Your Results for: "Essay"

Site Title: Operations Management, 9/e and Principles of Operations Management, 7/e Book Title: Operations Management, 9/e and Principles of Operations Management, 7/e Location Chapter 1: Operations and on Site: Productivity > Self-Study Quizzes > Essay Date/Time January 23, 2013 at 4:08 Submitted: AM (UTC/GMT) 1.

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All 4 questions in this activity are essays, which are not scored by the system. You answered 4 questions,and left 0 questions blank. More information about scoring

Name and briefly describe a viable business that does not have an operations function. Your Answer:

There are no viable businesses that do not have an operations function. In order to create goods and services, all organizations perform three functions. These functions are marketing, which generates demand or takes orders, finance/accounting, which tracks how well the organization is doing, pays bills, and collects money, and operations, which creates product. 2. The detailing shop at a used car dealership tracks their workers' labor, water bills, and consumables on a weekly basis. The data from the last 5 weeks are shown in the table. What is the multifactor productivity for each week if workers average $25 per hour, water costs $1.50 per thousand gallons, and consumables are $4 per ounce?

Week 1 2 3 4 5

Labor (hr) 150 165 140 100 125

Water (gal) 1,250 900 820 800 930

Consumables # cars (oz) 42 100 50 90 38 80 34 74 28 84

Your Answer:

Multifactor productivity is calculated by dividing the output by all of the inputs (labor, water, and consumables) Week 1 Output = 100 cars Inputs = 150 hours x $25/hour =$3,750 Labor 1,250 gallons x $1.50/thousand gallons = $1.875 water 42 ounces x $4/ounce = $168 consumables Productivity = 100 cars/($3,700+$1.875+$168) Productivity = 0.0255 cars/$ Week 2 Output = 90 cars Inputs = 165 hours x $25/hour =$4,125 Labor 900 gallons x $1.50/thousand gallons = $1.35 water 50 ounces x $4/ounce = $200 consumables Productivity = 90 cars/($4,125+$1.35+$200) Productivity = 0.0208 cars/$ Week 3 Output = 80 cars Inputs = 140 hours x $25/hour =$3,500 Labor 820 gallons x $1.50/thousand gallons = $1.23 water 38 ounces x $4/ounce = $152 consumables Productivity = 100 cars/($3,500+$1.23+$152)

Productivity = 0.0219 cars/$ Week 4 Output = 74 cars Inputs = 100 hours x $25/hour =$2,500 Labor 800 gallons x $1.50/thousand gallons = $1.20 water 34 ounces x $4/ounce = $136 consumables Productivity = 100 cars/($2,500+$1.20+$136) Productivity = 0.0281 cars/$ Week 5 Output = 84 cars Inputs = 125 hours x $25/hour =$3,125 Labor 930 gallons x $1.50/thousand gallons = $1.395 water 28 ounces x $4/ounce = $112 consumables Productivity = 100 cars/($3,125+$1.395+$112) Productivity = 0.0259 cars/$

3.

Rank the three factors that are critical to productivity improvement in order from greatest to least impact and briefly discuss each. Your Answer:

Productivity increases are dependent on three productivity variables: management, which contributes about 52% of the annual increase, capital, which contributes about 38% of the annual increase, and labor, which contributes about 10% of the annual increase. Management is responsible for ensuring that the other two factors are effectively used. Capital investment provides tools for use, and labor uses those tools. 4. Name and describe four differences between goods and services other than tangibility. Your Answer: 123

Services are often produced and consumed simultaneously but a good can be produced and held in inventory until it is requested by a customer. Services are often unique but goods are often standardized. Services have a high customer interaction but goods are usually produced with no customer interaction. Services are often knowledge based and therefore hard to automate, but goods production can often be automated. Many service producers must be located within close proximity to their market but many goods producers can locate where costs are lowest.

Your Results for: "Multiple Choice"

Site Title: Operations Management, 9/e and Principles of Operations Management, 7/e Book Title: Operations Management, 9/e and Principles of Operations Management, 7/e Location Chapter 1: Operations and on Site: Productivity > Self-Study Quizzes > Multiple Choice Date/Time January 23, 2013 at 4:13 Submitted: AM (UTC/GMT) 1.

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Summary of Results
27% Correct of 15 Scored items: 4 Correct: 27% 11 73% Incorrect: More information about scoring

The "father" of scientific management is Your Answer: Henry Ford. Correct Answer: Frederick W. Taylor. INCORRECT. Ford pioneered use of the assembly line.

2.

