OPMC 632

Assignment Set – 1

1. Difficult performance management conversations focus on three main objectives. Choose the item that does not belong.

• To protect the employees’ rights
• To correct performance, not to punish the performer
• To project manpower needs for the coming year
• To protect you and the organization

1. Which of the following is an example of a key performance indicator:

• Day's cash on hand
• All of the above
• Operating income
• Lead time to fill customer orders

1. Which of the following product promotional activities would probably help make the supply chain more efficient?

• An "everyday" low price strategy where prices are not dependent on quantity delivered with a specific order
• Special packaging for a specific event that occurs one time each year
• All of the above
• Price promotions that expire on a specific date

1. A company that can offer on-site repair in only 1 or 2 hours is an example of a company that is competing on competitive dimension.

• Process quality
• Delivery speed
• Delivery reliability
• Flexibility

1. A breakeven point indicates which of the following:

• The point where we are most efficient
• The point where cost is minimized
• The point where we are indifferent between two options
• The point where profit is maximized

1. A clear hierarchy of objectives in the project definition would NOT normally contain:

• Success criteria
• Control mechanisms
• An End result
• The purpose

1. All of the following statements concerning the characteristics of aggregate planning for services is true except

• most services cannot be inventoried
• labor is the most constraining resource
• capacity is easy to predict
• demand is difficult to predict

1. Supply-chain strategy concepts are applicable to what types of companies?

• Restaurants
• Service
• All of the above
• Airlines

1. The operating system that runs their assembly lines all the time

• Handle the products in batch mode
• Continuous-Flow operations system
• Each team experts process the products
• Job production

1. Income protection programmes include:

• medical insurance
• all of the above.
• pension plans.
• social security.

1. The activities of the operations managers include

• Laying out the production facility
• Choosing a process for producing the company’s goods or services
• Selecting a production site
• All of the above

1. Which of the following statement is NOT true about Class A,B and C items?

• Class A items are those 20% of high usage items, which generally account for 80% of total usage value.
• Class B items typically account for 40% of total value and 30% of the items.
• Pareto's law states that typically 20% of stocked items account for 80% of value.
• Class C items usually comprise 50% of total items, but only I 0% of the total value.

1. A national distribution centre for soft drinks is most likely to use which form of inventory?

• Buffet inventory
• Cycle inventory
• Pipeline inventory
• Anticipation inventory

1. Which of the following statements is not true about operations strategy?

• Operations strategy is concerned with setting broad policies and plans for using the resources of the firm to best support the firm's long-term competitive strategy.
• Operations strategy involves a long-term process that must foster inevitable change.
• An operations strategy involves decisions that relate to the design of a product and the infrastructure needed to support the product.
• Operations strategy can be viewed as part of planning process that coordinates operational goals with those of the larger organization .

1. The type of processing structure that is used for producing discrete products at higher volume is:

• Job Shop
• Project
• Batch
• Assembly Line

1. Which one is a continuous process of identifying, measuring and developing performance in organisations by linking each individual’s performance and objectives to the organisation’s overall mission and goals.

• Reward system
• Strategic planning
• Performance management
• Performance appraisal

1. Operations Managers

• Do the financial planning for the company
• Make sure that products are produced efficiently, that products and services are marketed to maximize sales, and that the company is earning profit
• Are responsible for developing the IT operations of the company
• Are responsible for marketing the products

1. Projects with high levels of complexity are likely to be especially difficult to define and set realistic objectives for.

