Question 1

KTI Gadgets doesn't store its supplies at its production center; instead, it has suppliers deliver supplies on an as-needed basis. What is the most important benefit of using a model like this?
A) reduces reliance on materials requirement planning
B) decreases costs associated with storage
C) improves speed of Six Sigma analysis
D) enhances bill of materials processing
E) increases form utility of finished goods

Accepted Answer

The most important benefit of using a model where supplies are delivered on an as-needed basis, like the one KTI Gadgets employs, is that it decreases costs associated with storage. This is because the company does not need to maintain large storage facilities for its supplies, thereby saving on storage space, inventory management, and related costs.

Question 2

In which scenario would just-in-time inventory beleast effective?
A) UFDA Enterprises, whose primary supplier has a history of meeting shipping expectations.
B) White Woods Company, who experiences consistent demand for its product throughout the year.
C) BMX Incorporated, a company that accurately plans their supply needs months in advance.
D) LAG Company, whose primary supplier is in a different country.
E) ABC Company, who sells only one product.

Accepted Answer

Just-in-time inventory relies heavily on the reliability and speed of supply chain processes. LAG Company, with a primary supplier in a different country, faces increased risks of delays and complications in shipping, making JIT less effective due to the complexities of international logistics.

Question 3

A company would most likely consider moving away from a just-in-time inventory system when it is
A) implementing an enterprise resource planning system.
B) acquiring a competitor to diversify its product line.
C) conducting a Gantt analysis that supports maintaining a limited inventory of supplies.
D) adding a procurement manager who can accurately identify the quantity of supplies needed.
E) moving from an analytic transformation process to a synthetic transformation process.

Accepted Answer

Acquiring a competitor to diversify its product line may lead to increased complexity and variability in inventory needs, making a just-in-time system less feasible.

Question 4

Norski Manufacturing wants to implement a system that will track everything from customer needs, orders, shipping, and payments. Which type of system would be the best for them to investigate?
A) materials requirement planning
B) just-in-time planning
C) flexible manufacturing systems analysis
D) ISO 9000 analysis
E) enterprise resource planning

Accepted Answer

Enterprise Resource Planning (ERP) systems are designed to integrate and manage all the key operations of an organization, including customer needs, orders, shipping, and payments, making it the best choice for Norski Manufacturing's requirements.

Question 5

Stump Manufacturing is made up of numerous divisions and facilities across the country. Carsten is hoping to link each of the units into a single integrated computer database. Which system would make the most sense?
A) computer-integrated evaluation
B) enterprise resource planning
C) materials requirement planning
D) process layout evaluation
E) computer-aided manufacturing

Accepted Answer

Enterprise Resource Planning (ERP) systems are designed to integrate all departments and functions across a company onto a single computer system that can serve all those different departments' particular needs. This makes it the most sensible choice for linking numerous divisions and facilities into a single integrated database.

Question 6

Which component of a materials requirement planning system allows a company to know all that is required to go into a finished product?
A) critical path review
B) total quality management system
C) bill of materials
D) enterprise resource planning system
E) Six Sigma requirements

Accepted Answer

The bill of materials (BOM) is a comprehensive list of parts, items, assemblies, and other materials required to create a product, along with the instructions for how to assemble the product from the components. It is essential for materials requirement planning systems because it details all the components that are necessary to build a finished product.

Question 7

Jamison is completing a PERT diagram at CMS company and wants to establish the critical path for a new project he is leading. The critical path is best described as
A) the time expected to complete the project.
B) the most expensive components of the project.
C) the expected needs for raw materials for the project.
D) the ideal process layout for this project.
E) the anticipated break-even requirement for the project.

Accepted Answer

The critical path in project management and specifically in a PERT (Program Evaluation and Review Technique) diagram represents the sequence of tasks that determines the minimum time expected to complete the project. It is the longest path through the project's task network, dictating the shortest time possible to complete the project.

Question 8

Caesar leads several projects at Apple Pie Industries. He likes to utilize a simple bar graph that shows how much work has been completed on various projects along with processes that are falling behind schedule. Caesar is using a(n)
A) PERT analysis.
B) Six Sigma chart.
C) Gantt chart.
D) ISO 9000 review.
E) MRP analysis.

Accepted Answer

A Gantt chart is a type of bar chart that illustrates a project schedule, including the amount of work completed on various projects and which processes are falling behind schedule, fitting the description provided.

Question 9

All-Star Construction is conducting a program evaluation and review technique analysis. What will be the most likely outcome of this evaluation?
A) They will eliminate the need for multiple suppliers.
B) They will know the total time needed to complete the project.
C) They will know their ISO 9000 rating.
D) They will have an accurate bill of materials.
E) They will eliminate the need for a critical path.

Accepted Answer

The Program Evaluation and Review Technique (PERT) is a method used in project management to estimate the project's duration when there is uncertainty in the individual task duration estimates. It helps in determining the total time needed to complete a project by analyzing the time estimates for the various tasks involved.

Question 10

What would be the most important aspect of a successful total quality management program?
A) a focus on replying to supplier feedback
B) regular analysis of ERP systems
C) listening and learning from customers and employees
D) annual PERT analyses
E) sole supplier system

Accepted Answer

Listening and learning from customers and employees is crucial for a successful total quality management (TQM) program because it focuses on continuous improvement and meeting the needs and expectations of customers, which is central to TQM philosophy.

Question 11

Priyanka is the CEO of Stamp Manufacturing. She believes in measuring the quality and service that Stamp provides against that of her competitors. This is best described as
A) critical path analysis.
B) quality assurance.
C) standardization.
D) benchmarking.
E) lean manufacturing.

Accepted Answer

Benchmarking involves comparing one's business processes and performance metrics to industry bests or best practices from other companies. In this context, Priyanka is comparing the quality and service of Stamp Manufacturing against that of her competitors, which aligns with the definition of benchmarking.

Question 12

Rocky Rainbow Company has hired a team of specialists to implement a total quality management system. What would be the best place for this team to start?
A) analyze past and current program and evaluation review charts
B) install an updated materials requirement system
C) compare company performance against their top competitors
D) remind employees that continuous improvement efforts should be left to management
E) review time to market figures for the past fiscal year

Accepted Answer

The answer of Rocky Rainbow Company has hired a team...

Question 13

The most likely reason a company would want to implement ISO 9000 standards would be to
A) reduce production flaws.
B) improve external benchmarking process.
C) eliminate need for statistical process control.
D) obtain Six Sigma certification.
E) eliminate need for onsite registrars.

Accepted Answer

ISO 9000 standards focus on quality management systems and principles, including the consistency of meeting customer and regulatory requirements, thereby aiming to reduce production flaws.

Question 14

What is the role of registrars in the ISO 9000 process?
A) manage the implementation procedures in the different departments
B) audit the various quality assurance procedures
C) benchmark quality improvements against competitors
D) research new continuous improvement opportunities for the business
E) analyze bill of materials requisitions for purchasing

Accepted Answer

Registrars audit the various quality assurance procedures to ensure that an organization's Quality Management Systems meet the ISO 9000 standards.

Question 15

ISO 9000 procedures are best used for
A) statistical process control and reporting functions.
B) inventory and production departments.
C) auditing and benchmarking services.
D) enterprise resource and materials requirement planning systems.
E) external supplier and customer shipping teams.

Accepted Answer

The answer of ISO 9000 procedures are best used for
A)...

Question 16

Jillian works with the quality assurance team at Pepper Grinder Enterprises. She is responsible for their ISO 9000 processes. Which of following would best describe her responsibilities?
A) auditing Six Sigma principles and reporting on Gantt standards
B) benchmarking continuous process improvements and calculating budget reductions
C) managing the statistical process controls and implementing statistical quality controls
D) documenting QA changes and simplifying the reporting process
E) eliminating delays in the supply-chain management program

Accepted Answer

Jillian's responsibilities in managing ISO 9000 processes would involve documenting quality assurance (QA) changes and simplifying the reporting process, as ISO 9000 focuses on quality management systems and principles, including the documentation and continual improvement of processes.

