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Chapter 8 1. Which statement best characterizes a typical search for location alternatives? A.

identify the best location choice B. minimize cost consequences C. maximize associated profits D. locate near markets E. identify acceptable location 2. Which is the last step in the procedure for making location decisions? A. determine the evaluation criteria B. identify important factors C. develop location alternatives D. evaluate alternatives and make a selection E. request input regarding alternative 3. The center of gravity method is used for what according to travel time, distance and costs. A. Normalize B. Eliminate C. Average D. Minimize E. Document 4. In location planning, the location of raw materials, the location of markets, and labor factors are what type of factors? A. regional factors B. community factors C. site-related factors D. national factors E. minor consideration 5. Software systems known as GIS help in location analysis. The initials GIS stand for? A. Graphic Interface Systems B. Global Integrated Software C. Graded Information Systems D. Geo Intensive Software E. Geographical Information System 6. Facilities, personnel and operations that are located around the world are called what? A. non-domestic B. diversified operations C. globalization D. worldwide presence

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E. virtual organization 7. Some communities offer financial and other incentives to do what to new businesses? A. Tax B. Attract C. Marginalize D. Incorporate E. Zone 8. Cultural differences, Customer preferences, Labor and Resources are factors relating to? A. Regional choices B. Site selection C. Zoning D. Product design E. Foreign location 9. The method for evaluating location alternatives which uses their total cost curves is? A. cost-volume analysis B. transportation model analysis C. factor rating analysis D. linear regression analysis E. MODI analysis 10. The method for evaluating location alternatives which minimizes shipping costs between multiple sending and receiving locations is? A. cost-volume analysis B. transportation model analysis C. factor rating analysis D. linear regression analysis E. MODI analysis 11. The method for evaluating location alternatives which uses their composite (weighted-average) scores is? A. cost-volume analysis B. transportation model analysis C. factor rating analysis D. linear regression analysis E. MODI analysis 12. An approach to location analysis that can include both qualitative and quantitative considerations is? A. location cost-volume B. factor rating C. transportation model
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D. expected value (net present value) E. financial analysis Chapter 11 13. What best describes aggregate planning? A. the link between intermediate term planning and short term operating decisions B. a collection of objective planning tools C. make or buy decisions D. an attempt to respond to predicted demand within the constraints set by product, process and location decisions E. manpower planning 14. Aggregate planning is capacity planning for what type of range? A. the long range B. the intermediate range C. the short range D. typically one to three months E. typically one or more year 15. One area to which aggregate planning decisions relate is? A. job sequencing B. customer order quantities C. inventory levels D. location E. layout 16. What is an input to aggregate planning? A. beginning inventory B. forecasts for each period of the schedule C. customer orders D. all of the above E. quantity discount 17. Essentially, the output of aggregate planning is? A. marketing plan B. production plan C. rough-cut capacity plan D. assignment plan E. material requirements plan 18. Aggregate planning requires what type of information? A. a forecast of expected demand B. current levels of inventory C. (a) and (b) D. policies regarding employment levels
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E. all of the above 19. Aggregate planners attempt to balance what? A. demand and inventories B. demand and costs C. capacity and inventories D. capacity and costs E. capacity and demand 20. One option for altering the pattern of demand is? A. backorders B. overtime C. part-time workers D. inventories E. subcontracting 21. One option for altering the availability of manufacturing capacity is? A. pricing B. promotion C. backorders D. inventories E. none of the above apply to manufacturing capacity 22. One option for altering the availability of capacity is? A. use of overtime or slack time B. pricing C. promotion D. backorders E. none of the above 23. In order to use the "level capacity strategy," variations in demand are met by what? A. varying output during regular time without changing employment levels B. varying output during regular time by changing employment levels C. (a) and (b) D. using combination of inventories, overtime, part time, and back orders E. price adjustments 24. In using the "chase strategy" variations in demand could be met by what? A. varying output during regular time without changing employment levels B. varying output during regular time by changing employment levels C. (a) and (b) D. varying inventory levels E. price increases

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25. Aggregate planners seek to match supply and demand to what? A. at minimum overall cost B. by staying within company policy C. (a) and (b) D. keeping inventories at a minimum E. all of the above 26. In practice, the more commonly used techniques for aggregate planning are? A. mathematical techniques B. informal trial-and-error techniques C. (a) and (b) about equally D. simulation models E. linear programming optimization 27. The main disadvantage(s) of informal techniques used for aggregate planning is(are)? A. they are expensive to do B. they may not result in the best plan C. they take a long time to do D. they require use of a computer E. lack of formal education of the planners 28. What is the difference between expected & actual inventory at how to determine what the quantities are? 29. Simulation to produce an aggregate plan will produce what? A. will produce the best plan B. is the most widely used technique C. both (a) and (b) D. will produce a plan that may not be the best plan E. requires a minimum of 4 iterations to be accurate 30. The direct result of disaggregating the aggregate plan is what? A. marketing plan B. production plan C. rough-cut capacity plan D. master schedule E. material requirements plan 31. That portion of projected inventory which enables marketing to make realistic commitments about delivery dates for new orders is what? A. beginning inventory B. safety stock inventory C. available-to-promise inventory D. high margin inventory E. none of the above
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32. Proactive and Reactive aggregate planning strategies are best associated with what? A. Input and Output B. Make and Buy C. Quantitative and Qualitative D. Exact and Approximate E. Demand and Capacity options Chapter 14 33. The lean philosophy suggests that workers are what? A. Assets B. Liabilities C. Interchangeable D. Replaceable E. To be phased out 34. The ultimate goal of lean operations is to have what? A. no in-process inventories B. cross-trained workers capable of handling every process C. a smooth, rapid flow of materials through the system D. no setup times E. all of the above 35. The comprehensive approach used in lean systems to deal with quality includes what? A. designing quality into products and processes B. insisting vendors provide high quality materials C. making workers responsible for producing high quality D. A, B and C E. 100% inspection of raw materials, work-in-process and finished goods 36. In the lean philosophy, the ideal lot size is how many? A. the economic order quantity B. the economic run size C. one unit D. the capacity of the standard container E. N=(DT(1+X))/C 37. In chapter 14, what term is associated with signaling of parts movement? A conveyance __________ signals parts movement. A. Request B. Routing C. Bar code D. Kanban E. Kazian

