Work sampling and time studies are similar in that the analyst in both cases records the
time taken by the worker to accomplish each step of the task.
Gross material requirements do not take into account the amount of inventory on hand.
Every network has at least one critical path.
Job lots are groups or batches of parts processed together.
With level schedules, a few large batches, rather than frequent small batches, are
processed.
Recording the maintenance history of processes, machines, or equipment is important
for preventive maintenance, but largely irrelevant for breakdown maintenance.
DRP is a time-phased stock-replenishment plan for all levels of a distribution network.
Linear programming helps operations managers make decisions necessary to make
effective use of resources such as machinery, labor, money, time, and raw materials.
Equitable pay alone cannot achieve a reasonable quality of work life in an organization.
Linear-regression analysis is a straight-line mathematical model to describe the
functional relationships between independent and dependent variables.
The PERT pessimistic time estimate is an estimate of the minimum time an activity will
require.
Virtually all large-scale simulations take place on computers, but small simulations can
be conducted by hand.
Simulation allows managers to test the effects of major policy decisions on real-life
systems without disturbing the real system.
Which of the following is not a concern of the supply chain?
A) warehousing and inventory levels
B) credit and cash transfers
C) suppliers
D) distributors and banks
E) maintenance scheduling
A waiting-line system that meets the assumptions of M/M/S has » = 5, ¼ = 4, and M =
2. For these values, Po is approximately 0.23077 and L is approximately 2.05128. The
average time a unit spends in this system
A) is approximately 0.1603
B) is approximately 0.2083
C) is approximately 0.4103
D) is approximately 0.8013
E) cannot be calculated because » is larger than ¼
Fabricators, Inc. wants to increase capacity by adding a new machine. The fixed costs
for machine A are $90,000, and its variable cost is $15 per unit. The revenue is $21 per
unit. The break-even point for machine A is
A) $90,000 dollars
B) 90,000 units
C) $15,000 dollars
D) 15,000 units
E) cannot be calculated from the information provided
The difference between AON and AOA networks is that
A) AOA networks sometimes require dummy activities
B) nodes consume no resources or time in AOA networks
C) both are acceptable in practice, however Microsoft Project uses AON
D) in AON nodes designate activities, in AOA arrows designate activities
E) All of the above are true.
A 100% learning curve implies that
A) learning is taking place for all products and workers
B) learning is taking place at the best possible level
C) a 100% reduction in the direct labor time takes place each time the production is
doubled
D) no learning is taking place
E) None of the above is true.
Which of the following statements about trends in operations management is false?
A) Job specialization is giving way to empowered employees.
B) Local or national focus is giving way to global focus.
C) Environmentally-sensitive production is giving way to low-cost focus.
D) Rapid product development is partly the result of shorter product cycles.
E) All of the above statements are false.
A small producer of music boxes wants to move to a larger facility. Two alternative
facilities have been found. Site 1 has a fixed cost of $500,000 per year, with a variable
cost of $25 per unit. Site 2 has a fixed cost of $800,000 per year, but a variable cost of
$22 per unit.
a. Write out the equation for total cost for each site.
b. At what volume of output would the two locations have the same total cost?
c. For what range of output would Site 1 be superior?
d. For what range of output would Site 2 be superior?
Arrivals or inputs to a waiting-line system have characteristics that include
A) population size
B) population behavior
C) population’s statistical distribution
D) A and C
E) A, B, and C
The Academic Computing Center has five trainers available in its computer labs to
provide training sessions to students. Assume that the design capacity of the system is
1900 students per semester and that effective capacity equals 90% of design capacity. If
the number of students who actually got their orientation session is 1500, what is the
efficiency of the system?
A) 1350 students
B) 1710 students
C) 78.9%
D) 87.7%
E) 90%
Which of the following represents an aggressive approach to demand management in
the service sector when demand and capacity are not particularly well matched?
A) inexpensive rates for weekend phone calls
B) appointments
C) reservations
D) first-come, first-served
E) none of the above
The purchasing approach that holds the suppliers responsible for maintaining the
necessary technology, expertise, and forecasting ability plus cost, quality, and delivery
competencies is
A) few suppliers
B) many suppliers
C) Keiretsu
D) vertical integration
E) virtual companies
In JIT partnerships, suppliers have several concerns. Which of the following is not such
a concern?
A) desire for diversification
B) poor customer scheduling
C) small lot sizes
D) producing high enough quality levels
E) customers’ infrequent engineering changes
Which of the following is an example of an external product development strategy?
A) new internally developed products
B) enhancements to existing products
C) alliances
D) migrations of existing products
E) All of the above are examples of internal product development strategy.
Explain the difference between a gross requirements plan and a net requirements plan.
A work cell is required to make 80 computerized diagnostic assemblies (for installation
into hybrid automobiles) each day. The cell currently works an eight hour shift, of
which seven hours is available for productive work. These assemblies require five
operations, with times of 1.0, 0.8, 2.4, 2.5, and 1.4 minutes each. What is takt time for
this cell? How many workers will be needed?
Identify some of the signals that kanban systems use.
The __________ distribution is appropriate for calculating expected activity times and
activity variances in PERT networks.
Explain, in your own words, the meaning of the coefficient of determination.