OPERATIONS MANAGEMENT C215 (210 QUESTIONS AND ANSWERS) 2024 LATEST UPDATED GRADED 100% PAS, Exams of Production and Operations Management

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OPERATIONS MANAGEMENT C215 (

QUESTIONS AND ANSWERS) 2024 LATEST

UPDATED GRADED 100% PASS.

One common definition of quality is __________, which focuses on measuring how well the product or service meets targets and tolerances determined by its designers. - answer conformance to specifications What is fitness for use? - answer It evaluates how well the product performs for its intended use. The cost of defect correction - answer is less costly the earlier defects are found. Costs of quality inspections, testing, auditing, and test equipment are examples of _____________ costs. - answer appraisal Warranty claims, customer complaints, and costs of litigation are examples of __________ costs. - answer external failure According to Dr. Taguchi's view of quality, - answer as conformance values move away from the target, loss increases as a quadratic function. __________________ is the philosophy that seeks to improve quality by eliminating the causes of product defects. - answer Total quality management Who coined the saying "quality is free"? - answer Philip Crosby A chart used in TQM that identifies potential causes of particular quality problems is called a - answer cause-and-effect diagram. The purpose of the ISO 9000 is to - answer establish international quality standards.

ISO 14000 provides tools to identify and report on the adverse impacts of business, including systems and standards for promoting - answer environmental responsibility. Which of the following is a common cause for TQM failure? - answer Lack of top management support Companies that have attained the benefits of TQM have developed a process to identify - answer the meaning of customer-defined quality. TQM is a complete philosophy that has to be - answer embraced with true belief. What is the term for inspecting a random sample of an output from a process and determining if it produces products within a predetermined range? - answer Statistical process control What are the two causes of variation? - answer Common and assignable Which of the following is an example of common causes of variation? - answer Slight differences in machines What are assignable causes of variation? - answer Causes that can be identified and eliminated What happens when a plot of data falls outside preset control limits? - answer The process is out of control. A control chart for ______________ is used to monitor characteristics that can be measured and have a continuous scale. - answer variables A control chart for ______________ is used to monitor characteristics that have discrete values and can be counted. - answer attributes What process width is typically used when computing the process capability index Cp? - answer 6σ What does a Cp = 1 tell us? - answer It means that the process variability just meets specifications; the process is minimally capable.

Economies of scale occur when a company is operating - answer below its best operating level and increases its output. The capacity of a business can be changed by either __________ or __________ the amount of capacity. - answer expanding; reducing What is a capacity cushion? - answer It is an amount of capacity added to the needed capacity in order to provide greater flexibility. Alternatives to capacity requirements fall into which of the following categories? - answer Do nothing; expand large now; expand small now, with option to add later. Capacity planning decisions are a three-step process; what are the three steps? - answer (1) identify capacity requirements, (2) develop capacity alternatives, and (3) evaluate capacity alternatives A disadvantage of globalization is - answer political risks for countries with unstable governments. Companies consider many factors in location analysis. Which of the following factors needs to be considered by companies trying to recruit high-caliber employees? - answer Quality-of-life issues Companies consider many factors in location analysis. Which of the following factors needs to be considered by companies trying to reduce transportation cost? - answer Proximity to suppliers Which of the following is a benefit of globalization? - answer Taking advantage of foreign markets What factor in globalization has encouraged suppliers and manufacturers to locate near each other? - answer Just-in-time manufacturing The ease with which the product can be made is its - answer manufacturability What is Reverse engineering? - answer Acquiring a competitor's product and studying its design features

Which of the following are the steps in the product design process? - answer Idea development, product screening, preliminary design & testing, and final design Which one of these refers to reducing the number of parts and features of the product whenever possible? - answer Design simplification What refers to the use of common and interchangeable parts? - answer Design standardization _____________ is a series of guidelines to follow in order to produce a product easily and profitably. - answer Design for manufacture What are the stages of the product life cycle? - answer Introduction, growth, maturity, and decline Building a bridge over the Mississippi River for a new highway uses a _______ process. - answer project Which of the following choices of process types shows the degree of product standardization from lowest to highest? - answer Project, batch, line, continuous What processes are used to produce a variety of products with different processing requirements in lower volumes? - answer Intermittent Which strategy produces products to customer specification after an order has been received? - answer Make-to-order Throughput time is - answer the average amount of time a product takes to move through the system. Productivity is - answer a measurement of how well a company uses its resources. Efficiency is - answer a measurement of performance relative to a standard. What type of operations focus on products in the late stage of the life cycle? - answer Repetitive

