Archives: Quiz

In the sequence of decisions that affect scheduling, __________ is (are) the immediate follower of the master schedule (or master production schedule). How are lean operations and the Toyota Production System (TPS) alike? How are they different? Answer: Lean operations […]

What are the advantages of using PERT and CPM? How many observations would be necessary for a time studies analyst to be 99% confident that the average time is within .1 minutes of the true value if the average time […]

__________ allowances are those that include the distance from employees to restrooms, water fountains, and other facilities. Consider the following bill of material. Forty units of Product A are needed. Assuming no on-hand inventory, and no scheduled receipts, explode the […]

A product is composed of a series connection of four components with the following reliabilities. What is the reliability of the system? A product has the following gross requirements. Which is cheaper€lot-for-lot, part period balance, or EOQ lot sizing? Other […]

Suppose that a three stage process in a nuclear reactor had reliability ratings of .98 at each station and that only one stage needed to be successful for the process to work. If the plant wants to establish 6-sigma standards, […]

Define EDI. If a barbershop operator noted that Tuesday’s business was typically twice as heavy as Wednesday’s, and that Friday’s business was typically the busiest of the week, business at the barbershop is subject to __________. Answer: seasonal variations When […]

Ten high-intensity bulbs are tested for 100 hours each. One failed at 40 hours; another failed at 70 hours; all others completed the test. Calculate FR(%), FR(N), and MTBF. Complete the following table in preparation for a Monte Carlo simulation. […]

Identify, in order, the five steps required to implement the Monte Carlo simulation technique. Identify the general benefits derived from CAD. Answer: Product quality (better adherence to standards); shorter design time; production cost reductions (from better design); database availability (for […]

A part that connects two levels should have a distance between the two holes of 4″. It has been determined that x-bar and R-charts should be set up to determine if the process is in statistical control. The following ten […]

__________ is the maximum time that the product is available at each workstation. What is a product-by-value analysis, and what type of decision does it help managers make? Answer: A product-by-value analysis lists products in descending order of their individual […]

A manufacturing firm wants to apply 6-sigma standards to its automated tolerance-check process. Suppose that each scanner makes the correct decision only 50% of the time, however only 1 correct decision by any scanner makes the entire process a success. […]

A waiting line has a(n) __________ population if, as arrivals take place, the likelihood of additional arrivals is decreased. You have read that in JIT and lean production the optimum lot size is one, with some exceptions for packaging and […]

The process strategy that is organized around processes to facilitate low-volume, high-variety processes is called a(n) __________. The __________ is a mathematical technique used for finding the best location for a single distribution point that services several stores or areas. […]

A pizza delivery company wants to improve its response time to gain a competitive advantage. Create a flowchart with 8 unique events from the time the customer calls in to the time the pizza is delivered. Identify, in order, the […]

A waiting line or __________ is where items or people are in a line awaiting service; __________ is a body of knowledge about waiting lines. Explain, in your own words, how backward scheduling and forward scheduling differ. Answer: Forward scheduling […]

Describe the state of capacity utilization in the motor carrier (trucking) industry. What, if anything, has been implemented by the industry to address the issue? What are some limitations of rule-based scheduling systems? What alternatives are there to rules-based scheduling […]

__________ is a means of determining staffing policies dealing with employment stability and work schedules. __________ is a measure of overall forecast error for a model. Answer: MAD or Mean Absolute Deviation A distribution of service times at a waiting […]

Tiger Island Fabricators, which builds offshore oil platforms, has been experiencing problems with its profiling machine, a computer-driven device that cuts the ends of pipe so that it can be welded to another pipe, as shown in the data below. […]

The __________ is used to determine the best pattern of shipments from several points of supply to several points of demand. Briefly explain how Product Lifecycle Management (PLM) impacts product design. Answer: PLM is an umbrella of software programs that […]

Productivity is the ratio of __________ to __________. Using this relationship, productivity can be improved by __________ or __________. Since the early 1990s, residents in a number of developing countries have overcome culture, religious, ethnic, and political productivity barriers. These […]

The EMV of a decision with three states of nature is $50. If the profit/value of A is 1/3 of B and B is 1/3 of C, determine the profit from A if B and C have an equal chance […]

The __________ is the set of all feasible combinations of the decision variables. Suppose the following random numbers (1, 34, 22, 78, 56, 98, 00, 82) were selected during a Monte Carlo simulation that was based on the chart below. […]

What are the goals of JIT partnerships? How do global operations attract new markets? Answer: Since international operations require local interaction with customers, suppliers, and other competitive businesses, international firms inevitably learn about unique opportunities for new products and services. […]

__________ is a system providing some portion of any profit for distribution to employees. What are the three versions of online catalogs? Answer: The three versions of online catalogues are: (1) catalogs provided by vendors, (2) catalogs provided by intermediaries, […]

A new machine tool is expected to generate receipts as follows: $5,000 in year one; $3,000 in year two, nothing in the next year, and $2,000 in the fourth year. At an interest rate of 6%, what is the present […]

