Question 1

What is the primary management challenge when implementing revenue management?

Accepted Answer

Identifying differen

Question 2

Dependence on an external source of supply is found in which of the following aggregate planning strategies?

Accepted Answer

A) varying production rates through overtime or idle time 
B) subcontracting 
C) using part-time workers 
D) back ordering during high demand periods 
E) hiring and laying off 
A) varying production rates through overtime or idle time 
B) subcontracting 
C) using part-time workers 
D) back ordering during high demand periods 
E) hiring and laying off

Question 3

Which of the following is NOT an advantage of level scheduling?

Accepted Answer

A) stable employment 
B) lower absenteeism 
C) matching production exactly with sales 
D) lower turnover 
E) more employee commitment 
A) stable employment 
B) lower absenteeism 
C) matching production exactly with sales 
D) lower turnover 
E) more employee commitment

Question 4

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

Accepted Answer

A) True 
 B)False

Question 5

Normally,the transportation model is used to solve problems involving several physical sources of product and several physical uses of the product,as in factories and warehouses.How is it possible to use the transportation model where the "routes" are from one time period to another? Describe how this provides aggregate planners with a usable mathematical model.

Accepted Answer

Time travel is not involved."From" regul

Question 6

Which of the following is the term used for intermediate-range capacity planning with a time horizon of three to eighteen months?

Accepted Answer

A) material requirements planning 
B) enterprise resource planning 
C) strategic planning 
D) aggregate planning 
E) job scheduling 
A) material requirements planning 
B) enterprise resource planning 
C) strategic planning 
D) aggregate planning 
E) job scheduling

Question 7

Which of the following statements about aggregate planning is TRUE?

Accepted Answer

A) An advantage of the counterseasonal product and service mixing option is that it matches seasonal fluctuations without hiring/training costs. 
B) In aggregate planning,back orders are a means of manipulating supply while part-time workers are a way of manipulating product or service demand. 
C) A pure chase strategy allows lower inventories when compared to a pure level scheduling. 
D) A disadvantage of subcontracting is that it may require skills or equipment outside the firm's areas of expertise. 
E) The option of varying workforce size by hiring or layoffs is used where the size of the labor pool is small. 
A) An advantage of the counterseasonal product and service mixing option is that it matches seasonal fluctuations without hiring/training costs. 
B) In aggregate planning,back orders are a means of manipulating supply while part-time workers are a way of manipulating product or service demand. 
C) A pure chase strategy allows lower inventories when compared to a pure level scheduling. 
D) A disadvantage of subcontracting is that it may require skills or equipment outside the firm's areas of expertise. 
E) The option of varying workforce size by hiring or layoffs is used where the size of the labor pool is small.

Question 8

Describe the advantages and limitations of the graphical method of aggregate planning.

Accepted Answer

Advantages include that it is easy to un

Question 9

Which of the following is consistent with a chase strategy?

Accepted Answer

A) vary production levels to meet demand requirements 
B) vary work force to meet demand requirements 
C) vary production levels and work force to meet demand requirements 
D) little or no use of inventory to meet demand requirements 
E) All of the above are consistent with a chase strategy. 
A) vary production levels to meet demand requirements 
B) vary work force to meet demand requirements 
C) vary production levels and work force to meet demand requirements 
D) little or no use of inventory to meet demand requirements 
E) All of the above are consistent with a chase strategy.

Question 10

Disaggregation is the process of breaking the aggregate plan into greater detail;one example of this detail is the master production schedule.

Accepted Answer

A) True 
 B)False

Question 11

Osprey Machine Works has the following demand requirements and other data for the upcoming four quarters.
   What is the total cost of pursuing a level aggregate plan over the coming year?

Accepted Answer

Requirements total 9400 units,

Question 12

The objective of aggregate planning is to meet forecast demand while ________ over the planning period.

Accepted Answer

A) minimizing cost 
B) maximizing service level 
C) minimizing stock out 
D) minimizing fixed cost 
E) all of the above 
A) minimizing cost 
B) maximizing service level 
C) minimizing stock out 
D) minimizing fixed cost 
E) all of the above

Question 13

Top executives tend to focus their attention on which type of forecasts?