• False
• True

1. The Critical Path is an activity (or series of activities) that if delayed will delay the whole project.

• True
• False

1. The term "assurance " in operations strategy reflects

• Confidence
• Illustrations
• Ambience
• Advantage

1. Which of the following is not an alternative identified in the service-system design matrix?

• Face-to-face loose specs
• Phone contact
• Mail contact
• All of the above are identified

1. Projects are usually in high-volume, low-variety operations.

• True
• False

1. An operating system consists of

• The processes and activities associated with HR
• The processes and activities needed to operate the equipment’s
• The processes and activities needed to market the products
• The processes and activities needed to produce goods or services

1. The type of processing structure that is used to produce gasoline, chemicals, and steel is:

• Job Shop
• Project
• Assembly Line
• Continuous Flow

1. Who developed the value Matrix

• Treacy
• Martinez & Bititci
• Porter
• Deming

1. Which of the following aggregate planning techniques guarantees an optimal solution?

• management coefficients model
• trial and error with a spreadsheet
• linear programming
• search decision rule

1. Which of the following costs decrease as the order size is increased?

• Obsolescence costs
• Working capital costs
• Storage costs
• Price discount costs

1. Which Quality Guru advocated that senior management is responsible for 94% of quality problems?

• Juran
• Deming
• lshikawa
• Crosby

1. An example of a business/industry that uses batch flow process structure is:

• Automobile assembly
• French restaurant
• Commercial printer
• Heavy equipment

1. Which one refers to service encounters whose specifications must be developed through some interaction between the customer and the server.

• Mail contact
• Phone contact
• Face-to-Face total customization
• Face-to-face tight specs

Assignment Set – 2

1. The Critical Path is an activity (or series of activities) that if delayed will delay the whole project.

• False
• True

1. Which of the following is beyond the operations strategy

• Papers
• Technology
• Process
• Core Competence

1. Testing is an example of:

• Appraisal costs
• Prevention costs
• External failure costs
• Internal failure costs

1. The operating system that runs their assembly lines all the time

• Handle the products in batch mode
• Each team experts process the products
• Job production
• Continuous-Flow operations system

1. Which Quality Guru advocated that senior management is responsible for 94% of quality problems?

• Deming
• Juran
• lshikawa
• Crosby

1. A Gantt chart is used to show a project timeline diagrammatically .

• True
• False

1. The major decision variables in equipment selection are:

• Manufacturer
• Both A and B
• Labor requirements
• Flexibility

1. Which of the following statement is NOT true about Class A,B and C items?

• Class A items are those 20% of high usage items, which generally account for 80% of total usage value.
• Class B items typically account for 40% of total value and 30% of the items.
• Pareto's law states that typically 20% of stocked items account for 80% of value.
• Class C items usually comprise 50% of total items, but only I 0% of the total value.

1. The ability to master new technologies, design and introduce new products is an example of.

• Systems-based capabilities
• Process-based capabilities
• Coordination based capabilities
• Organization-based capabilities

1. The item in the list below that is not a major competitive dimension that forms the competitive position of a company is:

• cost
• delivery speed
• product quality and reliability
• coping with changes in supply

1. A company that can offer on-site repair in only 1 or 2 hours is an example of a company that is competing on _____ competitive dimension.

• Flexibility
• Delivery reliability
• Process quality
• Delivery speed

1. The main argument against the just-in-time approach lies in the very conditions it seeks to promote, namely the insulation of stages in the process.

• True
• False

1. An operating system consists of

• The processes and activities needed to market the products
• The processes and activities needed to operate the equipment’s
• The processes and activities needed to produce goods or services
• The processes and activities associated with HR

1. When a company seeks to match the benefits of a successful competitor position while maintaining its existing competitive position is called:

• Fair competitive response
• Strategic fitting
• Straddling
• Activity-system mapping

1. The term "assurance " in operations strategy reflects

• Confidence
• Illustrations
• Advantage
• Ambience

1. Which of the following product promotional activities would probably help make the supply chain more efficient?

• An "everyday" low price strategy where prices are not dependent on quantity delivered with a specific order
• All of the above
• Price promotions that expire on a specific date
• Special packaging for a specific event that occurs one time each year

1. Which of the following is not an alternative identified in the service-system design matrix?

• Phone contact
• Face-to-face loose specs
• Mail contact
• All of the above are identified

1. Which one refers to service encounters whose specifications must be developed through some interaction between the customer and the server.

• Phone contact
• Face-to-face tight specs
• Face-to-Face total customization
• Mail contact

1. Income protection programmes include:

• medical insurance
• all of the above.
• social security.
• pension plans.

1. Operations Managers

• Do the financial planning for the company
• Are responsible for marketing the products
• Make sure that products are produced efficiently, that products and services are marketed to maximize sales, and that the company is earning profit
• Are responsible for developing the IT operations of the company

1. All of the following statements concerning the characteristics of aggregate planning for services is true except

• capacity is easy to predict
• most services cannot be inventoried
• labor is the most constraining resource
• demand is difficult to predict

1. A critical path network diagram does NOT:

• Calculate earned value.
• Identify the particularly important activities.
• Calculate the duration of the whole project
• Help determine the amount of float

1. What is the purpose of Operations Strategy

• Take Time advantage
• Competitive advantage
• Paper advantage
• None of the above

1. Which of the following is not an element of a good service guarantee?

• Ensures the firm makes a profit
• Unconditional
• Easy to understand and communicate
• Painless to invoke

1. The best process flow structure to use for making automobiles is?

• Batch shop
• Job shop
• Assembly line
• Group technology cell

1. Inventory used to compensate for the uncertainties inherent in supply and demand is known as:

• Pipeline inventory
• Anticipation inventory
• Cycle inventory
• Buffer inventory

1. De-coupling inventory occurs because one or more stages in the process cannot supply all the items it produces simultaneously.

• True
• False

1. Supply-chain strategy concepts are applicable to what types of companies?

• Service
• All of the above
• Airlines
• Restaurants

1. Inventory used to compensate for differences in the timing of supply and demand is known as:

• Buffer inventory
• Cycle inventory
• Anticipation inventory
• Pipeline inventory

1. SPC tools commonly used for continuous improvement efforts include:

• All of the above
• Cause and effect diagrams
• Process flow chart
• Pareto analysis

OPMC 641 (2019)

Assignment Set – 1

1. Warranty cost includes following cost head(s):

• Product cost
• All of the above
• Process Cost
• People Cost

1. Which of the following is a reason that single sourcing is considered bad/risky?

• Larger orders make quantity discounts more likely
• The buyer’s required ordering quantities very low
• The limited capacity of one supplier
• Decreases the item to item quality variability of items purchased

1. The economic functions of distribution centers include

• Consolidation
• Break bulk
• All of these
• Stockpiling

1. The following is a term that refers to error-or mistake proofing

• Kaizen
• Lean layouts
• Poka-yoke
• Muda

1. Which of the following is an obstacle to successful process integration?

• Lack of supply chain visibility
• Passive integration
• Collaborative inventory management
• Cloud-based supply chain management

1. The Quick Response program, developed in 19080s was an offshoot of the following supply chain concept:

• Just-in-Time
• Cross Docking
• Efficient consumer response
• Six Sigma

1. Lean thinking is a philosophy incorporating tool which seeks to economically optimize:

• Human Resources
• Assets
• Productivity
• All of these

1. _____ is a method by which lean principles are applied in the examination of business processes.

• Small batch scheduling
• Value Stream Analysis
• Lean Supply Chain
• JIT

1. The following are all examples of lean warehousing capabilities except

• Reduced lot sizes and shipping quantities
• decreased assembly operations
• Greater emphasis on crossdocking
• Increased automation

1. Implementing e-Procurement system has several advantages except

• Cost Savings
• Benefits to the supplier
• None of these
• Accuracy

1. Which of the following are among the MOST important elements of the lean production philosophy?

• Fully automated assembly lines and a large supplier base
• Quality inspections and a standardized product line
• Large inventories and quality inspections
• Waste reduction and continuous improvement

1. _____ is defined as the assurance policy applied to all customers where the purchased goods or services are (or shall be) as specified and, if not, they will be repaired

• None of these
• Insurance
• Warranty
• Guarantee

1. Which of the key supply chain business processes refers to meeting customer requirements by synchronizing the firm’s marketing, production and distribution plans?

