1. Which one of the following strategies specifies how the firm will employ its production capabilities to support its corporate strategy? Tactical Operations Manufacturing Production 2. Which one of the following is a key benefit of process plant strategy? Economies of scale Diseconomies of scale Product variety Task specialization 3. What would be the required cycle time for a process that operates 9 hours daily with a desired output of 300 units per day? 0.03 minutes 1.8 minutes 2700 minutes 291 minutes 4. Which one of the following is concerned in short term capacity needs? Cycle Trends Seasonality Average 5. Which one of the following statements is NOT correct about cycle time? It represents daily operating time divided by desired production It is the maximum allowable time at each work station It determines the time often items take to roll off in assembly line It is the time required to complete a product from start to finish 6. Which one of the following forms of productivity has units of output per dollar input? Capital Energy Labor Machine 7. Which of the following department is responsible for measuring costs of poor quality? Accounting department Finance department Quality control department Operations department 8. ABC organization, actively engaged in continuous improvements, trains its work teams to use the PDCA for problem solving. The documentation of process by analyzing data, setting of qualitative goals comes in which of the following stage of PDCA? Plan Do Check Act 9. Which one of the following is NOT a key external factor in formulating operations strategy? Economic conditions Human resources Political conditions Legal environment 10.Which one of the following is a productivity measure based on all inputs? Capital productivity Multifactor productivity Partial productivity Total productivity 11. Which of the following is NOT an attribute to classify services? Tangibility Perish ability Simultaneity Degree of customer contact 12.Which one of the following is the correct order of layout types from low volume/high variety to high volume/low variety? Fixed position, process, cell, product Fixed position, cell, process, product Fixed position, process, product, cell Process, fixed position, cell, product
13.Total Quality Management stresses on all of the following principles except: Customer satisfaction Employee involvement Continuous improvement in quality Quality as competitive advantage 14.As preventive measures improve quality, _______ costs decreases. Failure Appraisal Operating Opportunity 15.Which one of the following is the focus of predetermined motion time system? Individual human motions that are used in a job task Determining the length of time it will take to undertake a particular task Determining the amount of time a worker spends on various activities Providing standard times for micro motions such as reach, move and release 16.Product life cycle is based on: Price Place Demand Supply 17.The process selection should take into account all of the following EXCEPT: Capacity planning Design of work systems Production forecasts Selection of technology 18.In exponential smoothing model, a denotes: Actual forecast Forecast error Previous forecast Smoothing constant 19.Which one of the following formula can be used to compute break even point? Q = FC / (R + VC) Q = VC / (R + FC) Q = VC / (R - VC) Q = FC / (R - VC) 1. The purpose of _________ is to avoid having one or a few employees stuck in monotonous jobs. Job enlargement Job rotation Job enrichment Job description 2. Which of the following factors should a company consider while deciding upon a certain process choice? Capital requirements, leadership skills, technology and labor Technology, capital requirements, leadership skills and market conditions Labor, raw materials, market conditions and capital requirements Capital requirements, labor, technology and market conditions 3. The focus of ___________ is customer satisfaction by incorporating quality into all phases of the organization. SWOT analysis Quality based strategies Operations strategies Organizational strategies 4. A disadvantage of __________ forecasts is the induction of personal biases. Qualitative Quantitative Associative All of the given options 5. Applied research appeals to a wide spectrum of business organizations mainly because: It deals with a huge number of variables It has potential for achieving commercial applications It does not involve high costs It is relatively easy to conduct 6. Cycle time can be calculated as: D/OT OT/D D+OT D-OT
7. The four "costs of quality" include all of the following except: Internal failure costs External failure costs Supply chain failure costs Prevention costs 8. Numerous quality improvement strategies exist. Which of the following is not a strategy discussed by the author? ISO 9000 PPM Matrix approach Statistical process control Six Sigma approach 9. The popular "seven tools of quality control" include all of the following except: Pareto chart Cause and effect (fishbone) diagram Scatter diagram Brainstorming 10.Which of the following statements about Six Sigma is incorrect? Six Sigma employs structured process improvement technique. Six Sigma programs employ full time specialists called Black Belts. Six Sigma approach is best suited for manufacturing process. Data and metrics are vital in a Six Sigma approach 11.A key supply chain management strategy for some firms is to rely upon outsourcing of tasks. Identify the incorrect statement concerning outsourcing of tasks or functions from the following. Outsourcing entails contracting with another firm to perform certain tasks or functions. A primary incentive for firms outsourcing various functions is the desire to focus on core competencies. Firms that perform the outsourced tasks are specialists and are able to achieve economies of scale with the greater volume of business. All firms that outsource various activities achieve benefits including enhanced productivity, reduced cycle times, greater inventory turns, and higher customer service levels. 12.Which of the following statements concerning differences between continuous review (Q systems) and periodic review (P systems) inventory systems is false? In periodic review systems, orders are placed after an elapsed period of time, P, has passed for a variable quantity of units. In continuous review systems, orders are placed for a fixed quantity of goods after a variable length of time has passed. Higher than normal demand during the order cycle leads to a shorter time between orders for Q Systems while in P Systems it leads to larger order sizes. P systems require a perpetual inventory count while Q systems require a periodic inventory counting system. 13.Which one of the following is not an element of MRP System? Inventory Record Capacity Planning System Master Scheduling Sales and Operations Planning System 14.Which one of the following is not an element of lean thinking? Value stream mapping Specifying value from customer’s point of view Striving for perfection Increasing the production capacity 15.Which of the following statements is incorrect about lean thinking approach? Lean thinking approach can be extended beyond the production process including finance, marketing and accounting functions Lean thinking approach was popularized by Womack and Jones Lean thinking approach can be easily applied to service operations Lean thinking approach takes an internal perspective of the firm starting with the production process. 16.The measures of quality used in manufacturing processes can be readily transferred to service operations. TRUE FALSE 17.Parabolic trends are concaved upwards and downwards. TRUE FALSE 18.A Histogram is a simple chart that differentiates the vital few causes from trivial many causes. TRUE FALSE 19.The basic idea behind the ABC classification is to separately manage the inventories on the basis of the annual demand patterns. TRUE
FALSE 20.Just-In-Time manufacturing approach is well suited for a job-shop type of production process. TRUE FALSE 21.Precedence diagram is used in line balancing to display elemental tasks and sequence requirements. 22.Operational strategies mostly function on two dimensions of quality management and service/manufacturing strategy. 23.Scheduling is planning the tasks from the due date to determine the start date and/or any changes in capacity required. 24.Job Shop refers to a system that renders unit or small lot production or service with varying specifications according to customer needs. 25.Motion Study is the systematic study of the human motions used to perform an operation.