1
Which of the following is one of the major types of stakeholders impacted by most consulting projects?
Board of directors
International government regulators
Suppliers
Other consultants
2
Which of the following are possible examples of cycle times?
Time to set up a new assembly line
Time required to produce a batch of parts
Time it takes for an instructor to grade an exam
Time that a part waits in queue
3
Which of the following operations consulting tools provide summary performance updates for specific processes and are generally presented in graphical form with color-coding of trend lines and alarms?
Decision trees
Stakeholder analysis
Responsibility charts
Process dashboards
4
To implement a flow process in developing a lean system, a firm might do which of the following?
Build product in anticipation of demand
Reduce setup/changeover time
Eliminate some fixed costs
Improve capacity utilization
5
What is the term that refers to "the fundamental rethinking and radical redesign of business processes to achieve dramatic improvements in critical, contemporary measures of performance, such as cost, quality, service, and speed" (as cited in Jacobs & Chase, 2011, p. 461).
Operations consulting process
Continuous improvement
TQM
Reengineering
6
In contrast to TQM, what approach seeks radical change through innovation?
Project management
Reengineering
Lean manufacturing
JIT distribution
7
Lean production seeks to achieve high volume production using which of the following?
Minimize utilization
Minimize inventory of raw materials
Maximize inventory of work-in-process
Maximize capacity
8
Which of the following is a key metric associated with value stream mapping?
Product demand
Defects per million operations
Lead time
Fixed costs
9
Which of the following is a factor that causes a diseconomy of scale?
Increased product value and prices
Increased transportation costs
Increased total operating costs
Increased utilization
10
The basic notion of economies of scale assumes which of the following?
Two plants can be operated at the same cost as a single plant
A piece of equipment with twice the capacity of another piece typically costs twice as much to purchase and to operate
Total cost of output drops as volume increases
Average cost per unit of output drops as a plant gets larger and volume increases
11
In the pull system, which of the following is the partner that begins the process of pulling?
Customers
Vendors
Executive management
Quality control personnel
12
Which of the following production process terms best describes a stage in a multiple-stage process that limits the capacity of the overall process?
Blocking
Starving
Bottleneck
Buffer
13
Which of the following is a principle of reengineering?
Treat geographically dispersed resources as though they were centralized
Capture information many times, at the source and where it is interpreted
Organize around the tasks
Integrate the outcomes of parallel activities
14
According to Little's law, which of the following can be used to estimate inventory?
Process time times cycle time
Throughput rate times flow time
Set up time times throughput rate
Process velocity times flow time
15
If the run time for a batch of parts is 25 minutes on a machine, and the setup time is 75 minutes, which of the following is the operation time?
100 minutes
75 minutes
3 minutes
25 minutes
16
In setting up a kanban control system, you need to determine the number of kanban card sets needed. If the average number of units demanded is 1,000 per hour, the lead time to replenish the order for this item is 10 hours, the container size is 5 units, and the safety stock is estimated to be 5% of the expected demand, what is the number of kanban card sets needed?
210
2,100
440
1,050
17
Which of the following production process terms best describes the situation when activities in a stage of production must stop because there is no work?
Multiple-stage processing
Blocking
Buffering
Starving
18
An advantage of a make-to-stock process is which of the following?
Rapid delivery of a standard product
It allows the firm to avoid inventory costs
It responds directly to customer orders
All units of output are unique
19
Which of the following terms refers to a special type of flowcharting tool that is valuable for the development of lean processes?
Kanban production control system
Value stream mapping
JIT production
Kaizen
20
Which of the following is a situation that likely will yield economies of scale?
Factory that fully utilizes dedicated resources for information technology, material handling, and administrative support
Factory that produces low volume, customized products
Large factory with dedicated capacity that is able to produce twice the number of units as locally demanded
Company with factories in multiple countries that produces products for local demand
21
Which of the following operations consulting tools are used in the cost impact and payoff analysis stage in the operations consulting process?
Customer surveys and gap analysis
SPC tools and bottleneck analysis
Plant audits and statistical tools
Decision trees and stakeholder analysis