Introduction to Operations & Supply Chain Management, 5e (Bozarth)
Chapter 3 Process Choice and Layout Decisions in Manufacturing and Services
3.1 Manufacturing Processes
1) Highly automated batch processes that can reduce the cost of making similar groups of products are:
A) functional layouts.
B) flexible manufacturing systems.
C) make-to-stock.
D) adjacent processes.
2) The time between completions of successive units on a production line is called:
A) cycle time.
B) takt time.
C) elapsed time.
D) work time.
3) An advantage of a production line process is:
A) higher volume of output needed to justify the investment.
B) greater degree of flexibility of the process.
C) lower per unit cost of items produced on the line.
D) higher range of output typically produced on such a process.
4) The manufacturing process used to make a wide variety of highly customized products in quantities as
small as one is a:
A) production line.
B) continuous flow process.
C) job shop.
D) batch manufacturing.
5) Which of these manufacturing processes involves products that cannot be broken into discrete units?
A) job shop
B) batch
C) production line
D) continuous flow
6) A sporting apparel manufacturer that produces t-shirts to commemorate significant athletic
achievements for proud students and alumni probably uses:
A) a fixed position layout.
B) batch manufacturing.
C) a continuous flow process.
D) a production line.
7) The Devon Tower graces the Oklahoma City skyline and is officially the tallest building in the state.
The manufacturing process used to produce this jewel is most likely:
A) a fixed-position layout.
B) a batch manufacturing process.
C) a hybrid process.
D) a job shop.
8) A supply chain can have ________ manufacturing processes linked together across multiple partners.
A) only one type of
B) at the most two different
C) three or fewer different types of
D) four different types of
9) A manufacturing process decision affects:
A) the type of workforce needed.
B) the type of equipment needed.
C) the type of products that can be made.
D) All of the above are correct.
10) A product-based layout arranges resources sequentially according to the steps required to make a
product.
11) A job shop manufacturing process is better suited to make a variety of products than a continuous
flow process.
12) Batch processing is less flexible than a production line and less efficient than a job shop.
13) A cellular layout is another name for a functional layout.
14) A customer service function at an insurance firm that handles claims based on the first letter of the
customer’s last name is an example of applying group technology to a service operation.
15) The product-process matrix illustrates that low volume, one–of–a-kind products are ideally suited to a
job shop process.
16) In a supply chain, the output from an upstream process is linked to the adjacent downstream process.
17) A batch manufacturing process may be linked only to another batch manufacturing process in a
supply chain.
18) No manufacturing process can be best at everything.
19) A(n) ________ is a highly automated batch process that can reduce the cost of making groups of
similar products.
20) ________ gets its name from the fact that items are moved through the different manufacturing steps
in groups.
21) “My tour of the Duff Brewery was the greatest experience of my life,” Homer recalled. Lenny’s
favorite part was the batch process that was evident during the fermenting stage but Carl’s favorite part
was the high speed continuous flow process evident in the bottling line. “You’re both right,” Homer
declared, “Duff takes both elements to create a(n) ________ process.”
22) A cellular layout is essentially the opposite of a(n) ________ layout.
23) The product process matrix uses a scale of ________ and ________.
24) In stark contrast to a product layout, a(n) ________ layout is better suited to environments where the
process steps can change dramatically from one job or customer to the next.
25) What are the two types of product-based layouts? What are their similarities and differences and their
advantages and disadvantages compared with other types of layouts and processes?
26) What is a cellular layout and what are its advantages?
27) Draw the product-process matrix and discuss the placement of each process type
28) How can a supply chain operate with multiple different manufacturing processes linked across
supply chain partners?
29) Provide an example (other than the one offered in the text) of a supply chain composed of
manufacturers using at least three different types of manufacturing processes.
30) Why are process decisions important?
1) Products that are customized only at the very end of the manufacturing process are known as:
A) make-to-stock.
B) assemble–to-order.
C) make-to-order.
D) engineer-to-order.
2) Products that use standard components but the final configuration of those components is customer–
specific are known as:
A) make-to-stock.
B) assemble-to-order.
C) make-to-order.
D) engineer-to-order.
3) An assemble-to–order process occurs upstream from:
A) design.
B) material sourcing.
C) fabrication.
D) assembly/finishing.
4) Make–to-stock products are typically produced using a production line.
5) Products that use standard components, but the final configuration of those components is customer–
specific, are called make-to–order products.
