Production Exam #2

Ch. 6 Q1: Which statement is NOT a characterization of supply chains?

Involves only internal functions.

Ch. 6 Q2: Which is NOT typically involved in integrated supply chain management?

Making strategic facility layout decisions.

Ch. 6 Q3: What is typically the least expensive mode of logistical distribution?

Water.

Ch. 6 Q4: What is typically the fastest mode of logistical distribution?

Air.

Ch. 6 Q5: What is typically the most flexible mode of logistical distribution?

Truck.

Ch. 6 Q6: What is a typical result of the bullwhip effect?

Misused manufacturing and storage capacity.

Ch. 6 Q7: What is the most critical success factor for integrating a supply chain?

Sharing information, such as customer demand, through EDI and barcode scanning.

Ch. 6 Q8: What is forward vertical integration for a manufacturer?

Purchasing a finished-goods retailer.

Ch. 6 Q9: What is a long-term reason for choosing multiple suppliers per item?

Competition results in better pricing or service.

Ch. 6 Q10: What allows producers to customize products with very small inventories?

Freeze-point delay (postponement).

Ch. 7 Q1: What is an example of a product-based quality characteristic?

The designed gas mileage (miles per gallon) of a new model automobile.

Ch. 7 Q2: Which quality guru described quality as “conformance to customer expectations”?

Crosby.

Ch. 7 Q3: Which statement about the importance of quality is FALSE?

A reputation for high quality brings first-time customers, but not repeat customers.

Ch. 7 Q4: Which quality award is given to U.S. companies recognized for quality?

Malcolm Baldrige National Quality Award.

Ch. 7 Q5: What is an example of inspecting poor quality out of products?

Acceptance sampling.

Ch. 7 Q6: Which TQM initiative continuously monitors customer needs and wants?

Customer focus.

Ch. 7 Q7: Which TQM initiative involves everyone treating the next worker as their customer?

Employee empowerment.

Ch. 7 Q8: What are costs for products that fail due to quality issues before the customer has possession?

Internal failure costs.

Ch. 7 Q9: Which tool is known as the “house of quality”?

Quality Function Deployment (QFD).

Ch. 7 Q10: Which quality tool shows the general statistical distribution of quality data?

Histogram.

Ch. 8 Q1: Which descriptive statistic measures process variability?

Sample standard deviation.

Ch. 8 Q2: What is the upper control limit (UCL) for the X-bar chart?

157.76.

Ch. 8 Q3: What is the lower control limit (LCL) for the range chart?

0.

Ch. 8 Q4: What conclusion should be made from the two control charts?

The range is stable, but the mean is not.

Ch. 8 Q5: What is the average fraction defective (p-bar) for Sanford Hospital?

0.073 or 7.3%.

Ch. 8 Q6: What is the p-chart lower control limit (LCL) when p-bar = 0.05 and n = 100?

0%.

Ch. 8 Q7: What is the c-chart upper control limit (UCL) for 54 complaints over 9 days?

13.35.

Ch. 8 Q8: What is the process capability index (Cpk) for the bank teller service times?

0.67.

Ch. 8 Q9: What does Cp = 1.8 indicate, according to the answer choices?

The process is 6σ capable of regularly meeting customer expectations.

Ch. 8 Q10: How many defects per million are associated with 3-sigma and 6-sigma quality, respectively?

2,600 defects per million for 3-sigma; 3.4 defects per million for 6-sigma.

Ch. 9 Q1: Capacity planning is the process of doing what?

Creating future available capacity.

Ch. 9 Q2: What is the output rate that can be sustained under ideal conditions?

Design capacity.

Ch. 9 Q3: The best operating level is most closely related to what?

Lowest average unit cost.

Ch. 9 Q4: What do economies of scale mean?

Average cost per unit is reduced when output increases.

Ch. 9 Q5: What is the estimated labor capacity requirement for next year at M & C Electronics?

13.3 people.

Ch. 9 Q6: What is the expected payoff of building a large facility?

$330,000.

Ch. 9 Q7: What is the expected value of perfect information?

$10,000.

Ch. 9 Q8: Which is NOT a consideration in location analysis?

Automation of factories.

Ch. 9 Q9: What is the best location and factor-weighted score?

Minneapolis — score = 4.00.

Ch. 9 Q10: What is the load-distance for serving the three customers from a location at Customer B?

700.

Ch. 10 Q1: Which mathematical expression is LINEAR?

4x + 2y + 5z = 50.

Ch. 10 Q2: Which mathematical expression is NON-LINEAR?

9x + 2xy − 7/z = 110.

Ch. 10 Q3: Which is NOT a good practice for spreadsheet data organization?

Put data only in columns, not rows.

Ch. 10 Q4: In Excel Solver, what is the formula in the target cell called?

An objective function.

Ch. 10 Q5: In Excel Solver, what do the changing cells represent?

Decision variables.

Ch. 10 Q6: Which statement about constraints is FALSE?

Data should be entered directly into the constraints in Solver instead of using cell references.

Ch. 10 Q7: If Solver reaches the best solution and all constraints are met, which conditions are present?

An optimal solution and a feasible solution are both true.

Ch. 10 Q8: What exists when different decision variables produce the same objective-function value?

Multiple optimal solutions.

Ch. 10 Q9: What represents the total inflow to City 2?

C12 + C22 + C32.

Ch. 10 Q10: What are the most appropriate cost and flow matrix dimensions for this transportation problem?

3 rows and 4 columns (12 cells).

Ch. 11 Q1: What layout describes a college campus that groups similar departments together?

Process layout.

Ch. 11 Q2: Which layout uses specialized equipment for large volumes of very few products?

Product layout.

Ch. 11 Q3: What type of layout is used by Lowe’s Home Improvement centers?

Retail layout.

Ch. 11 Q4: What type of layout is used for bridge construction?

Fixed-position layout.

Ch. 11 Q5: Which layout focuses on minimizing material handling and maximizing easy access?

Warehouse layout.

Ch. 11 Q6: Which layout focuses on the cost of information flow?

Office layout.

Ch. 11 Q7: What is the rectilinear distance between Departments B and C?

2.

Ch. 11 Q8: What is the load-distance measure of effectiveness for the entire present layout?

210.

Ch. 11 Q9: What is the required takt time in seconds per unit?

72 seconds per unit.

Ch. 11 Q10: If required output increases to 80 units per hour, how must the assembly line change?

It would require more work stations.