Computing the quantity of each component that goes into a finished product can be
done by expanding (or exploding) each item in a product structure file and summing at
all levels.
The social impact of the triple bottom line concept pertains to fair and beneficial
business practices toward labor, the community, and the region in which a firm
conducts its business.
When a firm’s design capacity is less than the capacity required to meet its demand, it is
said to have a negative capacity cushion.
The “triple bottom line” relates to the economic, employee, and environmental impact
of a firm’s strategy.
In a hub-and-spoke system, each warehouse in the system acts as a spoke.
Smaller transfer batches give lower work-in-process inventory and faster product flow.
Sampling plans are generally displayed graphically through the use of operating
characteristic (OC) curves.
If the average aggregate inventory value is $45,000 and the cost of goods sold is
$10,000, which of the following is weeks of supply?
A. 45,000
B. 234
C. 120
D. 23.4
E. 4.5
Which of the following is not an objective of work center scheduling?
A. Meeting due dates
B. Providing time for quality at the source
C. Minimizing setup time or cost
D. Minimizing work-in-process inventory
E. Minimizing lead time
Which of the following is not a production activity report generated by MRP?
A. Exception report
B. Planning report
C. Performance control report
D. Planned-order schedules
E. Bill of materials report
Which of the following is not among the suggestions for a good layout for
manufacturing and back-office operations?
A. Production time predictable
B. Straight-line flow pattern
C. Open plant floors so everyone can see what is happing
D. Brightly colored walls and good lighting
E. Workstations close together
The dimension of design quality that concerns secondary characteristics is which of the
following?
A. Features
B. Serviceability
C. Reliability
D. Reputation
E. Perceived quality
In acceptance sampling, the number of units in the sample ( ) is determined by the
interaction of the acceptable quality level (AQL), the lot tolerance percent defective
(LTPD), the probability of rejecting a high-quality lot (alpha), and the probability of
accepting a low-quality lot (beta).
Which of the following considerations is not a factor in deciding which forecasting
model a firm should choose?
A. Time horizon to forecast
B. Product
C. Accuracy required
D. Data availability
E. Analyst availability
If all you knew about a production system was that total daily output was 400 units and
the total labor necessary to produce the 400 units was 350 hours, what kind of
productivity measure could you use to compute productivity?
A. Partial measure
B. Multifactor measure
C. Total measure
D. Global measure
E. All of these
Various financial data for SunPath Manufacturing for 2012 and 2013 follow.
What is the percentage change in the labor partial productivity measure for SunPath
between 2012 and 2013?
A. -9.22
B. 2.33
C. -0.53
D. 2.88
E. 10.39
In the five forces model, which of the following is not one of the five forces?
A. Buyer power
B. New technologies
C. Supplier power
D. Substitute products
E. Potential entrants
Which of the following is not a major strategic or tactical area where companies
typically seek operations consulting?
A. Adding new plants
B. Refocusing existing facilities
C. Locating new plants
D. Expanding an existing plant
E. Refurbishing an existing facility
Which of the following is a multifactor measure of productivity?
A. Output/(Materials)
B. Output/ (Labor + Capital + Energy)
C. Output/All resources used
D. Output/Inputs
E. All of these
Which of the following is one of the major functions of shop-floor control?
A. Observing the priorities set for each shop order
B. Keeping work-in-process inventory out of the way
C. Conveying shop-order status information to the office
D. Controlling cost and materials waste
E. Keeping the workforce fully utilized
When developing inventory cost models, which of the following is not included as a
costs to place an order?A. Phone calls
B. Taxes
C. Clerical
D. Calculating quantity to order
E. Postage
There are costs to place an order: labor, phone calls, typing, postage, and so on.
Therefore, the larger each order is, the fewer the orders that need to be written. Also,
shipping costs favor larger orders-the larger the shipment, the lower the per-unit cost.
Ordering costs refer to the managerial and clerical costs to prepare the purchase or
production order. Ordering costs include all the details, such as counting items and
calculating order quantities. The costs associated with maintaining the system needed to
track orders are also included in ordering costs.
For a high-volume type of manufacturing, which of the following is the typical
production scheduling approach?
A. Finite backward scheduling
B. Finite forward scheduling
C. Infinite forward scheduling
D. Infinite backward scheduling
E. Assignment method
In acceptance sampling, how large is the effect of the size of the lot that the sample is
taken from on the size of the sample that should be drawn?
_______________________________________
What are the three basic production planning strategies?
(1) ____________________________
(2) ____________________________
(3) ____________________________
Three distribution centers, A, B, and C, are located at the following (X, Y) coordinates:
A, (20, 130); B, (180, 0); and C, (200, 200). A factory is to be constructed to distribute a
new product through these warehouses. The expected annual volumes expected to be
shipped through the three warehouses is forecast to be 20 million units through A, 100
million through B, and 50 million through C. Using the centroid method, approximately
what should the coordinates of the new factory be? _________________
What is the term that refers to the normal variation about a mean or average?
What is a learning curve?
A diagram showing how a company’s strategy is delivered through a set of tailored
activities is called what? _____________________