CPIM MODULE 6 N & O
There will be idle capacity at some work centers unless rescheduled. Rationale When an order is released, and all resources are not available, WIP levels are higher, orders miss due dates, customers are left unsatisfied, and holes in the production schedule need to be filled.
After an order is released, it turns out that not all of the resources needed are available. What will happen next? Answers Dispatching will arrange this order to occur a little later. An alternate work center will automatically be used. Work-in-process inventory will be lower. There will be idle capacity at some work centers unless rescheduled.
Reduced manufacturing lead times Rationale Building products in smaller lot sizes will reduce process lead times.
An organization converting from a process-focused facility to work cells will most likely experience which of the following? Answers Increased in-process inventory A less focused, unstable workforce Reduced manufacturing lead times Reduced excess capacity
Queue time Rationale Queue time tends to consume a large percentage of the total lead time in work center (job shop) process types with functional layouts.
An organization is arranged using a work center process type with a functional process layout. Which tends to be the largest component of lead time for this type of manufacturing? Answers Run time Queue time Move time Setup time
increasing utilization of bottlenecks. Rationale Maximizing the utilization of constraints is the primary method of ensuring that the maximum capacity can be realized.
Based on the theory of constraints, the capacity of a work center can be managed most effectively by: Answers increasing utilization of bottlenecks. increasing utilization of non-bottlenecks. decreasing utilization of bottlenecks. decreasing utilization of non-bottlenecks.
Generation of electric power Rationale Continuous production is a type of flow manufacturing, used for the production of high-volume standard products made in a continuous flow (such as gasoline) rather than as discrete units (such as cars and appliances).
Continuous production processes would be most appropriate for which of the following? Answers Mining of semiprecious gem stones Restoring furniture Generation of electric power Assembly of low-cost consumer electronics
sequencing the production order for work. Rationale Dispatching sequences the orders.
Dispatching a production order results in: Answers sequencing the production order for work. changing the planned start date to the actual start date. ensuring that required resources are available. balancing input with output at the work center.
set stretch objectives. Rationale Successfully leading the effort to foster a results-oriented, high-performance culture generally entails such leadership actions and managerial practices as setting stretch objectives.
Establishing a results-oriented, high-performance culture generally requires managers and other leaders to: Answers foster competition in each department. increase the employee review cycle to once a month. set stretch objectives. implement a suggestion system.
Dispatching rules Rationale Both are methods of sequencing work within a work center.
First come, first served and shortest process time are examples of which of the following techniques? Answers Input/output rules Dispatching rules Operation splitting Bottleneck management
Both techniques use the same lead times. Rationale Both will use either a standard or calculated lead time.
In a company that regularly has a past due order condition, backward scheduling in material requirements planning and forward scheduling in an assemble-to-order environment have what in common? Answers Both techniques identify the same start dates. Both techniques use the same lead times. Both techniques use the same required dates. Both techniques calculate the same critical path.
Raw materials Rationale In a continuous flow process, amounts of WIP, product in a semi-finished state, and finished goods are known and would not require safety stock. Raw materials, however, might be subject to interrupted supply, which would seriously affect production.
In a continuous flow manufacturing environment, such as a grain milling operation, what inventory type is most likely to require safety stock? Answers Raw materials WIP Semifinished products Finished goods
operations sequencing. Rationale Operations sequencing is a technique for short-term planning of actual jobs to be run in each work center based upon capacity and priorities. The result is a set of projected completion times for the operations and simulated queue levels for facilities.
In a job shop environment, the technique that results in a short-term, planned set of projected completion times for operations and simulated queue levels is: Answers operations sequencing. infinite loading. capacity requirements planning. constraint-based scheduling.
Queue Rationale Queue time is typically over 90% of the manufacturing lead time in a job shop.
In a job shop environment, which lead time element is typically the longest? Answers Wait Queue Run Setup
Queue Rationale Queue time in job shops is frequently estimated at 90 percent or more of total job time. There can be exceptions; however, this estimate is the most general case. You could contrast this with repetitive or process flow production where there might be very little queue time.
In a job shop with intermittent production, which of the following elements of lead time usually consumes the most time? Answers Run Setup Queue Move
All of the above Rationale Work order release planning may take place until the moment of order release. Authorization of order release is based on Current priority Availability of materials and tooling Planned orders in the MRP output Availability of materials and tooling Loads specified by input and output control.
In a push system, authorization of order release is based on which of the following? Answers All of the above Planned orders in the MRP output Current priority Availability of material and tooling
Equipment capacity Rationale For service industries, assigning labor schedules is the primary way that supply and demand are balanced in the short term. Equipment capacity can still play a role (e.g., too many cooks in the kitchen), however.
In a service environment with a sufficient labor force, what is often still a labor scheduling constraint when attempting to balance supply and demand in the short term? Answers Cross-training Skilled labor pool shortage Equipment capacity Overscheduling
The constraint may shift spontaneously and often. Rationale The question describes a typical intermittent manufacturing environment (work center or batch) and the shifting load on various resources as different routings are used will tend to create bottlenecks in different locations spontaneously. However, while this type of environment presents challenges for drum-buffer-rope scheduling, it can still produce real benefits in terms of increasing throughput and reducing WIP inventories.
In an organization that uses an intermittent manufacturing process type, lead times are long, routings are different for different items, operation times for orders differ, and queues tend to be long. What is likely true of this scenario? Answers Elevating the constraint will mitigate most of the issues described in the question. Adding a time buffer before the constraint would simply increase WIP inventory. The constraint may shift spontaneously and often. Drum-buffer-rope scheduling will not be useful in this environment.
