Which of the following statements is true regarding total productive maintenance? d.

Machine operators take responsibility for most of the routine machine maintenance. ___ Which of the following is a characteristic of demand? b. Seasonal variation ___ Which of the following is the best statement about the general principles of forecasting? c. Every forecast should include an estimate of error. ___ What is the name of materials used in the production process that do not become part of the product? d. Maintenance, repair, and operating supplies ___ Which of the following statements is most accurate? a. About 20% of the items will usually account for about 80% of the total value. ___ Which of the following is a major input to an MRP system? d. The master production schedule ___ What term indicates the percentage of time the work center is active compared to the available time? c. Utilization ___ In a decentralized distribution system, the role of the central supply organization is to b. Respond to demands from the distribution centers ___ Which of the following groups should be the first to receive education on six-sigma concepts? a. Senior Management ___ Which of the following costs are associated with variable transportation cost? c. Line haul costs ___

Which of the following is the most likely impact of doubling the ordering costs for an item a. The order quantity will increase ___ Which of the following is most likely to improve quality at the source for manufactured parts? d. Reducing the variation in manufacturing process ___ In a purchasing system, which of the following originates with the department or person who will be the ultimate user? a. A purchase requisition ___ Which of the following causes forecast error? a. Random variation from the average demand ___ What is the term for the ability to relate the demand for an item shown on an MRP record back to the parent causing the demand? c. Pegging ___ In projecting demand for a standard design commodity, which of the following factors is typically most important? c. Competitive pricing ___ Which of the following are considered ordering costs? a. Production control costs ___ In developing the standard economic order quantity (EOQ) formula, which of the following assumptions are made? d. All the above are assumed. ___ Which of the following defines the sequence of operations to be performed to manufacture a part? c. Routing ___ Which of the following is a major consideration when selecting a supplier? c. Supplier manufacturing reliability ___

A fishbone diagram is an example of which of the following? b. A method to determine root cause ___ Which of the following is an advantage of a decentralized distribution center? c. Reduce coordination and communication expenses ___ The master production schedule (MPS) is a. an anticipated build schedule ___ Which of the following statements is true regarding the relationship with suppliers in a lean/JIT environment? d. The supplier is viewed as an upstream work center. ___ Which of the following statements is correct? a. The lot size affects the product mix cycle ___ Which of the following statements is true regarding process layout (intermittent manufacturing)? c. Each workstation must be flexible. ___ Which of the following four Ps influences how physical distribution planning and execution addresses product volume, location of demand, and demand fluctuations? d. Promotion ___ Which of the following combinations is best suited for developing customer promise dates in the make-to-order environment? b. Forward scheduling and finite loading ___ Which of the following statements is most accurate? a. Independent demand items should be forecast. ___ The setup time for an operation is two hours and the run time is 10 minutes per piece. The scheduled operation time for 100 units is d. 1120 minutes ___ Which of the following is used to determine the feasibility of material requirements plan?

c. capacity requirements planning ___ Which of the following statements best describes stockkeeping units? d. Two white shirts in the same inventory but of different sizes or styles would be different SKUs. ___ In the Toyota Production System, which of the following concepts was key to breaking down the silos that cripple an organization?--- is this on?!? c. the control department concept ___ Which of the following is a major objective of materials management? b. Provide the required level of customer service. ___ Which of the following is a good measure of customer focus? b. High quality levels ___ Which of the following is an advantage of point-of-use inventory over central storage?---DID WE LEARN POINT OF USE??? b. reduced material handling ___ In the Toyota Production System (lean), which statement best describes the planning process? c. An extension of MBO, which focuses on objectives and process, long- and short-term plan-do-check-act cycles, consensus building and alignment, catch ball, and people focus. ___ If the opening inventory is 100 units, sales are 500 units, and the ending inventory is 200 units, what will manufacturing produce? d. 600 ___ Why is it important to monitor the forecast? b. To improve our forecasting methods ___ The line-haul costs vary directly with which of the following b. The distance shipped ___

