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What is the implied service rate at a bank teller's window if demand is 26 customers per
hour and the bank staffs are 3 tellers with an average utilization of 80%?
a. Less than 5 customers per hour
b. More than 5 but less than or equal to 10 customers per hour
c. More than 10 but less than or equal to 15 customers per hour
d. More than 15 but less than or equal to 20 customers per hour
Answer:
Cynthia Baker, manager of a large medical supply house that operates 50 weeks per
year and 5 days per week, has decided to implement a fixed-period inventory system for
all class A items. One such item has the following characteristics:
Demand = 10,000 units/year
Order cost = $50/order
Holding cost = $5/unit/year
If Cynthia wishes to minimize the total cost (thereby approximating the economic order
quantity (EOQ)), what should be the value of T, the number of workdays between
orders (i.e., review period)?
a. Less than or equal to 8 days
b. Greater than 8 but less than or equal to 10 days
c. Greater than 10 but less than or equal to 12 days
d. Greater than 12 but less than or equal to 14 days
Answer:
Marketing and operations generally prefer high inventory levels, while finance would
prefer small inventories.
Answer:
Quality measures the degree to which the output of a process conforms to the
management's expectations and requirements.
Answer:
The 5Ss focus on improving waste generated by inefficient transportation.
Answer:
Flexible manufacturing systems integrate machines or robots with automated handling
devices to route work, load tools, and control operations.
Answer:
The total order and inventory-holding cost is:
a. less than $1,000.
b. more than or equal to $1,000 but less than $1,500.
c. more than or equal to $1,500 but less than $2,000.
d. more than or equal to $2,000.
Answer:
Technology provides the capability of eliminating many of the traditional components
of value chains.
Answer:
Increasing the output rate without changing existing resources is an example of demand
management.
Answer:
Compare and contrast a product-process matrix with a service-positioning matrix.
Answer:
Value chain integration for goods-producing firms requires consolidating information
systems among suppliers, factories, distributors, and customers; managing the supply
chain and scheduling factories; and studying new ways to use technology.
Answer:
A supply chain cannot be a combination of push and pull systems.
Answer:
The Critical Path Method (CPM) allows for an evaluation of uncertainty in project
completion times.
Answer:
ABC Manufacturing Inc. uses a Kanban system for a component. The daily demand is
800 units. Each container has a combined waiting and processing time of 0.34 days. If
the container size is 50 and efficiency (safety) factor is 9 percent, how many Kanban
card sets should be authorized?
. 5 sets
b. 6 sets
c. 7 sets
d. 8 sets
Answer:
Judgmental forecasting should only be used if no historical data are available.
Answer:
How many computer repair troubleshooters should be on duty from 8:00 p.m. to
midnight if total demand during that period is 15 calls? The service rate is five (5) calls
per hour and the target utilization is 90%.
a. Two
b. Three
c. Four
d. Five
Answer:
A manufacturing firm produces a few standardized products in high volumes in a fixed
processing sequence that operates 24 hours a day and 7 days a week. The forecast of
volume is reasonably accurate. The firm is most likely to use the _____ process.
a. project
b. job shop
c. flow shop
d. continuous flow
Answer:
