Question 1

Which of the following is consistent with a chase strategy?

Accepted Answer

A)  vary production levels to meet demand requirements 
B)  vary workforce to meet demand requirements 
C)  vary production levels and workforce to meet demand requirements 
D)  little or no use of inventory to meet demand requirements 
E)  All of these are consistent with a chase strategy. 
A)  vary production levels to meet demand requirements 
B)  vary workforce to meet demand requirements 
C)  vary production levels and workforce to meet demand requirements 
D)  little or no use of inventory to meet demand requirements 
E)  All of these are consistent with a chase strategy.

Question 2

Golden Eagle Machine Works has the following demand requirements and other data for the upcoming four quarters.
   What is the total cost of pursuing a chase aggregate plan over the coming year?

Accepted Answer

For a chase strategy, quarterl

Question 3

Aggregate planning for fast-food restaurants is very similar to aggregate planning in manufacturing, but with bigger units of time.

Accepted Answer

A) True 
 B)False

Question 4

Which of the following would most likely fall within the scope of aggregate planning?

Accepted Answer

A)  setting subcontracting levels 
B)  dispatching 
C)  capital investments 
D)  job assignments 
E)  research and development 
A)  setting subcontracting levels 
B)  dispatching 
C)  capital investments 
D)  job assignments 
E)  research and development

Question 5

One motive for using demand-influencing aggregate planning options is to create uses for excess capacity within an organization.

Accepted Answer

A) True 
 B)False

Question 6

A manager is applying the transportation model of linear programming to solve an aggregate planning problem. Demand in period 1 is 100 units, and in period 2, demand is 150 units. The manager has 125 hours of regular employment available for $10/hour each period. In addition, 50 hours of overtime are available for $15/hour each period. If holding costs are $6 per unit each period, how many hours of regular employment should be used in period 1? (Assume demand must be met in both periods 1 and 2 for the lowest possible cost and that production is 1 unit per hour.)

Accepted Answer

A)  100 
B)  125 
C)  150 
D)  50 
E)  none of these 
A)  100 
B)  125 
C)  150 
D)  50 
E)  none of these

Question 7

Which of the following is NOT one of the successful techniques for controlling the cost of labor in services?

Accepted Answer

A)  accurate scheduling of labor-hours to assure quick response to customer demand 
B)  an on-call labor resource that can be added or deleted to meet unexpected demand 
C)  little flexibility in worker hours to decrease the burden on management 
D)  flexibility of individual worker skills that permits reallocation of available labor 
E)  flexibility in rate of output or hours of work to meet changing demand 
A)  accurate scheduling of labor-hours to assure quick response to customer demand 
B)  an on-call labor resource that can be added or deleted to meet unexpected demand 
C)  little flexibility in worker hours to decrease the burden on management 
D)  flexibility of individual worker skills that permits reallocation of available labor 
E)  flexibility in rate of output or hours of work to meet changing demand

Question 8

One of the four things needed for aggregate planning is a logical overall unit for measuring sales and output.

Accepted Answer

A) True 
 B)False

Question 9

A firm uses graphical techniques in its aggregate planning efforts. Over the next twelve months (its intermediate period), it estimates the sum of demands to be 105,000 units. The firm has 250 production days per year. In January, which has 22 production days, demand is estimated to be 11,000 units. A graph of demand versus level production will show that:

Accepted Answer

A)  the January requirement is below level production of 420 units. 
B)  level production is approximately 1000 units per day. 
C)  level production of 420 units per day is below the January requirement. 
D)  level production is approximately 420 units per month. 
E)  the firm must hire workers between December and January. 
A)  the January requirement is below level production of 420 units. 
B)  level production is approximately 1000 units per day. 
C)  level production of 420 units per day is below the January requirement. 
D)  level production is approximately 420 units per month. 
E)  the firm must hire workers between December and January.

