Question 1

Demand can be altered in aggregate planning by promotion and producing additional product using overtime.

Accepted Answer

A) True 
 B)False

Question 2

Aggregate planning is capacity planning for:

Accepted Answer

A) the long range 
B) the intermediate range 
C) the short range 
D) typically one to three months 
E) typically one or more years 
A) the long range 
B) the intermediate range 
C) the short range 
D) typically one to three months 
E) typically one or more years

Question 3

Subcontracting 'in' would apply to periods in which our organization has excess capacity.

Accepted Answer

A) True 
 B)False

Question 4

That portion of projected inventory which enables marketing to make realistic commitments about delivery dates for new orders is:

Accepted Answer

A) beginning inventory 
B) safety stock inventory 
C) available-to-promise inventory 
D) high margin inventory 
E) none of the above 
A) beginning inventory 
B) safety stock inventory 
C) available-to-promise inventory 
D) high margin inventory 
E) none of the above

Question 5

Capacity can be modified in aggregate planning by promotion and producing additional product using overtime.

Accepted Answer

A) True 
 B)False

Question 6

Ultimately the overriding factor in choosing a strategy in aggregate planning is overall cost.

Accepted Answer

A) True 
 B)False

Question 7

In order to use the "level capacity strategy," variations in demand are met by:

Accepted Answer

A) varying output during regular time without changing employment levels 
B) varying output during regular time by changing employment levels 
C) (a) and (b) 
D) using combination of inventories, overtime, part time, and back orders 
E) price adjustments 
A) varying output during regular time without changing employment levels 
B) varying output during regular time by changing employment levels 
C) (a) and (b) 
D) using combination of inventories, overtime, part time, and back orders 
E) price adjustments

Question 8

The more __________ demand is, the more the aggregate plan will tend to reflect the ____________ strategy.

Accepted Answer

A) Stable; Level 
B) Aggregated; Outsourcing 
C) Variable; Chase 
D) Complex; Uncommitted 
E) Both A and C 
A) Stable; Level 
B) Aggregated; Outsourcing 
C) Variable; Chase 
D) Complex; Uncommitted 
E) Both A and C

Question 9

The main disadvantage(s) of informal techniques used for aggregate planning is(are):

Accepted Answer

A) they are expensive to do 
B) they may not result in the best plan 
C) they take a long time to do 
D) they require use of a computer 
E) lack of formal education of the planners 
A) they are expensive to do 
B) they may not result in the best plan 
C) they take a long time to do 
D) they require use of a computer 
E) lack of formal education of the planners

Question 10

A time fence in the master schedule is used to prevent unauthorized people from making changes to the schedule.

Accepted Answer

A) True 
 B)False

Question 11

What are total overtime costs?

Accepted Answer

The answer of What are total overtime costs?...

Question 12

Simulation to produce an aggregate plan:

Accepted Answer

A) will produce the best plan 
B) is the most widely used technique 
C) both (a) and (b) 
D) will produce a plan that may not be the best plan 
E) requires a minimum of 4 iterations to be accurate 
A) will produce the best plan 
B) is the most widely used technique 
C) both (a) and (b) 
D) will produce a plan that may not be the best plan 
E) requires a minimum of 4 iterations to be accurate

Question 13

Which of the following is not an input to the aggregate planning process?

Accepted Answer

A) resources available 
B) demand forecast 
C) policies on work force changes 
D) master production schedules 
E) cost information 
A) resources available 
B) demand forecast 
C) policies on work force changes 
D) master production schedules 
E) cost information

Question 14

Which one of the following would not be considered a decision option for purposes of aggregate planning?

Accepted Answer

A) inventory levels 
B) manpower levels 
C) pricing 
D) production costs 
E) promotion 
A) inventory levels 
B) manpower levels 
C) pricing 
D) production costs 
E) promotion

Question 15

Inventory information for firm ABC:   What was the inventory at the end of March, 1999?

Accepted Answer

A) 350 
B) 250 
C) 150 
D) 50 
E) none of the above 
A) 350 
B) 250 
C) 150 
D) 50 
E) none of the above

Question 16

Which of the following best describes aggregate planning?

