Quiz on Operations Management

Which term refers to the act of finding and acquiring goods and services from external sources?

• Sourcing

• Conversion

• Inventory management

• Mass production

What is the role of manufacturers in production?

• Distributing goods

• Using raw materials to create finished goods

• Marketing products

• Providing customer service

Which function of business identifies, anticipates, and satisfies customer demand?

• Management

• Production

• Marketing

• Finance

Which of the following is NOT part of the production process?

• Planning

• Purchasing

• Marketing

• Scheduling

Which of the following is a key component of the production process?

• Marketing strategy

• Inventory control

• Customer feedback

• Product design

What is business purchasing?

• The activity of selling products to customers

• The activity of acquiring materials, supplies, or services necessary to create a product

• The process of marketing goods and services

• The method of distributing finished products

What does direct materials inventory consist of?

• Finished products ready for sale

• Raw materials needed to produce a finished product

• Financial assets of a company

• Marketing materials

Which of the following is a type of perpetual inventory-control system?

• Manual perpetual inventory-control system

• Automated sales tracking system

• Employee management system

• Financial accounting system

Which of the following is NOT an advantage of the JIT system?

• Reduced waste

• Increased storage space

• Increased efficiency

• Cash available for other purposes

What does Continuous Process Improvement (CPI) aim to achieve?

• Increase production costs

• Improve production processes to meet goals and increase profit

• Decrease employee satisfaction

• Reduce product quality