1. A _____________ is something which is offered to customers to satisfy their needs or wants.

A. Process.
B. Price.
C. Promotion.
D. Product.

2. Production is the process by which raw materials and other inputs are converted in to
______________.
A. finished product.
B. services.
C. satisfaction.
D. loyalty.
ANSWER: A

3. Inputs in a production system includes____________.

A. organization, output.
B. process, procedure.
C. system, supply .
D. men, materials.
ANSWER: D

5. Planning and controlling the quality of products and services is a ________ type of decision.
A. Control.
B. Operating.
C. Strategic.
D. Organisation.
ANSWER: A

6. The competitive advantage in the production function can be achieved through _________.
A. high wastages.
B. more cost.
C. higher quality.
D. lowest quantity.

8. The function of _______________ involves the decision when, what,how, and why to produce
goods.
A. production planning.
B. production control.
C. method analysis.
D. quality control.
ANSWER: A

11. The advantage of locating a plant in urban (city) side is __________.

A. cheap availability of land.
B. disposal of waste is easy.
C. cost of operation is low.
D. large markets for finished products.
ANSWER: D

12. Unavailability of skilled labour is a big problem if we locate our factory in _____________.
A. road.
B. rural.
C. city.
D. foreign.
ANSWER: B

_____________ refers to the arrangement of machinery, equipment and other industrial

facilities.
A. Plant lining.
B. Plant location.
C. Facility location.
D. Plant layout.
ANSWER: D

14. The objective of good layout is to _____.

A. reduce production.
B. reduce wastages.
C. reduce productivity.
D. reduce labour.
ANSWER: B

16. __________ type of layout is also called as functional layout.

A. Process.
B. Product.
C. Line.
D. Matrix.
ANSWER: A

17. Grouping together of like machines in one department is in _______ layout.

A. product.
B. process.
C. group.
D. parallel.
ANSWER: B

18. Product layout is also called as ________ layout.

A. line
B. cellular.
C. process.
D. functional.
ANSWER: A

19. In _________ type of layout machineries are arranged according to the sequence of
operations.
A. process.
B. group.
C. matrix.
D. line.
ANSWER: D

20. ______________ type of layout are suitable for non repetitive or standard types of
production .
A. Process.
B. Product.
C. Group.
D. Matrix.
ANSWER: A

21. ________ type of layout is a combination of functional layout and line layout.
A. Cellular.
B. Group.
C. Product.
D. Process.
ANSWER: B
22. Ship Building and Aircraft manufacturing is an example of ________ type of layout .
A. combined.
B. matrix.
C. fixed.
D. group.
ANSWER: C

Operations management is applicable ________________.

A. mostly to the service sector .
B. to services exclusively .
C. mostly to the manufacturing sector .
D. to manufacturing and service sectors .
ANSWER: D

29. The vendor rating is the process of rating the ______.

A. suppliers .
B. buyers.
C. manufacturers.
D. sellers.
ANSWER: A

33. All of the following decisions fall within the scope of operations management except for
______________________.
A. financial analysis
B. design of products and processes
C. location of facilities
D. quality management
ANSWER: A

Current trends in operations management include all of the following except ______________.
A. Just-in-time performance.
B. rapid product development.
C. mass customization.
D. mass production.
ANSWER: D

Productivity can be improved by __________.

A. increasing inputs while holding outputs steady.
B. decreasing outputs while holding inputs steady.
C. increasing inputs and outputs in the same proportion.
D. decreasing inputs while holding outputs steady.
ANSWER: D

44. In which type of production system the unit cost of production is low?
A. Combined production
B. Continuous production.
C. Intermittent production.
D. Custom production.
ANSWER: B

46. ___________ may be defined as the ratio between output and input.
A. Production.
B. Productivity.
C. Batch production.
D. Job production.
ANSWER: B

48. Which of the following is a production planning technique?

A. Dispatching.
B. Loading.
C. Inspection.
D. Expediting.
ANSWER: B

51. ________ function of production planning and control determines the starting time and
finishing time for
each operation.
A. Routing.
B. Loading.
C. Scheduling.
D. Controlling.
ANSWER: B
53. Which of the following is defined as a set of activities which help to keep plant, machinery
and other
facilities in good working condition?
A. Management.
B. Maintenance.
C. Materials.
D. Mechanic.
ANSWER: B

58. _____________ is one of the functions of materials management.

