SCM Quiz 1

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1

"A network of manufacturers and service providers that work together to convert and move goods from the raw materials stage through to the end​ user" is the definition of

supply chain.

2

Which of these is NOT a flow that moves up and down the supply​ chain?

procedural

3

A retailer cooperates with a manufacturer by coordinating promotional activities​ (items they plan to put on sale and advertise​ heavily) with the manufacturer to assist the manufacturer plan production and inventory. This is an example of which of the following important trends in operations and supply chain​ management?

Relationship Management

4

Which of these operations and supply chain management career paths works closely with​ manufacturing, marketing, and purchasing to create​ timely, cost-effective​ import/export supply​ chains?

international logistics manager

5

​"Translates the business strategy into specific actions and coordinates with other​ areas" is the definition of

functional strategy.

6

​"Performance dimensions for which customers expect a minimum level of​ performance, but do not provide a competitive​ advantage" is the definition of

order qualifier.

7

Companies must prioritize and determine the performance dimensions on which they will focus and excel. Each performance dimension has several​ sub-dimensions. Mix,​ changeover, and volume are​ sub-dimensions of

flexibility.

8

​Cross-docking is an operations and supply chain maneuver whereby

incoming shipments from suppliers are transferred directly to outgoing shipments to individual retail locations.

9

Which of the following relates to choosing among the performance dimensions on which to​ compete?

Difficult to excel on both low cost and high quality.

10

You have just graduated from college and are looking to buy your first car. Money is tight right​ now, so you are concerned with initial cost as well as ongoing expenses. At the same​ time, you​ don't want to drive a​ slow, outdated car like your parents do. You have narrowed your choices down to two​ vehicles: a Honda Enigma and a Bizzarrini Booster. Based on the numbers​ below, calculate the value index for each car. Which car provides you with the greatest​ value?

Dimension Importance to you Honda Enigma Bizzarrini Booster Fuel economy 4 3 1

Reliability 2 3 2

Speed and handling5 1 5

Aesthetics 1 1 4

​After-sales support 5 2 2

Purchase price 3 4 4

The value index for Honda Enigma is 46.

Value Index = sum of (importance X each factor)

The value index for Bizzarrini Booster is 59.

Value Index = sum of (importance X each factor)

The Bizzarrini Booster provides the greatest total value index.

11

The American Society for Quality has a two part definition of quality. One perspective on quality is​ "a product or service free from​ deficiencies; the product performs as​ intended." This is the​ ____________ perspective on quality.

conformance

12

In the Dittenhoefer fine china​ case, workers visually inspected finished items for defects such as chips or cracks. The time and labor cost associated with this inspection resulted in which of the following type of quality​ costs?

appraisal

13

"Managing the entire organization so that it excels in all dimensions important to the​ customer, including product​ development, marketing and supply​ chain" is the definition of

total quality management.

14

​"A type of manufacturing process used to make a wide variety of highly customized products in quantities as small as​ one" is the definition of

job shop.

15

The time between completions of successive units is known as the​ ______________ of the line.

cycle time

16

Which is the following is an example of a continuous flow​ process?

Petroleum refinery

17

Which of the following products are the most highly​ customized?

​engineer-to-order (ETO) products

18

Which of the following is not a characteristic of a service process.

Customer involvement

19

The cycle or takt time for a process is 60 seconds. Assuming the firm operates for 8 hours per​ day, how many units would they​ produce?

480 units

20

The supply chain function works with marketing and engineering to identify and qualify suppliers of goods and services as well as manage​ on-going supplier relationships. This supply chain activity is

purchasing.

21

Which of these is an output to a single​ organization's transformation​ process?

fulfilled needs

22

Which of these is NOT a key element of the operations​ function?

regulations

23

The use of information technology to automate business transactions is known as

e-commerce.

24

Which area of the SCOR model includes the activities that are necessary to handle warranty repairs and exchanges or shipments in excess of what is needed at a retail​ location?

planning

25

A U.S. equipment manufacturer finds a less expensive source of supply in China for steel forgings currently purchased from a United​ State's supplier. The manufacturer switches from the U.S. to the Chinese forging supplier. This is an example of which of the following important trends in operations and supply chain​ management?

Increasing Competition and Globalization

26

The capacity planning function is closely linked with which two key interorganizational supply chain​ participants?

suppliers and customers

27

The supply chain function works with marketing to manage the movement of physical goods throughout the supply chain. This supply chain activity is

logistics.

28

The text indicates that which of the following is perhaps the most difficult of all the activities that operations and supply chain personnel​ perform?

relationship management

29

The​ firm's targeted customers and the operations and supply chain functions needed to provide value to them are identified in the

business strategy.

30

​McDonald's focuses the employee on a specific task such as cashier or grill cook. Subway employees have broad skills and can run the entire restaurant by themselves. The choice of employee roles is an example of which of the following types of business​ elements?

infrastructural

31

Which of the following is a structural element of a business​ strategy?

policies

32

​"Performance dimensions for which customers expect a minimum level of​ performance, but do not provide a competitive​ advantage" is the definition of

order qualifier.