Buffer Rationale A process buffer consists of raw materials, components, or subassemblies that are waiting to be used in production when the demand pull occurs. There are no queues in a TOC system; production is initiated by the drum and not by pre-released orders waiting to be started.
In the theory of constraints (TOC), which of the following terms refers to materials awaiting further processing? Answers Queuing Buffer Waiting Move
reducing lead times. Rationale Reducing lead times—specifically setup times—allows for more frequent changes to adapt to changes in demand.
Increased flexibility in order to meet customer demand changes can be achieved by: Answers increasing component inventory. increasing lot sizes. reducing scrap. reducing lead times.
increased queue times. Rationale Increasing lead time will cause increased work in process, which will increase queues.
Increasing lead times in an effort to get more work done and meet the schedule will most likely result in: Answers increased capacity. decreased production lead time. decreased planned order releases. increased queue times.
Planned order release dates will be earlier. Rationale Increasing lead times will cause material requirements planning to call for the release of the order earlier. This in turn will increase the actual lead time as the order becomes work in process.
Increasing planned lead times will result in which of the following outcomes? Answers Load will be decreased. Planned order release dates will be earlier. Work center capacity will increase. Actual lead times will decrease.
Either may be overloaded. Rationale Any operation may be overloaded, which will be shown using infinite capacity.
Infinite loading will indicate which of the following situations when comparing a gateway work center to a non-gateway, non-bottleneck operation? Answers Either may precede the other. Either may be in multiple routings. Gateway capacity is higher. Either may be overloaded.
Workforce deployment and machine use are stabilized. Rationale Load leveling creates a tradeoff between more stable workforce deployment and machine use while varying inventory levels to meet demand.
Load leveling has which of the following benefits for scheduling? Answers Workforce deployment and machine use are stabilized. Inventory levels are minimized due to schedule stability and reliability. Personnel requirements vary based on scheduled customer demand. Queue and move times, along with the number of setups, are minimized.
total time required to manufacture an item, exclusive of lower-level purchasing lead time. Rationale Manufacturing lead time represents the total time required to manufacture an item, exclusive of lower-level purchasing lead time. For make-to-order products, it is the length of time between the release of an order to the production process and shipment to the final customer. For make-to-stock products, it is the length of time between the release of an order to the production process and receipt into inventory. Included are order preparation time, queue time, setup time, run time, move time, inspection time, and put-away time.
Manufacturing lead time represents the: Answers total lead time required to obtain a purchased item. total time required to manufacture an item, exclusive of lower-level purchasing lead time. time from the receipt of a customer order to the delivery of the product. longest planned length of time to accomplish the activity in question.
reducing planned queue times at work centers. Rationale Queue time makes up most of the lead time, so reducing what is planned will reduce the amount of time the product is in process.
Manufacturing lead times can be reduced by: Answers ensuring that there is a backlog of work so that no machines are idle. increasing the number of operators at the work center. reducing planned queue times at work centers. reducing input at bottleneck work centers.
by-product. Rationale A by-product is material of value produced as a residual of or incidental to the production process.
Material produced as a residual of or incidental to the production process is a: Answers co-design. residual item. co-product. by-product.
The next slowest work center in terms of production rate may become the constraint. Rationale Since there is always a constraint in a system, when one constraint is removed, either the next slowest operation will become the constraint or the market will become the constraint, given the assumptions in the scenario. Even though demand did not change, the market could become the constraint if demand is less than the next slowest operation.
New equipment and workers are added to a constraint work center. If the process is linear and one unit is input and one is output per operation, what might occur next if demand does not change? Answers The next slowest work center in terms of production rate may become the constraint. The market cannot become the constraint. The next fastest work center in terms of production rate may become the constraint. The system will not have a constraint any more.
eliminate idle time at the second operation. Rationale The second operation begins processing prior to completion of the first operation to minimize idle time at the second operation.
Operation overlapping, when used to expedite completion of orders will: Answers eliminate idle time at the second operation. increase capacity. decrease queue time for other orders. decrease move costs.
starting the second operation before the first has completed the full quantity. Rationale Operation overlapping may be used to reduce manufacturing lead time by moving pieces to the second work center before the first operation has completed the entire quantity on the order.
Overlapping is used to compress lead time by: Answers grouping operations to run concurrently. consolidating setups. starting the second operation before the first has completed the full quantity. choosing alternate routings so that orders can run concurrently.
Product's routing Rationale A routing is information detailing the method of manufacture of a particular item. It includes the operations to be performed, their sequence, the various work centers involved, and the standard for setup and run. In some companies, it will also include information on tooling, operator skill levels, inspection operations, and testing requirements.
Production is about to start manufacturing a new product. In order to begin, they will need to have specific information and instructions. In which of the following will this information be contained? Answers Manufacturing calendar Shop file Open order Product's routing
purchased part availability. Rationale Purchased parts are from an outside source and are hardest to control.
Production orders are riskiest to dispatch without knowing: Answers information availability. operator availability. equipment availability. purchased part availability.
manufacturing lead time. Rationale These are the elements that make up the manufacturing portion of the lead time.
Queue, setup, run, wait, and move times are components of: Answers demand lead time. delivery lead time. replenishment lead time. manufacturing lead time.
Increased responsiveness to customer demand Rationale Reducing lead times, specifically setup times, allows for more frequent changes to adapt to changes in demand.
