for results--desired outputs

Operations management is about

adding value

Operations transform inputs into outputs by

B) Manufacture

Which of the following is not an elemental transformation function? A) Alter

B) Manufacture

C) Inspect

D) Transport

direct labor, direct materials, and other direct costs

Inputs can come in conventional forms as

cash wealth invested for technology, equipment and land

Inputs can also be capital items that are not consumed in the operation such as

human capital (labor), intellectual capital (knowledge), and social capital (reputation, brand equity, customer loyalty, etc..)

Inputs has broadened to include

false

Inputs are strictly tangible.

true

"You cannot manage what you cannot measure" means measurement provides clarity on the desired results.

A) by creating a perceived need

Which of the following is not one of the ways in which operations management contributes to a firm's competitive advantage.

A) by creating a perceived need.

B) by adding value to a combination of inputs

C) by delivering a better service

D) by manufacturing products faster

True

Waste is considered output.

True

Outputs can be tangible or intangible.

something can be perceived by touch

Tangible output

tend to be emotional or experientials results such as satisfaction, relaxation, convenience and ambience.

Intangible output

True

A resource is rare if competitors do not have it.

True

A resource may be considered inimitable if there is an underlying path dependency that created it.

False

A prudent business leader has a financial perspective of strategy that drives operational and marketing decisions.

True

A prudent business leader understands that the business's value proposition must be distinctive, understood, and feasible.