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38. The term that refers to the automatic detection of defects is? A. kaizen B. kanban C. autonomation D. automation E. 100% inspection 39. The Five S's include what terms? The Five S's don't include A. Sort B. Straighten C. Sanitize D. Sweep E. Standardize 40. The Kaizen philosophy applies to what? A. Employee development B. Safety stock C. Waste D. Supply Chain Management E. MRP III 41. What is kanban card used to signal? A. work is needed at the work center B. work is ready to be moved to the next station C. a worker has run out of parts needed for further processing D. a machine has broken down and needs immediate attention E. a machine is ready for preventive maintenance 42. With regard to suppliers, lean systems typically require what? A. delivery of large lots at regular intervals B. buyer inspection of goods and materials C. multiple sources from which to purchase D. long-term relationships and commitments E. the lowest price possible 43. What is a characteristic of the lean philosophy? A. Inventories are an asset. B. Lot sizes are optimized by formula. C. Vendors are co-workers, essentially other departments of our organization. D. Queues are a necessary investment. E. all of the above

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44. A successful conversion to a lean system requires that the conversion has what? A. be done as quickly as possible B. begin at the start of the process and work forward C. convert vendors to lean as one of the last steps D. reduce setup times as one of the last steps E. all of the above 45. A potential obstacle to conversion to a lean system is? A. lack of management commitment B. lack of worker cooperation C. supplier resistance D. all of the above E. insufficient space to store the increased inventories 46. What contributes to the competitive advantage enjoyed by firms using lean production? A. Backup employees to cover for absenteeism B. 100% inspection to remove defects C. Dedicated equipment to reduce unit costs D. Safety stocks to prevent stock-outs E. Greater flexibility to cope with change 47. An operations strategy reflecting the lean philosophy of production should recognize that lean may be or provide what? A. is most suited for non-repetitive manufacturing B. cannot be implemented sequentially C. requires a wholesale commitment from the outset D. may provide a competitive advantage E. all of the above 48. A common objective of both MRP and the lean philosophy is to what? A. smooth production B. minimize inventory C. obtain high quality D. reduce overhead E. eliminate inventory 49. The ultimate objective in a lean system is to what? A. low to moderate levels of inventory B. high quality, zero defects C. minimal waste (less than 6%) D. balanced and rapid flow E. all of the above

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Chapter 14s 50. Maintenance activities are often organized into what two groups? A. breakdown maintenance and preventive maintenance B. breakdown maintenance and predictive maintenance C. preventive maintenance and predictive maintenance D. equipment maintenance and breakdown maintenance E. equipment maintenance and buildings maintenance 51. Breakdown maintenance as compared to preventative maintenance? Breakdown maintenance is ___________; preventative maintenance is ___. A. reactive; proactive B. proactive; reactive C. expensive; inexpensive D. inexpensive; expensive E. easy, hard 52. The goal of maintenance is to maintain the productive system in good working order while minimizing what? A. total preventive maintenance costs B. total breakdown maintenance costs C. total maintenance costs D. the difference between preventive and breakdown costs E. the ratio of breakdown to preventive maintenance costs 53. What is most closely associated with breakdown maintenance? A. equipment adjustments B. equipment cleaning C. equipment inspection D. repair of broken parts E. replacement of worn parts 54. Cost of equipment breakdown include(s) what? Cost of equipment breakdown doesn't include: A. loss of output B. cost of idle workers C. damage to other equipment D. replacement costs E. potential safety hazard 55. The optimum amount of preventive maintenance is where/what? A. Total breakdown costs are a minimum. B. Total preventive maintenance costs are a minimum. C. Each maintenance component cost is a minimum. D. Total maintenance costs are a maximum.
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E. Total maintenance costs are a minimum. 56. Preventive maintenance is generally scheduled on the basis of what? A. planned inspections B. passage of time C. number of operating hours D. all of the above E. none of the above 57. Ideally, preventive maintenance will be performed when? A. after a planned inspection B. after the passage of a specified period of time C. after a predetermined number of operating hours D. just prior to the start of the workday E. just prior to a breakdown or failure 58. Attempting to determine when preventive maintenance activities should be performed is called what? A. breakdown maintenance B. forecastive maintenance C. preventive maintenance D. predictive maintenance E. corrective maintenance 59. In the broadest sense, equipment and facilities preventive maintenance extends back to what stage of the process? A. design and selection stage B. procurement stage C. installation stage D. pilot-testing stage E. implementation stage 60. Reactive maintenance is what type of maintenance? A. Planned B. After the event C. Proactive D. Predictive E. Preventive

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