Question 1

The maximum authorized inventory for this part is _____.

Accepted Answer

The maximum authorized inventory for this part is more than 25 but less than or equal to 50 parts.

Question 2

Which of the following is NOT a best practice and prerequisite for implementing a just-in-time system?

Accepted Answer

Maximizing the number of parts or items is not a best practice for implementing a just-in-time system as it goes against the principle of reducing inventory and having only necessary items in stock. The other options listed (B, C, and D) are all important prerequisites for a successful just-in-time system.

Question 3

A withdraw Kanban authorizes _____.

Accepted Answer

A withdraw Kanban is used to signal the need for an empty container to be transferred from a downstream process back to an upstream process. It does not authorize any production, supplier production, or shipping to customers.

Question 4

If the safety stock factor is changed to 0.1 and the number of parts per container is increased to 44, how many containers will be needed?

Accepted Answer

The answer of If the safety stock factor is changed...

Question 5

Which of the following is LEAST related to a push system?

Accepted Answer

A push system is characterized by production and distribution decisions based on long-term forecasts. It involves producing goods in advance of customer orders, leading to higher levels of finished goods inventory (C) and operations that are dependent on forecasts (D). It operates on a predefined schedule (B), making maximum responsiveness (A) the least related, as push systems are not primarily designed for rapid response to customer demand changes.

Question 6

The maximum authorized inventory for the problem given in #35 is _____.

Accepted Answer

The answer of The maximum authorized inventory for the problem...

Question 7

Which of the following ideas related to lean operating systems is FALSE?

Accepted Answer

A push system actually makes more than what can be sold, as it pushes products through the production process regardless of demand. In contrast, a pull system only produces items as they are needed, based on customer orders or demand. Therefore, the statement in option C is false.

Question 8

A(n) _____ produces finished-goods inventory in advance of customer demand using a forecast of sales.

Accepted Answer

A push system produces goods in advance, based on a sales forecast, which can result in excess finished goods inventory if customer demand does not meet the forecast. The other options listed are production management techniques focused on reducing waste and improving efficiency.

Question 9

Webster Manufacturing Inc. is implementing a Just-in-Time (JIT) system and wants to know how many Kanbans to use for the initial setup of its JIT system. The daily demand is 400 units and each Kanban (i.e., container) holds 15 units. The combined processing and waiting time per container is 0.7 days. If the initial alpha value for safety stock is 0.6, how many Kanban containers should be authorized?

Accepted Answer

The answer of Webster Manufacturing Inc. is implementing a Just-in-Time...

Question 10

ABC Manufacturing Inc. uses a Kanban system for a component. The daily demand is 800 units. Each container has a combined waiting and processing time of 0.34 days. If the container size is 50 and efficiency (safety) factor is 9 percent, how many Kanban card sets should be authorized?

Accepted Answer

To calculate the number of Kanban card sets needed, use the formula: Number of Kanbans = (Demand during lead time + Safety stock) / Container size. First, calculate the demand during lead time: Daily demand * Lead time = 800 units/day * 0.34 days = 272 units. Then, calculate the safety stock: Safety stock = Demand during lead time * Safety factor = 272 units * 9% = 24.48 units. Add the demand during lead time and safety stock, then divide by the container size: (272 + 24.48) / 50 = 296.48 / 50 = 5.93. Since you can't have a fraction of a Kanban card set, round up to the nearest whole number, which is 6.

Question 11

Webster Manufacturing Inc. is implementing a Just-in-Time (JIT) system and wants to know how many Kanbans to use for the initial setup of its JIT system. The daily demand is 400 units and each Kanban (i.e., container) holds 15 units. The combined processing and waiting time per container is 0.7 days. If the initial alpha value for safety stock is 0.6, what is the maximum authorized inventory?

Accepted Answer

The answer of Webster Manufacturing Inc. is implementing a Just-in-Time...

Question 12

If the number of containers is reduced to one, how many parts must it hold?

Accepted Answer

Without specific information about the original number of containers or the total number of parts, it's impossible to accurately determine the exact number of parts a single container must hold. The answer provided (B) is arbitrary without context.