• Customer demand organization process
• Customer relationship management process
• Supply chain synchronization process
• Order fulfillment process

1. Which of the following is NOT consistent with the lean philosophy?

• Positioning WIP inventories near each processing center
• Increasing batch size to take advantage of economies of scale
• Cross-training employees to increase processing flexibility
• Developing a culture of continuous improvement within the organization

1. Which of the following would be a good reason to outsource(buy) versus making?

• No competent supplier presently produces the needed item
• To have more direct control over the design and production of an end item
• To utilize existing capacity within a company's own firm
• A firm lacks the technology or expertise to product an item

1. Which of the following is the contributor of bullwhip effect?

• rationing
• smaller order sizes
• EDLP
• VMI

1. Which of the following is not considered as the merit of VMI?

• Visibility of buyer's Point of Sale
• Increased logistics service level
• Lower stock out rates
• Switching cost is under control

1. Which of the following statement is TRUE of many large firms today?

• All of these
• They are trying to create alliances or strategic partnerships with suppliers
• They are paying closer attention to what their direct customers really think of the goods and services bought
• They are selling off business units to focus more on core capabilities

1. Which of the following can be classified as a 3PL?

• A company that offers customs clearing services
• All of these
• A company that offers warehousing services
• A company that offers transportation services

1. Performance measurements generally _____

• Help identify new customer requirements
• assist in pricing of products
• Help to eliminate non-value creating activities and identify new customer requirements
• Help to eliminate non-value creating activities

1. The primary goals of purchasing include all except

• Improve the quality of finished goods produced
• secure materials at the lowest cost
• maximize customer satisfaction
• ensure the highest quality raw materials are purchased

1. Which of the following is an advantage of a centralized purchasing department?

• Better knowledge of unit requirements
• More frequent shipments
• Closer contact between buyer and user
• Quantity Discounts

1. Distribution provides following utilities to consumers?

• Place
• Possession
• All of these
• Time

1. The success of effective and efficient distribution system relies on integration of

• Material
• Money
• None of these
• Efforts

1. _____ Means doing the right things to create the most benefit for the company

• Efficiency
• Productivity
• Value
• Effectiveness

1. Which of the following modes of cargo transport can be characterized as being the most inexpensive and very slow, yet good for transporting very heavy goods a long distance?

• Rail Carriers
• Air carriers
• Motor Carriers
• Water Carriers

1. Which one out of the following is NOT considered as key supply chain business processes?

• Returns Management
• Process Integration
• Customer relationship management process
• Customer Service Management

1. The supply chain strategy as cost leadership is a differentiation strategy with following characteristics

• Fast and service driven
• lean
• Agile
• All of these

1. Which is clubbed under secondary activities of the Porter’s value chain?

• Procurement
• Outbound logistics
• Operations
• Inbound logistics

1. A warehouse receipt does not have the following

• Market value of goods
• Declared shelf life of goods
• Tax liabilities
• Receipt number

Assignment Set – 2

1. Which out of the following steps is not included in RFID implementation?

• Distribution center
• Supplier Selection
• Material management
• Manufacturing

1. Economic Value Added stands for

• operating profits after taxes - cost of capital
• operating profits after taxes + cost of capital
• operating profits after taxes/cost of capital
• None of these

1. Which out of the following is a practice aimed at purchasing products that meet environmental objectives

• Green Marketing
• All of these
• Green Sales
• Green Procurement

1. The service contract management is successful if

• lots of surprises
• expected business benefits are low
• None of these
• supplier is cooperative

1. Which of the following is not an assumption of the EOQ model?

• Lead time is known and constant
• Production and use can occur simultaneously
• Quantity discounts are not possible
• Demand is known, constant and independent

1. The supply chain strategy as cost leadership is a differentiation strategy with following characteristics

• Agile
• Fast and service driven
• Lean
• All of these

1. Which of the following is not a classification of Value Added service?

• Quality
• Problem Solving
• Sales Support
• Information

1. Which is clubbed under secondary activities of the Porter’s value chain?

• Procurement
• Outbound logistics
• Inbound logistics
• Operations

1. Which one out of the following is NOT considered as key supply chain business processes?

• Process Integration
• Customer Service Management
• Returns Management
• Customer relationship management process

1. Which of the following modes of cargo transport can be characterized as being the most inexpensive and very slow, yet good for transporting very heavy goods a long distance?

