BUS 3750
All organizations, including service firms such as banks and hospitals, have a production function
True
False
Poka-Yoke is a japanese term for:
Continuous improvement
Just-in-time production
Fishbone diagram
Card game
Foolproof
Current challenges in operations management include all of the following EXCEPT
Just-in-time production
Mass customization
Rapid product development
None of the above I.e, all are current challenges
Empowered employees
The dimensions, tolerances, materials, and finishes of a component are typically shown on a(n):
Route sheet
Assembly chart
Engineering drawing
Assembly drawing
Bill of material
PDCA, developed by Shewhart, stands for which of the following?
Prepare-develop-create-asses
Plan-do-check-act
Problem-do-continue-act
Problem-develop solution-check-act
Plan-develop-check-accept
Even though a firm may have a low cost strategy, supply-chain strategy can select suppliers primarily on response or differentiation
True
False
In vendor-managed inventory, the supplier maintains material for the buyer, often delivering directly to the buyer's using department
True
False
Logistics management can provide a competitive advantage through improved customer service
True
False
As the number of facilities increases, total logistics costs tend to follow a curve that first rises, then declines
True
False
Once revenue and total logistics costs are considered together, the optimal number of facilities in a distribution network may decrease compared to the optimal number of facilities based on total logistics costs only
True
False
Because the supply chain has become so electronic and automated, opportunities for unethical behavior have been greatly reduced
True
False
The SCOR model is a set of processes, metrics, and best practices devloped by the supply chain council
True
False
A major challenge in inventory management is to maintain a balance between inventory investment and customer service
True
False
Work-in-process inventory is devoted to maintenance, repair, and operating materials
True
False
In a JIT system, product inspection adds value by identifying defective items
True
False
The two general approaches to forecasting are:
Mathmatical and statistical
Judgemental and associative
Qualitative and quantitative
Judgemental and qualitativw
Historical and associatative
Which one of the following is NOT one of the six sourcing strategies?
Keiretsu
Virtual companies
Negotiations with many suppliers
Vertical integration
Short-term relationships with few suppliers
Which of the following best describes vertical integration?
Produce goods or services previously purchased
Build long-term partnership with a few suppliers
Develop the ability to produce products that compliment the original product
Sell products to a supplier or a distributor
Japanese manufacturers often pursue strategy of collaboration, part purchasing from a few suppliers, and part vertical integration. What is it called?
Kanban
Keirtsu
Samurai
Poka-yoke
Kaizen
Four stages of supplier selection?
Supplier evaluation, supplier development, negotiations, and contracting
Supplier evaluation, negotiations, supplier acquisition, and supplier development
Introduction, growth, maturity, and decline
Supplier evaluation, supplier development, negotiations, and centralized purchasing
Negotiations, contracting, centralized purchasing, and E-procurement
Warehouses sometimes perform certain other functions besides storing goods. Which of the following is typically NOT one of those functions?
Purchasing
Postponement
Break-bulk activities
Consolidation point
Cross-docking
What three logistics-related costs are relevant when analyzing the choice of number of facilities in a distribution network?
Inventory costs, production costs, and transportation costs
Inventory costs, production costs, and facility costs
Inventory costs, transportation costs, and facility costs
Facility costs, production costs, and transportation costs
Facility costs, inventory costs, and marketing costs
The Institute for Supply Management:
Establishes laws and regulations for supply management
Is an agency of the United Nations charged with promoting ethical conduct globally
Publishes the principles and standards for ethical supply management conduct
Prohibits backward integration into developing economies
Grants Ph.D degrees in purchasing
Which one of the following is NOT one of the four main types of inventory?
Raw material inventory
Work-in-process inventory
Maintenence/repair/operating supply inventory
Safety stock inventory
Finished-goods inventory
Which of the following is specifically characterized by continuous and forced problem solving via a focus on throughput and reduced inventory?
Just-in-Time
Toyota Production System
Lean operations
Material requirements planning
Kanban
The three major elements of the product decision are:
Selection, definition, and design
Goods, services, and hybrids
Strategy, tactics, and operations
Cost, differentiation, and speed of response
Legislative, judicial, and executive
Producer's risk is the probability of:
Accepting a good lot
Rejecting a good lot
Rejecting a bad lot
Accepting a bad lot
None of the above
Which of the following documents lists the operations necessary to produce the component with the material specified in the bill of material?
An engineering drawing
An assembly drawing
A route sheet
An assembly chart
An operations chart
Which of the following is NOT one of the major costs associated with quality?
Prevention costs
Appraisal costs
Internal failure costs
External failure costs
Distribution costs
The "four Ms" of cause-and-effect diagrams are:
Material, machinery/equipment, manpower, and methods
Material, methods, men, and mental attitude
Named after four quality experts
Material, management, manpower, and motivation
Mentality, motivation, management, and manpower
The definition of quality adopted by the American Society for Quality is a customer-oriented (user based) definition
True
False
According to PCN analysis, the consumer's process domain typically includes the set of activities at the beginning of the process chain
True
False
Cycle counting is an inventory control technique exclusively used for cyclical items
True
False
Forecasts used for new product planning, capital expenditures, facility location or expansion, and R&D utilize a:
Short-range time horizon
Medium-range time horizon
Long-range time horizon
Naive method, because there is no data history
Trend extrpolation
3 months to 3 years is:
Short range
Medium range
Long range
Keeping generic as long as possible before customizing?
Postponement
Keirsu
Vendor-managed inventory
Forward integration
Backward integration
Which of the following statements regarding control of service inventories is TRUE?
Service inventory is a fictional concept, because services are intangible
Service inventory needs no safety stock, because there's no such thing as a service stockout
Effective control of all goods leaving the facility is one applicable technique
Service inventory has carrying costs but no setup costs
Good personal selection, training, and discipline are easy
Which of the following is NOT one of the 7 wastes?
Overproduction
Transportation
Assignment
Defective product
Motion
The 5s categories are:
Simplify, strategize, shine, standardize, adnd sustain
Sort, strategize, shine, standardize, and sustain
Sort, simplify, shine, standardize, and sustain
Shine, sweep, sleep, sustain, and standardize
None of the above
The aggregate planning strategies are
Capacity options, demand options, and mixing options to develop a plan
Capacity options, promotions options, and demand options
Demand options, production options, and sales options
Demand options, supply options, mixing the options to develop a plan
Capacity options include:
Changing inventory levels
Influencing demand
Chase strategy
Varying workforce size by hiring or layoffs
Counterseasonal product and service mixing
Varying production rates through overtime or idle time
Subcontracting
Using part-time workers
Level-scheduling strategy
Level strategy
Demand options include:
Influencing demand
Counterseasonal product and service mixing
Back ordering during high-demand periods
Subcontracting
Using part-time workers
Chase strategy
Level-scheduling strategy
Varying workforce size by hiring or layoffs
In a chase strategy, the operations manager can vary workforce levels by hiring or laying off
True
False
Many organiztions favor the level scheduling strategy when mixing aggregate planning options
True
False
Aggregate planning graphical methods use trial-and error approaches that guarantee an optimal production plan
True
False
The transportation method of linear programming produces an optimal plan for minimizing costs.
True
False
The objective of aggregate planning is usually to meet forecast demand while minimizing cost over the planning period
True
False
The changing inventory levels option in capacity options for aggregate planning mainly applies to services, not production
True
False
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