## Description

## Test Bank For Operations Management 2nd Edition By Gerard Cachon

**Chapter 6 Learning Curves**

1) All learning curves have an exponential growth trajectory.

Answer: FALSE

Explanation: There are at least three forms of learning curves: exponential growth, exponential decay, and diminishing return growth.

Difficulty: 1 Easy

Topic: Various Forms of the Learning Curve

Learning Objective: 06-01 Distinguish between various shapes of learning curves.

Bloom’s: Remember

AACSB: Analytical Thinking

Accessibility: Keyboard Navigation; Screen Reader Compatible

2) The power law assumes a constant percentage improvement with each doubling of cumulative experience.

Answer: TRUE

Explanation: The power law assumes performance improves by a fixed percentage with each doubling of cumulative experience.

Difficulty: 1 Easy

Topic: The Power Law

Learning Objective: 06-02 Determine the unit cost of a process given a learning rate and an experience level.

Bloom’s: Remember

AACSB: Analytical Thinking

Accessibility: Keyboard Navigation; Screen Reader Compatible

3) A log-log plot of a learning curve that follows the power law shows a non-linear decrease as a curve.

Answer: FALSE

Explanation: A log-log plot of a learning curve that follows the power law shows a non-linear decrease as a straight line.

Difficulty: 1 Easy

Topic: Estimating the Learning Curve Using a Linear Log-Log Graph

Learning Objective: 06-03 Estimate the learning rate using past cost data.

Bloom’s: Remember

AACSB: Analytical Thinking

Accessibility: Keyboard Navigation; Screen Reader Compatible

4) For volumes greater than one, the cumulative learning curve coefficients are always bigger than the learning curve coefficients.

Answer: TRUE

Explanation: Both coefficients are equal to one for the first unit independent of learning rates. After this, the cumulative coefficients are bigger.

Difficulty: 2 Medium

Topic: Using Learning Curve Coefficients to Predict Cumulative Costs

Learning Objective: 06-05 Predict cumulative cost using the LCC method.

Bloom’s: Understand

AACSB: Analytical Thinking

Accessibility: Keyboard Navigation; Screen Reader Compatible

5) Average tenure is the average time an employee spends with a company before leaving.

Answer: FALSE

Explanation: Average tenure is the average time an employee has spent on his or her job. It is half the average time employees spend with the company.

Difficulty: 2 Medium

Topic: Employee Turnover and Its Effect on Learning

Learning Objective: 06-06 Determine employee turnover and average tenure.

Bloom’s: Understand

AACSB: Analytical Thinking

Accessibility: Keyboard Navigation; Screen Reader Compatible

6) Standardization does not apply to service settings because of the high variability in processing times.

Answer: FALSE

Explanation: There are three elements to standardization: processing time, work sequence, and inventory. Work sequence can be standardized in service settings.

Difficulty: 1 Easy

Topic: Standardization as a Way to Avoid Relearning

Learning Objective: 06-07 Understand the benefits of documentation and standardization.

Bloom’s: Remember

AACSB: Analytical Thinking

Accessibility: Keyboard Navigation; Screen Reader Compatible

7) The most common form of learning curves uses all of these measures of performance to plot against process experience EXCEPT ________.

A) labor content

B) unit cost

C) processing time

D) interest rate

Answer: D

Explanation: Interest rate is set by the financial market and is independent of the experience of a process.

Difficulty: 1 Easy

Topic: Various Forms of the Learning Curve

Learning Objective: 06-01 Distinguish between various shapes of learning curves.

Bloom’s: Remember

AACSB: Analytical Thinking

Accessibility: Keyboard Navigation; Screen Reader Compatible

8) Which of the following learning curves captures the relationship between the percentage of defects (y-axis) and the number of times an operation is performed (x-axis)?

A)

B)

C)

D)

Answer: A

Explanation: The number of defects decreases and levels off to zero with cumulative experience.

Difficulty: 1 Easy

Topic: Various Forms of the Learning Curve

Learning Objective: 06-01 Distinguish between various shapes of learning curves.

Bloom’s: Remember

AACSB: Analytical Thinking

Accessibility: Keyboard Navigation

9) A(n) ________ learning curve is indicative of a positive relationship between the experience with a process and its performance measure such as production yield or customer satisfaction score.

A) downward-sloping

B) upward-sloping

C) flat

D) bell-shaped

Answer: B

Explanation: As experience with a process increases, so does performance. A higher production yield or customer satisfaction score is indicative of better performance. Therefore, the relationship between the two is positive, resulting in an upward-sloping learning curve.

Difficulty: 1 Easy

Topic: Various Forms of the Learning Curve

Learning Objective: 06-01 Distinguish between various shapes of learning curves.

Bloom’s: Remember

AACSB: Analytical Thinking

Accessibility: Keyboard Navigation; Screen Reader Compatible

10) A(n) ________ learning curve is indicative of a negative relationship between the experience with the process and its performance measure such as processing time or number of defects.

A) downward-sloping

B) upward-sloping

C) flat

D) bell-shaped

Answer: A

Explanation: As experience with a process increases, so does performance. A lower processing time or number of defects is indicative of better performance. Therefore, the relationship between the two is negative, resulting in a downward-sloping learning curve.

Difficulty: 1 Easy

Topic: Various Forms of the Learning Curve

Learning Objective: 06-01 Distinguish between various shapes of learning curves.

Bloom’s: Remember

AACSB: Analytical Thinking

Accessibility: Keyboard Navigation; Screen Reader Compatible

## Reviews

There are no reviews yet.