Ferrin Final
As discussed in class which is not a dimension of supply chain responsiveness?
Maximize the number of geographic locations in which the supply chain maintains physical facilities (e.g. manufacturing plans and/or warehousing distribution centers)
In a six sigma quality improvement program, a Pareto chart is likely to be used during which DMAIC category?
Measure
Performance measurement is one of the six basic concepts of total quality management (TQM) which, in a TQM environment, is not a use for performance measurement data?
Minimize the number of equipment setups required to complete scheduled production
In simple exponential smoothing forecasting, as the value of the smoothing constant (a) increases,____ emphasis is put on the most recent data, so the forcast becomes____ responsive.
More; more
According to the Textbook which is a type of waste a firm should emliminate?
Motion
Which, according to the video "Aligning Supply & Demand: Creating the Right Supply Chain" is not one of the activities making up the physical function of the supply chain?
New product development
According to the text, which of these is a partial measure of productivity?
Output/Materials
According to the textbook which of these is a type of waste a firm should eliminate?
Overproduction
Which of these IS NOT an analytical tool used in a six sigma quality improvement program?
Pass Charts
In most cases, demand for products or services can be broken down into seveal components. Which, according to the text, is not considered a component of demand?
Past Data
In the plan do check act (PDCA) cycle, "Do" means____
Perform according to plan
According to the textbook, which is a suggestion for managing queues?
Periodically close the service channel to temporarily disperse the line
The philosophical leaders of the quality movement, Philip Crosby, W. Edwards Deming, and Joseph M. Juran had the same general message about what it took to achieve outstanding quality. Which of these was NOT part of that message?
Quality is free
According to the trext, implement a flow process in a leab production environment, a firm might do which of these?
Reduce setup/changeover time
According to the textbook, which of these is a benefit of group technology (GT)?
Reduced waiting time between process operations
According to the textbook, which is a suggestion for managing queues?
Segment customers
As discussed in class, capacity available is____?
The total amount of output the process can generate in a given amount of time
You have just performaed a critical path method (CPM) analysis and have found more than one path through the project network has zero slack. What does this tell you (what can you conclude)?
There are multiple critical paths through the project network
As discussed in class, which is true about supply chain profitability?
Supply chain profitability is defined as the total profit generated by all entities in the supply chain
According to the video "Aligning Supply & Demand: Creating the Right Supply Chain," which is not a factor considered in categorizing an item as function or innovative?
Susceptiability to loss & damage
There are many applications of poka-yokes in service organizations. Which is one of the three T's used to classify poka-yokes?
Task
A firm incurs ownership costs after the initial purchase. Ownership costs are associated with the ongoing use of an item. Which of these is not, according to the textbook, an ownership cost?
Taxes
Which is not a component of order cost?
Taxes
The manufacturing dimension of quality refers to___?
The ability of the manufacturing process to achieve the precision necessary to meet the specification & tolerances established in the product design
The video "assembly line" describes manufacturing flexibility as:
The ability to produce whatever the market demands, whenever they demand it
As discussed in class, cash to cash cycle time refers to___?
The amount of time it takes a firm to collect accounts recievables from customers once the firm has paid its accounts payable to suppliers
In production planning, the concept of capacity refers to___?
The capability of the business process to produce & deliver output
As discussed in class, supply chain efficiency is measured in terms of____?
The cost of making & delivering products to customer
The product design dimension of quality refers to____?
The design of the product must incorporate the basic quality requirements necessary to give the item the attributes (appearance, price, expected performance) identified through market research.
Which, according to the video "Aligning Supply & Demand: Creating the Right Supply Chain", supply chain risk is defined as _______________ ?
The firms ability to efficiently and effectively coordinate (i.e, balance) supply and demand
As discussed in class, the short run, business process capacity is____?
The quantity of work that labor & equipment can perform in a given time period
As discussed in class, efficiency refers to_____?
The ratio between inputs & outputs (i.e. an efficient firm maximizes output per unit of input)
In production planning, the concept of priority refers to____?
The sequence of activities that make up the business process
For which of these should an "X-bar chart" be used to monitor process quality?
Tire pressures in an auto assembly plant
Which of these is one of the main purposes of a materials requirements planning (MRP) system?
To determine the amount of material needed to produce each end item
Design of experiments is a statistical methodology often used in a six sigma quality improvement projects. Which of these is a goal of design of experiments in a six sigma project?
To determine the cause and effect relationships between process variables and output
which is a reason firms hold inventory?
To meet Variation in item demend
Imagine comparing a manufacturing operation using regular lot-sizing and the same operation with a Kanban/lean production approach. What difference would you expect between the total cost (i.e., inventory holding cost + setup/ordering costs) of each approach?
Total cost will be lower for the lean production/Kanban operation
In a make to stock environment, total production required for a level production plan is given by___?
