Quiz Chapter 11 Process Design and Analysis

A bottleneck occurs when a stage in a production process is starving. True False

False A bottleneck is the activity in a process that limits the overall capacity of the process.

A process flowchart uses which of the following symbols to represent flows of material or customers in a flow diagram? A dashed line Inverted triangle Diamond Arrow Rectangle

Arrow Tasks are shown as rectangles, flows as arrows, and the storage of goods or other items as inverted triangles.

Which of the following best describes the term "cycle time"? The labor content of the item being measured The same as utilization 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

Average time between completions of successive units The cycle time of a repetitive process is the average time between completions of successive units.

To reduce process throughput time, you might try which of the following actions? Outsource activities. Introduce incentive pay Improve teamwork. Change the sequence of activities. Reduce management interference.

Change the sequence of activities. Following are some suggestions for reducing the flow time of a process that do not require the purchase of new equipment. Often, a combination of ideas is appropriate. (Note that acquiring new equipment can also reduce flow time.)Perform activities in parallel.Change the sequence of activities.Reduce interruptions.

Make-to-order production processes are well suited for high-volume production of a standardized product. True False

False A highly efficient make-to-stock process that produces standard products that can be delivered quickly.

A diamond is conventionally used in a process flowchart to represent a storage area or queue. True False

False Decision points are depicted as a diamond with the different flows running from the points on the diamond.

McDonald's fast-food restaurants use a make-to-order production process. True False

False In the case of McDonald's, in 1999 the company converted to a new make-to-order process, but the company has now revised that into a "hybrid" system.

Utilization of a production process is the ratio of output to input. True False

False Utilization is the ratio of the time that a resource is actually activated relative to the time that it is available for use.

A process flowchart uses symbols to represent which of the following? Flows of material or customers Workforce schedules Factory location Warehouse space available Data analysis

Flows of material or customers See Exhibit 10.1, legend: Flowchart Symbols.

According to Little's law, which of the following ratios is used to find flow time? Value-added time/Process velocity Inventory/Throughput rate Process velocity/Throughput time Cycle time/Process time Throughput time/Process velocity

Inventory/Throughput rate Little's law says there is a long-term relationship among the inventory, throughput, and flow time of a production system in steady state. The relationship is: Inventory = Throughput rate × Flow time. Hence, Flow time = Inventory/Throughput rate.

A process flowchart uses which of the following symbols to represent storage areas or queues in a flow diagram? Inverted triangle Rectangle A dashed line Arrow Diamond

Inverted triangle Tasks are shown as rectangles, flows as arrows, and the storage of goods or other items as inverted triangles.

An advantage of a make-to-stock process is which of the following? It allows the firm to avoid inventory costs. All units of output are unique. It combines the best features of other processes. It features rapid delivery of a standard product. It responds directly to customer orders.

It features rapid delivery of a standard product. A make-to-stock process produces standard products that can be delivered quickly.

Consider a three sequentially stepped process named as Process A, Process B and Process C. Input comes into Process A. Output form A goes into Process B. Output from B goes into Process C. Output of C is the final output. Suppose that it takes 2 minutes per unit in Process A, 3 minutes per unit in Process B and 1 minute per unit in Process C. Suppose further that Process A receives input at the rate of 30 per hour. Which process will be experiencing starving? Process B and Process C None Process A Process B Process C

Process C Process A takes 2 minutes per unit and hence can process (60/2) = 30 units 30 per hour. Process B can process only (60/3) = 20 per hour. Process C can handle (60/1) = 60 units per hour. Process C will be starving, since it will get a unit only once in 3 minutes, whereas it can handle one every minute.

A process flowchart uses which of the following symbols to represent tasks or operations in a flow diagram? Diamond A dashed line Rectangle Arrow Inverted triangle

Rectangle Tasks are shown as rectangles, flows as arrows, and the storage of goods or other items as inverted triangles.

Which of the following production process terms best describes the situation when activities in a stage of production must stop because there is no work? Buffer Blocking Starving Setup time Buffering

Starving Starving occurs when the activities in a stage must stop because there is no work.

Process analysis can help answer many important questions such as how many customers can a process handle per hour. True False

True Analyzing a process allows some important questions to be answered, such as this: How many customers can the process handle per hour?

Inventory turn is the cost of goods sold divided by the average inventory value. True False

True Another measure is the firm's inventory turn, which is the cost of goods sold divided by the average inventory value.

Efficiency of a production process is the ratio of the actual output of a process to some standard. True False

True Efficiency is a ratio of the actual output of a process relative to some standard.

Productivity in a production process can be measured by the ratio of output to input. True False

True Productivity is the ratio of output to input.