Reducing lead time has which of the following results? Answers Increased fixed manufacturing costs Decreased fixed manufacturing costs Increased responsiveness to customer demand Shorter planning cycles
backward scheduling. Rationale Backward scheduling starts with the due date for the order and works backward from the last operation to determine the required start date and/or due dates for each operation.
Starting with the due date for the order is an example of: Answers finite scheduling. forward scheduling. process scheduling. backward scheduling.
priority of the job. Rationale If dispatching rules push a job to the end of the sequence, the queue time will possibly be longer than planned. The inverse is true if an order is moved up in the sequence.
The actual queue time of a job at a work center is most impacted by the: Answers priority of the job. efficiency of the work center. lot size of the job. utilization of the work center.
idle capacity. Rationale In the theory of constraints, activation of any nonconstraint resource beyond what is necessary to support the constraint only produces unwanted and unnecessary inventory. It is better from a cost and throughput perspective to leave the resource idle.
The available capacity that exists on nonconstraint resources beyond the capacity required to support the constraint is: Answers capacity management. finite capacity. idle capacity. productive capacity.
It is used to create the master production schedule. Rationale The drum of the system refers to the 'drumbeat' or pace of production. It represents the master schedule for the operation, which is focused around the pace of throughout as defined by the constraint.
The drum in the drum-buffer-rope scheduling process serves which of the following functions? Answers It provides protection for the shipping schedule. It is the communication device for releasing work to the manufacturing process. It is used to create the master production schedule. It provides protection to the constraint.
Check the cumulative input/output report. Rationale It is necessary to check the cumulative report to determine if this is a one-period scenario or a trend occurring at the work center.
The input/output report for a work center in the current period is showing an input queue at the work center. What is the most appropriate action? Answers Decrease the work center input. Increase the work center output. Check the cumulative input/output report. Re-run capacity requirements planning.
500 units. Rationale Order point (OP) = demand during lead time (DDLT ) + safety stock (SS) = (100 units x 4 weeks ) + 100 units = 500 units
The lead time for a particular stock-keeping unit is four weeks, the average demand is 100 units per week, and safety stock is set at one week's demand. The order quantity is 1,000 units. The order point is Answers 1,500 units. 200 units. 500 units. 4,100 units.
Repetitive Rationale Line balancing, which balances the assignment of tasks to minimize idle time, is most appropriate in a repetitive manufacturing environment that repeatedly produces the same discrete product or family of products.
The line balancing approach to capacity management would be most appropriate in which of the following production environments? Answers Repair Intermittent Repetitive Project
dispatching Rationale Dispatching refers to the selecting and sequencing of available jobs to be run at individual workstations and the assignment of those jobs to workers.
The process of selecting and sequencing available jobs to be run at individual workstations and the assignment of those jobs to workers is called: Answers priority sequencing. input/output control. dispatching. order release.
actual input to planned input. Rationale Actual input is compared to planned input to identify when a work center's output might vary from the plan.
To detect when a work center's output might vary from the plan, the planner should compare: Answers actual output to planned output. actual input to actual output. planned output to planned input. actual input to planned input.
T-plants Rationale A T logical structure consists of numerous similar finished products assembled from common assemblies, subassemblies, and parts. An assemble-to-order strategy is useful where a large number of end products (based on the selection of options and accessories) can be assembled from common components.
Using the VATI analysis terminology, what type of plant would typically be used in an assemble-to-order manufacturing environment? Answers V-plants A-plants T-plants I-plants
Priority planning Rationale The critical ratio is a dispatching rule that calculates a priority index number by dividing the time remaining to the due date by the expected time to finish the job. The queue ratio is the ratio of the hours of slack within the job to the queue originally scheduled.
What are the critical ratio and the queue ratio used for? Answers Master scheduling Financial evaluation Capacity planning Priority planning
Financial and strategic Rationale To achieve organizational stretch objectives, a company must develop two types of performance targets: financial and strategic.
What are the two different types of performance targets that should be used to achieve organizational stretch objectives? Answers Tactical and financial Financial and strategic Operational and personal Strategic and tactical
Standard setup time and run time per piece Rationale The routing for producing a particular item typically includes standard times for setup and run time. Average queue time would depend on the work center rather than the routing.
What data items are included in a manufacturing routing? Answers Average run and queue times Sequence of operations and standard move times Standard setup time and run time per piece Material cost per unit and lead time
An intermediate stage is scheduled first when the main bottleneck moves to a processor in that stage. Rationale Flow scheduling is an intermediate stage is scheduled first when the main bottleneck moves to a processor in that stage. Low demand does not require the first stage to be scheduled first, whereas constrained supply probably would. While it is true that each stage may use either processor or material-dominated scheduling, it is not directly related to mixed-flow scheduling.
What does mixed-flow scheduling mean? Answers The last stage is scheduled first when the first stage is constrained by material supply only. The first stage is scheduled first when demand is low. An intermediate stage is scheduled first when the main bottleneck moves to a processor in that stage. Each stage may use either processor or material-dominated scheduling.
Pace of the constraint in the process Rationale In the theory of constraints, the drum represents the pace of the constraint, which sets the production pace for the entire system.
What does the drum in the drum-buffer-rope method represent? Answers Pace needed to meet customer demand Pace of the slowest machine in the process Pace specified in labor agreements Pace of the constraint in the process
Part number and description Rationale The item master files provide the part number and description; quantity on hand, available, and on order; manufacturing lead times and lot size quantities.
What information do item master files provide to production activity control? Answers Part number and description Shop order quantities and order due dates Operations required and sequence of work centers used Shop floor pick lists for the shop order packet
Planned and actual setup and run times Rationale Shop order files provide the shop order number; shop order quantities; order due dates; quantities issued, completed, scrapped, and balance due; planned and actual setup and run times; lead times remaining; and cost information.
What information do shop order files provide as an input to production activity control? Answers Manufacturing lead time and alternative work centers Operation capacity required (pieces × operation standard) Planned and actual setup and run times Quantity on hand, available, and on order
Shop floor load information Rationale CRP is used to calculate load on work centers based on planned and released orders from material requirements planning (MRP). Past-due orders, rework orders, and work in process are also inputs to the load calculation. This information on load is a key input to scheduling in PAC. It should be clear that MRP and CRP need a great deal of accurate data (both static and dynamic) from the shop floor to determine load.
What information does capacity requirements planning (CRP) provide to production activity control (PAC)? Answers Materials to purchase and their lead times Shop floor load information Planned and released orders CRP is done by the point PAC starts, so no information is needed.
Customer order priority Rationale Customer order priority is used by MRP. The others are sequencing rules used by production scheduling.
What information from material requirements planning (MRP) can be used to sequence production orders? Answers Customer order priority Required start date Critical ratio Shortest processing time
Forward scheduling determines when orders could be completed. Rationale Forward scheduling is a technique in which material procurement and operations scheduling start when the order is received. Operations are scheduled forward from this date. This method is used to determine the earliest delivery date.
What is a significant advantage of using forward scheduling in a make-to-order environment? Answers Forward scheduling reduces idle time in production. Forward scheduling ensures that operations aren't scheduled in the past. Forward scheduling minimizes the overloading of work centers. Forward scheduling determines when orders could be completed.
Input/output control Rationale Input/output control is a technique for capacity control where planned and actual inputs and planned and actual outputs of a work center are monitored.
What is the best approach for managing planning vs. execution in capacity management? Answers Input/output control Capacity requirements planning Critical ratio Backlog monitoring
Byproducts are incidental to the production process while co-products are central to it. Rationale As defined in the APICS Dictionary, a byproduct is "a material of value produced as a residual of or incidental to the production process. The ratio of by-product to primary product is usually predictable. By-products may be recycled, sold as-is, or used for other purposes."
What is the difference between a co-product and a byproduct? Answers Byproducts are incidental to the production process while co-products are central to it. Byproducts have no value while co-products are materials of value. Co-products are beneficial while by-products are toxic. There is no difference; these terms are synonyms.
Interoperation time Rationale The correct terminology for interoperation time is being tested here. Although queue and move times are both components of interoperation time, neither includes all the elements between completion of run time at one operation and the beginning of setup at the next. Post-operation time would include only wait time and possibly move time.
What is the interval between the completion of run time for one operation and the beginning of the setup at the next operation called? Answers Interoperation time Queue time Move time Post-operation time
Infinite loading does not account for sequencing. Rationale MRP does not account for sequencing at a work center but goes by due dates only.
What is the most likely reason for schedules determined in material requirements planning (MRP) to be changed in production? Answers Work center capacity has changed since planning began. Infinite loading does not account for sequencing. Schedules are based on often incorrect forecasts. Lead times are based on standards and not actuals.
Maximizing throughput Rationale The primary goal of the theory of constraints is to maximize throughput. This is done by identifying bottlenecks, or constraints, and elevating them so that they are no longer constraints. Sometimes this will include buffering the constraint with either time or inventory.
What is the primary goal of the theory of constraints? Answers Maximizing throughput Identifying bottlenecks Managing buffers Elevating constraints
Tolerance Rationale Specification results falling inside a product's tolerance limits are considered acceptable. Results falling outside of tolerance limits are rejected and require either rework or scrapping. Specification limits are set by customer requirements and engineers and are usually fixed.
What is the term for an acceptable departure from a target value for a product's ability to function as established by engineers? Answers Statistical process control Spread Specification limits Tolerance
Operation splitting Rationale Dividing a lot into two or more sublots and simultaneously processing each sublot is known as operation or lot splitting
What is the term for the splitting of a set of operations of a specific order into subgroups so that each can be run on a different machine? Answers Operation splitting Group splitting Job splitting Order splitting
Setup time will be reduced and the operation's throughput and velocity will be increased. Rationale Converting internal setup tasks to external tasks is one of the five steps for reducing setup time. Reducing setup time increases operations velocity and throughput.
What will happen if internal setup tasks are converted to external tasks (for example, organizing tools and materials for setup while the machine is still running a batch)? Answers Setup time will be reduced and the operation's throughput and velocity will be increased. Setup time will be increased and the operation's throughput and velocity will be reduced. The complexity of the setup will be increased, thus increasing the lead time to make a product. The overall lead time for the product won't be affected.
Schedule completion Rationale Schedule completion encourages performance to plan.
When measuring shop floor performance, which method will encourage not producing unwanted product? Answers Efficiency Schedule completion Utilization Productivity
adopted overcoming tradeoffs as an operations strategy. Rationale A company seeking market stability would likely adopt overcoming tradeoffs as an operations strategy.
When seeking long-term stability in market share, a company has many alternatives, such as adding features and functions, keeping costs stable, or reducing costs and functionality. Each alternative has pros and cons. This type of company has likely: Answers adopted overcoming tradeoffs as an operations strategy. accepted a lower margin with hopes for a future price increase. considered whether its products are candidates for outsourcing. increased product features with hopes of spreading higher costs over more products.
