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CHAPTER 7: PROCESS STRATEGY TRUE/FALSE 1. Dell's approach to personal computer manufacturing is to use a product focus, which gives the company its low-cost competitive advantage. False (Global company profile, easy) 2. A firm's process strategy is its approach to transforming resources into goods and services. True (Introduction, easy) 3. Intermittent processes are organized around processes. True (Four process strategies, easy) 4. In process-focused facilities, equipment utilization is low. True (Four process strategies, moderate) 5. The typical full-service restaurant uses a product-focused process. False (Four process strategies, moderate) 6. Harley-Davidson, because it has so many possible combinations of products, utilizes the process strategy of mass customization. False (Four process strategies, moderate) 7. A value-stream map includes both (1) inventory quantities, and (2) symbols for customers and suppliers. True (Process analysis and design, moderate) 8. The assembly line is a classic example of a repetitive process. True (Four process strategies, easy) 9. One essential ingredient of mass customization is modular design. True (Four process strategies, moderate) 10. The tool that calculates which process has the lowest cost at any specified production volume is a crossover chart. True (Four process strategies, moderate) 11. The term focused processes refers to the quest for increased efficiency, whether in goods or services, that results from specialization. True (Four process strategies, moderate) 12. Service blueprinting is a process analysis technique that focuses on the customer and the provider's interaction with the customer. True (Process analysis and design, moderate)
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13. Activity times should not be included in a service blueprint. False (Process analysis and design, moderate) 14. A process map with the addition of a time axis becomes a process chart. False (Process analysis and design, moderate) 15. Time-function mapping is a flow diagram with time added to the horizontal axis. True (Process analysis and design, moderate) 16. Process maps use distance, but not time, to show the movement of material, product, or people through a process. False (Process analysis and design, moderate) 17. Professional services typically require low levels of labor intensity. False (Service process design, moderate) 18. An example of the postponement strategy for improving service productivity is having the customer wait until you have sufficient time to serve the customer. False (Service process design, moderate) 19. Process control is the use of information technology to monitor and control a physical process. True (Production technology, easy) {AACSB: Use of IT} 20. One use of camera-and-computer-based vision systems is to replace humans doing tedious and error-prone visual inspection activities. True (Production technology, easy) {AACSB: Use of IT}
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