OM Data Analysis & Decision Making 3

Question 1

Which statistical measure is MOST resistant to the influence of extreme outliers when describing the central tendency of a data set?

Accepted Answer

Median

Answer

The median is the middle value and is not mathematically affected by extreme outliers the way the mean is.

Question 2

An organization conducts a survey and finds that employee satisfaction scores have a standard deviation of 0.5 on a 10-point scale. What does this indicate?

Accepted Answer

Responses are tightly clustered around the mean

Answer

A low standard deviation (0.5 on a 10-point scale) indicates that most responses are close to the average score.

Question 3

A manager must choose between two vendors using a weighted decision matrix. Vendor A scores higher on quality (weight 40%) but lower on cost (weight 60%). Vendor B scores higher on cost but lower on quality. Which factor determines the final recommendation?

Accepted Answer

The vendor with the highest total weighted score

Answer

A weighted decision matrix calculates a total score by multiplying each criterion score by its weight and summing; the vendor with the higher total wins.

Question 4

Which forecasting method uses historical data patterns—including trend, seasonality, and cyclical components—to project future values?

Accepted Answer

Time-series analysis

Answer

Time-series analysis decomposes historical data into its components (trend, seasonality, cycles) to generate quantitative forecasts.

Question 5

In hypothesis testing, a Type I error occurs when a manager:

Accepted Answer

Rejects a true null hypothesis

Answer

A Type I error (false positive) means rejecting a null hypothesis that is actually true, often controlled by setting the alpha significance level.

(OM) Organizational Management Specialty Certification Practice Test

(OM) Organizational Management Specialty Certification Practice Test

OM Data Analysis & Decision Making 3