33

​"Translates the business strategy into specific actions and coordinates with other​ areas" is the definition of

functional strategy.

34

Companies must prioritize and determine the performance dimensions on which they will focus and excel. Each performance dimension has several​ sub-dimensions. Performance,​ conformance, and reliability are​ sub-dimensions of

quality.

35

No other company in the world is as proficient at​ "just-in-time" production as Toyota. This technique is a great competitive advantage for them and is clearly

a core competency.

36

McDonald's invests significantly more in their equipment than Subway. This is an example of which type of strategy​ element?

structural

37

​"A mechanism for coordinating and guiding decisions regarding the elements of a businesslong dashidentifies core competencies and targeted​ customers; sets time frames and performance​ objectives" is the definition of

business strategy.

38

A​ _______________ includes all the​ value-added physical and intangible activities that a service organization provides to customer.

service package

39

The law of variability says that​ "the greater the random variability either demanded of the process or inherent in the process itself or the items​ processed,

the less productive the process​ is."

40

Which of the following is the formula for calculating takt​ time?

available production time / required output rate

41

Burns Boats wants to assemble 90 boats per 5​-hour ​day, using a production line. Total task time for each boat is 50 minutes.

a. The takt time is ____ minutes per boat.

The theoretical minimum number of workstations is

b. Suppose the longest individual task takes 12 minutes. Will Burns be able to accomplish its​ goal?

a. 3.3 minutes per boat.

The theoretical minimum number of workstations is

b. No because the longest task time is larger than the takt time. The takt time is equal to the highest allowable cycle time in order to meet the required output rate.

42

In​ _______________, resources are arranged sequentially according to the steps required to make a product.

a​ product-based layout

43

As the degree of customer contact​ increases,

more of the service package is provided by​ front-room operations.

44

Which of the following products involve customization only at the very end of the manufacturing​ process?

assemble-to-order (ATO) products

45

As the new facilities manager at Hardin​ Company, you have been asked to determine the layout for four departments on the fourth floor of the​ company's headquarters. Following is a map of the floor with distances between the areas.

The maximum possible number of arrangements is

The total distance of the given layout is

24

4,995 meters

46

​_______________ are highly automated batch processes that can reduce the cost of making groups of similar products.

Flexible manufacturing systems​ (FMSs)

47

An assembly line is to produce 478 items in a standard 8 hour day. What is the appropriate takt​ time?

60.25 ​seconds/unit.

48

Equipment and people are highly specialized and arranged sequentially according to the steps required to make a product in a

product-based layout

49

The​ _______________ refers to the part of the service operation that is completed without direct customer contact.

back room

50

Long before the restaurant​ opened, the pantry chef prepared a variety of cold dishes including​ salads, cold​ appetizers, and​ pâtés. That night you were escorted to your table and requested a chef salad to accompany your rack of​ lamb, seasonal​ vegetables, and black forest cake.A service blueprint would show the pantry​ chef's role in this as

a support process.

51

"A type of manufacturing process used to produce a narrow range of standard items with identical or highly similar​ designs" is the definition of

production line.

52

Polar Containers makes​ high-end coolers for camping. The total task time needed to make a cooler is 340 ​seconds, with the longest individual task taking 80 seconds. Polar Containers would like to set up a line capable of producing 90 coolers per 6​-hour day. What is the takt​ time? What is the maximum output per​ day? ​(​Hint: Consider the longest individual task​ time.)

The takt time is 240 seconds per cooler.

The maximum output per day is 270 coolers.

53

Which of the following products use standard​ components, but the final configuration of those components is customer​ specific?

make-to-order (MTO) products

54

Customers are naturally excited about​ make-to-stock, finish-to-order,​ make-to-order, and​ engineer-to-order. An operations and supply chain manager is far more interested in

the point in the supply chain at which the customization occurs.

55

Dr. Mike Douvas is opening a new sports clinic and is wondering how to arrange the six different departments of the​ clinic:

A. ​Waiting;

B. ​Reception;

C. Records and staff​ lounge;

D. ​Examination;

E. Outpatient​ surgery; and

F. Physical therapy.

The six marked areas are big enough to handle any of the​ departments, although Dr. Douvas wants to have Reception near the front door​ (for obvious​ reasons). Areas that share a side are approximately 15 feet​ apart, while those that share a corner are 25 feet apart. The distances between A and E and between B and F are 30 ​feet, while the distances between A and F and between B and E are approximately 35 feet. Dr. Douvas also has estimates of the number of trips made by patients and staff between the various departments each day.

a. If Dr. Douvas wants Reception assigned to area​ B, the maximum possible number of arrangements is 120.

b. The total distance of the given layout is 9,475 meters. ​

56

A flange is to be machined at a diameter of 6.13 cm​ ± 0.02 cm. The process standard deviation is 0.006 cm. What is the process capability​ ratio?

