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Exam 9: Production and Operations Management

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Question 71

Multiple Choice

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MRP is the acronym for:

A) minimum resource payments.
B) maximized revenue potential.
C) managed resource priorities.
D) materials requirement planning.

E) B) and C)
F) A) and C)

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Question 72

Multiple Choice

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Which of the following statements is most accurate?

A) Most manufacturing firms are turning to an assembly line layout to produce output as efficiently as possible
B) For service firms,the main objective in facility layout usually is to centralize the control of operations
C) Facility layout is important for manufacturing plants because facilities layout decisions can have a huge impact on the firm's costs
D) In a modular layout,workers are assigned a specific station along an assembly line and specialize in performing a specific task

E) C) and D)
F) All of the above

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Question 73

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The first step in the development of a PERT chart is:

In ___________,materials are physically or chemically changed to produce a product.

Trace and Tim own a company that rehabs old houses.Prior to buying a house,they use software to create and design the renovation of each room.The program provides them with an estimation of how much of each kind of material is needed,and the orderly progression of tasks that need to be completed.Trace and Tim use computer-aided design.

Overall,American firms that have tried to use just-in-time inventory systems generally report disappointment with the results.

The Deming Cycle is designed to catch errors before they happen.

A disadvantage of flexible manufacturing systems is that they usually require a great deal of labor because machines are rarely capable of handling a wide variety of tasks.

__________ has transformed the purchasing function in recent years by helping firms find the best suppliers and the best prices.

Frolichstein Fabrics promotes itself as a specialty manufacturer that will produce according to customer specifications.This firm will probably be best served by using an intermittent process in production.

In JIT inventory systems a manufacturer normally communicates its production plans to suppliers so that they can deliver needed parts and materials just in time for the manufacturer to use them.

Operations management involves inventory management,quality control,and production scheduling.

Mass customization is tailoring products to meet the needs of individual customers.

__________ is the process of selecting a geographic location for a company's operations.

Manufacturing firms focus exclusively on the production of goods and allow other firms to provide services.

One strategy U.S.manufacturers have employed in order to become more competitive is:

Justin Tyme is a manager at Elastic Plastic,Inc.His duties include production scheduling and keeping tabs on the company's inventory.These activities suggest that Justin is involved in promotions management.

Seat-belts Unlimited,Inc.is located about 8 miles from two major auto assembly plants.The firm delivers seat-belts about every two hours to each of the plants.The assembly plants only accept the number of seat-belts that they will assemble into cars,during the next two hours after delivery.The auto plants embrace lean manufacturing.

____________ uses computers to help design products.

Production creates: