OM300 Exam 1 Chapters 1–4
[2026/2027] Updated Version |
Comprehensive Study Guide, Verified
Questions & Detailed Rationales
What is a transformation process? - ANSWER-A diagram showing inputs (people,
material, equipment, IT, capital) being "transformed" into outputs
(goods/services).
Inputs -> Transformation process -> Outputs
customer feedback/performance information can also influence all 3 steps.
What is added value/ Non added value? What is the criteria for evaluating value? -
ANSWER-"Describes the net increase between the final value of a product and the
value of all the inputs. The greater the value added, the more productive a
business is. An obvious way to add value is to reduce the cost of activities in the
transformation process.
Activities that do not add value are considered wasteful; these include certain
jobs, equipment, and processes. In addition to value added, operations must be
efficient."
-the criteria is is if provides an efficient transformation.
,What are the similarities of Manufacturing vs. Service? - ANSWER-Use of
technology, both have quality/productivity/ response issues, must forecast
demand, has capacity/layout/location issues, all have
customers/suppliers/scheduling/staffing issues.
What are the differences of Manufacturing Vs. Service? - ANSWER-Manufacturing
orgs produce tangible goods (products) and have little direct contact with
customers (such as a factory).
service orgs provide intangible goods (services) and have direct contact with
customers, such as a hospital.
What are the trends in service versus manufacturing? - ANSWER--service sector
growing to 50-80% of non farm jobs
-global competitiveness
-demand for higher quality
-tech changes
-time based competition
-work force diversity
***What are some key points from the Industrial Revolution? Key people? -
ANSWER-"Brought in innovations that changed production by using machine
power instead of human power."
Steam engine- 1769 James Watt
Division of labor- 1776 Adam Smith
Interchangeable parts- 1790 Eli Whitney
, ***What are some key points from the Scientific Management? Key people? -
ANSWER-"Brought the concepts of analysis and measurement of the technical
aspects of work design and development of moving assembly lines and mass
production."
Principles of scientific management- 1911 Frederick W. Taylor
Time and motion studies- 1911 Frank/Lillian Gilbreth
Activity scheduling chart- 1912 Henry Gantt
Moving assembly line- 1913 Henry Ford
***What are some key points from the Human Relations era? Key people? -
ANSWER-"Focused on understanding human elements of job design, such as
worker motivation and job satisfaction."
Hawthorne studies- 1930 Elton Mayo
Motivation theories- 1940s-1960s Abraham Maslow, Frederick Herzberg, Douglas
McGregor
***What are some key points from the Management science era? Key people? -
ANSWER-"Focused on the development of quantitative techniques to solve
operations problems."
Inventory mgmt.-1913 F.W. Harris
Linear programming-1947 George Dantzig
Statistical sampling, forecasting, project mgmt., other tools- mid 1900s Various
What are some key points from the Ford, Taylor 1920's YouTube video? - ANSWER-
-After using an assembly line, production increased which made cars more
accessible and gave workers larger wages.
[2026/2027] Updated Version |
Comprehensive Study Guide, Verified
Questions & Detailed Rationales
What is a transformation process? - ANSWER-A diagram showing inputs (people,
material, equipment, IT, capital) being "transformed" into outputs
(goods/services).
Inputs -> Transformation process -> Outputs
customer feedback/performance information can also influence all 3 steps.
What is added value/ Non added value? What is the criteria for evaluating value? -
ANSWER-"Describes the net increase between the final value of a product and the
value of all the inputs. The greater the value added, the more productive a
business is. An obvious way to add value is to reduce the cost of activities in the
transformation process.
Activities that do not add value are considered wasteful; these include certain
jobs, equipment, and processes. In addition to value added, operations must be
efficient."
-the criteria is is if provides an efficient transformation.
,What are the similarities of Manufacturing vs. Service? - ANSWER-Use of
technology, both have quality/productivity/ response issues, must forecast
demand, has capacity/layout/location issues, all have
customers/suppliers/scheduling/staffing issues.
What are the differences of Manufacturing Vs. Service? - ANSWER-Manufacturing
orgs produce tangible goods (products) and have little direct contact with
customers (such as a factory).
service orgs provide intangible goods (services) and have direct contact with
customers, such as a hospital.
What are the trends in service versus manufacturing? - ANSWER--service sector
growing to 50-80% of non farm jobs
-global competitiveness
-demand for higher quality
-tech changes
-time based competition
-work force diversity
***What are some key points from the Industrial Revolution? Key people? -
ANSWER-"Brought in innovations that changed production by using machine
power instead of human power."
Steam engine- 1769 James Watt
Division of labor- 1776 Adam Smith
Interchangeable parts- 1790 Eli Whitney
, ***What are some key points from the Scientific Management? Key people? -
ANSWER-"Brought the concepts of analysis and measurement of the technical
aspects of work design and development of moving assembly lines and mass
production."
Principles of scientific management- 1911 Frederick W. Taylor
Time and motion studies- 1911 Frank/Lillian Gilbreth
Activity scheduling chart- 1912 Henry Gantt
Moving assembly line- 1913 Henry Ford
***What are some key points from the Human Relations era? Key people? -
ANSWER-"Focused on understanding human elements of job design, such as
worker motivation and job satisfaction."
Hawthorne studies- 1930 Elton Mayo
Motivation theories- 1940s-1960s Abraham Maslow, Frederick Herzberg, Douglas
McGregor
***What are some key points from the Management science era? Key people? -
ANSWER-"Focused on the development of quantitative techniques to solve
operations problems."
Inventory mgmt.-1913 F.W. Harris
Linear programming-1947 George Dantzig
Statistical sampling, forecasting, project mgmt., other tools- mid 1900s Various
What are some key points from the Ford, Taylor 1920's YouTube video? - ANSWER-
-After using an assembly line, production increased which made cars more
accessible and gave workers larger wages.
