MGT324 Exam 2

25 July 2022
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question
Which of the following is a quantitative forecasting​ method? A. sales force composite B. jury of executive opinion C. market survey D. exponential smoothing
answer
D. exponential smoothing
question
The objective of layout strategy is to A.improve employee morale. B.improve customer interaction. C.improve the flow of information. D.develop an effective and efficient layout that will meet the​ firm's competitive requirements.
answer
D.develop an effective and efficient layout that will meet the​ firm's competitive requirements.
question
A Retail Layout
answer
Which of the following allocates display space and responds to customer​ behavior? A.retail layout .B.​product-oriented layout C.warehouse layout D.office layout
question
In​ process-oriented and​ fixed-position layouts, it is important to minimize the costs of A.material handling. B.raw material. C.​special-purpose machinery. D.skilled labor.
answer
A) Material Handling
question
The main objective of retail layout is to A.maximize profitability per square foot of floor space. B.provide for​ comfort, safety, and movement of information. C.minimize total costs. D.build teams.
answer
A.)maximize profitability per square foot of floor space.
question
The objective of warehouse layout is to A.find the optimum​ trade-off between handling cost and costs associated with warehouse space. B.build teams. C.provides for​ comfort, safety, and movement of information. D.maximize profitability per square foot of floor space.
answer
A.find the optimum​ trade-off between handling cost and costs associated with warehouse space.
question
​Cross-docking A. locates stock wherever there is an open location. B. uses the warehouse to add value to the product through component​ modification, repair,​ labeling, or packaging. C. combines orders to reduce picking time. D. avoids placing the materials or supplies in storage by processing them as they are received for shipment
answer
D. avoids placing the materials or supplies in storage by processing them as they are received for shipment
question
A​ fixed-position layout: A. addresses the layout requirements of​ large, bulky, projects such as ships and buildings. B. groups​ workers, their​ equipment, and​ spaces/offices to provide for movement of information. C.allocates shelf space and responds to customer behavior. D. seeks the best personnel and machine utilization in repetitive or continuous production.
answer
A. addresses the layout requirements of​ large, bulky, projects such as ships and buildings.
question
Work cells typically have A. increased raw materials inventory. B. increased direct labor needs due to specialization. C. reduced investment in machinery and equipment. D. increased​ work-in-process inventory.
answer
C. reduced investment in machinery and equipment.
question
A​ product-oriented layout A. is organized around products or families of similar​ high-volume, low variety production. B.allocates shelf space and responds to customer behavior. C. deals with​ low-volume, high-variety production. D. addresses the layout requirements of​ large, bulky projects such as ships and buildings.
answer
A. is organized around products or families of similar​ high-volume, low variety production.
question
Generally the goal of assembly line balancing is to A. determine the maximum time that an item is allowed at a workstation. B. minimize imbalance between machines or personnel while meeting a required output from the line. C. maximize the number of workstations. D. minimize the efficiency of the line.
answer
B. minimize imbalance between machines or personnel while meeting a required output from the line.
question
Having stable demand is a major assumption for justifying which of the following layout​ types? A. ​fixed-position layout B. ​product-oriented layout C. warehouse layout D. ​process-oriented layout
answer
B. ​product-oriented layout
question
The forecasting time horizon that would typically be easiest to predict for would be the A.short range. B.long range. C.intermediate range. D.medium range.
answer
A.short range.
question
A forecast that projects a​ company's sales is A. a technological forecast. B. a demand forecast. C. an economic forecast. D. an environmental forecast.
answer
B. a demand forecast.
question
Which of the following is the FIRST step in a forecasting​ system? A. Select the items to be forecasted. B. Determine the use of the forecast. C. Determine the time horizon of the forecast. D. Select the forecast​ model(s).
answer
B. Determine the use of the forecast.
question
Which of the following is the FINAL step in a forecasting​ system? A. Validate and implement the results. B. Gather the data needed to make the forecast. C. Select the forecast​ model(s). D. Make the forecast.
answer
A. Validate and implement the results.
question
Which of the following is a qualitative forecasting​ method? A. Delphi method B. naive approach C. linear regression D. trend projection
answer
A. Delphi method
question
Which forecast error measure is probably the easiest to​ interpret? A. MAD B. MD C. MAPE D. MSE
answer
C. MAPE
question
​"Today's forecast equals​ yesterday's actual​ demand" is referred as A. a moving average. B. exponential smoothing. C. the Delphi method. D. the naive approach.
answer
D. the naive approach.
question
Which forecasting method considers several variables that are related to the variable being​ predicted? A. simple regression B. weighted moving average C. multiple regression D. exponential smoothing
answer
C. multiple regression
question
With regard to a​ regression-based forecast, the standard error of the estimate gives a measure of A.the maximum error of the forecast. B.the time period for which the forecast is valid. C.the time required to derive the forecast equation. D.the variability around the regression line.
answer
D.the variability around the regression line.
question
A tracking signal A. cannot be used with exponential smoothing. B. that is negative indicates that demand is greater than the forecast. C. is a measurement of how well a forecast is predicting actual values. D. is computed as the mean absolute deviation​ (MAD) divided by the running sum of the forecast errors​ (RSFE).
answer
C. is a measurement of how well a forecast is predicting actual values.
question
A forecasting technique consistently produces a negative tracking signal. This means that A. the forecasting technique consistently​ under-predicts. B. the forecasting technique consistently​ over-predicts. C.the MAPE will also consistently be negative. D. the MSE will also consistently be negative.
answer
B. the forecasting technique consistently​ over-predicts.
question
A consistent tendency for forecasts to be greater or less than the actual values is called​ ________ error. A. a bias B. a trend C. an extreme D. an unbalanced
answer
A. a bias
question
Managing quality helps build successful strategies of A. ​differentiation, low cost and response. .B. ​differentiation, low cost and service. C. ​differentiation, time and service. D. ​differentiation, time and response.
answer
A. ​differentiation, low cost and response
question
Which of the following DOES NOT increase profit by improving​ quality? A. improved reputation B. increased productivity C. higher warranty costs D. flexible pricing
answer
C. higher warranty costs
question
Which of the following could reduce costs and increase​ profit? A. improved reputation B. improved response C. flexible pricing D. increased productivity
answer
D. increased productivity
question
Which of the following costs is NOT a cost of​ quality? A. rework B. scrap C. lost goodwill D. research and development
answer
D. research and development
question
Which of the following is the Japanese term used to describe continuous improvement​ efforts? A. ​poka-yoke B. kaizen C. kanban D. six sigma
answer
B. kaizen
question
Which of the following is NOT one of the techniques for building employee​ empowerment? A. Build​ high-morale organizations. B. Eliminate formal organization structures such as teams and quality circles. C. Build communication networks that include employees. D. Develop​ open, supportive supervisors.
answer
B. Eliminate formal organization structures such as teams and quality circles.
question
To develop a standard or​ benchmark, firms need to start with A. collecting benchmarking information. B. forming a benchmark team. C. determining what to benchmark. .D. identifying benchmarking partners.
answer
C. determining what to benchmark
question
​Cause-and-effect diagrams are also known as A. flowcharts. B. Pareto charts. C. ​fish-bone charts. .D.target specification graphs
answer
C. ​fish-bone charts
question
A device or technique that ensures production of a good unit every time is a A. ​poka-yoke. B.control chart. C. zero defect. D. ​fail-safe.
answer
A. ​poka-yoke.
question
Inspections should NOT take place A. at your​ supplier's plant while the supplier is producing. B. during the​ step-by-step production process. C. after costly or irreversible processes. D.at your facility upon receipt of goods from your supplier.
answer
C. after costly or irreversible processes.
question
One hundred percent inspection A. means that only good parts will be shipped to a customer. B. is practical and an excellent fit for​ world-class manufacturers. C. means that every part is checked to see whether or not it is defective. D. catches all of the defective parts.
answer
C. means that every part is checked to see whether or not it is defective
question
Which of the following is NOT one of the benefits in​ MRP? A. better response to customer orders as the result of improved adherence to schedules B. faster response to market changes C. increased inventory levels .D. improved utilization of facilities and labor
answer
C. increased inventory levels
question
What is an information system for identifying and planning the​ enterprise-wide resources needed to​ take, make,​ ship, and account for customer​ orders? A. EIS B. MRP C. SCM D. ERP
answer
D. ERP
question
What is a list of quantities of​ components, ingredients, and materials required to make a​ product? A. master production schedule B. ​bill-of-material C. engineering change notice D. purchase order
answer
B. ​bill-of-material
question
Which of the following pieces of information is NOT contained in a bill of​ material? A. lead times B.raw materials to be used C. quantities of components D. physical dimensions
answer
A. lead times
question
What are bills of material organized by major subassemblies or by product​ options? A. modular bills B. planning bills C. phantom bills D. product bills
answer
A. modular bills
question
A phantom​ bill-of-material is a​ bill-of-material developed for A. the purpose of grouping subassemblies when we wish to issue​ "kits" for later use. B. a module that is a major component of a final product. C. a final product for which production is to be discontinued. D. a subassembly that exists only temporarily.
answer
D. a subassembly that exists only temporarily.
question
The difference between a gross material requirements plan and a net requirements plan is that A.the gross MRP may not be​ computerized, but the net requirements plan must be computerized. B. the gross MRP does not take taxes into​ account, whereas the net requirements plan includes the tax considerations. C. the net requirements plan includes consideration of the inventory on​ hand, whereas the gross MRP does not. D. the gross MRP includes consideration of the inventory on​ hand, whereas the net requirements plan does not.
answer
C. the net requirements plan includes consideration of the inventory on​ hand, whereas the gross MRP does not.
question
The gross material requirements plan combines A. the net requirements plan and the aggregate plan. B. the net requirements plan and the​ time-phased schedule. C. a master production schedule and the​ time-phased schedule. D. a master production schedule and the net requirements plan.
answer
C. a master production schedule and the​ time-phased schedule.
question
Which of the following allows a segment of the master schedule to be designated as​ "not to be​ rescheduled?" A. pegging B. freeze point C. time fence D. system nervousness
answer
C. time fence
question
Which of the following tools means tracing upward in the BOM from the component to the parent​ item? A.pegging B.time fencing C. bucketing D. system nervousness
answer
A.pegging
question
What is the​ lot-sizing technique that generates exactly what was required to meet the​ plan? A. ​Wagner-Whitin B. economic order quantity C. ​lot-for-lot D. periodic order quantity
answer
C. ​lot-for-lot
question
What is a report showing the resource requirements in a work center for all work currently assigned there as well as all planned and expected​ orders? A. pegging report B.​closed-loop report C. load report D. MRP II report
answer
C. load report
question
What is an information system for identifying and planning the​ enterprise-wide resources needed to​ take, make,​ ship, and account for customer​ orders? A. ERP B. MRP C. CIM D. BOM
answer
A. ERP
question
Managing quality helps build successful strategies of A. ​differentiation, low cost and response. B. ​differentiation, time and response. C. ​differentiation, time and service. D. ​differentiation, low cost and service.
answer
B. ​differentiation, low cost and response
question
A successful quality strategy begins with A. an understanding of the principles of quality. B. an organizational culture that fosters quality. C. engaging employees in the necessary activities to implement quality. D. satisfying customers and obtaining a competitive advantage.
answer
B. an organizational culture that fosters quality.
question
Which of the following DOES NOT increase profit by improving​ quality? A. improved reputation B. higher warranty costs C. increased productivity D. flexible pricing
answer
B. higher warranty costs
question
Which of the following could reduce costs and increase​ profit? A. flexible pricing B. increased productivity C. improved response D. improved reputation
answer
B. increased productivity
question
The American Society for Quality defines quality as A. the totality of features and characteristics of a product or service that bears on its ability to satisfy stated or implied needs. B. even though it cannot be​ defined, you know what it is. C. the degree of excellence at an acceptable price and the control of variability at an acceptable cost. D. how well a product fits patterns of consumer preferences.
answer
A. the totality of features and characteristics of a product or service that bears on its ability to satisfy stated or implied needs.
