Production and Logistics Test 2

The basic outsourcing decision rests on what 6 factors

1) Cost 2) Capacity 3) Quality 4) Speed 5) Reliability 6) Expertise

What are the 7 steps of building a flow chart

1) Determine the objectives 2) Define the process boundaries 3) Define the units of flow 4) Choose the type of chart 5) Observe process and collect data 6) Map out process 7) Validate chart

What are the six steps to line balancing

1) Draw and label a precedence diagram 2) Calculate the desired cycle time required for the line 3) Calculate the theoretical minimum number of workstations 4) Group elements into workstations, recognizing cycle time and precedence constraints 5) Calculate the efficiency of the line 6) Determine if the theoretical number of workstations or an acceptable efficiency level has been reached

What are the four characteristics of economies of scale

1) Fixed costs can be spread over a larger number of units 2) Production or operating costs do not increase linearly with output levels 3) Quantity discounts are available for material purchases 4) Operating efficiently increases as workers gain experience

Define the key for Muther's grid

A=Absolutely Necessary E=Especially Important I=Important O=Okay U=Unimportant X=Undesirable

What is the maximum workstation time on the line

Actual cycle time

Any alternative that involves an outlay of funds is considered a capital investment

Capital investment

What attempt to combine the flexibility of a process layout with the efficiency of a product layout

Cellular layouts

What does COMSOAL stand for in computerized line balancing

Computer Method for Sequencing Operations for Assembly Line

What does COSMOS stand for in regards to computerized layouts

Computerized Optimization and Simulation Modeling for Operating Supermarkets

What does CRAFT stand for in computerized layout solutions

Computerized Relationship Allocation of Facilities Technique

What does CORELAP stand for in computerized layout solutions

Computerized Relationship Layout Planning

What are sensors used to control automated equipment and communicate information to remote locations referred to collectively

Industrial Internet of Things(IIoT)

What take a long time to complete, involve a large investment of funds and resources, and produce one item at a time to consumer order

Projects

What study allows the team to try something, see if it works, modify it, and try again

A pilot study

What are the three basic strategies for the timing of capacity expansion in relation to a steady growth in demand

1) Capacity lead strategy 2) Average capacity strategy 3) Capacity lag strategy

What are the steps to formulating a set of rules using the breakeven analysis

1) Formulate a total cost equation for each process considered 2) Calculate the point of indifference between two alternative processes by setting their total cost equations equal to each other and solving for V, the demand volume 3) Above the point of indifference, choose the alternative with the lowest variable cost 4) Below the point of indifference, choose the alternative with the lowest fixed cost

What are the four disadvantages of cellular layouts

1) Inadequate part families 2) Poorly balanced cells 3) Expanded training and scheduling of workers 4) Increased capital investment

What are the six advantages of cellular layouts

1) Reduced material handling and transit time 2) Reduced setup time 3) Reduced work-in-process inventory 4) Better use of human resources 5) Easier to control 6) Easier to automate

What are the four elements included in a firm's process strategy

1) Vertical integration 2) Capital intensity 3) Process Flexibility 4) Customer involvement

What constitutes being nonadjacent

A distance farther than the next block

What consists of numerous programmable machine tools connected by an automated material handling system and controlled by a common network

A flexible manufacturing system

What does ASYBL stand for in computerized line balancing

Assembly Line Configuration Program

What are "bills of material"

Assembly charts

What are product layouts also known as

Assembly lines

What type of services are invisible to the customer

Back office

What does composite movement refer to

Back-and-forth movement between each pair of departments

What is the total idle of the line called

Balance decay

What process many different jobs through the production system at the same time in groups or batches

Batch production

In a flexible manufacturing system, when does the setup activities take place

Before the part reaches the machine

What is the percent of capacity utilization that minimizes average unit cost

Best operating level

What is created by "blocking in" the work areas around the departments on the grid

Block diagram

That are added only if an activity can contribute to the output goal

Blocks

What examines the cost of trade-offs associated with demand volume

Breakeven analysis

What is the maximum capability to produce

Capacity

What is the percent held in reserve for unexpected occurrences

Capacity cushion

What happens under capacity lead strategy

Capacity is expanded in anticipation of demand growth

What happens under average capacity strategy

Capacity is expanded to coincide with with average expected demand

What happens under capacity lag strategy

Capacity is increased after an increase in demand has been documented

What is a strategic decision that establishes a firm's overall level of resources

Capacity planning

What is used for very high volume commodity products that are very standardized

Continuous production

What is the role of the customer in the production process

Customer involvement

What are restrictions on line balancing that refers to the maximum amount of time the product is allowed to spend at each work station if the targeted production rate is to be reached