Which of the following is characteristic of a product layout as compared to a process layout? - answer Space requirements for inventory storage are lower. What is a process layout? - answer A layout that groups resources based on similar processes or functions. Which of the following is TRUE about ALDEP and CRAFT? - answer These are names of software packages used in layout planning. Studies mentioned in the text have shown that workers that are in close proximity to each other are more likely to - answer have greater understanding, tolerance, and trust for one another. What is a layout that can be easily modified to meet changing demand? - answer Flexible layout Which of the following are special cases of process layout? - answer Warehouse and office layouts ________________ is one of the key trade-offs in office layouts. - answer Privacy versus proximity Which of the following is TRUE about storage areas of equal size in warehouse layouts? - answer The goal is to locate the departments with the highest number of trips closest to the dock. What is the term for the maximum amount of time each workstation has to complete its assigned task? - answer Cycle time The goal of determining the output rate is to design a ______________ _____________ that can produce the desired number of units with the ______________ amount of work centers and a/an ______________ of workload. - answer product layout; least; balance Hybrid layouts combine characteristics of which two types of layouts? - answer Product and process What is the process of creating clusters of products based on similar processing requirements? - answer Group technology layouts

Work measurement is a process for evaluating employee - answer performance. What is the approach to job design that involves an increase in responsibility for work planning and/or inspection? - answer Job enrichment The approach that details the tasks of a job and how to do them is - answer methods analysis. Which of the following represents three separate team approaches to job design? - answer Problem-solving, special-purpose, and self-directed Which of the following values for performance rating factor would be for an above-average work pace? - answer 1. If a worker's performance is below average, the worker may need - answer to be retrained. Which of the following is an advantage of using standard elemental times?

• answer It eliminates workplace disruptions caused by making time studies. What is the PFD job-based allowance factor if PFD = 12%? - answer 1. The first unit of a product took 400 hours to complete. If an 80% learning curve is expected, how long will the 18th unit take to complete? - answer 157.6 hours Time-based compensation systems are used when - answer measuring output per employee is not applicable. _________ sharing emphasizes the costs of outputs rather than profit levels. - answer Gain Which of the following is a disadvantage of group incentive systems? - answer Free-riders

When customer demand changes daily, what is a strategy to meet demand? - answer Floating workers When an employee isn't present until they are needed, they are on - answer call. Scheduling is the _______ planning that occurs before the actual execution of the plan. - answer final JIT requires compact layouts and increased visibility so - answer everyone can see what everyone else is doing. The central belief of the JIT philosophy is - answer elimination of waste. An employee who will not help a customer because "it is not my job" violates the JIT belief of - answer a broad view of operations. Three basic elements work together to complete a JIT system: just-in-time manufacturing, total quality management, and - answer respect for people. Quality is defined by the - answer customer. JIT believes in developing __________ relationships with suppliers. - answer long-term Which is TRUE about JIT manufacturing? - answer It relies on a coordination system called kanban that withdraws parts from a previous work center and moves them to the next. Which is TRUE about JIT manufacturing? - answer Low setup times in JIT mean that small lot sizes of products can be produced as needed and that production lead times will be shorter. Which of the following is TRUE about JIT manufacturing? - answer JIT relies on a pull system. If products are not requested, they are not produced. According to JIT, workers should perform - answer routine preventive maintenance activities.

The notion that the root cause of quality problems needs to be identified is - answer quality at the source. Just-in-time relies on ___________ worker skills, meaning the ability of workers to perform many different tasks on many different machines. - answer cross functional Which of the following is considered to be a key element of JIT supplier relationships? - answer Suppliers located near the customer In JIT, the role of production worker is to - answer be actively engaged. Managers take on more of a supportive function in the JIT environment. Aside from being a coach and motivator, assisting with teamwork and problem solving, what is the MOST important thing managers can do for employees to help facilitate implementing JIT? - answer Create cultural change Which of the following is a role of management in JIT? - answer Develop an incentive system. Which of the following is a benefit of JIT? - answer Increased productivity What is one reason that companies fail to gain the benefits of JIT? - answer They do not implement the culture necessary. Which of the following is true about JIT implementation? - answer Managers develop reward systems for ideas and team cooperation. The challenge for service operations is _____ their production ________ demand. - answer synchronizing; with How can services improve quality through JIT? - answer Building quality into the process The use of __________ in service operations helps improve quality and customer responsiveness. - answer multifunctional workers