question
Which of the following is an award for quality achievement in​ Japan? A. ISO 9000 B. Tokyo Medal for Excellence in Quality C. Malcolm Baldrige National Quality Award D. Deming Prize
answer
D. Deming Prize
question
Which of the following costs is NOT a cost of​ quality? A. research and development B.lost goodwill C. scrap D.rework
answer
A. research and development
question
Which of the following is NOT an external failure​ cost? A. returned goods B. costs to society C. scrap D. lost goodwill
answer
C. scrap
question
Which of the following is the Japanese term used to describe continuous improvement​ efforts? A. six sigma B. kanban C. kaizen D. ​poka-yoke
answer
C. kaizen
question
​Taguchi's quality loss function is based on a A. linear equation. B. binomial distribution. C. quadratic equation. D. negative exponential distribution.
answer
C. quadratic equation.
question
Which of the following is NOT one of the techniques for building employee​ empowerment? A. Develop​ open, supportive supervisors. B. Eliminate formal organization structures such as teams and quality circles. C. Build​ high-morale organizations. D. Build communication networks that include employees
answer
B. Eliminate formal organization structures such as teams and quality circles.
question
To develop a standard or​ benchmark, firms need to start with A. forming a benchmark team. B. identifying benchmarking partners. C. collecting benchmarking information. D. determining what to benchmark.
answer
D. determining what to benchmark
question
A device or technique that ensures production of a good unit every time is a A. control chart. B. ​fail-safe. C. zero defect. D. ​poka-yoke.
answer
D. ​poka-yoke.
question
Attribute inspection measures A. whether or not the product attributes conform to the​ inspector's personal tastes. B. such dimensions as​ weight, speed,​ size, or strength to see if an item falls within an acceptable range. C. if the product is good or bad. D. if cause and effect are present
answer
C. if the product is good or bad.
question
Inspections should NOT take place A. after costly or irreversible processes. B. during the​ step-by-step production process. C. at your facility upon receipt of goods from your supplier. D. at your​ supplier's plant while the supplier is producing.
answer
A. after costly or irreversible processes.
question
One hundred percent inspection A. is practical and an excellent fit for​ world-class manufacturers. B. means that every part is checked to see whether or not it is defective. C. catches all of the defective parts. D. means that only good parts will be shipped to a customer.
answer
B. means that every part is checked to see whether or not it is defective.
question
Which of the following determinants of service quality means the firm performs the service right the first time and that the firm honors its​ promises? A.reliability B.competence C. credibility D. responsiveness
answer
A.reliability
question
Which of the following determinants of service quality means approachability and ease of​ contact? A. access B. security C. courtesy D. tangibles
answer
A. access
question
Which of the following statements is NOT true regarding the importance of the role that an operations manager plays in addressing service​ quality? A.The tangible component of many services is important. B. The manager may be able to influence the quality of the service but has little control over the​ customers' expectation. C. Managers must expect exceptions. D. The operations manager should realize that the​ customer' expectations are the standard against which the service is judged.
answer
B. The manager may be able to influence the quality of the service but has little control over the​ customers' expectation.
question
What is training and empowering frontline employees to solve a problem​ immediately? A. quality circle B. courtesy C. service recovery D. employee empowerment
answer
C. service recovery
question
Which of the following statements is NOT true regarding​ forecasting? A. Forecasting is exclusively an objective prediction. B. A forecast is usually classified by the future time horizon that it covers. C. Forecasting is the art and science of predicting future events. D. Forecasting may involve taking historical data and projecting them into the future with a mathematical model.
answer
A. Forecasting is exclusively an objective prediction.
question
The forecasting time horizon that would typically be easiest to predict for would be the A. short range. B. medium range. C. intermediate range. D. long range.
answer
A. short range.
question
A forecast that addresses the business cycle by predicting planning indicators is A. a technological forecast. B. an environmental forecast. C. a demand forecast. D. an economic forecast.
answer
D. an economic forecast.
question
A forecast that projects a​ company's sales is A. an economic forecast. B. an environmental forecast. C. a demand forecast. D.a technological forecast.
