BA 339 Midterm

What does RSFE in forecasting stand for

Running some of forecast errors

Which of the following is not a way that operations and supply processes are categorized?

Selecting

Best operating level is the volume of output at which average unit cost is minimized

True

Capacity flexibility means having the ability to rapidly increase or decrease production levels, or to shift production capacity quickly from one product or service to another

True

Course service providers integrate tangible goods into their product

True

Economies of scope exist when multiple products can be produced at a lower cost in combination then they can separately

True

In studying positioning of inventory and supply chains, which, if any, of the following is most appropriate?

- As ordered Dicupling point moves towards source, inventory investment goes down -as ordered decompling point moves towards the source, customer lead time gets longer

In general, which forecast in timeframe is best to detect general trends

Long range forecast

Which of the following are not listed in the text as jobs in OSCM?

Data center manager

In studying product process matrix describing layout strategies, which of the following is most appropriate?

As you move from project manufacturing cell to continuous process, product volume increases while standardization increases

Matching the production rate to the order right by hiring and laying off employees as the order right berries is which of the following pure production planning strategies?

Chase

The ability to rapidly and inexpensively switch production from one product to another enables what are sometimes referred to as:

Economies of scope

A decision tree problem does not need probabilities or payoffs to generate a solution

False

OSCM is concerned with management of the trickiest parts of the system that produces a good or delivers a service.

False

The probability of each occurrence at a decision tree chance node is the reciprocal of the number of possibilities at the chance note

False

Sustainability is the ability to maintain profits in a system

False, sustainability is the ability to maintain balance in a system

The larger the capacity cushion the better

False:

A capacity cushion is the amount of capacity less than expected demand

False: a capacity cushion is the amount of capacity in excess of expected demand

For every forecasting problem there is one best forecasting technique

False: a good strategy is to use two or three methods

In a decision tree, the only time probabilities are applied to a decision note is when the decision is being made by someone else such as you customer or your competitor

False: decision trees are composed of decision nodes with branches to and from them

Do you efficiency of an assembly line is found by a ratio of the sum of all task times divided by the cycle time

False: efficiency = some of task times/no. of workstations* cycle time

It is difficult to identify the trend in time series data

False: in practice it is relatively easy to identify the trend and the seasonal component

Investors pay close attention to efficiency and productivity measures like net income per employee because they are interested in how well the firm manages its workforce relations.

False: investors are most often interested in financial returns

There are no differences in strategic and tactical forecasting. A forecast is a mathematical projection and its ultimate purpose should make no difference to the analyst

False: it is important to consider the purpose of the forecast some forecast for very high-level demand analysis

Overtime and Personnel transfers are solutions to capacity problems in the intermediate term

False: short range... Less than one month

In a multi factor measure of productivity the numerator of the ratio would include all resources used or all inputs

False: the denominator includes several but not all inputs

One of the competitive dimensions that form the competitive position of a company when planning their strategies is Making the best trade off

False: the major competitive dimensions that form the competitive position of a firm do not include making the best trade off

The time needed to respond to a customers order is called the customer response time

False: the time needed to respond to a customer order is called the leadtime

The smaller the capacity cushion the better

False: this is not necessarily true

The problem of keeping demand sufficiently high to keep a large factory busy is a sales issue and not a diseconomy of scale

False: well this can be viewed as a sales issue, it is one brought on by the large scale of operations and is this also a diseconomy of scale

In balancing an assembly line workstation cycle time has to be less than the time between successive units coming off the end of the line

False: workstation cycle time is defined as the time between successive units coming off the end of the assembly line

Indecision tree analysis the time value of money is ignored because you're only concerned with cash costs

False: you work from the end of the tree backwards to the start as you work back, you calculate expected values at each step.

In business forecasting, what is usually considered a short term time period?

Less than three months

What is a production planning strategy presented in the textbook?

Level

Which of the following forecasting methodologies Is considered a casual forecasting technique?

Linear regression

Capacity planning involving acquisition or disposal of fixed assets such as buildings, equipment or facilities is considered as which of the following planning horizons

Long range

Which of the following is a partial measure productivity?

Output/materials

If all you knew about a production system was that total daily output was 400 units and the total labor necessary to produce the 400 units was 350 hours, what kind of productivity measure could you use to compute productivity?

Partial measure

In general, which forecast in timeframe compensates most effectively for random variation and short-term changes

Short term forecast

Which of the following forecasting method can be used for short term forecasting

Simple exponential smoothing

When balancing an assembly line, which of the following is not a way to reduce the longest task time below that required workstation cycle time?

Speed up the assembly line transfer mechanism

In development of an operations in supply chain strategy, which of the following may be an important product specific criteria to consider?

Supplier after sale support

Because the factors governing demand for products are very complex, all forecasts of demand contain error

True

A difference between project and continuous flow categories of process flow structures is which two of the following

The size and bulk of the product

Aggregate sales and operations planning a curse on a monthly cycle typically

True

And operations and supply chain strategy must be integrated with the organizations corporate strategy

True

At some point, the size of a growing plant can become too large and diseconomies of scale becomes a capacity planning problem

True

Attempting to balance the desire to efficiently use resources while providing a highly effective service may create conflict between the two goals

True

Because services cannot be stored for later use, services managers considered time as one of their supplies or resources

True

Exponential smoothing forecasts always lag behind the actual occurrence but can be corrected someone with a trend adjustment

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

In designing a production layout a flexible line layout might have the shape of a U

True

In exponential smoothing, it is desirable to use a higher smoothing constant when forecast in demand for a product experiencing high growth

True

In services, once the aggregate staffing levels determined, the focus is on short term workforce in customer scheduling

True

MAD Statistics can be used to generate tracking signals

True

The basic notion of economies of scale is that as a plant gets larger in volume increases, the average cost per unit of output drops

True

The central idea of supply chain management is to apply a total system approach to managing the flow of information, materials, and services from raw material suppliers through factories and warehouses to the end customer.

True

The objective of strategic capacity planning is to determine the overall capacity level of capital intensive resources that best supports the companies long range competitive strategy

True

The term assembly line refers to progressive assembly linked by some material handling device

True

Within a sustainability framework, the economic dimension of the triple bottom line concept goes beyond just profit for the firm but also provides lasting economic benefit to society

True

Workstation cycle time = production time per day/required output per day in units

True

Workstation cycle time is the time between successive units coming off the end of the assembly line

True

The volume requirements for the product are one determinant of the choice of which process structure to select

True: C = production time per day/required output per day

In an overview of the major operations, planning activities in a typical service organization, which of the following activities follows aggregate sales and operations planning?

Work for scheduling

Which of the following basic types of process structures is one which similar equipment or functions are grouped together

Workcenter