Cycle time

What uses advanced digital technologies to integrate product, process, manufacture, and information technology over the life of the product

Digital manufacturing

What is when higher levels of output cost more per unit to produce

Diseconomy of scales

What occur when it costs less per unit to produce or operate at high levels of output

Economies of scale

What is the advantage of the product layout

Efficiency and ease of use

What refers to the arrangement of activities, processes, departments, workstations, storage areas, aisles, and common areas within an existing or proposed facility

Facility layout

What are the two costs associated with breakeven analysis

Fixed and variable

Which cost remains constant regardless of the number of units produced

Fixed costs

What layout is used in projects where the product produced is too fragile, bulky, or heavy to move

Fixed-position layouts

What is the time required to complete an item

Flow time

What type of layout encourages browsing, increases impulse purchasing, and is flexible and visually appealing

Freeflow layouts

What type of services are in full view of the customers

Front office

After a successful pilot study, __________begins

Full-scale implementation

What are process layouts also referred to as

Functional layouts

What type of layout encourages customer familiarity, are low cost, easy to clean and secure, and good for repeat customers

Grid layouts

What contains only the essential building blocks of a proecss

High-level process map

What are used when a company is entering a foreign country for the first time or as a condition for operating in another country

Joint ventures

True/False: Line balancing is basically just a trial and error process

Line balancing

What layouts fall between the extremes of free flow and grids

Loop layouts and spine layouts

What produces large volumes of a standard product for a mass market

Mass production

What industries are product layouts suitable for

Mass production or repetitive operations in which demand is stable and volume is high

What type of diagram is used for manager's preferences on location

Muther's Grid

The aisles in a product layout are________________(wide or narrow)

Narrow because the material is moved close to the station

What is the volume at which the total cost of manufacturing is the same for the two processes

Point of indifference

Where would you position a machine that cannot be split among cells that use them

Point of use

What is a network with work elements represented by circles or nodes and precedence relationships represented by directed line segments connecting the nodes

Precedence diagrams

What are physical restrictions on the order in which operations are performed on the assembly line

Precedence requirements

What is a group of related tasks with specific inputs and outputs

Process

What determines how a product will be produced or a service provided

Process Planning

What is the systematic examination of all aspects of a process to improve its operation

Process analysis

What defines what tasks need to be done and how they are to be coordinated among functions, people, and organizations

Process design

What looks at the manufacture of a product or delivery of a service from a broad perspective

Process flowchart

What type of projects are typically chartered in response to a breakthrough goal for rapid, dramatic improvement in process performance

Process innovation

Most service organizations use what type of layout

Process layouts

What groups similar activities together in departments or work centers according to the process or function they perform

Process layouts

What are a set of documents that detail manufacturing and service delivery specifications

Process plans

What is an organizations overall approach for physically producing goods and providing services

Process strategy

What arranges activities in a line according to the sequence of operations that need to be performed to assemble a particular product

Product layouts

What is a group technology technique that reorders part routing matrices to identify families to identify families of parts with similar processing requirements

Production flow analysis

What set of data is used with relationship diagramming

Qualitative

What set of data is used with a block diagram

Quantitative

What type diagram is constructed using a Muther's grid

Relationship diagramming

_________________on a per-unit basis is simply the price at which an item is sold

Revenue

What type of shops will most likely use a process layout

Service shops, job shops, or batch production

What are the most important product characteristics

Standardization and demand volume

What does SLIM stand for in computerized layouts

Store Labor and Inventory Management

What signify that the supplier is an important long-term partner, and the cost or consequences of switching suppliers would be significant

Strategic alliances

What is process flexibility

The ease with which resources can be adjusted in response to changes in demand, technology, products or services, and resource availability

What is vertical integration

The extent to which the firm will produce the inputs and control the outputs of each stage of the production process

What is capital intensity

The mix of capital and labor resources used in the production process

True/False: Capacity can be increased incrementally or in one large step

True

What is the quantity in which material is normally moved

Unit load

What cost vary with the volume of units produced

Variable costs

A firm that sells the products, assembles the products, makes all of the parts, and extracts the raw material is completely____________

Vertically integrated

What is the level of production

Volume

What are the components of breakeven analysis

Volume, cost, revenue, and profit

What are the smallest, indivisible portions of jobs called

Work elements

What decisions involve large sums of money and can have a tremendous impact on the cost, speed, quality, and flexibility of the operations

`Technology decisions