14 Aug Question 1 1. A good layout requires determining Answer material handli

Question 1
1.

A good layout requires determining
Answer

material
handling requirements.

capacity
and space requirements.

environment
and aesthetics.

cost
of moving between various work areas.

all
of the above.

4 points
Question 2
1.

Because the fixed-position layout problem is so difficult to
solve on-site, operations managers
Answer

virtually
never employ this layout strategy.

utilize
this approach only for construction projects such as bridges and office
towers.

increase
the size of the site.

often
complete as much of the project as possible off-site.

utilize
this layout only for defense contractors

4 points
Question 3
1.

A process-oriented layout is best suited for
Answer

the
assembly of products like automobiles and appliances.

the
mass production of uniform products.

high-volume,
low-variety production.

low-volume,
high-variety production.

construction
of a ship.

4 points
Question 4
1.

The objective of a human resource strategy is to
Answer

produce
the demand forecast at lowest labor cost.

match
employment levels with demand.

achieve
a reasonable quality of work life at low cost.

manage
labor and design jobs so people are effectively and efficiently utilized.

all
of the above.

4 points
Question 5
1.

Four of the components of job design are
Answer

employment
stability, work schedules, work sampling, motivation and incentive systems.

job
specialization, job expansion, psychological components, and self-directed
teams.

labor
specialization and enrichment, motivation and incentive systems, employment
stability, and work sampling.

ergonomics
and work methods, method time measurement, work schedules, and incentive
systems.

labor
specialization, time studies, work sampling, and pre-determined time
standards.

4 points
Question 6
1.

The difference between job enrichment and job enlargement is
that
Answer

enlarged
jobs involve vertical expansion, while enriched jobs involve horizontal
expansion.

enriched
jobs enable an employee to do a number of boring jobs instead of just one.

job
enlargement is more psychologically satisfying than job enrichment.

job
enrichment is suitable for all employees, whereas job enlargement is not.

enriched
jobs involve vertical expansion, while enlarged jobs involve horizontal
expansion.

4 points
Question 7
1.

One dollar saved in the supply chain is
Answer

equivalent
to a dollar earned in sales revenue.

worth
even more than a dollar earned in sales revenue.

worth
slightly more than a dollar earned because of taxes.

worth
from 35% in the technical instrument industry to 70% in the food products
industry.

only
worthwhile if you are in the 50% tax bracket and still have a low profit
margin.

4 points
Question 8
1.

With the growth of JIT, which of the following distribution
systems has been the biggest loser?
Answer

trucking

railroads

air
freight

waterways

pipelines

4 points
Question 9
1.

A furniture maker has delivered a dining set directly to the end
consumer rather than to the furniture store. The furniture maker is practicing
Answer

postponement.

drop
shipping.

channel
assembly.

passing
the buck.

float
reduction.

4 points
Question 10
1.

Which of the following is a function of inventory?
Answer

to
decouple or separate parts of the production process

to
decouple the firm from fluctuations in demand and provide a stock of goods
that will provide a selection for customers

to
take advantage of quantity discounts

to
hedge against inflation

All
of the above are functions of inventory.

4 points
Question 11
1.

Most inventory models attempt to minimize
Answer

the
likelihood of a stockout.

the
number of items ordered.

total
inventory based costs.

the
number of orders placed.

the
safety stock.

4 points
Question 12
1.

Among the advantages of cycle counting is that it
Answer

makes
the annual physical inventory more acceptable to management.

does
not require the detailed inventory records necessary when annual physical
inventory is used.

does
not require highly trained people.

allows
more rapid identification of errors and consequent remedial action than is
possible with annual physical inventory.

does
not need to be performed for less expensive items.

4 points
Question 13
1.

Aggregate planning is capacity planning for
Answer

the
long range.

the
intermediate range.

the
short range.

typically
one to three months.

typically
one or more years.

4 points
Question 14
1.

Which of the following aggregate planning strategies is most
likely to lower employee morale?
Answer

varying
work force size by hiring or layoffs

varying
production rates through overtime or idle time

using
part-time workers

back
ordering during high demand periods

subcontracting

4 points
Question 15
1.

Which of the following statements about aggregate planning is
true?
Answer

Advertising/promotion
is a way of manipulating product or service supply.

Work
station loading and job assignments are examples of aggregate production
planning.

Overtime/idle
time is a way of manipulating product or service demand.

Aggregate
planning uses the adjustable part of capacity to meet production
requirements.

All
of the above are true.

4 points
Question 16
1.

A material requirements plan contains information with regard to
all of the following except
Answer

quantities
and required delivery dates of all subassemblies.

quantities
and required delivery dates of final products.

the
capacity needed to provide the projected output rate.

inventory
on hand for each final product.

inventory
on hand for each subassembly.