Theory of constraints Rationale The theory of constraints is a holistic management philosophy that is based on the principle that complex systems exhibit inherent simplicity. Even a very complex system comprising thousands of people and pieces of equipment can have, at any given time, only a small number of variables that actually limit the ability to generate more of the system's goal.
Which concept is based on the following facts? Every operation producing a product or service is a series of linked processes and has a specific capacity. One process limits the throughput of the entire operation. Answers Chase Lean Theory of constraints Just in time
Order Point = Demand During the Lead Time + Safety Stock Rationale Order Point (OP) = Demand During the Lead Time (DDLT) + Safety Stock (SS). "Average Inventory = (Quantity + Safety Stock)/2" is incorrect because average inventory is order quantity Q/2 + SS, not (Q + SS)/2. "Economic Order Quantity = (2AS/ic)" is incorrect because it omits the square root of the equation shown. Meanwhile, the formula "Safety Stock = Order Point + Order Quantity" is simply incorrect.
Which formula is correct? Answers Economic Order Quantity = (2AS/ic) Order Point = Demand During the Lead Time + Safety Stock Average Inventory = (Quantity + Safety Stock)/2 Safety Stock = Order Point + Order Quantity
Examine the entire system to identify what is limiting output. Rationale In TOC, the first step of the five-step process for performance improvement is to identify the constraint.
Which of the following actions is the first step in the theory of constraints (TOC) improvement process? Answers Create time buffers of inventory in front of critical work centers. Develop a value stream map of the entire system. Reduce the level of variability in production volume. Examine the entire system to identify what is limiting output.
Splitting the lot Rationale The dispatcher should split the lot so the required quantity is done in less time.
Which of the following actions should a dispatcher perform in an environment where there is excess capacity in order to meet a shortage at a downstream operation? Answers Paying a premium Paying overtime Splitting the lot Expediting
Partially completing an order Rationale Orders can be completed to the point of the missing part and then put aside until the part is available.
Which of the following actions would most likely be considered to address a missing part problem in a push environment but not in a pull environment? Answers Partially completing an order Working overtime Using an alternate routing Using an alternate part
Reduced inventory level and exposure of problems Rationale Removing a kanban card from an inventory system that is in equilibrium will remove the inventory associated with the kanban and will throw the system into imbalance. The imbalance will enable the quality team to detect where the problems are arising due to less inventory in the system. These problems can then be attacked and the system returned to a state of equilibrium.
Which of the following are the desired results of removing a kanban card from between two steps of a smooth-flowing process? Answers Reduced inventory level and insertion of a kanban card to replace the one removed Reduced inventory level and exposure of problems Insertion of a kanban card to replace the one removed and exposure of problems Reduced inventory level, insertion of a kanban card to replace the one removed, and exposure of problems
Sequence Rationale Sequence determines in what order jobs are done.
Which of the following aspects of a job most determines the day and time when the job will be done? Answers Priority Sequence Queue Availability
Reduced product cost Rationale When the setup time is reduced, it will immediately reduce the overall cost of the product.
Which of the following benefits of setup reduction is most immediate? Answers Reduced queue time Reduced work in process Improved quality Reduced product cost
Establishing sequence Rationale Determining sequence is most important due to shared resources.
Which of the following capabilities of finite loading is most important in an environment where routings use many of the same work centers? Answers Establishing sequence Determining load Maintaining priority Defining capacity
Infinite loading Rationale Infinite loading is the calculation of the capacity required at work centers in the time periods required regardless of the capacity available to perform this work.
Which of the following capacity management techniques calculates the capacity required at a work center in a time period without considering the capacity available? Answers Input/output control Infinite loading Finite loading Forward scheduling
External setup Rationale External setup is performed while the previous job is being run
Which of the following elements of lead time is ignored by capacity requirements planning? Answers External setup Internal setup Move Wait
Low-cost production Rationale Continuous manufacturing is defined as a type of manufacturing process that is dedicated to the production of a very narrow range of standard products. The rate of product change and new product information is very low. Significant investment in highly specialized equipment allows for a high volume of production at the lowest manufacturing cost. Thus, unit sales volumes are very large, and price is almost always a key order-winning criterion.
Which of the following features is characteristic of continuous process manufacturing? Answers Large batches Responsiveness as an order-winning criterion Wide product range Low-cost production
Forward Rationale Forward flow is used when there is a defined starting point or when work can only begin upon receipt of supply.
Which of the following flows is most likely used in a flow environment that is supply-constrained by the availability of a seasonal vegetable? Answers Forward Backward Finite Mixed
It schedules a constraint. Rationale The basic goal of the DBR method is to recognize that all processes contain a weak link or constraint that limits the productive output of the entire system. The purpose of the DBR method is to schedule production around the constraint and not to minimize inventory. In fact, DBR calls for a buffer of inventory to be present to ensure that a problem does not cause the constraint to go idle.
Which of the following functions does the drum-buffer-rope (DBR) method perform? Answers It schedules a constraint. It buffers all work centers. It minimizes inventory. It develops pull between operations.
Work center to be used Rationale The work center reference in the routing informs the production planners where the production order is to be built in the factory.
Which of the following information is contained in a routing file? Answers Supplier of raw material Customer part number Work center to be used Quantity to be ordered
Input/output control (I/O) Rationale With I/O, planned inputs and outputs for each work center are developed by capacity requirements planning and approved by manufacturing management. Actual input is compared to planned input to identify when work center output might vary from the plan.
