A facility with a design capacity of 1,000 units, an actual average of 800 units, and effective capacity of 850 units has a utilization of ________
A facility with a design capacity of 1,000 units, an actual average of 800 units, and effective capacity of 850 units has an efficiency of _____
1.Quantities and required delivery dates of all sub-assemblies
2.Quantities and required delivery dates of final products
3.Inventory on hand for each sub-assembly
4.Inventory on hand for each final product
A master production schedule specifies
1.The financial resources required for production
2.What component is to be made, and when
3.What product is to be made, and when
4.The labor hours required for production
A measure of the reserve capacity a process has to handle in unexpected increases in demand is the:
1.Capacity utilization rate.
4.Capacity constraint limit.
4.All of these
2.Hand to mouth buying
Chang and Chang observe that the competition is increasing the size of its warehouses. They have decided to do the same. They are following a _______ strategy.
1.Theory of Constraints
2.Follow the leader
Closed Loop MRP means:
1.Actual inventory is counted regularly and adjustment made to the inventory records
2.Capacity and resource planning is included in the MRP logic
3.Unused materials are returned to stores and recorded back into the system
4.Actual sales are netted off the forecasts in the MPS
1.the item has several children
2.there is a deep bill of materials
3.the finished products are mostly services (rather than goods)
4.there is a clearly identifiable parent
Demand is created when:
1.A need is identified.
2.A significant group of people want to buy something.
3.People who can afford something want to buy it.
4.Marketers persuade people to want something.
1.For any product, all components are dependent-demand items
2.The need for independent-demand items is forecasted
3.The need for dependent-demand items is calculated
4.All of the above are true.
Efficiency is given by
1.Actual output divided by design capacity.
2.Capacity divided by utilization.
3.Effective capacity divided by actual output.
4.Actual output divided by effective capacity.
Enterprise Resource Planning (ERP) has been criticised on a number of grounds. Which of the following is not a common criticism of ERP?
1.It doesn't allow decisions and databases from all parts of the organisation to be integrated
2.Implementation is expensive
3.The effect it has on businesses is disappointing
4.It can have a disruptive effect on the organisation's operations
In general, a less capital-intensive industry such as a hotel chain would do well with a utilization rate of:
1.The required output from a process over time
2.A list of required safety stock items
3.The sum of stock-on-hand and work-in-progress
4.The product structure showing where common parts are used
3.Flexible flow processes.
4.Investment in new facilities
MPS stands for:
1.Master Planning System
2.Master Production Schedule
3.Material Production Schedule
4.Material Planning System
MRP stands for:
1.Master Resources Production
2.Management Reaction Planning
3.Materials Requirements Planning
4.Manufacturing Resource Planning
1.To introduce a feedback loop
2.To treat the systems as black boxes
3.To decrease sales
4.To introduce an inventory
Optimized production technology (OPT) is a computer-based technique and tool which helps to schedule production systems. Which of the following are not principles of OPT?
1.Capacity is "king"
2.Balance flow is what is required
3.Process batch should be variable
4.Bottlenecks govern throughput
1.An advertising manager
2.A brand manager
3.A public relations manager
4.A sales manager
The basic break-even model
1.Demonstrates that the break-even point increases as output volume increases.
2.Demonstrates that fixed costs remain constant as output volume increases.
3.Demonstrates that total revenue is fixed as output volume increases.
4.Demonstrates that per unit variable costs vary as output volume increases.
1.Identifying the alternative capacity plans?
2.Measuring aggregate demand and capacity?
3.Studying the effect of queueing theory
4.Choosing the most appropriate capacity plan?
1.Business strategy is aimed at customers.
2.Companies have a moral responsibility to care for their customers.
3.Marketing enables firms to persuade their customers to buy things they do not really need.
4.Customers will only spend money with firms that look after their needs.
1.Capacity lags with incremental expansion.
2.Leading demand with one-step expansion.
3.Leading demand with incremental expansion.
4.Attempts to have an average capacity that straddles demand with incremental expansion.
1.Weights the variable cost of each product.
2.Weights the selling price of each product.
3.Weights the fixed cost attributable to each product.
4.Weights the contribution of each product.
The outputs of a MRP II system are:
1.Sales order priorities / Bills of Materials / Material Requirement Plans
2.Material Requirement Plans / scheduled purchase orders / capacity requirement plans
3.Stock quantities / Bills of Materials / Master Production Schedule
4.Capacity requirement plans / stock quantities / stock locations
Three inputs for every MRP system are:
1.Sales forecast, delivery costs, capacity plan
2.Average replenishment time, re-order point, economic order quantity
3.Stock on hand, Master Production Schedule, Bill of Materials
4.Bill of Materials, sales forecast, sales history
Three levels of planning. What are they?
1.Top, middle and bottom
2.Headquarters, divisional and local
3.Operational, intermediate and strategic
4.None of these
Two systems are described as_________________ if a change in the outputs of one causes a substantial change in the state of the other.
We identified several internal benefits of objectives, goals and a sense of mission. Which is not included?
1.Basis of plans and decisions
2.Unity of direction
3.Basis to resolve disputes
4.None of the above.
1.Intelligence, design, choice, implementation
2.Intelligence, design, computation, implementation
3.Information, design, choice, implementation
4.Intelligence, data, choice, implementation
What is measurementship?
1.Trying to agree low objectives so as to look good later
2.Discussing "the numbers" at every opportunity
3.Surveying by naval architects.
4.Collecting too much performance data
1.A contingency plan
2.A circumstantial plan
3.A catastrophe plan
4.A convergence plan
3.Temporarily lay-off workers.
2.Uncertainties about demand.
Which is not a part of 5R's of buying?
4.None of the above
1.Produced by standard procedures. Passed by word of mouth
2.Produced by standard procedures. Objective
3.Objective. Passed by word of mouth
4.Subjective. Based on estimates
Which of the following best describes the decision making required in dealing with customer enquiries?
Which of the following decision is least likely to be supported by a management information system?
2.Analysis of performance
4.Dealing with customer enquiries
2.Data processed for a purpose
1.The service/product can be stored
2.Capacity is relatively fixed
3.The service cannot be sold in advance
4.The market can be fairly clearly segmented
_________ is concerned with the branch of economics relating the behavior of principals and their agents.