Operations and Supply Chain Management

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When marketing, engineering, and operations simultaneously develop a process (cross -functional integration), this approach is known as __________ ________________.
A)
sequential process
B)
traditional approach
C)
concurrent engineering
D)
both A and B
E)
none of the above

Feedback: C is the correct answer. Unlike the traditional serial or sequential approach, concurrent engineering uses cross-functional integration for concurrent development of a product.

2
Quality Function Deployment ______________
A)
is a tool for translating customer requirements into concrete operating and engineering goals.
B)
facilitates inter-functional cooperation between marketing, engineering, and manufacturing.
C)
provides a better understanding and focus on process characteristics that require improvements
D)
both A and B
E)
A, B, and C

Feedback: D is the correct answer. The end result of QFD is a better understanding and focus on product characteristics (and not process characteristics) that require improvements.

3
Which of the following statements is true about value analysis/value engineering (VA/VE)?
A)
The purpose of VA/VE is to simplify products and processes.
B)
The objective of VA/VE is to achieve equivalent or better performance at a lower cost.
C)
VA is performed before the production stage, while VE deals with products already in production.
D)
both A and B
E)
A, B, and C

Feedback: D is the correct answer. VA deals with products already in production, while VE is performed before the production phase.

4
Which is the least important performance dimension for product development projects:
A)
Time-to-market
B)
Productivity
C)
Quality
D)
Product flexibility
E)
A, B, and C

Feedback: D is the correct answer since product flexibility may have no relation to the performing product development projects.

5
When evaluating a new product development project using net present value analysis, which of the following will make the project more attractive?
A)
Delaying the start of the project
B)
Making the project run over a longer period of time
C)
Improving (bringing forward) the date when revenue will begin
D)
A and B
E)
None of the above.

Feedback: C is the correct answer. Starting the revenue stream earlier will always make a project more attractive.

6
Which of the following are parts of IDEO's product design process?
A)
Rapid prototyping
B)
Using project milestones
C)
Brainstorming
D)
Benchmarking
E)
A and C

Feedback: E is the correct answer. IDEO makes quick prototypes and uses extensive brainstorming to come up with their great ideas.

7
Which of the following are characteristics of a company's core competence?
A)
It is not easy to outsource
B)
It provides potential access to a variety of markets
C)
It increases perceived customer benefits
D)
It is hard for competitors to imitate
E)
B, C and D.

Feedback: E is the correct answer. Being easy to outsource is not a core compentence characteristic.

8
Manufacturing is involved in what phases of the product design process?
A)
Detail Design
B)
Production Ramp-up
C)
Initial Planning
D)
Concept Development
E)
A, B, C and D

Feedback: Manufacturing should be involved in all phases of product design.

9
When designing service products, which of the following is not true:
A)
It must fit with current products
B)
It should be profitable
C)
It should be done by engineers only
D)
It must be operationally possible
E)
Complexity and divergence should be considered

Feedback: Although engineers play an important part in the service design process they...
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