Question 1

Capacity planning for products and services generally covers three planning time horizons. Intermediate planning generally covers a _________ planning period.
A) ~3-6 months
B) ~3-12 months
C) ~3-18 months
D) ~1-4 years

Accepted Answer

Intermediate planning typically covers a period of about 3 to 12 months, fitting between short-term planning (weeks to months) and long-term planning (years).

Question 2

Process choice is supply driven.

Accepted Answer

Process choice is primarily demand-driven, as it is determined by the type and volume of demand that the process needs to satisfy.

Question 3

Variety and volume are critical to process selection.

Accepted Answer

Variety and volume influence the choice of process because they determine the flexibility and efficiency needed in production, affecting decisions on equipment, labor skills, and production methods.

Question 4

Which process type is used when a low volume of high-variety goods or services will be needed?
A) Project
B) Batch
C) Continuous
D) Job shop

Accepted Answer

Job shop processes are used for low volume, high-variety goods or services, as they are designed to handle a wide variety of products or services in small batches, allowing for customization and flexibility.

Question 5

_____________ processing is used when a moderate volume of goods or services is desired.
A) Project
B) Batch
C) Continuous
D) Job shop

Accepted Answer

Batch processing is used for the production of a moderate volume of goods, where products are produced in groups or batches.

Question 6

When a very high volume of non-discrete, highly standardized output is desired a ____________ system is used.
A) Batch
B) Assembly line
C) Continuous
D) Project

Accepted Answer

A continuous system is used for the production of non-discrete, highly standardized outputs in very high volumes, such as chemicals, oil, and gas.

Question 7

The four types of mass customization are
A) collaborative, adaptive, transparent, cosmetic
B) evaluative, evolutionary, adaptive, individualistic
C) personal, professional, group, segment
D) cohort, team, individual, group

Accepted Answer

The four types of mass customization are collaborative, adaptive, transparent, and cosmetic. These categories describe different approaches businesses can take to tailor their products or services to meet individual customer needs or preferences.

Question 8

Aggregate planning is generally more useful for organizations that experience steady demand.

Accepted Answer

Aggregate planning is particularly useful for organizations that experience seasonal or fluctuating demand, as it helps in planning production, inventory, and workforce levels to meet varying demand efficiently.

Question 9

The aggregate plan is generally stated, such as product family, and displayed in monthly or quarterly time periods.

Accepted Answer

Aggregate planning involves outlining the overall production activities of a company in the medium term, typically focusing on general product groups or families and is often presented in monthly or quarterly intervals to manage resources effectively.

Question 10

Once formalized the aggregate plan is disaggregated to create a master production schedule (MPS) for ___________ demand inventory.
A) Dependent
B) Independent
C) Finished goods
D) Manufactured

Accepted Answer

The master production schedule (MPS) is specifically created for independent demand inventory, which refers to the demand for finished goods that are not dependent on the demand for other products.

Question 11

The ________________ is a listing of all dependent demand materials required to produce one independent demand unit of a finished products.
A) Stock keeping unit (SKU)
B) Materials requirements plan (MRP)
C) Manufacturing resource Plan MPS)
D) Bill of materials (BOM)

Accepted Answer

The Bill of Materials (BOM) is a comprehensive list of raw materials, components, and assemblies required to construct, manufacture, or repair a product. It details the dependent demand materials needed for one unit of a finished product.

Question 12

An expanded form of sales and operating plan (S&OP) that spans the end-to-end value chain of a business is a
A) Manufacturing business plan (MBP)
B) Execution business process (MBP)
C) Executive process mapping (EPM)
D) Integrated business plan (IBP)

Accepted Answer

Integrated Business Planning (IBP) is an expanded form of Sales and Operating Planning (S&OP) that integrates financial planning, demand, supply, and product management processes to improve business performance and align all parts of the organization with its strategic goals.

Question 13

The ability of the organization to adjust customer demand to fit that demand to current capacity is the _________ option.
A) Supply
B) Adjustment
C) Systems
D) Demand

Accepted Answer

The correct term is "Demand" option, as it refers to the ability of an organization to adjust its operations or capacity to meet customer demand, rather than adjusting customer demand itself.

Question 14

An organization can shift demand fulfillment to other period allowing ____________.
A) discounts
B) incentives
C) BOGOs
D) Back orders

Accepted Answer

Back orders allow an organization to fulfill demand in a later period when the product becomes available.

Question 15

The ability of an organization to adjust its available resource capacity to meet demand is the ________ option.
A) Supply
B) Adjustment
C) Systems
D) Demand

Accepted Answer

The correct term is "Supply" option, as it refers to an organization's ability to adjust its available resources (supply) to meet the demand for its products or services.

Question 16

Which supply option depends upon the nature of the work, training skills needed and union agreements?
A) Overtime/slack time
B) Part-time workers
C) Hire and lay off workers
D) Contract workers

Accepted Answer

The answer of Which supply option depends upon the nature...

Question 17

A strategy for meeting uneven demand that presupposes a great deal of ability and willingness on the part of managers to be flexible in adjusting to demand is
A) Maintain a level workforce (level capacity)
B) Maintain a level output rate (level capacity)
C) Match demand period by period (chase demand)
D) Us a combination of decision variables

Accepted Answer

Matching demand period by period, known as the chase demand strategy, requires managers to be highly flexible in adjusting workforce levels, work hours, and production rates to meet varying demand levels. This approach directly aligns production with demand fluctuations.

Question 18

A strategy for meeting uneven demand that is met by using some combination of inventories, overtime, part-time workers, subcontracting, and back orders while maintaining a steady rate of output is
A) Maintain a level workforce (level capacity)
B) Maintain a level output rate (level capacity)
C) Match demand period by period (chase demand)
D) Us a combination of decision variables

Accepted Answer

Maintaining a level output rate (level capacity) strategy involves keeping a constant production rate while meeting fluctuating demand through a combination of methods such as inventories, overtime, and subcontracting, without varying the workforce size.

Question 19

A ______________ shows the planned output for individual products (SKUs) rather than entire product group, along with the timing of production.
A) Aggregate plan
B) Utilization plan
C) Routing schedule
D) Master production schedule

Accepted Answer

A Master Production Schedule (MPS) shows the planned output for individual products (SKUs) along with the timing of production. It is more detailed than an aggregate plan, which focuses on overall capacity and total production levels.

Question 20

Order fulfillment production strategies refers to the processes involved in responding to customer complaints.

Accepted Answer

Order fulfillment production strategies refer to the methods and processes involved in receiving, processing, and delivering orders to customers, not specifically responding to customer complaints.

Quiz 11: Aggregate Planning and Master Scheduling

Capacity planning for products and services generally covers three planning time horizons. Intermediate planning generally covers a _________ planning period.

Process choice is supply driven.

Variety and volume are critical to process selection.

Which process type is used when a low volume of high-variety goods or services will be needed?

_____________ processing is used when a moderate volume of goods or services is desired.

When a very high volume of non-discrete, highly standardized output is desired a ____________ system is used.

The four types of mass customization are

Aggregate planning is generally more useful for organizations that experience steady demand.

The aggregate plan is generally stated, such as product family, and displayed in monthly or quarterly time periods.

Once formalized the aggregate plan is disaggregated to create a master production schedule (MPS) for ___________ demand inventory.

The ________________ is a listing of all dependent demand materials required to produce one independent demand unit of a finished products.

An expanded form of sales and operating plan (S&OP) that spans the end-to-end value chain of a business is a

The ability of the organization to adjust customer demand to fit that demand to current capacity is the _________ option.

An organization can shift demand fulfillment to other period allowing ____________.

The ability of an organization to adjust its available resource capacity to meet demand is the ________ option.

Which supply option depends upon the nature of the work, training skills needed and union agreements?

A strategy for meeting uneven demand that presupposes a great deal of ability and willingness on the part of managers to be flexible in adjusting to demand is

A strategy for meeting uneven demand that is met by using some combination of inventories, overtime, part-time workers, subcontracting, and back orders while maintaining a steady rate of output is

A ______________ shows the planned output for individual products (SKUs) rather than entire product group, along with the timing of production.

Order fulfillment production strategies refers to the processes involved in responding to customer complaints.