answer
C. a demand forecast.
question
CPFR is A. ​collaborative, partner,​ forecasting, and replenishment. B. ​collaborative, planning,​ forecasting, and replenishment. C. ​complete, planning,​ forecasting, and replenishment. D. ​complete, partner,​ forecasting, and replenishment.
answer
B. ​collaborative, planning,​ forecasting, and replenishment.
question
The goal of CPFR is to A. create significantly more accurate information that can power the supply chain. B. ensure product innovation. C. create good relations with suppliers. D. determine which model needs to be used to predict future events.
answer
A. create significantly more accurate information that can power the supply chain.
question
Which of the following statements is NOT​ true? A. When excess capacity​ exists, cost can decrease. B. When excess capacity​ exists, cost can increase. C. When capacity is​ inadequate, market share can shrink. D. When capacity is​ inadequate, customers can be lost.
answer
A. When excess capacity​ exists, cost can decrease.
question
Which of the following is the FIRST step in a forecasting​ system? A. Select the items to be forecasted. B. Determine the time horizon of the forecast. C. Select the forecast​ model(s). D. Determine the use of the forecast.
answer
D. Determine the use of the forecast.
question
Which of the following is the FINAL step in a forecasting​ system? A. Make the forecast. B. Validate and implement the results. C. Select the forecast​ model(s). D. Gather the data needed to make the forecast.
answer
B. Validate and implement the results.
question
Which of the following is a reality each company faces regarding its forecasting​ system? A.After automating their predictions using computerized forecasting​ software, firms closely monitor only the product items whose demand is stable. B. Product family forecast are less accurate than individual product forecasts. C. Most forecasting techniques assume there is no underlying stability in the system. D. Outside factors that we cannot predict or control often impact the forecast.
answer
D. Outside factors that we cannot predict or control often impact the forecast.
question
Which of the following forecasting steps comes directly after determining the time horizon of the​ forecast? A. Select the forecasting​ model(s). B. Select the items to be forecasted. C. Gather the data. D. Make the forecast.
answer
A. Select the forecasting​ model(s).
question
Which of the following is a quantitative forecasting​ method? A. market survey B. sales force composite C. exponential smoothing D. jury of executive opinion
answer
C. exponential smoothing
question
Which of the following is a qualitative forecasting​ method? A. linear regression B.naive approach C.Delphi method D.trend projection
answer
C.Delphi method
question
Which forecasting model is based upon​ salespersons' estimates of expected​ sales? A. Delphi method B. market survey C. sales force composite D. jury of executive opinion
answer
C. sales force composite
question
Which of the following is NOT a​ time-series model? A. naive approach B. moving averages C. multiple regression D. exponential smoothing
answer
C. multiple regression
question
A tracking signal A. is a measurement of how well a forecast is predicting actual values. B. cannot be used with exponential smoothing. C. that is negative indicates that demand is greater than the forecast. D. is computed as the mean absolute deviation​ (MAD) divided by the running sum of the forecast errors​ (RSFE)
answer
A. is a measurement of how well a forecast is predicting actual values.
question
A forecasting technique consistently produces a negative tracking signal. This means that A. the forecasting technique consistently​ over-predicts. B. the MAPE will also consistently be negative. C. the MSE will also consistently be negative. D. the forecasting technique consistently​ under-predicts.
answer
A. the forecasting technique consistently​ over-predicts.
question
Forecasting that tries a variety of computer models and selects the best one for a particular application is referred as A. trend projection. B. focus forecasting. C. jury of executive opinion. D. adaptive smoothing.
answer
B. focus forecasting.
question
Which one of the following statements is NOT true about the forecasting in the service​ sector? A. Forecasting in the service sector presents some unusual challenges. B. Hourly demand forecasts may be necessary. C. Demand patterns are often different from those in​ non-service sectors. D. Detailed forecasts of demand are not needed.
answer
D. Detailed forecasts of demand are not needed.
question
The objective of layout strategy is to A. improve the flow of information. B. improve employee morale. C. improve customer interaction. D. develop an effective and efficient layout that will meet the​ firm's competitive requirements.