Which of the following is a capacity management plan that tracks performance to the capacity plans? Answers Finite loading Capacity requirements planning (CRP) Rough-cut capacity planning (RCCP) Input/output control (I/O)
Work centers are dedicated to producing similar products. Rationale Flow manufacturing produces high-volume, standard products, so work centers are dedicated to producing similar products.
Which of the following is a characteristic of flow manufacturing? Answers Planning and control tasks are complicated. The sequence of operations depends on the part being manufactured. Work centers are dedicated to producing similar products. Workers and equipment must be flexible.
Kanban Rationale Kanban is a method that uses standard containers or lot sizes with a single card attached to each. It is a pull system in which work centers signal with a card that they wish to withdraw parts from feeding operations or suppliers.
Which of the following is a pull system in which work centers signal that they wish to withdraw parts from feeding operations or suppliers? Answers Andon Dispatch Kanban Shop packet
Kanban Rationale A kanban is a method of lean production that uses standard containers or lot sizes with a single card attached to each. It is a pull system in which work centers signal with a card that they wish to withdraw parts from feeding operations or suppliers.
Which of the following is a replenishment system where signals from a manufacturer to a supplier are used to pull inventory replenishment through the system? Answers Kanban Vendor-managed inventory Two-bin system Collaborative planning, forecasting, and replenishment
Mass/continuous Rationale Flow manufacturing processes include repetitive, batch flow, and mass/continuous types. In flow manufacturing, material flow usually is uninterrupted.
Which of the following is a type of flow manufacturing? Answers Balancing operations Line balancing Intermittent Mass/continuous
Mass/continuous Rationale Flow manufacturing processes include repetitive, batch flow, and mass/continuous types. In flow manufacturing, material flow usually is uninterrupted.
Which of the following is a type of flow manufacturing? Answers Line balancing Mass/continuous Balancing operations Intermittent
Activity-based costing Rationale Activity-based costing is focused on the actual costs incurred for one item.
Which of the following is least likely to focus on throughput? Answers Total quality management Theory of constraints Lean manufacturing Activity-based costing
Key work centers are level-loaded. Rationale Level loading is independent of any customer priorities.
Which of the following is most likely a reason for establishing order priorities with a final assembly schedule based on internal measures rather than on customer-oriented measures? Answers The customer has a short order due date. Key work centers are level-loaded. The kanban quantity is larger than the lot size. Damaged product needs to be replaced.
Accurate bill of material Rationale Backflushing requires very accurate bills of material because when work is completed, the system removes the number of parts that should have been used by the number of units produced. For example, say that a table requires one tabletop, four leg assemblies, and 28 hardware packets and 100 tables are produced in a batch. Upon completion of production, 100 tabletops, 400 hundred leg assemblies, and 2,800 hardware packets will be removed from inventory. Inaccurate bills of material will create inventory inaccuracies.
Which of the following is the most necessary component of an efficient backflushing system? Answers Regular sales and operations planning meetings Accurate inventory lead times Accurate bill of material Accurate forecasts
Establishing a time buffer before the bottleneck minimizes flow disruption. Rationale Establishing a time buffer prior to the bottleneck allows for any delay from the feeding workstation to be minimized.
Which of the following is true in a bottleneck situation? Answers A bottleneck must be fed at a rate less than or equal to its capacity. Utilizing a non-bottleneck resource 100% of the time produces 100% utilization overall. Capacity and priority must be looked at independently. Establishing a time buffer before the bottleneck minimizes flow disruption.
Inventory turns calculations Rationale Inventory turns are calculated monthly and are unaffected by data timeliness.
Which of the following is unaffected by data timeliness in an assemble-to-order environment using backflushing? Answers Customer order completion Notification of rejected receipt Inventory accuracy level Inventory turns calculations
Product routings Rationale Routings tie actual and planned orders to work centers for load planning.
Which of the following is used by capacity requirements planning to determine the total load on work centers in a job shop environment? Answers Customer orders Demonstrated capacity Schedule accuracy Product routings
Actual run hours Rationale Actual run hours can be compared to the standard to determine any variance.
Which of the following labor reporting elements is most important to a continuous improvement program in a standard cost environment? Answers Actual run hours Standard internal setup hours Actual setup hours Standard production order hours
Lack of valid due dates Rationale Lack of valid due dates can inhibit control of the shop floor.
Which of the following may prevent effective shop floor control? Answers Lack of valid due dates Lack common exceptions Lack of frequent rescheduling Lack of rarely needed tooling
Production order complete Rationale Run time is calculated by multiplying the run time per piece by the size of the order. Knowing when the order is completed can provide the run time per piece.
Which of the following reporting points is of most use when determining run times? Answers Move complete Setup complete Production order complete Partial quantity complete
Forward Rationale Forward scheduling enables current orders to be accounted for when determining a new order's ship date.
Which of the following scheduling techniques is used in an assemble-to-order environment for customer order promising? Answers Rate-based Forward Backward Mixed-model
It requires recalculating load when the schedule is missed. Rationale Missed schedules result in load that must be accounted for when determining available capacity.
Which of the following statements about finite capacity loading is true? Answers It requires recalculating load when the schedule is missed. It does not require knowing the capacity available in each time period. It is a simpler process than infinite capacity loading. It does not require the ability to determine priorities when loading jobs.
