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1) Blank
2) The concept of strategy has been borrowed from the military and adopted for use in business –
3) Need for change in layout can occur due to following reason
a) introduction of new product
b) improve customer relations
c) increase labour efficiency
d) improve quality

4) The length of ----- for MPS is determined by calculating largest cumulative lead time for the
finished product and possibly adding a period of time to give the purchasing dept. visibility
over future requirements so that they are able to take advantage of bulk purchasing discounts.
a) Planning Horizon
b) Time Force
c) Supply Chain
d) Critical Path

5) ----- is expressed as total number of units needed.

a) Demand
b) Supply
c) Capacity
d) Mission

6) The process of changing inputs into outputs thereby adding some value to entity can be defined
a) Operation
b) Production
c) Conversion
d) Manufacturing

7) The three types of ‘fats’ are

a) Inventory fat
b) Labour fat
c) Capacity fat
d) Profitline fat

8) FW Taylor devised a system for classifying motions into basic divisions called therbligs. –

9) The concept of “Annualized Hours [AH]” was used exclusively in Japan – TRUE / FALSE

10) Diversified labour is adequately available in rural area compared to urban area – TRUE /

11) Which are the advantages of suburban location?

a) Availability of adequate land at lower cost
b) Both skilled and unskilled labour can be available
c) Availability of excellent transportation and communication facilities
d) Plant expansion is easier due to less or no restriction for building and construction

12) ------ is expressed as the total number of units per time period that can be produced
a) Capacity
b) Demand
c) Capacity Plan
d) Master Production Schedule

13) Match the following : Fixed position layout / Product layout / process layout / Combined
layout Page No 108

14) The design of any layout is governed by large number of factors and the best layout is
expected to ----- all these factors
a) Optimise
b) Consider
c) Maximize
d) identify

15) The specific interim or ultimate time based measurements to be achieved by implementing
strategies in pursuit of company’s objectives are referred to as
a) Missions
b) Objectives
c) Values
d) Goals

16) ----- is a well known procedure to formulate manufacturing strategies

a) SWOT Analysis
b) Hill Methodology
c) Feedback process control
d) Corporate strategy

17) Manufacturing strategy is an important step towards competitiveness – TRUE /FALSE

18) Under SWOT Analysis, Finances-Resources-performance are examples of -----

a) Opportunities
b) Threats
c) Strengths
d) Strengths and weaknesses

19) The ratio of output to input of a production system is commonly known as

a) Productivity
b) Effectiveness
c) Production Norm
d) Utilization

20) A good layout makes effective use of space. Utilization of space for a department like stores
can be measured by
a) Area used for storage
b) Ratio of area utilized to area available
c) Proportion of cubic volume space utilized
d) No such measure in use

21) Plant layout decisions are considered to be

a) Strategic
b) Tactical
c) Operational
d) Perpetual

22) The Balance Score Card [BSC] was developed in early 90s by
a) Kaplan and Norton
b) Pralahad and Hamel
c) Michael Porter
d) George Steiner

23) REL chart exhibits relationship between ---- of departments in terms of degree of closeness
a) Pairs
b) Types
c) Sizes
d) Areas

24) For the organization, Strengths and weaknesses under SWOT analysis should be
a) Identical
b) Different
c) External
d) internal

25) Under Linear decision rule, two linear equations can be derived from ---- equation
a) Quadratic
b) Simultaneous
c) Trigonometric
d) Differential

26) The ---- analysis emphasizes building competencies, resources and decision making into a firm
such that it continues to thrive in changing environment
a) Internal
b) Logical
c) External
d) Mathematical

27) In Cellular layout the facilities are grouped together in cell which are able to perform ------
type of operation for a group of products
a) Similar
b) Different
c) Special
d) All
28) Site selection should also take into account topography & soil structure of the land – TRUE /

29) The current issues under manufacturing strategy are

a) Low Cost Countries [LCCs]
b) Outsourcing manufacturing
c) Mass customization
d) VED Analysis

30) The goals as a key step towards a strategic plan, should be

a) Quantifiable
b) Consistent
c) Realistic
d) Imaginary

31) Which utilities are considered as infrastructural requirements ?

a) Disposal of waste
b) Power
c) Labour
d) Water

32) Match the following : Proximity to market / Industrial & labour attitude / Legislation &
taxation / Community facilities

33) Plant layout is concerned with optimum arrangement of the following

a) Storage space
b) Machines
c) Material Handling equipment
d) Sequence of operation

34) Labour turnover ratio is higher in case of rural areas compared to urban area – TRUE /FALSE

35) The most typical causes of innovations that shift competitive advantage are as follows
a) New technologies and quality practices
b) New or shifting buyer needs
c) Emergence of new industry segment
d) Value-added-manufacturing

36) The two stages of aggregate planning are firstly to add together all productive outputs to
arrive at total level of production and secondly to predict or forecast fluctuations in this output

37) Comprehensive business strategy consists of corporate objectives – TRUE /FALSE

38) Following are some of the principles of Management advocated by F W Taylor

a) Selection of best worker for each particular task
b) Division of work between worker and management
c) Training and development of workmen
d) Worker empowerment
39) Major contributors in the development of control charts, sampling plan are
a) F H Dodge
b) H G Roming
c) Walter Schewhart
d) L H C Tippet

40) ------ is a term that refers to a complex web of thoughts, ideas, insights, experiences, goals,
expertise, memories, perceptions and expectations that provides general guidance for specific
actions in pursuit of particular ends.
a) Strategy
b) Decision Making
c) Planning
d) Staffing

41) Taxes /duties levied is one of the important determinant for location decision as taxes/duties
substantially influence
a) Customer preference
b) Order Procurement
c) Delivery time
d) Product cost

42) Which of the following are examples of pure materials ?

a) Bakeries
b) Ice factories
c) Woolen
d) Limestone

43) Complexity and difficulty of planning is influenced by types of layout – TRUE / FALSE

44) The element governing operation of business and its contacts and relationships with society at
large, customer, suppliers, employees, local community and other stake holders, is termed as
a) Objectives
b) Goal
c) Mission
d) Values

45) Travel chart represents quantitative data on material flow by recording distance and ----- of
movements between different pair of departments
a) Frequency
b) Time
c) Types
d) Speed

46) High ROA indicates that the profit margin is

a) Low
b) High
c) Zero
d) Negative
47) The SWOT analysis is used to identify strategies by taking following measures
a) Building on strengths
b) Resolving weaknesses
c) Exploiting opportunities and avoiding threats
d) Optimizing process performance

48) Technique of value engineering can be effectively employed in design of a product to

a) to meet the intended function at lowest cost
b) Increase resource utilization
c) Reduce lead time
d) Reduce process rejections