The three major business functions necessary to all

organizations are Your Answer: marketing, production, operations. Correct Answer: marketing, finance/accounting, production/operations. INCORRECT. Production and operations refer to the same organizational function. 3. Which of these is NOT one of the basic functions of the management process. Your Answer: Leading Correct Answer: Inspecting INCORRECT. Leading is an important managerial function. 4. Which of these statements accurately captures a current trend in operations? Your Answer: Products and services are designed more quickly and by teams. CORRECT. 5. The service sector constitutes what percentage of employment in the United States? Your Answer: Between 75% and 85% CORRECT. 6. Productivity increases when Your Answer: outputs decrease while inputs remain the

same. Correct Answer: inputs decrease while outputs remain the same. INCORRECT. In this case, productivity decreases. 7. The capital investment each year in the United States usually Your Answer: decreases. Correct Answer: increases. INCORRECT. This is not the trend. 8. Which appears to provide the best opportunity for increases in productivity? Your Answer: management CORRECT. 9. The person who introduced standardized, interchangeable parts was Your Answer: Adam Smith. Correct Answer: Eli Whitney. INCORRECT. Smith was an economist. 10 . The person who developed plant-wide quality control systems was Your Answer: Frederick Taylor. Correct Answer: W. Edwards Deming. INCORRECT. Taylor was the father of scientific management.

11 .

An insurance adjuster processes the claims of six policy holders in an eight hour work day. The adjuster uses $5 in gasoline and $3 in forms and office supplies to complete the work. What is her labor productivity? Your Answer: 0.75 claims per hour CORRECT.

12 .

Two car wash employees are paid $7.50 an hour each and are capable of washing 12 cars per hour, using $1 of water and $2 of soap and other cleaning supplies. What is the multifactor productivity of this operation? Your Answer: 1.05 dollars per car Correct Answer: 0.66 cars per dollar INCORRECT. Multifactor productivity is outputs divided by inputs and there are two workers.

13 .

When a tangible product is NOT included in the service, it is called Your Answer: a knowledge-based service. Correct Answer: a pure service. INCORRECT. Knowledge work is often a pure service, but this is not the definition.

14 .

In the early part of the 21st century, annual productivity growth in the U.S. has been _______ . Your Answer: 1% Correct Answer: 2.5%

INCORRECT. Growth has been higher than this. 15 . Increases in productivity are difficult to achieve if Your Answer: the task is more good-producing and standardized. Correct Answer: the task is more intellectual and personal. INCORRECT. Productivity is more easily measured and improved.

Your Results for: "True or False"

Site Title: Operations Management, 9/e and Principles of Operations Management, 7/e Book Title: Operations Management, 9/e and Principles of Operations Management, 7/e Location Chapter 1: Operations and on Site: Productivity > Self-Study Quizzes > True or False Date/Time January 23, 2013 at 4:16 Submitted: AM (UTC/GMT) 1.

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Summary of Results
46% Correct of 13 Scored items: 6 Correct: 46% 7 54% Incorrect: More information about scoring

The production function is clearly visible to the customer in the operations of both goods and services producers. Your Answer: False CORRECT.

2.

Some service providers have no operations function. Your Answer: False CORRECT.

3.

A large percentage of the revenue of most firms is spent in the OM function. Your Answer: False

Correct Answer: True INCORRECT. A large percentage of revenue is spent in the OM function in most organizations. 4. Eli Whitney is known as the father of scientific management. Your Answer: False CORRECT. 5. The sale of most goods includes a service. Your Answer: False Correct Answer: True INCORRECT. Almost all services and goods are a mixture of a service and a tangible product. 6. In the U.S., the service sector provides almost 80% of all jobs. Your Answer: False Correct Answer: True INCORRECT. According to the 2007 Statistical Abstract of the United States, over 70% of the jobs are in the service sector. 7. Labor contributes over 50% of the increase in productivity. Your Answer: False CORRECT. 8. One difference between a good and a service is that services are

often produced and consumed simultaneously. Your Answer: False Correct Answer: True INCORRECT. Services are often difficult, if not impossible, to store. Therefore, they are commonly produced and consumed simultaneously. 9. Operations managers are increasingly concerned with designing products and processes that are environmentally friendly. Your Answer: False Correct Answer: True INCORRECT. Designing products that are biodegradable and processes that use fewer resources are one of the current trends in operations management. 10 . Operations managers now devote more energy to price negotiation with their suppliers as a means of staying competitive. Your Answer: False CORRECT. 11 . Productivity in the service sector has proven difficult to improve because it is typically labor-intensive. Your Answer: False Correct Answer: True INCORRECT. This is one reason that it is difficult to improve productivity in the service sector.

12 .

A country's standard of living can improve only through increases in productivity. Your Answer: False Correct Answer: True INCORRECT. If payments to inputs are increased without increasing productivity, prices rise.

13 .

Two bricklayers work together to build a 320 brick wall in an 8 hour work day. If they are paid $10 per hour, their productivity is $2/brick. Your Answer: False CORRECT.