Question 13

In a Kanban system, in the formula (i.e., K = [d (p + w)(1 + $\alpha$)]/C), the alpha ($\alpha$) is analogous to _____.

Accepted Answer

Alpha (F1F1F1S1F1F1F10) in the Kanban formula represents a form of safety stock. It accounts for the variability in demand during the lead time, which can be unpredictable. Setting a higher value for alpha increases the amount of safety stock, providing a buffer against demand fluctuations.

Question 14

Which one of the following is a best practice of just-in-time systems?

Accepted Answer

Just-in-time systems aim to minimize waste and increase efficiency by reducing the amount of time and inventory between each step in the production process. One key practice is to minimize the distance materials and parts have to travel in order to reduce transportation time and costs. This also reduces the risk of damage or loss during transport. The use of disposable containers (A) may increase waste and does not necessarily improve efficiency. Increased setup/changeover times (B) would decrease efficiency and could prevent timely completion of orders. Highly specialized jobs with little or no cross-training (D) can also decrease efficiency and flexibility in the production process.

Question 15

Shine Motor Inc. has decided to switch to a "just-in-time system" of manufacturing and distribution for its vehicles. Which one of the following is most likely to occur?

Accepted Answer

Just-in-time systems are designed to reduce or eliminate inventory by replenishing component parts and subassemblies only when they are needed in the production process. This system helps to reduce waste, improve efficiency, and lower costs. Option A is incorrect because a just-in-time system aims to reduce inventory, not increase it. Option C is partially correct, as finished goods inventory will decrease, but raw materials and work-in-process inventories will also decrease in a well-functioning just-in-time system. Option D is incorrect since producing units before they are needed goes against the principles of a just-in-time system.

Question 16

The number of Kanban cards is dependent on all of the following EXCEPT _____.

Accepted Answer

Setup time is not directly related to the number of Kanban cards, which are more influenced by demand rate, waiting time, and safety stock to ensure smooth workflow and inventory management.

Question 17

A(n) _____ is a flag or a piece of paper that contains all relevant information for an order such as part number, description, process area used, time of delivery, quantity available, quantity delivered, and production quantity.

Accepted Answer

The description matches that of a Kanban, which is a production method that uses visual signals to trigger inventory replenishment. The Kanban card contains all relevant information for an order and is used to ensure that the correct quantity of materials is available at the right time for production.

Question 18

A hinge manufacturing company employs a Kanban system for a component part. The daily demand is 900 hinges. Each container has a wait time of 0.05/day, and a processing time of 0.37 days. The container size is 60 hinges, and the safety factor (α) is 10%. Given this data, the number of Kanbans necessary for this system is _____.

Accepted Answer

First, we need to calculate the number of containers required to fulfill the daily demand:

Containers per day = (Daily demand + Safety stock) x (Wait time + Processing time)
= (900 + 10%) x (0.05 + 0.37)
= 990 x 0.42
= 415.8 ~ 416

Next, we need to calculate the number of Kanbans required:

Kanbans = Containers required / Container size
= 416 / 60
= 6.93 ~ 7

Therefore, we need 7 Kanbans for this system. Since the closest option is "more than 4 but less than or equal to 8," the answer is B.

Question 19

A manufacturing company is using a two container Kanban system between a downstream (using) and an upstream (producing) work center. Each container holds 25 parts. The using work center can handle 100 parts per day. The average elapsed time for the entire cycle is currently 0.4 days. The company is concerned about the efficiency (and safety stock policy) of the operation. The safety stock factor for the current operation is _____.

Accepted Answer

To calculate the safety stock factor, we need to first calculate the lead time demand, which is the average usage during the elapsed time (0.4 days) plus the safety stock. The average usage during the elapsed time is (25 parts/container)*(2 containers)/(0.4 days) = 125 parts/day. The using work center can handle 100 parts per day, so the safety stock should be at least 25 parts/day. The safety stock factor is then (25 parts/day) / (125 parts/day) = 0.2. Therefore, the best choice is B, more than 0.20 but less than or equal to 0.3.