What is the throughput if sales revenue = $250 million and true variable costs = $100 million? b. $150 million ___ Which of the following is an objective of material requirements planning? b. Keep priorities current ___ Which of the following production activity control must be done when planning the flow of work? a. Be sure the material and tooling needed are available ___ Which of the following would most likely serve as an effective measure of supplier performance? d.Delivery Time ___ What is the name of the document that shows the component parts and the number of parts needed to make one of an assembly or subassembly? c. A bill of material ___ Manufacturing has a primary responsibility for which of the following dimensions of quality? ON THE TEST???? c.Conformance ___ Which of the following statements is best? a. Order point = DDLT + SS ___ Which of the following are costs of carrying inventory? b. Capital costs and storage costs ___ Which of the following statements is most accurate? d. A bottleneck will control the throughput of all products processed by it ___ The primary purpose of a cycle count program is to d. identify causes of inventory errors ___ which of the following is used to manage queues and lead times? d. input/output control

___ In most cases, the fastest way to increase capacity to meet a short-term requirement is to b. use overtime ___ A lean production 5S System is designed to d. Create a visual workplace ___ A primary advantage of electronic data interchange (EDI) with suppliers is that it a. reduces paperwork ___ Which of the following is concerned with very short-term detailed planning of the flow of orders through manufacturing? d. Production activity control ___ Sales = 16 mill-- COGS= 10 mill-- Genearl admin expenses= 4mill -- Avg Inventory=2.5 mill -- Inv turnover ratio is c. 4.0 ___ Which of the following company objectives are in conflict? a. Maximum customer service and low-cost plant operation ___ Which type of sourcing is set up when a product is unique and available from only one source? b. Sole sourcing ___ Total line-haul costs will vary with which of the following? a. Distance moved ___ The information needed to develop a master schedule will come from which of the following? b. The forecast of individual end items ___ Which of the following production environments (manufacturing strategies) produces the longest delivery lead time? a. Make-to-order ___ Which of the following is an element of manufacturing lead time?

c. Wait time ___ Considering the service desired and the relative cost of the items, which of the following would you most likely ship by truck? a. Regular shipment of cut flowers direct to a florist shop ___ What term is used for calculating (available time) (utilization) (efficiency)? d. Rated capacity ___ Which of the following is not considered a function of physical distribution? b. Production control ___ Which of the following is an objective of an MPS? c. To maintain the desired level of customer service ___ What is the name of the set of priority planning techniques for planning component items below the end-item level? b. Material requirements planning ___ What type of inventory record system keeps a continuous account of transactions as they occur? a. Perpetual inventory system ___ If the order quantity is increased, which of the following occurs? b. The cost of carrying inventory increases, and the cost of ordering decreases ___ Which of the following provide a buffer for seasonal demand? c. Anticipation inventory ___ Which of the following costs is relevant to inventory management decisions? b. Storage costs ___ Which of the following is an advantage of cycle counting? a. Timely detection and correction of problems ___

Which of the following is true about time fences in a master schedule system? a. Changes far out in the planning horizon can be made with little or no cost to manufacturing ___ The balance sheet for a firm shows which of the following? c. Long- and short-term debt ___ Which of the following best specifies the flow of material through the production process of manufacturing an orbital satellite? b. A ___ Which basic production planning strategy will build inventory and avoid the costs of excess capacity? b. Level production strategy ___ The demand at a workstation in a lean system typically comes from a. A pull signal ___ Which of the following is an objective of purchasing? c. To obtain goods and services of the required quality and right cost ___ Which of the following describes the DMAIC methodology? b. A six-sigma process-improvement methodology ___ Which of the following is the performance measure that relates to daily work routines, such as cycle time and utilization? c. Operational ___ Which of the following is generally a characteristic of a product focused layout? b. Fixed Flow of work ___ Which of the following is an advantage of work cells? b. Reduced material movement ___

In a simplified drum-buffer-rope system, what is the throughputbased constraint? d. The market ___ Total employee involvement will result in an increase in which of the following roles for first-line supervision?--- MAYBE? b. Coaching ___ What is the portion of inventory or production that is not committed to customer orders called? b. Available-to-promise ___ A work center consists of 2 machines working 8 hours a day and 5 days a week. Historically, utilization has been 80%, and efficiency has been 90%. To the nearest hour, what is the rated capacity? b. 58 hours ___ Which of the following statements is true about the product layout (continuous process)? d.There is little buildup of work-in-process inventory. ___ Which of the following is used to rank the frequency of problems? a. Pareto analysis ___ Which of the following statements is most accurate? d. The circumstances relating to demand data should be recorded. ___ Which of the following statements is most accurate about inventory management? a. Inventories and production must be managed together. ___ Which of the following is the next step in the purchasing cycle after a requisition is generated? d. Issue purchase order ___ Which of the following statements is true? b. A part has one, and only one, part number.

