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Exam 9: Production and Operations Management

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Question 101

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McGowan Brothers Manufacturing recently redesigned its facility layout to group similar equipment and functions together. This allows flexibility in the sequence in which products are produced using these functions. McGowan Brothers' new layout is an example of the fixed-position layout.

A) True
B) False

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Question 102

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The PERT network provides a project manager with a plan that puts all the activities of a project in the correct order that they must be accomplished, shows which activities can be accomplished simultaneously, and, also gives the manager a good estimate of how long each activity will take to complete.

A) True
B) False

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Question 103

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The primary characteristic of a just-in-time inventory system is that suppliers deliver parts and materials right at the time that the buyer is going to use them in the production process.

The value added by the creation of finished goods and services from inputs is called ownership utility.

Which of the following statements best describes the impact of recent advances in information technology on business location decisions?

________ examines statistical samples of product components at each stage of the production process and plots the results on a graph in order to spot and correct any variances from desired quality levels.

A just-in-time inventory system usually reduces costs for

Comfort Corners Home Furnishings specializes in producing custom-made residential furniture. The most efficient process for Comfort Corners to utilize would be a continuous production process.

Modern companies deal with many different suppliers in order to avoid problems that can arise when one supplier is unable to provide needed parts or materials.

________ is the specialized area of management that converts or transforms resources into goods and services.

In an assembly-line manufacturing layout workers do only a few tasks at a time.

In recent years, the service sector of the U.S. economy has

When a company has the ability to produce the same amount of goods with only half the floor space and half the labor that it used in the past, the firm is practicing flexible manufacturing.

Contemporary producers and their suppliers

Statistical quality control (SQC) is the process some managers use to continually monitor all phases of the production process to assure that quality is being built into the product from the beginning of the production process.

U.S. businesses are known for their technological advances and their ability to implement change.

Aiden wants to find a way to cut back on labor and reduce his company's investment in tools and space, because he believes his firm uses more of all types of resources than is necessary. It seems that Aiden would like to adopt

Casper is a construction manager who needs to determine how long a project will take to complete and which tasks in the project have the greatest potential for delaying his project. The PERT chart will help Casper answer these questions.

Sunnyside Travel, Inc. is a travel agency that specializes in destination wedding vacation packages. It has packages ranging from cruises to beach resorts all around the world. The customer chooses what they would like to pay, where they would like to visit, and what they would like to do. Based on this information, Sunnyside uses ________ to please the customers.

In ________, machines are designed to do multiple tasks so that they can produce a variety of products.