Question 1: In order to make a just-in-time production system work properly, it is necessary to
- maintain large raw materials inventories.
- have raw materials of high quality delivered in large quantities.
- have raw materials of high quality delivered in small quantities.
- maintain a large work-in-process inventory.
Question 2: Which of the following is NOT a disadvantage of the just-in-time manufacturing philosophy?
- Producing in small batches increases the number of machine setups.
- Having lower inventory levels decreases carrying costs.
- Maintaining low levels of inventory can cause the company to miss a sales opportunity.
- Receiving raw materials in small batches increases shipping costs.
Question 3: Which of the following techniques could a manager use to improve the performance of a bottleneck?
- Reducing machine set-up times.
- Purchasing additional machinery.
- Hire more workers.
- All of the above could be used to improve a bottleneck's performance.
Question 4: Which of the following is not a strategic decision?
- The types of products a company should manufacture
- How products should be distributed
- Whether to enter new markets
- Improving machine setup times
Question 5: The first step in implementing the Theory of Constraints is
- improve constraint performance.
- eliminate all constraints.
- identify constraints.
- eliminate bottlenecks.