___ Which of the following statements is true regarding Pareto analysis? a. It separates the significant few from the trivial many. ____ Which of the following statements is true? b. Value starts with the customer. ___ Which of the following is typically characterized as an element of the supply chain? b. Distribution ___ A control chart is primarily used to determine which of the following? c. Detect special causes of variation in a process, as opposed to random variation ___ Which of the following are primary activities of manufacturing planning and control? c. Production planning and inventory management ___ Which of the following costs will increase if order quantity is increased? a. Annual cost of carrying inventory ___ Which of the following is most likely to be a dependent demand item? c. a service part ___ Owner's equity is c. Assets less liabilities ___ Which of the following equations is correct? c. Owners equity = assets liabilities ___ A purpose of holding extra inventory is to d. Buffer production from demand variation ___ Which of the following statements is best? b. About 50% of the items usually account for 5% of the value. ___

What term is used for the ratio of standard hours of work produced to hours actually worked? a. Efficiency ___ Which of the following shows the capacity required at each work center based on planned and released orders for each time period of the plan? b. Load profile ___ Product A is made from components B and C. Component B is made from parts D and E. Which items should be forecast? a. Only A ___ Under which of the following circumstances will firms generally make-to-stock? c. Required delivery times are shorter than the time needed to make the product ___ Which of the following best describes a Kanban system? d. Visual Reorder point ___ Which forecasting technique takes the average demand for some past number of periods? a. b. c. d. b. Moving average ___ Which of the following categories of a supplier agreement covers specifications, allowable defects, and grade? c. Quality ___ Providing customers with what they want at low cost describes the relationship between which of the following a. Quality management and lean ___ An item has a lead time of six weeks and an average demand of 150 units per week. The safety stock for the item is 300 units and the order quantity is 2,000 units. the order point for the item is. c. 1,200 ___ Which of the following statements is most accurate about the MPS?

b. If it is poorly done, we can expect past-due schedules and unreliable delivery promises ___ Work in process inventory serves to decouple which of the following? c. An operation from succeeding operations ___ Which of the following statements is true? a. The objectives of marketing and production can be met with higher inventories. ___ If the lead time is one week, the review period one week, the average demand 100 units per week, and the safety stock 50 units, the target level will be c. 250 units ___ Which of the following is a major objective of distribution inventory management? a. To provide the required level of customer service ___ A forecast is typically more accurate for a. Groups of items rather than for individual items ___ Which of the following is generally a function of the physical distribution system? c. Packaging ___ Which of the following statements is best regarding employee empowerment? c. Line employees are given more authority to make decisions. ___ What important assumption is made about quantitative forecasting methods? a. b. c. d. a. The past is a valid indicator of the future ___ Which of the following is typically the largest element of physical distribution costs? c. Transportation ___ Driver costs usually appear as what type of transportation costs?

c. Variable transportation cost ___ For the purposes of production planning, product families should be established on the basis of b. Similarity of manufacturing process ___ Which of the following statements is most accurate? b. The seasonal index is an estimate of how much the demand during the season will be above or below the average demand ___ If the annual cost of goods sold is $10 million and the average inventory is $2.5 million, what is the inventory turnover ratio? d. 4 ___ Why is manufacturing important to the economy? a. It adds value to products to generate wealth. ___ Which of the following systems is unique in its focus on the reduction of defects by reducing variation b. Six sigma ___ Material requirements planning (MRP) schedules a planned order receipt when b. A net requirement exists ___ Which of the following is a benefit to the supplier of a long-term customer-supplier relationship? a. An improved ability to plan ___ Which statement is correct? a. Planned order receipts show when the order is needed. ___ What is the name given to inventories of items that are purchased or manufactured in quantities greater than needed immediately? b. Lot-size inventory ___ Which of the following is a characteristic of the MPS? c. It is an agreed-upon plan between production and marketing/sales

___ Which one of these steps from the five focusing steps represents the likely point where an organization would add more resources to the capacityconstrained resource? d. Elevate the constraint ___ What is the name given to a scheduling system in which the last operation on a routing is scheduled first and for completion on the due date? b. Backward scheduling ___ In a traditional manufacturing environment, which of the following objectives are in conflict? c. Minimizing production costs and decreasing inventory investment ___ Safety stock will depend on which of the following? a. Variability of demand ___