Question 10

Aggregate planning for service firms that provide intangible output deals mainly with:

Accepted Answer

A)  smoothing the production rate and finding the optimal size of the workforce. 
B)  capital investment decisions. 
C)  centralized purchasing. 
D)  centralized production. 
E)  planning for human resource requirements and managing demand. 
A)  smoothing the production rate and finding the optimal size of the workforce. 
B)  capital investment decisions. 
C)  centralized purchasing. 
D)  centralized production. 
E)  planning for human resource requirements and managing demand.

Question 11

What directly results from disaggregation of an aggregate plan?

Accepted Answer

A)  a master production schedule 
B)  priority scheduling 
C)  a transportation matrix 
D)  a capacity-demand matrix 
E)  detailed work schedules 
A)  a master production schedule 
B)  priority scheduling 
C)  a transportation matrix 
D)  a capacity-demand matrix 
E)  detailed work schedules

Question 12

A(n) ________ is the result of the disaggregation of an aggregate plan.

Accepted Answer

master pro

Question 13

Which of the following aggregate planning options attempts to manipulate product or service demand?

Accepted Answer

A)  inventories 
B)  part-time workers 
C)  subcontracting 
D)  overtime/idle time 
E)  price cuts 
A)  inventories 
B)  part-time workers 
C)  subcontracting 
D)  overtime/idle time 
E)  price cuts

Question 14

Aggregate planning in manufacturing ties organizational strategic goals to workforce schedules.

Accepted Answer

A) True 
 B)False

Question 15

The objective of aggregate planning is to meet forecast demand while ________ over the planning period.

Accepted Answer

A)  minimizing cost 
B)  maximizing service level 
C)  minimizing stock out 
D)  minimizing fixed cost 
E)  all of these 
A)  minimizing cost 
B)  maximizing service level 
C)  minimizing stock out 
D)  minimizing fixed cost 
E)  all of these

Question 16

A manager is applying the transportation model of linear programming to solve an aggregate planning problem. Demand in period 1 is 100 units, 100 units in period 2, and 175 units in period 3. The manager has 125 hours of regular employment available for $10/hour each period. In addition, 25 hours of overtime are available for $15/hour each period. If holding costs are $6 per unit each period, how many hours of overtime should be used in period 2? (Assume demand must be met in all periods for the lowest possible cost and that production is 1 unit per hour.)

Accepted Answer

A)  0 
B)  5 
C)  15 
D)  20 
E)  25 
A)  0 
B)  5 
C)  15 
D)  20 
E)  25

Question 17

An aggregate plan satisfies forecast demand by potentially adjusting all EXCEPT which of the following?

Accepted Answer

A)  production rates 
B)  labor levels 
C)  inventory levels 
D)  overtime work 
E)  facility capacity 
A)  production rates 
B)  labor levels 
C)  inventory levels 
D)  overtime work 
E)  facility capacity

Question 18

The use of part-time workers as an aggregate planning option may be less costly than using full-time workers, but it may also reduce quality levels.

Accepted Answer

A) True 
 B)False

Question 19

Advertising and promotion are methods of manipulating product or service demand in aggregate planning.

Accepted Answer

A) True 
 B)False

Question 20

Which of the following statements regarding aggregate planning in restaurants is TRUE?

Accepted Answer

A)  Aggregate scheduling is directed toward smoothing the production rate and finding the optimal order size. 
B)  It usually requires building very high inventory levels during slack periods. 
C)  Traditional aggregate planning methods usually do not apply to restaurants. 
D)  The relevant units of time may be much smaller than in manufacturing. 
E)  Inventory tends to be less perishable than in manufacturing. 
A)  Aggregate scheduling is directed toward smoothing the production rate and finding the optimal order size. 
B)  It usually requires building very high inventory levels during slack periods. 
C)  Traditional aggregate planning methods usually do not apply to restaurants. 
D)  The relevant units of time may be much smaller than in manufacturing. 
E)  Inventory tends to be less perishable than in manufacturing.

