Chapter 6

How can a reduction of in-transit inventory be encouraged? A) supplier location near plants B) high setup costs C) low carrying costs D) use of trains, not trucks E) low-cost, global suppliers

A

Which of the following is specifically characterized by continuous and forced problem solving via a focus on throughput and reduced inventory? A) Just-in-time (JIT) B) Toyota Production System (TPS) C) Lean operations D) Material requirements planning (MRP)

A

Characteristics of just-in-time partnerships do NOT include: A) removal of in-transit inventory. B) large lot sizes to save on setup costs and to gain quantity discounts. C) long-term contracts. D) produce with zero defects. E) focus on core competencies.

B

Which one of the following is NOT a layout tactic in a JIT environment? A) work cells for families of products B) fixed equipment C) minimizing distance D) little space for inventory E) poka-yoke devices

B

Which one of the following statements is TRUE regarding JIT inventory? A) It exists just in case something goes wrong. B) It is the minimum inventory necessary to keep a perfect system running. C) It hides variability. D) It is minimized with large lot production. E) It increases if setup costs decrease.

B

Which of the following is NOT a source of variability? A) Employees, machines, and suppliers produce units late. B) Customer demand is unknown. C) Employees, machines, and suppliers produce units that conform to standards. D) Engineering drawings are inaccurate. E) Drawings or specifications are incomplete.

C

Which of the following is NOT one of the Seven Wastes? A) overproduction B) transportation C) assignment D) defective product E) motion

C

Which of the following is specifically characterized by the elimination of waste through a focus on exactly what the customer wants? A) Just-in-time (JIT) B) Toyota Production System (TPS) C) Lean operations D) Material requirements planning (MRP) E) kanban

C

Which of the following statements regarding a pull system is TRUE? A) Large lots are pulled from upstream stations. B) Work is pulled to the downstream stations before it is actually needed. C) Manufacturing cycle time is increased. D) Problems become more obvious. E) None of the above is true of a pull system.

D

In JIT partnerships, suppliers have several concerns. Which of the following is NOT such a concern? A) desire for diversification B) poor customer scheduling C) small lot sizes D) producing high enough quality levels E) customers' infrequent engineering changes

E

Just-in-time systems make demands on layouts, including the need for: A) distance reduction. B) increased flexibility. C) reduced space and inventory. D) cross-trained, flexible employees. E) all of the above

E

Which of the following is NOT a goal of JIT partnerships? A) removal of unnecessary activities B) removal of in-plant inventory C) removal of in-transit inventory D) obtain improved quality and reliability E) All of the above are goals of JIT partnerships.

E

Which of the following is generally found in most lean environments? A) a push or pull system, depending upon the rate of demand B) a push system for high margin items and a pull system for low margin items C) a push system for purchased parts and a pull system for manufactured parts D) push systems E) pull systems

E

`Manufacturing cycle time is best defined as the: A) length of the work shift, expressed in minutes per day. B) time it takes a unit to move from one workstation to the next. C) time between the start of one unit and the start of the next unit. D) sum of all the task times to make one unit of a product. E) time from raw materials receipt to finished product exit.

E

In a JIT system, product inspection adds value by identifying defective items.

False

JIT systems carry inventory just in case something goes wrong.

False

With level schedules, a few large batches, rather than frequent small batches, are processed

False

TPS stands for Toyota Production System.

True

A push system means providing the next station with exactly what is needed when it is needed.

false

Increasing inventory exposes variability in production processes

false

JIT brings about competitive advantage by faster response to the customer regardless of cost.

false

Level scheduling means producing at a constant rate, regardless of customer demands.

false

A kanban system requires that the process has little variability in lead time because shortages impact the entire production system.

true

Hidden problems are generally uncovered during the process of reducing inventory.

true

Many suppliers feel that having a variety of customers is better than being tied to long-term contracts with one customer.

true

One goal of JIT partnerships is the removal of in-plant inventory by delivery in small lots directly to the using department as needed.

true

The 5Ss—sort/segregate, simplify/straighten, shine/sweep, standardize, and sustain/self discipline—are important to lean production because they act as a means to reduce waste.

true

The first step in reducing setup times is the separation of setup into preparation activities and actual setup, so that as much work as possible can be done while the machine or process is operating.

true

Variability in manufacturing can occur because engineering drawings or specifications are incomplete or inaccurate.

true

Waste is anything that does not add value from the consumer's perspective.

true

When implemented as a comprehensive operations strategy, JIT, TPS, and lean systems sustain competitive advantage and result in increased overall returns.

true