Question 1

What lot-sizing technique is generally preferred when inventory holding costs are extremely high?

Accepted Answer

A)  lot-for-lot 
B)  EOQ 
C)  part-period balancing 
D)  the Wagner-Whitin algorithm 
E)  All of the above are appropriate for the situation. 
A)  lot-for-lot 
B)  EOQ 
C)  part-period balancing 
D)  the Wagner-Whitin algorithm 
E)  All of the above are appropriate for the situation.

Question 2

What types of resources might be scheduled via an MRP II system?

Accepted Answer

Virtually all resources can be

Question 3

Which of the following statements regarding Wheeled Coach is false?

Accepted Answer

A)  Wheeled Coach has found competitive advantage through MRP. 
B)  Wheeled Coach builds ambulances in a repetitive process. 
C)  Wheeled Coach's MRP system allowed the company to meet tight schedules, but caused inventory to rise. 
D)  Wheeled Coach's MRP system maintains excellent record integrity. 
E)  Low inventory and high quality are two positive outcomes of Wheeled Coach's use of MRP. 
A)  Wheeled Coach has found competitive advantage through MRP. 
B)  Wheeled Coach builds ambulances in a repetitive process. 
C)  Wheeled Coach's MRP system allowed the company to meet tight schedules, but caused inventory to rise. 
D)  Wheeled Coach's MRP system maintains excellent record integrity. 
E)  Low inventory and high quality are two positive outcomes of Wheeled Coach's use of MRP.

Question 4

If 100 units of Q are needed and 10 are already in stock, then the gross requirement is 100 and the net requirement is 90.

Accepted Answer

A) True 
 B)False

Question 5

Distribution resource planning (DRP) is

Accepted Answer

A)  a transportation plan to ship materials to warehouses 
B)  a time-phased stock replenishment plan for all levels of a distribution network 
C)  a shipping plan from a central warehouse to retail warehouses 
D)  material requirements planning with feedback loop from distribution centers 
E)  a material requirements planning package used exclusively by warehouses 
A)  a transportation plan to ship materials to warehouses 
B)  a time-phased stock replenishment plan for all levels of a distribution network 
C)  a shipping plan from a central warehouse to retail warehouses 
D)  material requirements planning with feedback loop from distribution centers 
E)  a material requirements planning package used exclusively by warehouses

Question 6

The lot-for-lot lot-sizing technique is particularly appropriate when demand is not very smooth and set up cost is small compared to holding cost.

Accepted Answer

A) True 
 B)False

Question 7

Which portion of the master production schedule is normally fixed, frozen, or firm?

Accepted Answer

A)  the entire schedule 
B)  only the aggregate schedule 
C)  only the middle of the schedule 
D)  only the near-term portion 
E)  only the far-term portion 
A)  the entire schedule 
B)  only the aggregate schedule 
C)  only the middle of the schedule 
D)  only the near-term portion 
E)  only the far-term portion

Question 8

An engineering change notice is used to change a(n)

Accepted Answer

A)  MRP 
B)  MPS 
C)  ERP 
D)  BOM 
E)  none of the above 
A)  MRP 
B)  MPS 
C)  ERP 
D)  BOM 
E)  none of the above

Question 9

MRP can be effective only if very accurate lot sizes are calculated in advance.

Accepted Answer

A) True 
 B)False

Question 10

By convention, the top level in a bill of material is designated level 1.

Accepted Answer

A) True 
 B)False

Question 11

The MPS calls for 110 units of Product M. There are currently 30 of Product M on hand. Each M requires 4 of Component N. There are 20 units of N on hand. The net requirements for N are

Accepted Answer

A)  150 
B)  170 
C)  300 
D)  320 
E)  440 
A)  150 
B)  170 
C)  300 
D)  320 
E)  440

Question 12

A grill assembly takes 20 washers. Instead of listing these washers separately they are grouped into a single kit for production. The bill of material for the washers is classified as

Accepted Answer

A)  "Pseudo" 
B)  Planning 
C)  Modular 
D)  Low-level 
E)  A and B 
A)  "Pseudo" 
B)  Planning 
C)  Modular 
D)  Low-level 
E)  A and B

Question 13

Each X requires 2 of component Y and 1 of part W. Each Y requires 10 of Z. Each W requires 3 of Q and 2 of R. Lead times are X = 1 week, Y = 1 week, W = 2 weeks, R = 1 week, Z = 3 weeks, and Q = 3 weeks.
a. Construct the time-phased product structure.
b. Construct the bill of material.

Accepted Answer

The answer of Each X requires 2 of component Y...

Question 14

Describe briefly the information requirements of basic and extended MRP systems. Comment on the challenge of maintaining timely, accurate information for a large manufacturing operation based on MRP.

Accepted Answer

MRP requires very high accuracy of inven

Question 15

The supply-chain systems that result from using ERP in the grocery industry are called efficient consumer response (ECR) systems.

Accepted Answer

A) True 
 B)False

Question 16

Linking a part requirement with the parent component that caused the requirement is referred to as

Accepted Answer

A)  net requirements planning 
B)  a time fence 
C)  pegging 
D)  kanban 
E)  leveling 
A)  net requirements planning 
B)  a time fence 
C)  pegging 
D)  kanban 
E)  leveling

Question 17

Four A washers, Five B washers, Two C bolts, and a D bolt are required to make one Grill parts kit. If 100 grill part kits are needed how many more washers will be consumed than bolts?

Accepted Answer

Using MRP explosion gives A:40

Question 18

Which of the following is a step towards integrating JIT and MRP according to the text?

Accepted Answer

A)  smaller buckets 
B)  increase quality 
C)  scrap MRP, it does not work with JIT 
D)  migrate from MRP to ERP 
E)  All of the above are acceptable steps 
A)  smaller buckets 
B)  increase quality 
C)  scrap MRP, it does not work with JIT 
D)  migrate from MRP to ERP 
E)  All of the above are acceptable steps

Question 19

What is DRP?

Accepted Answer

DRP is a time-phased

Question 20

What are the disadvantages of enterprise resource planning (ERP)?

Accepted Answer

ERP is very expensive to purchase, and e

Exam 14: Material Requirements Planning Mrp and Erp

What lot-sizing technique is generally preferred when inventory holding costs are extremely high?

What types of resources might be scheduled via an MRP II system?

Which of the following statements regarding Wheeled Coach is false?

If 100 units of Q are needed and 10 are already in stock, then the gross requirement is 100 and the net requirement is 90.

Distribution resource planning (DRP) is

The lot-for-lot lot-sizing technique is particularly appropriate when demand is not very smooth and set up cost is small compared to holding cost.

Which portion of the master production schedule is normally fixed, frozen, or firm?

An engineering change notice is used to change a(n)

MRP can be effective only if very accurate lot sizes are calculated in advance.

By convention, the top level in a bill of material is designated level 1.

The MPS calls for 110 units of Product M. There are currently 30 of Product M on hand. Each M requires 4 of Component N. There are 20 units of N on hand. The net requirements for N are

A grill assembly takes 20 washers. Instead of listing these washers separately they are grouped into a single kit for production. The bill of material for the washers is classified as

Each X requires 2 of component Y and 1 of part W. Each Y requires 10 of Z. Each W requires 3 of Q and 2 of R. Lead times are X = 1 week, Y = 1 week, W = 2 weeks, R = 1 week, Z = 3 weeks, and Q = 3 weeks. a. Construct the time-phased product structure. b. Construct the bill of material.

Describe briefly the information requirements of basic and extended MRP systems. Comment on the challenge of maintaining timely, accurate information for a large manufacturing operation based on MRP.

The supply-chain systems that result from using ERP in the grocery industry are called efficient consumer response (ECR) systems.

Linking a part requirement with the parent component that caused the requirement is referred to as

Four A washers, Five B washers, Two C bolts, and a D bolt are required to make one Grill parts kit. If 100 grill part kits are needed how many more washers will be consumed than bolts?

Which of the following is a step towards integrating JIT and MRP according to the text?

What is DRP?

What are the disadvantages of enterprise resource planning (ERP)?

Operations and Productivity

Operations Strategy in a Global Environment

Project Management

Forecasting

Design of Goods and Services

Managing Quality

Process Strategy

Location Strategies

Layout Strategies

Human Resources, Job Design, and Work Measurement

Supply-Chain Management

Inventory Management

Aggregate Planning

Short-Term Scheduling

Just-In-Time and Lean Options

Maintenance and Reliability

Statistical Tools for Managers

Acceptance Sampling

The Simplex Method of Linear Programming

The Modi and Vam Methods of Solving Transportation Problems

Vehicle Routing and Scheduling

Managing Quality

Process Strategy

Supply-Chain Management

Vehicle Routing and Scheduling

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