MGMT 306 PRODUCTION AND OPERATIONS MANAGEMENT HOMEWORK 1
(Please submit the Scantron form)

I.

TRUE/FALSE (A for True; B for False)
1. All organizations, including service firms such as banks and hospitals, have a production function. True (What is operations management? moderate) 2. Operations management is the set of activities that create value in the form of goods and services by transforming inputs into outputs. True (What is operations management? easy) 3. The operations manager performs the management activities of planning, organizing, staffing, leading, and controlling of the OM function. True (What operations managers do, easy) 4. "How much inventory of this item should we have?" is within the critical decision area of managing quality. False (What operations managers do, easy) 5. Customer interaction is often high for manufacturing processes, but low for services. False (Operations in the service sector, moderate) 6. One reason for global operations is to gain improvements in the supply chain. True (A global view of operations, moderate) {AACSB: Multiculture and Diversity} 7. A product will always be in the same stage of its product life cycle regardless of the country. False (A global view of operations, moderate) {AACSB: Multiculture and Diversity} 8. Boeing’s development of the 787 Dreamliner is an example of a company obtaining a competitive advantage via product differentiation/innovation. True (Global company profile, easy) 9. An organization's strategy is its purpose or rationale for an organization's existence. False (Developing missions and strategies, easy) 10. Low-cost leadership is the ability to distinguish the offerings of the organization in any way that the customer perceives as adding value. False (Ten strategic decision of OM, moderate)

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MULTIPLE CHOICES (please identify the letter of the choice that best