Total production required= total forcast + back orders + ending inventory - beginning inventory.
There are many applications poka-yokes in service organizations. Which is one of the three T's used to classify poka-yokes?
Treatment
According to the video "lean production", visual control techniques can be used to indicate if a process is becoming unbalanced.
True
Effectiveness means doing the right things to create the most value for the company.
True
Supply and demand planning is needed to coordinate manufacturing, service and supply chain processes.
True
The term "value" refers to the relationship between quality and price paid by the consumer.
True
If annual demand is 35000 units, order cost = $50 per order and carrying (holding) cost = $0.65 per unit per year, the economic order quantity (edq) = __? Round mathematically to nearest integer!
2320
Using the basic total annual cost forumal for the fixed order quantit model, calculate annual order cost given annul demand = 36,000 units, cost per order = $80, inventory carrying (holding cost = $4 per unit per year and order quantity = 1200 units.
2400
A ______ production planning strategy involves matching the production output to demand by hiring and laying off employees as demand varies.
Chase
Which of these IS an analytical tool used in a six sigma quality improvement program?
Check sheets
According to the video "lean production" which is not of the 5 C's?
Coherency
Which is not one of the six basic concepts of total quality management (TQM)?
Collaborative relationships with supply chain allies
In the plan do check act (PDCA) cycle, "check" means___
Compare actual outcomes to planned (desired) outcomes
According to the video continuous process improvement ___ is a "fourth factor" influencing a firm's ability to gain and sustain competitive advantage from its supply chain.
Computer- integrated manufacturing
Which of these is one of the strategic characteristic to consider when deciding how suppler relationships should be structured on the continuum between vertical integration (do not outsource) to arm's length relationships (outsource)?
Coordination
In the plan do check act (PDCA) cycle, "act" means___
Correct assignable causes of variation between planned & actual outcomes
Inventory turnover equals____?
Cost of gods sold divided by average aggregate inventory value
According to the video "production activity control" bottleneck operations have cycle times that are ___ the takt time.
Greater than
According to the textbook, Which of thee is NOT a criterion that influences manufacturing plant or warehouse facility location decisions?
Gross national product
Which, according to the video "Aligning Supply & Demand: Creating the Right Supply Chain" is not one of the key characteristics of functional products (e.g., soup) that most influences supply chain strategy/design for such items?
High physical density (weight/space ratio)
Which of these represents all the costs considered in the fixed oder quantity (EDQ) model of total annual cost function?
Holding cost, order cost, purchase cost
In a six sigma quality improvement program, an opportunity diagram is likely to be used during which DMAIC category?
Improve
Which of these is NOT an organizationally-driven reason for outsourcing?
Improve credibility an image by associating with superior suppliers
Which of these is an improvement-driven reason for outsourcing?
Improve effectiveness by focusing on what the firm does best, i.e, core competency strategy
Which of these is organizationally-driven reason of outsourcing?
Improve effectiveness by focusing on what the firm does best, i.e, core competency strategy
According to the text, which is true of a Kanban production control system?
In a paperless control system, containers can be used instead of cards
Which of these is NOT an improvement-driven for outsourcing?
Increase commitment in a non-core area
If the order quantity is increased, the annual cost of carrying inventory will ___ because _____ will____
Increase; average inventory; increase
According to the video continuous process improvement, which is not an advantage of increasing "right first time" quality?
Increased labor availability for value-added production
As discussed in class, which is not an advantage of a responsive supply chain?
Inherently lower cost of inventory
Which of these examples of Fisher's product categories included fashionable clothing and other products that typically have a very brief life cycle?
Innovative
Costs such as scrap and rework belong in which category of quality costs?
Internal failure cost
According to Little's Law, as presented in the textbook, which ratio is used to find throughput rate?
Inventory divided by flow time
A _________ production planning strategy involves maintain a stable workforce working at a constant output rate while shortages and surpluses are absorbed by fluctuating inventory levels, order backlogs and allowing lost sales
Level
According to the textbook, which is a basic category of production planning strategy?
Level
According to the text, which is a lean production technique that has been successfully implemented by service deleivery firms?
Level loading
According to the text, in a lead production process, a stabilized schedule is achieved through the use of?
Level scheduling
When considering outsourcing, firms should be sure to avoid ___.
Giving the outsourcing partner opprotunites to become a strong competitor
According to the textbook, ownership costs include which of these?
Supply Chain costs
Using the assembly line balancing procedure, you have just determined that the actual number of workstations to be used on an assembly line is 6. The cycle time of line is 5 minutes and the sum of all the tasks required on the line is 25 minutes. Which is the correct value for the resulting line's efficiency?
0.833
If safety stock is ) , gross requirement is 1,250, the projected inventory at the end of the previous period is 50 and the scheduled receipts are 0, the net requirement is _____?