6) Activities that take place prior to the point of customization are called upstream activities.
7) According to the law of variability, converting from an assemble–to–order to a make-to-order
production process should increase productivity of the manufacturing processes.
8) ________ products involve no customization but ________ products are completely customized.
9) ________ are products that are customized only at the very end of the manufacturing process.
10) According to the law of variability, the ________ the random variability either demanded of the
process or inherent in the process itself or in the items processed, the ________ productive the process is.
11) What are the four levels of customization and at what place does each occur in the supply chain?
3.3 Service Processes
1) The greater the emphasis on intangible activities, the more management’s attention will be directed to:
A) buildings and property.
B) training employees.
C) truck fleets.
D) material costs.
2) The point where the customer interfaces directly with the service organization is:
A) the front room.
B) the back room.
C) onstage.
D) the floor.
3) A mass lecture for 500 freshmen in the College of Business probably scores:
A) low on customization and high on intangible activities.
B) high on customer contact and low on intangible activities.
C) high on customization and high on intangible activities.
D) low on customer contact and low on intangible activities.
4) An independent study for a graduate student in the College of Business probably scores:
A) low on customization and high on intangible activities.
B) high on customer contact and low on intangible activities.
C) high on customization and high on intangible activities.
D) low on customer contact and low on intangible activities.
5) A complete makeover by Jose Eber on daytime TV for an unemployed daytime TV viewer that has
pretty much given up probably scores:
A) low on customization and high on intangible activities.
B) high on customer contact and high on physical activities.
C) high on customization and high on intangible activities.
D) low on customer contact and low on intangible activities.
6) A legal service in a corporate acquisition probably scores:
A) low on customization and high on physical activities.
B) high on customer contact and low on intangible activities.
C) high on customization and high on intangible activities.
D) low on customer contact and low on intangible activities.
7) In a service package the greater the emphasis on intangible activities is, the more critical is the training
and retention of skilled employees and the development and maintenance of the firm’s knowledge assets.
8) Capability variety is the difference in how customers view an identical service outcome. What some
customers might view as economical and thrifty others might view as cheap and poor value.
9) As the degree of service customization decreases, managers have more opportunity to focus on cost
and productivity.
10) The back room refers to the part of the service process where the customer is not visible to the other
customers waiting for service.
11) In a service blueprint, the line of internal interaction falls between the customer and the onstage
service provider.
12) The three dimensions of service positioning are the nature of the service package, the degree of
customization and the degree of customer contact.
13) Service positioning is based on the three axes of contact, customization, and cost.
14) The service package continuum ranges from immediate to delayed.
15) The ________ includes all the value-added physical and intangible activities that a service
organization provides to the customer.
16) As the degree of customer contact decreases, more of the service package is provided by the ________
room.
17) In a service blueprint, the two layers the customer is involved with are the ________ and the ________.
18) Service operations compete and position themselves in the marketplace based on the three
dimensions – ________, ________, and ________.
19) Define the term service package and describe management’s focus for each activity.
20) Define the terms front room and back room and describe the roles these processes play in service
operations. What must operations managers take into consideration when setting up these two processes?
21) Where should a business consultant position herself on the three axes of contact, customization, and
cost.
22) Which poses the greatest underlying managerial challenges — a service that is extremely high on
customization, contact, and tangibility or perchance a service that is extremely low on contact,
customization and tangibility? Provide an example of a service that fits each space and defend your
answer.
23) Name a service business that relies heavily on intangible activities. How does the level of intangibility
fit with the degrees of contact and customization?
24) Name two restaurants that score differently on at least two scales in the service positioning space and
provide examples of how they differ.
3.4 Layout Decision Models
1) Champion Cooling has just signed a contract to assemble window air conditioners for another
company. The list of tasks, including time requirements and immediate predecessors, follows. Each task
may not be shortened. Initially, the plan was to make 300 units in an eight hour day but as the summer
months approach, Champion Cooling finds themselves far behind in total production. They wish to
reconfigure their production line in order to produce maximum output. What should their takt time be?
Task
Time (min)
Predecessor
Bolt compressor to base
5
None
Install coils and lines
6
Bolt compressor to base
Install fan motor
7
Install coils and lines
Install switch and thermostat
5
Install fan motor
Charge system and test
10
Install switch and thermostat
Cosmetic detailing
7
Charge system and test
A) 5
B) 6
C) 7
D) 10