Supply Chain Management
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Course Introduction
Supply Chain Management explores the effective coordination and integration of all activities involved in sourcing, procurement, conversion, and logistics management within and across companies. The course covers the strategic role of supply chains, key processes such as demand forecasting, inventory management, transportation, and distribution, as well as the impact of globalization and technology on supply chain performance. Students will examine real-world case studies, learn about supplier relationship management, risk mitigation, and sustainability, and develop analytical skills to address current challenges in the field.
Recommended Textbook operations management 5th edition by r. dan reid
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Page 2
Chapter 1: Introduction to Operations
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Sample Questions
Q1) Companies that have low customer contact and are capital intensive,yet provide a service,are called service factories.
A)True
B)False
Answer: False
Q2) The Internet developed from a government network called ARPANET,which was created in 1969 by _____.
A)Japanese scientists
B)the EPA
C)the U.S.Defense Department
D)NSF
E)ISO
Answer: C
Q3) At a factory,the transformation process is the physical change of raw materials and components into products.
A)True
B)False
Answer: True
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Chapter 2: Operations Strategy and Competitiveness
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Q1) Suppose that in year 1 a company produced $100 Million worth of outputs while inputs totaled $50 Million.For which of the following values in year 2 would productivity decrease?
A)outputs = $90 Million,inputs = $50 Million
B)outputs = $400 Million,inputs = $200 Million
C)outputs = $250 Million,inputs = $100 Million
D)outputs = $50 Million,inputs = $25 Million
E)outputs = $60 Million,inputs = $25 Million
Answer: A
Q2) Last month a plant produced 10,000 units using 2000 labor hours.This month it produced 12,000 units using 3000 labor hours.What is the percent productivity decrease?
A)200%
B)100%
C)50%
D)25%
E)20%
Answer: E
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4
Chapter 3: Product Design and Process Selection
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Sample Questions
Q1) Which product and service strategy is typically seen in repetitive operations?
A)assemble-to-deliver
B)make-to-stock
C)assemble-to-order
D)make-to-order
E)make-to-package
Answer: B
Q2) Design standardization refers to the use of common and interchangeable parts.
A)True
B)False
Answer: True
Q3) Services with low customer contact are called _____________ .
A)quasi-manufacturing
B)quasi-services
C)mixed services
D)pure services
E)mixed manufacturing
Answer: A
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Chapter 4: E-Commerce and Supply Chain Management
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Sample Questions
Q1) Benetton is well known for the practice of assembling all white sweaters and waiting to dye them much closer to the time of sale.This is an example of what?
A)Stupidity
B)Postponement
C)Fractionalization
D)Partitioning
E)Genericness
Q2) Warehouses are sometimes used as part of their postponement in their product design process.
A)True
B)False
Q3) A company can use traditional financial measures such as return on investment to measure supply chain performance.
A)True
B)False
Q4) Service organizations can also benefit from supply chain management.
A)True
B)False
Q5) What are the four causes of the bullwhip effect?
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Chapter 5: Total Quality Management
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Sample Questions
Q1) The Union of Japanese Scientists and Engineers named its quality award after
A)Genichi Taguchi
B)Kaoru Ishikawa
C)Joe Juran
D)Phillip Crosby
E)W)Edwards Deming
Q2) One common definition of quality is conformance to specifications,which focuses on measuring how well the product or service meets targets and tolerances determined by its designers.
A)True
B)False
Q3) A useful tool for translating customers' everyday language into specific technical requirements is Quality Function Deployment.
A)True
B)False
Q4) W.Edwards Deming is often referred to as the father of quality control.
A)True
B)False
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Chapter 6: Statistical Quality Control
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Sample Questions
Q1) A p-chart monitors the number of defects per unit.
A)True
B)False
Q2) A process can be considered in a state of control even if one observation is 1.75 standard deviations above the mean.
A)True
B)False
Q3) The standard deviation measures the difference between the largest and smallest observations in a set of data.
A)True
B)False
Q4) For the standard normal distribution,how much confidence is provided within 2 standard deviations above and below the mean?
A)97.22%
B)95.44%
C)99.74%
D)99.87%
E)90.00%
Q5) What is the formula for the basic capability index?
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Chapter 7: Just-In-Time and Lean Systems
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Sample Questions
Q1) Traditional production plans schedule ________________________ while JIT with Level Scheduling uses ________________________.
Q2) Three basic elements work together to complete a JIT system: just-in-time manufacturing,total quality management,and
A)Quality circles
B)Pull production
C)Minimizing inventory
D)Respect for people
E)Full utilization of capacity
Q3) Consider a workstation that can process 1200 units per hour.It takes 1.5 hours to receive an order from the previous station.The container size is 40 units.The factory sets safety stock at 20 percent of demand during lead time.How many kanbans are needed for the workstation?
Q4) According to JIT,by eliminating inventory we can clearly identify obsolete products and work on eliminating them.
A)True
B)False
Q5) Describe how JIT affects the Accounting department.
Q6) Under the JIT belief of visibility,describe JIT facilities.
Page 9
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Chapter 8: Forecasting
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Sample Questions
Q1) Which of the following would not be a consideration for selecting a forecasting software package?
A)How easy is the package to learn?
B)Is it possible to implement new methods?
C)Do you require repetitive forecasting?
D)Does the supplier support a local conference?
E)Is there any local support?
Q2) Forecasting is not a function which contributes to:
A)deciding which business market to pursue
B)deciding which product to produce
C)deciding how bonuses should be allocated
D)deciding how much inventory to carry
E)deciding how many people to hire
Q3) What is the mean absolute deviation of the following forecasts?
Q4) What are the 9 steps utilized in the most complete form of CPFR?
Page 10
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Chapter 9: Capacity Planning and Facility Location
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Sample Questions
Q1) Which of the following does not contribute to the sustainability of design capacity?
A)scheduled machine maintenance
B)overtime
C)overstaffing
D)using equipment to the maximum
E)subcontracting
Q2) At the break-even point,total cost equals total revenue.
A)True
B)False
Q3) A location analysis has been narrowed down to two locations,A and B.The main factors in the decision will be supply of raw materials,which has a weight of 50,and labor cost,which has a weight of 50.The ratings for raw materials and labor are: for A,3 and 4,respectively; for B,5 and 3,respectively.Using the factor rating method,the manager should ______________________.
A)be indifferent between these locations
B)choose location A
C)choose location B
D)reject both locations
E)determine the capacity before deciding
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Page 11
Chapter 10: Facility Layout
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Sample Questions
Q1) What is the maximum amount of time that each workstation has to complete its assigned task called?
Q2) Which production line shapes are particularly useful for the sharing of resources?
A)S and U
B)L and O
C)O and S
D)L and S
E)O and U
Q3) A single-line cafeteria is an example of which layout type?
A)inverted
B)disjointed
C)process
D)fixed position
E)product
Q4) The number of trips or products moved between pairs of departments is recorded in a ____________________.
Q5) What are the four basic layout types?
Q6) What is a table that gives the number of trips or units of product moved between any pair of departments called?
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Chapter 11: Work System Design
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Sample Questions
Q1) For each work element in the time study,multiplying the mean observed time by the performance rating factor by the frequency of occurrence results in what?
A)the normal time for the element
B)the average observed time for the element
C)the standard time for the element
D)the average delay for the element
E)the standard time for the job
Q2) An advantage of using predetermined time data is that you can calculate standard times before the job begins.
A)True
B)False
Q3) A company's accepted time studies are stored in a(n)____________ for possible future use.
A)file cabinet
B)time study vault
C)warehouse
D)jar
E)elemental time database
Q4) What are the steps involved in doing a time study?
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Chapter 12: Independent Demand Inventory Management
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Sample Questions
Q1) What are the two methods for checking record accuracy and what do they do?
Q2) If annual demand is 48,000 units,orders are placed in quantities of 2000 units at a time,and the cost to place an order is $80,what is the annual ordering cost?
A)$1,920
B)$3,840,000
C)$160,000
D)$80
E)$4,160
Q3) Finished goods in transit to the customer are called what?
A)WIP inventory
B)components inventory
C)raw materials inventory
D)distribution inventory
E)MRO inventory
Q4) Inventory turnover is the reciprocal of weeks of supply.
A)True
B)False
Q5) The reorder point for a product that is delivered two days after an order is placed and whose average daily demand is 100 is __________________.
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Chapter 13: Aggregate Planning
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Sample Questions
Q1) Which of the following is not a way to increase capacity?
A)Change depreciation methods.
B)Use overtime.
C)Employ temporary workers.
D)Subcontract.
E)Use alternative manufacturing processes.
Q2) In a level production plan,equipment capacity is set equal to
A)number of trained and qualified operators
B)average demand
C)mean demand
D)maximum number of equipment minus 10% contingency reserves
E)peak demand
Q3) ___________________ is an important advantage of level production plans.
Q4) What type of aggregate plan maintains a constant workforce and produces the same amount of product in each time period?
A)uniform
B)level
C)chase
D)mixed
E)steady
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Chapter 14: Resource Planning
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Sample Questions
Q1) An order released to a supplier authorizes ______________________________________.
A)the shipment of the material so that it arrives as needed
B)movement of the material from the warehouse to the supplier
C)the sending of information concerning production to the supplier
D)accounting to set up an accounts receivable entry
E)the logistics manager to start investigating shipment options
Q2) Discuss the difference between the production and inventory control planners' release order to external suppliers versus the shop floor.
Q3) The authorized MPS is a statement of what the company expects to build and when it expects to build it.
A)True
B)False
Q4) The lead time can be less than the cumulative lead time when the company has inventory on hand.
A)True
B)False
Q5) _________________ uses planned order releases from the MRP,which considers beginning inventory.