Compare the chase versus level strategy options. Nike is the world’s largest athletic brand. Its innovative and broad product line helps drive sales, however a large majority of those sales are in the footwear business. Most of Nike’s goods are […]

What is the purpose of the Operating Characteristics curve? Which product design below has the higher system reliability? Answer: A’s reliability is .98 * .99 * .985 = .9556. B’s reliability is .98 * (.98 + .02 * .95) * […]

Whatever the outsourced product or service, agreements must specify ongoing __________ and expected __________. What is the difference between natural and assignable causes of variation? Answer: Natural variations are those variations that are inherent in the process and for which […]

Explain how a Pareto chart can identify the most important causes of errors in a process. What are the advantages of enterprise resource planning (ERP)? Answer: ERP provides integration of the supply chain, production, and administrative processes; creates commonality of […]

Marketing, Production, and __________ are the three functions that all organizations must perform to create goods and services. Most banks have changed from having a line in front of each teller to a system where one line feeds all tellers. […]

__________ is the management of activities that procure raw materials, transform those materials into intermediate goods and final products, and deliver the products through a distribution system. Describe how supervisors might need to change their roles after organizing self-directed teams. […]

A product is currently made in a process-focused shop, where fixed costs are $9,000 per year and variable cost is $50 per unit. The firm sells the product for $200 per unit. What is the break-even point for this operation? […]

How can global operations improve the supply chain? Multiproduct break-even analysis calculates the __________ of each product, __________ it in proportion to each product’s share of total sales. Answer: contribution; weighting Keyboard design, noisy work environment, and dangerous materials or […]

Which of the following is an example of competing on the basis of differentiation? A) A firm manufactures its product with less raw material waste than its competitors do. B) A firm’s products are introduced into the market faster than […]

Globalization of the location decision is the result of all of the following except A) market economics B) higher quality of labor overseas C) ease of capital flow between countries D) high differences in labor costs E) more rapid, reliable […]

A transportation problem has two origins: A can supply 20 units and B can supply 30 units. This problem has two destinations: C requires 25 units and D requires 35 units. Which of the following is true? A) The problem […]

Flow diagrams are used to analyze A) movement of people and materials B) utilization of an operator and machine C) body movements D) time taken by various activities E) unnecessary micro-motions Doing nothing would yield how much profit if favorable […]

The degree or strength of a relationship between two variables is shown by the A) alpha B) mean C) mean absolute deviation D) correlation coefficient E) cumulative error A product-oriented layout would be most appropriate for which one of the […]

The typical time horizon for aggregate planning is A) less than a month B) up to 3 months C) 3 to 18 months D) over one year E) over 5 years A firm practices the pure chase strategy. Production last […]

In which of the following has LP been applied successfully? A) minimizing distance traveled by school buses carrying children B) minimizing 911 response time for police patrols C) minimizing labor costs for bank tellers while maintaining service levels D) determining […]

What is the practice of procuring from external sources services or products that are normally part of an organization? A) nearshoring B) farshoring C) offshoring D) outsourcing E) backsourcing Which of the following statements regarding PERT analysis is true? A) […]

Which of the following is a measure of queue performance? A) utilization factor B) average queue length C) probability of a specific number of customers in the system D) average waiting time in the line E) all of the above […]

Which of the following are the primary functions of all organizations? A) production/operations, marketing, and human resources B) marketing, human resources, and finance/accounting C) sales, quality control, and production/operations, D) marketing, production/operations, and finance/accounting E) research and development, finance/accounting, and […]

Keeping a product generic as long as possible before customizing is known as A) postponement B) keiretsu C) vendor-managed inventory D) forward integration E) backward integration The visual workplace A) uses low-cost visual devices to share information B) is an […]

Which of the following aggregate planning strategies is a “demand option”? A) changing price B) subcontracting C) varying production levels D) changing inventory levels E) using part-time workers Industrial location analysis typically attempts to A) minimize costs B) maximize sales […]

A linear programming problem has two constraints 2X + 4Y =<100 and 1X + 8Y =<100, plus nonnegativity constraints on X and Y. Which of the following statements about its feasible region is true? A) There are four corner points […]

Reducing the complexity of a product and improving a product’s maintainability for use are activities of A) Product Lifecycle Management (PLM) B) product-by-value-analysis C) manufacturability and value engineering D) organizing for product development E) design for destruction (DFD) The first […]

A firm uses graphical techniques in its aggregate planning efforts. Over the next twelve months (its intermediate period) it estimates the sum of demands to be 105,000 units. The firm has 250 production days per year. In January, which has […]

Therbligs are A) the smallest unit of time used in methods time measurement exercises B) the largest unit of time used in methods time measurement exercises C) the smallest unit of basic motion used in methods time measurement exercises D) […]

What is the cumulative probability distribution of the following variable? A) 1 B) .5 C) 10 D) .2 E) none of the above The president of a consulting firm wants to minimize the total number of hours it will take […]