Production and Operations Management 9

Objective Questions and Answers of MBA: Production and Operations Management 9

Subject: Objective Questions and Answers of MBA: Production and Operations Management 9

Part 9: Objective questions and answers of Production and Operations Management

 

Q1. The master production schedule is the schedule of production for what level product/material?

a) Level 0

b) Level 1

c) Level 2

d) Level 3

 

Q2. The work measurement method that is not usually used for setting standards for repetitive a well-defined job is:

a) The elemental standard data approach

b) The predetermined data approach

c) The time study method

d) The work sampling method

 

Q3. Which is not an advantage of specialization?

a) Upstream and downstream quality control

b) Rapid training

c) Ease of recruiting

d) No education required

 

Q4. Which of the following are reasons why an allowance should be added to determine the standard time?

a) Unavoidable delay

b) Rest period

c) Fatigue

d) All of the above

 

Q5. Which is not a disadvantage of specialization?

a) Boredom

b) Little opportunity to progress

c) Low cost to replace a worker

d) Limited flexibility to change the process

 

Q6. Assume that a normal cycle time for a set of transactions is 35 seconds and an allowance rate for fatigue is 15%. Determine the hourly transaction-processing rate based on the standard time in seconds for each lottery transaction.

a) 90

b) 103

c) 716

d) None of the above

 

Q7. Work measurement sets time standards that are necessary for all of the following reasons except:

a) To schedule work and allocate capacity

b) To scare employees

c) To provide an objective basis for motivation

d) To bid for new contracts

 

Q8. The work measurement method that eliminates the need for time studies is:

a) The predetermined data approach

b) The work sampling method

c) The elemental standard data approach

d) The time study method

 

Q9. Disadvantages of the predetermined data approach include:

a) The reduction of the sources of error inherent in time studies

b) The ability to set standards for new jobs before production begins

c) The reduction of the need for performance ratings

d) The need to break work into micro motions

 

Q10. Which of the following is not a trend in job design?

a) Temporary workers

b) 9 to 5 scheduling

c) Alternative workplaces (telecommuting, shared offices, etc.)

d) Automation of manual work

 

Q11. One use of inventory is

a) To ensure that item cost is maximized.

b) To tightly link production and distribution processes.

c) To provide a hedge against inflation.

d) To tightly link a firm's production with its customers' demand.

 

Q12. Inventory carried for the purpose of providing flexibility to each decision-making unit to ‘manage its operations independently is known as

a) Safety inventory

b) Cycle inventory

c) Seasonal inventory

d) Decoupling inventory

 

Q13. A system that triggers ordering on a uniform time basis is called a

a) Fixed-quantity system.

b) Reorder point system.

c) Fixed-period system.

d) Eoq.

 

Q14. Extra units that are held in inventory to reduce stock outs are called

a) Just-in-time inventory.

b) Reorder point.

c) Demand variance.

d) Safety stock.

 

Q15. In the probabilistic model, increasing the service level will

a) Cannot be determined.

b) Have no impact on the cost of the inventory policy.

c) Increase the cost of the inventory policy.

d) Reduce the cost of the inventory policy.

 

Q16. Policies based on ABC analysis might include investing

a) More in inventory security for c items.

b) More in supplier development for a items.

c) The most time and effort verifying the accuracy of records for b items.

d) Extra care in forecasting for c items.

 

Q17. The two most important inventory-based questions answered by the typical inventory model are

a) When to place an order and what is the cost of the order.

b) When to place an order and how many of an item to order.

c) How many of an item to order and with whom the order should be placed.

d) How many of an item to order and what is the cost of this order.

 

Q18. Centralized system will provide benefits for the items which

a) Are fast-moving

b) Are slow moving and have high demand variability

c) Have low demand variability

d) Have high demand variability

 

Q19. The inventory which is dependent on alternative modes of transportation is known as

a) Safety inventory

b) Pipeline inventory

c) Decoupling inventory

d) Seasonal inventory

 

Q20. Inventory record accuracy would be decreased by

a) Abc analysis.

b) Increasing stockroom accessibility.

c) Cycle counting.

d) Reorder points.

 

Part 9: Objective questions and answers of Production and Operations Management

 

Q1. Answer a

 

Q2. Answer d

 

Q3. Answer a

 

Q4. Answer d

 

Q5. Answer c

 

Q6. Answer a

 

Q7. Answer b

 

Q8. Answer a

 

Q9. Answer d

 

Q10. Answer b

 

Q11. Answer a

 

Q12. Answer d

 

Q13. Answer c

 

Q14. Answer d

 

Q15. Answer c

 

Q16. Answer b

 

Q17. Answer b

 

Q18. Answer b

 

Q19. Answer b

 

Q20. Answer b