Question 1

Which of the following methods does not guarantee an optimum sales and operations plan?

Accepted Answer

A) linear decision rule 
B) management coefficient model 
C) trial-and-error method 
D) optimization model 
A) linear decision rule 
B) management coefficient model 
C) trial-and-error method 
D) optimization model C

Question 2

Which of the following methods yields two linear equations,one to determine the optimum production plan for each period and the other to determine the optimum workforce plan for each period?

Accepted Answer

A) linear decision rule 
B) integer programming 
C) management coefficient model 
D) linear programming 
A) linear decision rule 
B) integer programming 
C) management coefficient model 
D) linear programming A

Question 3

The first step in sales and operations planning is ______.

Accepted Answer

A) data gathering 
B) supply planning 
C) demand planning 
D) financial planning 
A) data gathering 
B) supply planning 
C) demand planning 
D) financial planning A

Question 4

In which phase of the SCOP process is there an increased emphasis on responding to customer expectations of providing a clean,sustainable value chain?

Accepted Answer

A) supply planning 
B) demand planning 
C) impact on existing products 
D) operations planning 
A) supply planning 
B) demand planning 
C) impact on existing products 
D) operations planning

Question 5

The cannibalization of sales of existing products in making demand planning decisions should be considered in which of the following scenarios?

Accepted Answer

A) new product introduction 
B) workforce expansion 
C) capacity expansion 
D) promotions 
A) new product introduction 
B) workforce expansion 
C) capacity expansion 
D) promotions

Question 6

______ is a process that incorporates sustainability into sales and operations planning (S&OP),intended not only to cover carbon emissions but also the management and reduction of the economic and environmental impact of greenhouse gas emissions.

Accepted Answer

A) Sustainable cost operations planning 
B) Suitable cost operations planning 
C) Sustainable carbon operations planning 
D) Sales carbon operations planning 
A) Sustainable cost operations planning 
B) Suitable cost operations planning 
C) Sustainable carbon operations planning 
D) Sales carbon operations planning

Question 7

Which of the following is NOT one of the techniques of the yield management strategy?

Accepted Answer

A) overbooking 
B) maintaining a small level of staff over the year and subcontracting all other work 
C) adjusting prices to augment demand 
D) using different fare classes to partition demand 
A) overbooking 
B) maintaining a small level of staff over the year and subcontracting all other work 
C) adjusting prices to augment demand 
D) using different fare classes to partition demand

Question 8

Companies with a well-integrated S&OP typically have ______ days of inventory.

Accepted Answer

A) 25 to 30 days 
B) 6 months 
C) 40 to 50 days 
D) 70 to 90 days 
A) 25 to 30 days 
B) 6 months 
C) 40 to 50 days 
D) 70 to 90 days

Question 9

A hybrid strategy that combines the advantages of level and chase strategies,enabling firms to select options that influence both the demand and supply of their products,is a ______.

Accepted Answer

A) product strategy 
B) mixed strategy 
C) dual strategy 
D) collaborative strategy 
A) product strategy 
B) mixed strategy 
C) dual strategy 
D) collaborative strategy

Question 10

Which of the following is one of the approaches used for developing a sales and operations plan?

Accepted Answer

A) pre-S&OP planning 
B) executive S&OP planning 
C) bottom-up planning 
D) expected revenue planning 
A) pre-S&OP planning 
B) executive S&OP planning 
C) bottom-up planning 
D) expected revenue planning

Question 11

Consider the estimated aggregate demand for a company's ski product line for the upcoming year in the following table.Calculate the number of workers required to meet the production level using level production strategy.The average number of hours required to produce a pair of skis is 8 hours; the number of worker hours per months is 160. $$\begin{array} { | c | c | c | c | } 
\hline \text { Month } & \begin{array} { c } 
\text { Demand } \
\text { (in pairs } \
\text { of unit) }
\end{array} & \text { Month } & \begin{array} { c } 
\text { Demand } \
\text { (in pairs } \
\text { of units) }
\end{array} \
\hline \text { Jan } & 8,000 & \text { J uly } & 1,000 \
\hline \text { Feb } & 7,000 & \text { Aug } & 1,300 \
\hline \text { Mar } & 6,000 & \text { Sept } & 1,000 \
\hline \text { Apr } & 4,000 & \text { Oct } & 3,000 \
\hline \text { May } & 2,000 & \text { Nov } & 5,700 \
\hline \text { J une } & 2,000 & \text { Dec } & 7,000 \
\hline
\end{array}$$

Accepted Answer

A) 180 
B) 100 
C) 240 
D) 200 
A) 180 
B) 100 
C) 240 
D) 200

Question 12

Consider the estimated aggregate demand for a company's ski product line for the upcoming year in the following table.Calculate the inventory holding costs for the month of March using the level production strategy.Assume the regular time production cost as $200/pair of skis,the average monthly inventory holding cost as $20/pair of skis per month,and the beginning inventory for January is 8,000 units. $$\begin{array} { | c | c | c | c | } 
\hline \text { Month } & \begin{array} { c } 
\text { Demand } \
\text { (in pairs } \
\text { of unit) }
\end{array} & \text { Month } & \begin{array} { c } 
\text { Demand } \
\text { (in pairs } \
\text { of units) }
\end{array} \
\hline \text { J an } & 8,000 & \text { J uly } & 1,000 \
\hline \text { Feb } & 7,000 & \text { Aug } & 1,300 \
\hline \text { Mar } & 5,000 & \text { Sept } & 2,000 \
\hline \text { Apr } & 4,000 & \text { Oct } & 3,000 \
\hline \text { May } & 2,000 & \text { Nov } & 5,700 \
\hline \text { J une } & 2,000 & \text { Dec } & 7,000 \
\hline
\end{array}$$

Accepted Answer

A) $5,000 
B) $7,500 
C) $10,000 
D) $20,000 
A) $5,000 
B) $7,500 
C) $10,000 
D) $20,000

Question 13

Which of the following is a formal decision model that uses techniques of regression analysis of past production decisions and is also based on managerial performance and experience?

