Question 1

What is the primary management challenge when implementing yield management?

Accepted Answer

Identifying differen

Question 2

The only objective of aggregate planning is to minimize the cost of matching capacity to demand over the planning period.

Accepted Answer

A) True 
 B)False

Question 3

Mixed strategies in aggregate planning utilize inventory,work force,and production rate changes over the planning horizon.

Accepted Answer

A) True 
 B)False

Question 4

A(n)________ is the result of the disaggregation of the aggregate plan.

Accepted Answer

master pro

Question 5

________ is a capacity option that works especially well in the service sector where labour needs are relatively unskilled.

Accepted Answer

Using part

Question 6

Which of the following aggregate planning models is based primarily upon a manager's past experience?

Accepted Answer

A) the linear decision rule 
B) simulation 
C) the management coefficients model 
D) the transportation method 
E) graphical methods 
A) the linear decision rule 
B) simulation 
C) the management coefficients model 
D) the transportation method 
E) graphical methods

Question 7

Finding an ideal mixed strategy is complicated by the huge number of possible strategies.

Accepted Answer

A) True 
 B)False

Question 8

The typical time horizon for aggregate planning is

Accepted Answer

A) less than a month. 
B) up to 3 months. 
C) 3 to 18 months. 
D) over one year. 
E) over 5 years. 
A) less than a month. 
B) up to 3 months. 
C) 3 to 18 months. 
D) over one year. 
E) over 5 years.

Question 9

One of the four things needed for aggregate planning is a logical overall unit for measuring sales and output.

Accepted Answer

A) True 
 B)False

Question 10

________ is an approach to determine the quantity and timing of production for the intermediate future.

Accepted Answer

The answer of ________ is an approach to determine the...

Question 11

Graphical techniques are easy to understand and use,but are not well-suited for generating optimal strategies.

Accepted Answer

A) True 
 B)False

Question 12

A hotel room that goes unrented and an airline seat that goes unsold are both examples of perishable inventory in services.

Accepted Answer

A) True 
 B)False

Question 13

What are the disadvantages common to the following two strategies: (1)varying inventory levels and (2)back ordering during periods of high demand?

Accepted Answer

Varying inventory levels and b

Question 14

What are successful techniques of controlling the cost of labour involved in service firms?

Accepted Answer

Successful techniques include:
1.accurat

Question 15

To use yield management strategies a business should have which combination of costs?

Accepted Answer

A) high variable and high fixed 
B) low variable and high fixed 
C) high variable and low fixed 
D) low variable and low fixed 
E) mixed variable and semi-fixed 
A) high variable and high fixed 
B) low variable and high fixed 
C) high variable and low fixed 
D) low variable and low fixed 
E) mixed variable and semi-fixed

Question 16

Washington Laundry Products,Inc. ,makes commercial and industrial laundry machines (the kinds hotels use),and has these aggregate demand requirements for the next six months.The firm has regular capacity for 200 units,and overtime capacity for 40 more.Currently,subcontracting can supply up to 100 units per month,but the subcontracting firm may soon be unavailable.   Which is cheaper: to produce level,incurring back orders and inventory charges;or to produce a base quantity of 120,using first,overtime,then subcontracting,to meet demand?

Accepted Answer

The cost of the level strategy is $1,326

Question 17

One reason complex models have not found widespread use and application is that

Accepted Answer

A) managers are lazy. 
B) managers cannot understand how they work. 
C) the models are inaccurate. 
D) good models are time-consuming and managers must often react swiftly to dynamic demand. 
E) the statement is false;complex models are widely used and accepted. 
A) managers are lazy. 
B) managers cannot understand how they work. 
C) the models are inaccurate. 
D) good models are time-consuming and managers must often react swiftly to dynamic demand. 
E) the statement is false;complex models are widely used and accepted.

Question 18

Reddick's Specialty Electronics makes weatherproof surveillance systems for parking lots.Demand estimates for the next four quarters are 25,9,13,and 17 units.Prepare an aggregate plan that uses inventory,regular time and overtime and back orders.Subcontracting is not allowed.Regular time capacity is 15 units for quarters 1 and 2,18 units for quarters 3 and 4.Overtime capacity is 3 units per quarter.Regular time cost is $2000 per unit,while overtime cost is $3000 per unit.Back order cost is $300 per unit per quarter;inventory holding cost is $100 per unit per quarter.Beginning inventory is zero.
The data inputs for this problem,and the optimal solution,generated by microcomputer software,appear below.Answer the following questions based on the scenario and the solution.
a.How many total units will be produced in quarter 1 for delivery in quarter 1?
b.How many units in total will be used to fill back orders over the four quarters?
c.What is the cost to produce one unit in Quarter 4 using overtime to deliver in quarter 1 (filling a back order)?
d.At the end of quarter 3,what is the ending inventory of finished systems?
e.What is the total cost of the solution?
f.What is the average cost per unit?

Accepted Answer

@#IMG-DLM& a.15;b.10;c.$3,900;

Question 19

A firm uses graphical techniques in its aggregate planning efforts.Over the next twelve months (its intermediate period)it estimates the sum of demands to be 105,000 units.The firm has 250 production days per year.In January,which has 22 production days,demand is estimated to be 11,000 units.A graph of demand versus level production will show that

Accepted Answer

A) the January requirement is below level production of 420 units. 
B) level production is approximately 1000 units per day. 
C) level production of 420 units per day is below the January requirement. 
D) level production is approximately 420 units per month. 
E) the firm must hire workers between December and January. 
A) the January requirement is below level production of 420 units. 
B) level production is approximately 1000 units per day. 
C) level production of 420 units per day is below the January requirement. 
D) level production is approximately 420 units per month. 
E) the firm must hire workers between December and January.

Question 20

If a service firm were to attempt a pure level strategy for aggregate planning,should its level of output be at average demand,peak demand,or minimum demand?

Accepted Answer

This is a critical-thinking item for stu

Exam 13: Aggregate Planning

What is the primary management challenge when implementing yield management?

The only objective of aggregate planning is to minimize the cost of matching capacity to demand over the planning period.

Mixed strategies in aggregate planning utilize inventory,work force,and production rate changes over the planning horizon.

A(n)________ is the result of the disaggregation of the aggregate plan.

________ is a capacity option that works especially well in the service sector where labour needs are relatively unskilled.

Which of the following aggregate planning models is based primarily upon a manager's past experience?

Finding an ideal mixed strategy is complicated by the huge number of possible strategies.

The typical time horizon for aggregate planning is

One of the four things needed for aggregate planning is a logical overall unit for measuring sales and output.

________ is an approach to determine the quantity and timing of production for the intermediate future.

Graphical techniques are easy to understand and use,but are not well-suited for generating optimal strategies.

A hotel room that goes unrented and an airline seat that goes unsold are both examples of perishable inventory in services.

What are the disadvantages common to the following two strategies: (1)varying inventory levels and (2)back ordering during periods of high demand?

What are successful techniques of controlling the cost of labour involved in service firms?

To use yield management strategies a business should have which combination of costs?

One reason complex models have not found widespread use and application is that

If a service firm were to attempt a pure level strategy for aggregate planning,should its level of output be at average demand,peak demand,or minimum demand?

Operations and Productivity

Operations Strategy in a Global Environment

Project Management

Forecasting

Design of Goods and Services

Managing Quality

Statistical Process Control

Process Strategy and Sustainability

Capacity and Constraint Management

Location Strategies

Layout Strategies

Human Resources,job Design,and Work Measurement

Supply-Chain Management

Outsourcing As a Supply-Chain Strategy

Inventory Management

Material Requirements Planning Mrpand Erp

Short-Term Scheduling

Jit and Lean Operations

Maintenance and Reliability

Decision-Making Tools

Linear Programming

Transportation Models

Waiting-Line Models

Learning Curves

Simulation

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