Question 1

Which phase of production control determines the amount of all resources needed to produce a certain amount of goods and services?

Accepted Answer

Production planning determines the amount of all resources needed to produce a certain amount of goods and services. Scheduling involves deciding when to start and finish each activity in the production process. Dispatching involves allocating resources and directing production activities. Routing involves determining the most efficient path for materials and resources to flow through the production process.

Question 2

The suppler for Omega Corporation has offered the company a 5 percent discount if it will order more units less frequently.If Omega accepts the supplier's offer,the cost of carrying inventory will ________ and the cost of running out of inventory will ________.

Accepted Answer

If Omega orders more units less frequently, it will have to carry more inventory, which will increase the cost of carrying inventory. However, if it runs out of inventory, it will have to place an emergency order, which will likely be more expensive and increase the cost of running out of inventory. Therefore, the cost of carrying inventory will rise and the cost of running out of inventory will decrease.

Question 3

Which of the following is NOT part of the mission of ISO?

Accepted Answer

ISO's mission is to promote international standards for business, government, and society, provide a framework for continual improvement, and facilitate global trade and cooperation. However, ISO does not enforce quality standards, as it is up to organizations to comply with ISO standards voluntarily.

Question 4

Harriet uses a computer-based production planning system by which a firm can ensure that it has needed parts and materials available at the right time and place and in the correct amounts.Harriet uses:

Accepted Answer

The production planning system used by Harriet is materials requirement planning (MRP). MRP is a computer-based inventory management system that helps businesses ensure that they have the necessary raw materials and components to meet production schedules. It works by calculating the exact amounts of materials needed based on the production schedule, current inventory levels, and lead times for ordering and receiving materials. This allows businesses to optimize their inventory levels and avoid shortages or excess inventory.

Question 5

When Best Buy vendors ship merchandise directly to stores instead of distribution centers,the company is utilizing ________.

Accepted Answer

When Best Buy vendors ship merchandise directly to stores instead of distribution centers, it means that the vendors are managing the inventory. This practice is known as vendor-managed inventory (VMI). Therefore, the correct choice is C.

Question 6

Snyder Industries uses 100,000 widgets each year.If Snyder decides to place more orders each year,ordering fewer widgets each time,Snyder will be carrying ________ inventory on average and the risk of running out of inventory will ________.

Accepted Answer

If Snyder places more orders for fewer widgets each time, their average inventory level will be lower, hence "less" inventory. However, there will be a higher risk of running out of inventory because Snyder is ordering smaller quantities more frequently, leaving less buffer inventory.

Question 7

How can a firm best protect itself against an interruption in the supply of parts?

Accepted Answer

Maintaining more than one supply source is the best option to protect against an interruption in the supply of parts. This ensures that the firm has alternative options to continue receiving necessary parts even if one supplier fails to deliver, due to any reason such as natural disasters, bankruptcy, or other issues. Having more than one supplier also helps in negotiating better prices and terms, and reduces the dependence on a single supplier, reducing the risk of any disruptions. The other options such as transporting parts in own vehicles, using suppliers from the city, or selecting through a competitive bidding process may not provide adequate protection against an interruption in the supply of parts.

Question 8

________ is the phase of production control that determines the sequence of work and specifies where and by whom each aspect of production will be performed.

Accepted Answer

Routing is the phase of production control that determines the sequence of work and specifies where and by whom each aspect of production will be performed. Scheduling involves allocating resources and determining the time required for each activity, while dispatching involves issuing instructions and assigning tasks to workers. Follow-up involves monitoring progress and ensuring that the production process stays on track.

Question 9

A firm can monitor quality level output in all of the following ways EXCEPT ________.

Accepted Answer

Share of marketplace refers to the level of competition in the market and is not directly related to monitoring quality level output. The three other options (customer surveys, electronic sensors, and visual inspections) are all methods commonly used by firms to monitor quality level output.

Question 10

Elijah is a warehouse production manager and has been assigned a complex project that might result in lengthy delays.In order to coordinate all aspects of the production process,Elijah has created a(n)________ chart.

Accepted Answer

The answer of Elijah is a warehouse production manager and...

Question 11

Isaac's job involves setting up well-designed procedures for coordinating people,materials,and machinery for the production of mesh filters.Isaac is involved in ________.

Accepted Answer

Isaac's job involves setting up procedures for coordinating the production of mesh filters, which indicates that he is involved in production control. Inventory control involves managing the flow of goods in and out of a company's inventory, and facility design involves the layout and design of a company's physical workspace. Manufacturing resource planning (MRP II) is a software system used to manage production processes, but there is no indication in the scenario that Isaac is specifically involved in implementing or using MRP II. Therefore, production control is the most appropriate choice.

Question 12

Part of Vicky's job as a production supervisor is to instruct each department on what work to do and the time in which they have to complete their work assignments.This part of her job is known as ________.

Accepted Answer

The answer of Part of Vicky's job as a production...

Question 13

Which of the following situations would present a challenge for a just-in-time (JIT)investment system?

Accepted Answer

A sudden increase in demand would require more inventory to be available immediately, which contradicts the JIT system of only having inventory on hand as needed. The other choices listed are actually compatible with a JIT system - vendor managed inventory can help coordinate delivery schedules, an increase in suppliers can provide more options for timely delivery, and long-term relationships with suppliers can increase trust and reliability in delivery.

Question 14

When choosing an appropriate vendor,production managers consider all of the following EXCEPT ________.

Accepted Answer

The answer of When choosing an appropriate vendor,production managers consider...

Question 15

Which of the following would least likely be purchased on a long-term contractual basis?

Accepted Answer

Office supplies purchased for a small office are typically short-term and transactional purchases, as the amount needed may vary and the need for the supplies may be temporary. The other options usually require long-term contractual agreements to ensure a steady supply and consistent pricing.

Question 16

All of the following are expenses involved in storing inventory EXCEPT ________.

Accepted Answer

Acquisition refers to the cost of purchasing inventory, while maintenance, insurance, and warehouse rent are expenses incurred in storing inventory.

Question 17

A Gantt chart is associated with which step in production control?

Accepted Answer

A Gantt chart is a visual representation of a schedule, making it useful for scheduling production tasks and managing resources. Therefore, it is associated with the scheduling step in production control.

Question 18

Tidewater Company uses 100,000 pounds of fresh flowers each year.Because of rising energy costs,it has become more expensive for Tidewater to store flowers.All other factors being equal,Tidewater should ________ its inventory of fresh flowers,which would ________ the risk of running out of inventory

Accepted Answer

With rising energy costs, it would be more expensive for Tidewater to store flowers for an extended period of time, which means reducing inventory of fresh flowers would be a better choice. By doing so, Tidewater would decrease the risk of running out of inventory as they can manage the inventory more efficiently with a reduced volume of flowers.

Question 19

The last step in production control is to spot problems in the production process and inform management of needed adjustments.This phase is called ________.

Accepted Answer

Follow-up is the last step in production control where problems in the production process are identified and adjustments are communicated to management. Evaluation is a broader term that includes follow-up, but also encompasses the entire process of analyzing and assessing production performance. Process control refers to the ongoing monitoring and adjustment of production processes to ensure consistent quality and efficiency. Dispatching is the process of assigning tasks and resources to workers or machines to begin production.

Question 20

The critical path in a PERT chart represents the ________.

Accepted Answer

The critical path in a PERT chart represents the sequence of operations that requires the longest time for completion. This is because the critical path is determined by the activities or tasks that have the least amount of slack or float time, meaning they must be completed in a specific order and within a specific time frame for the overall project to be completed on time.

Quiz 10:Production and Operations Management