Which of the Following Statements Best Describes the Distinction Between

question 100

Multiple Choice

Which of the following statements best describes the distinction between production management and operations management? Production management involves the activities managers perform to:

• A)help create services while operations management involves the activities managers perform to produce goods.
• B)obtain physical resources while operations management involves the activities managers perform to obtain the financial resources.
• C)help create goods while operations management is a broader term that involves the activities involved in producing services as well as goods.
• D)help create intangible products while operations management involves the activities managers perform to produce tangible products.

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Definitions:

Holding Costs

The expenses associated with storing inventory before it is sold, including warehousing, insurance, depreciation, and opportunity costs.

Ordering Cost

The expenses borne by a company when ordering goods from suppliers, which may include costs associated with processing and receiving the order.

Service Level Policy

A set of guidelines or standards that determine the quality and performance level of customer service operations.

Standard Deviation

A measure of the dispersion or variance in a set of values, indicating how much the values deviate from the mean.