Question 1

Identify the basic inputs to the manufacturing planning and control system.

Accepted Answer

There are five basic inputs to the manufacturing planning and control system. 1) The product description shows how the product will appear at some stage of production. 2) Process specifications describe the steps necessary to make the end product. 3) The time needed to perform operations is needed and usually expressed in standard time, which is the time taken by an average operator, working at a normal pace, to perform the task. 4) available facilities. And, 5) Quantities required which comes from forecasts, customer orders, orders to replace
finished- goods inventory, and the material requirements plan.

Question 2

Discuss the activities involved in physical supply and distribution.

Accepted Answer

Physical supply and distribution includes all the activities involved in moving goods, from the supplier to the beginning of the production process, and from the end of the production process to the consumer. The activities involved are transportation, distribution inventory, warehousing, packaging, materials handling, and order entry.

Question 3

More and more companies are subcontracting some of their work to suppliers, keeping only their most important core competencies as internal activities.

Accepted Answer

A) True 
 B)False  True

Question 4

Identify and briefly describe the primary activities carried out in manufacturing planning and control.

Accepted Answer

Manufacturing planning and control are r

Question 5

Consider the following situation: If the cost of manufacturing which includes direct material and direct labor is 70% of sales and profit is 10% of sales, what would be the improvement in profit, if through your better planning and control, the cost of manufacturing was reduced from 70% of sales to 50% of sales? How much would sales have to increase to provide the same increase in profits?

Accepted Answer

Profit would increas

Question 6

Service companies are in the business of converting raw materials to a form that is of far more value and use to the consumer than the original raw materials.

Accepted Answer

A) True 
 B)False

Question 7

Regulation of business by the various levels of government is extensive.

Accepted Answer

A) True 
 B)False

Question 8

____________means that the manufacturer does not start to make the product until a customer's order is received.

Accepted Answer

A)  Make- to- stock 
B)  Make- to- order 
C)  Engineer- to- order 
D)  Assembly- to- order 
A)  Make- to- stock 
B)  Make- to- order 
C)  Engineer- to- order 
D)  Assembly- to- order

Question 9

General economic conditions seldom influence the demand for a company's products or services and the availability of inputs.

Accepted Answer

A) True 
 B)False

Question 10

For the products or services they buy, customers expect:

Accepted Answer

A)  no pre- sale service 
B)  lower quality 
C)  a fair price 
D)  no after- sale service 
A)  no pre- sale service 
B)  lower quality 
C)  a fair price 
D)  no after- sale service

Question 11

What factors or major challenges are currently shaping production control's demand environment?

Accepted Answer

The key factors are several. First, cust

Question 12

Fill in the missing data in the profit and loss statement below. $\begin{array}{llcc}
&& \text { Dollars }& \text { Percent of Sales}\
  \text { Revenue } &&\$1,000,000&100\%\
 \text { Cost of Goods Sold } &\
 \text {Direct Material  } &\$500,000\
 \text {  Direct Labor} &\underline{\quad\quad}
&&20\%\
 \text {Factory Overhead  } &\$200,000&&20\%\
 \text {Total Cost of Goods  } &&\underline{\$900,000}&90\%\
 \text { Bold } &\
 \text {Gross Profit  } &&\$100,000&\underline{\quad\quad}\
\end{array}$

Accepted Answer

Direct Labor is $200,000; Dire

Question 13

Using the data below, to achieve a $60,000 increase in revenue, how much would sales have to increase? $\begin{array}{llcc}
&& \text { Dollars }& \text { Percent of Sales}\
  \text { Revenue } &&\$1,000,000&100\%\
 \text { Cost of Goods Sold } &\
 \text {Direct Material  } &\$500,000&&50\%\
 \text {  Direct Labor} &\underline{\quad\quad}
&&20\%\
 \text {Factory Overhead  } &\$200,000&&20\%\
 \text {Total Cost of Goods  } &&\underline{\$900,000}&90\%\
 \text {Gross Profit  } &&\$100,000&10\%\
\end{array}$

Accepted Answer

The answer of Using the data below, to achieve a...

Question 14

Order winners and qualifiers for any product or market combinations are static.

Accepted Answer

A) True 
 B)False

Question 15

____________means that the supplier manufacturers the goods and sells from finished goods inventory.

Accepted Answer

A)  Assembly- to- order 
B)  Engineer- to- order 
C)  Make- to- stock 
D)  Make- to- order 
A)  Assembly- to- order 
B)  Engineer- to- order 
C)  Make- to- stock 
D)  Make- to- order

Question 16

In recent years attention has moved away from the concept of supply chain management SCM).

Accepted Answer

A) True 
 B)False

Question 17

Why is materials management seen as a "balancing act"?

Accepted Answer

The objective is to be able to deliver w

Question 18

____________usually flow from supplier to customers and design.

Accepted Answer

A)  Demand information 
B)  Services 
C)  Product or services 
D)  Product 
A)  Demand information 
B)  Services 
C)  Product or services 
D)  Product

Question 19

Generally a supplier must meet set minimum requirements to be considered a viable competitor in the marketplace. Customer requirements may be based on price, quality, delivery, and so forth and are called____________ .

