Define material requirements planning (MRP) and how it can benefit an organization.
Answer:
For the multiple-server queuing model to apply, the overall mean service rate should be
greater than the mean arrival rate.
Answer:
Total productive maintenance (TPM) strives to relieve machine operators of routine
maintenance activities so that they can focus entirely on being productive.
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A value chain begins with the goods and services that are provided to customers.
Answer:
Define capacity including the two ways it can be viewed. Provide an example of each
way.
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A system governed only by common causes is called a stable system.
Answer:
An accounting firm is capable of processing 30 EZ tax forms per day, and the average
number of forms on hand in the office is 74 forms. What is the average processing time
per EZ tax form?
Answer:
Quality at the source focuses on supplier quality at the beginning of a value chain.
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Irregular variation and random variation both refer to unexplainable deviation of a time
series from a predictable pattern.
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Given the retail location coordinates and the value of material movement in the
following chart, find the best supply point location using the center-of-gravity method.
Which of the following is a TRUE statement about the best preliminary location (i.e.,
the center of gravity) for the possible store location?
a. The x-axis and the y-axis are less than 10.0.
b. The x-axis is less than 10.0, and the y-axis is more than 10.0.
c. The x-axis is more than 10.0, and the y-axis is less than 10.0.
d. The x-axis and the y-axis are more than 10.0.
Answer:
Good customer satisfaction measurement systems are designed to provide information
about a customer’s future buying behavior.
Answer:
Patrick rents car from a local car rental company. On an average, he spends $100 a
month. The company’s contribution margin is 35 percent and the average customer
defection is 50 percent. Determine the value of a loyal customer.
Answer:
A key element of a control system is the ability to measure performance and compare it
to a performance standard.
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A level production strategy maintains constant inventory levels over the planning
horizon.
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Define a revenue management system (RMS) and explain how it works. Give several
examples of assets that can be managed using RMS.
Answer:
Lean operating systems seek to apply the principles of continuous flow to the
production of discrete parts by reducing batch size, ideally to a size of one.
Answer:
Discuss the six key current challenges in operations management (OM) that managers
need to understand.
Answer:
In the fixed-period system, managers must make two key decisions: the time interval
between reviews and the replenishment level.
Answer:
In lean thinking, waste need not be classified as simply material waste such as scrap
and defective parts.
Answer:
A performance rating factor (PRF) of 130 percent means that a worker is slow and
needs 30 percent more time.
Answer: