Deck 4: Production and Supply Chain Management Information Systems

Question 1

Lead times and lot sizing help a company determine the transfer of goods to the customer.

Answer 1

False
Correct ans would be timing and quantities of purchase orders.

Question 2

ERP systems are necessary to implement good supply chain management.

Answer 2

False
ERP systems can help,but other technologies like EDI can be used to manage supply chains.

Question 3

The percentage of the order that the supplier provides in the first shipment is known as the first-rate.

Answer 3

False

Question 4

Make to order items are produced to fill customer's requests.

Question 5

Demand Management in the SAP R/3 system is the process where sales forecasts are adjusted to incorporate the impact of marketing initiatives.

Question 6

In a traditional supply chain,demand information is transmitted rapidly to all members of the supply chain.

Question 7

The MRP process determines the schedule of finished goods production.

Question 8

Good production decisions can be made knowing only the current level of finished goods inventory.

Question 9

Supply Chain Management is as much an approach to doing business with suppliers as it is a technology.

Question 10

The cost it normally takes to manufacture a product,which is usually derived from historical data and any changes that have occurred since then,is known as a structured cost.

Question 11

The percentage of the order that the supplier provided in the first shipment is known as the initial order lead time.

Question 12

The production plan for all finished goods is known as the MPS,or the master production schedule.

Question 13

Production planners aggregate products into product groups to make forecasts and plans more accurate.

Question 14

Because Fitter Snacker uses large quantities of oats,the most cost-effective way to purchase oats is to buy a farm and grown them.

Question 15

A make-to-stock production system is one where:

A) Items are made for inventory in anticipation of sales orders
B) Items are produced to fill specific customer orders
C) Items are assembled for a specific customer order from an inventory of components
D) Both a and c

Question 16

Another term for the recipe of a product is the bill of materials.

Question 17

Because Fitter Snacker uses large quantities of oats,the most cost-effective way to puchase oats is in bulk hopper-truck quantities,which means that the material must be ordered in 44,000 pound quantities.

Question 18

Rough-cut planning is a common term in manufacturing for aggregate planning.

Question 19

The initial fill rate measures the time needed for the supplier to fill the order.

Question 20

The Sales and Operations Planning process is used to combine the sales forecast with capacity information to determine a production plan for finished goods.

Question 21

After MRP is run in the SAP R/3 system:

A) The stock/requirements list and MRP list are both updated and show the same information.
B) The MRP list is updated but the stock/requirements list is unaffected.
C) The stock/requirements list is updated but the MRP list is unaffected
D) None of the above.

Question 22

In the following figure,what is B?

A) Starting Inventory
B) Detailed Scheduling
C) Sales Forecasting
D) MRP

Question 23

An unexpected increase in product demand can lead to:

A) A depletion of finished goods inventories
B) A depletion of raw materials inventories
C) Increased overtime and transportation expenses
D) Both a and b
E) All of the above

Question 24

The production plan for Fitter Snacker calls for 7000 cases for the snack bar product group in June.If the snack bar product group consists of NRG-A and NRG-B bars with the proportion 70% NRG-A bars and 30% NRG-B bars,how many NRG-A bars should be produced in June?

A) 500
B) 2010
C) 4690
D) 7000

Question 25

In detailed production scheduling,longer production runs of a particular product:

A) Increase the available capacity by reducing the frequency of setups.
B) Increases finished goods inventory levels.
C) Reduces finished goods inventory levels.
D) Both a and b.
E) Both a and c.

Question 26

In the following diagram,what is A?

A) MRP
B) Sales Forecasting
C) Starting Inventory
D) Detailed Scheduling

Question 27

What process answers the question "What do we need to order to produce the product,and when do we need to order these raw materials?"

A) SF - sales forecasting
B) SOP - sales and operations planning
C) MRP - materials requirements planning
D) DS - detailed scheduling

Question 28

What is the maximum number of cases they can produce in the month if they schedule workers for overtime on weekdays and Saturdays?

A) 7,666
B) 9,199
C) 9,582
D) 10,249

Question 29

What is the production plan for all finished goods?

A) MPS - master production schedule
B) QQR - quality query run
C) PPR - production planning run
D) RUN - run

Question 30

What is the sales forecast for June of this year that Fitter Snacker should use?

A) 6,628
B) 7,128
C) 6,935
D) 7,143

Question 31

What is the maximum number of cases they can produce in the month if they schedule workers for overtime on the weekdays only?

A) 7,666
B) 9,199
C) 9,582
D) 10,249

Question 32

____ are disaggregated to generate detailed production schedules.

A) Bills of materials
B) Production runs
C) Internet sales orders
D) Rough-cut plans

Question 33

What Planned Orders will the MRP logic create:

A) An order for 44,000 units in Period 2
B) An order for 44,000 units in Period 3
C) An order for 44,000 units for periods 2 and 3
D) An order for 88,000 units for period 3

Question 34

What will the On Hand inventory be in Period 5 after the system calculated planned orders?

