JIT manufacturing forces a firm to work with a lower water level despite safety hazards.
Answer:
The focus in the make-to-stock environment is on providing finished goods where and
when the customers want them.
Answer:
Qualitative forecasting techniques generally take advantage of the knowledge of experts
and therefore do not require much judgment.
Answer:
One of the assumptions made using CPM is that project activities can be identified with
clear beginning and ending points.
Answer:
A matrix project attempts to blend properties of functional and pure project structures.
Answer:
While small business organizations can seek to achieve the Baldrige National Quality
Award, hospitals cannot.
Answer:
A rate fence is a logical justification for different prices for what is essentially the same
service.
Answer:
The term “queue discipline” involves the art of controlling surly and unruly customers
who have become irritated by waiting.
Answer:
Inventory is defined as the stock of any item or resource used in an organization.
Answer:
The objective of mixed-model line balancing is to meet the demand for a variety of
products and avoid building high inventories.
Answer:
Which of the following is not a reason to carry inventory?
A. To provide a safeguard for variation in raw material delivery time
B. To take advantage of economic purchase-order size
C. To maintain independence of operations
D. To meet variation in product demand
E. To keep the stock out of the hands of competitors
Answer:
Plant A is located at the (X, Y) coordinates of (200, 500) and has a volume of shipping
of 400 units a day. Plant B is located at the (X, Y) coordinates of (300, 100) and has a
volume of shipping of 300 units a day. Using the centroid method, which of the
following is the X coordinate for the new plant location?
A. About 208
B. About 227
C. About 243
D. About 389
E. X coordinate cannot be computed from the data given
Answer:
If it takes a supplier four days to deliver an order once it has been placed and the
standard deviation of daily demand is 10, which of the following is the standard
deviation of usage during lead time?
A. 10
B. 20
C. 40
D. 100
E. 400
Answer:
In a Gantt chart the horizontal axis is usually which of the following?
A. Activities
B. Cost
C. Profit
D. Time
E. Milestones
Answer:
For an infinite queuing situation, if the arrival rate for loading trucks is 5 trucks per
hour, what is the mean time between arrivals?
A. 5 hours
B. 2.5 hours
C. 0.2 hours
D. 0.1 hours
E. None of the above
Answer:
Various financial data for SunPath Manufacturing for 2012 & 2013 follow.
Answer:
Which of the following are elements that address elimination of waste under lean
production?
A. Production ahead of demand
B. Group plant loading technology
C. Kanban production control system
D. Minimized run times
E. Full capacity utilization
Answer:
A company wants to determine where they should locate a new warehouse. They have
two existing production plants (i.e., Plant A and Plant B) that will ship units of a
product to this warehouse. Plant A is located at the (X, Y) coordinates of (50, 100) and
will have volume of shipping of 250 units a day. Plant B is located at the (X, Y)
coordinates of (150, 200) and will have a volume of shipping of 150 units a day. Using
the centroid method, which of the following are the X and Y coordinates for the new
plant location?
A. (81, 117)
B. (88, 138)
C. (117, 102)
D. (76, 123)
E. X and Y coordinates cannot be computed from the data given
Answer:
If the actual output of a piece of equipment during an hour is 500 units and it’s best
operating level is at a rate of 400 units per hour, which of the following is the capacity
utilization rate?
A. 0.75
B. 1.00
C. 1.25
D. 1.33
E. 100
Answer:
An advantage of a pure project where self-contained teams work full time on a project
is which of the following?
A. Team members can work on several projects
B. Functional area is a “home” after the project is completed
C. There are duplicated resources
D. Lines of communication are shortened
E. Overall organizational policies and goals can be ignored
Answer:
Group technology (GT) is credited with which of the following benefits?
A. Reducing waiting time between process operations
B. Improving inventory discipline
C. Reducing required workforce skills
D. Improved labor relations
E. Improved small group functioning
Answer:
Which following queue discipline is discussed in the textbook?
A. Emergencies first
B. Garner-Whitten formula
C. Newest customer first
D. Patient customers last
E. None of the above
Answer:
In most cases, demand for products or services can be broken into several components.
Which of the following is considered a component of demand?
A. Forecast error
B. Autocorrelation
C. Previous demand
D. Consistent demand
E. Repeat demand
Answer:
Design of experiments is a statistical methodology often used in six-sigma projects. It
aims to accomplish which of the following?
A. Keep careful track of the occurrences of each possible defect
B. Determine the cause and effect relationships between process variables and output
C. Report defects to management on a Pareto chart
D. Carefully change each individual process variable until the cause of a defect is
found
E. Eliminate defects by finding out whom or what is causing them
Answer:
Ownership costs include which of the following costs?
A. Environmental costs
B. Warranty costs
C. Supply chain costs
D. Quality costs
E. Taxes
Answer:
Which of the following is not a production activity report generated by MRP?
A. Exception report
B. Planning report
C. Performance control report
D. Planned-order schedules
E. Bill of materials report
Answer:
Failure mode and effect analysis is used in six-sigma projects. It involves which of the
following?
A. Closely examining each rejected part to determine the cause
B. A careful sampling plan
C. Calculating a risk priority number for each possible failure
D. Reporting the effect each failure has had on a customer
E. Multivariate testing
Answer:
You have been placed in charge of a large project. Shortened communication lines are
required to insure quick resolution of problems as they arise. You recognize that the
project is going to take a lot of time and require a lot of team pride, motivation, and
commitment by all members. Which project management structure should you use in
this situation?
A. Pure Project
B. Task force
C. Matrix Project
D. Functional Project
E. PERT
Answer:
Using the cut-and-try method for aggregate operations planning we can determine the
production requirement in units of product. If the beginning inventory is 500 units, the
demand forecast is 1,000, and the necessary safety stock is 10% of the demand forecast,
which of the following is the production requirement?
A. 1,000
B. 600
C. 550
D. 450
E. 100
Answer:
When implementing a lean production system a stabilized schedule is achieved using
which of the following?
A.
B. Demand pull
C. Freeze window
D. Reduced lot sizes
E. Bottom-round management
Answer:
A company wants to forecast demand using the weighted moving average. If the
company uses two prior yearly sales values (i.e., year 2012 = 11,000 and year 2013 =
13,000), and we want to weight year 2012 at 35% and year 2013 at 65%, what is the
weighted moving average forecast for Year 2014?
__________________________________________
Answer:
Using the assembly-line balancing procedure, which of the following is the theoretical
minimum number of workstations if the task times for the six tasks that make up the job
are 7, 4, 7, 5, 3 and 6 minutes, and the cycle time is 8 minutes?
______________________________________
Answer:
You want to develop a three-sigma “R” chart. You know the average range is 12 based
on several samples of size 6. Which of the following is the resulting LCL?
___________________________________
Answer:
Distinguish between dependent and independent demand. How are these demands
treated differently?
Answer:
In MRP, how is demand information for a level 0 (zero) item derived?
_________________________
Answer:
If the weeks of supply is 10 and the average aggregate inventory value is $1,000,000,
what is the cost of goods sold? _______________________
Answer: