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1. A gracious welcome by an employee at the hotel check-in counter is an example

ID: 368786 • Letter: 1

Question

1. A gracious welcome by an employee at the hotel check-in counter is an example of:

(A) social sustainability.

(B) predictive analytics.

(C) service blue print.

(D) moment of truth.

2. In order to increase value, an organization must:

(A) increase perceived benefits while decreasing actual benefits.

(B) increase both perceived benefits and   or cost proportionally.

(C) decrease both perceived benefits and price or cost proportionally.

(D) decrease price or cost while holding perceived benefits constant.

3. North Zone Bank gives all its customers a complimentary credit card along with a custom-made wallet when they open an account with the bank. The credit card and the wallet are examples of _____ offered by the bank.

(A) peripheral goods

(B) core offerings

(C) intangible products

(D) primary goods

4. Jason and his friend went to a coffee shop. They ordered two cappuccinos and received a complimentary chocolate waffle and cookie along with their order. In the context of a customer benefit package (CBP), the chocolate waffle and the cookie are _____.

(A) intangible products

(B) core offerings

(C) peripheral goods

(D) primary goods

5. Which of the following statements is true of a value chain?

(A) The pre- and post-service framework of a value chain emphasizes that service is a critical component of traditional manufacturing processes.

(B) The input-output framework of a value chain suggests that the value chain begins with inputs from customers.

(C) A value chain solely focuses on the operations function of an organization.

(D) A value chain is narrower in scope than a supply chain.

6. Predictive analytics is used by organizations to:

(A) analyze business policies through visual representations.

(B) identify the best decisions for a particular situation.

(C) understand past and current performance.

(D) envisage the future by detecting patterns and relationships in data.

7. Building a high-performing organization with a capable leadership and workforce is an example of _____.

(A) economic sustainability

(B) technological sustainability

(C) political sustainability

(D) environmental sustainability

8. In an assembly line of a factory that makes gears, it takes fifteen minutes to complete a drilling operation using a lathe. The duration of this operation is called _____.

(A) delay time

(B) queue time

(C) processing time

(D) standard time

9.   A paint manufacturing company has three factories located in France, Germany, and Spain. The productivity data of the factories are as follows:

Factory Location

Amount of Paint Produced (U.S. Gallons)

Total Input Cost (USD)

Spain

4,600,000,000

$5,250,000

Germany

5,500,000,000

$5,250,000

France

4,000,000,000

$3,500,000

Based on the productivity analysis of all the factories, the productivity of the factory in:

(A) Germany is lower than that of the factory in Spain.

(B) Spain is higher than that of the factory in France.

(C) France is higher than that of the factory in Spain.

(D) France is lower than that of the factory in Germany.

10. Key measures of innovation and learning include__________.

(A) supply-chain performance

(B) processing time

(C) percentage of new products developed

(D) the variance around the average time

11. The_____________is based on a set of cause-and-effect linkages between internal and external performance, and in this fashion, defines the key performance measurements on which service-based firms should focus.

(A) Service-Profit Chain model

(B) value chain model

(C) balanced scorecard inversion model

(D) Malcolm Baldrige Performance Excellence program

12. The innovation and learning perspective in the balanced scorecard model includes measures such as:

(A) return on investment, economic value added, and shareholder value.

(B) number of cooperative customer–company design initiatives and percent of sale from new services.

(C) training hours per employee, hiring process effectiveness, and revenue per employee.

(D) service-quality levels, design and demand flexibility, and asset utilization.

13. In the context of the types of performance measures, which of the following is a measure of innovation and learning?

(A) Patent applications

(B) Employee retention

(C)  Product recalls

(D) Labor productivity

14. Eric is admitted to a hospital to undergo a surgery for hernia. He is unable to discern the expertise of his surgeon before the surgery nor evaluate the quality of the service after the surgery. In this case, the expertise of Eric's surgeon is an example of a(n) _____.

(A) search attribute

(B) experience attribute

(C) credence attribute

(D) variant attribute

(E) none of the above

15. Which of the following is a difference between the evaluation of goods and the evaluation of services by customers?

(A) Customers rely more on information from non- personal sources when evaluating services, whereas they rely more on information from personal sources when evaluating goods.

(B) Customers perceive lesser risks when buying services, whereas they perceive greater risks when buying goods.

(C) Customers cannot look at or touch services prior to the purchase decision, whereas they can feel a product prior to purchase.

(D) Customers adopt innovations in services faster, whereas they resist adopting innovations in products.

16. At Ritufa Food Corp., flexibility is the key competitive priority. Food products are manufactured according to customers' requirements, at any volume and globally delivered at any time. Given this information, Ritufa Food Corp.'s operations strategy is based on _____.   

(A) compensation

(B) weak economies of scale

(C) mass standardization

(D) cost reduction

(E) mass customization

17. Applying Professor Terry Hill's generic strategy framework to McDonald's, the operating design choices of resource scheduling, inventory placement and control, and standardized operational and job procedures best relate to the corporate objective of _____.