Bottlenecks control throughput. Rationale Bottlenecks are the constraints that control throughput. Throughput impacts lead time, not available or required capacity.
Which of the following statements concerning throughput is true? Answers Capacity required is reduced by bottleneck throughput. Bottlenecks control throughput. Throughput controls the available capacity of a facility. Available capacity is throughput less constraints.
It often uses a visual signal instead of a card. Rationale A one-card kanban system typically has close operations, so the signal may be an empty spot for the next units or a different visual signal. In actual practice, cards are far less commonly used than visual signals.
Which of the following statements is most true of a one-card kanban system? Answers The card quantity is equal to a one-day supply. It often uses a visual signal instead of a card. It uses one combination move/production card. The two operations are not in line-of-sight.
Planned versus actual start date Rationale Start dates are based on priority and job sequence, which are the responsibility of the dispatcher.
Which of the following targets for effective scheduling does a dispatcher have the most control over with respect to improving performance? Answers Planned versus actual direct labor hours Planned versus actual completion date Planned versus actual start date Planned versus actual work in process
Kanban Rationale Kanban is the only response that would impact suppliers; the others would be in-house.
Which of the following techniques encourages suppliers to adopt lean principles? Answers Dedicated storage Kanban Random storage Point-of-use
Load leveling Rationale Load leveling refers to spreading orders out in time or rescheduling operations so that the amount of work to be done in sequential time periods tends to be distributed evenly and is achievable.
Which of the following terms applies to spreading orders out in time or rescheduling operations so that the amount of work to be done in sequential time periods tends to be distributed evenly and is achievable? Answers Input/output control Load leveling Capacity management Line balancing
Intermittent Rationale Intermittent production is a form of manufacturing in which the jobs pass through the functional departments in lots and each lot may have a different routing. Meanwhile, flow is a form of manufacturing in which work flows from one workstation to another in a nearly constant rate and with no delays. Project production is a manufacturing process in which each unit or small group of units is managed by a project team created especially for that purpose. Repetitive manufacturing consists of the repeated production of the same discrete products of families of products.
Which of the following terms refers to a form of manufacturing in which the jobs pass through the functional departments in lots and each lot may have a different routing? Answers Repetitive Intermittent Project Flow
Grouping production equipment into focused work cells Rationale Using cellular manufacturing would change the way product is scheduled, sequenced, and managed.
Which of the following would have the most impact on the use of a production activity control (PAC) system? Answers Implementing modular bills of material for items with options Changing the rate of production in a continuous manufacturing process type Grouping production equipment into focused work cells Adding a new workstation that uses the work center manufacturing process type
Finite forward scheduling Rationale Finite loading is used to generate a realistic and achievable schedule because it takes available capacity into account and forces scheduling of the promise date to reflect capacity constraints. Forward scheduling allows taking advantage of excess capacity and helps with load leveling.
Which option would be most likely to result in a realistic and achievable schedule while also taking advantage of excess capacity? Answers Infinite backward scheduling Finite forward scheduling Finite backward scheduling Infinite forward scheduling
TOC drum-buffer-rope Rationale The TOC (theory of constraints) drum-buffer-rope scheduling method approaches job sequencing by considering how to maximize throughput at bottleneck work centers first. One way this is done is by searching orders for the same setup as the last batch at bottleneck work centers and moving those to the top. Non-bottleneck work centers still use priority sequencing rules.
Which production activity control scheduling technique often involves searching orders for ones that have the same setups as the last batch but just for one or more particular work centers? Answers Priority sequencing MRP-based scheduling Lean scheduling TOC drum-buffer-rope
Direct labor hours Rationale Both use internal setup and run time, which include direct labor hours.
Which routing data is used by both infinite capacity requirements planning and finite scheduling for planning and scheduling? Answers Sequencing rules Direct labor hours External setup hours Theoretical capacity
Finite forward scheduling Rationale Finite forward scheduling is an equipment scheduling technique that builds a schedule by proceeding sequentially from the initial period to the final period while observing capacity limits.
Which scheduling technique builds a schedule by proceeding sequentially from the initial period to the final period while observing capacity limits? Answers Process sequencing Finite backward scheduling Capacity requirements scheduling Finite forward scheduling
Probable scheduling Rationale Probable scheduling considers slack time to increase or decrease the calculated lead time of an order.
Which scheduling technique considers slack time to increase or decrease the calculated lead time of an order? Answers Probable scheduling Constraint-based scheduling Forward-flow scheduling Mixed-flow scheduling
Mixed-flow scheduling Rationale Mixed-flow scheduling is a procedure used in some process industries for building process train schedules that start at an initial stage and work toward the terminal process stages
Which scheduling technique is effective for situations in which several bottleneck stages may exist? Answers Mixed-flow scheduling Forward-flow scheduling Material-dominated scheduling Mixed-model scheduling
Processor-dominated scheduling Rationale Processor-dominated scheduling is a technique that schedules equipment (processor) before materials.
Which technique facilitates scheduling equipment in economic run lengths and the use of low-cost production sequences? Answers Processor-dominated scheduling Mixed-model scheduling Mixed-flow scheduling Material-dominated scheduling
Firm planned orders and released orders only. Rationale The planner controls firm planned orders and released (open) orders. While released (open) orders may incur a cost to change them, the planner could delay, expedite, or cancel these order
Which types of orders are considered to be under the control of the planner? Answers Released orders only. Firm planned orders and released orders only. Firm planned orders, gross requirements, and released orders only. Scheduled receipts and released orders only.
