OPM Midterm
Flow units waiting in the process without being worked on are often referred to as buffer
inventory
Process Analysis __can or cannot__ be used with both manufacturing and service business
can
When organizations make a trade-off they focus on meeting one dimension of
customer or consumer
If process capacity is 100 units per hour and customers desire 80 units per hour then the process is _______ constrained
demand
A process flow diagram is a graphical way to ____ the process
describe
If the cycle time is 2 minutes/customer then how many customers are served per hour
30
A process flow diagram indicates
Both where a flow unit is processed and where it is held in inventory
To increase the capacity of a process one must increase the capacity of the resource that is the ____
Bottleneck
For a process that is ____ constrained the bottleneck resource will have 100% utilization
Capacity
What is an appropriate unit for demand rate
Cars per Day
Which could be an appropriate unit for a demand rate
Cars/day
Firm's capabilities are defined as the dimensions of the
Customer or consumer
An appropriate unit for capacity of a resource is
Customers/ minute
An appropriate unit for throughput is
Customers/min Burgers/ sec
From Little's Law we see that if cycle time increases while flow time stayed the same then inventory must ____
Decrease
Inventory is a mismatch between supply and
Demand
The ___ rate is the number of flow units that customers want per unit of time
Demand
When the flow rate is less than the capacity the process is referred to as ____ constrained
Demand
T/F: If the capacity at a resource with multiple employees went up then the processing time definitely decreased
False (Capacity could have gone up because the number of employees increased)
T/F: Utilization can be greater than 100%
False (Flow rate cannot be greater than capacity)
T/F: The flow rate for a process should be greater than the demand rate
False (Flow rate should be no greater than the demand rate)
T/F: The utilization of a non-bottlebeck resource can be greater than that of the bottleneck
False (No resource works more than the bottleneck)
T/F: Process Analysis is only applicable to manufacturing settings
False.
In a process flow diagram, triangles are used to represent ____ waiting in a system
Flow Units
From Little's Law we see that if inventory stays the same but flow time increases then cycle time must
Increase
If the cycle time increases, but no new resources are added to the process, then the time needed to serve 100 customers will
Increase
To increase the capacity of a process, one should
Increase the capacity of the bottleneck resource regardless of where it is located in the process
____ is a mismatch between supply and demand
Inventory
Imagine a capacity constrained, single resource process with multiple employees working at the single resource. If the number of employees increases then what will happen to the cycle time for the process?
It will decrease
Flow rate can be _____ process capacity
Less than or Equal to
The bottleneck in a process is the resource with the ____ capacity
Lowest
Process Capacity determines the ____ supply of the process
Maximum
Process capacity determines the _____ supply of the process
Maximum
A rigorous framework for understanding the detailed operations of a business is known as
Process Analysis
____ _____ identifies and analyzes all the activities involved in serving one unit of demand or put differently, in providing one unit of suppy
Process Analysis
___ ____ ____ is a graphical way to describe
Process Flow Diagram
___ ____ ____ is a graphical way to describe a process
Process Flow Diagram
Flow rate and ______ are idential
Throughput
What shape is used to represent flow units waiting in a system (Buffer inventory)
Triangle
T/F: A process flow diagram outlines a directional flow in the procedure
True
T/F: The utilization of a process is defined as the ratio between the flow rate and the process capacity
True
T/F: If the capacity of a resource with a single employee increased then the processing time must have decreased
True (Formula for capacity)
Flow units waiting in the process without being worked on are often referred to as ___ inventory
buffer
Organizations can improve their business by reducing _____ so that they do not have to sacrifice one performance dimension
inefficiency/inefficiencies
Organizations can improve their business by making trade-offs among the dimensions of
performance
An appropriate unit for throughput is
Burgers/second, customers/minute
Process _____ determines the maximum flow rate a process can provide per unit of time
capacity