Question 1

The Widget Company may base its decision of where to locate its facilities on
A) the availability of labor.
B) the cost of energy.
C) how close to customers they need to be.
D) all of the above

Accepted Answer

The decision of where to locate facilities of a company can be influenced by various factors such as availability of skilled labor, cost of energy, proximity to customers, and other logistical considerations. Therefore, all of the options mentioned in the given choices can be valid deciding factors for the Widget Company to make a well-informed decision. Hence, the correct answer is D.

Question 2

The process of analyzing the design to determine the materials and parts that it requires in the production process is known as
A) MRP.
B) facilities layout design.
C) make-buy analysis.
D) JIT.

Accepted Answer

The process described in the question is Material Requirements Planning (MRP), which is a method used to determine the quantity and timing of the materials needed to produce a product. Therefore, the correct choice is A) MRP.

B) Facilities layout design refers to the arrangement of equipment, machinery, and other assets within a facility for maximum efficiency and productivity. While this is an important aspect of manufacturing, it is not the process described in the question.

C) Make-buy analysis is a process used to determine whether a particular component, product, or service should be produced internally or purchased from an external supplier. While this is related to the production process, it is not the same as analyzing the design to determine the necessary materials and parts.

D) Just-in-Time (JIT) is a method of production that emphasizes the delivery of products and materials just when they are needed, in order to minimize waste and reduce costs. While this is relevant to the production process, it is not the process described in the question.

Question 3

The firm's ability to produce the product during a given period is referred to as
A) capacity.
B) input.
C) conversion.
D) MRP.

Accepted Answer

Capacity refers to the maximum amount of a product or service that a company can produce during a given period, typically measured in units or hours. It is an important factor in production planning and scheduling as it determines the company's ability to meet customer demand and maintain profitability. Input refers to the materials, labor, and other resources required to produce a product, while conversion refers to the process of transforming inputs into finished goods. MRP (Material Requirements Planning) is a system used in manufacturing to plan and schedule production based on demand and inventory levels.

Question 4

A particularly complex project's conversion activities might best be monitored with a
A) PDCA cycle.
B) PERT network.
C) Gantt chart.
D) load chart.

Accepted Answer

PERT (Program Evaluation and Review Technique) network is specifically designed for projects with high levels of uncertainty and complexity, making it ideal for monitoring the conversion activities of a particularly complex project. It helps in identifying the critical path and estimating the project duration more accurately.

Question 5

The assembly line at the BMW factory in Regensburg, Germany, that can accommodate several different models of the car simultaneously is an example of
A) a fixed-position layout.
B) flexible manufacturing.
C) statistical process control.
D) MRP.

Accepted Answer

The assembly line at the BMW factory in Regensburg, Germany, that can accommodate several different models of the car simultaneously is an example of flexible manufacturing. This is because the facility can adapt to the changing demands of customers and produce a variety of models with the same equipment and production line.

Question 6

The foundation of operations management is
A) acquiring inputs.
B) delivering the output.
C) planning.
D) determining the customer.

Accepted Answer

Planning is the foundation of operations management as it involves creating strategies, setting goals, and identifying the resources required to deliver value to customers. While acquiring inputs, delivering output, and determining the customer are all important aspects of operations management, they can only be effectively carried out once a solid plan is in place.

Question 7

Given the size of the product, an aircraft manufacturer would be most likely to use a ________ layout.
A) product
B) process
C) fixed-position
D) facilities

Accepted Answer

Since the size of the product is indicated, and aircraft are notoriously large, a fixed-position layout would be the best choice for an aircraft manufacturer. With a fixed-position layout, the product remains in one place, and equipment and labor are moved to the product. This is ideal for an aircraft manufacturer where the product is immense and complex, requiring a significant amount of work to be done in a small area.

Question 8

When the operations manager determines a minimum level of inventory then reorders inputs when this level is reached, she is using
A) fixed-interval reordering.
B) a conversion process.
C) MRP.
D) fixed-point reordering.

Accepted Answer

Fixed-point reordering, also known as reorder point system or minimum stock level reordering, involves setting a specific point at which inventory is reordered. When the inventory level falls to this predetermined minimum level, a new order is placed to replenish stock. This method ensures that inventory levels are sufficient to meet demand while minimizing holding costs.

Question 9

Strategic planning can help the firm determine
A) the need for the product.
B) the market the firm wishes to target.
C) if the firm wants to make or buy their product.
D) all of the above

Accepted Answer

Strategic planning involves analyzing the market and identifying opportunities, determining the need for the product or service, deciding on the target market, and making decisions about production or procurement. Therefore, all the options mentioned are addressed in the strategic planning process.

Question 10

Materials, energy, information, management, technology, and labor that are needed to create a product are known as
A) facilities layout design.
B) process.
C) inputs.
D) outputs.

Accepted Answer

Inputs refer to the materials, energy, information, management, technology, and labor that are needed to create a product. Facilities layout design and process refer to specific aspects of production, while outputs refer to the finished product or service.

Question 11

An effective conversion process
A) converts the inputs into the final product.
B) lowers the cost of creating the product.
C) creates a better product for the same cost.
D) all of the above

Accepted Answer

An effective conversion process should ideally convert the inputs into the final product (A), while also lowering the cost of creating the product (B) and/or creating a better product for the same cost (C). Therefore, all of the above statements are true, making option D the correct choice.