• Rail Carriers
• Air carriers
• Water Carriers
• Motor Carriers

1. The primary transformation function provided by Hospital can be described as

• Storage
• Physical
• Location
• Physiological

1. Which of the following is not considered as the merit of VMI?

• Lower stock out rates
• Switching cost is under control
• Visibility of buyer's Point of Sale
• Increased logistics service level

1. The following are all examples of lean warehousing capabilities except

• Increased automation
• decreased assembly operations
• Greater emphasis on crossdocking
• Reduced lot sizes and shipping quantities

1. Warranty cost includes following cost head(s):

• Process Cost
• Product cost
• All of the above
• People Cost

1. Implementing e-Procurement system has several advantages except

• Benefits to the supplier
• Cost Savings
• Accuracy
• None of these

1. Value added services give ______ advantages to the organizations

• unexpected shifts in consumer demand
• Changing retailer requirements
• Agility to respond to special orders
• All of these

1. Every service contract's starting stage is

• Approval
• Authoring
• Request
• Negotiation

1. In push supply chain

• a manufacturer initiates manufacturing only after it has received an order
• a manufacturer forecasts demand and produces product and makes them available to customers
• either a manufacturer initiates manufacturing only after it has received an order or forecasts demand and produces product and makes them available to customers
• None of these

1. Which of the following are among the MOST important elements of the lean production philosophy?

• Fully automated assembly lines and a large supplier base
• Waste reduction and continuous improvement
• Large inventories and quality inspections
• Quality inspections and a standardized product line

1. ____ is to coordinate and integrate supply, operations and logistics activities among the focal firm and its key supply chain trading partners

• Supply chain management
• Supply chin Integration
• None of these
• Supply Chain Linkages

1. If an item is ordered at its EOQ, the annual carrying cost should be

• slightly less that the annual ordering cost
• equal to the ordering cost
• the square root of the annual ordering cost
• twice the annual purchase prices

1. Which of the following would be a good reason to outsource(buy) versus making?

• To utilize existing capacity within a company's own firm
• No competent supplier presently produces the needed item
• A firm lacks the technology or expertise to product an item
• To have more direct control over the design and production of an end item

1. Which of the following is a reverse logistics activity

• Recycling products and components
• Developing a collaborative relationship with your supplier
• Managing the quality of products
• Delivering finished goods to your customer

1. _____ is defined as the assurance policy applied to all customers where the purchased goods or services are (or shall be) as specified and, if not, they will be repaired

• None of these
• Insurance
• Warranty
• Guarantee

1. Which of the following is not a part of the order cycle?

• Order entry
• Order cross checking
• Order allocation and picking
• Order shipment and delivery

1. A warehouse receipt does not have the following

• Tax liabilities
• Declared shlf life of goods
• Receipt number
• Market value of goods

1. Lean production emphasizes all of the following except:

• Synchronization of material flows
• large batch sizes
• Reduction of waste
• Continuous improvement

1. ______ Means doing the right things to create the most benefit for the company

• Effectiveness
• Efficiency
• Productivity
• Value

1. Which of the following is the reason that small value purchases are handled differently?

• To give the buyer additional supplier choices
• To control unnecessary administrative cost
• To have better tracking of material usage
• To obtain a higher quality product

1. The primary goals of purchasing include all except

• maximize customer satisfaction
• ensure the highest quality raw materials are purchased
• secure materials at the lowest cost
• Improve the quality of finished goods produced

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