A Lesson in Operations Management (Scenario)

question 34

Multiple Choice

A Lesson in Operations Management (Scenario)
Hana had been asked to attend training in operations management. Her background and training had previously been in acco but with the reorganization looming, it was either learn a new skill or be downsized. She was actually looking forward to the She felt her background with numbers should prove valuable in operations management, but she admitted that she knew littl the field. Until now, she had been in a support staff function and had little feel for how the organization's product went from raw materials to finished product. Hana's first class would be tonight at Central University, and she was excited about the opportunity.
-On the first night of class, Hana learned that the central focus of operations management was_________ .

• A) the transformation process
• B) goods
• C) capital
• D) people

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Definitions:

Direct Materials

Basic substances that can be directly linked to the manufacture of particular products or services.

Direct Labor-Hours

A measure of the amount of time workers spend on a particular job or production process, used to assign labor costs to units of output.

Variable Overhead

Generic term for the costs of production that fluctuate with the level of output, including expenses like utilities or raw materials.

Direct Labor-Hours

The number of labor hours spent directly on the production of goods or services.