Supply Chain Management Ch 15 MBA 6040

Which of the following is the easiest element of successful MRP system to implement?

Appropriate IT support.

Which of the following is not an input for the master schedule?

Bill of materials.

What is the purpose of capacity planning?

Checking on the validity of the master schedule.

______ demand is determined by demand for another item and not by the market.

Dependent

MRP can be extended in the supply chain, and the application is called ______.

Distribution Requirements Planning

What is needed to keep the BOMs up to date?

Engineering-change-order system.

True or false: The planning takes only calculated, but not fixed, lot size for each level in the material plan.

False

What is the first and foremost prerequisite to any effort to implement and deploy an MRP system?

Implementation planning.

Select two inputs for the parts explosion process.

Inventory records. Bill of materials.

Which inventory record segment contains detailed demand history?

Inventory status segment.

Which of the following is a very important issue in achieving economical production lots and purchasing orders?

Lot sizing.

What is another name for the shop-floor control system?

Manufacturing execution system.

What should be adjusted by managements, if sufficient capacity is not available? Select all that apply.

Master schedule Capacity

Which of the following is not true about master schedule?

Master schedule drives the entire production process.

Which inventory record segment contains item identifier?

Mater data segment

To manage manufacturing company computerized planning and control system called ______ can be used.

Materials requirements planning

Which of the following is integrated into enterprise resource planning system? Select all that apply.

Operations Finance Marketing Human resources

What pieces of information are needed before parts explosion? List all that apply.

Planned lead times. Bill of materials.

Which of the following is necessary to consider in the process of parts explosion? Select all that apply.

Purchasing lead time. Inventories of parts on hand. Inventories of parts on order. Production lead time.

Which concept should be considered for component parts?

Safety lead time.

True or false: The bill of materials can be presented schematically as hierarchy of actions and materials needed to complete these actions.

True

True or false: The past-due orders can be eliminated by the use of an MRP system.

True

Which is the best way to improve and maintain the accuracy of inventory records?

Use of the system of cycle counting.

Which type of inventory is used in MPR systems?

Work in process and raw materials.

Using the master schedule the top management can control ______.

customer service, inventory levels, and manufacturing costs

The annual physical inventory was substituted with

cycle counting

Job priorities are frequently calculated by

dispatching rules

The MRP system can be expanded into all business functions through the use of an

enterprise resource planning system.

The ______ requirements are the demand for finished product.

gross

MPR system is considered as an information system used to plan and control ______.

inventories and capacity

The objective in managing dependent-demand inventories with MPR is manufacturing oriented and it focuses ______.

inward

The planned lead time includes average waiting time which is much ______ than the actual working time.

longer

An MPR system is driven by the ___ schedule, which specifies the end items or output of the production function.

master

When safety stock is carried, it often is added at the ______.

master schedule

The bill of materials (BOM) is a structured list of all ______ to produce a particular finished product, assembly, subassembly, manufactured part, or purchased part.

materials or/and parts

Parts explosion process is an ___ of master schedule.

output

The process of ______ will determine all the parts and components needed.

parts explosion

The forecast for the order-point systems is based on the ______.

past demand

By developing and executing a valid material plan, management can eliminate much of the order expediting that usually is done by

purchasing

MPR system uses ______ philosophy as order philosophy.

requirements

The item master data segment of the inventory record contains ______. Select all that apply.

standard cost part number lead time

The objective in managing independent-demand inventories is ______. Select all that apply.

to provide a high customer service level to provide low inventory costs

To de-expedite orders means ______.

to slow them down