Deck 4: Materials Management

Question 1

The ________ is the source of raw materials and component part inventories.

A) buyer
B) customer
C) manufacturing organization
D) supplier
E) none of the above

Answer 1

D

Question 2

The five basic functions of __________ are fundamental to achieving smooth flow, reasonable equipment utilization and materials handling costs, and maintenance of good customer service.

A) purchasing
B) inventory
C) supply
D) capital assets
E) operations

Answer 2

B

Question 3

The ______ cycle is both a link and a set of activities. As a link, the ______ cycle facilitates the flow of information and materials.

A) order / order
B) communications / communications
C) life / life
D) production / production
E) product / product

Answer 3

A

Question 4

The delay between receipt of raw materials and the availability of the finished goods produced from them is _____________. For the whole system, ____ should be as short as possible.

A) production time (PT) / PT
B) regular time (RT) / RT
C) over time (OT) / OT
D) throughput time (TPT) / TPT
E) tech time (TT) / TT

Question 5

In general, __________ is stored capacity.

A) stock
B) inventory
C) assets
D) overtime
E) second and third shifts

Question 6

If a firm makes products to order, _____________ is measured by the degree to which products are completed and shipped ___________.

A) quality / as ordered
B) delivery / on time
C) customer service / as promised
D) customer relations / within three days
E) customer service / within a week

Question 7

If we represent the order cycle as a set of activities, we can identify an important property of the order cycle- _______.

A) order time
B) communication time
C) fax time
D) lead time
E) cycle time

Question 8

The acronym "MTS" is defined as:

A) made-to-standard
B) make-to-specs
C) made-to-specifications
D) make-to-stock
E) make-to-specifications

Question 9

When planning to acquire materials, whether raw materials, component parts, or finished goods, the __________ must be considered for both the buyer and seller.

A) specifications
B) design
C) product
D) capacity
E) price

Question 10

The acronym "MTO" is defined as:

A) make-to-order
B) maintenance-to-order
C) materials-to-order
D) message-to-operations
E) machined-to-order

Question 11

ach activity in the order cycle is a bundle of tasks. For example, the receipt of materials by the customer involves all of the following, with one exception. Which is the exception?

A) Physical receipt
B) Unpacking
C) Unloading
D) Storage location decision
E) Move to storage

Question 12

The purpose of materials management is to ______________.

A) obtain raw materials and component parts for the operations division
B) negotiate the best prices for raw materials and component parts
C) find and approve major suppliers of raw materials and parts
D) support the transformation of raw materials and component parts into shipped or finished goods
E) supervise the purchasing function

Question 13

The managers of integrated materials systems have two objectives:

A) Customer service and Maximum quality materials
B) Customer relations and Minimum total materials costs
C) Minimum total materials costs and Maximum flexibility in production
D) Customer satisfaction and Minimum total materials costs
E) None of the above

Question 14

The ________ of production is limited by the process technology and/or the disposition of the workforce.

A) upper level
B) quality
C) mid-level
D) entry level
E) speed

Question 15

____________ is a concept that applies to all suppliers whether they are external to the company or internal.

A) Public relations
B) Customer relations
C) Customer service
D) Customer satisfaction
E) Public service

Question 16

Unfilled orders are processed in one of the following three ways:

A) Backorder, Cancellation, Suspension
B) Reorder, Substitution, or Backorder
C) Backorder, Substitution, or Cancellation
D) Substitution, Cancellation, or Requisition
E) Requisition, Substitution, or Cancellation

Question 17

The _______ cycle has some important characteristics. First, an _______ cycle has "length." The distance between supplier and customer determines, in part, how long it takes to transmit data and transport materials.

A) order / order
B) entry / entry
C) production / production
D) requisition / requisition
E) communications / communications

Question 18

The shorter the ______ cycle, the quicker the customer is served and the less inventory the customer needs.

A) order
B) production
C) transportation
D) shipping
E) delivery

Question 19

s an element of customer service, on-time shipment is a variation on the notion of availability. On-time shipment has to do with the ________ promises made, and the _____ of orders shipped as promised to ______ orders.

A) cost / number / backordered
B) transportation / number / total
C) delivery / number / total
D) delivery / ratio / total
E) delivery / ratio / backordered

Question 20

It is not necessary that all resource flows between components occur at the same time or in the same manner. This idea is called _______________ and is useful when designing supply-distribution systems.

A) supplier separation
B) channel separation
C) source separation
D) vendor separation
E) channel division

Question 21

When it comes to customer satisfaction customers want all of the following with one exception. Which is the exception?

A) Short lead time
B) Good quality
C) Low cost
D) Customized products
E) Post-sale service

Question 22

_________ is the extent to which a supplier can accommodate a customer's requests. Perhaps the request is for special processing, packaging, or shipment.

A) Customer service Flexibility
B) Customizing
C) Customer satisfaction
D) Flexibility
E) Programming

Question 23

ustomers want assurances that their orders are on schedule, especially as the shipping date nears. This element of customer service is the timeliness and detail of the information a supplier provides a customer.

Question 24

_________ products must both:onform closely to specifications.Satisfy consumer expectations.

A) Medical
B) Automotive
C) Consumer
D) High-quality
E) Standard quality

Question 25

If poor quality is produced, goes undetected, and is shipped, the costs to _________________ are substantial.

A) supplier
B) customer
C) retailers
D) all of the above
E) "A" and "B" only

Question 26

The design of a product must "be __________" given the process capability of the supplier. Within that range, top management sets the quality level-the degree to which the product functionally satisfies customers.

A) producible
B) profitable
C) useful
D) effective
E) functional

Question 27

We hear so much about quality that it may come as a surprise that even experts don't agree about how to achieve it. Fortune recently asked the gurus of industrial quality to define it and to assign responsibility for quality.To some, quality is a design matter. It has to do with engineering-both the process technology and product design.To others, quality is an evaluation that utilizes sampling to achieve process control and make certain that inferior quality material isn't shipped from the plant.There is a third view-that quality depends upon perception. This means making a slogan a rallying cry-"Zero Defects" or "Quality is Free."

Question 28

Quality is a (n) ________ decision.

A) supply management
B) strategic
C) engineering
D) design
E) marketing

Question 29

The quality-defining characteristics of products are those that are important to the __________ of the product.

A) developer
B) end user
C) designer
D) seller
E) manufacturer

Question 30

There are various semi-processed materials intended for further processing-raw stock, crude oil, bituminous coal, paperboard, paper, lumber, copper, wheat, cotton, for example. These materials are called _____________.

A) supplies
B) commodities
C) raw materials
D) semi-processed supplies
E) production supplies

Question 31

To qualitatively evaluate consumer products and services, Consumers Union first identifies the relevant characteristics of a product. It then tests comparable products of various manufacturers and classifies products as:

A) Best buy
B) Acceptable
C) Not acceptable
D) All of the above
E) "B" and "C" only

Question 32

onformance to specification is the ________ to which material conforms to specifications.

A) standard
B) level
C) degree
D) process
E) measure

Question 33

ven though the technology of _________ is steeped in statistics and manufacturing engineering, materials managers first need to consider ________ as part of the expectations of customers, whether intermediate or final.

A) design / standards
B) quality / design
C) production / quality
D) production / design
E) quality / quality

Question 34

If one definition of quality is conformance to specs, the specifications must be __________. The manner of specifying materials depends on the kinds of material ordered.

A) unambiguous
B) detailed
C) correct
D) direct
E) standardized

Question 35

_________ means setting the specifications for a material or product. Specifications result in the _______________ characteristics of the product.

A) Development / functional
B) Engineering / standard
C) Design / standard and functional
D) Design / functional and aesthetic
E) Development / standard and aesthetic

Question 36

The name of the game, whatever the firm's classification, is ____________.

A) customer satisfaction
B) profits
C) customer relations
D) return on sales
E) return on investment

Question 37

Quality, in large part, is what people __________ it to be.

A) expect
B) perceive
C) find
D) want
E) design

Question 38

ustomers place orders based on _________. Sometimes the _________ is called the "drop dead date."

A) shipping dates / shipping date
B) seasonal dates / seasonal date
C) preferred dates / preferred date
D) drop shipment dates / drop shipment date
E) need dates / need date

Question 39

The quality of material can deteriorate between the time it leaves the production floor and the time it arrives at the customer's storeroom. Packaging, loading, transport, and unloading can all take a toll. Although damages can be claimed, materials received in poor condition can be recycled for processing.

Question 40

isagreements between supplier and customer about standards often stem from misunderstandings about material specifications.

Question 41

There are (is) ____ kind(s) of tooling with respect to their specifications.

A) one
B) two
C) three
D) four
E) five

Question 42

_______ suggests the unexpected, which means the need to patch up or replace equipment components that we don't expect to fail. Usually the parts are not carried as inventory by the equipment manufacturer.

A) PODS
B) OEM
C) Repair
D) Replace
E) Maintenance

Question 43

The acronym "MRO" refers to:

A) Management, Research, and Operations
B) Marketing Resources and Operations
C) Maintenance, Repair, and Operating
D) Managing Repair Operations
E) Metro Research Organization

Question 44

Generally speaking, ___________ supplies are standard items and are specified by manufacturer or industry codes.

A) maintenance
B) repair
C) replacement
D) OEM
E) operating

Question 45

y definition, ___________ are homogeneous.

A) supplies
B) semi-processed goods
C) commodities
D) production supplies
E) raw materials

Question 46

_____________ are items that we expect to periodically replace in a piece of equipment. Over time, machine parts are subject to wear and are replaced.

A) Maintenance items
B) POD items
C) OEM items
D) Replacement items
E) Repair items

Question 47

Purchased parts include semi finished items that will be further processed and finished materials that will become components of finished end items. The usual way of specifying purchased parts in a manufacturing environment is with a graphic description that is, engineering drawings.

Question 48

Many parts can be purchased off the shelf. They are like commodities in the sense that they are standardized. In effect, they are _____________ according to specifications established by an industry, professional association, or independent testing organization.

A) made to standard
B) made to specifications
C) made to stock
D) made to order
E) made to design