Exam 8: The Operations Plan: How Will You Make the Product

Comparison of costs alone may not give a definitive answer to the question of whether to make or buy because other non-quantitative factors may outweigh pure price considerations.

Carrying costs vary directly with the size of the inventory.

Production can consist of either breaking raw material down into component parts or combining material to create the final products.

During lead time, the company continues to use and draw down its inventory.

_______ is assigning work to a facility.

Which of the following are critical questions to ask of inventory control?

Statistical quality control involves using control charts that show expected and actual performance.

Identify all components of the transformation process, from beginning to end.

Explain how Gantt Charts can help logistics managers make wise decisions.

_______ is the process of systematically recording, analyzing, and synthesizing the times required to perform a task.

_______refers to the terms and situations in which repairs or exchanges will be made if a product does not function as originally described or intended.

Describe the approaches to production control, loading, and scheduling.

_______ means that a company would rather transfer the assembly of its products to outside suppliers instead of doing the work itself.