Management 300 - Read each question carefully and circle the best answer.
1. True or False: The purchasing cycle is a series of steps that begin with a request for purchase and end with notification of shipment received in satisfactory condition.
2. True or False: The four elements of product design that are important for a lean production system are standard parts, modular design, highly capable production systems with quality built in, and concurrent engineering.
3. True or False: The most progressive approach to quality assurance is with process control, which is inspection and corrective action during production.
4. True or False: A PERT chart is used as a visual aid for loading scheduling purposes.
5. True or False: A time fences are points in time that separate phases of a master schedule planning horizon.
6. True or False: True or False: Bill of Materials (BOM) is one of the three primary inputs of MRP.
7. True or False: Safety stock is when the quantity on hand of an item drops to this amount, forcing a reorder.
8. True or False: Logistics is the movement of materials, services, cash, and information in a supply chain.
9 True or False: Many of the terms in conjunction with lean operations such as Muda and Kanban were developed by Japanese car manufacturer Nissan.
10. True or False: The different types of inventory include raw materials and purchased parts, partially completed goods or works in progress, finished goods, maintenance and repair inventory, and goods in transit.
11. True or False: The term crash refers to a breakdown in a production line.
12. True or False: MRP is a methodology that translates master schedule requirements for end items into time-phased requirements for subassemblies, components, and raw materials.
13. True or False: RFID is an acronym that stands for Radio Frequency Information.
14. True or False: Three commonly used terms refer to the variability of process output: specifications, process variability, and process capability.
15. True or False: ERP is an acronym for enterprise resource processing.
16. True or False: Housekeeping is maintaining equipment in good operating condition and replacing parts that have a tendency to fail before they actually do.
17. True or False: A project champion is a person who promotes and supports a project.
18. True or False: Cross-docking is a technique whereby goods arriving at a warehouse from a supplier are unloaded from the supplier's truck and loaded onto outbound trucks, thus avoiding warehouse storage.
19. True or False: A periodic inventory system keeps track of removals from inventory continuously, thus monitoring current levels of each item.
20. True or False: The control process for effective quality control requires the following steps: define, measure, compare, evaluate correct, and monitor results.
21. True or False: Level capacity strategy is matching capacity to demand; the planned output for a period is set at the expected demand for that period.
22. True or False: The bullwhip effect is the speed at which goods move through a supply chain.
23. True or False: Inventory costs include purchase cost, holding or carrying costs, ordering costs, setup costs, and shortage costs.
24. True or False: The six key managerial decisions of project management are deciding which projects to implement, selecting the project manager, selecting the project team, planning and designing the project, managing and controlling project resources, and deciding if and when a project should be ended.
25. True or False: Inventory turnover is the ratio of annual cost of goods sold to average inventory investment.