A. Selling finished goods.
B. Collection of bad debts.
C. Receiving and warehousing.
D. Managing cash flows.
ANSWER: C

Mass production is characterized by _________________.

A. Low volume high variety.
B. High volume low variety.
C. High volume high variety.
D. Low volume low variety.
ANSWER: B

___________ function develops a physical relationship between inputs and outputs.

A. Production.
B. System.
C. E-manufacturing.
D. Assembly line.
ANSWER: A

Three commonly used productivity variables are _________________.

A. quality, external elements, and precise units of measure .
B. labor, capital, and management .
C. technology, raw materials, and labor
D. education, diet, and social overhead .
ANSWER: B

The service sector has lower productivity improvements than the manufacturing sector because
___________.
A. the service sector uses less skilled labor than manufacturing .
B. the quality of output is lower in services than manufacturing .
C. services usually are labor intensive .
D. service sector productivity is hard to measure .
ANSWER: C

20-Inadequate production capacity ultimately leads to

(A) Poor quality
(B) Poor Customer Service

(C) Poor inventory control

(D) All of the above

13. …………..are the

basic materials which
have not undergone
any conversion since their
receipt from suppliers.
a. WIP
b. Raw Material
c. Finished Parts
d. Work Made Parts
Answer: c
13. …………..are the basic
materials which have not
undergone
any conversion since their
receipt from suppliers.
a. WIP
b. Raw Material
c. Finished Parts
d. Work Made Parts
Answer: c
13. …………..are the basic
materials which have not
undergone
any conversion since their
receipt from suppliers.
a. WIP
b. Raw Material
c. Finished Parts
d. Work Made Parts
Answer: c
13. …………..are the
basic materials which
have not undergone
any conversion since their
receipt from suppliers.
a. WIP
b. Raw Material
c. Finished Parts
d. Work Made Parts
Answer: c
13. …………..are the basic
materials which have not
undergone
any conversion since their
receipt from suppliers.
a. WIP
b. Raw Material
c. Finished Parts
d. Work Made Parts
Answer: c
Product life cycles for many products are ________, forcing companies to not only become ________
in design but also to communicate changes and needs to suppliers and distributors. 
1. shrinking rapidly, more flexible
2. shrinking rapidly, less flexible
3. growing rapidly, more flexible
4. growing rapidly, less flexible

To get the most profit, a company should________ 

1. Provide little customer service
2. Provide high production costs
3. Provide the lowest inventory investment
4. Provide the highest distribution costs

Materials management is a coordinating function responsible for planning and controlling

materials flow. Its objective(s) is/are: 
1. Maximize the use of the firm's resources
2. Provide the required level of customer service
3. Both of the above
4. Neither of the above

_______ is the capability of manufacturing to produce goods and services.

1. Capacity
2. Priority
3. Planning
4. Control

The _____________________ is a plan for the production of individual end items.

1. MPS
2. JIT
3. MRP II
4. MRP

____________ is the first step in a manufacturing planning and control system.

1. Production planning
2. Achieving the forecast
3. Maintaining the required inventory levels
4. Maintaining the planned backlog

4. Zero defects in manufacturing is

a. is a relevant goal only in electronic assembly

b. is readily achievable in all areas

c. is the goal of TQM

d. is an unobtainable and misleading idea

6. A ____________ encompasses all activities associated with the flow and transformation of

goods from the raw material stage, through to the end user, as well as the associated information

flows.

production line

supply chain

marketing channel

warehouse

In which stage of the product life cycle is advertising and promotion aimed at
retaining existing customers and persuading customers to switch from competitor
products?

Introduction

Growth

Maturity

Saturation