Accepted Answer

A) short-range 
B) intermediate-range 
C) long-range 
D) weather 
E) the forecast for the next day's absentee levels 
A) short-range 
B) intermediate-range 
C) long-range 
D) weather 
E) the forecast for the next day's absentee levels

Question 14

Which of the following is NOT one of the successful techniques for controlling the cost of labor in services?

Accepted Answer

A) accurate scheduling of labor-hours to assure quick response to customer demand 
B) an on-call labor resource that can be added or deleted to meet unexpected demand 
C) little flexibility in worker hours to decrease the burden on management 
D) flexibility of individual worker skills that permits reallocation of available labor 
E) flexibility in rate of output or hours of work to meet changing demand 
A) accurate scheduling of labor-hours to assure quick response to customer demand 
B) an on-call labor resource that can be added or deleted to meet unexpected demand 
C) little flexibility in worker hours to decrease the burden on management 
D) flexibility of individual worker skills that permits reallocation of available labor 
E) flexibility in rate of output or hours of work to meet changing demand

Question 15

Byron's Manufacturing makes tables.Demand for the next four months and capacities of the plant are shown in the table below.Unit cost on regular time is $40.Overtime cost is 150% of regular time cost.Subcontracting is available in substantial quantity at $75 per unit.Holding costs are $5 per table per month;back orders cost the firm $10 per unit per month.Byron's management believes that the transportation algorithm can be used to optimize this scheduling problem.The firm has 50 units of beginning inventory and anticipates no ending inventory.
   Answer the following questions based on the data table and solution table shown below.
Byron's Manufacturing
   Byron's Manufacturing Solution
   a.How many units will be produced on regular time in June?
b.How many units will be produced by subcontracting over the four-month period?
c.What will be the inventory at the end of April?
d.What will be total production from all sources in April?
e.What will be the total cost of the optimum solution?
f.Does the firm utilize the expensive options of subcontracting and back ordering? When;why?

Accepted Answer

(a)400; (b)250; (c)0; (d)550; (e)Total C

Question 16

In aggregate planning,the amount of overtime and the size of the work force are both adjustable elements of capacity.

Accepted Answer

A) True 
 B)False

Exam 13: Aggregate Planning and Sop

What is the primary management challenge when implementing revenue management?

Dependence on an external source of supply is found in which of the following aggregate planning strategies?

Which of the following is NOT an advantage of level scheduling?

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

Which of the following is the term used for intermediate-range capacity planning with a time horizon of three to eighteen months?

Which of the following statements about aggregate planning is TRUE?

Describe the advantages and limitations of the graphical method of aggregate planning.

Which of the following is consistent with a chase strategy?

Disaggregation is the process of breaking the aggregate plan into greater detail;one example of this detail is the master production schedule.

Osprey Machine Works has the following demand requirements and other data for the upcoming four quarters. What is the total cost of pursuing a level aggregate plan over the coming year?

The objective of aggregate planning is to meet forecast demand while ________ over the planning period.

Top executives tend to focus their attention on which type of forecasts?

Which of the following is NOT one of the successful techniques for controlling the cost of labor in services?

In aggregate planning,the amount of overtime and the size of the work force are both adjustable elements of capacity.

Operations and Productivity

Operations Strategy in a Global Environment

Project Management

Forecasting

Design of Goods and Services

Managing Quality

Process Strategy

Location Strategies

Layout Strategies

Human Resources,job Design,and Work Measurement

Supply Chain Management

Inventory Management

Material Requirements Planning Mrpand ERP

Short-Term Scheduling

Lean Operations

Maintenance and Reliability

Sustainability in the Supply Chain

Statistical Process Control

Capacity and Constraint Management

Supply Chain Management Analytics

Decision-Making Tools

Linear Programming

Transportation Models

Waiting-Line Models

Learning Curves

Simulation

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