Deck 9: Capacity management

Question 1

Choose, among the following options, the inputs for Capacity requirements planning (CRP).
1)Loading capacity
2)Rescheduling data from MPS
3)Routing data
4)Planned and released order from MRP systems

A) (1)
B) (2) and (3)
C) (1), (3) and (4)
D) (4)

Answer 1

C

Question 2

Capacity is the measure of productive capability of a facility for a unit of time.Which of the following capacity types measures the company's total effective capacity under perfect conditions?

A) Design capacity
B) Estimated capacity
C) Rated capacity
D) Effective capacity

Answer 2

A

Question 3

Material Requirements Planning (MRP)operates on a component product level which is the level _____________ also operates at.
1)Component/Supplier Capacity Planning (SCP)
2)Sub-assembly/Input/Output Analysis
3)Raw material/Supply Chain Planning
4)Component/Resource Capacity Planning

A) (1)
B) (2) or (4)
C) (3)
D) None of the above

Answer 3

A

Question 4

Of the following capacity planning horizons, which horizon is more concerned with capacity control over the next 4 weeks?

A) Immediate-Range Capacity Planning
B) Medium-Range Capacity Planning
C) Short-Range Capacity Planning
D) Long-Range Capacity Planning

Question 5

_______________________________________________ is a major function of the capacity planning process named ____________.

A) Changing capital equipment within the plant facility/Long-Range Capacity Planning
B) Short-term subcontracting through temporary agencies/Short-Term Capacity Planning
C) Scheduling overtime/Medium-Range Capacity Planning
D) Planing alternate product routings/Medium-Range Capacity Planning

Question 6

There are 3 work stations (WC)with the following capacity: WC1 (2,000 units), WC2 (2,500 units), and WC3 (1,500 units).While the load could be shifted from WC1 to WC2 and also in the opposite direction, WC3's load cannot be shifted to other WCs as a result of specialized equipment.In the following load situation, what is not a good solution?
WC1: 1500 units, WC2: 2250 units, WC3: 3100 units

A) Subcontracting
B) Increasing the efficiency of the operation
C) Pushing work back
D) Rerouting work to another work center

Question 7

Choose the statements that differentiate the Resource Profile Method (RPM)from other alternative RCCP approaches.
1)It is easier to perform
2)It has longer time buckets
3)It includes a timing dimension
4)It only requires partial information

A) (1)
B) (2) and (3)
C) (3)
D) (2) and (4)

Question 8

Choose, among the following examples of capacity, the ones that are not precise.
1)ADA Inc.can produce only 150 computers per hour
2)The auditorium can seat 1,400 people at a time
3)The bus can run its route 11 times a day
4)The movie theater can play 15 trailers for every double feature

A) (1)
B) (2) and (4)
C) (2)
D) (1) and (3)

Question 9

Of the following solutions for overloaded work centers, which is the least effective solution?

A) Backordering
B) Subcontracting
C) Increasing the efficiency of the operation
D) Rerouting work to another work center

Question 10

Which of the following is a correct description of Capacity requirements planning (CRP)?

A) Process of converting the master production schedule into requirements for key resources
B) Process of reconciling the difference between available capacity and load
C) Create long term capacity plans synced with business plans
D) Monitors work-center capacity imbalances

Question 11

Dave is conducting Rough-Cut Capacity Planning (RCCP)for a product GTB.The product GTB' BOM has 2 levels.The assembly is at level 1.At level 2, there are component A and B.The Production Routings for product GTB is presented below.Using RCCR approach, find the Capacity Requirements for 4 units of product GTB.

A) WC1: 1.2 hours WC2: 3.6 hours WC3: 5.6 hours
B) WC1: 2.2 hours WC2: 3.1 hours WC3: 3.6 hours
C) WC1: 1.2 hours WC2: 3.1 hours WC3: 1.2 hours
D) WC1: 5.2 hours WC2: 1.2 hours WC3: 5.6 hours

Question 12

Capacity is the measure of productive capability of a facility for a unit of time.Name the capacity measure that divides effective capacity with design capacity.

A) Effective Capacity Utilization
B) Capacity efficiency
C) Design Capacity Normalization
D) Rated capacity Utilization

Question 13

Capacity Requirements Planning (CRP)is a Capacity planning activity.At which resource levels does CRP operate?
1)All Work Centers
2)Individual Machine
3)Company
4)Plants

A) (1)
B) (2) and (4)
C) (1) and (3)
D) None of the above

Question 14

AE Manufacturing has 60 machine hours every day.AE Manufacturing two products, A and B.When changing over from producing product B to A, there is no change over time.When changing over from producing product A to B, it takes 8 machine hours.If the previous day ended with producing product B, what is the effective capacity when AE Manufacturing has the following schedule: product A, product B, product A.