Accepted Answer

A) the link between intermediate term planning and short term operating decisions 
B) a collection of objective planning tools 
C) make or buy decisions 
D) an attempt to respond to predicted demand within the constraints set by product, process and location decisions 
E) manpower planning 
A) the link between intermediate term planning and short term operating decisions 
B) a collection of objective planning tools 
C) make or buy decisions 
D) an attempt to respond to predicted demand within the constraints set by product, process and location decisions 
E) manpower planning

Question 17

One option for altering the availability of manufacturing capacity is:

Accepted Answer

A) pricing 
B) promotion 
C) backorders 
D) inventories 
E) none of the above apply to manufacturing capacity 
A) pricing 
B) promotion 
C) backorders 
D) inventories 
E) none of the above apply to manufacturing capacity

Question 18

Aggregate planners attempt to balance:

Accepted Answer

A) demand and inventories 
B) demand and costs 
C) capacity and inventories 
D) capacity and costs 
E) capacity and demand 
A) demand and inventories 
B) demand and costs 
C) capacity and inventories 
D) capacity and costs 
E) capacity and demand

Question 19

In practice, the more commonly used techniques for aggregate planning are:

Accepted Answer

A) mathematical techniques 
B) informal trial-and-error techniques 
C) (a) and (b) about equally 
D) simulation models 
E) linear programming optimization 
A) mathematical techniques 
B) informal trial-and-error techniques 
C) (a) and (b) about equally 
D) simulation models 
E) linear programming optimization

Question 20

Which of the following differs between aggregate planning in services and aggregate planning in manufacturing?

Accepted Answer

A) uncertainty in demand 
B) costs of storing inventory 
C) the perishability of capacity 
D) cost of overtime 
E) cost of hiring 
A) uncertainty in demand 
B) costs of storing inventory 
C) the perishability of capacity 
D) cost of overtime 
E) cost of hiring

Exam 11: Aggregate Planning and Master Scheduling

Demand can be altered in aggregate planning by promotion and producing additional product using overtime.

Aggregate planning is capacity planning for:

Subcontracting 'in' would apply to periods in which our organization has excess capacity.

That portion of projected inventory which enables marketing to make realistic commitments about delivery dates for new orders is:

Capacity can be modified in aggregate planning by promotion and producing additional product using overtime.

Ultimately the overriding factor in choosing a strategy in aggregate planning is overall cost.

In order to use the "level capacity strategy," variations in demand are met by:

The more __________ demand is, the more the aggregate plan will tend to reflect the ____________ strategy.

The main disadvantage(s) of informal techniques used for aggregate planning is(are):

A time fence in the master schedule is used to prevent unauthorized people from making changes to the schedule.

What are total overtime costs?

Simulation to produce an aggregate plan:

Which of the following is not an input to the aggregate planning process?

Which one of the following would not be considered a decision option for purposes of aggregate planning?

Inventory information for firm ABC: What was the inventory at the end of March, 1999?

Which of the following best describes aggregate planning?

One option for altering the availability of manufacturing capacity is:

Aggregate planners attempt to balance:

In practice, the more commonly used techniques for aggregate planning are:

Which of the following differs between aggregate planning in services and aggregate planning in manufacturing?

Introduction to Operations Management

Competitiveness, Strategy, and Productivity

Forecasting

Product and Service Design

Strategic Capacity Planning for Products and Services

Process Selection and Facility Layout

Work Design and Measurement

Location Planning and Analysis

Management of Quality

Quality Control

MRP and ERP

Inventory Management

Jit and Lean Operations

Supply Chain Management

Scheduling

Project Management

Management of Waiting Lines

Linear Programming

Extension 4: Reliability

Extension 5: Decision Theory

Extension 7: Learning Curves

Extension 8: The Transportation Model

Extension 10: Acceptance Sampling

Extension 14: Maintenance

Filters

The more demand is, the more the aggregate plan will tend to reflect the __ strategy.