Operations & Supply Chain Management | Chapter 3 | Part 1 | MBA MCQs | OSM

Operations and Supply Chain Management MCQs

  

 

1. _______________ occurs when a customer's order is received
   1.   Demand
      management
   2.   Order
      processing
   3.   Forecasting
   4.   Random variation
2. Trends:
   1.   Have no change from period to period
   2.   All of the
      above
   3.   Can rise or fall
   4.   Are level
3. ______________ is usually thought of as occurring on a yearly basis, but it can also occur on a weekly or even daily basis.
   1.   Seasonality
   2.   Random variation
   3.   A cycle
   4.   A trend
4. Over a span of several years and even decades, wavelike increases and decreases in the economy influence demand and are called _________
   1.   seasonality
   2.   random variation
   3.   trends
   4.   Cycles
5. ______________ demand items need to be forecast.
   1.   Independent
   2.   Dependent
   3.   Both independentand dependent
   4.   Neither independent nor dependent
6. The near future holds _____ uncertainty than (as) the far future.
   1.   more
   2.   Less
   3.   all of the above
   4.   the same
7. _______________ techniques are projections based on judgment, intuition, and informed opinions.
   1.   Quantitative forecasting
   2.   Intrinsic forecasting
   3.   Extrinsic forecasting
   4.   Qualitative forecasting
8. The Delphi method:
   1.   Uses a panel of experts who give their opinion on what is likely to happen
   2.   Consists of projections based on external indicators that relate to the demand for a company's products
   3.   Uses economic indicators, such as housing starts and gasoline consumption, to forecast demand
   4.   Uses historical data to forecast demand
9. Products likely to have seasonal or periodic demand patterns include:
   1.   Toilet paper and paper towels
   2.   Toothpaste and deodorant
   3.   Skis and lawnmowers
   4.   Milk and meat
10. ______________ exists when the cumulative actual demand varies from the cumulative forecast.
    1.   Random variation
    2.   Forecast error
    3.   Bias
    4.   Mean absolute deviation
11. A good planning system must consider:
    1.   What are we going to make?
    2.   All of the above
    3.   What do we have and need?
    4.   What does it take to make it?
12. _______ is the capability of manufacturing to produce goods and services.
    1.   Capacity
    2.   Control
    3.   Planning
    4.   Priority
13. ______ must satisfy the demands of the marketplace. It does so by using plants,machinery, equipment, labor, and materials as efficiently as possible
    1.   Finance
    2.   Marketing
    3.   Production
    4.   Engineering
14. The _____________________ is a plan for the production of individual end items.
    1.   MPS
    2.   MRP II
    3.   MRP
    4.   JIT
15. The MRP forms a vital link between sales and production as follows:
    1.   The MRP makes possible valid order promises.
    2.   The MRP is a plan of what is to be produced and when.
    3.   The MRP is a contract between marketing and manufacturing.
    4.   All of the above
16. The information needed to develop an MPR includes:
    1.   The production plan
    2.   Forecasts for individual end items
    3.   Actual orders received from customers and for stock replenishments.
    4.   All of the above
17. A schedule is satisfactory when:
    1.   It doesn't specify to the plant when to start production
    2.   Capacity is greater than the production plan
    3.   Capacity is
       consistent with
       the production
       plan
    4.   It doesn't
       specify to the
       plant when to
       stop
       production
18. The objectives in developing an MRP include:
    1.   To maintain the desired level of customer service by maintaining finished goods inventory levels or by scheduling to meet customer delivery requirements
    2.   To make the best use of material, labor, and equipment
    3.   To maintain inventory investment at the required levels
    4.   All of the above
19. To reach its objectives, the master production schedule must:
    1.   Satisfy customer demand
    2.   Be outside the capacity of manufacturing
    3.   Be outside the guidelines of the production plan
    4.   Be outside both the capacity of manufacturing and guidelines of the production plan
20. The first step in preparing an MPS is:
    1.   Resolve differences between the preliminary MPS and the capacity available.
    2.   Check the preliminary MRP against available capacity.
    3.   Develop a preliminary MRP.
    4.   Develop a rough-cut capacity plan
21. It is possible to increase the available capacity by
    1.   Using fewer workers
    2.   Limiting subcontracting
    3.   Scheduling overtime
    4.   Rerouting
       away from
       other work
       centers
22. Critical resources in rough-cut capacity planning include:
    1.   Critical materials
    2.   Labor
    3.   Bottle-neck
       operations
    4.   All of the
       above