1,200
A company is planning for its financing needs t and uses the basic fixed oreder quantit inventory model. Calculate total annual cost given annual demenad = 10,000 units, set up cost = $32 per set up, inventory carrying (holding) cost = $4 per unit year, order quanity = 400 units and valye per unity of inventory = $150.
1,498,,200
The total output from a production system in one day is 500 units and the total labor necessary to produce the 500 units is 350 hours. Using the appropriate productivity measure, which represent the correct productivity ratio?
1.428
If the best operating level of a piece of equipment is at a rate of 400 units per hour and the actual output during an hour is 300 units, the capacity cushion = _________.
100 units per hour
If the average aggregate inventory value equals $1,200,000 and the cost of goods sold is 600,000, weeks supple of this item = ___?
104
Using the critical path method (CPM), what is the Latest Finish Time for the alst activity in this project, i.e., the total time to complete the project. HINT: find the critical path.
12 days
A company has recorded the last six days of demand (in units per day) on their only product: those values are 37,115, 93, 112, 73, and 110. The time from when a replenishment order is placed until it is delivered in 3 days. Calcualate the reorder point ® assuming the firm uses a fixed order quantity inventory management approach and no safety stock is required. R= Daily demand * Lead Time
270
In setting up a Kanaban control system you need to determine the number of Kanban card sets needed. If the expected demand during lead time is 25 per hour, the safety stock is 20% of the demand during lead time, the container size is 5, and the lead time to replenish an order is 5 hours, what is the number of Kanban card sets needed?
30
If the average aggregate inventory value equals 100,000 and the cost of goods sold is 450,000, invetoyr turnover of this item is?
4.5
Assuming no safety stock, what is the reorder point ® given average daily demand of 50 units, lead time of 10 days and 625 units on hand? R= Daily demand * Lead Tme
500
According to the text, which best describes an activity-system map?
A diagram that shows how a company's strategy is delivered to customers
Statsitical process control (SPC) charts usually have a central line and upper and lower control limit lines. When looking at an SPC chart, which of these is a reason to investigate the process the chart monitors?
A single plotted point on the chart falls outside (above or below) the control limit line
According to the video continuous process improvement, teamwork is important for achieving significant results from continuous process improvement (CPI) efforts because ___
According to the video, all of the above
As discussed in class, which is not an obstacle to achieving strategic fit?
Advanced information and communication technology
Which of these is a dimension of design quality?
Aesthetics
According to the video Continuous process improvement, which is not an order qualifier in todays competitive environment?
All of the above
As discussed in class, a firms business process capacity depends on resources such as:
All of the above
The cost of failure to control quality includes which of these?
All of the above
Which is (are) included in the cost of preventing poor quality?
All of the above
Which is not a key characteristic of lean production
All of the above
As discussed in class, which is not an aspect of supply chain responsiveness?
All of the above are aspects of supply chain responsiveness
According to the video continuous process improvement, which is not an important factor for achieving significant results from continuous process improvement efforts?
All of the above.
In a six sigma quality improvement program, a fishbone diagram is likely to be used during which DMAIC category?
Analyze
Which is NOT a component of inventory carrying (holding) cost?
Annualized cost of materials
Costs such as inspection and testing belong in which category of quality costs?
Appraisal cost
According to the video continuous process improvement, which is not one of the dimensions of performance in which customers are demanding consistent improvements?
Assortment
According to the textbook, ___ is defined as the total value (at cost) of all items held in inventory by the firm.
Average aggregate inventory value
_____ is where the inventory balances of parts that go into each unity of output are periodically adjusted based on actual production output.
Backflush
According to the text, " success in today's global markets requires a business strategy that matches the preferences of customers with the realities of supply networks" as discussed in class, the challenge this presents in supply chain managers it to____?
Balance process efficiency with process responsiveness
As discussed in class, which is not true regarding tradeoffs?
Balancing efficiency and responsiveness is a strategic tradeoff
Which IS a component of inventory carrying (holding) cost?
Breakage
____ is the term used to describe the consequences of lack of coordination among supply chain members.
Bullwhip effect
Failure mode and effect analysis IS an analytical tools used in a six sigma quality improvement program. Failure mode and effect analysis involves which of these?
Calculating a risk priority number for each possible failure
As discussed in class, business process capacity refers to_____?
Capability to produce & deliver whatever customers demand
For which of these should a "p-chart" be used to monitor process quality?
Defects found in electric switches
In a six sigma quality improvement program, a flow chart is likely to be used during which DMAIC category?
Define
As discussed in class, a firm's competitive strategy___?
Defines the set of customer needs the firm wants to serve
According to the text, which is true of manufacturing capacity but is not true of service capacity?
Demand can be smoothed by inventory policies
Which, according to the video "Aligning Supply & Demand: Creating the Right Supply Chain" is not one of the primary cost centers of the "physical function of the supply chain?