answer
D. develop an effective and efficient layout that will meet the​ firm's competitive requirements.
question
Which of the following is NOT true regarding layout​ decisions? A. Layout is one of the key decisions that determines the​ long-run efficiency of operations. B. An effective layout can help an organization achieve a strategy that supports​ differentiation, low​ cost, or response. C. To obtain flexibility in​ layout, operations managers could keep investments high. D. Layout designs need to be viewed as dynamic because of our increasingly​ short-life-cycle and​ mass-customized world.
answer
C. To obtain flexibility in​ layout, operations managers could keep investments high.
question
To obtain flexibility in​ layout, managers may implement all EXCEPT which of the following​ tactics? A. keep investments low B. use small equipment C. cross train workers D. place workstations far apart
answer
D. place workstations far apart
question
`Which of the following allocates display space and responds to customer​ behavior? A. retail layout B. warehouse layout C. ​product-oriented layout D. office layout
answer
A. retail layout
question
Which of the following arranges machinery and equipment to focus on production of a single product or group of related​ products? A. ​product-oriented layout B. ​fixed-position layout C. ​process-oriented layout D. ​work-cell layout
answer
D. ​work-cell layout
question
Which of the following approaches is also called a​ "job shop?" A. ​work-cell layout B. ​product-oriented layout C. ​process-oriented layout D. ​fixed-position layout
answer
C. ​process-oriented layout
question
In​ process-oriented and​ fixed-position layouts, it is important to minimize the costs of A. material handling. B. ​special-purpose machinery. C. skilled labor. D. raw material.
answer
A. material handling.
question
Which of the following is NOT helpful for retail​ layout? A. Locate the​ high-draw items around the periphery of the store. B. Distribute what are known in the trade as​ "power items" to both sides of an aisle. C. Keep​ end-aisle locations empty to facilitate traffic flow. D. Use prominent locations for​ high-impulse and​ high-margin items.
answer
C. Keep​ end-aisle locations empty to facilitate traffic flow.
question
The main objective of retail layout is to A. maximize profitability per square foot of floor space. B. minimize total costs. C. build teams. D. provide for​ comfort, safety, and movement of information.
answer
A. maximize profitability per square
question
Which of the following is an example of ambient​ conditions? A. ​Walmart's greeter at the door B. Best​ Buy's wide center aisle C. leather chairs at Starbucks D. Hard Rock​ cafe's wall of guitars
answer
C. leather chairs at Starbucks
question
Which of the following terms describes the physical surroundings in which a service takes​ place, and how they affect customers and​ employees? A. landscape B. servicescape C. ambience D. service decor
answer
B. servicescape
question
The objective of warehouse layout is to A. find the optimum​ trade-off between handling cost and costs associated with warehouse space. B. maximize profitability per square foot of floor space. C. provides for​ comfort, safety, and movement of information. D. build teams.
answer
A. find the optimum​ trade-off between handling cost and costs associated with warehouse space.
question
​Cross-docking A.combines orders to reduce picking time. B. uses the warehouse to add value to the product through component​ modification, repair,​ labeling, or packaging. C. avoids placing the materials or supplies in storage by processing them as they are received for shipment. D. locates stock wherever there is an open location
answer
C. avoids placing the materials or supplies in storage by processing them as they are received for shipment.
question
Which of the following is NOT one of the tasks of random stocking​ systems? A.Maintaining accurate records of existing inventory and its locations. B. Assigning certain items or classes of items to particular warehouse areas so that the total distance traveled within the warehouse is maximized. C. Maintaining a list of​ "open" locations. D. Sequencing items to minimize the travel time required to​ "pick" orders.
answer
B. Assigning certain items or classes of items to particular warehouse areas so that the total distance traveled within the warehouse is maximized.
question
What process uses warehousing to add value to a product through component​ modification, repair,​ labeling, and​ packaging? A. servicescaping B. ambient conditioning C. ​cross-docking D. customizing
answer
D. customizing
question
A​ fixed-position layout A. addresses the layout requirements of​ large, bulky, projects such as ships and buildings. B. groups​ workers, their​ equipment, and​ spaces/offices to provide for movement of information. C. allocates shelf space and responds to customer behavior. D. seeks the best personnel and machine utilization in repetitive or continuous production.
