Question 1

According to Little's law, which of the following ratios is used to find flow time?

Accepted Answer

A) Cycle time/Process time 
B) Throughput time/Process velocity 
C) Process velocity/Throughput time 
D) Inventory/Throughput rate 
E) Value-added time/Process velocity 
A) Cycle time/Process time 
B) Throughput time/Process velocity 
C) Process velocity/Throughput time 
D) Inventory/Throughput rate 
E) Value-added time/Process velocity D

Question 2

When a make-to-order production process is used, production is based on forecasts.

Accepted Answer

A) True 
 B)False  False

Question 3

A process flowchart uses symbols to represent which of the following?

Accepted Answer

A) Factory location 
B) Warehouse space available 
C) Workforce schedules 
D) Flows of material or customers 
E) Data analysis 
A) Factory location 
B) Warehouse space available 
C) Workforce schedules 
D) Flows of material or customers 
E) Data analysis D

Question 4

Inventory turn is the cost of goods sold divided by the average inventory value.

Accepted Answer

A) True 
 B)False

Question 5

Consider a three sequentially stepped process named as Process A, Process B and Process C.Input comes into Process A.Output form A goes into Process B.Output from B goes into Process C.Output of C is the final output.Suppose that it takes 2 minutes per unit in Process A, 3 minutes per unit in Process B and 1 minute per unit in Process C.Suppose further that Process A receives input at the rate of 30 per hour.Which process will be experiencing starving?

Accepted Answer

A) Process A 
B) Process B 
C) Process C 
D) Process B and Process C 
E) None 
A) Process A 
B) Process B 
C) Process C 
D) Process B and Process C 
E) None

Question 6

An advantage of a make-to-stock process is which of the following?

Accepted Answer

A) It features rapid delivery of a standard product. 
B) All units of output are unique. 
C) It responds directly to customer orders. 
D) It allows the firm to avoid inventory costs. 
E) It combines the best features of other processes. 
A) It features rapid delivery of a standard product. 
B) All units of output are unique. 
C) It responds directly to customer orders. 
D) It allows the firm to avoid inventory costs. 
E) It combines the best features of other processes.

Question 7

A process flowchart uses which of the following symbols to represent flows of material or customers in a flow diagram?

Accepted Answer

A) Rectangle 
B) Arrow 
C) Inverted triangle 
D) Diamond 
E) A dashed line 
A) Rectangle 
B) Arrow 
C) Inverted triangle 
D) Diamond 
E) A dashed line

Question 8

Buffering in a production process refers to a storage area between stages of production activity where output of a stage is placed prior to being used in a "downstream" stage.

Accepted Answer

A) True 
 B)False

Question 9

A "process" is any part of an organization that takes inputs and transforms them into outputs that, hopefully, are of greater value to the organization than the original inputs.

Accepted Answer

A) True 
 B)False

Question 10

Setup time is the time required to prepare a process to produce a particular item.

Accepted Answer

A) True 
 B)False

Question 11

Process analysis can help answer many important questions such as why change in a process is necessary.

Accepted Answer

A) True 
 B)False

Question 12

A process flowchart uses which of the following symbols to represent storage areas or queues in a flow diagram?

Accepted Answer

A) Rectangle 
B) Arrow 
C) Inverted triangle 
D) Diamond 
E) A dashed line 
A) Rectangle 
B) Arrow 
C) Inverted triangle 
D) Diamond 
E) A dashed line

Question 13

Job design is defined as the function of specifying the work activities of an individual or group in an organizational setting.

Accepted Answer

A) True 
 B)False

Question 14

Consider a three sequentially stepped process named as Process A, Process B and Process C.Input comes into Process A.Output form A goes into Process B.Output from B goes into Process C.Output of C is the final output.Suppose that it takes 2 minutes per unit in Process A, 3 minutes per unit in Process B and 1 minute per unit in Process C.Suppose further that Process A receives input at the rate of 30 per hour.Where would you place a buffer?

Accepted Answer

A) in front of Process A 
B) in front of Process B 
C) in front of Process C 
D) in front of both Process B and Process C 
E) None 
A) in front of Process A 
B) in front of Process B 
C) in front of Process C 
D) in front of both Process B and Process C 
E) None

Question 15

Inventory turn is a better measure than the total value of inventory for comparative purposes because it is a relative measure.

Accepted Answer

A) True 
 B)False

Question 16

A triangle is conventionally used in a process flowchart to represent a storage area or queue.

Accepted Answer

A) True 
 B)False

Question 17

To reduce process throughput time, you might try which of the following actions?

Accepted Answer

A) Outsource activities. 
B) Change the sequence of activities. 
C) Improve teamwork. 
D) Reduce management interference. 
E) Introduce incentive pay 
A) Outsource activities. 
B) Change the sequence of activities. 
C) Improve teamwork. 
D) Reduce management interference. 
E) Introduce incentive pay

Question 18

A rectangle is conventionally used in a process flowchart to represent a task or operation.

Accepted Answer

A) True 
 B)False

Question 19

Process velocity is the ratio of the total throughput time to the value added time.

Accepted Answer

A) True 
 B)False

Question 20

Which of the following terms describes the time a unit spends actually being worked on together with the time spent waiting in a queue?

Accepted Answer

A) Cycle time 
B) Flow time 
C) Run time 
D) Setup time 
E) Efficiency 
A) Cycle time 
B) Flow time 
C) Run time 
D) Setup time 
E) Efficiency

Exam 11: Process Design and Analysis

According to Little's law, which of the following ratios is used to find flow time?

When a make-to-order production process is used, production is based on forecasts.

A process flowchart uses symbols to represent which of the following?

Inventory turn is the cost of goods sold divided by the average inventory value.

An advantage of a make-to-stock process is which of the following?

A process flowchart uses which of the following symbols to represent flows of material or customers in a flow diagram?

Buffering in a production process refers to a storage area between stages of production activity where output of a stage is placed prior to being used in a "downstream" stage.

A "process" is any part of an organization that takes inputs and transforms them into outputs that, hopefully, are of greater value to the organization than the original inputs.

Setup time is the time required to prepare a process to produce a particular item.

Process analysis can help answer many important questions such as why change in a process is necessary.

A process flowchart uses which of the following symbols to represent storage areas or queues in a flow diagram?

Job design is defined as the function of specifying the work activities of an individual or group in an organizational setting.

Inventory turn is a better measure than the total value of inventory for comparative purposes because it is a relative measure.

A triangle is conventionally used in a process flowchart to represent a storage area or queue.

To reduce process throughput time, you might try which of the following actions?

A rectangle is conventionally used in a process flowchart to represent a task or operation.

Process velocity is the ratio of the total throughput time to the value added time.

Which of the following terms describes the time a unit spends actually being worked on together with the time spent waiting in a queue?

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