4 points
Question 17
1.

A major strength of MRP is its capability
Answer

to
minimize labor hours used in production.

for
timely and accurate replanning.

to
reduce lead times.

to
maximize production throughput.

to
minimize scrap.

4 points
Question 18
1.

Material requirements plans specify
Answer

the
quantities of the product families that need to be produced.

the
quantity and timing of planned order releases.

the
capacity needed to provide the projected output rate.

the
costs associated with alternative plans.

whether
one should use phantom bills of materials or not.

4 points
Question 19
1.

Which scheduling technique should be employed when due dates are
important for a job order?
Answer

forward
scheduling

loading

dispatching

backward
scheduling

master
scheduling

4 points
Question 20
1.

Which of the following techniques does not contribute to
increasing throughput at a bottleneck?
Answer

schedule
throughput to match capacity of the bottleneck

increase
capacity of constraint

have
cross-trained employees available to operate the constraint

develop
alternate routings

move
inspections and tests to a position immediately after the bottleneck

4 points
Question 21
1.

Flow time represents the time
Answer

an
order spends waiting for processing at a work center.

an
order spends being processed at a work center.

an
order spends moving from one work center to another.

to
complete an order, including time spent in processing and in waiting.

none
of the above.

4 points
Question 22
1.

The priority rule which processes jobs according to the smallest
ratio of due date to processing time is:
Answer

critical
ratio.

earliest
due date.

first
come, first serve.

longest
processing time.

shortest
processing time.

4 points
Question 23
1.

Which of the following statements regarding critical paths is
true?
Answer

The
shortest of all paths through the network is the critical path.

Some
activities on the critical path may have slack.

Every
network has exactly one critical path.

On
a specific project, there can be multiple critical paths, all with exactly
the same duration.

The
duration of the critical path is the average duration of all paths in the
project network.

4 points
Question 24
1.

Which of the following statements regarding project management
is true?
Answer

Both
PERT and CPM require that network tasks have unchanging durations.

Shortening
the project by assigning more resources to one or more of the critical tasks
is called “project crashing.”

Crashing
need not consider the impact of crashing an activity on other paths in the
network.

Project
crashing is an optimizing technique.

Crash
cost depends upon the variance of the activity to be crashed.

4 points
Question 25
1.

Which of the following statements regarding PERT times is true?
Answer

The
optimistic time estimate is an estimate of the minimum time an activity will
require.

The
optimistic time estimate is an estimate of the maximum time an activity will
require.

The
probable time estimate is calculated as t = (a + 4m +b)/5.

Pessimistic
time estimate is an estimate of the minimum time an activity will require.

Most
likely time estimate is an estimate of the maximum time an activity will
require.