(A) profitable growth

(B) operational excellence

(C) operational sustainability

(D) operational diversity

18. Identify a true statement about the role of quality in gaining a competitive advantage.

(A) Producers of low-quality goods are able to still charge higher prices, even in crowded and over competitive markets or market niches.

(B) A strategy of quality improvement is usually accompanied by increased short-run profitability.

(C) Producers of high-quality goods usually charge low prices.

(D) Quality is unrelated to return on investment for most kinds of market situations.

(E) Businesses offering premium-quality goods usually have large market shares.

19. According to your textbook, which of the following would not constitute an element of operations infrastructure?

  (A) Market segmentation

(B) Workforce

(C) Quality control.

(D) Learning and innovation systems

20. _____ is a pattern that integrates an organization’s major goals, policies, and action sequences into a cohesive whole.

(A)   Competitive advantage

(B) Core competency.

(C)  Sustainability

(D) Vision statement

(E) Strategy

21. Which of the following is a difference between firms that have high scalability and firms that have low scalability?

  (A) Firms with high scalability serve additional customers at extremely low incremental costs, whereas firms with low scalability serve additional customers at high incremental variable costs

   (B) Firms with high scalability incur extremely low fixed costs, whereas firms with low scalability incur extremely high fixed costs.

(C) Firms with high scalability have variable costs as 80 to 85 percent of total costs, whereas firms with low scalability have variable costs as zero to five percent of total costs.

  (D)  Firms with high scalability have a low contribution margin, whereas firms with low scalability have a high contribution margin.

(E) All are possible although b and c are more likely in this scenario.

22. The XYZ Manufacturing Company is an electronics offshored company. It designs, produces, and assembles desktop gadgets. The entire process is controlled by programmable robots, which are in turn linked to computers. These computers direct the robots to the appropriate task. In this context, XYZ uses a(n) _____ to produce its goods.

(A) partner relationship management system

(B) enterprise resource planning system

(C) employee experience management system

(D) flexible manufacturing system

( E) CAD/CAM integrated machining system

23. Which of the following enables engineers to design, analyze, test, simulate, and manufacture products before they physically exist?

(A) Computer numerical control (CNC) machines

(B) Computer-aided design/computer-aided engineering (CAD/CAE) systems

(C) Computer-integrated manufacturing systems (CIMs)

(D) Computer-aided manufacturing (CAM) systems

24. Based on class lecture, which of the following statements is true about enterprise resource planning (ERP) systems?

(A) It is a business strategy designed to learn more about customers’ wants, needs, and behaviors.

(B) It gives each function or department the ability to set up its own database.

(C) Customer ordering and production scheduling are its real-time transaction processing systems.

   (D) It consists of a single module that overlies a specified database each functionally independent of the other modules associated with the database.

(E) All of the above are true in terms of enterprise resource planning (ERP) systems.

25. Customer relationship management (CRM) helps firms gain competitive advantage by all of the following except:

(A) by providing modeled sales outcomes based on market niche identifiers.

(B) by segmenting markets based on demographic and behavioral characteristics

(C) by tracking sales trends and advertising effectiveness.

(D) by identifying which customers should be the focus of targeted marketing initiatives.

(E) by providing real-time transaction processing.

26. Based upon your understanding of technology and operations, please identify a benefit of adopting technology.                

(A) Technology helps restructure old and less productive industries.

(B) The use of technology increases opportunities for employee empowerment.

(C) Technology increases opportunities for employee creativity.

(D) The use of technology does not require adherence to any laws or regulations.

(E) All of the above are possible.

27. The fundamental planning tool used to implement quality function deployment (QFD) is the:

(A) voice of the customer.

(B) technical requirement relationship matrix.

(C) market and competitive evaluation rating matrix.

(D) House of Quality.

(E) marketplace evaluation.

28. Based upon your reading of the literature associated with the House of Quality concept, the final step in using the House of Quality involves identifying those technical features that meet any of the following criteria except:

(A) the strongest relationship to customer requirements.

(B) the highest quality.

(C) poor competitive performance.

(D) strong selling points.

29. Which of the following is not supported by Japan's Genichi Taguchi?

(A) Tolerance optimization

(B) Goal-post model

(C) Quadratic loss function

(D) Monetary expression of variation

(E) Sunk cost minimization

30. The specifications for an automobile part (in inches) are 10.00 ± 0.15, and the Taguchi loss function is estimated to be L(x) = 9,300 (x - T) 2. Determine the estimated loss per part if the concerned quality feature has an actual value of 10.20 inches.

(A) $37200

(B) $93000

(C) $372

(D) $93

(E) $9

31. Based upon what you read in your textbook, customer contact, for the purpose of classifying a system as being high-contact or low-contact, is measured by:

(A) the percentage of a service provider's workday spent with customers.

(B) the number of times a customer makes an inquiry divided by the total time it takes to investigate if a service encounter has taken place or was necessary.  

  (C) the number of service encounters occurring in a given span of time.

(D) the number of different service providers required to serve one customer.