Accepted Answer

A) linear decision rule 
B) linear programming 
C) simulation 
D) management coefficients model 
A) linear decision rule 
B) linear programming 
C) simulation 
D) management coefficients model

Question 14

Sales and operations planning is also known as ______.

Accepted Answer

A) demand planning 
B) sales planning 
C) aggregate planning 
D) independent planning 
A) demand planning 
B) sales planning 
C) aggregate planning 
D) independent planning

Question 15

An empty airline seat cannot be held as inventory and sold at a later time.This is an illustration of which of the following statements?

Accepted Answer

A) Services cannot be inventoried. 
B) Services have low demand volatility. 
C) Services require skilled labor. 
D) Capacity required for services is hard to predict. 
A) Services cannot be inventoried. 
B) Services have low demand volatility. 
C) Services require skilled labor. 
D) Capacity required for services is hard to predict.

Question 16

Which of the following is true about companies that employ an effective sales and operations planning process?

Accepted Answer

A) They possess the ability to maximize inventory buildup. 
B) They experience material and product shortages. 
C) They possess the ability to manage products and promotional planning. 
D) They experience a loss of customers and reduced profits. 
A) They possess the ability to maximize inventory buildup. 
B) They experience material and product shortages. 
C) They possess the ability to manage products and promotional planning. 
D) They experience a loss of customers and reduced profits.

Question 17

Which of the following is an optimization technique in which the objective and the constraint functions are linear and the variables are continuous?

Accepted Answer

A) linear decision rule 
B) linear programming 
C) simulation 
D) management coefficient model 
A) linear decision rule 
B) linear programming 
C) simulation 
D) management coefficient model

Question 18

Consider that a company's aggregate demand for a product over a 5-month period is 30,000,and there are a total of 125 working days in that period.Under level production strategy,the company will produce ______ units per day.

Accepted Answer

A) 200 
B) 250 
C) 220 
D) 240 
A) 200 
B) 250 
C) 220 
D) 240

Question 19

The mixed strategies used in sales and operations planning for services can be broadly classified into ______ categories.

Accepted Answer

A) three 
B) four 
C) five 
D) two 
A) three 
B) four 
C) five 
D) two

Question 20

Which of the following is one of the broad categories of mixed strategies that can be used in sales and operations planning for services?

Accepted Answer

A) the use of options to influence demand to match available capacity 
B) annualized hours strategy 
C) maintaining a permanent regular time workforce but using overtime or hiring additional part-time workers for peak periods 
D) using different fare classes to partition demand 
A) the use of options to influence demand to match available capacity 
B) annualized hours strategy 
C) maintaining a permanent regular time workforce but using overtime or hiring additional part-time workers for peak periods 
D) using different fare classes to partition demand

Exam 20: Sales and Operations Planning

Which of the following methods does not guarantee an optimum sales and operations plan?

Which of the following methods yields two linear equations,one to determine the optimum production plan for each period and the other to determine the optimum workforce plan for each period?

The first step in sales and operations planning is ______.

In which phase of the SCOP process is there an increased emphasis on responding to customer expectations of providing a clean,sustainable value chain?

The cannibalization of sales of existing products in making demand planning decisions should be considered in which of the following scenarios?

______ is a process that incorporates sustainability into sales and operations planning (S&OP),intended not only to cover carbon emissions but also the management and reduction of the economic and environmental impact of greenhouse gas emissions.

Which of the following is NOT one of the techniques of the yield management strategy?

Companies with a well-integrated S&OP typically have ______ days of inventory.

A hybrid strategy that combines the advantages of level and chase strategies,enabling firms to select options that influence both the demand and supply of their products,is a ______.

Which of the following is one of the approaches used for developing a sales and operations plan?

Which of the following is a formal decision model that uses techniques of regression analysis of past production decisions and is also based on managerial performance and experience?

Sales and operations planning is also known as ______.

An empty airline seat cannot be held as inventory and sold at a later time.This is an illustration of which of the following statements?

Which of the following is true about companies that employ an effective sales and operations planning process?

Which of the following is an optimization technique in which the objective and the constraint functions are linear and the variables are continuous?

Consider that a company's aggregate demand for a product over a 5-month period is 30,000,and there are a total of 125 working days in that period.Under level production strategy,the company will produce ______ units per day.

The mixed strategies used in sales and operations planning for services can be broadly classified into ______ categories.

Which of the following is one of the broad categories of mixed strategies that can be used in sales and operations planning for services?

Introduction to Managing Global Operations and Supply Chains

Operations and Supply Chain Strategies

Project Management

Supplement: Project Management

Product and Service Innovations

Supplement: Reliability

Managing for Quality

Quality Improvement and Control Tools

Capacity Planning

Supply Chain Design and Location Planning

Process Design and Layout Planning

Supplement: Tools for Analyzing, Designing, and Selecting Processes and Layouts

Supplier Management

Logistics Management

Demand Management and Customer Service

Demand Forecasting Methods

Lean Operations and Supply Chains

Inventory Management

Inventory Control Models

Master Scheduling and Material Requirements Planning

Supplement: Capacity Requirements Planning, MRP II, ERP, and DRP

Detailed Scheduling

Linear Programming

The Transportation Models

Waiting Line Models

Simulation

Learning Curves

Decision-Making Tools

Filters