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The optimistic time is the amount of time the project will take under the worst-case
scenario.
Departments within a stage 2 organization may exhibit a stage 3 orientation, thereby
upgrading the organization to a stage 3 categorization.
Benchmarking is a process that helps compare a company against its competitors on a
variety of relevant indicators.
Mixed-model assembly requires optimized production technology (OPT) for
sequencing.
Risk costs include interest on money invested in inventory and in the land, buildings,
and equipment necessary to hold and maintain the inventory.
The balanced scorecard approach relies not only on financial performance measures,
but includes customers, internal business processes, and organizational learning and
growth.
Operations only include those activities associated specifically with the production
system.
As the costs of fixed equipment investments rise with the volume produced, companies
move from project to job, flow, and then cell transformation systems.
The project life cycle typically has a stretched-s or an exponential form.
The goal of the Analyze Phase is to identify key cause and effect relationships that can
be leveraged to improve the overall performance of the process.
After a region of a new facility has been selected, candidate communities within the
region are identified for further analysis.
Lean Sigma is a combination of Six Sigma and Lean tools appropriate when both too
much variation and waste exist in a process.
In the Service Matrix, to which quadrant does recreation belong?
a) Service shop
b) Professional service
c) Mass service
d) Service factory
What are the two trends in the range of accommodation to customers' needs?
a) Extraction and delivery
b) Standardization and flexibility
c) Customization and standardization
d) Experience and flexibility
In planning the long-term capacity of an operation, one should take into account:
a) Bottlenecks
b) Economies of scale
c) Economies of scope
d) Only B and C
Value can be added to an entity in all the following ways, EXCEPT:
a) Altering
b) Facilitating
c) Storing
d) Transporting
The step in the 5s approach in which unnecessary steps are eliminated is called:
a) Sort
b) Straighten (Set in order)
c) Scrub (Shine)
d) Systemize
Inputs in a bank's production system may include:
a) Loan default rates and the environment
b) Interest rates and wage rates
c) Checks and deposits
d) Federal Reserve decisions and the economy
Business Process Design (BPD) is also adequately named the following EXCEPT:
a) Reengineering
b) Business process innovation
c) Business process engineering
d) Downsizing or restructuring
Which of the following is NOT a basic area of consideration in supplier management?
a) Supplier relationships
b) Selection of suppliers
c) Cross-docking
d) Certification and auditing
Pursuing perfection in lean organizations involves which of the following tools?
a) 5S, the visual factory and kaizen
b) Six Sigma, Project management and continuous improvement
c) Poka yoke and total productive maintenance
d) Both A and C
In locating pure services, which of the following measures are recommended in the
literature on health clinics and can be used for trial-and-error procedures?
a) Facility utilization
b) Travel distance per citizen
c) Travel distance per doctor
d) Only A and B
Quality Function Deployment (QFD) starts by using 'voice of the customer' (VOC) data
in which of the following matrices?
a) Process planning
b) Process deployment
c) Output planning
d) Output specification
Which of the following is NOT a mass customization strategy?
a) Adaptive customizers
b) Transparent customizers
c) Cosmetic customizers
d) Flexible customizers
Which one of the following perceptual measures corresponds to a company that is in
the internally neutral stage of operational effectiveness?
a) Outside experts are called in for strategic decisions
b) Aim is to achieve competitive parity
c) A manufacturing strategy is formulated and pursued
d) Goal is to achieve competitive superiority
Which of the following is NOT a major element of a service guarantee?
a) Must be unconditional
b) Must be easy to communicate and for the customer to understand
c) Must include preventive measures for 'fail-safing'
d) Must be meaningful to the customer
A type of output that commonly results from a production system is:
a) A product
b) A service
c) Neither A nor B
d) Both A and B
A __ is commonly used to produce highly standardized outputs in extremely large
volume
a) Job shop
b) Flow shop
c) Continuous transformation process
d) Cellular production
Which of the following project categories typically seeks the development of a new
generation of outputs?
a) Derivative projects
b) Breakthrough projects
c) Platform projects
d) R&D projects
Balancing a production line includes the following tasks, EXCEPT:
a) Finding a cycle time in which each workstation can complete its tasks
b) Take into account precedence relationships among tasks
c) Identify the task with the longest operation time
d) Calculate the number of workstations that completes the job in the minimum amount
of time
The most important factor(s) effecting the learning curve rate include(s):
a) Complexity of the task
b) Percentage of mechanical input
c) Percentage of human input
d) Only A and C
________ for a nation is the degree to which it can, under free and fair market
conditions, produce goods and services that meet the test of international markets while
simultaneously maintaining and expanding the real incomes of its citizens.
A measure of overall ________ ________ is calculated as the product of equipment
availability, equipment efficiency, and the rate of quality output.
The amount of _____ _____ needed to protect a particular path in a project is less than
the sum of the _____ _____ required to protect the individual activities making up the
path.
The physical release of a work order from the production planning and control
department to operations is called ___________.
To ensure that contracted supplies will be available when needed, organizations
periodically conduct supplier __________ of their vendors, checking for potential
production or delivery problems, quality assurance, design, improvement procedures
and corrective actions.
A useful tool for controlling processes such as quality, scrap, turnover, revenues,
progress, costs, and so on is the _________ _________.
Repairing a machine when it breaks down, as opposed to conducting maintenance
before it is expected to fail, or at regular intervals is also known as ______
maintenance.