answer
A. addresses the layout requirements of​ large, bulky, projects such as ships and buildings.
question
Which of the following is NOT one of the reasons that the techniques for addressing​ fixed-position layout are​ complicated? A. At different stages of a​ project, different materials are needed. B. Different items become critical as the project develops. C. The volume of materials needed is constant. D. There is limited space at virtually all sites.
answer
C. The volume of materials needed is constant.
question
Which of the following would NOT be produced or offered using a​ fixed-position layout? A. a hospital operating room B. a highway C. a hospital emergency room D. a ship
answer
C. a hospital emergency room
question
What is a successful technique used by companies such as Ingall Ship Building Corporation to avoid some of the difficult problems producing items in​ fixed-position layouts? A. use blanket purchase contracts that cover projected purchasing needs over a​ one-year time period B. hire​ cross-trained workers C. hire​ time-flexible workers D. complete as much of the project as possible offsite
answer
D. complete as much of the project as possible offsite
question
Work cells typically have A. reduced investment in machinery and equipment. B. increased​ work-in-process inventory. C. increased raw materials inventory. D. increased direct labor needs due to specialization.
answer
A. reduced investment in machinery and equipment.
question
The requirements of work cells do NOT include A. testing at each station in the cell. B.being​ self-contained, with its own equipment and resources. C.a high level of training and a low level of flexibility. D.identification of families of products.
answer
C.a high level of training and a low level of flexibility.
question
To provide better access and possibly reduce the number of workers​ needed, work cells may be designed in the shape of what letter of the​ alphabet? A. D B.O C. U D. V
answer
C. U
question
Which of the following is NOT one of the benefits in​ MRP? A. increased inventory levels B. better response to customer orders as the result of improved adherence to schedules C. faster response to market changes D. improved utilization of facilities and labor
answer
A. increased inventory levels
question
Which of the following statements is NOT true about​ MRP? A. MRP is an independent demand technique used in a production environment. B. MRP has evolved as the basis for Enterprise Resource Planning. C. MRP uses a​ bill-of-material, inventory, expected​ receipts, and a master production schedule to determine material requirements. D. MRP provides a clean structure for dependent demand.
answer
A. MRP is an independent demand technique used in a production environment
question
What is an information system for identifying and planning the​ enterprise-wide resources needed to​ take, make,​ ship, and account for customer​ orders? A. MRP B. SCM C. ERP D. EIS
answer
C. ERP
question
Which of the following statements is NOT​ true? A. For any product for which a schedule can be​ established, dependent techniques should be used. B. For any​ product, some components of that product are independent demand items. C. Demand for items is dependent when the relationship between the items can be determined. D. Less inventory frees up capital and floor space for other uses.
answer
B. For any​ product, some components of that product are independent demand items.
question
What is a list of quantities of​ components, ingredients, and materials required to make a​ product? A. master production schedule B. ​bill-of-material C. purchase order D.engineering change notice
answer
B. ​bill-of-material
question
Which of the following pieces of information is NOT contained in a bill of​ material? A.raw materials to be used B.lead times C.quantities of components D.physical dimensions
answer
B.lead times
question
Which of the following allows a segment of the master schedule to be designated as​ "not to be​ rescheduled?" A. pegging B. system nervousness C. time fence D. freeze point
answer
C. time fence
question
The operations manager has two important tools available to deal with MRP system nervousness. Those tools are A. pseudo bills and kits. B. buckets with back flush. C. time fences and pegging. D. net and gross requirements
answer
C. time fences and pegging.
question
Which of the following tools means tracing upward in the BOM from the component to the parent​ item? A. pegging B. bucketing C. system nervousness D.time fencing
answer
A. pegging
question
Which of the following is NOT true about MRP​ limitations? A. MRP does not tell you that a job needs to be completed on a certain week or day. B. MRP is an excellent tool for​ product-focused and repetitive​ facilities, but it has limitations in process​ (make-to-order) environments. C. MRP does not do detailed scheduling. D. MRP is considered an infinite scheduling technique.
