Group technology is a philosophy wherein similar parts are grouped together and the
processes required to make the parts are arranged as a work cell.
Answer:
Statistical process control involves testing random samples of output from a process to
determine whether the process is producing items within a pre-selected range.
Answer:
Services often take the form of repeated encounters involving face-to-face interactions.
Answer:
The capability index (Cpk) indicates the position of the mean and tails of a process’s
variance relative to design specifications.
Answer:
A project milestone is a specific event to be reached by a particular point in time.
Answer:
Economies of scope exist when multiple products can be produced at a lower cost in
combination than they can separately.
Answer:
Process selection refers to the strategic decision of choosing the volume of output to
produce in a manufacturing facility depending upon the way that facility produces.
Answer:
Fixed-order quantity inventory models are “time triggered.”
Answer:
A major aspect of planning involves developing a set of metrics to monitor the supply
chain.
Answer:
A make-to-order firm will work with the customer to design the product, and then make
it from purchased materials, parts, and components.
Answer:
The weighted moving average forecasting model uses a weighting scheme to modify
the effects of individual data points. This is its major advantage over the simple moving
average model.
Answer:
In a price break model of lot sizing the lowest cost quantity is always feasible.
Answer:
The project indirect costs associated with a project include overhead, facilities, and
resource opportunity costs.
Answer:
The master production schedule is a crucial input into the aggregate operations plan.
Answer:
The value for “z” used in quality control charts is based on the degree of confidence you
want to have in the resulting UCL and LCL values.
Answer:
Which of the following forecasting methods uses executive judgment as its primary
component for forecasting?
A. Historical analogy
B. Time series analysis
C. Panel consensus
D. Market research
E. Linear regression
Answer:
A company is concerned about the number of customers that have to wait for service in
their customer service department. Assume the rate at which customers arrive is 12 per
hour. Using the infinite queuing notion for the models presented in the textbook which
of the following is the mean time between arrivals?
A. 12 minutes
B. 6 minutes
C. 2 minutes
D. 1 minutes
E. None of the above
Answer:
The philosophical leaders of the quality movement, Philip Crosby, W. Edwards
Deming, and Joseph M. Juran had the same general message about what it took to
achieve outstanding quality. Which of the following was not part of that message?
A. Quality is free
B. Leadership from senior management
C. Customer focus
D. Total involvement of the workforce
E. Continuous improvement
Answer:
One of the objectives in facility location analysis is to select a site with the lowest total
cost. Which of the following costs are hidden costs that should be included in the
analysis?
A. Infrastructure costs
B. Movement of preproduction material between locations
C. Taxes
D. Construction costs
E. Bribery costs
Answer:
If you are going to develop an “R” chart based on range statistics and you are using a
sample size of 15 for your charting purposes. Which of the following is the upper
control limit D4 factor for the chart?
A. 1.65
B. 1.70
C. 1.76
D. 1.87
E. 1.92
Answer:
You want to determine the control lines for a “p” chart for quality control purposes. If
the total number of defects from all samples is 560, the number of samples is 70, and
the sample size is 80, which of the following would be the standard deviation used in
developing the control lines?
A. 0.9000
B. 0.4556
C. 0.0335
D. 0.0011
E. 0.0112
Answer:
Which of the following is not a queue discipline discussed in the textbook?
A. First come, first served
B. Last in, first out
C. Limited needs
D. Shortest processing time
E. Best customer first
Answer:
In the service-system design matrix, an internet and on-site technology service
encounter is expected to have which of the following?
A. High sales opportunity
B. High degree of customer/server contact
C. Low production efficiency
D. High production efficiency
E. None of the above
Answer:
(p. 181-184) The placement of which of the following is not determined by production
process organization decisions?
A. Departments
B. Workgroups
C. Workstations
D. Machines
E. Emergency exits
Answer:
You want to determine the control lines for a “p” chart for quality control purposes. If
the desired confidence level is 99 percent, which of the following values for “z” would
you use in computing the UCL and LCL?
A. 0.99
B. 2
C. 2.58
D. 3
E. None of the above
Answer:
In making any decision that affects inventory size, which of the following costs do not
need to be considered?
A. Holding costs
B. Setup costs
C. Ordering costs
D. Fixed costs
E. Shortage costs
Answer:
A roller coaster ride in an amusement park employs which type of queuing system line
structure?
A. Single channel, single phase
B. Single channel, multiphase
C. Multichannel, single phase
D. Multichannel, multiphase
E. None of the above
Answer:
PERT is an abbreviation for which of the following methodologies?
A. Product Evaluation, Result and Treatment
B. Programming and Evaluation Realization Technology
C. Program Evaluation and Review Technique
D. Process Evaluation and Review Technology
E. It is a name, not an abbreviation for anything
Answer:
You are hired as a consultant to decide if your client should purchase a new, highly
specialized, piece of equipment. The product to be produced by this equipment is
forecast to have a total worldwide demand of 15,000 units over the entire product life.
The initial investment to acquire and install the equipment is $256,000. The variable
cost to produce each unit will be $15 and the selling price for the finished product will
be $30. Which of the following best describes the situation the firm is facing?
A. The company will recover its initial investment
B. The company’s total margin will be less than its investment
C. It is a good investment
D. The break-even is lower than the 15,000 units that are expected to sell
E. All of the above
Answer:
Which of the following are defined as core goods?
A. Chemicals
B. Airlines
C. Data storage systems
D. Hotels
E. None of the above
Answer:
Which of the following is the planned-order release using an MRP program if the gross
requirement is 670 and the inventory on hand is 600?
A. 670
B. 600
C. 530
D. 70
E. None of the above
Answer:
In a college registration process, several department heads have to approve an
individual student’s semester course load. What is the queuing system line structure?
A. Single channel, single phase
B. Single channel, multiphase
C. Multichannel, single phase
D. Multichannel, multiphase
E. None of the above
Answer:
Which of the following values for “z” should we use in as safety stock calculation if we
want a service probability of 98%?
A. 1.64
B. 1.96
C. 2.05
D. 2.30
E. None of the above
Answer:
What do we call forecasts needed for how a firm operates on a day-to-day basis?
_______________________________________
Answer:
The step in the Six-step Process for Green Sourcing where a set of metrics against
which the supplier will be measured for the contract’s duration is called:
______________________.
Answer:
You have 75 total defects from 100 different samples of 15. What is p-bar?
_______________________________
Answer:
When analyzing time series data, if demand data contains both seasonal and trend
effects at the same time, what are the two ways that they can relate to each other
discussed in the text?
1) ___________________________
2) ___________________________
Answer:
A single toll booth on a one-lane bridge is which type of queuing system line structure?
_________________________________________
Answer:
The step in the Six-step Process for Green Sourcing where quantitative and qualitative
criteria to evaluate the sourcing process is developed is called:
______________________.
Answer:
What is the name for a bill of materials that includes items with fractional options?
__________________________
Answer: