chapter 5 for exam 3
f
A competent operations manager should first eliminate all of the bottlenecks from the process.
t
A firm's actual throughput and profit depend more on the contribution margin generated at the bottleneck than by the contribution margin of each individual product produced.
b
A line balance that is 100% efficient must: A) be using the minimum cycle time. B) be using the theoretical minimum number of work stations. C) also achieve 100% balance delay. D) be producing the theoretical maximum output.
a
A line that produces several items belonging to the same family is called a: A) mixed-model line. B) part family line. C) group technology line. D) cellular line.
t
A mixed-model line produces several items belonging to the same family.
bottleneck
A(n) ________ is an operation that has the lowest effective capacity of any operation in the process, and thus limits the system's output.
mixed model
A(n) ________ line is a product line that produces several items belonging to the same family.
inventory
According to the Theory of Constraints, all the money invested in a system in purchasing things that it intends to sell is ________.
c
In a drum-buffer-rope system, the lot size that moves from one work center to another for additional processing is a(n): A) process batch. B) operations batch. C) transfer batch. D) rope batch.
c
Instead of dividing the total standard time required to assemble each unit by nc to determine the efficiency of a line balance, you could divide by: A) the number of workers times the number of stations. B) the number of tasks plus the number of stations. C) the sum of the task times plus the sum of the idle times. D) (1-balance delay).
profit (margin), bottleneck
Instead of producing products with the highest profit margins, operations managers should focus on the ________ generated at the ________.
f
Lanny discovers that the bottleneck is the riveting machine so he schedules all production around when that machine is available. This is an example of elevating the constraint in the five-step constraint management process.
t
Line balancing applies only to line processes that do assembly work, or to work that can be bundled in many ways to create the jobs for each workstation in the line.
t
Line balancing is the assignment of work to stations in a line to achieve the desired output rate with the smallest number of workstations
f
Line balancing strives to create workstations so that the capacity utilization for the bottleneck is much higher than for the other workstations in the line.
f
Managers should produce products with the highest contribution margins or unit sales, provided they have market demand for them.
fixed
The traditional method of determining contribution margin does not consider ________ costs.
operational expense
The wages paid to workers on the line are categorized as ________ in the Theory of Constraints.
c
There are three consecutive steps in a customer service process. The first two steps are each capable of serving 25 customers per hour while the third step can process only 20 customers per hour. Which of the following statements regarding this system is TRUE? A) The entire system is capable of processing 25 customers per hour. B) There are floating bottlenecks in the system. C) If the first two steps are run at full capacity, then the third step has a waiting line. D) The first and second steps are bottlenecks for the system
t
To generate the maximum output, the cycle time should be set as the longest elemental task time.
floating bottlenecks
Variability of a firm's workload may create ________.
b
What is the definition of "theoretical maximum efficiency"? A) It is the amount by which efficiency falls short of 100 percent. B) It is the efficiency that could be obtained by a solution that achieves the theoretical minimum number of stations. C) It is the maximum time allowed for work on a unit at each station. D) It is alternatively called the desired output rate.
b
Which of the following statements concerning line balancing is TRUE? A) The theoretical minimum number of stations must always be fewer than the actual number. B) The largest number of followers rule assigns (as quickly as possible) those work elements most difficult to fit into a station. C) Selecting the cycle time can never have an effect on line efficiency. D) Increasing the output rate may increase the theoretical minimum number of stations
d
Which one of the following statements about line balancing is BEST? A) If a precedence relationship exists between A and B, they cannot be assigned to the same station. B) If the desired output rate increases, the cycle time also tends to increase. C) The theoretical minimum number of stations can never be achieved, hence the name "theoretical." D) If a line's balance delay is minimized, its efficiency is maximized.
a
Which statement about process batches is BEST? A) One or more transfer batches may combine at the constrain buffer to form a process batch. B) A process batch is used to maximize setups at the bottleneck. C) A process batch must be greater than or equal to market demand. D) Process batches are used to increase lead time.
d
Which statement about transfer batch sizes is BEST? A) Transfer batches are the same size as process batches when arriving at a bottleneck. B) Transfer batches are the same size as process batches when departing from a bottleneck. C) Transfer batches are a convenient way to increase lead time. D) Transfer batches can be as small as one unit.
d
Work should be released into the system when: A) a customer order is received. B) the first step in the process is idle. C) a customer order is completed. D) the bottlenecks need work.
f
Paced lines require that inventory storage areas be placed between stations.
one
Regardless of the number of tasks or their lengths, a line balance efficiency of 100% is possible if the number of stations is ________.
t
Short term capacity planning should be driven by identification and management of bottlenecks.
f
The Theory of Constraints method is also referred to as the drum-buffer-rope method.
t
The balance delay is the amount by which efficiency falls short of 100 percent.
b
The fifth step in Theory of Constraints application, "do not let inertia set in," means that the analyst should: A) create a schedule that maximizes the throughput of the bottlenecks. B) repeat the analysis to identify and manage new set of constraints. C) consider increasing capacity of the bottleneck. D) schedule non-bottleneck resources to support the bottleneck.
t
The first step in applying the Theory of Constraints is to identify the constraint
a
The focus for a process improvement exercise should be on balancing: A) flow. B) capacity. C) workload. D) time.
c
The fourth step in Theory of Constraints application, "elevate the bottleneck(s)," means that the analyst should: A) create a schedule that maximizes the throughput of the bottlenecks. B) repeat the analysis process to look for other bottlenecks. C) consider increasing capacity of the bottleneck. D) schedule non-bottleneck resources to support the bottleneck.
t
The key to preserving bottleneck capacity is to watch them carefully and keep them as busy as practical
t
A bottleneck process has the lowest capacity and the longest total time from the start to the finish.
constant
Any factor that limits the performance of a system and restricts its output is a(n)
f
Any system composed of resources that are operating at maximum output will, by definition, have maximum output for the entire system
capacity
_ is the maximum rate of output of a process or a system.
Drum-buffer-rope (DBR)
__ is a planning and control system that regulates the flow of work-in-process materials at the bottleneck or the capacity constrained resource in a productive system.
balance delay
___ is the amount by which efficiency falls short of 100 percent.
t
A bottleneck is an operation that has the lowest effective capacity of any operation in the process.
a
Balance delay could be described as the: A) amount by which efficiency falls short of 100 percent. B) efficiency that could be obtained by a solution that achieves the theoretical minimum number of stations. C) maximum time allowed for work on a unit at each station. D) desired output rate.
a
Consider consecutive processes A-B-C, where process A has a capacity of 20 units per hour, process B has a capacity of 25 units per hour, and process C has a capacity of 30 units per hour. Where would an operations manager want any inventory? A) in front of process A B) in front of process B C) in front of process C D) Inventory should not exist anywhere.
t
Constraints at any step causes imbalance in the capacity of a process. As a result, the overall performance of a system is affected which in turn leads to low customer satisfaction and loss of money even with high sales level.
production batch, transfer batch
Every time a manufacturer uses one resource, they make a lot size of 300. Once a group of 30 units are completed, they are taken to the next step in the process. The lot of 300 is the ________ and the group of 30 is the ________.
d
The most controversial aspect of line-flow layout is: A) the heuristic decision rules in assigning the next work element. B) the number of models produced. C) the cycle time. D) behavioral response.
d
The process batch at the constraint in a drum-buffer-rope system should be: A) the same size as that at any non-constraint. B) the same size as the transfer batch. C) of such a size as to maximize the number of setups for the constraint. D) of such a size as to improve utilization of the constraint.
t
The process with the least capacity is called a bottleneck if its output is less than market demand.
a
The second step in Theory of Constraints application, "exploit the bottleneck(s)," means that the analyst should: A) create a schedule that maximizes the throughput of the bottlenecks. B) repeat the analysis process to look for other bottlenecks. C) consider increasing capacity of the bottleneck. D) schedule non-bottleneck resources to support the bottleneck.
b
The third step in Theory of Constraints application, "subordinate all other decisions to Step 2," means that the analyst should: A) wait for authorization before proceeding with any system-wide changes. B) schedule non-bottleneck resources to support the bottleneck schedule. C) seek to increase capacity of only the bottleneck resources. D) seek to increase capacity of both the bottleneck and non-bottleneck resources.
Cycle time
is the maximum time allowed for work on a unit at each station.
Throughput time
is the total time taken from the start to the finish of a process.
