3450 final

which of the following statements about strategies for meeting uneven demand is/are true

-many companies like the idea of a level workforce -a combination of both level output and chase demand strategies may be a good idea - a chase demand strategy can cause instability in the workplace because plans can change frequently

which of the following statements about supply options for dealing with demand-supply mismatches are true

-subcontracting allows less control over output and may lead to higher costs and quality problems -the cost of inventory includes more than simply the storage cost for the items -overtime is advantageous because it can be implemented quickly, with almost no additional overhead

in lean production design what is the ideal lot size in numbers of units

1

steps for aggregate planning

1. determine demand for each period 2. determine capacities for each period 3. identify relevant company/departmental policies 4. determine all relevant costs 5. develop alternative plans and compute the costs for each 6. select the best plan

place the following steps for the A-B-C approach in the correct order

1. multiply annual volume by the unit price for each item 2. arrange items in descending order by annual dollar value 3. classify the items as a,B, or C

match the following inventory categories with the APICS recommendations for accuracy

A = +-.2 B = +- 1 C = +- 5

Aggregate planning

Intermediate-range capacity planning that typically covers a time horizon of 2-12

planning term associated with general levels of employment, output and inventories.

Long term decisions

planning term associated with product and service selection, facility, size and location, equipment decisions, and layout of facilities

Long term decisions

Planning term associated with achieving results within the perimeters of long and intermediate term planning

Short term decisions

what statistic used to analyze path probabilities

Z-statistic

select the best definition of value stream mapping

a visual tool to systematically analyze the flow of materials and information involved in bringing a product or service to a customer

which of the following is/are reasons companies engage in aggregate planning

accurate forecasting timing is impossible it can help synchronize flow through the supply chain it takes time to implement plans

what is the ultimate goal of a lean system

achieve a smooth uninterrupted flow where supply equals demand

----- planners try to match supply and demand within the constrains dictated by ---- or agreements, at minimum cost

aggregate policies

what is strategic sourcing in supply chain

analyzing the procurement process to lower costs by reducing waste, increasing profits, reduce risks and improve performance

which of the following are assumptions of the eoq model

annual demand is known lead time is known

----- inventories is inventory that has not yet been committed to a customer

available-to-promise

the goal of inventory management is to find a ---- between ---- ----- and keeping inventory ---- reasonable

balance customer service costs

which of the following statements about the master schedule are false

because it is derived fro the aggregate plan, the numbers in the master plan match those in the aggregate plan it is used at the operational level, not by higher-level management

which of the following data sources is an input for the master schedule

beginning inventory

which of the following are inputs to the master schedule

beginning inventory forecast for each period customer orders

similar to the theory of constrains, critical chain project management uses what o support the critical path

buffers

a ------ ------ strategy matches planning ------- to expected demand fro each period

chase demand output

which are three important factors in choosing a strategy for meeting uneven demand

company policy, flexibility, costs

Trial and error approaches

consist of using tables or graphs that enable planner to visually compare projected demand requirements with existing capacity

which of the following are characteristics of a lean system

continuous improvement waist reduction quick changeovers

what are the main considerations to be made prior to adoption of lean operations

cost and other resources required to convert to lean length of time to convert from traditional systems whether running on a tight schedule is desired

the term used in project management to shorten an activity by applying additional resources to it is to ---- it

crash

in lean systems, production is based on which of the following inputs

customer demand

products are sometimes returned to companies or third-party handlers for which reasons

defective items or parts replaced in the field unsold or obsolete products obsolete or recalled items

when interpreting network diagrams in PERT/CRM, if the time estimates are fairly certain they are said to be what

deterministic

reducing one or more steps i the supply chain is known as what

disintermediation

supply chain ---- can inhibit operations due to minimal inventory levels

disruptions

at which point in an order cycle is the risk of a stockout occurring the greatest

during the lead time for an order that has been placed

in order to achieve a balanced, rapid flow through a lean system, disruptions must be minimized? what are some causes of disruptions in production

equipment breakdowns late deliveries from suppliers quality problems

all of the following about strategic sourcing except

focuses on purchase price instead of total cost

which are the correct descriptions of the three time fence phases

frozen, slushy, liquid

which of the following is not a way to deal with variations

get as accurate a forecast as possible for future demand

aggregate planning takes a high-level approach to planning, focusing on ----- of similar products and services rather than on ---- items

groups individual

what are some of the benefits of cross-training workers, a personnel management method often used in a lean organization

helps with system bottlenecks for line balancing purposes adds flexibility when a co-worker is absent

which of the following about aggregate planning is not true

if capacity and demand are approximately equal for the planning period, no additional work is required aggregate planners try to ensure that capacity always exceeds demand

which of the following are considered types of inventory in a manufacturing facility

in transit goods finished goods raw materials maintenance and repairs work in process

which of the following types of inventory are items that are ready to be sold

independent- demand items

techniques for aggregate planning fall into two categories: ------ techniques and ------- techniques

informal mathematical

sales and operations planning makes ------ range decisions to balance supply and demand, integrating financial and operations planning. It should be shared with supply chain partners

intermediate

Sales and operations planning

intermediate-range decisions to balance supply and demand, integrating financial and operations planning.