1.11.

57

​Leah's Toys produces molded plastic baby rattles. These rattles must be completely smooth. That​ is, there can be no rough edges where the molded halves fit together. Rattles are judged to be either acceptable or defective with regard to this requirement.​ Leah's has determined that the current process has an underlying​ p value of 0.06​, meaning​ that, on​ average, 6 out of 100 rattles is currently judged to be defective. Calculate the standard deviation for the process and the resulting control limits for samples of 600 rattles each.

The standard deviation for the process is 0.010. ​

The upper control limit is 0.090. ​

The lower control limit is 0.030.

58

Regardless of whether the traditional view of the total cost of quality or the zero defects view of the total cost of quality is​ taken,

as the defect level​ increases, the failure costs increase.

59

​"Managing the entire organization so that it excels in all dimensions important to the​ customer, including product​ development, marketing and supply​ chain" is the definition of

total quality management.

60

Which of the following is a principle of TQM that assumes there will always be room for​ improvement, no matter how well an organization is​ doing?

continuous improvement

61

The American Society for Quality has a two part definition of quality. One perspective on quality is​ "a product or service free from​ deficiencies; the product performs as​ intended." This is the​ ____________ perspective on quality.

conformance

62

The standard that extends the benefits of quality management to all parties that are interested in or affected by a​ business's operations is

ISO​ 9004:2009.

63

In the Dittenhoefer Fine China​ case, a worker found that the plates had around 2.4 microns of coating applied. Manufacturing was able to correct the problem and save these​ plates, but no one knew how many plates had been shipped before the problem was discovered.The plates that were already shipped before the problem was corrected resulted in which of the following type of quality​ costs?

external failure

64

The River Rock Company sells 700​-pound bags of decorative rocks for landscaping use. The current bagging process yields samples with Upper X double overbar and Upper R overbar values of 700 pounds and 16 ​pounds, respectively. Each sample consists of 8 observations. Develop the appropriate control charts.

Upper Control Limit ​(UCL Subscript Upper X overbar​)equals 705.92. ​

Lower Control Limit ​(LCL Subscript Upper X overbar​)equals 694.08. ​

Upper Control Limit ​(UCL Subscript Upper R​)equals

29.76

Lower Control Limit ​(LCL Subscript Upper R​)equals

2.24.

65

Which of the following statements regarding control charts is​ best?

Control charts are used to distinguish whether the process is operating normally or requires attention.

66

​__________ is the dimension of quality that addresses the additional characteristics of the product or service beyond the base operating features.

Features

67

Chris plots a point on the control chart and notices that it lies just outside the upper control limit. Which of the following statements is​ best?

The process may actually be in control.

68

The American Society for Quality has a two part definition of quality. One perspective on quality is​ "the characteristics of a product or service that bear on its ability to satisfy stated or implied needs of the​ customer, also known as fitness for​ use." This is the​ ____________ perspective on quality.

value

69

The ISO 9000 family of standards focuses more on practices than outcomes.

True

70

In the Dittenhoefer fine china​ case, a worker set the polymer coating machine to 190 degrees to clean the machine and forgot to reset the temperature for production. Dittenhoefer destroyed the​ 2,400 defective plates prior to delivery to the customer.The destruction of​ 2,400 plates resulted in which of the following type of quality​ costs?

internal failure

71

The operations manager made sure that all processes were producing output exactly the way the design engineers had drawn it up. Which view of quality is in​ evidence?

the conformance perspective

72

Companies focused on improving quality hire Six Sigma Black Belts to work on identifying the root cause of problems and implementing solutions. Hiring Black Belts to keep defects from occurring to begin with results in which of the following type of quality​ costs?

prevention

73

Total quality management​ (TQM) and Six Sigma are​ equivalent, the latter is simply the latest name for the same set of techniques pioneered by W Edwards Deming.

False.

74

Tyler Apiaries sells bees and beekeeping supplies. Bees​ (including a​ queen) are shipped in special packages according to weight. Suppose Tyler changes its processes so that the average package weight is now 1.3 ​kg, with a new standard deviation of 0.18 kg. Tyler markets the packages of bees as weighing 1.5 ​kg, and the lower and upper tolerance limits are 0.8 kg and 2.2 ​kg, respectively. Calculate the process capability index for the weight of the bee packages. Is Tyler able to meet the tolerance​ limits?

The process capability index for the weight of the bee packages is 0.926. ​

Tyler Apiaries is not capable of meeting the tolerance limits​ 99.7% of the time.

75

A machined part has tolerance limits of 26 inches to 36 inches and a target of 31.00 inches. The process that produces it is currently running at a mean of 32.55 inches with a standard deviation of 1.76 inches. What is the Upper C Subscript pk​?

0.65.

76

Which of the following is NOT one of the seven core ideas of​ TQM?

value perspective