It has already been issued to production. Rationale The APICS Dictionary defines floor stocks as "stocks of inexpensive production parts held in the factory, from which production workers can draw without requisitions." Floor stock would not appear on a pick list, as it has already been issued to production.
Why would floor stock not appear on a pick list? Answers It needs to be available to all employees. It is easily misplaced. It has already been issued to production. It is always backflushed.
actual output. Rationale Effectively managing the load at a work center requires knowledge of work center output. The amount of load that is input into a work center should be controlled by the amount of output. Input load that exceeds output will simply add to the queue at the work center.
nput/output control seeks to manage lead times by adjusting the input of load into the system on the basis of: Answers capacity requirements. material requirements. actual output. planned output.
It provides a more realistic completion date than using fixed lead times. Rationale Run time can be used to load operations based on standard hours per part times order quantity.
A company has few products but highly variable order quantities, and it uses forward scheduling. Why is it beneficial to use standard run hours as a basis for calculating completion dates? Answers It helps to prioritize orders in key work centers. It provides a more realistic completion date than using fixed lead times. It automatically balances the load across operations. It provides start times knowing queue and setup times.
Constraint-oriented finite loading Rationale Constraint-oriented finite loading is a technique that plans orders around bottleneck work centers. The objective is to maximize total production throughput.
A company has limited resources in some work centers and bottlenecks that move around based on product mix. Salespeople must be notified of overloads so schedule changes can be made with customers. Which of the following scheduling techniques should be considered by management? Answers Finite master production scheduling Constraint-oriented finite loading Resource requirements scheduling Rough-cut capacity scheduling
Number of days a job is in queue ationale Knowing the number of days a job is in queue is essentially the monitoring required by the company.
A company monitors production by knowing what is in process and what the queue time is. Average run time is one hour, and queue times are kept fairly uniform by the planning and scheduling process. Jobs are produced in first in, first out sequence. Which of the following information is easiest for monitoring purposes in this scenario? Answers Sequence of jobs based on input/output control Priority of jobs based on required date Number of jobs in queue, running and waiting Number of days a job is in queue
a process train. Rationale A process train is used in a process industry to represent the flow of materials and plan capacity flow.
A company produces a variety of chocolate products on a repetitive basis to require less cleaning from one product to another. The most likely means of capacity planning is: Answers finite capacity planning. optimization planning. a process train. capacity requirements planning.
Consider all constraints simultaneously when establishing schedules. Rationale For a process to be improved, all of the subprocesses must be reviewed and improved together. By improving one subprocess only, planners could cause a new constraint somewhere downstream in the overall process flow.
A company seeking to increase flow and improve critically constrained resources in its supply chain would train employees on which of the following principles of theory of constraints management? Answers Flow and capacity should be balanced. Utilization and activation of a resource are the same. Process batch sizes must be fixed. Consider all constraints simultaneously when establishing schedules.
Takt Rationale Takt time would determine how many units need to be produced to meet the demand, which will determine the time for each operation in order to produce the flow.
A company using a pull environment is creating a flow line to improve throughput to meet customer demand. Which of the following data needs to be calculated to design the line? Answers Takt time Efficiency Utilization Cycle time
The parts are so inexpensive that dealing with a partial quantity is not cost-effective. Rationale Small, inexpensive parts can be furnished with the next order and will be replanned by material requirements planning.
A make-to-stock company purchases parts that are unique to the company. What is the best reason for establishing a received quantity tolerance that closes a remaining open balance on a purchase order? Answers The supplier may not produce the exact required quantity due to historical yields. The company routinely carries safety stock of sufficient quantity to cover a shortage. The parts are so inexpensive that dealing with a partial quantity is not cost-effective. The company does not want to pay transportation and setup costs multiple times.
Obtain a second set of tooling. Rationale Additional tooling means that the process stays in operation.
A piece of equipment is incapable of maintaining process control for longer than four hours and has become a bottleneck due to unforeseen tooling wear. Tool sharpening requires two hours. Which of the following corrective actions should be done first? Answers Replace the old equipment with new. Obtain a second set of tooling. Loosen the product standards or tolerances. Change the material specification and a supplier.
process train. Rationale A process train is the presentation of the flow of materials through a process industry manufacturing system that shows equipment and inventories.
A presentation of the flow of materials that shows equipment and inventories in a process industry is a Answers process sheet. process layout. process train. process organization structure.
Co-product Rationale According to the APICS Dictionary, co-products are those that are "usually manufactured together or sequentially because of product or process similarities."
A press is used to stamp left- and right-hand door panels simultaneously from a roll of sheet metal. What is the relationship between the two parts? Answers Co-product Co-stamped By-product Co-produced
First come, first served Rationale With first come, first served (FCFS), jobs are done in the order in which they are received, regardless of due dates and processing times. This dispatching rule works well if schedules are well-designed and stable.
A shoe manufacturer receives two orders minutes apart. The first order, A, is for 100 trainers in ten colors to be delivered in three weeks. The second order, B, is for 200 white trainers to be delivered in two weeks. The manufacturer assigns order A to be completed first. What is this dispatching rule called? Answers First come, first served Shortest process time Earliest operation due date Earliest job due date
Lot splitting Rationale Lot splitting divides a work order into two lots and runs it concurrently on two machines, which reduces manufacturing lead time.
A work order for an operation is divided into two lots and runs concurrently on two machines. Which of the following techniques is being used? Answers Lot sizing Lot splitting Lot sequencing Lot overlapping
