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UConn OPIM 5110 - Final Exam

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1 UCONN, MBA OPIM 5110-Fall 2009 Final Exam REMINDER: THIS IS A NON-COLLABORATIVE ACTIVITY!! You should complete all work on your take-home exams independently of other students in the class. It is an "open book" exam. You may use any book, any slides, and any material used in class. The Exam is due by 5 PM on Saturday, October 3, 2009. Instructions: 1. Make sure that there are a total of 9 pages in this exam. 2. Answer all of the questions in just one Excel file. 3. Provide a written answer to each of the questions on your Excel spreadsheet. Just highlighting a number in a cell is not enough. 4. Include as many worksheets as you want in your file. 5. Save your work frequently. 6. When you are finished, submit your file as an e-mail attachment to: [email protected] 7. Clearly identify your Excel file and e-mail by writing your name on both (example JohnSmith.xls).2 Part I-Multiple Choice (20 points) 1. Which of the following would not indicate an out-of-control process? a) values consistently above the center line b) values that move in an upward trend c) values that "bounce around" above and below the center line d) values that move in a downward trend 2. Which of the following statements concerning control charts is true? a) attribute charts require smaller sample sizes while variable charts require larger sample sizes b) attribute charts require larger sample sizes while variable charts require smaller sizes c) attribute charts and variable charts require equal sample sizes d) attribute charts must always have sample sizes of 100 while variable charts can use sample size 3. If a process has a Cp of .87, and a Cpk of .75, then the process a) is acceptable, and no action is necessary b) mean is off center, and corrective action should be taken to produce the desired quality c) is not capable of producing within the design specifications d) none of the above 4. Which of the following statements concerning control chart limits is true? a) the smaller the value of z, the more narrow the control limits are and the more sensitive the chart is to changes in the production process b) the larger the value of z, the more narrow the control limits are and the more sensitive the chart is to changes in the production process c) the smaller the value of z, the wider the control limits are and the less sensitive the chart is to changes in the production process d) the larger the value of z, the more narrow the control limits are and the less sensitive the chart is to changes in the production process 5. Which of the following is considered an "external failure cost"? a) consumer complaint costs b) warranty claims costs c) product liability costs d) all of the above are "external failure" costs 6. The cost of poor quality includes all of the following except a) scrap costs b) rework costs c) inspection costs d) product failure costs 7. Which of the following is generally true when considering the quality-cost tradeoff? a) When the cost of achieving good quality increases, the cost of poor quality increases. b) When the cost of quality assurance rises, the quality assurance curve goes down. c) When the cost of achieving good quality increases, the cost of poor quality declines. d) As the cost of quality assurance rises, the percentage of good quality products decreases.3 8. The quality cost index which measures the ratio of quality cost to units of final product is called the a) sales index b) production index c) labor index d) cost index 9. Which of the following is true concerning the QPR ratio? a) QPR is a productivity index that includes productivity and quality costs. b) QPR stands for "quantity of production reruns." c) The QPR increases if processing costs increase. d) QPR increases if rework costs increase. 10. Which of the following statements is true? a) internal failure costs tend to be low for a service, while external failure costs can be very high b) internal failure costs and external failure costs tend to be low for services c) internal failure costs tend to be high for a service, while external failure costs can be very low d) internal failure costs and external failure costs tend to be high for services 11. Which statement concerning push and pull production systems is true? a) push systems rely on a predetermined schedule while pull systems rely on customer requests b) push systems rely on customer requests while pull systems rely on a predetermined schedule c) both push and pull systems rely on a predetermined schedule d) both push and pull systems rely on customer requests 12. Which of the following statements concerning small-lot production is not true? a) small-lot production requires less space than systems that incur large inventories b) small-lot production requires more capital investment than systems that incur large inventories c) small-lot production simplifies transportation between workstations d) small-lot production allows processes to be moved closer together 13. All of the following would be benefits expected from implementing lean production except a) better quality b) shorter lead times c) reduced capacity d) increased capacity 14. Calculate the number of kanbans needed if the average number of units demanded is 100 units per hour, lead time is 15 minutes, each container holds 10 units, and the safety stock factor is 10%. a) 2.15 containers b) 2.25 containers c) 2.75 containers d) 15 containers4 15. Yield management can be used to address all of the following problems except a) overbooking b) portioning demand into fare classes c) single order quantities d) master production scheduling 16. Which of the following is not a characteristic of aggregate planning for services? a) labor is usually the most constraining resource for services b) service capacity must be provided at the appropriate place and time c) demand for services is easy to predict d) capacity for services is difficult to predict 17. Problems associated with using part-time workers include all of the following except a) high turnover b) accelerated training requirements c) scheduling difficulties d) excessive health-care and retirement costs 18. One disadvantage of Gantt charts, especially for large projects, is that the Gantt Chart a) does not clearly show precedence relationships b) does not indicate activity start times c) does not indicate activity finish times d) does


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UConn OPIM 5110 - Final Exam

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