Economies of scope exist when multiple products can be produced at a lower cost in
combination than they can separately.
Answer:
A mathematical technique that is only used in aggregate planning for service operations
is the transportation method of linear programming.
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Utilization of a production process is the ratio of output to input.
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Box-Jenkins forecasting models deliver very precise forecasts and are most useful to
people with unsophisticated analytical backgrounds.
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The essence of yield management is the ability to manage supply.
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Image processing systems use modern digital and optical technology to scan, capture,
store and reproduce images of any complexity.
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A central premise of exponential smoothing is that more recent data is less indicative of
the future than data from the distant past.
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Linear programming is useless when resources are plentiful relative to demand.
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A BOM file is often called a product structure file or product tree because it enumerates
all of the component parts of the end item product.
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Use of time fences maintains a reasonably controlled flow through a production system.
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The operations and supply activities of the firm need to strategically support the
competitive priorities of the firm.
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Job enrichment broadens workers’ influence by giving them some managerial powers
over their own activities.
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The formats by which a facility is arranged are defined by the general pattern of work
flow.
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A lot-for-lot (L4L) lot sizing technique does not take into account setup costs or
capacity limitations.
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Sampling plans are generally displayed graphically through the use of operating
characteristic (OC) curves.
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The optimal stocking decision in inventory management, when using marginal analysis,
occurs at the point where the benefits derived from carrying the next unit are more than
the costs for that unit.
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Empowerment refers to workers being given authority to call a supervisor to stop a
production line if there is a quality problem.
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Making resource utilization decisions must capture the direct costs of staffing and need
not consider the implicit costs of lost customers.
Answer:
The unit improvement factor for a 60% learning curve at 25 units is 0.0933. The first
and second timings of a person doing a job are 5 minutes and 3 minutes respectively.
Which of the below is the learning-adjusted time estimate for unit number 25?
A.0.4665 minutes
B.0.0933 minutes
C.4.665 minutes
D.9.33 minutes
E.3 minutes
Answer:
The number of decision variables allowed in a linear program is which of the
following?
A.Less than 5
B.Less than 72
C.Less than 512
D.Less than 1,024
E.Unlimited
Answer:
The inventory turnover ratio used in measuring supply-chain efficiency is found by the
ratio of which of the following?
A.Cost of goods sold/Average aggregate inventory value
B.Fixed costs/Variable costs
C.Sales costs/Marketing costs
D.Cost of goods sold/Cost to sell goods
E.Operations flow costs/Suppliers flow costs
Answer:
Which of the following is one of the three contrasting approaches to delivering on-site
service?
A.Quality approach
B.Stock market approach
C.Production line approach
D.Retail approach
E.Professional approach
Answer:
You have just been assigned to oversee a series of projects. Functional areas will loan
you personnel for each project and separate project managers will be responsible for
separate projects. These project managers will report to you. Which project
management structure is being used?
A.Pure Project
B.Task force
C.Matrix Project
D.Functional Project
E.PERT
Answer:
You have been called in as a consultant to set up a Kanban control system. The first
thing to do is to determine the number of Kanban card sets needed. Your research shows
that the expected demand during lead time for a particular component is 1,200 per hour.
You estimate the safety stock should be set at 5% of the demand during lead time. The
tote trays used as containers can hold 2 units of stock and the lead time to replenish an
order is 10 hours. Which of the following is the number of Kanban card sets necessary
to support this situation?
A.5,000
B.5,500
C.6,300
D.6,500
E.7,000
Answer:
Assume there are five jobs (i.e., A, B, C, D and E) that need to be sequenced in a
production schedule. The remaining operating time necessary for completion of job A is
3 days (i.e., job A will take 3 more days to complete), B will take 9 days, C will take 6
days, D will take 5 days and E will take 8 days. In what order will these jobs be
scheduled if using the SOT priority rule for job sequencing?
A.A-B-D-E-C
B.A-D-C-E-B
C.D-C-A-B-E
D.B-E-C-D-A
E.E-D-A-B-C
Answer:
In a lean production system we expect to see which of the following?
A.No “just-in-case” extra inventory
B.More “just-in-case” extra inventory
C.More parts and fewer standardized product configurations
D.Managers being held responsible for quality of the work turned out
E.Closer management/labor relationships
Answer:
Which of the following is typically listed as a benefit coming from adopting new
operations management technologies?
A.Greater exposure to sabotage
B.Elevated risk of obsolescence
C.Increased investment
D.Decreased quality costs
E.Increased cost for programming
Answer:
What is sometimes humorously referred to as a “gozinto chart”?
A.Assembly drawing
B.Assembly chart
C.Process flowchart
D.Operation and route sheet
E.Organization charts
Answer:
Which of the following industry types have high expected benefits from the application
of MRP?
A.Fabricate-to-stock
B.Fabricate-to-order
C.Assemble-to-stock
D.Continuous process
E.Service and repair parts
Answer:
MRP systems seek to achieve which of the following?
A.Minimize lot sizes
B.Determine the number of dependent demand items needed
C.Give immediate capacity relief
D.Provide a yardstick for future improvements
E.Improve on JIT methods
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.TheTRUE 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:
An objective function in a linear program can be which of the following?
A.A maximization function
B.A nonlinear maximization function
C.A quadratic maximization function
D.An uncertain quantity
E.A divisible additive function
Answer:
Which of the following is a possible source of bias error in forecasting?
A.Failing to include the right variables
B.Using the wrong forecasting method
C.Employing less sophisticated analysts than necessary
D.Using incorrect data
E.Using standard deviation rather than MAD
Answer:
In setting up a Kanban control system you need to determine the number of Kanban
card sets needed. If the expected demand during lead time is 50 per hour, the safety
stock is 20% of the demand during lead time, the container size is 4. If the lead time to
replenish an order is 8 hours, what number of Kanban card sets is needed?
A.60
B.80
C.90
D.120
E.150
Answer:
What variants of the generic product development process are discussed in the text?
Answer:
What are the four reasons that time standards are necessary as given in the text?
Answer:
Buying items at a department store where there are a large number of checkout counters
features which type of queuing system line structure?
Answer:
How many rules of make up Goldratt’s Rules of Production Scheduling?
Answer:
What is the process called that uses resources to convert inputs into some desired
output?
Answer: