The process capability index indicates how much a process mean differs from the target
specification value.
The factors used to evaluate location of a manufacturing plant are usually different from
the factors used in locating a service facility.
Information technology is an enabler of globalization for middle-tier companies.
The dispatch list contains the order in which work is assigned to a productive resource.
Cellular layouts reduce transit time and increase set-up.
Today, total quality management has been displaced by quality management systems.
Increasing supply chain transparency only magnifies the bullwhip effect.
Construction and use of an -chart is based on an assumption that the sample
points are normally distributed around the centerline.
The production quantity model, a variation of the basic EOQ model, assumes
non-instantaneous replenishment.
The capacity cushion for a facility equals one minus utilization.
A forecasting model has produced the following forecasts,
the forecast error for February is
a. 10.
b. -10.
c. -15.
d. -5
A ________layout encourages customer familiarity, has low costs, and is easy to clean.
a. freeflow layout
b. grid layout
c. spine layout
d. loop layout
_____________ represents what the firm is in the business of doing.
a. Primary task
b. Core competency
c. Positioning
d. Deploying
With _________________, on-demand IT services are provided over the Internet.
a. cloud computing
b. service-oriented architecture
c. software as a service
d. XML
Data mining uses and analyzes data that is stored in
a. databases.
b. data warehouses.
c. data marts.
d. All of these answer choices are correct.
For a particular time study a company would like to be 95% confident that the average
job cycle time is within 2% of the true average job cycle time. Assume that the average
job cycle time was 6.53 minutes, and the standard deviation of the sample is 1.26
minutes. The number of cycles that should be used in this time study would be
a. 174.
b. 358.
c. 463.
d. 864.
The Deming Wheel is also known as the plan-do-check-act (PDCA) cycle.
Which of the following is a possible objective in constructing a schedule.
a. Minimizing idle time
b. Minimizing response time
c. Meeting customer due dates
d. All of these answer choices are correct.
The following table of probabilistic time estimates (in weeks) and activity predecessors
are provided for a project.
Table ZZ
The expected time to complete the project is
a. 34.17 weeks.
b. 33.23 weeks.
c. 31.00 weeks.
d. 21.67 weeks.
From a supplier perspective the purpose of a quantity discount is to get the customer to
buy
a. more than the economic order quantity.
b. less than the economic order quantity.
c. the economic order quantity.
d. None of these answer choices is correct.
A ___________ is an up-and-down movement in demand that repeats itself over a
period of more than a year.
a. trend
b. seasonal pattern
c. random variation
d. cycle
Operations management is concerned with the _________ of a firm’s productive
systems.
a. design
b. operation
c. improvement
d. All of these answer choices are correct.
A ________________ shows both planned and completed activities against a time
scale.
a. flow chart
b. Gantt chart
c. Pareto chart
d. None of these answer choices is correct.
What is the carrying cost using the economic order quantity?
a. $750
b. $866
c. $,1500
d. $3,750
Which of the following would not be used for an overloaded condition?
a. pulling work ahead
b. rerouting jobs to alternative work centers
c. pushing work back
d. splitting lots between two or more machines
A company produces a product consisting of two components arranged as follows:
Both components must function for the product to function. To achieve an overall
reliability of at least 0.95 without changing the reliability of the first component, the
reliability of the second component would need to be
a. at least 0.925 .
b. at least 0.95.
c. at least 0.97.
d. at least 0.98.
A restaurant currently uses 62,500 boxes of napkins each year at a constant daily rate.
The cost to order napkins is $200.00 per order and the annual carrying cost for one box
of napkins is $1.00. If the restaurant orders the economic order quantity then the total
annual inventory cost for napkins is
a. $62,500.
b. $5,000.
c. $2,500.
d. $1,250.
Explain the difference between procurement and sourcing? Between sourcing and
outsourcing?
Briefly discuss the principles associated with total quality management (TQM).
What is the advantage of a multiple-sampling plan?
What type of layout is commonly used in services? What are some of the objectives
associated with service layouts?
Explain how and why time series and regression forecasting methods differ.
In what ways have advances in information technologies changed the working
environment?
Why have projects taken on a more crucial role in operations management?
List some noneconomic factors that can influence a firm’s outsourcing decision.
Briefly discuss the advantages and disadvantages of scientific management.