Question 1
A process flowchart uses symbols to represent which of the following?
Factory location
Warehouse space available
Work force schedules
Flows of material or customers
Data analysis
Question 2
An activity-system map is which of the following?
A network guide to route airlines
A listing of activities that make up a project
A diagram that shows how a company’s strategy is delivered to customers
A facility layout schematic noting what is done where
A timeline displaying major planned events
Question 3
When deciding to add capacity to a factory which of the following need not be considered?
Maintaining system balance
The frequency of capacity additions
Use of external capacity
Immediate product demand
Availability of raw materials
Question 4
Which of the following is a basic type of process structure?
Process flow diagram
Product matrix
Process matrix
Workcenter
Manual assembly
Question 5
If the actual output of a piece of equipment during an hour is 500 units and it’s best operating level is at a rate of 400 units per hour, which of the following is the capacity utilization rate?
0.75
1.00
1.25
1.33
100
Question 6
In a workcenter, machine A has a ten minute set-up time per batch and a two minute per unit run time. Machine B performs the identical function but has a set-up time of thirty minutes and a one minute run time per unit. The workcenter makes products in batches ranging from one unit to one hundred units. Assuming capacity is not a limitation on either machine, on which batches should machine B be used?
All batches should be run on machine B
Batches of more than 20 units should be run on machine B
Batches of fewer than 80 units should be run on machine B
Batches with up to 50 units should be run on machine B
No batches should be run on machine B
Question 7
If all you knew about a production system was that total daily output was 400 units and the total labor necessary to produce the 400 units was 350 hours, what kind of productivity measure could you use to compute productivity?
Partial measure
Multifactor measure
Total measure
Global measure
All of the above
Question 8
Capacity planning involving acquisition or disposal of fixed assets such as buildings, equipment or facilities is considered as which one of the following planning horizons?
Intermediate-range
Long-range
Short-range
Current
Upcoming
Question 9
Which following production process term best describes the situation when activities in a stage of production must stop because there is no work?
Blocking
Buffering
Starving
Buffer
Setup time
Question 10
Which of the following is not considered a major process flow structure?
Work Center
Project
Assembly line
Fabrication
Continuous Flow
Question 11
You are hired as a consultant to decide if your client should purchase a new, highly specialized, piece of equipment. The product to be produced by this equipment is forecast to have a total worldwide demand of 15,000 units over the entire product life. The initial investment to acquire and install the equipment is $256,000. The variable cost to produce each unit will be $15 and the selling price for the finished product will be $30. Which of the following best describes the situation the firm is facing?
The company will recover its initial investment
The company’s total margin will be less than its investment
It’s a good investment
The break-even is lower than the 15,000 units that are expected to sell
All of the above
Question 12
An advantage of a make-to-stock process is which of the following?
Rapid delivery of a standard product
All units of output are unique
It responds directly to customer orders
It allows the firm to avoid inventory costs
It combines the best features of other processes
Question 13
Which of the following is not a benefit of a manufacturing cell layout?
Better human relations
Improved operator expertise
Less in-process inventory and material handling
Faster production setup
Reduced cost
Question 14
A process flowchart uses which of the following symbols to represent storage areas or queues in a flow diagram?
Rectangle
Arrow
Inverted triangle
Diamond
A dashed line
Question 15
Which of the following basic types of production layout formats is one which has similar equipment or functions are grouped together?
Production line layout
Assembly line layout
Workcenter layout
Group technology layout
Manufacturing cell layout
Question 16
A difference between project and continuous flow categories of process flow structures is which of the following?
The size of the product
Discrete parts moving from workstation to workstation
Degree of equipment specialization
Being a “Virtual Factory”
Profit per unit
Question 17
To reduce process throughput time you might try which of the following actions?
Outsource activities
Change the sequence of activities
Improve teamwork
Reduce management interference
Introduce incentive pay
Question 18
Which of the following is a partial measure of productivity?
Output/Materials
Output/(Labor + Capital + Energy)
Output/All resources used
Output/Inputs
All of the above
Question 19
Which of the following terms describes the time a unit spends actually being worked on together with the time spent waiting in a queue?
Cycle time
Flow time
Run time
Setup time
Efficiency
Question 20
Which of the following is not a basic type of process structure?