Which of the following is consistent with a chase strategy?

Golden Eagle Machine Works has the following demand requirements and other data for the upcoming four quarters. What is the total cost of pursuing a chase aggregate plan over the coming year?

Aggregate planning for fast-food restaurants is very similar to aggregate planning in manufacturing, but with bigger units of time.

Which of the following would most likely fall within the scope of aggregate planning?

One motive for using demand-influencing aggregate planning options is to create uses for excess capacity within an organization.

Which of the following is NOT one of the successful techniques for controlling the cost of labor in services?

One of the four things needed for aggregate planning is a logical overall unit for measuring sales and output.

Aggregate planning for service firms that provide intangible output deals mainly with:

What directly results from disaggregation of an aggregate plan?

A(n) ________ is the result of the disaggregation of an aggregate plan.

Which of the following aggregate planning options attempts to manipulate product or service demand?

Aggregate planning in manufacturing ties organizational strategic goals to workforce schedules.

The objective of aggregate planning is to meet forecast demand while ________ over the planning period.

An aggregate plan satisfies forecast demand by potentially adjusting all EXCEPT which of the following?

The use of part-time workers as an aggregate planning option may be less costly than using full-time workers, but it may also reduce quality levels.

Advertising and promotion are methods of manipulating product or service demand in aggregate planning.

Which of the following statements regarding aggregate planning in restaurants is TRUE?

Operations and Productivity

Operations Strategy in a Global Environment

Project Management

Forecasting

Design of Goods and Services

Managing Quality

Process Strategies

Location Strategies

Human Resources, Job Design, and Work Measurement

Supply Chain Management

Inventory Management

Material Requirements Planning Mrp and Erp

Short-Term Scheduling

Lean Operations

Maintenance and Reliability

Decision-Making Tools

Linear Programming

Transportation Models

Waiting-Line Models

Learning Curves

Simulation

Applying Analytics to Big Data in Operations Management

Filters

Exam 12: Aggregate Planning and Sop

Which of the following is consistent with a chase strategy?

Golden Eagle Machine Works has the following demand requirements and other data for the upcoming four quarters. What is the total cost of pursuing a chase aggregate plan over the coming year?

Aggregate planning for fast-food restaurants is very similar to aggregate planning in manufacturing, but with bigger units of time.

Which of the following would most likely fall within the scope of aggregate planning?

One motive for using demand-influencing aggregate planning options is to create uses for excess capacity within an organization.

Which of the following is NOT one of the successful techniques for controlling the cost of labor in services?

One of the four things needed for aggregate planning is a logical overall unit for measuring sales and output.

Aggregate planning for service firms that provide intangible output deals mainly with:

What directly results from disaggregation of an aggregate plan?

A(n) ________ is the result of the disaggregation of an aggregate plan.

Which of the following aggregate planning options attempts to manipulate product or service demand?

Aggregate planning in manufacturing ties organizational strategic goals to workforce schedules.

The objective of aggregate planning is to meet forecast demand while ________ over the planning period.

An aggregate plan satisfies forecast demand by potentially adjusting all EXCEPT which of the following?

The use of part-time workers as an aggregate planning option may be less costly than using full-time workers, but it may also reduce quality levels.

Advertising and promotion are methods of manipulating product or service demand in aggregate planning.

Which of the following statements regarding aggregate planning in restaurants is TRUE?

Operations and Productivity

Operations Strategy in a Global Environment

Project Management

Forecasting

Design of Goods and Services

Managing Quality

Process Strategies

Location Strategies

Human Resources, Job Design, and Work Measurement

Supply Chain Management

Inventory Management

Material Requirements Planning Mrp and Erp

Short-Term Scheduling

Lean Operations

Maintenance and Reliability

Decision-Making Tools

Linear Programming

Transportation Models

Waiting-Line Models

Learning Curves

Simulation

Applying Analytics to Big Data in Operations Management

Filters