The Greek letter alpha is associated with consumer’s risk.
In designing a production line, a mixed-model line layout is used by JIT manufacturers.
Kanban means ‘symbol” or “box” in Japanese.
Operations and supply strategy can be viewed as part of a planning process that
coordinates operational goals with those of the larger organization.
Yield management is an important tool that can be used to shape demand patterns.
When work is scheduled in detail using the setup and run time required for each order,
then theoretically all schedules will be feasible.
A general rule for the design of a hospital is to combine patient, guest, and staff traffic
flows.
Facility location analysis considers the competitive imperative of locating near the
appropriate labor pool to take advantage of high technical skills.
The term “value” refers to the relationship between quality and the price paid by the
consumer.
The demand on a hospital’s emergency medical services is considered a controllable
arrival pattern of the calling population.
The approach that advocates making revolutionary changes as opposed to evolutionary
changes is called “business process reengineering.”
A production facility develops virtuosity and works best when it focused on a widely
varied set of production objectives.
A service operation by its very nature is a make-to-stock type of production process.
Which of the following is not reported on a hospital’s customer service performance
dashboard?
A. Mortality rate
B. Meal quality
C. Pain management
D. Follow-up education
E. Inpatient parking
In an overview of the major operations planning activities in a typical logistics
organization, which of the following activities follows aggregate sales and operations
planning?
A. Process planning
B. Workforce scheduling
C. Vehicle loading
D. Materials requirements planning
E. Order scheduling
Which of the following methods discussed in the text requires generating several
alternative aggregate plans?
A. Trial and error
B. Production smoothing
C. Graphing and charting
D. Aggregate plan simulation
E. Cut and try
The text mentions several common approaches to use when developing a strategy to
close a capacity gap (where utilization of a resource exceeds capacity available). Which
of the following is not among the common approaches mentioned?
A. Transferring capacity from other units
B. Increasing capacity through overtime
C. Subcontracting with other hospitals
D. Bottleneck reduction
E. New construction
Which of the following is an example of a finite population in a queuing system?
A. People waiting to place their order at a fast-food restaurant
B. The departmental faculty in line at the copier
C. People waiting in line at an ATM
D. Patients seeking help in a hospital emergency room
E. Taxpayers calling for assistance from the IRS
Assume a fixed cost for a process of $120,000. The variable cost to produce each unit
of product is $35, and the selling price for the finished product is $50. Which of the
following is the number of units that has to be produced and sold to break even?
A. 5,000 units
B. 6,000 units
C. 8,000 units
D. 11,000 units
E. 12,000 units
You have just been assigned to oversee a series of projects. Functional areas will loan
you personnel for each project, and separate project managers will be responsible for
separate projects. These project managers will report to you. Which project
management structure is being used?
A. Pure project
B. Task force
C. Matrix project
D. Functional project
E. PERT
If there are 400 total defects from 8 samples, each sample consisting of 20 individual
items in a production process, which of the following is the fraction defective that can
be used in a -chart for quality control purposes?
A. 400
B. 160
C. 2.5
D. 1.0
E. 0.4
Which of the following is a time-to-market performance measure used in judging
product development performance?
A. Frequency of new-product introductions
B. Product reliability
C. Customer loyalty
D. Yield
E. Value analysis
Which of the following is the stage in the operations consulting process that
immediately follows “assure client satisfaction”?
A. Design, develop, and test alternative solutions
B. Assemble learnings from the study
C. Present final report
D. Assure client satisfaction
E. Present invoice
You have just determined the actual number of workstations that will be used on an
assembly line to be 6 using the assembly-line balancing procedure. The cycle time of
the line is 5 minutes, and the sum of all that tasks required on the line is 25 minutes.
Which of the following is the correct value for the resulting line’s efficiency?
A. 0.500
B. 0.833
C. 0.973
D. 0.990
E. None of these
To reduce process throughput time, you might try which of the following actions?
A. Outsource activities.
B. Change the sequence of activities.
C. Improve teamwork.
D. Reduce management interference.
E. Introduce incentive pay
Which of the following is a criterion that influences manufacturing plant or warehouse
facility location decisions?
A. Proximity to customers
B. Corporate policy
C. Competitor’s locations
D. Competitive advantage
E. Host-community politics
Which of the following is not a step in developing a manufacturing cell layout?
A. Grouping parts into families that follow a common sequence of steps
B. Identifying dominant flow patterns of parts families as a basis for location of
processes
C. Physically grouping machines and processes into cells
D. Disposing of leftover machinery and outsourcing ungrouped processes
E. None of these
Capacity planning involving acquisition or disposal of fixed assets such as buildings,
equipment or facilities is considered as which one of the following planning horizons?
A. Intermediate range
B. Long range
C. Short range
D. Current
E. Upcoming
Which of the following forecasting methodologies is considered a time series
forecasting technique?
A. Delphi method
B. Exponential averaging
C. Simple movement smoothing
D. Weighted moving average
E. Simulation
According to Little’s law, which of the following can be used to estimate inventory?
A. Process time/Cycle time
B. Throughput rate × Flow time
C. Process velocity/Flow time
D. Set up time/Throughput rate
E. Value-added time/Process velocity
In discussing batch size on an assembly line, the text makes the point that “one” and
“infinity” are equally correct answers. How can this be?
Name four methods of quantitative analysis that are useful in informing the facility
location decision.
(1) ____________________
(2) ____________________
(3) ____________________
(4) ____________________
In MRP, how is demand information for a level 0 (zero) item derived?
_________________________
What are the American Hospital Association’s four classifications of hospitals?
(1) ____________________
(2) ____________________
(3) ____________________
(4) ____________________
Describe what concurrent engineering teams are and what problems they address.
Three fast-food chains are discussed in the text. McDonald’s traditional process is
make-to-stock; Wendy’s has a make-to-order process; Burger King has a process which
is a hybrid of the other two. Discuss the advantages and disadvantages of each of these
approaches. Why do you suppose that each of these approaches can survive in the
fast-food industry?