final exam pom

Question 1

efficiency means doing the right things to create the most value for the company

Answer 1

False

efficiency means doing something at the lowest possible cost

Question 2

An example of an operation that does not add value is making a wedding cake

Answer 2

False

Question 3

central to the concept of operations strategy are the notions of operations focus and trade offs

Answer 3

true

Question 4

the closer the customer is to the customer order decoupling point the longer it takes the customer to receive the product

Answer 4

False

Question 5

the central problem in virtually every waiting line situation is a trade off decision balancing the costs of adding services with the costs of waiting.

Answer 5

true

Question 6

the admissions system in a hospital for patients is an example of a single channel, single phase queuing system

Answer 6

false

Question 7

the three main inputs to an MRP system are the bill of materials, the master schedule and the inventory records file

Answer 7

true

Question 8

When implemented correctly, MRP links all areas of the business

Answer 8

False

Question 9

Lot for lot is the most common lot sizing technique

Answer 9

True

Question 10

Conformance quality is a strategic decision for a firm

Answer 10

False

Question 11

The capability index (Cpk) calculates the percentage of items being produced within specifications

Answer 11

False

Question 12

Total, one hundred percent, inspection can never be cost justified

Answer 12

False

Question 13

If the cost to change from producing one product to producing another were zero the lot size would be very small

Answer 13

True

Question 14

Lean production makes implementing green strategies in manufacturing processes more difficult

Answer 14

False

Question 15

Group technology cells help to eliminate movement and queue time between operations

Answer 15

True

Question 16

In the textbook the expression “quality at the source” means that we need to purchase the best quality a supplier or vendor can provide.

Answer 16

false

Question 17

Efficiency means doing the right things to create the most value for the company

Answer 17

false

Question 18

The capacity focus concept can be put into practice through a mechanism called which of the following?
best operating level (BOL)
B. Plant within a plant (PWP)
C. total quality management (TQM)
D. Capacity utilization rate (CUR)
E. Zero-changeover- time (ZXT)

Answer 18

B. Plant within a plant (PWP)

Question 19

Which of the following models uses a schematic model of the sequence of steps in a problem and the conditions and consequences of each step?
A. Probability indexing
B. Johnson’s sequencing rule
C. Decision trees
D. Activity System Maps
E. Decision mapping

Answer 19

C. Decision trees

Question 20

Which of the following is not a lot sizing technique used in MRP systems?
A. Lot-for-lot (L4L)
B. Economic order quantity (EOQ)
C. Least total cost (LTC)
D. Least unit cost (LUC)
E. Warehouse loading factor (WLF)

Answer 20

E. Warehouse loading factor (WLF)

Question 21

Which of the following is a dynamic lot-sizing technique that calculates the order quantity by comparing the carrying cost and the setup (or ordering) costs for various lot sizes and then selects the lot in which these are most nearly equal?

A. Economic Order Quantity
B. Lot for lot
C.Least total cost
D.Least unit cost
E.ABC analysis

Answer 21

C.Least total cost

Question 22

A cost of quality classification is which of the following?

A.Material costs
B.Prevention costs
C.Variable overhead
D.Direct labor
E.Inventory costs

Answer 22

B.Prevention costs

Question 23

What is a capacity cushion and why would a firm have one?

Answer 23

the capacity cushion is an amount of excess capacity over expected demand maintained by a firm. A firm will typically hold capacity cushions when demand is more rapidly variable than capacity adjustments can be

Question 24

What is the criterion for determining whether a project activity is on the “critical path”

Answer 24

the critical path of activities in a project is the sequence of activities that form the longest chain in terms of their time to complete. The simplest answer would be that perhaps their is a delay in completing the activity will result in a delay in completing the entire project

Question 25

Define yield management. How does it differ from the pure strategies in production planning?

Answer 25

With yield management, we allocate capacity to customers at the right price and time to maximize revenue. Rather than trying to match demand by adjusting our workforce, inventory or production we adjust demand so that it better matches our production capability. The two approaches compliment one another

Question 26

What does it mean when we say that a process is capable?

Answer 26

We say the a process is capable when the mean and standard deviation of the process are operating such that the upper and lower control limits are acceptable relative to the upper and lower specification limits

Question 27

What is sustainability? What can we do at our personal level to promote sustainability?

Answer 27

The ability to meet current resource needs without compromising the ability of future generations to meet their needs. In other words, it is a way of life where our resources are managed well and the big and obvious risks are avoided and a way of life that can continue for generations. At personal level we all can , Walk more and drive (car) less Fly less (by airplanes)  Reduce/ reuse/recycle as much as possible

Question 28

A project may be defined as a series of related jobs directed toward some major output and requiring a significant period of time to perform

Answer 28

True

Question 29

One of the assumptions made using CPM is that project activities can be identified with clear beginning and ending points.

Answer 29

true

Question 30

.The term "assembly line" refers to progressive assembly linked by some material handling device

Answer 30

true

Question 31

What is a work breakdown structure? A. A list of the activities making up the higher levels of the project B. A definition of the hierarchy of project tasks, subtasks, and work packages C. A depiction of the activities making up a project D. A Gantt chart E. A structure that is incompatible with the Critical Path Method

Answer 31

a definition of the hierarchy of project tasks, subtasks, and work packages

Question 32

Which of the following are the three major components of a queuing system? A. The source population, how customers exit the system and the queuing discipline B. The number of servers, the service speed and the waiting line C. The source population, how the customer exits the system and the servicing system. D. The source population and the way customers arrive at the system, the servicing systems, and how customers exit the system. E. The service speed, the queue discipline and the waiting line

Answer 32

the service speed, the queue discipline and the waiting line

Question 33

The main purpose of aggregate operations planning is to specify the optimal combination of which of the following A. Workforce levels and inventory on hand B. Inventory on hand and financing costs for that inventory C. The strategic plan and the products available for sale D. The workforce level and the degree of automation E. Operational costs and the cash flow to support operations

Answer 33

workforce level and inventory on hand