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Chapter 15: Scheduling
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Sample Questions
Q1) Operation sequencing creates a work center plan based on available _______ and ______.
A)capacity,priorities
B)demand,priorities
C)capacity,demand
D)capacity,rules
E)staff,management
Q2) What are the three steps for the Johnson's Rule?
Q3) What are the two major kinds of Gantt charts?
Q4) What does average number of jobs in the system measure?
A)WIP inventory
B)due-date performance
C)makespan
D)job tardiness
E)job lateness
Q5) Under OPT,lead times are _____________ rather than ________________.
Q6) Flow operations are often related to high volume production.
A)True
B)False
Q7) Define job lateness.
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Chapter 16: Project Management
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Sample Questions
Q1) A feeding buffer protects a ______ path from delays in a __________.
A)shortest,buffer overflow
B)noncritical,critical path
C)critical,noncritical path
D)critical,longest variance
E)noncritical,longest variance
Q2) Project managers can evaluate whether the __________ risk of completing the project on schedule is acceptable.
Q3) In making a forward pass through a network,activities L,M,and P are immediate predecessors for activity T,which has an activity time of 7.The early start times for activities L,M,and P are 22,17,and 27,respectively.The early finish times for activities L,M,and P are 29,27,and 33,respectively.What is the early start time for activity T?
A)17
B)24
C)27
D)33
E)40
Q4) List and briefly describe the phases in the project life cycle.
Q5) Every project has a ____________________.
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Chapter 17: Spreadsheet Modeling: an Introduction
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Q1) You can insert __________________ for a cell to add explanatory information about a calculation or assumption that does not have to be in the model itself.
A)Cell Explanations
B)Cell Descriptions
C)Cell Comments
D)Cell Information
E)Cell Documentation
Q2) What are the two main reasons why one should break up larger calculations into smaller ones in spreadsheet modeling?
A)to speed solution time and to determine intermediate values
B)to speed solution time and to avoid errors
C)so the formula can fit on the formula line and to speed solution time
D)to avoid errors and to determine intermediate values
E)so the formula can fit on the formula line and to avoid errors
Q3) How do you know that you have a relative reference in Excel?
Q4) The Excel function that multiplies corresponding numbers in the two ranges and returns the sum of those products is the ________________ function.
Q5) Data tables perform _____________ what-if ___________ quickly and easily.
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Chapter 18: Introduction to Optimization
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Q1) With Excel Solver,the Target Cell can contain either a formula or a value.
A)True
B)False
Q2) What are the allowable constraint relationship types in optimization problems?
A)<,>,=
B)<,>,=, , C)=, ,
D)<,>, ,
E) ,=, ,
Q3) Formulate the following as a linear program.
Dane's aircraft muffler manufacturers have 1000 linear feet of steel on hand to manufacture the three top selling muffler sets.Super mufflers (S)provide $35 profit and common (C)mufflers' profit margin is $31,while the deluxe (D)muffler set provides a $40 profit margin.It takes 31 hours to make the super muffler,29 hours to manufacture the common muffler,and 40 hours to build the deluxe muffler.If Dane is limited to 200 hours a month what is the optimum combination of mufflers to manufacture to maximize his profits?
Q4) Describe guidelines for spreadsheet model development.
Q5) What are the three reports available when Solver has successfully found an optimal solution?
Page 20
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Chapter 19: Waiting Line Models
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Sample Questions
Q1) A multiple-line service system provides an incentive for jockeying behavior.
A)True
B)False
Q2) A single-line,multiple-server system has _____ ______ in terms of waiting times than the same system with a line for each server.
A)poorer performance
B)similar performance
C)better performance
D)comparable performance
E)reduced performance
Q3) A customer population is called finite when the number of potential new customers is affected by the number of customers already in the system.
A)True
B)False
Q4) Changing from a multi-line model to a single-line model is most appropriate when the company is concerned about fairness for its customers.
A)True
B)False
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21
Chapter 20: Master Scheduling and Rough-Cut Capacity Planning
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Sample Questions
Q1) What is the formula for calculating the ATP quantity at future replenishment periods?
A)MPS shipment - customer orders between the current MPS shipment and the next scheduled replenishment
B)beginning inventory + MPS shipment - (the greater of the period's forecast or the actual customer orders promised for delivery that period)
C)beginning inventory + MPS shipment - forecasted demand
D)beginning inventory + MPS shipment - customer orders between the current MPS shipment and the next scheduled replenishment
E)beginning inventory + MPS shipment - customer orders that period
Q2) Which of the following is not a correctly stated step of the CPOPF method?
A)Determine the appropriate planning factors using historical data.
B)Multiply the MPS quantities by the appropriate planning factor.
C)Sum capacity requirements for each resource by time period.
D)Allocate capacity requirements to group work centers based on historical percentages.
E)Evaluate the workload at each resource to validate MPS feasibility.
Q3) Discuss how the MPS is evaluated in terms of cost.
Q4) Discuss the master scheduler's objectives when developing the MPS.
Page 22
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