A) 60 machine hours per day
B) 56 machine hours per day
C) 44 machine hours per day
D) 52 machine hours per day

Question 15

Product gamma requires a sequence of 5 Work centers.What is the capacity efficiency when the total out output is 2000 units per period? The following is the period production volume for each WC.
WC1: 2500 units, WC2: 2250 units, WC3:3100 units, WC4:2500 units, WC5:2150 units

A) 87.54%
B) 64.51%
C) 93.02%
D) 107.50%

Question 16

Using RCOF and the information in the table below, find what the labor hour requirement for product C is.The total load is 52 hours.
$$\begin{array} { | c | c | c | c | } \hline \text { Product } & \text { A } & \text { B } & \text { C } \\\hline \text { Labor hours } & 3 & 1 & ? \\\hline \text { Units } & 10 & 5 & 6 \\\hline\end{array}$$

A) 3 units
B) 5 units
C) 1 units
D) 9 units

Question 17

Using RCOF and the information in the table below, find the labor hour requirement for Work center 1.The following is the distribution of the load across the WCs:
WC1 (25%), $\quad$ WC2 (55%), $\quad$ WC3 (20%).
$$\begin{array} { | c | c | c | c | } \hline \text { Product } & \text { A } & \text { B } & \text { C } \\\hline \text { Labor hours } & 3 & 1 & 7 \\\hline \text { Units } & 10 & 5 & 6 \\\hline\end{array}$$

A) 42.35 hours
B) 38.85 hours
C) 15.4 hours
D) 19.25 hours

Question 18

The movie theater has scheduled 6 showings a day.The movie theater can play a maximum of 8 trailers for every movie showing.However, because of the time needed to clean the theater after each showing, only 32 trailers are played every day.What is the Effective capacity utilization?

A) 52.95%
B) 66.70%
C) 72.50%
D) 60.20%

Question 19

Among the alternative RCCP approaches, name the approach that applies planning factors derived from historical data for the end item to MPS data and are used to estimate overall labor in order to estimate overall labor or machine hour capacity requirements.

A) Rough-Cut Capacity and Production Volume (RCV)
B) Rough-Cut Capacity Check Using Overall Factors (RCOF)
C) Rough-Cut Capacity Using Routings (RCCR)
D) Resource Profile Method (RPM)

Question 20

Capacity planning is the creation of a series of interrelated hierarchical plans.The levels of these plans correlate with the levels of the manufacturing framework.Which of the following capacity plan and manufacturing process matches are at the same level?
1)Sales and Operations Planning <-->Rough-Cut Capacity Planning
2)Shop-Floor Control (SFC)<-->Rough-Cut Capacity Planning
3)Material Requirements Planning (MRP)<-->Capacity Requirements Planning
4)Master Production Scheduling (MPS)<-->Input/Output Analysis

A) (1)
B) (2) and (4)
C) (3)
D) (1), (2), and (4)

Question 21

Product gamma requires a sequence of 3 Work centers.The total output is 4000 units per period.What is the bottleneck? Explain whether the situation is plausible given the information.The following is the period production volume for each WC.
WC1: 3500 units, WC2: 5250 units, WC3: 4100 units

Question 22

What is the planning horizon of the Capacity requirements planning (CRP)?

Question 23

Describe the activities and scope of Long-Range Capacity Planning.

Question 24

The effective capacity of the Jack Furniture Company is 15 Sofas per hour.However, it actually produces only 13 computers per hour.Calculate the efficiency of the Jack Furniture Company.

Question 25

Write the equation for Rated capacity.

Question 26

Name the process of converting the master production schedule into requirements for key resources, including labor, machinery, warehouse capacity, suppliers' capabilities, and many other transformations.

Question 27

Dave is conducting Rough-Cut Capacity Planning (RCCP)for a product ATOR.The product ATOR' BOM has 2 levels.The assembly is at level 1.At level 2, there are component A, B and C.The Production Routings for product GTB is presented below.Using RCCR approach, find whether Work center 2 has enough capacity to produce 104 units of product ATOR.Work center 2's assigned capacity is 1,100 hours.

Question 28

AMT Transportations operates 2 shifts per day with 25 drivers working during each shift.When each shift is 8 hours, what is the design capacity for a day?

Question 29

Define, in your words, capacity planning and control.

Question 30

Using RCOF and the information in the tables below, find the labor hour requirement for Work center 2 during period 2.The following is the distribution of the load across the WCs:
WC1(25%), WC2(55%),WC3(20%).