SCM exam 2

For effective management, companies should focus on processes, not people when assessing outcomes of a production line.

false

Longer forecast horizons always provide better forecasting accuracy.

false

The most common root cause of quality problems (identified with the assistance of the Pareto chart) is ALWAYS the best one to target for quality improvement.

false

Which of the following is not a "right" of purchasing?

in the right mood

Companies should use the upper and lower specification limits as control limits.

false

The shorter the TAKT time, the better.

false

If the population production mean is exactly at the target production level and the Process Capability Ratio is 1, how far from the mean is the upper specification limit?

3 SD

lean was started as

As Toyota wanted to emulate Ford's efficiencies without huge inventory build-up it saw at Ford.

Which of the following are not competitive advantages of lean operations?

Constantly staying up to date on the latest manufacturing equipment and robotics

One of the scary things about implement lean is:

It requires management to give up some control

The concept of lean six sigma:

Joins lean practices and quality practices

The "flow the process" step of lean production includes:

Moving to a continuous flow production line

In order to adapt the TPS to other cultures, the eight waste of ________ was added.

Not utilizing people's talent

A large real estate developer has a history of paying bills to contractors very late, often more than 120 days after work is delivered. They are also notorios for renegotiating prices after services and products have been delivered, strongarming their suppliers to lower prices. What are the possible implications for the supply chain?

Suppliers' liquidity can suffer, driving up their costs and possibly increasing costs for the whole supply chain.

When looking at the waste of motion versus transportation:

Transportation involves a transportation mode Motion specifically deals with the movement of people

want CPK to be

greater than or equal to 1 measures if we are actually between the lines

A process to make strike-anywhere matches produces matches satisfying length specifications. The matches must be shorter than 2.5" to fit in the match box, and the matches must be longer than 2.0" so that the customers don't scrape their hands while lighting the matches and so they don't burn their fingers while trying to use the lit matches to light campfires. The average length of matches produced is the same as the target length of matches and is equal to 2.25". The standard deviation for the matches produced is 1/18". What is the Process Capability Ratio?

1.5

According to the text, what was the reason Clark-Cutler-McDermott Co. declared bankruptcy?

Because the amount of business they received from GM forced them to operate above capacity

control limits

Control Limits The dividing lines between random and nonrandom deviations from the mean of the distribution Upper and lower control limits to define the range of acceptable variations Each point on the control chart represents a same of n of observations

Which of the following is a common advantage of sales and operations planning?

During product management review, companies can ensure that ensure a healthy innovation pipeline so that they have the right mix of products to meet customer needs profitably. During demand review, the firm can clarify assumptions, risks, and opportunities.

When assigning weights for weighted moving averages for forecasting, under which circumstances should a strong emphasis with respect to weights be placed on the most recent data?

For products that have recently been launched and are developing dynamically. If disruptions in the market have recently changed the rules of the competitive game.

Zara manages is supply chain risk through:

Using flexible factories Buying capacity from suppliers so that the suppliers can respond quickly

When using a simple moving average, the larger the number of periods used, the more responsive the forecast will be to a chaotic or fluctuating environment.

false

Frank and Eva Mae are inspecting the quality of the record cutting process in their boutique vinyl shop. They have had some complaints that recent records had more glitches during playback. They map the quality of some sample records on a control chart and they can see a trend seems to emerge that more records show glitches although they are still well within the control limits of their specifications. An argument ensues because Eva Mae is determined to investigate with their staff due to these shortcomings in quality. Frank thinks there is no need for action because the process is within control limits. Which of the following are valid arguments in this discussion?

The glitches might indicate special cause variation and warrant further investigation. Trends should always be taken seriously, even if control limits are not breached.

why is it so important to make problems in processes visible?

because problems will occur. because problems will lead to inefficiencies and thus harm performance. because you can only manage what you can measure and identify.

what constitutes quality and how is it defined

conformance to specifics doing the right thing the first time meeting customer expectations product quality performance, features, reliability, durability

forms of waste

defects overproduction waiting neglecting knowledge transportation inventory motion excessive processin

Which of the following are critical processes for implementing lean techniques?

eliminate process waste eliminate waste time and space

Exponential smoothing incorporates information from the most recent actual results with information from the most recent forecast. To increase the responsiveness of the forecasting process, a manager should __________________ the smoothing constant (a).

increase

want CP to be

larger than 1 meaning it is capable shows if process is capable of meeting quality requirements

quadrants in the matrix A B C D

leverage critical routine bottleneck

Identify the bottlenecks

map the process track the flow of units determine the capacity of each resource identify resources with the lowest capacity relative to its flow of units

Connecticut Consulting Company (CCC) helps diagnose and solve quality production problems. Their most recent client has several out-of-control samples; but CCC recommended against costly root cause analysis since the process was still producing parts well within specification limits. Did CCC make a sound recommendation based on current quality control best practices?

no

what is quality

overrated performance relative to expectations

Match the steps in the PDCA process with the descriptions: plan do check act

plan - analyze situation do - implantation of the plan check - compare the implementation of the plan act - close the gaps between plan and do

Which of the following should most likely be considered the most impactful (as in largest component) cost in the total cost of quality equation?

prevention costs

which of the following is NOT a focussing step in the Theory of Constraints?

prioritize

the power of lean

reduced cost of sorting inventory/WIP

triple bottom line

social, environment, economical

which of the following is not a dimension of product quality

tangibility

service quality

tangibles, reliability, responsiveness, assurance, empathy more difficult to measure or evaluate

What are the underlying constraints of the theory of principles

the goal of business is to make money increasing operating expenses does not lead to more throughput unless constraints are addressed

what is a good description or analogy of a bottleneck in process design

the weakest link in the chain the size of the opening that determines the outflow amount and speed of liquid from a container.

A larger Process Capability Ratio is generally preferred over a smaller Process Capability Ratio.

true