A) 0
B) 440
C) 8,038
D) 14,038

Question 35

In the following figure,what is C?

A) Starting Inventory
B) Sales Forecasting
C) MRP
D) Detailed Scheduling

Question 36

The order of the steps in the SAP R/3 production planning process are:

A) Sales Forecasting, Demand Management, Sales and Operations Planning, MRP
B) Sales Forecasting, Demand Planning, Demand Management, MRP
C) Sales and Operations Planning, Sales Forecasting, MRP, Demand Management
D) Sales Forecasting, Sales and Operations Planning, Demand Management, MRP

Question 37

What metric tracks the number of times a supplier meets the agreed upon delivery date?

A) Initial fill rate
B) Initial order lead time
C) On-time performance
D) cash-to-cash cycle time

Question 38

The costs it normally takes to manufacture a product,which is calculated from historical costs and any changes from that,are known as:

A) Standard costs
B) Abbreviated costs
C) Known costs
D) Estimated costs

Question 39

In the following figure,what is D?

A) Starting Inventory
B) Detailed Scheduling
C) Sales Forecasting
D) MRP

Question 40

The production plan at Fitter Snacker calls for 4,134 cases of snack bars in January.If there are 22 days in the month,how many cases of snack bars should be produced in a 4-day week?

A) 188
B) 752
C) 940
D) 1034

Question 41

What is repetitive manufacturing?

Question 42

What are the three principles that production planners follow?

Question 43

SAP can provide sophisticated tools to support sales and operations planning.Is that all that is necessary for a company to be successful? Support your answer by discussing the departments of marketing and manufacturing.

Question 44

MATCHING
Refer to the following figure:

a.MRP
b.Demand Management
c.Purchasing
d.Sales Forecasting
e.Detailed Scheduling
f.Starting Inventory
g.Production
h.Sales and Operations Planning
What is G?

Question 45

List and explain each step of the production planning process.

Question 46

MATCHING
Refer to the following figure:

a.MRP
b.Demand Management
c.Purchasing
d.Sales Forecasting
e.Detailed Scheduling
f.Starting Inventory
g.Production
h.Sales and Operations Planning
What is A?

Question 47

MATCHING
Refer to the following figure:

a.MRP
b.Demand Management
c.Purchasing
d.Sales Forecasting
e.Detailed Scheduling
f.Starting Inventory
g.Production
h.Sales and Operations Planning
What is H?

Question 48

MATCHING
Refer to the following figure:

a.MRP
b.Demand Management
c.Purchasing
d.Sales Forecasting
e.Detailed Scheduling
f.Starting Inventory
g.Production
h.Sales and Operations Planning
What is B?

Question 49

The ____________________,shown below for Fitter Snacker,is a list of the materials needed to make NRG-A and NRG-B bars.

Question 50

Describe the measurements of success with Supply Chain Management.

Question 51

When might the SAP ERP system block the entry of the receipt of goods in the receiving department?

Question 52

What are the three general approaches to production?

Question 53

MATCHING
Refer to the following figure:

a.MRP
b.Demand Management
c.Purchasing
d.Sales Forecasting
e.Detailed Scheduling
f.Starting Inventory
g.Production
h.Sales and Operations Planning
What is F?

Question 54

MATCHING
Refer to the following figure:

a.MRP
b.Demand Management
c.Purchasing
d.Sales Forecasting
e.Detailed Scheduling
f.Starting Inventory
g.Production
h.Sales and Operations Planning
What is C?

Question 55

MATCHING
Refer to the following figure:

a.MRP
b.Demand Management
c.Purchasing
d.Sales Forecasting
e.Detailed Scheduling
f.Starting Inventory
g.Production
h.Sales and Operations Planning
What is E?

Question 56

____________________ refers to the process of determining production quantities (for raw materials produced in-house)and order quantities (for purchased items).

Question 57

Explain Fitter Snacker's manufacturing process as shown below:

Question 58

How can data be entered into the R/3 system on the shop floor?

Question 59

What stage of the production planning process splits Fitter Snacker's monthly production planning values into finer time periods?

A) Sales Forecasting
B) BOM
C) MRP
D) Demand Management

Question 60

MATCHING
Refer to the following figure:

a.MRP
b.Demand Management
c.Purchasing
d.Sales Forecasting
e.Detailed Scheduling
f.Starting Inventory
g.Production
h.Sales and Operations Planning
What is D?

Question 61

Describe Fitter Snacker's inventory problems with regard to their production process.

Question 62

Describe Fitter Snacker's communication problems with regard to the production process.

Question 63

Describe Fitter Snacker's accounting and purchasing problems with regard to its production process.