Question 17

Darby is a quality assurance analyst with DFF, Incorporated. He is comparing random production samples and notices that they are outside typical quality assurance ranges. If he is following the statistical process control process, what would be his most likely response?
A) halt production and call a registrar to report the issue
B) stop production to allow for process corrections
C) decrease production while comparing results with latest PERT analysis
D) continue production, but increase sample reviews
E) pause production while he analyzes the critical path

Accepted Answer

If Darby is following the statistical process control process and notices samples outside typical ranges, the most likely response is to stop production to allow for process corrections. This helps in identifying and rectifying the issue to ensure quality standards are met.

Question 18

Altomotive is implementing the statistical process control technique at their production facility. The QA Director needs to provide an overview of the testing process. Which of the following would be his best response?
A) testing a minimum of 3.4 samples and measuring against TQM ratings
B) hiring registrars to test weekly results and compare with benchmarking figures
C) random sampling throughout each production run to compare with standard acceptability ranges
D) scheduled production reviews where samples are compared to Six Sigma standards
E) constant monitoring of production and comparing with ERP recommendations

Accepted Answer

Random sampling throughout each production run to compare with standard acceptability ranges is a fundamental aspect of statistical process control. It allows for ongoing monitoring of the production process to ensure it stays within predefined quality standards.

Question 19

Spritely Sprockets has been noticing a high rate of product returns. The company is even in danger of losing some of its customers. Which technique would best help the company improve quality during its production process?
A) supply-chain analysis
B) statistical process control
C) critical path review
D) variance analysis
E) ISO 9000 series

Accepted Answer

Statistical process control (SPC) is a method of quality control which employs statistical methods to monitor and control a process, helping to ensure that the process operates efficiently, producing more specification-conforming products with less waste.

Question 20

What process is used by the Six Sigma approach to quality control?
A) testing random samples from production runs
B) using statistical quality control to test daily samples
C) using registrars to audit sample management standards
D) testing many variables relating to all company processes
E) testing competitor samples to align company expectations

Accepted Answer

Six Sigma uses statistical quality control to test many variables relating to all company processes.

Quiz 10: Operations Management

KTI Gadgets doesn't store its supplies at its production center; instead, it has suppliers deliver supplies on an as-needed basis. What is the most important benefit of using a model like this?

In which scenario would just-in-time inventory beleast effective?

A company would most likely consider moving away from a just-in-time inventory system when it is

Norski Manufacturing wants to implement a system that will track everything from customer needs, orders, shipping, and payments. Which type of system would be the best for them to investigate?

Stump Manufacturing is made up of numerous divisions and facilities across the country. Carsten is hoping to link each of the units into a single integrated computer database. Which system would make the most sense?

Which component of a materials requirement planning system allows a company to know all that is required to go into a finished product?

Jamison is completing a PERT diagram at CMS company and wants to establish the critical path for a new project he is leading. The critical path is best described as

Caesar leads several projects at Apple Pie Industries. He likes to utilize a simple bar graph that shows how much work has been completed on various projects along with processes that are falling behind schedule. Caesar is using a(n)

All-Star Construction is conducting a program evaluation and review technique analysis. What will be the most likely outcome of this evaluation?

What would be the most important aspect of a successful total quality management program?

Priyanka is the CEO of Stamp Manufacturing. She believes in measuring the quality and service that Stamp provides against that of her competitors. This is best described as

Rocky Rainbow Company has hired a team of specialists to implement a total quality management system. What would be the best place for this team to start?

The most likely reason a company would want to implement ISO 9000 standards would be to

What is the role of registrars in the ISO 9000 process?

ISO 9000 procedures are best used for

Jillian works with the quality assurance team at Pepper Grinder Enterprises. She is responsible for their ISO 9000 processes. Which of following would best describe her responsibilities?

Darby is a quality assurance analyst with DFF, Incorporated. He is comparing random production samples and notices that they are outside typical quality assurance ranges. If he is following the statistical process control process, what would be his most likely response?

Altomotive is implementing the statistical process control technique at their production facility. The QA Director needs to provide an overview of the testing process. Which of the following would be his best response?

Spritely Sprockets has been noticing a high rate of product returns. The company is even in danger of losing some of its customers. Which technique would best help the company improve quality during its production process?

What process is used by the Six Sigma approach to quality control?