Given the following bill of material
If the demand for product A is 50 units, what will be the gross requirement for
component E?
A) 50
B) 100
C) 150
D) 200
E) 300
A quality loss function includes all of the following costs except
A) the cost of scrap and repair
B) the cost of customer dissatisfaction
C) inspection, warranty, and service costs
D) sales costs
E) costs to society
Forward scheduling is the scheduling of
A) the end items or finished products
B) jobs as soon as the requirements are known
C) the start items or component parts
D) the final operation first beginning with the due date
E) jobs according to their profit contributions
Computer-integrated manufacturing (CIM) includes manufacturing systems that have
A) computer-aided design, a flexible manufacturing system, inventory control,
warehousing and shipping integrated
B) transaction processing, management information systems, and decision support
systems integrated
C) automated guided vehicles, robots, and process control
D) robots, automated guided vehicles, and transfer equipment
E) all of the above
Reduction of in-transit inventory can be encouraged through use of
A) supplier location near plants
B) low setup costs
C) low carrying costs
D) use of trains, not trucks
E) low-cost, global suppliers
A capacity alternative has an initial cost of $50,000 and cash flow of $20,000 for each
of the next four years. If the cost of capital is 5 percent, the net present value of this
investment is
A) greater than $80,000
B) greater than $130,000
C) less than $30,000
D) Impossible to calculate, because no interest rate is given.
E) Impossible to calculate, because variable costs are not known.
A farmers’ cooperative association plans to build a new sugar mill in Southwestern
Louisiana. The primary objective of the mill is to provide the farmers with a place to
take their crop for processing that will reduce their transportation costs. The members
of the co-op believe that the center-of-gravity method is appropriate for this objective.
While there are over 200 sugar cane farms in the region, they are tightly clustered
around six villages. Using the data below, use the center-of-gravity method to calculate
the coordinates of the best location for this mill. On the grid below, plot the location of
the six farm clusters and the calculated mill location. All mileage references use the city
of Lake Charles as (0,0).
Which one of the following products is most likely made in a job shop environment?
A) rolls of newsprint
B) paper forms
C) television sets
D) cigarettes
E) canned vegetables
A drawing of the movement of material, product, or people is a
A) flowchart
B) process chart
C) service blueprint
D) process map
E) none of the above
In level scheduling, what is kept uniform from month to month?
A) product mix
B) inventory levels
C) production/workforce levels
D) demand levels
E) sub-contracting levels
Sensitivity analysis helps to
A) see the value of increased scarce resources
B) determine even better solutions
C) see the impact of parameter changes
D) A and C
E) A, B, and C
Which time-series model below assumes that demand in the next period will be equal to
the most recent period’s demand?
A) naive approach
B) moving average approach
C) weighted moving average approach
D) exponential smoothing approach
E) none of the above
__________ is a mathematical technique designed to help operations managers plan
and make decisions relative to the trade-offs necessary to allocate resources.
The __________ is the chief way to control attributes.
How does configuration management manifest itself when you ask for service on your
automobile?
The term __________ is used to describe how well a process makes units within design
specifications (or tolerances).
A(n) __________ is a JIT concept that results in material being produced only when
requested and moved to where it is needed just as it is needed.
A(n) __________ is the result of the disaggregation of the aggregate plan.
What is cross-docking? Why is it appropriate for some forms of warehouse layout?