Question 11.
A good layout requires determiningAnswermaterial
handling requirements.capacity
and space requirements.environment
and aesthetics.cost
of moving between various work areas.all
of the above.4 points Question 21.
Because the fixed-position layout problem is so difficult to
solve on-site, operations managersAnswervirtually
never employ this layout strategy.utilize
this approach only for construction projects such as bridges and office
towers.increase
the size of the site.often
complete as much of the project as possible off-site.utilize
this layout only for defense contractors4 points Question 31.
A process-oriented layout is best suited forAnswerthe
assembly of products like automobiles and appliances.the
mass production of uniform products.high-volume,
low-variety production.low-volume,
high-variety production.construction
of a ship.4 points Question 41.
The objective of a human resource strategy is toAnswerproduce
the demand forecast at lowest labor cost.match
employment levels with demand.achieve
a reasonable quality of work life at low cost.manage
labor and design jobs so people are effectively and efficiently utilized.all
of the above.4 points Question 51.
Four of the components of job design areAnsweremployment
stability, work schedules, work sampling, motivation and incentive systems.job
specialization, job expansion, psychological components, and self-directed
teams.labor
specialization and enrichment, motivation and incentive systems, employment
stability, and work sampling.ergonomics
and work methods, method time measurement, work schedules, and incentive
systems.labor
specialization, time studies, work sampling, and pre-determined time
standards.4 points Question 61.
The difference between job enrichment and job enlargement is
thatAnswerenlarged
jobs involve vertical expansion, while enriched jobs involve horizontal
expansion.enriched
jobs enable an employee to do a number of boring jobs instead of just one.job
enlargement is more psychologically satisfying than job enrichment.job
enrichment is suitable for all employees, whereas job enlargement is not.enriched
jobs involve vertical expansion, while enlarged jobs involve horizontal
expansion.4 points Question 71.
One dollar saved in the supply chain isAnswerequivalent
to a dollar earned in sales revenue.worth
even more than a dollar earned in sales revenue.worth
slightly more than a dollar earned because of taxes.worth
from 35% in the technical instrument industry to 70% in the food products
industry.only
worthwhile if you are in the 50% tax bracket and still have a low profit
margin.4 points Question 81.
With the growth of JIT, which of the following distribution
systems has been the biggest loser?Answertruckingrailroadsair
freightwaterwayspipelines4 points Question 91.
A furniture maker has delivered a dining set directly to the end
consumer rather than to the furniture store. The furniture maker is practicingAnswerpostponement.drop
shipping.channel
assembly.passing
the buck.float
reduction.4 points Question 101.
Which of the following is a function of inventory?Answerto
decouple or separate parts of the production processto
decouple the firm from fluctuations in demand and provide a stock of goods
that will provide a selection for customersto
take advantage of quantity discountsto
hedge against inflationAll
of the above are functions of inventory.4 points Question 111.
Most inventory models attempt to minimizeAnswerthe
likelihood of a stockout.the
number of items ordered.total
inventory based costs.the
number of orders placed.the
safety stock.4 points Question 121.
Among the advantages of cycle counting is that itAnswermakes
the annual physical inventory more acceptable to management.does
not require the detailed inventory records necessary when annual physical
inventory is used.does
not require highly trained people.allows
more rapid identification of errors and consequent remedial action than is
possible with annual physical inventory.does
not need to be performed for less expensive items.4 points Question 131.
Aggregate planning is capacity planning forAnswerthe
long range.the
intermediate range.the
short range.typically
one to three months.typically
one or more years.4 points Question 141.
Which of the following aggregate planning strategies is most
likely to lower employee morale?Answervarying
work force size by hiring or layoffsvarying
production rates through overtime or idle timeusing
part-time workersback
ordering during high demand periodssubcontracting4 points Question 151.
Which of the following statements about aggregate planning is
true?AnswerAdvertising/promotion
is a way of manipulating product or service supply.Work
station loading and job assignments are examples of aggregate production
planning.Overtime/idle
time is a way of manipulating product or service demand.Aggregate
planning uses the adjustable part of capacity to meet production
requirements.All
of the above are true.4 points Question 161.
A material requirements plan contains information with regard to
all of the following exceptAnswerquantities
and required delivery dates of all subassemblies.quantities
and required delivery dates of final products.the
capacity needed to provide the projected output rate.inventory
on hand for each final product.inventory
on hand for each subassembly.4 points Question 171.
A major strength of MRP is its capabilityAnswerto
minimize labor hours used in production.for
timely and accurate replanning.to
reduce lead times.to
maximize production throughput.to
minimize scrap.4 points Question 181.
Material requirements plans specifyAnswerthe
quantities of the product families that need to be produced.the
quantity and timing of planned order releases.the
capacity needed to provide the projected output rate.the
costs associated with alternative plans.whether
one should use phantom bills of materials or not.4 points Question 191.
Which scheduling technique should be employed when due dates are
important for a job order?Answerforward
schedulingloadingdispatchingbackward
schedulingmaster
scheduling4 points Question 201.
Which of the following techniques does not contribute to
increasing throughput at a bottleneck?Answerschedule
throughput to match capacity of the bottleneckincrease
capacity of constrainthave
cross-trained employees available to operate the constraintdevelop
alternate routingsmove
inspections and tests to a position immediately after the bottleneck4 points Question 211.
Flow time represents the timeAnsweran
order spends waiting for processing at a work center.an
order spends being processed at a work center.an
order spends moving from one work center to another.to
complete an order, including time spent in processing and in waiting.none
of the above.4 points Question 221.
The priority rule which processes jobs according to the smallest
ratio of due date to processing time is:Answercritical
ratio.earliest
due date.first
come, first serve.longest
processing time.shortest
processing time.4 points Question 231.
Which of the following statements regarding critical paths is
true?AnswerThe
shortest of all paths through the network is the critical path.Some
activities on the critical path may have slack.Every
network has exactly one critical path.On
a specific project, there can be multiple critical paths, all with exactly
the same duration.The
duration of the critical path is the average duration of all paths in the
project network.4 points Question 241.
Which of the following statements regarding project management
is true?AnswerBoth
PERT and CPM require that network tasks have unchanging durations.Shortening
the project by assigning more resources to one or more of the critical tasks
is called “project crashing.”Crashing
need not consider the impact of crashing an activity on other paths in the
network.Project
crashing is an optimizing technique.Crash
cost depends upon the variance of the activity to be crashed.4 points Question 251.
Which of the following statements regarding PERT times is true?AnswerThe
optimistic time estimate is an estimate of the minimum time an activity will
require.The
optimistic time estimate is an estimate of the maximum time an activity will
require.The
probable time estimate is calculated as t = (a + 4m +b)/5.Pessimistic
time estimate is an estimate of the minimum time an activity will require.Most
likely time estimate is an estimate of the maximum time an activity will
require.

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