manufacturing firms have used ---- as buffers between successive operations to maintain continuity of production that would otherwise be disrupted by events such as breakdowns of equipment and accidents that cause a portion of the operation to shut down temporarily

inventories

which of the following statements about the economic production quantity is/are true

inventory "trickles in" as it is produced unlike the eoq model, there are no ordering costs

which of the following is the correct formula for projected on-hand inventory

inventory from previous week - current week's requirement

what is meant by the term bullwhip effect in inventory management

inventory oscillations become progressively larger looking backwards through the supply chain

which of the following are differences between manufacturing and service aggregate planning

it can be difficult to measure or define capacity availability in services services cannot be inventoried employees in services are often able to handle a wider variety of tasks, making labor a little more flexible

what is the main disadvantage of a linear programming approach to aggregate planning

it can only optimize one objective

which of the following statements about intermediate and aggregate planning is/are true

it is included in business plans along with long-term planning aggregate planning decisions define the framework in which operating decisions will be made

which of the following statements about single-period model is/are true

it is used for ordering items that have a limited lifespan it minimizes costs of shortage and excess

which of the following statements about intermediate planning is true

it relates to general levels of employment, output, and inventories

which of the following data sources is not an input for aggregate planning

lead times for purchased parts and components

a ---- ------ strategy maintains a ------ rate of regular-time output while meeting variations in demand by a combination of options

level capacity steady

in order to make JIT/Lean system flexible to handle a variety of products what two things must be reduced

long setup/changeover times and long lead times for vendors

which of the following is not a benefit of lean systems

lower cost due to economies of scale in production

is correct about planning a successful conversion to Lean/just-in-time operations

management and employees must be convinced of benefit and receive training prior to conversion to avoid obstacles

select the four building blocks which support the goals of lean/just-in-time systems from the following list

manufacturing, planning and control process design personnel and organizational elements product design

a value stream map looks for waste and improvement opportunities and collects which of the following data about the process

mistakes distances times

advantages that RFID tags have over bar codes

multiple RFID tags can be read simultaneously, whereas bar codes must be scanned individually more info line of sight

what is the supplier relationship like when the vendor is viewed as an partner

openness and sharing of strategic and tactical information readily occurs price is moderately important but flexibility is very important one or few number of suppliers

customer ------ refer to the units that have already been committed to customers

orders

which of the following statements about the EOQ model is/are true

orders are placed when there is just enough inventory left to cover the lead time demand the EOQ minimizes the sum of annual ordering and holding costs

supply chain partners should be consulted during the ----- stage, especially if new or ---- products are involved

planning changed

which of the following describes the aggregate planning strategies for dealing with mismatched supply and demand

proactive, reactive, mixed

JIT/Lean, a low-inventory scheduling system with minimal waist where supply equals demand must have what in place to work properly

processes and equipment with high reliability to minimize breakdowns flexibility to handle a variety of products/services employees who continuously improve the process no disruptions from quality problems

select the best definition of level loading

producing at the same rate or quantity each day

which of the following are outputs of the aggregate planning process

projected levels of subcontracting projected levels of inventory total cost of a plan projected levels of output projected levels of employment

which of the following are possible demand options for dealing with demand-capacity mismatches

promotion new demand pricing back orders

The master production schedule indicated the ------ and ----- of planned complete production

quantity timing

---- ----- enable process flexibility and output variety in a lean system

quick changeovers

which of the following statements about reorder point ordering is/are true

safely stock is required if lead time is variable safety stock is required if demand is variable

----- cost is the unit unrealized profit while ---- cost is the difference between the purchase price and salvage value of an item

shortage excess

a gantt chart showing process of activities is best used for what type of project

simple project

how does setup time reduction contribute to lean process design

smaller lot sizes mean more setups (changeovers of equipment). Smooth, rapid flow is the goal

which of the following statements about inventory control systems is/are true

some businesses are moving toward using RDIF tags to track inventory orders in two-bin systems may not be placed at the right time

inventory is a ---- stock or ---- of goods

stock store

what are some of the major obstacles encountered when converting to lean/just-in-time operations from traditional methods

suppliers may resist... management may resist... the organization's culture may not be....

which of the following statements are correct about PERT/CRM

tells how long an activity can be delayed without delaying the project useful for large-scale projects to indicate the most critical activities provides an estimate of completion time for the overall project schedule

rough-cut capacity planning is the validation of a ---- master schedule. It ensures the ----- of a master schedule

tentative feasibility

in PERT/CPM if a time estimate is said to be probabilistic what does that mean

the activity duration is subject to variation

which of the following statements about disaggregating the aggregate plan is not true

the aggregate plan must be broken down by units

what is the definition of holding cost in the EOQ model

the cost to carry a single unit of inventory for a length of time

which of the following statements about demand options for dealing with demand-supply mismatches are true

the degree of price elasticity affects how well pricing strategies will work promotions could exacerbate the demand-capacity mismatch automatic back orders are a useful way to shift demand fulfillment from one period to the next

which of the following is not a reason for using the fixed-order-interval model

the firm desires to minimize inventory requirements

which of the following statements about time fences is true

the further out a proposed change is, the easier it is to make it.

what is the best definition of supply chain

the sequence of organizations-their facilities, functions, and activities-that are involved in producing and delivering a product or service

which of the following best describes the two parts of the value chain- the supply and demand components

the supply component starts at raw materials and ends in the organization. The demand component is from delivery of output to the final customer

which of the following is the main disadvantage of trial-and-error techniques using spreadsheets for aggregate planning

they do not necessarily result in an optimal plan

the aggregate planners for a plan that is a ----- projection of service staff requirements

time-phased

why is it essential to take supply chain capabilities into account when doing aggregate planning

to make sure there are no timing issues to make sure there are no quantity issues

which of the following is an example of "elimination of disruptions" for lean services

try to avoid having workers who are servicing employees also and telephones

match the formulas for stock level in the single-period model to their corresponding distributions

uniform distribution = mean + Z... normal distribution = mean + SL...

a supply chain is alternatively referred to by what name

value chain

in the kaizen philosophy --- is the enemy

waste

when is production triggered

when the projected on-hand inventory becomes negative

lean manufacturing started in Japan

which of the following statements about lean manufacturing is true