The foundation of the JIT philosophy lies in:

• A) Re-engineering for breakthrough
• B) Waste reduction
• C) Push production
• D) Variability increase

Capacity requirement planning is the process of determining capacity requirements for

• A) Suppliers
• B) Short-range
• C) Long-range
• D) Customers

Which of the following depicts the overall production rate and size of the workforce required to meet the demand?

• A) Master requirements plan
• B) Master production schedule
• C) Aggregate plan
• D) Capacity requirements plan

Which of the following costs is born by the firm when demand exceeds the supply?

• A) Ordering cost
• B) Holding cost
• C) Stock out cost
• D) Shortage cost

Adjustment of due dates, cancellation of orders and changes in order quantities comes in ___________ of MRP process.

• A) Output
• B) Inventory records
• C) Master production schedule
• D) Bills of material

Lot sizing determines the ____ and ____ of order quantity

• A) Timing, date
• B) Size, price
• C) Timing, size
• D) Date, size

The basic inputs of capacity planning process are:

• A) All of the given
• B) The current shop load & job times
• C) Routing information
• D) Planned order releases for MRP

Which one of the following is an example of a long range plan?

• A) Machine loading
• B) Work schedule
• C) Backorders
• D) Facilities layout

Which of the following formulae can be used to determine number of orders per year?

• A) Q/D
• B) D+Q
• C) D/Q
• D) D-Q

Which of the following is an example of an output of aggregate planning?

• A) Demand forecast
• B) Projected inventory
• C) Overtime cost
• D) Facilities layout

Goals of JIT partnerships include

• A) Elimination of all in-plant inventories
• B) Elimination of all activities
• C) Elimination of in-transit inventory
• D) Complete backwards vertical integration

The applications of lean manufacturing include the followings:

• A) All of the given
• B) Lean Systems in Defense Industry
• C) Lean Software Manufacturing
• D) Lean Healthcare Systems

When operations managers use kanbans in the organization then:

• A) Each push station can require only one re supply component
• B) The kanban cards provide a direct control on the amount of work in process between cells
• C) Each pull station can require only one re supply component
• D) The producer and user are not in visual contact, a light or empty spot on the floor should be used as a signal

The optimal order quantity shows a trade-off between which one of the following sets of costs?

• A) Carrying costs and ordering costs
• B) Carrying costs and stock out costs
• C) Carrying costs and setup costs
• D) Carrying costs and shortage costs

Capacity options are focused on:

• A) Promotion
• B) Matching demand period by period
• C) New demand
• D) Backorders

Which one of the following concepts refers to achieve the lowest average total cost per unit when a large quantity is ordered?

• A) Economic order quantity
• B) Master production schedule
• C) Material requirements planning
• D) Economies of scale

Which of the following is NOT MRP output?

• A) Changes in dates and order
• B) Order releases
• C) Planned orders
• D) Scheduled receipts

How can you compute the cost of subcontracting?

• A) Subcontracting cost per unit + subcontracted quantity
• B) Subcontracting cost per unit /subcontracted quantity
• C) Subcontracting cost per unit – subcontracted quantity
• D) Subcontracting cost per unit × subcontracted quantity

Which of the following refers to the time interval between order placement and its fulfillment?

• A) Stock time
• B) Cycle time
• C) Setup time
• D) Lead time

The central themes that the surrounding Just-In-Time (JIT) system is:

• A) Simplicity, quality, elimination of waste
• B) Simplicity, quality, increase of waste
• C) Complexity, quality, increase of waste
• D) All of the given