Service companies are centralized and geographically concentrated.
Rating worker performance is typically an objective, easy task that can be done by any
employee.
With a pure strategy for aggregate planning only one capacity variable is changed.
The three basic costs associated with inventory are holding costs, ordering costs and
shortage costs.
Railroad access is frequently a factor in locating a manufacturing plant.
A multiple-sampling plan uses the smallest sample size of any sampling plan.
Benchmarking involves comparing a company’s quality to the best level of quality
achieved by another company in the same industry.
Outsourcing and sourcing have the same meaning and are often used interchangeably.
A value-added tax is based on the total cost of producing a product and not the value
added by the supply chain partner.
Disaggregation is the process of breaking a sales and operations plan into more detailed
plans.
Computer-aided manufacturing (CAM) has replaced computer-aided design (CAD) in
the product design process.
The extent to which the firm will produce the inputs and control the outputs of each
stage of the production process is known as
a. vertical integration.
b. process flexibility.
c. process planning.
d. capital intensity.
Value stream mapping (VSM) is a tool for
a. reducing setup times.
b. improving quality at the source.
c. analyzing process flow.
d. designing manufacturing cells.
Which area of the world employs a more methodically approach to business that values
patience and relationship building?
a. Asia.
b. Southern Europe
c. North America
d. None of these answer choices is correct.
For the overall reliability of the following system to be 0.975 or greater the reliability of
the backup component, Rb, must be
a. at least 1.00.
b. at least 0.896.
c. at least 0.736.
d. at least 0.534.
Four products (1, 2, 3, and 4) must be processed on one of four machines (A, B, C, and
D). The times required in minutes for each product on each machine are shown below.
If management wishes to assign products to machines so that the total time to complete
all the products is minimized, then Product 1 is assigned to
a. machine A.
b. machine B.
c. machine C.
d. machine D.
Which of the following is not a key performance indicator used in supply chain
management?
a. Fill rate
b. Days of supply
c. Cost of goods
d. Inventory turns
A project consists of the following activities:
Table XX
The latest start (LS) time for activity B is
a. 5 weeks.
b. 8 weeks.
c. 13 weeks.
d. 14 weeks.
(Use the following information for the next five problems.)
The owner of Koffi, the sole coffee house located in a resort area, wants to develop a
forecast based on the relationship between tourism and coffee drinks sold. He has
generated the following data over the past 12 months:
The data from using Data Analysis on Excel is as follows:
What is the forecasted number of coffee drinks sold if the number of tourists is 25
(thousand)?
a. 128
b. 138
c. 148
d. 158
The following information relates to a company’s aggregate production planning
activities:
Beginning Workforce = 35 workers
Production per Employee = 1,250 units per quarter
Hiring Cost = $500 per worker
Firing Cost = $1,000 per worker
Inventory Carrying Cost = $20 per unit per quarter
If a level production strategy is used then the number of workers required for the plan is
a. 35
b. 75
c. 100
d. 125
Consider a production process that produces batteries. A quality engineer has taken 20
samples each containing 100 batteries. The total number of defective batteries observed
over the 20 samples is 200. The UCL for the control chart constructed using two sigma
is
a. 0.088
b. 0.094
c. 0.104
d. 0.160
____________________ describe(s) what the product should do to satisfy customer
needs.
a. Performance specifications
b. Benchmarks
c. Perceptual maps
d. Reverse engineering
The _______ method uses demand in the first period to forecast demand in the next
period.
a) naïve
b) moving average
c) exponential smoothing
d) linear trend
Sustainability, in it’s broadest sense, include(s)
a. using resources wisely.
b. treating workers with respect.
c. establishing a business model of shared values.
d. All of these answer choices are correct.
If the following jobs are sequenced according to the SPT rule then the mean completion
time (in days) for all jobs is (assume zero for today’s date)
a. 6.6 days.
b. 16 days.
c. 22 days.
d. 33 days.
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.
_____________ are the characteristics of a product that qualify it to be considered for
purchase by a customer.
a. Order winners
b. Order qualifiers
c. Core competency
d. Positioning
The United Nations defines sustainability as meeting _________ needs without
compromising the ability of ______ generations to meet their needs.
a. future, present
b. present, future
c. present, present
d. future, future
The following table of probabilistic time estimates (in weeks) and activity predecessors
are provided for a project.
Table ZZ
The earliest finish time for activity C is
a. 5.00 weeks.
b. 8.17 weeks.
c. 9.50 weeks.
d. 12.67 weeks.
A company is developing a linear programming model for its aggregate production
plan. If Wt = workforce size for period t, Ht = number of workers hired for period t, and
Ft = number of workers fired for period t, then the company’s workforce constraint for
period 4 is
a. W4 = W3 ‘“ H4 + F4
b. W4 = W3 + H4 ‘“ F4
c. W4 = W3 + H3 ‘“ F3
d. W4 = W3 + H4
Distribution centers generally ship products to
a. retailers.
b. customers.
c. suppliers.
d. warehouses.
A company that produces printer cartridges had cost of goods sold last year of
$629,462,423. 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. 3.7 turns.
b. 2.5 turns.
c. 13.5 turns.
d. 28.3 turns.
Briefly describe how operations can be viewed as a transformation process.
List several of the advantages associated with outsourcing.
What is a calling population in terms of a waiting line system?
What processes comprise the supply chain and how are the processes integrated?
What is meant by the term ‘shadow price’ in linear programming?
In what ways is simulation relevant to analyzing production problems?
What are the advantages associated with e-procurement?