Question 12

________ systems are used to keep inventory levels more or less constant.
A) Conversion
B) Reordering
C) Inventory
D) Statistical process

Accepted Answer

Reordering systems, such as Economic Order Quantity (EOQ) and Just-In-Time (JIT), are designed to ensure that inventory is replenished at the right time with the right quantity to maintain a desired level of stock. They use forecasting, lead time analysis, and demand analysis to determine when and how much inventory should be ordered. This helps to avoid stockouts and excess inventory, and optimize the use of storage space and capital. Conversion systems are related to production processes, inventory systems manage stock levels, and statistical process control is a method to monitor and improve quality.

Question 13

Which of the following is not an appropriate tool for determining an efficient sequence and monitoring for activities in the conversion process?
A) PERT network
B) Gantt chart
C) Deming wheel
D) Load chart

Accepted Answer

The Deming wheel (also known as the PDCA cycle) is a tool for continuous improvement and problem-solving, but it is not specifically designed for determining an efficient sequence and monitoring activities in the conversion process. The other choices (PERT network, Gantt chart, and load chart) are all commonly used for this purpose.

Question 14

Which of the following is not a stage of operations management?
A) Acquiring inputs
B) Controlling the conversion processes
C) Planning the strategy of the organization
D) Delivering the output

Accepted Answer

Planning the strategy of the organization is not a stage of operations management, but rather a separate aspect of overall management. The stages of operations management typically include acquiring inputs, controlling the conversion processes, and delivering the output.

Question 15

Which tool for monitoring the conversion process is a visual sequence of the process steps?
A) Gantt chart
B) PDCA cycle
C) Deming wheel
D) PERT chart

Accepted Answer

A Gantt chart is a visual tool that displays the project schedule and the sequence of tasks in a graphical format. It provides a clear and concise overview of the entire conversion process, allowing for easy monitoring and tracking of progress. The chart shows the start and end dates of each task, as well as their dependencies and critical paths, making it a valuable tool for project management and monitoring. B, C, and D are incorrect choices as they do not specifically address monitoring the conversion process.

Question 16

The three stages of operations management are
A) highly interrelated.
B) separate.
C) somewhat influenced by each other.
D) are not related to the organization's strategic planning process.

Accepted Answer

The three stages of operations management, namely planning, control, and improvement, are highly interrelated. Planning involves setting goals, developing strategies, and designing processes. Control entails monitoring and measuring performance against established goals and making adjustments as necessary. Improvement involves continuous evaluation and refinement of processes to boost efficiency and effectiveness. As such, the stages are interdependent and interact with each other throughout the organization's operations.

Question 17

The employee and equipment stay in one workstation as the product moves through the system in a ________ layout.
A) product
B) process
C) fixed-position
D) facilities

Accepted Answer

In a product layout, the product moves along a conveyor or assembly line while employees and equipment remain stationary at their respective workstations.

Question 18

When self-managed teams are used in flexible manufacturing
A) team members learn all the tasks in the production process.
B) team members schedule work and hire new staff.
C) productivity and efficiency typically increase.
D) all of the above

Accepted Answer

When self-managed teams are used in flexible manufacturing, team members learn all the tasks in the production process, schedule work, hire new staff, and productivity and efficiency typically increase. Therefore, option D, "all of the above," is the correct choice.

Question 19

In the ________, the firm begins with an assessment of whether they will lose or gain a competitive advantage by outsourcing the product or some aspect of its production.
A) strategic planning process
B) make-buy analysis
C) conversion process
D) output process

Accepted Answer

The make-buy analysis is a decision-making process where a company assesses whether it should produce a product internally or outsource it to a third party. The company evaluates the costs, quality, and other factors to determine if outsourcing will give them a competitive advantage or not. The strategic planning process is a broader approach to developing a company's long-term goals and objectives. The conversion process and output process are related to the manufacturing or production process of the product and are not directly related to the decision of outsourcing.

Question 20

Which tool for monitoring the conversion process would list the people involved in each step and the time frame for their involvement?
A) PDCA cycle
B) PERT chart
C) Deming wheel
D) Load chart

Accepted Answer

The answer of Which tool for monitoring the conversion process...

Quiz 15: Operation and Information System Management

The Widget Company may base its decision of where to locate its facilities on

The process of analyzing the design to determine the materials and parts that it requires in the production process is known as

The firm's ability to produce the product during a given period is referred to as

A particularly complex project's conversion activities might best be monitored with a

The assembly line at the BMW factory in Regensburg, Germany, that can accommodate several different models of the car simultaneously is an example of

The foundation of operations management is

Given the size of the product, an aircraft manufacturer would be most likely to use a ________ layout.

When the operations manager determines a minimum level of inventory then reorders inputs when this level is reached, she is using

Strategic planning can help the firm determine

Materials, energy, information, management, technology, and labor that are needed to create a product are known as

An effective conversion process

________ systems are used to keep inventory levels more or less constant.

Which of the following is not an appropriate tool for determining an efficient sequence and monitoring for activities in the conversion process?

Which of the following is not a stage of operations management?

Which tool for monitoring the conversion process is a visual sequence of the process steps?

The three stages of operations management are

The employee and equipment stay in one workstation as the product moves through the system in a ________ layout.

When self-managed teams are used in flexible manufacturing

In the ________, the firm begins with an assessment of whether they will lose or gain a competitive advantage by outsourcing the product or some aspect of its production.

Which tool for monitoring the conversion process would list the people involved in each step and the time frame for their involvement?