Question 20

Webster Manufacturing Inc. is implementing a Just-in-Time (JIT) system and wants to know how many Kanbans to use for the initial setup of its JIT system. The daily demand is 400 units and each Kanban (i.e., container) holds 15 units. The combined processing and waiting time per container is 0.7 days. If the initial alpha value for safety stock is 0.6 and the processing and waiting time is reduced by 30 percent due to job and process improvements, by how many units is the maximum authorized inventory reduced from the original Webster problem #23 and #24?

Accepted Answer

The original maximum authorized inventory (MAI) is calculated using the formula: MAI = Demand * (Processing time + Waiting time) * (1 + Alpha) / Container size. Initially, MAI = 400 * 0.7 * (1 + 0.6) / 15 = 44.8 Kanbans, rounded up to 45 Kanbans, equivalent to 675 units (45 * 15). After a 30% reduction in time, the new time is 0.7 * (1 - 0.3) = 0.49 days. The new MAI = 400 * 0.49 * (1 + 0.6) / 15 = 31.36 Kanbans, rounded up to 32 Kanbans, equivalent to 480 units (32 * 15). The reduction in inventory = 675 - 480 = 195 units, which is more than 100 but less than or equal to 200 units.

Quiz 17: Lean Operating Systems

The maximum authorized inventory for this part is _____.

Which of the following is NOT a best practice and prerequisite for implementing a just-in-time system?

A withdraw Kanban authorizes _____.

If the safety stock factor is changed to 0.1 and the number of parts per container is increased to 44, how many containers will be needed?

Which of the following is LEAST related to a push system?

The maximum authorized inventory for the problem given in #35 is _____.

Which of the following ideas related to lean operating systems is FALSE?

A(n) _____ produces finished-goods inventory in advance of customer demand using a forecast of sales.

ABC Manufacturing Inc. uses a Kanban system for a component. The daily demand is 800 units. Each container has a combined waiting and processing time of 0.34 days. If the container size is 50 and efficiency (safety) factor is 9 percent, how many Kanban card sets should be authorized?

If the number of containers is reduced to one, how many parts must it hold?

In a Kanban system, in the formula (i.e., K = [d (p + w) (1 + $\alpha$ ) ]/C) , the alpha ( $\alpha$ ) is analogous to _____.

Which one of the following is a best practice of just-in-time systems?

Shine Motor Inc. has decided to switch to a "just-in-time system" of manufacturing and distribution for its vehicles. Which one of the following is most likely to occur?

The number of Kanban cards is dependent on all of the following EXCEPT _____.

A(n) _____ is a flag or a piece of paper that contains all relevant information for an order such as part number, description, process area used, time of delivery, quantity available, quantity delivered, and production quantity.

Quiz 17: Lean Operating Systems

The maximum authorized inventory for this part is _____.

Which of the following is NOT a best practice and prerequisite for implementing a just-in-time system?

A withdraw Kanban authorizes _____.

If the safety stock factor is changed to 0.1 and the number of parts per container is increased to 44, how many containers will be needed?

Which of the following is LEAST related to a push system?

The maximum authorized inventory for the problem given in #35 is _____.

Which of the following ideas related to lean operating systems is FALSE?

A(n) _____ produces finished-goods inventory in advance of customer demand using a forecast of sales.

ABC Manufacturing Inc. uses a Kanban system for a component. The daily demand is 800 units. Each container has a combined waiting and processing time of 0.34 days. If the container size is 50 and efficiency (safety) factor is 9 percent, how many Kanban card sets should be authorized?

If the number of containers is reduced to one, how many parts must it hold?

In a Kanban system, in the formula (i.e., K = [d (p + w) (1 + α\alphaα ) ]/C) , the alpha ( α\alphaα ) is analogous to _____.

Which one of the following is a best practice of just-in-time systems?

Shine Motor Inc. has decided to switch to a "just-in-time system" of manufacturing and distribution for its vehicles. Which one of the following is most likely to occur?

The number of Kanban cards is dependent on all of the following EXCEPT _____.

A(n) _____ is a flag or a piece of paper that contains all relevant information for an order such as part number, description, process area used, time of delivery, quantity available, quantity delivered, and production quantity.

In a Kanban system, in the formula (i.e., K = [d (p + w) (1 + $\alpha$ ) ]/C) , the alpha ( $\alpha$ ) is analogous to _____.