The approach that advocates making revolutionary changes as opposed to evolutionary
changes is called creation theory.
Answer:
Little’s law can be thought of as a relationship between units and time.
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Kanban means ‘symbol” or “box” in Japanese.
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The MRP program performs its analysis from the bottom up of the product structure
trees, imploding requirements level by level.
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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.
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The customer arrivals in a queuing system come almost exclusively from finite
populations.
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The critical path of activities in a project is the sequence of activities that form the
shortest chain in a project network of activities.
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The lot-for-lot (L4L) lot sizing technique minimizes carrying cost by taking into
account setup costs and capacity limitations.
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Pricing for a service should primarily relate to the cost of providing the service and has
little to do with capacity issues the service provider might face.
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Uniform plant loading is where you schedule production with different amounts of the
same product each day of the week to permit variation to meet changing demand
requirements.
Answer:
A company must perform a maintenance project consisting of seven activities. The
activities, their predecessors, and their respective time estimates are presented below:
Using CPM, which activities make up the critical path?
A. A, B, D, F, G
B. A, C, E, F, G
C. A, C, B, F, E
D. A, D, E
E. None of the above
Answer:
To implement lean production schedules a firm would do which of the following?
A. Have excess capacity
B. Force demand
C. Hire a consultant
D. Bottom-up management
E. Implement kanban groups
Answer:
To develop a lean manufacturing system a firm might do which of the following?
A. Eliminate anything that does not add value for the customer
B. Standardize product configurations
C. Process design with product design
D. Adopt a kaizen philosophy
E. Implement top-down management controls
Answer:
You know when you have arrived at the optimal solution in using the Time-Cost CPM
Scheduling model analysis when what happens?
A. You have found the critical path
B. You have run out of crash time
C. You no longer have a linear relationship with costs
D. You have reached the minimum total cost
E. You have run out of crash costs
Answer:
Which of the following is not an assumption of the basic fixed-order quantity inventory
model?
A. Ordering or setup costs are constant
B. Inventory holding cost is based on average inventory
C. Diminishing returns to scale of holding inventory
D. Lead time is constant
E. Demand for the product is uniform throughout the period
Answer:
Which of the following is a characteristic that can be used to guide the design of service
systems?
A. Services cannot be inventoried
B. Services are all similar
C. Quality work means quality service
D. Services businesses are inherently entrepreneurial
E. Even service businesses have internal services
Answer:
To implement a flow process in developing a lean system a firm might do which of the
following?
A. Improve capacity utilization
B. Build product in anticipation of demand
C. Reduce setup/changeover time
D. Eliminate some fixed costs
E. Implement groupware
Answer:
Which of the following files allows us to retrace a material requirement upward in the
product structure through each level, identifying each parent item that created the
demand?
A. Planning bill of materials file
B. Modular bill of materials file
C. Super bill of materials file
D. Exception report file
E. Peg record file
Answer:
Which of the following is a lean production technique that is not reported in the
textbook to have been successfully applied in service firms?
A. Organize problem-solving groups
B. Upgrade housekeeping
C. Upgrade quality
D. Freeze windows
E. Eliminate unnecessary activities
Answer:
Which of the following is a measure of operations and supply management efficiency
used by Wall Street?
A. Dividend payout ratio
B. Current ratio
C. Receivable turnover
D. Earnings per share growth
E. Financial leverage
Answer:
Which of the following is a lean production technique that has been successfully
applied in service firms?
A. Decision trees
B.
C. Linear programming
D. Fully utilizing capacity
E. Backflushing
Answer:
You are developing an “X-bar” chart based on sample means. You know the standard
deviation of the sample means is 4, the desired confidence level is 99.7 percent, and the
average of the sample means is 24. Which of the following is your UCL?
A. 36
B. 24
C. 12
D. 4
E. None of the above
Answer:
Buying a ticket for a college football game where there are multiple windows to buy the
ticket at features 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:
Which of the following is a production planning strategy presented in the textbook?
A.
B. Strategic
C. Balanced
D. Synchronous
E. Optimal
Answer:
The Pareto principle is best applied to which of the following inventory systems?
A. EOQ
B. Fixed-time period
C. ABC classification
D. Fixed-order quantity
E. Single-period ordering system
Answer:
A company hires you to develop a linear regression forecasting model. Based on the
company’s historical sales information, you determine the intercept value of the model
to be 1,200. You also find the slope value is minus 50. If after developing the model you
are given a value of X = 10, which of the following is the resulting forecast value using
this model?
A. – 1,800
B. 700
C. 1,230
D. 1,150
E. 12,000
Answer:
You have just used the capability index (Cpk) formulas to compute the two values “min
[1.5, 1].” Which of the following is the interpretation of these numbers?
A. The TRUE capability index value is 1
B. The mean of the production process has shifted to the left of the design limits
C. The mean of the production process has shifted to the right of the design limits
D. The mean has not shifted at all
E. The TRUE capability index value is between 1.5 and 1
Answer:
What is the term for there being no relationship between demands for various items?
_____________________________________
Answer:
Standing in line to buy tickets for a basketball game where there are multiple ticket
windows involves which type of queuing system Line Structure?
_________________________________
Answer:
Using the assembly-line balancing procedure, what is the required cycle time if the
production time in minutes per day is 2,400 and the required output per day in units is
1,200? _________________________________
Answer:
What does the acronym “CTQ” stand for? _________________________________
Answer:
Explain the role that “order qualifiers” and “order winners” play as the interface
between marketing and operations.
Answer:
Using the fixed-time period inventory model, and given an average daily demand of
300 units, 4 days between inventory reviews, 5 days for lead time, 1,200 units of
inventory on hand, a “z” of 1.96, and a standard deviation of demand over the review
and lead time of 12 units, what quantity should be ordered?
________________________
Answer:
Describe how CPM handles the trade-offs between time and cost in the scheduling of a
project.
Answer:
If it takes a supplier 10 days to deliver an order once it has been placed and the standard
deviation of daily demand is 14, what is the standard deviation of usage during lead
time? _________________________________________
Answer:
Why were ISO-9000 and ISO 14000 standards developed?
_________________________________________
Answer:
The text describes 14 “Issues in facility location.” Name as many of these as you can.
1) ________________________
2) ________________________
3) ________________________
4) ________________________
5) ________________________
6) ________________________
7) ________________________
8) ________________________
9) ________________________
10) ________________________
11) ________________________
12) ________________________
13) ________________________
14) ________________________
Answer: