OSCM 373 Exam 1 Latest Update 2025-2026 165 Questions and 100% Verified Correct Answers Guaranteed A+
10 Strategic OM Decisions -CORRECT ANSWER: 1. Design of goods and services
- Managing quality
- Process strategy
- Location strategies
- Layout strategies
- Human resources
- Supply-chain management
- Inventory management
- Scheduling
- Maintenance
A company wishes to design a repetitive process. The manager knows that making a product takes (at a minimum) 5 minutes and estimates they will have to make 120 units every hour. What is the minimum number of workstation required? -CORRECT
ANSWER: 10
A machine has a design capacity of 5,000 and an effective capacity of 4,000 units per year. If the expects output is 3,000 per year, what would be the Utilization? -CORRECT
ANSWER: 60%
A manager checked production records and found that a worker produced 100 units while working 40 hours. In the previous week, the same worker produced 60 units while working 30 hours. What is the Labor Productivity Growth (Decline)? -CORRECT
ANSWER: 25%
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A process has a fixed cost of $20,000, variable costs per unit of $10 and outputs can be sold for $15 per unit.
what is the break-even point? -CORRECT ANSWER: 4000 units
A service company processes an average of 50 customers per 8 hour work day. The firms has 4 employees. The hourly wage is $10, the overhead is 1.2 times labor cost, and material cost is $5 per customer. What is the company's multi-factor productivity
(customers/$)? -CORRECT ANSWER: .052
actual output -CORRECT ANSWER: rate of output actually achieved - cannot exceed
effective capacity
advantages of a batch -CORRECT ANSWER: flexibility; easy to add or change products or services
advantages of a continuous process -CORRECT ANSWER: very efficient, very high
volume
advantages of a job shop -CORRECT ANSWER: - able to handle a wide variety of work
advantages of a repetitive/ assembly line -CORRECT ANSWER: low unit cost, high
volume, and efficient
advantages of process layouts/ job shop -CORRECT ANSWER: o Can handle a variety
of processing requirements
- Not particularly vulnerable to equipment failures
- General-purpose equipment is often less costly to maintain
- It is possible to use individual incentive systems
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advantages of product layouts/ repetitive process -CORRECT ANSWER: - high rate of output
- low unit cost
- labor specialization
- low material handling cost/ unit
- high utilization of labor and equipment
- established routing and scheduling
- routine accounting, purchasing, and inventory control
Amazon recently opened "Amazon Go". This is a grocery store located in Seattle, Washington which eliminates the checkout process. Which competitive advantage is
Amazon gaining over neighboring traditional grocery stores? -CORRECT ANSWER:
response-time
balance delay -CORRECT ANSWER: percentage of idle time of a line
batch -CORRECT ANSWER: moderate volume, semi-standardized goods or services
(bakery)
bottleneck operation -CORRECT ANSWER: an operation in a sequence of operation
whose capacity is lower than that of the other operations
capital (productivity variable) -CORRECT ANSWER: contributes about 38% of the
annual increase
Closeness Ratings (Relationship Diagramming) -CORRECT ANSWER: allows the
considerations of multiple qualitative criteria, input from management or subjective analysis, and indicated the relative importance of each combination of department pairs
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