answer
A. MRP does not tell you that a job needs to be completed on a certain week or day.
question
What is the​ lot-sizing technique that generates exactly what was required to meet the​ plan? A. ​Wagner-Whitin B. ​lot-for-lot C. periodic order quantity D. economic order quantity
answer
B. ​lot-for-lot
question
Which of the following​ lot-sizing techniques is likely to prove the most complex to​ use? A. ​lot-for-lot B. ​Wagner-Whitin C. periodic order quantity​ (POQ) D. economic order quantity​ (EOQ)
answer
B. ​Wagner-Whitin
question
What is a​ lot-sizing technique that orders the quantity needed during a predetermined time between​ orders? A. POQ B. part period balancing C. EOQ D. ​Wagner-Whitin
answer
A. POQ
question
Which of the following statements is NOT true about the​ EOQ? A. The EOQ can be used as a​ lot-sizing technique for MRP systems. B. The EOQ can be a reasonable​ lot-sizing technique when demand is relatively constant and independent. C. The EOQ is a statistical technique using​ averages, whereas the MRP procedure assumes known demand reflected in a master production schedule. D. The EOQ is preferable when dependent demand exists.
answer
D. The EOQ is preferable when dependent demand exists.
question
What provides feedback to the capacity​ plan, master production​ schedule, and production plan so planning can be kept valid at all​ times? A. MRP II B. lot sizing C. system nervousness D. ​closed-loop MRP system
answer
D. ​closed-loop MRP system
question
What sends a lot to two different machines for the same​ operation? A. lot splitting B. pegging C. overlapping D. operations splitting
answer
D. operations splitting
question
What is a report showing the resource requirements in a work center for all work currently assigned there as well as all planned and expected​ orders? A. ​closed-loop report B. pegging report C. MRP II report D. load report
answer
D. load report
question
What is the act of breaking up an order and running part of it ahead of​ schedule? A. lot splitting B. overlapping C. pegging D. operations splitting
answer
A. lot splitting
question
What is a​ time-phased stock-replenishment plan for all levels of the supply​ chain? A. DRP B. MRP C. MRP II D. BOM
answer
A. DRP
question
Which of the following statements is NOT true about​ DRP? A. Effective use of DRP requires an integrated information system to rapidly convey planned order releases from one level to the next. B. The DRP procedure starts with the forecast at the supplier level. C. When depenent techniques are used in the supply​ chain, they are called distribution resource planning​ (DRP). D. The goal of a DRP system is small and frequent replenishment within the bounds of economical ordering and shipping.
answer
B. The DRP procedure starts with the forecast at the supplier level.
question
A bill of materials for a menu item in a restaurant is also called a A. bill of ingredients. B. recipe. C. food bill. D. product specification.
answer
D. product specification.
question
Which of the following statements about DRP is NOT​ true? A. DRP procedures and logic are analogous to MRP. B. DRP pushes inventory through the system. C. Lead times are considered in DRP. D. DRP stands for​ "distribution resource​ planning."
answer
B. DRP pushes inventory through the system.
question
What is an information system for identifying and planning the​ enterprise-wide resources needed to​ take, make,​ ship, and account for customer​ orders? A. MRP B. BOM C. CIM D. ERP
answer
D. ERP
question
Which of the following is an advantage of​ ERP? A. It is simple enough that companies have an easy time adjusting to it. B. it creates commonality of databases. C. It is very inexpensive to purchase. D. Data fields do not have to be defined identically across the entire enterprise.
answer
B. it creates commonality of databases.
question
Which of the following statements is NOT true regarding​ ERP? A. ERP promises​ slow, but​ accurate, information. B. The objective of an ERP system is to coordinate a​ firm's whole business. C.ERP allows companies share a common database and business practices throughout the enterprise. D. ERP usually provides financial and human resource management information.
answer
A. ERP promises​ slow, but​ accurate, information.
question
Supply chain management systems in the grocery industry that tie sales to​ buying, to​ inventory, to​ logistics, and to production are called A. grocery resource planning. B. distribution resource planning. C. enterprise resource planning. D. efficient consumer response.
answer
D. efficient consumer response.