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web.groovymark@gmail.com
- December 12, 2024
Question 01
What is the difference between ‘push’ and ‘pull’ processes?
a) Push moves products based on anticipated demand; pull reacts to actual demand
b) Push processes aim to minimize inventory, while pull processes stockpile inventory
c) Push is used in service organizations, while pull is used in manufacturing
d) Push focuses on customer interaction, while pull focuses on supplier management
Answer: a) Push moves products based on anticipated demand; pull reacts to actual demand
Explanation: Push processes anticipate future demand, moving products forward, while pull processes only produce what is needed in response to actual demand.
Question 02
What is ‘design capacity’?
a) The expected output under normal operating conditions
b) The maximum output rate achievable under ideal conditions
c) The minimum production rate required to meet demand
d) The maximum number of workers a facility can employ
Answer: b) The maximum output rate achievable under ideal conditions
Explanation: Design capacity refers to the maximum possible output that can be achieved under ideal circumstances without any interruptions or constraints.
Question 03
What does ‘capacity planning’ help organizations achieve?
a) Allocating resources to the highest priority projects
b) Estimating the number of employees needed to meet production goals
c) Identifying the necessary actions to meet future customer demand
d) Scheduling production based on historical data
Answer: c) Identifying the necessary actions to meet future customer demand
Explanation: Capacity planning ensures that organizations can meet current and future demand by planning necessary resources, such as equipment and labor.
Question 04
What is the main objective of ‘capacity requirements planning (CRP)’?
a) To ensure the quality of products meets specifications
b) To calculate the production capacity needed to meet demand
c) To identify potential product failures
d) To plan the distribution of resources across departments
Answer: b) To calculate the production capacity needed to meet demand
Explanation: CRP helps determine if available production capacity is sufficient to meet the demand by analyzing work centers and production schedules.
Question 05
What is the role of ‘external distributors’ in the supply chain?
a) They manage inventory within a company’s facilities
b) They deliver finished goods directly to customers
c) They provide logistics services from third-party vendors
d) They focus on managing internal transportation
Answer: c) They provide logistics services from third-party vendors
Explanation: External distributors, such as third-party logistics providers, help manage the movement of products from manufacturers to consumers.
Question 06
What is the purpose of a ‘feasibility analysis’?
a) To determine the potential for future expansion
b) To evaluate the costs, risks, and benefits of a project
c) To schedule the completion of a project
d) To determine resource requirements for a production process
Answer: b) To evaluate the costs, risks, and benefits of a project
Explanation: A feasibility analysis helps organizations assess whether a project is viable by evaluating the associated costs, risks, and potential benefits.
Question 07
What is ‘forward scheduling’?
a) Scheduling that prioritizes projects with higher revenue potential
b) Scheduling that moves tasks forward to prevent delays
c) Scheduling that determines the earliest possible start date for a task
d) Scheduling based on available labor resources
Answer: c) Scheduling that determines the earliest possible start date for a task
Explanation: Forward scheduling identifies the earliest possible start time for a task, aiming to complete it as soon as possible.
Question 08
What is ‘group technology’?
a) A process that standardizes technology used across departments
b) A method of categorizing similar tasks into groups for efficiency
c) A system that automates all operations in a factory
d) A technique to manage inventory by grouping products
Answer: b) A method of categorizing similar tasks into groups for efficiency
Explanation: Group technology refers to organizing similar tasks or products into groups to improve efficiency in production or manufacturing.
Question 09
What is the primary function of ‘horizontal integration’?
a) Acquiring companies that operate in different industries
b) Merging with suppliers or distributors
c) Acquiring competitors in the same industry
d) Expanding into international markets
Answer: c) Acquiring competitors in the same industry
Explanation: Horizontal integration occurs when a company acquires or merges with another company in the same industry to increase market share.
Question 10
What is the goal of ‘lean systems’ in operations management?
a) To increase the size of the workforce
b) To reduce waste and improve value by streamlining processes
c) To increase inventory to avoid stockouts
d) To reduce the number of suppliers in the supply chain
Answer: b) To reduce waste and improve value by streamlining processes
Explanation: Lean systems aim to eliminate waste and optimize processes to increase efficiency and deliver more value to customers.
Question 11
What is the ‘mean’ in statistical analysis?
a) The middle value in a data set
b) The value that occurs most frequently
c) The average of a data set
d) The difference between the highest and lowest values
Answer: c) The average of a data set
Explanation: The mean is calculated by adding all values in a data set and dividing by the number of values, providing the average.
Question 12
What is the purpose of ‘material requirements planning (MRP)’?
a) To ensure materials are available for production
b) To track employee performance in manufacturing
c) To manage the distribution of finished goods
d) To optimize employee scheduling
Answer: a) To ensure materials are available for production
Explanation: MRP ensures that materials are available when needed, helping companies avoid shortages and production delays.
Question 13
What is a ‘scatter diagram’ used for?
a) To determine project deadlines
b) To identify patterns or relationships between two variables
c) To organize project tasks
d) To track the number of defects in production
Answer: b) To identify patterns or relationships between two variables
Explanation: A scatter diagram helps visualize the correlation between two variables, often used in quality control.
Question 14
What does ‘standard time’ represent in operations management?
a) The actual time workers spend completing a task
b) The time it takes to complete a task under normal conditions
c) The time allowed for workers to take breaks
d) The total number of hours worked per week
Answer: b) The time it takes to complete a task under normal conditions
Explanation: Standard time represents the expected duration for completing a task under normal conditions, often used to measure productivity.
Question 15
What is the ‘execution’ phase in the project life cycle?
a) The phase where project goals are defined
b) The phase where the project is planned and scheduled
c) The phase where project activities are carried out
d) The phase where the project is reviewed for improvements
Answer: c) The phase where project activities are carried out
Explanation: The execution phase involves performing the tasks necessary to achieve the project's objectives, based on the project plan.
Question 16
What is ‘vertical integration’?
a) A company acquiring a competitor in the same industry
b) A company expanding into unrelated markets
c) A company acquiring its suppliers or distributors
d) A company investing in research and development
Answer: c) A company acquiring its suppliers or distributors
Explanation: Vertical integration involves acquiring companies along the supply chain, such as suppliers or distributors, to gain more control over production and distribution.
Question 17
What does ‘process velocity’ measure?
a) The speed at which employees complete tasks
b) The amount of time it takes for a product to go through a system
c) The frequency of production errors
d) The number of processes completed per day
Answer: b) The amount of time it takes for a product to go through a system
Explanation: Process velocity refers to the total time it takes for a product to move through the production system, from start to finish.
Question 18
What is ‘finite loading’ in scheduling?
a) Scheduling without limits on capacity
b) Scheduling based on available capacity at work centers
c) Scheduling to maximize the use of all available resources
d) Scheduling with no regard for resource constraints
Answer: b) Scheduling based on available capacity at work centers
Explanation: Finite loading schedules tasks based on the actual available capacity, ensuring that work centers are not overloaded.
Question 19
What does ‘effective capacity’ represent?
a) The maximum output under ideal conditions
b) The realistic output that can be achieved under current conditions
c) The minimum required output to meet demand
d) The total capacity of a company’s resources
Answer: b) The realistic output that can be achieved under current conditions
Explanation: Effective capacity is the output a company expects to achieve under real-world constraints, such as labor or equipment limitations.
Question 20
What is a ‘control chart’ used for in quality management?
a) To track employee attendance
b) To monitor the production process and ensure it remains within acceptable limits
c) To compare the performance of different departments
d) To calculate the cost of production defects
Answer: b) To monitor the production process and ensure it remains within acceptable limits
Explanation: A control chart helps track whether a production process is stable and within the expected range of variation, identifying potential issues.