Demand management
As discussed in class, the objective of supply chain planning is to "define a set of operating policies to control operations and optimize process performance. The supply chain ___ imposes constraints on supply chain planning.
Design
According to the textbook, which is not a suggestion for managing queues?
Determine an acceptable waiting time for your customers
As discussed in class, which is not an example of a customer priority significant for operations and supply strategy?
Digital advertising
Which is accurate?
Given uncertainty in demand and/or lead time duration, reorder point = expected demand during lead time + safety stock
According to the text, which is not a measure of operations and supply chain management efficiency used by Wall Street?
Earnings Per Share
In Hau Lee's uncertaintiy framework fro classyying supple chains, a supple chain fro functional products with a stable supply process is called__?
Efficient
According to the text, in a lean environment, to maximize value creation a firm might __?
Eliminate anything that does not add value for customers
According to the textbook, which is not a suggestions for managing queues?
Encourage customers to come during a slack period
Which of these is NOT an improvement-driven reason for outsourcing?
Enhance effectiveness by focusing on what the firm does best. i.e., core competency strategy
Chance (random) variation in a process can be caused by___?
Equipment
As discussed in class, a firms business process capacity depends on resources such as:
Equipment, Labor, Material, Capital, (All of the above)
Costs such as customer warranty replacements or handling customer complaints belong in which category of quality costs?
External failure cost
According to the text, one of the "package of features" that make up a service is:
Facilitating goods
Which of these is a dimension of design quality?
Features
As discussed in class, which is not one of the process cycles of supply chain?
Financial cycle
Which costs do not need to considered in making any inventory management decision?
Fixed cost
According to the text, which lean production technique has not been successfully implemented in service firms?
Freeze windows
According to the video continuous process improvement, a "critical challenge", firms face in gaining and sustaining competitive advantage from their supply chain is that their relationships with their supply chain allies (supplier and customers) must be ___ and not ____?
Positive; characterized by suspicion and hostility
According to text, the exponential smoothing method requires which data to generate a forecast?
Precise actual demand for the past several years
The cost of controlling quality includes which of these?
Prevention & appraisal costs
Which of these is a category of quality costs?
Prevention cost
As discussed in class, business process priorities come from ____?
Process customers
According to the video continuous process improvement, the reality that, in todays competitive environment, "cost down" ( the ability to consistently, reduce cost), is an order qualifier, puts pressure on firms to continuously improve their___?
Process methods
According to the textbook which of these is a type of waste a firm should eliminate?
Product defects
In a basic materials requirement planning (MRP) time phased schedule, projected available balance represents___?
Projected inventory status as of the end of the period indicated
As discussed in class, which is not a component of operations and supply strategy?
Promotion strategy
According to the text, a way to increase the flexibility of production workers is to ____.
Provide a broader range of training
Given the total cost formula presented in ch 13 of the textbook TC = DC + D/Q S + Q/2 H, the cost expressed as DC is annual ___?
Purchase (procurement) cost
According to the text, the Goods-Services Continuum consists of which set of categories?
Pure goods, core goods, core services, pure services
According to the textbook, acquisition costs include which of these?
Quality costs
In the Plan-Do-Check-Act (PDCA) cycle, "plan" means ___
Set objectives
According to the text, in general, which forecasting time frame compensates most effectively for random variation and short term changes?
Short-term forecasts
Which IS NOT a reason firms hold inventory?
So competitors can't acquire the material
Which is NOT a reason firms hold inventory?
So competitors cant acquire the material
When balancing an assembly line, which, according to the textbook, is not a way to reduce the longest task time, so it's less than the required workstation cycle time?
Speed up the process transfer mechanism
According to the textbook, which of these is considered a "pure" production planning strategy?
Stable workforce, variable hours
For which of these should an "R-char" be used to monitor process quality?
Student test scores measured on a scale from 1 to 100
As discussed in class, which is one of the three steps to achieving strategic fit?
Understand the current capabilities of the firms supply chain processes
According to the video "lean production", which is one of the 7 wastes?
Unnecessary transportation of work in process
Which is not a question for production planning?
What do we want?
As discussed in class, supply chain priorities are defined in terms of___?
What products or services are needed, in what quantities, by what time
According to the textbook, which of these starts a project:
a statement of work
Which, according to the video "Aligning Supply & Demand: Creating the Right Supply Chain" is not one of the primary cost centers of the "market mediation" function of the supply chain?
excess inventory cost
Which, according to the video "Aligning Supply & Demand: Creating the Right Supply Chain" is not one of the key characteristics of innovative product (e.g., fashion sunglasses that most influences supply chain strategy/design for such items?
lengthy research/development lead time
According to the video "Aligning Supply & Demand: Creating the Right Supply Chain," the most important environmental characterstic to consider in formulating supply chain strategy/design is:
nature of demand for the item
