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  lOMoAR cPSD| 58097008
 THE INTERNATIONAL UNIVERSITY (IU) – VIETNAM NATIONAL UNIVERSITY – HCMC  MID-TERM EXAMINATION  
Date: Thursday, August 01 2024  Duration: 60 minutes 
Student ID: .................................. 
Name:................................................ 
SUBJECT: Production and Operations Management  
Dean of School of Business  Lecturer:  Signature:  Signature:  Full name:  Truong Quang Duoc. Ph.D  GENERAL INSTRUCTION(S) 
1 This is open book examination 
2. No talk, materials transfer during the exam 
3. No mobile phone used during the exam  4. No dictionary.   
SECTION I - MULTIPLE-CHOICE QUESTIONS : (30 points) 
1. An operations manager is not likely to be 
Organization: inputs processes outputs.  involved in 
Which one of the following correctly 
a) the design of goods and services to satisfy 
describes a production system?  customers' wants and needs 
b) the quality of goods and services to satisfy 
a) Airline: pilots planes transportation  customers' wants and needs 
b) Bank: tellers computer equipment 
c) the identification of customers' wants and  deposits  needs 
c) Furniture manufacturer: wood sanding 
d) work scheduling to meet the due dates  chair  promised to customers 
d) Telephone company: satellites cables  e) maintenance schedules  communication 
e) Education: Students buildings Quality 
2. Process A has fixed costs of $1000 and 
4. Which of the following is an example of an 
variable costs of $5 per unit. Process B has 
external product development strategy? a) new 
fixed costs of $500 and variable costs of $15  internally developed products 
per unit. What is the crossover point between 
b) enhancements to existing products 
process A and process B? a) 50 units  c) alliances  b) 200 units 
d) migrations of existing products  c) $2,500 
e) All of the above are examples of internal  d) $5,000  product development strategy.  e) $9,500 
3. Operations management (OM) is the set of 
5. Which of the following is an example of 
activities that create value in the form of goods 
competing on the basis of differentiation? 
and services by transforming inputs into 
a) A firm manufactures its product with less 
outputs. This can be described in the following  1 
raw material waste than its competitors do.  manner:      lOMoAR cPSD| 58097008
b) A firm's products are introduced into the  8.  Which is NOT true regarding 
market faster than its competitors' products  differences between goods and  are.  services? 
c) A firm's distribution network routinely 
a) Most goods are common to many  delivers its product on time.  customers; services are often 
d) A firm offers more reliable products than  unique to the final customer.  its competitors do. 
b) Tangible goods are generally 
e) A firm advertises more than its competitors  produced and consumed  do. 
simultaneously; services are not. 
c) Services tend to have a more 
6. An engineering drawing shows the: 
inconsistent product definition than 
a) dimensions, tolerances, materials, and  goods.  finishes of a component. 
d) Services tend to have higher 
b) dimensions, tolerances, cost, and sales or 
customer interaction than goods.  use volume of a component. 
e) None, i.e., all of the above are true. 
c) materials, finishes, machining operations, 
and dimensions of a component.  9.  Gibson Valves produces cast 
d) cost, materials, tolerances, and lead-time 
bronze valves on an assembly line,  for a component. 
currently producing 1600 valves per 
e) cost, dimensions, and machining 
shift. If the production is increased to  operations for a component  2000 valves per shift, labor 
productivity will increase by: 
7. A regional bookstore chain is about to build a  a) 10%. 
distribution center that is centrally located for  b) 20%. 
its eight retail outlets. It will most likely  c) 25%. 
employ which of the following tools of  d) 40%.  analysis?  e) 50%.  a) assembly line balancing  b) load-distance analysis  10.  Which of the following is an  c) center-of-gravity model 
example of competing on the basis of  d) linear programming  differentiation?  e) all of the above 
a) A firm manufactures its product 
with less raw material waste than its  competitors do. 
b) A firm's products are introduced 
into the market faster than its  competitors' products are. 
c) A firm's distribution network 
routinely delivers its product on  time. 
d) A firm offers more reliable products  than its competitors do. 
A firm advertises more than its competitors  do.  11. 
"Quality lies in the eyes of the  beholder" is: 
a) an unrealistic definition of quality.      lOMoAR cPSD| 58097008
b) a user-based definition of quality. 
a) at the introduction stage of the product life 
c) a manufacturing-based definition of  cycle  quality. 
b) at the growth stage of the product life cycle 
d) a product-based definition of 
c) at the maturity stage of the product life  quality.  cycle 
e) the definition of quality proposed 
d) at the decline stage of the product life cycle  by the American Society for 
e) at the saturation stage of the product life  Quality.  cycle    _____&____  2 
12. In mass service and professional service, 
the operations manager should focus  extensively on:  a) automation.  b) equipment maintenance.  c) sophisticated scheduling.  d) human resources.  e) cost-cutting initiatives. 
13. Which of the following statements is true? 
a) Corporate mission is shaped by functional  strategies. 
b) Corporate strategy is shaped by functional  strategies. 
c) Functional strategies are shaped by  corporate strategy. 
d) External conditions are shaped by  corporate mission. 
e) Functional area missions are merged to 
become the organizational mission. 
14. An engineering drawing shows the: 
a) dimensions, tolerances, materials, and  finishes of a component. 
b) dimensions, tolerances, cost, and sales or  3  use volume of a component. 
c) materials, finishes, machining operations, 
and dimensions of a component. 
d) cost, materials, tolerances, and lead-time  for a component. 
e) cost, dimensions, and machining  operations for a component. 
15. When should product strategy focus on 
forecasting capacity requirements?      lOMoAR cPSD| 58097008
SECTION II – DISCUSSIONS and PROBLEMS (70 POINTS) 
Problems 1: (30 points) 
How can the International University (IU) control the quality of its graduated students? Give  explanations.  Problem 2: (40 points) 
A company collect information of defect shipments. The form of 280 shipments has been turned in. 
The number of defective items in each sample was recorded as follows.  No of  Number of  Reasons of defective shipment  Week  shipments  shipment 
Incorrect Incorrect Damage Trucks  defects  bill  truck load product  late  1  23  6  2  2  1  1  2  31  8  1  4  1  2  3  28  6  2  3  1    4  37  11  4  4  2  1  5  35  10  3  4  2  1  6  40  14  5  6  3    7  41  12  3  5  3  1  8  45  15  4  6  3  2 
1. Develop a Pareto chart for the type of defects that have occurred. 
2. What is the meaning of this Pareto chart? In the case you are CEO of this shipping company.  What’s is your plan?  Good Luck!