One advantage of an individual piece-rate system is that it provides strong incentives to
ensure high quality.
A process layout arranges activities sequentially.
In a general sense the supplier makes the final judgment regarding quality.
A gradual, long-term up or down movement of demand over time is referred to as a
trend.
Using a cross-functional team to design new products is known as concurrent design.
Quality of performance relates to the basic operating characteristics of a product.
An operations plan is an input into the sales and operations planning process.
Firms compete in the marketplace based on cost, speed, quality and flexibility.
Product design has a tremendous impact on the quality of a manufactured good or
service.
Single factor productivity measures compare output to an individual input.
A teacher is an example of a
a. service factory.
b. mass service.
c. service shop.
d. professional service.
______________ involves the horizontal movement of a worker between two or more
jobs.
a. Cross training
b. Empowerment
c. Alternative workplace
d. Job rotation
The traditional approach to inventory management is to maintain a level of inventory
that
a. minimizes inventory cost.
b. maximizes customer service.
c. maintains a balance between inventory cost and customer service.
d. None of these answer choices is correct.
A bar graph displaying when activities are scheduled to start, when they will be
finished, and where extra time is available is known as a
a. PERT chart.
b. work breakdown structure (WBS).
c. Gantt chart.
d. responsibility assignment matrix (RAM).
A company is developing a linear programming model for its aggregate production
plan. If It = units in inventory at the end of period t, Pt = units produced in period t, and
Dt = demand in period t, then the company’s demand constraint to ensure that demand is
met in quarter 2 is
a. D2 = I2 ‘“ I1 + P2
b. D2 = I1 + P2
c. D2 = I2 + I1 + P2
d. D2 = I1 + P2 ‘“ I2
Which of the following statements is generally true regarding the relationship between
project crashing costs and indirect costs?
a. both crashing costs and indirect costs are highest when the project is shortened
b. only indirect costs increase when the project is shortened
c. both are unaffected by the length of the project
d. crashing costs increase when the project is shortened while indirect costs decrease
when the project is shortened
Making sure that the product meets the design specifications during production is
referred to as
a. quality of design.
b. process capability.
c. fitness for use.
d. quality of conformance.
Easy Tax is a service company that prepares tax returns. An outside auditor has
examined 20 samples each containing one completed tax return. The total number of
defects observed over the 20 samples is 200. The UCL for the control chart constructed
using three sigma is
a. 19.6
b. 26.7
c. 33.5
d. 50.0
Snacknow, a food service firm, is calculating its monthly productivity report. From the
following raw data calculate the labor productivity.
a. 0.220
b. 0.476
c. 0.800
d. 1.000
Companies that compete on ______________ pursue the elimination of all waste.
a. cost
b. speed
c. flexibility
d. quality
Consider a production process that produces batteries. A quality engineer has taken 20
samples each containing 100 batteries. The total number of defective batteries observed
over the 20 samples is 200. The centerline for the control chart constructed using z
equal to two is
a. 0.03
b. 0.0
c. 0.05
d. 0.10
Existing processes should be analyzed for improvement on a
a. Continual basis.
b. Sporadic basis
c. As needed basis
d. None of these answer choices is correct.
Given the following Product Structure Record
The number of D’s required for each A is
a. 2.
b. 3.
c. 6.
d. 12.
Identifying the bottleneck is the ______________ step in the theory of constraints
scheduling procedure.
a. first
b. second
c. last
d. None of these answer choices is correct.
The daily demand for a company’s product follows the probability distribution below:
Use the following random numbers to simulate the product’s demand for the next five
weeks: 72, 27, 93, 17, 47.
If the first random number interval begins with 0 then the estimated average weekly
demand for the simulated five week period is
a. 40.
b. 46.
c. 50.
d. 56.
A phantom bill of material is used
a. to group small, loose parts together.
b. when the product is manufactured in major subassemblies.
c. for subassemblies that are immediately consumed in the next stage of production.
d. when due dates have not been calculated.
Marble Inc. makes countertops from a variety of high-end materials. To monitor the
quality of its production processes the company randomly selects one countertop and
counts the number of blemishes. The results for ten samples are shown below:
Given the sample information above, the LCL using sigma = 3 for this process would
be
a. 12
b. 8
c. 4
d. 0
A common misconception of U.S. companies is that requiring suppliers in developing
countries to use green practices is not feasible because
a. developing countries do not face the same governmental, social and cultural
pressures.
b. green manufacturing methods will require costly new equipment and processes.
c. the customer market for products designed for green attributes is soft.
d. All of these answer choices are correct.
Telco Inc., a manufacturing firm, is calculating its monthly productivity report. From
the following data calculate the machine productivity.
a. 0..370
b. 0.625
c. 1.500
d. 1.667
Forecast methods based on judgment, opinion, past experiences, or best guesses are
known as ___________ methods.
a. quantitative
b. qualitative
c. time series
d. regression
Most service organizations use
a. product layouts.
b. fixed-position layouts.
c. process layouts.
d. cellular layouts.
Dumplings ‘“To-Go (DTG) provides take-out dumplings and noodle dishes to
customers at its chain of drive-through restaurants. The target for a customer’s waiting
time is 3.0 minutes +/- 1 minute. Each month, one of the managers observes the
drive-through process and collects a sample of 4 waiting times a day over a 6 day
period. The data from one restaurant appears below. If DTG were to construct an
R-chart from this data, the 3-sigma UCL would be
a. 6.42
b. 5.87
c. 5.63
d. 5.01
_____________ is what the firm does better than anyone else.
a. Primary task
b. Core competency
c. Positioning
d. Deploying
Using control charts, how do we evaluate whether a process is in control?
Inventory costs _________________ when higher levels of inventory are needed to
improve customer service.
a. decrease
b. stay the same
c. increase
d. cannot be estimated