BUS 515 Rev 12

  1. In what area does General Motors earn its highest return on capital?
    selling cars
    selling logo merchandise
    financing
    selling racing
    post-sales parts and
    service
  2. A key feature of scientific management is that workers are limited only by
    ______.
    machiner
    y
    co-workers
    their job description
    their tools
    their physical
    ability
  3. Decisions regarding which of the following are not part of the production
    process structure?
    management
    policies
    facilitie
    s
    robots
    flow of goods and services through the facility
    flexible manufacturing system (FMS) machines
  4. Suppose that a plant has a daily productivity of 0.85 parts per employee?
    What can we conclude?
    the plant must be very labor-intensive
    the plant is not earning profits
    the plant must be highly automated
    the plant should lay off workers
    nothin
    g
  5. Highly labor intensive services are called _ .
    pure
    services
    mixed
    services
    mixed
    manufacturing
    quasimanufacturing
    quasiservices
  6. What is a type of automation system that provides the
    flexibility of intermittent operations with the efficiency of repetitive
    operations?
    CA
    D
    AG
    V
    AS/RS
    FM
    S
    CA
    M
  7. Which of the following is not an argument in favor of having multiple
    suppliers?
    The Just-in-time philosophy can be better
    utilized.
    Supplier capacity is less important.
    Volume flexibility is obtained.
    Risks may be spread.
    New suppliers may more easily be tested.
  8. A constant concern within purchasing departments is the issue of ethics in
    managing ___.
    customer
    s
    web
    sites
    inventor
    y
    supplier
    s
    entry-level
    employees
  9. Increases in international trade during the 1980s created a need for the
    development of __ standards of quality.
    universa
    l
    countryspecific
    lowe
    r
    metri
    c
    bilingua
    l
  10. For a cause-and-effect diagram, causes could be related to all of the
    following except
    Analysi
    s
    Material
    s
    Measurement
    s
    Machine
    s
    Workers
  11. What are preset ranges of acceptable quality characteristics?
    Control limits.
    Product
    specifications.
    Six-sigma limits.
    AQC limits.
    R-chart limits.
  12. What measures the central tendency of a set of data?
    Coefficient of
    variation
    Variance
    Standard deviation
    Mea
    n
    Rang
    e
  13. Causes of variation that can be identified and eliminated are called what?
    Rando
    m
    Assignabl
    e
    Identifiable
    Stochasti
    c
    Commo
    n
  14. What are the two types of control charts for attributes?
    p and
    c
    x-bar and p
    x-bar and R
    R and c
    p and R
  15. The Six Sigma approach is organized around a plan known as
    _
    .
    four step, PDAC
    four step, DMAC
    five step PDACR
    five step DMAIC
    five step, DMCRA
  16. With JIT a company’s relationship with its suppliers includes
    Competitive
    bidding
    Being in partnership with
    them
    Buying parts from the cheapest supplier
    Short-term relationships
    Having as many suppliers as possible
  17. Quality in just-in-time is centered on building quality into the
    Product
    Maintenance of
    equipment
    Proces
    s
    Distribution system
    Workforce
  18. What is the term for an adjustment of a machine after making one product
    type so that production can begin for another product type?
    Level assembly
    schedule
    Group
    technology
    Setu
    p
    Cycle
    time
    Automatio
    n
  19. One of the greatest benefits of JIT would be
    increasing waste and improving
    responsiveness
    longer lead times and increased
    productivity
    decreased machine utilization and improved
    quality
    competing based on
    schedules
    eliminating waste, improving responsiveness and competing based on
    time
  20. The role of production employees in JIT includes all of the following except
    Be actively engaged in improving the production
    process
    Monitor
    quality
    Record data
    Follow clearly defined and limiting work
    rules
    Act on the information they have
  21. The OM supervisor informs you, the researcher, that the data has a large
    standard deviation. What data pattern would you expect to observe once you generated a
    time series trend?
    horizonta
    l
    seasona
    l
    positive/negative trend
    cycl
    e
    insufficient information to derive a valid
    response
  22. Which of the following is a causal forecasting method?
    Naïv
    e
    Moving
    average
    Weighted moving
    average
    Trend adjusted exponential smoothing
    Linear
    regression
  23. What does the linear regression line do?
    Minimizes sum of errors
    Minimizes product of squared errors
    Minimizes sum of squared
    errors
    Minimizes product of errors
    Minimizes sum of absolute value of errors
  24. Qualitative forecasting methods
    are made objectively by the forecaster
    are made subjectively by the
    forecaster
    are made using existing data sources
    are based on mathematical
    models
    are only used in parallel with quantitative models
  25. Suppose that you are using the four-period simple moving average method
    to forecast sales, and sales have been decreasing by 10% every period. How will your
    forecasts perform?
    Forecasts will be lower than actual.
    Forecasts will be higher than
    actual.
    Forecasts will equal actual.
    Forecasts will be increasing.
    Forecasts will be decreasing by 2.5% every period.