(E) the percentage of time a customer must be in the system relative to the total time it takes to provide a service.

32. Objectives of service guarantees include all of the following except:

(A) building brand image.

(B) reducing customer risk.

(C) forcing operational improvement.

(D) allowing reduced pricing.

33. At ABC Apparels, the apparel stocks in the firm's outlets are changed every week. This is based on the changing fashion preferences of its customers. Its managers also coordinate in real-time among its other stores and satisfy its customers' requirements. In this case, ABC Apparels most likely uses _____.

(A) the center-of-gravity method

(B) the push-pull boundary

(C) an efficient supply chain

(D) a responsive supply chain

(E) none of the above

34. The DEF Corporation provides integrated services that include storing manufactured goods, packaging, and delivering it to the dealers or customers. Given this information, DEF is most likely a _____.

(A) third-party logistics provider

(B) contract manufacturer

(C) distribution center

(D) supplier

(E) Importer-exporter expediter

35. A difference between efficient supply chains and responsive supply chains is that responsive supply chains _____.

(A) focus on flexibility and responsive service

(B) focus on maximizing efficiencies in process flow

(C) seek to balance capacity and demand, resulting in low levels of inventory

(D) seek to minimize cost of routing products from factory to customers

36. Smith and Jones Inc. is an automobile manufacturing firm. It produces and assembles all the parts of automobiles in its factory and, later, ships the finished products to its storehouses. The managers at the storehouses distribute the goods to wholesalers. Customers then buy the products from the wholesalers. In this scenario, the push–pull boundary for Rues and West Inc. is at the _____.

(A) factory

(B) wholesalers

(C) storehouses

(D) assembly section

(E) All of the above would fit here

37. Unlike firms that outsource, firms engaged in offshoring:    

(A) manage to reduce travel expenses.

(B) are able to enforce intellectual property rights easily.

(C) maintain ownership of the facility in another country.

(D) have better control on quality

38. Which of the following statements is true of a responsive supply chain?        

(A) It works best when demand is stable and predictable.

(B) It works best when product life cycles are short and change often because of innovation.

(C) It works best when customers require standardization rather than customization.

(D) It works best when contribution margins are low.

39. Let’s consider an enterprise like Subway. Subway’s sandwich process is best described as:

(A) custom or make-to-order.

(B) option or assemble-to-order.

(C) standard or make-to-stock.

(D) a value (supply) chain.

40. An accounting firm specializing in standard EZ tax returns filed online with a similar sequence of steps is best described as what type of process?

(A) Project

(B) Job shop

(C) Flow shop

(D) Continuous flow

(E) None of above

41. _____ processes are organized around particular types of general-purpose equipment that are flexible and capable of customizing work for individual customers

(A) System

(B) Job shop

(C) Flow shop

(D) Continuous flow

(E) Project

42. What type of process would a paper mill most likely use?

(A) Project

(B) Job shop

(C) Flow shop process

(D) Continuous flow process

43. _____ services offer customers broad freedom to select the pathways that are best suited for their immediate needs and wants from many possible pathways through the service delivery system.

(A) Provider-routed

(B) Either provider or customer-routed

(C) Option-oriented

  (D) Standard

(E) Customer-routed

44. Which of the following statements is/are considered most accurate about a process map (flowchart)?

(A) It does not have boundaries.

(B) It does not include information flow.

(C) It is often used as a baseline to describe how a process is performed.

(D) It must include a line of customer visibility.

(E) It normally delineates best-case/worst-case scenarios.

45. The average number of entities completed per unit time (the output rate) from a process is called _____.

(A) utilization

(B) output

(C) service rate

(D) work-in-process

(E) throughput

46. Which of the following statements is/are considered most correct about Little's Law?

(A) It explains the relationship between waiting time and throughput.

(B) It takes into account any randomness in arrivals or service times.

(C) It focuses on finished goods inventory.

(D) It evaluates average process performance.

(E) All of the above are aligned with Little’s Law.

47. The Department of Motor Vehicle (DMV) testing center has six (6) testers who test 50 drivers in total per day. Each tester can test ten (10) drivers per day. What is the center's utilization?

(A) More than 60% but less than or equal to 70%

(B) More than 70% but less than or equal to 80%

(C) More than 80% but less than or equal to 90%

(D) More than 90 percent

Factory Location

Amount of Paint Produced (U.S. Gallons)

Total Input Cost (USD)

Spain

4,600,000,000

$5,250,000

Germany

5,500,000,000

$5,250,000

France

4,000,000,000

$3,500,000

Explanation / Answer

Ans:

1) Option C

moment of truth

moment of truth is a instance in which a customer interacts with a brand, product or service and forms an impression about the particular brand, product or service.

2) Option D

decrease price or cost while holding perceived benefits constant

In order to increase the value, the product should be made available at a low price or a decrease in the cost of making the product will also increase the value, keeping the product features and benefits the same.

3) Option A

peripheral goods

peripheral goods are those which are used in adding value to the primary product.

4) Option C

peripheral goods

peripheral goods are those which are used in adding value to the primary product.