Accepted Answer

A)  order price 
B)  order flexibility 
C)  order winners 
D)  order qualifiers 
A)  order price 
B)  order flexibility 
C)  order winners 
D)  order qualifiers

Question 20

Since it is virtually impossible to be the best in every dimension of competition, firms should in general strive to provide a____________ level of acceptance for each of the order qualifiers but____________ try to be the best in the market for the order winners).

Accepted Answer

A)  maximum, should 
B)  maximum, should not 
C)  minimal, should 
D)  minimal, should not 
A)  maximum, should 
B)  maximum, should not 
C)  minimal, should 
D)  minimal, should not

Identify the basic inputs to the manufacturing planning and control system.

Discuss the activities involved in physical supply and distribution.

More and more companies are subcontracting some of their work to suppliers, keeping only their most important core competencies as internal activities.

Identify and briefly describe the primary activities carried out in manufacturing planning and control.

Service companies are in the business of converting raw materials to a form that is of far more value and use to the consumer than the original raw materials.

Regulation of business by the various levels of government is extensive.

____________means that the manufacturer does not start to make the product until a customer's order is received.

General economic conditions seldom influence the demand for a company's products or services and the availability of inputs.

For the products or services they buy, customers expect:

What factors or major challenges are currently shaping production control's demand environment?

Fill in the missing data in the profit and loss statement below. Dollars Percent of Sales Revenue \1 ,000,000 100\% Cost of Goods Sold Direct Material \5 00,000 Direct Labor 20\% Factory Overhead \2 00,000 20\% Total Cost of Goods 90\% Bold Gross Profit \1 00,000

Order winners and qualifiers for any product or market combinations are static.

____________means that the supplier manufacturers the goods and sells from finished goods inventory.

In recent years attention has moved away from the concept of supply chain management SCM).

Why is materials management seen as a "balancing act"?

____________usually flow from supplier to customers and design.

Generally a supplier must meet set minimum requirements to be considered a viable competitor in the marketplace. Customer requirements may be based on price, quality, delivery, and so forth and are called____________ .

Since it is virtually impossible to be the best in every dimension of competition, firms should in general strive to provide a level of acceptance for each of the order qualifiers but try to be the best in the market for the order winners).

Production Planning System

Master Scheduling

Material Requirements Planning

Capacity Management

Production Activity Control

Purchasing

Forecasting

Inventory Fundamentals

Order Quantities

Independent Demand Ordering Systems

Physical Inventory and Warehouse Management

Physical Distribution

Products and Processes

Just-In-Time Manufacturing and Lean Production

Total Quality Management

Filters

Exam 1: Introduction to Materials Management

Identify the basic inputs to the manufacturing planning and control system.

Discuss the activities involved in physical supply and distribution.

More and more companies are subcontracting some of their work to suppliers, keeping only their most important core competencies as internal activities.

Identify and briefly describe the primary activities carried out in manufacturing planning and control.

Service companies are in the business of converting raw materials to a form that is of far more value and use to the consumer than the original raw materials.

Regulation of business by the various levels of government is extensive.

____________means that the manufacturer does not start to make the product until a customer's order is received.

General economic conditions seldom influence the demand for a company's products or services and the availability of inputs.

For the products or services they buy, customers expect:

What factors or major challenges are currently shaping production control's demand environment?

Fill in the missing data in the profit and loss statement below. Dollars Percent of Sales Revenue \1 ,000,000 100\% Cost of Goods Sold Direct Material \5 00,000 Direct Labor 20\% Factory Overhead \2 00,000 20\% Total Cost of Goods 90\% Bold Gross Profit \1 00,000

Order winners and qualifiers for any product or market combinations are static.

____________means that the supplier manufacturers the goods and sells from finished goods inventory.

In recent years attention has moved away from the concept of supply chain management SCM).

Why is materials management seen as a "balancing act"?

____________usually flow from supplier to customers and design.

Generally a supplier must meet set minimum requirements to be considered a viable competitor in the marketplace. Customer requirements may be based on price, quality, delivery, and so forth and are called____________ .

Since it is virtually impossible to be the best in every dimension of competition, firms should in general strive to provide a____________ level of acceptance for each of the order qualifiers but____________ try to be the best in the market for the order winners).

Production Planning System

Master Scheduling

Material Requirements Planning

Capacity Management

Production Activity Control

Purchasing

Forecasting

Inventory Fundamentals

Order Quantities

Independent Demand Ordering Systems

Physical Inventory and Warehouse Management

Physical Distribution

Products and Processes

Just-In-Time Manufacturing and Lean Production

Total Quality Management

Filters

Since it is virtually impossible to be the best in every dimension of competition, firms should in general strive to provide a level of acceptance for each of the order qualifiers but try to be the best in the market for the order winners).