Industrial Engineering
Textbook Exam Questions
Course Introduction
Industrial Engineering is a multidisciplinary field focused on the optimization of complex systems, processes, and organizations by integrating people, materials, information, equipment, and energy. This course introduces students to the foundational principles and methodologies of industrial engineering, including operations research, production planning, quality control, facility layout, human factors engineering, and supply chain management. Emphasis is placed on problem-solving, process improvement, and decision-making techniques that increase efficiency and productivity in manufacturing and service environments. Students will gain skills in data analysis, systems design, and project management, preparing them for innovative roles in diverse industries.
Recommended Textbook Operations Management 5th Canadian Edition by William J. Stevenson
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Chapter 1: Introduction to Operations Management
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Sample Questions
Q1) The impact of globalization for manufacturing companies has been reduced reliance on long international supply chains because of the increasing cost to ship components and finished goods to foreign markets.
A)True
B)False
Answer: False
Q2) Which of the following is not a general approach to decision-making?
A) Establishing priorities
B) Subjective approach
C) Analysis of trade-offs
D) Systems approach
E) Quantitative approaches
Answer: B
Q3) The Human Relations Movement,which emphasized the importance of the human element in job design,was replaced by the more technical aspects of Scientific Management.
A)True
B)False
Answer: False
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Page 3
Chapter 2: Competitiveness, Strategic Planning, and Productivity
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Sample Questions
Q1) Vertical integration refers to the ownership of a major part or the whole of the supply chain.
A)True
B)False
Answer: True
Q2) Product variety is an example of:
A) a generic operations strategy.
B) operations infrastructure.
C) a process type.
D) a dimension of flexibility.
E) a key purchasing criteria.
Answer: E
Q3) Which of these factors affects productivity?
A) Methods and management
B) Capital equipment
C) Technology
D) Labour
E) All of the choices are true.
Answer: E
Page 4
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Chapter 3: Demand Forecasting
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Sample Questions
Q1) When error values fall outside the limits of a control chart,this signals a need for corrective action
A)True
B)False
Answer: True
Q2) Which is not a characteristic of simple moving averages applied to time series data?
A) Smooths random variations in the data
B) Weights each historical value equally
C) Lags changes in the data
D) Has minimal reliance on historical data
E) Smooths real variations in the data
Answer: D
Q3) Forecasts are rarely perfect.
A)True
B)False
Answer: True
Q4) What are this and next year's forecasts using the least squares trend line for these data?
Answer: 62; 69
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Chapter 4: A: Product Design
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Sample Questions
Q1) Ideas for new or improved designs can come from:
A) customers.
B) competitors.
C) research and development departments.
D) employees.
E) all of the choices are correct.
Q2) "Concurrent engineering" brings people concerned with manufacturing into the design phase earlier than in the "throw-over-the-wall" approach.
A)True
B)False
Q3) Design for Environment (DFE)stipulates product packaging should be biodegradable rather than re-used.
A)True
B)False
Q4) Internal research and development efforts are the primary source of ideas for new products for all business organizations.
A)True
B)False
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Chapter 4: B: Product Design
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Sample Questions
Q1) A life monitoring system can operate an average of 15 months between failures.Determine these probabilities:
(i)a failure within 12 months of the previous failure
(ii)a failure between 12 and 18 months after the previous failure
Q2) The Readylite Company produces a flashlight which is perfectly reliable except for two components: the battery,which has a random failure rate of one in every five hours of operation; and the light bulb,which has a random failure rate of three in every ten hours.If the company includes a backup light bulb with each flashlight,what is the probability that the flashlight will perform reliably for one hour (excluding light bulb replacement time,if any)?
A) 0.6720
B) 0.7280
C) 0.8736
D) 0.9100
E) 0.9600
Q3) A component in a product can be considered an "independent" component if it has no relation to whether any other component in the product functions or not.
A)True
B)False
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Chapter 5: A: Strategic Capacity Planning
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Sample Questions
Q1) If,for this machine,design capacity is 50 cords per day,effective capacity is 40 cords per day,and actual output is anticipated to be 35 cords per day,what would its utilization be?
A) 100%
B) 80%
C) 75%
D) 70%
E) 0%
Q2) The efficiency of a productive unit is 60%.The unit produces an average of 20 forklift trucks per day.Determine the effective capacity of the unit.
Q3) Among the assumptions of break-even analysis is that the variable cost per unit remains the same regardless of quantity of output.
A)True
B)False
Q4) Facilities are a major factor influencing effective capacity. A)True
B)False
Q5) What are total costs for the break-even quantity?
Q6) What profit (loss)would there be for a quantity of 27,000?
