Question 1

According to the theory of constraints, which of the following is a financial measurement that can be used to measure the firm's ability to make money?

Accepted Answer

A) Operating expenses 
B) Cash flow 
C) Inventory 
D) Sales 
E) Dividends 
A) Operating expenses 
B) Cash flow 
C) Inventory 
D) Sales 
E) Dividends

Question 2

The synchronous manufacturing approach uses backward scheduling.

Accepted Answer

A) True 
 B)False

Question 3

You have run a capacity resource profile on your shop.Products have been routed sequentially through resources A, B, C, and
D.The capacity resource profile tells you that resource A is scheduled at 95 percent of capacity, resource B at 80 percent of capacity, resource C at 130 percent of capacity, and resource D at 100 percent of capacity.Assuming that the data we used to calculate the capacity resource profile are accurate, what would we expect to find when we go out to the shop? ________________________________________________________.

Accepted Answer

a large quantity of work-in-process inve

Question 4

According to the theory of constraints, which of the following is a financial measurement that can be used to measure the firm's ability to make money?

Accepted Answer

A) Net profit 
B) Throughput 
C) Inventory 
D) Sales 
E) Retained earnings 
A) Net profit 
B) Throughput 
C) Inventory 
D) Sales 
E) Retained earnings

Question 5

You have run a capacity resource profile on your shop.A process routes products sequentially through resources A, B, C, and
D.The capacity resource profile tells you that resource A is scheduled at 95 percent of capacity, resource B at 80 percent of capacity, resource C at 130 percent of capacity, and resource D at 100 percent of capacity.Assuming that the data we used to calculate the capacity resource profile was accurate, what have we discovered about the process A, B, C, and D? _________________________________________.

Accepted Answer

resource C is a bottleneck
Explanation:

Question 6

Rather than try to adjust the master production schedule to change resource loads, it is more practical to control the flow at each bottleneck or CCR to bring capacities in line.

Accepted Answer

A) True 
 B)False

Question 7

JIT requires vendors to be located nearby.When compared to synchronous manufacturing, this is viewed as an advantage of JIT.

Accepted Answer

A) True 
 B)False

Question 8

On an assembly line, a process batch can be infinite.

Accepted Answer

A) True 
 B)False

Question 9

JIT requires work-in-process when used with kanban so there is inventory to pull.When compared to synchronous manufacturing, this is viewed as a negative aspect of JIT.

Accepted Answer

A) True 
 B)False

Question 10

Larger transfer batches give shorter lead times and lower inventories, and there is more material handling than smaller transfer batches.

Accepted Answer

A) True 
 B)False

Question 11

The term "dependent events" refers to a process sequence.

Accepted Answer

A) True 
 B)False

Question 12

According to the theory of constraints, it is wrong for manufacturers to try to match capacity with demand by attempting to balance capacity across a sequence of processes.Unbalanced capacity is better.

Accepted Answer

A) True 
 B)False

Question 13

Smaller transfer batches give lower work-in-process inventory and faster product flow.

Accepted Answer

A) True 
 B)False

Question 14

Name the five kinds of time that make up production cycle time according to Goldratt's theory of constraints.(1) _________________________________.(2) _________________________________.(3) _________________________________.(4) _________________________________.(5) _________________________________.

Accepted Answer

(1 setup time.(2 processing time.(3 queu

Question 15

Which of the following is not an important concept in TOC?

Accepted Answer

A) CCR 
B) Rope 
C) Drum 
D) Buffer 
E) File 
A) CCR 
B) Rope 
C) Drum 
D) Buffer 
E) File

Question 16

In a process sequence where a product flows from process A to process B, process B is called the dependent process.

Accepted Answer

A) True 
 B)False

Question 17

JIT requires a stable production level.When compared to synchronous manufacturing, this is viewed as a negative aspect of JIT.

Accepted Answer

A) True 
 B)False

Question 18

In a process sequence where a product flows from process A to process B, what is process B called? _______________________________________.

Accepted Answer

the dependent process
Explanation: The t

Question 19

Looking at the loads that are placed on each resource by the products that are scheduled through them is called process flow profiling.

Accepted Answer

A) True 
 B)False

Question 20

Which of the following is an approach to dealing with a bottleneck?

Accepted Answer

A) Keep a buffer inventory in front of it to ensure that it always has something to work on. 
B) Use Johnson's sequencing rules on bottleneck operations. 
C) Don't worry about the bottleneck; it will take care of itself. 
D) Move things to a faster bottleneck. 
E) Pay an incentive bonus to workers on the bottleneck operation. 
A) Keep a buffer inventory in front of it to ensure that it always has something to work on. 
B) Use Johnson's sequencing rules on bottleneck operations. 
C) Don't worry about the bottleneck; it will take care of itself. 
D) Move things to a faster bottleneck. 
E) Pay an incentive bonus to workers on the bottleneck operation.

Exam 23: Theory of Constraints

According to the theory of constraints, which of the following is a financial measurement that can be used to measure the firm's ability to make money?

The synchronous manufacturing approach uses backward scheduling.

According to the theory of constraints, which of the following is a financial measurement that can be used to measure the firm's ability to make money?

Rather than try to adjust the master production schedule to change resource loads, it is more practical to control the flow at each bottleneck or CCR to bring capacities in line.

JIT requires vendors to be located nearby.When compared to synchronous manufacturing, this is viewed as an advantage of JIT.

On an assembly line, a process batch can be infinite.

JIT requires work-in-process when used with kanban so there is inventory to pull.When compared to synchronous manufacturing, this is viewed as a negative aspect of JIT.

Larger transfer batches give shorter lead times and lower inventories, and there is more material handling than smaller transfer batches.

The term "dependent events" refers to a process sequence.

According to the theory of constraints, it is wrong for manufacturers to try to match capacity with demand by attempting to balance capacity across a sequence of processes.Unbalanced capacity is better.

Smaller transfer batches give lower work-in-process inventory and faster product flow.

Name the five kinds of time that make up production cycle time according to Goldratt's theory of constraints.(1) _________________________________.(2) _________________________________.(3) _________________________________.(4) _________________________________.(5) _________________________________.

Which of the following is not an important concept in TOC?

In a process sequence where a product flows from process A to process B, process B is called the dependent process.

JIT requires a stable production level.When compared to synchronous manufacturing, this is viewed as a negative aspect of JIT.

In a process sequence where a product flows from process A to process B, what is process B called? _______________________________________.

Looking at the loads that are placed on each resource by the products that are scheduled through them is called process flow profiling.

Which of the following is an approach to dealing with a bottleneck?

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Name the five kinds of time that make up production cycle time according to Goldratt's theory of constraints.(1) _________________.(2) _.(3) _.(4) _.(5) _________________.