SCMT T/F Questions
A central premise of exponential smoothing is that more recent data are less indicative of the future than data from the distant past.
false
An improvement-driven reason for outsourcing is that it can increase cycle time.
false
Facility location decisions are made using analytical techniques that typically weigh a large number of different variables equally.
false
Fixed-time-period inventory models are "event triggered."
false
Logistics is a term indicating transportation choices for goods produced internationally but consumed domestically.
false
One of the basic purposes of inventory analysis in manufacturing and stock keeping services is to determine the level of quality to specify.
false
Run time is calculated by multiplying the number of units in a batch by the setup time
false
Throughput rate of a production process is the amount of time a unit spends actually being worked on.
false
Trend lines are usually the last things considered when developing a forecast.
false
Utilization of a production process is the ratio of output to input.
false
A restriction in using linear regression is that it assumes that past data and future projections fall on or near a straight line.
true
Acceptance sampling is performed on goods that already exist to determine what percentage of items conforms to specifications.
true
Because the world is becoming more highly interconnected, the proximity of an important supplier's plants is not crucial in supporting lean production methods
true
Design quality refers to the inherent value of the product in the marketplace.
true
Functional products include staples that people buy in a wide range of retail outlets, such as gas stations.
true
If you want to reduce process flow time, it has been suggested that you can perform activities in the process in parallel.
true
It is impossible to have zero variability in production processes.
true
One SPC tool used in total quality management is the Pareto chart.
true
One characteristic of a well-designed service system is that it is cost-effective.
true
The objective of strategic capacity planning is to determine the overall capacity level of capital intensive resources (including facilities, equipment, and overall labor force size) that best supports the company's short-range competitive strategy.
FALSE
The only major supply chain processes are planning, sourcing, delivering, and returning.
FALSE
The second step in managing a project is writing the statement of work.
FALSE
When plotted on a graph, the learning curve can't be expressed as logarithm.
FALSE
Work-center layouts allocate dissimilar machines into cells to work on products that have dissimilar processing requirements.
FALSE
One hundred percent inspection is justified when the cost of inspection is low.
False
"Operations" refers to manufacturing and service processes used to transform resources employed by a firm into products desired by customers.
TRUE
An operations and supply chain strategy must be integrated with the organization's corporate strategy.
TRUE
Concept development is one of the typical phases of product development.
TRUE
In a forecasting model using simple moving average, the shorter the time span used for calculating the moving average, the closer the average follows volatile trends.
TRUE
One difference between an assembly line process flow and a continuous process flow is that on the assembly line, the flow is discrete rather than continuous.
TRUE
One of the advantages of a functional project organizational structure is that a team member can work on several projects.
TRUE
One of the assumptions made using CPM is that project activity sequence relationships can be specified and networked.
TRUE
One of the methodologies that can aid in designing a new product for customers is a house of quality matrix.
TRUE
Productivity is a relative measure.
TRUE
The process when a company seeks to match the benefits of a successful position while maintaining its existing position by adding new features, services, and technologies into its current portfolio is called straddling.
TRUE
A process can be effective without being efficient
True
An important aspect of service products is that they cannot be inventoried.
True
Facility location analysis considers the competitive imperative of locating near the appropriate labor pool to take advantage of high technical skill
True
A piece of equipment with twice the capacity of another piece typically costs twice as much to purchase and to operate.
FALSE
An assumption of learning curves is that the time required to complete a unit will increase at an increasing rate as the cumulative number of units completed increases.
FALSE
An event unit package is a subdivision of a project.
FALSE
An operations strategy must resist change because of the long-term nature of equipment and personnel investments.
FALSE
Because little or no inventory is carried in a service operation, it is easy to separate the operations management functions from marketing in services.
FALSE
Break-even analysis can only be used in production equipment decision making when dealing solely with variable costs.
FALSE
Capacity can be defined as the input that a system is capable of achieving over some unit of time.
FALSE
Core competencies are those things that everyone in the firm must be able to do well.
FALSE
Economies of scale and the learning curve have opposite effects on capacity.
FALSE
Efficiency means doing the right things to create the most value for the company.
FALSE
Safety stock is not necessary in any fixed-time-period system.
FALSE
Conformance quality is a strategic decision for a firm.
False