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Chapter 5: B: Strategic Capacity Planning
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Sample Questions
Q1) The head of operations for a movie studio wants to determine which of two new scripts they should select for their next major production.(Due to budgeting constraints,only one new picture can be undertaken at this time.)She feels that script #1 has a 70 percent chance of earning about $10,000,000 over the long run,but a 30 percent chance of losing $2,000,000.If this movie is successful,then a sequel could also be produced,with an 80 percent chance of earning $5,000,000,but a 20 percent chance of losing $1,000,000.On the other hand,she feels that script #2 has a 60 percent chance of earning $12,000,000,but a 40 percent chance of losing $3,000,000.If successful,its sequel would have a 50 percent chance of earning $8,000,000,but a 50 percent chance of losing $4,000,000.Of course,in either case,if the original movie were a "flop",then no sequel would be produced.What is the probability that script #1 will be a success,but its sequel will not?
A) .8
B) .7
C) .56
D) .2
E) .14
Q2) Decision trees are analyzed from left to right.
A)True
B)False
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Chapter 6: A: Process Design and Facility Layout
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Sample Questions
Q1) If the consultant were to locate departments W,C,L,and E in areas I,II,III,and IV,respectively,what would be total weekly costs?
A) $114
B) $217
C) $255
D) $322
E) $366
Q2) Which of the following is not usually true about process layouts?
A) They involve frequent adjustments to equipment.
B) There is a discontinuous work flow.
C) Variable-path material-handling equipment is used.
D) Highly specialized equipment is used.
E) Workers are usually skilled.
Q3) A disadvantage of automation is that it tends to increase variable costs for repetitive operational tasks.
A)True
B)False
Q4) What is the maximum sensible cycle time?
Q5) What is the total flow between departments B and D?
Q6) What is the distance from area 3 to area 1?
Page 10
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Chapter 6: B: Process Design and Facility Layout
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Sample Questions
Q1) The simplex method is an LP algorithm that can be used for solving only large-scale problems.
A)True
B)False
Q2) The linear optimization technique for allocating constrained resources among different products is:
A) linear regression analysis.
B) linear disaggregation.
C) linear decomposition.
D) linear programming.
E) linear tracking analysis.
Q3) Consider the linear programming problem below: Minimize Z = $2x + $8y
Subject to:
(i)8x + 4y³ 64
(ii)2x + 4y³ 32
(iii)y³ 2
Determine the optimum amounts of x and y in terms of cost minimization.What is the minimum cost?
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Chapter 7: A: Design of Work Systems
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Sample Questions
Q1) The establishment of a Workplace Hazardous Materials Information System (WHMIS)gives workers the right to refuse dangerous work.
A)True
B)False
Q2) When performing a time study,"normal time" is calculated by converting the observed time into the time an "average" worker would require working at an acceptable pace by using which of the following?
A) Allowance factors
B) Methods-time measurements (MTM)
C) Methods analysis
D) Performance ratings
E) Summing basic elementary motions
Q3) An advantage of work sampling,compared to a stopwatch time study is that,the observations can be spread out over a period of time in work sampling.
A)True
B)False
Q4) The primary objective of work/job design is to improve efficiency.
A)True
B)False
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Chapter 7: B: Design of Work Systems
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Sample Questions
Q1) If an 80% curve is appropriate for a task and the first unit takes ten hours,the average time for the first two units would be eight hours.
A)True
B)False
Q2) One use of learning curves is for negotiated purchasing.
A)True
B)False
Q3) A company is preparing a bid on a government contract for 40 units of a certain product.The operations manager estimates the assembly time required for the first two units to be 10.4 hours and 8.8 hours,respectively.Which unit,if any,will require approximately one-half the time of the first unit?
A) 18<sup>th</sup> unit
B) 19<sup>th</sup> unit
C) 20<sup>th</sup> unit
D) 21<sup>st</sup> unit
E) 22<sup>nd</sup> unit
Q4) Learning curves are mostly relevant for routine,repetitive activities.
A)True
B)False
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Chapter 8: A: Location Planning and Analysis
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Sample Questions
Q1) Corruption in foreign locations can generally be viewed as an advantage in attracting companies to Canada.
A)True
B)False
Q2) What is the composite score for location A?
A) 69
B) 72
C) 75
D) 79
E) 82
Q3) For what range of output would you prefer site B?
Q4) What are total costs for site B for a quantity of 5,000 units per year?
Q5) For agricultural companies,locating close to raw materials is typically a necessity.
A)True
B)False
Q6) Taxes are an example of a community-related factor in location decisions.
A)True
B)False
Q7) For what quantity would you be indifferent between selecting site A or site B?
Page 14
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Chapter 8: B: Location Planning and Analysis
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Sample Questions
Q1) Which of the following is the information needed to use the transportation model?
I.A list of the origins and each one's capacity per period.
II.A list of the destinations and each one's demand per period.
III.The unit cost of shipping items from each origin to each destination.
A) I only
B) II only
C) III only
D) II and III only
E) I, II, and III
Q2) The transportation model method for evaluating location alternatives minimizes:
A) the number of sources.
B) the number of destinations.
C) the number of alternatives.
D) the total demand.
E) the total shipping cost.
Q3) The transportation model assumes one mode of transport between each origin and destination.
A)True
B)False
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Chapter 9: Management of Quality
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Sample Questions
Q1) A control chart is a visual representation of the key steps in a process.
A)True
B)False
Q2) Which of the following are key elements of Deming's beliefs?
I.Implementing mass inspection whereby all output is checked for quality problems.
II.The need to reduce variation in output.
III.Motivate workers using numerical quotas based on work standards.
A) II only
B) I and II
C) II and III
D) I, II, and III
E) I only
Q3) All the dimensions of quality are equally important to the customer.
A)True
B)False
Q4) Typically a key distinction between quality circles and continuous improvement teams is the amount of authority given to each group.
A)True
B)False
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Chapter 10: A: Statistical Quality Control
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Sample Questions
Q1) If the process proportion of defectives is unknown,what is the alpha risk (probability of Type I error)for upper and lower control limits of .115 and .085 respectively? .13 and .07? .145 and .055?
Q2) If he uses upper and lower control limits of 520 and 480 hours,what is his risk (alpha)of concluding service life is out of control when it is actually under control (Type I error)?
A) 0.0026
B) 0.0456
C) 0.3174
D) 0.6826
E) 0.9544
Q3) Statistical process control is based on comparing periodic samples from a process to predetermined limits.
A)True
B)False
Q4) Design specifications are equivalent to control limits.
A)True
B)False
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Chapter 10: B: Statistical Quality Control
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Sample Questions
Q1) Inspection both before and after production involves acceptance sampling procedures.
A)True
B)False
Q2) Sampling plans typically specify:
A) lot size.
B) sample size.
C) number of samples to be taken.
D) acceptance/rejection criteria.
E) sample size, number of samples to be taken, and acceptance/rejection criteria.
Q3) The average outgoing quality (AOQ)assumes that lots contain some given proportion defective.
A)True
B)False
Q4) Acceptance sampling is a form of inspection applied to items that are part of an ongoing process.
A)True
B)False
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Chapter 11: Supply Chain Management
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Sample Questions
Q1) The purchasing cycle ends when the purchasing department is notified that:
A) an order has been placed.
B) potential suppliers have been identified.
C) the supplier has been paid.
D) the supplier has been selected.
E) the order has been received.
Q2) The primary factors of importance to purchasing are the cost of goods purchased,the quality of goods and services,and the timing of deliveries of goods or services.
A)True
B)False
Q3) Disintermediation involves terminating the relationship with a supplier as a result of repeated failures to meet performance expectations.
A)True
B)False
Q4) An advantage of the use of e-commerce for supply chain management is that companies can collect more detailed information about clients' choices.
A)True
B)False
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Chapter 12: Inventory Management
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Sample Questions
Q1) Suppose that usage of cooking oil at Harry's Fish Fry is normally distributed with an average of 15 gallons/day and a standard deviation of two gallons/day.Harry has just fired the manager and taken over operating the restaurant himself.Harry has asked you to help him decide how to reorder cooking oil in order to achieve a service level which is seven times the risk of stock out (7/8).Lead time is eight days.
(i)If cooking oil can be ordered as needed,what reorder point should be used?
(ii)If a fixed interval of 30 days is specified,how much safety stock should Harry hold?
Q2) In a single period model,if shortage and excess costs are equal,then the optimum service level is:
A) 0
B) .33
C) .50
D) .67
E) none of these
Q3) A two-bin system for inventory control eliminates the need for perpetual inventory tracking.
A)True
B)False
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Chapter 13: Aggregate Operations Planning
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Sample Questions
Q1) Which of the following best describes aggregate operations planning?
A) Linking long term capacity decisions with intermediate term production
B) Integrating several planning techniques to develop an MPS
C) An operations plan to support sales forecasting
D) Using predicted demand to plan the general levels of employment, output, and inventories required
E) An employee scheduling technique
Q2) Aggregate operations planners balance actions that influence:
A) demand and inventories.
B) demand and costs.
C) capacity and inventories.
D) capacity and costs.
E) capacity and demand.
Q3) An advantage of a "chase" strategy in aggregate operations planning is that inventories can be kept relatively low.
A)True
B)False
Q4) Backorders can be thought of as negative inventory.
A)True
B)False
Page 21
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Chapter 14: Material Requirements Planning and Enterprise
Resource Planning
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Sample Questions
Q1) The MRP requires a list of the individual parts that will be converted to finished goods.
A)True
B)False
Q2) An assembly-time chart indicates gross and net requirements.
A)True
B)False
Q3) For relatively stable situations,a net-change MRP is better suited than using regenerative MRP.
A)True
B)False
Q4) ERP automates the tasks involved in performing a business process,such as order fulfilment and financial reporting.
A)True
B)False
Q5) Load reports compare planned capacity requirements with projected capacity and availability.
A)True
B)False
Page 22
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Chapter 15: A: Just-In-Time and Lean Production
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Sample Questions
Q1) Setup time and cost can often be reduced by the use of group technology.
A)True
B)False
Q2) A visual tool consisting of process flow diagrams that includes information flows and the activity times refers to:
A) value stream mapping.
B) kanban control.
C) the 5S principles.
D) push analysis.
E) pull analysis.
Q3) Which of the following is not true about worker/management roles and relations for JIT?
A) Stress on workers is reduced by requiring less of them.
B) Workers are considered a key asset of a JIT system.
C) Two way communication between workers and management is encouraged.
D) Employees are empowered in selecting and using methods.
E) All of the choices are true.
Q4) Reductions in setup time are necessary to make a JIT system feasible.
A)True
B)False
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Chapter 15: B: Just-In-Time and Lean Production
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Q1) Breakdown maintenance includes activities such as equipment inspection and adjustment.
A)True
B)False
Q2) The goal of maintenance is to maintain the productive system in good working order at minimum costs.
A)True B)False
Q3) Ideally,preventive maintenance will be performed just prior to a breakdown or failure.
A)True
B)False
Q4) The type of maintenance which is reactive in nature is:
A) breakdown maintenance.
B) predictive maintenance.
C) preventive maintenance.
D) total productive maintenance.
E) reliability-centered maintenance.
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Chapter 16: Job and Staff Scheduling
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Sample Questions
Q1) What is the idle time at machine B for the optimum schedule?
Q2) A major reason for scheduling difficulty is variability in setup times,processing times,interruptions,and changes in the set of jobs.
A)True
B)False
Q3) What is the idle time at the paint work centre for the optimal schedule?
A) 1 hour
B) 2 hours
C) 4 hours
D) 7 hours
E) 10 hours
Q4) In developing the sequence that will minimize make-span,where in the schedule sequence should the job W be placed?
Q5) Splitting a large lot at one or more operations after a bottleneck operation would reduce the waiting time of the bottleneck operation.
A)True
B)False
Q6) What is the make-span for the optimum schedule?
Q7) When does idle time occur at machine B for the optimum schedule?
Page 25
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Chapter 17: Project Management
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Q1) The advantage(s)the PERT/CPM technique has over a Gantt chart is (are):
A) its ability to reveal relationships among activities.
B) it illustrates multiple paths as a project network.
C) it indicates which activities are most critical.
D) it indicates the implications of delays in activities.
E) all of the choices are correct.
Q2) What is the estimated expected (mean)duration for activity D?
A) 32 days
B) 41 days
C) 44 days
D) 42 days
E) 40 days
Q3) What is the estimated expected (mean)duration for project completion?
A) 160 days
B) 170 days
C) 200 days
D) 210 days
E) 300 days
Q4) What is the estimated standard deviation (in weeks)for the critical path completion time?
Page 26
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Chapter 18: A: Waiting-Line Analysis
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Q1) Customers filter into a record shop at an average of 1 per minute (Poisson)where the service rate is 15 per hour (Poisson).
Determine the following:
(i)the average number of customers in the system with 8 servers
(ii)the minimum number of servers needed to keep the average time in the system to less than 6 minutes
Q2) The goal of queuing analysis is to minimize:
A) the sum of customer waiting costs and costs of providing capacity.
B) the sum of customer waiting time and service time.
C) costs of providing capacity.
D) customer waiting time.
E) none of the choices.
Q3) A single phase queuing system is one which has a single:
A) type of customer (homogeneous).
B) server.
C) customer being served.
D) operational step.
E) time all customers wait.
Q4) What is average time in line for a high priority item?
Q5) What is average time in the system for a high priority item?
Page 27
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Chapter 18: B: Waiting-Line Analysis
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Q1) An analyst wants to simulate observations from a Normal distribution that has a mean of 41 and a standard deviation of 3.The analyst draws a random number from a normally distributed table of random numbers.The random number is -2.00.The simulated value is:
A) 31
B) 35
C) 38
D) 43
E) none of the choices are correct.
Q2) A Uniform distribution has end points of 40 and 90.A random number of 20 from a two-digit random number table equates to a simulated value of 50.
A)True
B)False
Q3) Simulation is basically a technique which is used for:
A) optimizing.
B) testing solutions.
C) cost minimizing.
D) using random numbers.
E) heuristic problem solving.
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