Product-process matrix
Workcenter
Manufacturing cell
Assembly line
Continuous process
Question 21
According to Little’s law, which of the following can be used to estimate inventory?
Process time/Cycle time
Throughput rate times flow time
Process velocity/flow time
Set up time/Throughput rate
Value added time/Process velocity
Question 22
Assume a fixed cost for a process of $15,000. The variable cost to produce each unit of product is $10 and the selling price for the finished product is $25. Which of the following is the number of units that has to be produced and sold to break-even?
500 units
667 units
790 units
900 units
1,000 units
Question 23
Which of the following is a measure of operations and supply management efficiency used by Wall Street?
Dividend payout ratio
Current ratio
Receivable turnover
Earnings per share growth
Financial leverage
Question 24
Which of the following basic types of process structures is one which equipment or work processes are arranged according to the progressive steps by which the product is made?
Project
Workcenter
Manufacturing cell
Assembly line
Continuous process
Question 25
Which of the following best describes the term cycle time?
Average time between completions of successive units
Ratio of the time a resource is activated over its use
Can be no more that 60 minutes
The same as utilization
The labor content of the item being measured
Question 26
A process flowchart uses which of the following symbols to represent a decision point in a flow diagram?
Rectangle
Arrow
Inverted triangle
Diamond
A dashed line
Question 27
Using the assembly-line balancing procedure, which of the following is the theoretical minimum number of workstations if the task times for the six tasks that make up the job are 4, 6, 7, 2, 6, and 5 minutes, and the cycle time is 10 minutes?
3
5
6
8
None of the above
Question 28
The ability to rapidly and inexpensively switch production from one product to another enables what are sometimes referred to as:
Economies of scale
Economies of size
Economies of shape
Economies of scope
Economies of shipping
Question 29
According to Little’s Law, which of the following ratios is used to find flow time?
Cycle time/Process time
Throughput time/Process velocity
Process velocity/Throughput time
Inventory/Throughput rate
Value added time/Process velocity
Question 30
Which of the following basic types of process structures is one which similar equipment or functions are grouped together?
Project
Workcenter
Manufacturing cell
Assembly line
Continuous process
Question 31
To reduce process flow time you might try which of the following actions?
Perform activities in parallel
Change the sequence of activities
Reduce interruptions
Acquire additional equipment
All of the above
Question 32
We would expect to see in a manufacturing cell layout which of the following?
Large teams who collectively do a small part of a finished product
A small team of workers who turn out complete units of work
More in-process inventory
Long production setup times
None of the above
Question 33
You have just determined the actual number of workstations that will be used on an assembly line to be 6 using the assembly-line balancing procedure. The cycle time of the line is 5 minutes and the sum of all that tasks required on the line is 25 minutes. Which of the following is the correct value for the resulting line’s efficiency?
0.500
0.833
0.973
0.990
None of the above
Question 34
A major competitive dimension that forms a company’s strategic operational competitive position in their strategic planning is which of the following?
Cost or price
Focus
Automation
Straddling
Activity-system mapping
Question 35
Which of the following is a total measure of productivity?
Output/Materials
Output/(Labor + Capital + Energy)
Output/Labor
Output/Inputs
All of the above
Question 36
When balancing an assembly line, which of the following is not a way to reduce the longest task time below the required workstation cycle time?
Upgrade the equipment
Assign a roaming helper to support the line
Split the task between two workstations
Speed up the assembly line transfer mechanism
Use a more skilled worker
Question 37
When a company seeks to match the benefits of a successful position while maintaining its existing position in offering customers a variety of differing services, what is this process called?
Operations capability analysis
Straddling
Order qualifying
Order winning
Inter-functional analysis
Question 38
Formulate and use linear programming to solve the following problem. A firm wants to determine how many units of each of two products (products X and Y) they should produce in order to make the most money. The profit from making a unit of product X is $100 and the profit from making a unit of product Y is $80. Although the firm can readily sell any amount of either product, it is limited by its total labor hours and total machine hours available. The total labor hours per week are 800. Product X takes 4 hours of labor per unit and Product Y takes 2 hours of labor per unit. The total machine hours available are 750 per week. Product X takes 1 machine hour per unit and Product Y takes 5 machine hours per unit. Write the constraints and the objective function for this problem, solve for the best mix of product X and Y, and report the maximum value of the objective function. (model formulation 5+solving 8=13 points)