Dependent demand items consist of component parts or materials used in the
production process to produce a final product.
Globalization has affected manufacturing but not service operations.
Because of advances in technology, many service industries no longer require accurate
forecasts to provide high quality service.
Productivity is the most common measure of competitiveness.
Scheduling specifies when labor, equipment, and facilities are needed to produce a
product.
Precedence requirements reflect physical restrictions on the order in which operations
are performed in a product layout.
With a c-chart, the sample size is small and may contain only one item.
A formulation for a linear programming model consists of a decision variable, a
constraint and several objective functions.
The number of arrivals per unit time to a service facility is often described by a Poisson
distribution.
Finite scheduling will not load a resource beyond its fixed capacity.
The number of orders can be calculated by dividing the daily demand rate, d, by the
order quantity,
All of the following are responsibilities of operations managers except
a. acquiring financial resources
b. managing inventories
c. planning production
d. scheduling production
In a waiting line system, the ___________ reflects the probability that the server is busy
and the customer must wait.
a. utilization factor
b. queue discipline
c. average number of customers in the system
d. probability the system is idle
The number of daily calls received by a help desk between the hours of 9:00 a.m. to
10:00 a.m. can be described by the following probability distribution.
Use the following random numbers to simulate the number of calls to the help desk
between 9:00 and 10:00 a.m. for the next five days: 39, 55, 18, 16, 70.
If the first random number interval begins with 0, then the number of calls that would
be simulated for day 3 is
a. 50.
b. 55.
c. 60.
d. 65.
A workstation’s output is 200 bottles of wine per hour. It takes 30 minutes to receive a
withdrawal kanban of corks from the previous workstation. The withdrawal kanban is
attached to a container holding 30 corks. The process uses a safety factor of 20 percent.
What is the number of withdrawal kanbans needed to support the bottling process?
a. 10
b. 2
c. 8
d. 4
The estimated mean time for an activity with a most likely time (m) equal to 11 days,
the optimistic time (a) equal to 6 days, and the pessimistic time (b) equal to 18 days is
a. 9.67 days.
b. 11 days.
c. 11.33 days.
d. 11.67 days.
Product design begins with
a. a feasibility study.
b. a form design.
c. understanding the customer and identifying customer needs.
d. pilot runs and final tests.
A firm’s process strategy defines all of the following except its
a. capital intensity.
b. process flexibility.
c. vertical integration.
d. process selection.
Atlas Inc. produces product A and product B. Each product must go through two
processes. Each A produced requires two hours in process 1 and five hours in process 2.
Each B produced requires six hours in process 1 and three hours in process 2. There are
80 hours of capacity available each week in each process. Each A produced generates
$6.00 in profit for the company. Each B produced generates $9.00 in profit for the
company. The capacity constraint for Process 2 is
a. 5A + 3B > 80
b. 6A + 3 B < 80
c. 5A + 3B < 80
d. 5A + 3B < 80
The balanced scorecard examines a firm’s performance in all the following critical areas
except
a. finances
b. customers
c. processes
d. All of these answer choices are correct.
_____________________ involves taking into account the capabilities at each level of
the supply chain when designing a product.
a. Design for supplier
b. Design for manufacturer
c. Design for supply chain
d. Design for competitor
Which of the following is not a general characteristic of a project?
a. a project has a unique purpose
b. a project has more certainty
c. a project has more uncertainty
d. a project often draws resources from various areas in the organization
As part of a time study a particular job was analyzed. The study included 20 job cycles
and the following cumulative times and performance rating factors for each element
were reported:
Assuming an allowance factor of 20% the standard time for this job would be
a. 10.08 minutes.
b. 12.10 minutes.
c. 14.73 minutes.
d. 16.58 minutes.
A company that produces specialized video equipment had cost of goods sold last year
of $127,000,000. The average value of inventory for raw materials, work-in-process,
and finished goods are shown in the table below:
If the company operates 50 weeks per year then the number of inventory turns would be
a. 1.4 turns.
b. 4.4 turns.
c. 9.0 turns.
d. 10.2 turns.
The maximum value of perfect information to the decision maker is known as
a. the expected value of perfect information.
b. the expected value of imperfect information.
c. the minimum of the minimax regret.
d. None of these answers is correct.
Distribution includes all of the following activities except
a. packaging.
b. storing.
c. shipping.
d. sourcing.
Dumplings ‘“To-Go (DTG) provides take-out dumplings and noodle dishes to
customers at its chain of drive-through restaurants. The target for a customer’s waiting
time is 3.0 minutes +/- 1 minute. Each month, one of the managers observes the
drive-through process and collects a sample of 4 waiting times a day over a 6 day
period. The data from one restaurant appears below. If DTG were to construct an
R-chart from this data, the centerline would be
a. 1.00
b. 2.82
c. 3.54
d. 3.81
Which of the following is not a characteristic of mass production?
a. made-to-stock
b. stable demand
c. high product variety
d. high product volume
Creating a preliminary design that can be quickly tested and then either discarded or
further refined is referred to as
a. Benchmarking.
b. rapid prototyping.
c. concurrent design.
d. perceptual mapping.
The pace at which production should take place to match the rate of customer demand
is known as
a. product flow time.
b. jidoka time.
c. kanban time.
d. takt time.
_________________ refers to the physical location of a job and the requisite
surroundings.
a. Task analysis
b. Worker analysis
c. Methods analysis
d. Environmental analysis
The item master file contains all the following except
a. on-hand quantities.
b. lead times.
c. planned order releases.
d. on-order quantities.
How many kanbans should circulate between two workstations if demand is 500 units
per hour, lead time is 20 minutes, container sizes are 35, and the company uses a safety
factor of 5%?
a. 4
b. 5
c. 12
d. 8