Question 1

In the service sector,which of the following aggregate planning strategies might direct your client to a competitor?

Accepted Answer

A) using part-time workers 
B) subcontracting 
C) changing inventory level 
D) varying production rates through overtime or idle time 
E) varying work force size by hiring or layoffs 
A) using part-time workers 
B) subcontracting 
C) changing inventory level 
D) varying production rates through overtime or idle time 
E) varying work force size by hiring or layoffs

Question 2

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

Accepted Answer

For a chase strategy,quarterly

Question 3

Houma Containers,Inc. ,makes industrial fiberglass tanks that are used on offshore oil platforms.Demand for the next four months and capacities of the plant are shown in the table below.Unit cost on regular time is $400.Overtime cost is 150% of regular time cost.Subcontracting is available in substantial quantity but at a very high cost,$1100 per unit.Holding costs are $200 per tank per month;back orders cost the firm $1000 per unit per month.Houma's management believes that the transportation algorithm can be used to optimize this scheduling problem.The firm has no beginning inventory and anticipates no ending inventory.
   Answer the following questions based on the data table and solution table shown below.   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)250; (b)350; (c)0,and 50 units are ba

Question 4

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.The firm is preparing 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

a.15;b.10;c.$3,900;d

Question 5

Explain the fundamental difference between the "capacity options" and the "demand options" of aggregate planning strategies.

Accepted Answer

Capacity options do not try to change th

Question 6

In level scheduling,what is kept uniform from month to month?

Accepted Answer

A) product mix 
B) inventory levels 
C) production/workforce levels 
D) demand levels 
E) sub-contracting levels 
A) product mix 
B) inventory levels 
C) production/workforce levels 
D) demand levels 
E) sub-contracting levels

Question 7

Which of the following aggregate planning strategies is known to lower employee morale?

Accepted Answer

A) yield management 
B) counterseasonal product and service mixing 
C) changing inventory levels 
D) varying work force size by hiring or layoffs 
E) back ordering during high demand periods 
A) yield management 
B) counterseasonal product and service mixing 
C) changing inventory levels 
D) varying work force size by hiring or layoffs 
E) back ordering during high demand periods

Question 8

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 9

Advertising and promotion are methods of manipulating product or service supply in aggregate planning.

Accepted Answer

A) True 
 B)False

Question 10

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 11

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 12

An aggregate plan satisfies forecast demand by potentially adjusting all EXCEPT which of the following?

Accepted Answer

A) production rates 
B) labor levels 
C) inventory levels 
D) overtime work 
E) facility capacity 
A) production rates 
B) labor levels 
C) inventory levels 
D) overtime work 
E) facility capacity

Question 13

Which of the following aggregate planning options is NOT associated with manipulation of product or service demand?

Accepted Answer

A) price cuts or discounts 
B) promotion 
C) subcontracting 
D) counterseasonal products or services 
E) advertising 
A) price cuts or discounts 
B) promotion 
C) subcontracting 
D) counterseasonal products or services 
E) advertising

Question 14

Under which of the following do planning tasks associated with production planning and budgeting,as well as setting employment,inventory,and subcontracting levels,typically fall?

Accepted Answer

A) short-range plans 
B) intermediate-range plans 
C) long-range plans 
D) demand options 
E) strategic planning 
A) short-range plans 
B) intermediate-range plans 
C) long-range plans 
D) demand options 
E) strategic planning

Question 15

Which of the following is NOT consistent with level scheduling?

Accepted Answer

A) varying the use of subcontracting 
B) finding alternative work for employees during low-demand periods 
C) using built-up inventory to meet demand requirements 
D) varying production levels and/or work force to meet demand requirements 
E) All of the above are inconsistent with the pure level strategy. 
A) varying the use of subcontracting 
B) finding alternative work for employees during low-demand periods 
C) using built-up inventory to meet demand requirements 
D) varying production levels and/or work force to meet demand requirements 
E) All of the above are inconsistent with the pure level strategy.

Question 16

What is the typical planning horizon for aggregate planning?

Accepted Answer

The typical planning

Question 17

Aggregate planning would entail which of the following production aspects at BMW for a 12-month period?

Accepted Answer

A) number of cars with a hi-fi stereo system to produce 
B) number of two-door vs.four-door cars to produce 
C) number of green cars to produce 
D) total number of cars to produce 
E) B,C,and D 
A) number of cars with a hi-fi stereo system to produce 
B) number of two-door vs.four-door cars to produce 
C) number of green cars to produce 
D) total number of cars to produce 
E) B,C,and D

Question 18

List,in order,the five steps of the graphical method of aggregate planning.Is it possible that these steps can be properly followed and the solution properly implemented without using a graph? Explain.

Accepted Answer

The steps are:
1.Determine the demand in

Question 19

A hotel room that goes unrented,a dental appointment that no patient booked,and an airline seat that went unsold,are all examples of ________ in services.

Accepted Answer

perishable

Question 20

What four things are needed to develop an aggregate plan?

Accepted Answer

(1)a logical overall unit for measuring

Exam 13: Aggregate Scheduling

In the service sector,which of the following aggregate planning strategies might direct your client to a competitor?

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

Explain the fundamental difference between the "capacity options" and the "demand options" of aggregate planning strategies.

In level scheduling,what is kept uniform from month to month?

Which of the following aggregate planning strategies is known to lower employee morale?

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

Advertising and promotion are methods of manipulating product or service supply in aggregate planning.

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?

An aggregate plan satisfies forecast demand by potentially adjusting all EXCEPT which of the following?

Which of the following aggregate planning options is NOT associated with manipulation of product or service demand?

Under which of the following do planning tasks associated with production planning and budgeting,as well as setting employment,inventory,and subcontracting levels,typically fall?

Which of the following is NOT consistent with level scheduling?

What is the typical planning horizon for aggregate planning?

Aggregate planning would entail which of the following production aspects at BMW for a 12-month period?

List,in order,the five steps of the graphical method of aggregate planning.Is it possible that these steps can be properly followed and the solution properly implemented without using a graph? Explain.

A hotel room that goes unrented,a dental appointment that no patient booked,and an airline seat that went unsold,are all examples of ________ in services.

What four things are needed to develop an aggregate plan?

Operations and Productivity

The Global Environment and Operations Strategy

Managing Projects

Forecasting Demand

Product Design

Quality Management and International Standards

Process Design

Location Decisions

Layout Decisions

Job Design and Work Measurement

Supply Chain Management

Managing Inventory

Material Requirements Planning Mrpand Erp

Scheduling for the Short-Term

Jit,lean Operations,and the Toyota Production System

Maintenance and Reliability Decisions

Sustainability

Statistical Process Control

Capacity Planning

Supply Chain Modeling

Decision Modeling

Linear Programming Models

Transportation Modeling

Queuing Models

Learning Curves

Modeling with Simulation

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