Local wage rates, presence of local unions, and attitudes of local workers would be
major factors for location decisions for businesses that ________________________.
a) are labor intensive
b) have perishable products
c) have high transportation costs
d) have need for specific raw materials
e) provide in-home services
Which inventory function helps firms garner quantity discounts?
a) anticipation inventory
b) fluctuation inventory
c) lot-size inventory
d) transportation inventory
e) speculative inventory
One use of the Answer report is:
a) to develop the final answer.
b) to duplicate the output results in a new form.
c) as a debugging tool.
d) as a duplication tool.
e) as a results summary printout.
In Japan, lifetime employment
a) Is a recent trend
b) Has had little impact
c) Is an ideal that is never achieved
d) Is true for everyone
e) Comprises a relatively small percentage of the total work force today
Managing the transformation of inputs into goods and services is:
a) a post industrial era process.
b) a direct contributor to the curved earth syndrome.
c) as old as time.
d) a twenty-first century developed process.
e) a design of Frederick Taylor.
Purchasing is typically responsible for:
a) initiating purchasing requests.
b) physically inventorying all received materials.
c) developing the engineering specifications.
d) analyzing the make-buy decision.
e) monitoring supplier performance.
Suppose that you are using the four-period simple moving average method to forecast
sales, and sales have been increasing by 20% every period. How will your forecasts
perform?
a) Forecasts will be lower than actual.
b) Forecasts will be higher than actual.
c) Forecasts will equal actual.
d) Forecasts will be decreasing.
e) Forecasts will be increasing by 5.0% every period.
Optimized production technology (OPT) was introduced by Eli
____________________.
a) Goldratt
b) Manning
c) Jefferson
d) Rosenblatt
e) Strasburg
Three reports are available when Solver has successfully found an optimal solution.
These are _______.
a) Answer Report, Sensitivity Report, and Limits Report
b) Answer Report, Sensitivity Report, and Constraints Report
c) Answer Report, Limits Report, and Constraints Report
d) Solution Report, Sensitivity Report, and Limits Report
e) Solution Report, Sensitivity Report, and Constraints Report
TQM is __________, designed to build quality into the product and process design.
a) Reactive
b) Proactive
c) Strategic
d) Competitive
e) Standardized
Upper and lower control limits are usually set at ‚ how many standard deviations
from the mean?
a) 0.5
b) 1.0
c) 2.0
d) 3.0
e) 6.0
You may be able to speed up completion of a project by _______________________.
a) reducing the standard deviation of activities
b) recalculating the critical path
c) making additional resources available
d) adding slack to critical activities
e) redoing some of the activities
A company used to produce 500 units every 2 days, but 10% of the units were
defective. After installing a new process, defects have been eliminated while output has
remained the same. What is the percent increase in productivity due to installing the
new process?
a) 10.00%
b) 25.00%
c) 11.11%
d) 0.00%
e) 5.56%
Suppose that you have a system with one component and two backups. What is the
formula for the reliability of the system?
a) P(1st works) + [P(1st fails)][P(2nd works)] + [P(1st fails)][P(3rd works)]
b) [P(1st works)][P(2nd works)][P(3rd works)]
c) [P(1st works)] + [P(2nd works)] + [P(3rd works)]
d) P(1st works) + [1 ‘“ P(1st fails)][P(2nd works)] + [1 ‘“ P(1st fails)][P(3rd works)]
e) 1 ‘“ [P(1st fails)][P(2nd fails)][P(3rd fails)]
Consider a project having the following ten activities:
(a) What is the expected time for each activity?
(b) What is the expected project completion time?
(c) What is the critical path?
(d) What is the variance for each activity?
(e) What are the expected time and variance of each path?
(f) What is the probability that the project will be completed in less than 30 weeks?
Consider the following information.
(a) Calculate the mean observed time for each work element.
(b) Calculate the normal time for each work element.
(c) Using an allowance factor of 20% based on job time; calculate the standard time for
each work element and for the entire job.
(d) Based on the standard time, how many units should an employee performing at
110% of standard complete each hour?
What technique answers the question of whether the process is functioning properly or
not?
a) Fishbone diagramming
b) Acceptance sampling
c) Statistical process control
d) Scatter plotting
e) Experimental design
What establishes a point of time in the future inside of which changes must be made by
the master scheduler, and changes outside of which can be changed by system logic?
a) demand time fence
b) supply time fence
c) system time fence
d) frozen time fence
e) planning time fence
An important TQM concept is that quality is defined by the
a) Quality control group
b) Marketing department
c) Board of directors
d) Customer
e) Auditors
Which of the following is not a factor in capacity planning?
a) approach used to measure capacity
b) economies of scale
c) prepare to deal with capacity in “chunks”
d) proximity to suppliers
e) identify the best operating level
Combined forecasting involves a rule that
a) you must work with different vendors
b) you need different forecasters
c) you must always use a quantitative and qualitative method
d) the results are not comparable to a single forecast
e) the forecasting methods should be different
What are the steps in methods analysis?
Define control limits.
List and briefly describe the phases in the project life cycle.
What is the formula for the theoretical minimum number of work stations?
What is the total annual inventory cost (using basic EOQ )of a product whose annual
demand is 12,000 units, daily demand is 40, daily production is 60, order cost is $80,
and holding cost is $6? (Round to the nearest dollar.)
What is involved in the approach for crashing projects?
What is the formula for an R chart’s center line?
Service rate must be _____________ than __________ rate.