Tutorial 2: Competitiveness, Strategy and Productivity
Section A: True/False 1. An example of a strategic operations management decision is the choice of where to locate. 2. An example of an operational operations management decision is inventory level management. 3. An example of a tactical operations management decision is whether to build a new facility or to expand an existing one. 4. An example of a tactical operations management decision is determining employment levels. 5. Productivity is defined as the ratio of output to input. 6. Productivity is defined as the ratio of input to output. 7. Competitiveness relates to the profitability of an organization in the marketplace. 8. If people would only work harder, productivity would increase. 9. Tracking productivity measures over time enables managers to judge organizational performance and decide where improvements are needed. 10. Productivity is directly related to the ability of an organization to compete. 11. A characteristic that was once an order winner may become an order qualifier, and vice versa. 12. Outsourcing tends to improve quality but at the cost of lowered productivity. 13. Productivity tends to be only a very minor factor in an organizations ability to compete. 14. An organization that is twice as productive as its competitor will be twice as profitable. 15. National productivity is determined by averaging the productivity measures of various companies or industries. 16. Wage and salary increases that are not accompanied by productivity increases tend to exert inflationary pressures on a nation's economy. 17. Global competition really only applies to multi-national organizations. 18. A business that is rated highly by their customers for service quality will tend to be more profitable than a business that is rated poorly. 19. Services often don’t fit simple yield measurements. 20. A mission statement should provide a guide for the formulation of strategies for