Which one of these refers to reducing the number of parts and features of the product
whenever possible?
a) design automation
b) design specification
c) design reduction
d) design standardization
e) design simplification
In inventory management, when discussing customer service we mean:
a) whether the customer is available when the product is.
b) whether the product is available regardless if the customer desires it or not.
c) whether the product is available when the customer wants it.
d) whether the customer wants the available product.
e) whether repair of the product is available.
What is the most common method for increasing output capacity?
a) outsourcing
b) hiring temps
c) overtime
d) back orders
e) purchasing more machines
Which of the following is not a step involved in using network planning techniques?
a) define deliverables
b) describe the project
c) diagram the network
d) monitor the project’s progression
e) estimate the project’s completion time
Which of the following values of the correlation coefficient implies that the value of the
dependent variable decreases as the value of the independent variable increases?
a) 0.2
b) 0
c) 0.2
d) 1
e) 0.5
Using the S/RO rule, which of the following jobs will be scheduled first?
a) the first job that arrives at a work center
b) the job with the least slack per remaining operations
c) the job with the highest slack per remaining operations
d) the job with the smallest ratio of time remaining until due date to process time
remaining
e) the job with the largest ratio of time remaining until due date to process time
remaining
What does TBO stand for?
a) time-based optimization
b) target-based ordering
c) target-based optimization
d) time-based ordering
e) time between orders
A quality circle is
a) An approach for the use of control charts
b) An award for quality improvements
c) An inspection stamp found on meat
d) A team of volunteer production employees and their supervisors who meet regularly
to solve quality problems
e) A symbol used on flow charts
What is the mean absolute deviation of the following forecasts?
a) 1
b) 5
c) 20
d) 1
e) 42
What type of warehouse is used for short-term storage, consolidation, and product
mixing?
a) Customized
b) Strategic
c) General
d) Distribution
e) Tactical
What is a concept that takes a total system approach to creating efficient operations?
a) lean systems
b) enterprise resource planning
c) customer relationship management
d) management science
e) management information systems
Which of the following is not considered to be an element of a waiting line system?
a) the customer population source
b) the service system
c) the average number of customers waiting in line
d) the arrival and service patterns
e) the priorities used for controlling the line
If the costs (S and H) and demands (D) are the same, which of the following is not true
with regard to the EPQ model as compared to the EOQ model?
a) The EPQ model produces a lower total annual cost.
b) The maximum inventory level is lower under the EPQ model than under the EOQ
model.
c) The two models use different formulas to compute annual ordering cost.
d) The inventory depletion rate is the same for both models.
e) The two models use different formulas to compute annual holding cost.
Joe’s radio tower fabrication company has developed the following milestone project
schedule. What is the expected time duration for the project?
a) 9
b) 10
c) 14
d) 14.33
e) 17.33
f) 21
What are long-term decisions that set the direction for the entire organization called?
a) tactical
b) operational
c) directional
d) distant
e) strategic
The philosophy of JIT
a) Originated in Japan
b) Was operational at Henry Ford’s complex in 1920’s
c) Is a production planning system
d) Has received little attention in the US
e) Focuses on direct control of worker activities by management
Which of the following does not share a common ERP database?
a) internal to the organization
b) suppliers
c) customers
d) the supply chain
e) CEO strategic plan
Compared to large facilities, focused factories _____________________.
a) bring economies of scale
b) have much bureaucracy
c) are ancient history
d) lead to higher average inventories
e) are more flexible
What are the two aspects to implementing the six-sigma concept?
a) numerically controlled machines and inventory management
b) numerically controlled machines and people involvement
c) numerically controlled machines and technical tools
d) technical tools and people involvement
e) inventory management and technical tools
George Dantzig developed the ___________________ in 1947 to solve Linear
Programs.
a) Complex Method
b) Multiplex Method
c) Simplex Method
d) Superplex Method
e) Perplex Method
The algebraic formulation of an optimization problem must state what three things?
a) decision variables, random variables, and parameters
b) decision variables, random variables, and constraints
c) decision variables, random variables, and objective function
d) random variables, parameters, and objective function
e) decision variables, objective function, and constraints
Which of the following best describes subcontracting?
a) provides additional output capacity during periods of high demand
b) it is a strategic decision
c) cost per unit is less for subcontracting
d) used when a company has no in-house capability
e) it defines the company’s core business
Location decisions are particularly important because __________________________.
a) typically they are made rather frequently
b) they entail a high cost, short-term commitment
c) there are so many potential locations
d) they have a major impact on product design
e) they can have a large impact on operating costs and revenues
JIT relies on a ______ that withdraws parts for a previous work cell and moves them to
the next.
a) Information technology system
b) coordination system
c) six sigma system
d) quality circle system
e) transportation system
What is typically used to quantitatively compare the effectiveness of layouts?
a) trial and error
b) process control charts
c) load-distance model
d) mean absolute deviation (MAD)
e) exponential smoothing
What are the five ways of defining Quality?
Yannis Corporation is trying to decide whether to produce its own subassemblies or
outsource them. In-house production costs would include an annual fixed cost of
$250,000, materials costs per unit of $7, and labor costs per unit of $5. Teshtown, Inc.
has agreed to provide the subassemblies for an annual cost of $400,000 and a unit cost
of $8 per subassembly. Over what ranges of demand is each option best?
Describe the difference between an XY graph and a Line graph.
Scientific Management, Management Science, Just−in−Time, Total Quality
Management, Business Process Reengineering, and other developments reflect the
application of ________________________ and ________________________ to the
transformation of inputs into goods and services.
Describe how JIT affects the Accounting department.
What are some technological motivations for implementing ERP systems?
A firm has four departments to locate in the following space.
Department A has a daily average of 20, 10, and 60 trips to Departments B, C, and D,
respectively; Department B has a daily average of 25 and 30 trips to Departments C and
D, respectively; and Department C has a daily average of 50 trips to Department D.
While there are 24 different layout combinations, only three are effectively different (in
terms of distances between departments). Calculate the ld score for the three different
combinations and choose the best.
Discuss how MRP reports are used by the production and inventory planners.