The first step to implementing a strategic, integrated supply chain is to - answer analyze your current supply chain. When implementing supply chain management a company must _________ to inform continuous improvement. - answer track performance Which of the following are examples of traditional measures of supply chain performance? - answer Revenue growth, market share, ROI The __________ is an effort to standardize measurement of supply chain performance. - answer Supply Chain Operations Reference (SCOR) What do we call purchased items or extracted materials that will be transformed into components or products? - answer Raw materials inventory Hand tools, lubricants, and cleaning supplies are usually examples of what? - answer Maintenance, repair, and operating inventory What does customer service mean in inventory management? - answer Whether or not a product is available What are the three areas for Inventory objectives? - answer Customer service, cost-efficient operations, and minimum inventory investment What measurement does a company use for its minimum inventory investment? - answer Inventory turnover What level of average inventory must be maintained on hand to provide 4 hours of production supply if the average material consumption rate is 12 units per hour? - answer 48 units Holding costs have three components: capital, storage, and - answer risk costs. Ordering costs are fixed costs for placing an order with a supplier or - answer setup costs for in-house production. Shortage costs are incurred when - answer demand exceeds supply.

What do you call it when you delay delivery to the customer until the item becomes available? - answer Back order ABC inventory classification is - answer a method for determining the level of control and frequency of review. What is the purpose of periodic counting? - answer To satisfy auditors that inventory records match on-hand values Which of the following techniques for determining order quantity entails ordering exactly what is needed? - answer Lot-for-lot As safety stock increases, - answer the customer service level increases and inventory investment increases. How can both the just-in-time (JIT) and EOQ inventory theories effectively be reconciled? - answer By considering the setup cost as a variable instead of a parameter. Which of the following is used in determining the order quantity in the periodic review system? - answer Target inventory level In a periodic review inventory system, how many units are ordered? - answer Target inventory level - on-hand balance A company's __________ plan is a statement of the resources available to the operations group during the next 6 to 18 months. - answer aggregate A strategic plan provides direction and objectives for - answer 2 to 10 years. Sales and operations planning enables - answer disciplined and formalized communications. Shifting demand is a proactive marketing approach in aggregate planning that involves - answer leveling demand fluctuations with incentives for consumers.

If your firm has 5 employees and each employee can ship 10 computers a day, how many employees will you need to ship 300 computers, assuming a level production plan and a five day work week? - answer 6 All ERP modules use - answer a common database. What was a disadvantage of first-generation ERP systems? - answer Providing only a snapshot in time A benefit of the single information source of ERP is that it - answer improves organizational information flow. The two motivations for ERP implementation are - answer technological and operational. Which of the following is an intangible benefit of ERP? - answer Improved visibility of corporate data How much can companies expect to spend on consultants versus what they spend on the ERP system? - answer Three times as much What are two of the most critical factors for successful ERP implementation? - answer Leadership and top management commitment _______________ MRP is an MRP system that includes production planning, master production scheduling, and capacity requirements planning. - answer Closed-loop Which of the following statements is TRUE of material resource planning? - answer Its objective is to determine the quantity and timing of material requirements. Independent demand is the demand for - answer finished products. For every scheduled receipt in an MRP table, there is also in the organization a(n) - answer order that has been placed but not yet been received. What is an action notice? - answer An output from the MRP system for action

Companies use _________ to determine whether a proposed ERP is feasible. - answer rough-cut capacity planning Capacity requirements planning enables the company to evaluate - answer how well it is using its critical work centers. Projects have _______________ and consume _______________. - answer a specific time period; resources Which phase in the project life cycle involves carrying out the activities that make up the project? - answer Execution What does PERT mean? - answer Program evaluation and review technique Actions that consume resources and/or time are project - answer activities. If a delay in an activity will delay completion of the whole project, the activity - answer is on the critical path. When monitoring the progress of a project, it is important to focus on - answer activities on the critical path. Project managers employ change control boards to - answer manage changes to the project. An advantage of using probabilistic time estimates is the ability to predict the probability of - answer project completion dates. You may be able to speed up completion of a project by - answer making additional resources available What is the reduction of completion time for a project? - answer Crashing The critical chain approach is based on - answer the theory of constraints. In the critical chain approach, because project activities are uncertain, _________ is added. - answer safety time.