Chapter 04 Process Selection Chapter 4 Process Selection Answer Key Multiple Choice Questions 1 A large office with a printing department a drafting department with all of the engineers located together and all of the managers located together in a large suite of offices is an example of A an assembly line process B a batch process C a project process D a continuous process LO 4 1 Topic Product Flow Characteristics Difficulty 2 Moderate AACSB Reflective thinking Bloom s Understand Feedback Work is most likely to flow in batches through the various departments 2 The throughput ratio TR is the ratio of the total processing time for the job divided by A total waiting time B utilization C total waiting time plus total processing time D 100 LO 4 1 Topic Product Flow Characteristics Difficulty 2 Moderate AACSB Reflective thinking Bloom s Understand Feedback The formula for throughput ratio is total processing time for the job divided by total time in operations 3 Process efficiency is usually highest in which type of process A Assembly line B Batch C Project D Job shop LO 4 1 Topic Product Flow Characteristics Difficulty 1 Easy AACSB Reflective thinking Bloom s Remember Feedback Assembly line has the highest efficiency or throughput ratio of these choices 4 1 Chapter 04 Process Selection 4 A company makes necklaces with attached letters Department A manufactures the necklace chains and letters ahead of demand Department B assembles the necklaces for specific names when orders are received Departments A and B are respectively A make to stock make to stock B make to stock assemble to order C make to order make to stock D make to order assemble to order LO 4 2 Topic Approaches to Order Fulfillment Difficulty 2 Moderate AACSB Reflective thinking Bloom s Understand Feedback Manufacturing ahead of demand is make to stock assembling when orders are received is assemble to order 5 A make to order operation would be primarily concerned with A forecasting demand B production planning C balancing inventory and service D lead time LO 4 2 Topic Approaches to Order Fulfillment Difficulty 2 Moderate AACSB Reflective thinking Bloom s Understand Feedback The key metric of MTO is the lengths of time it takes to design make and deliver the product also known as lead time 6 An entrepreneur is planning to start a factory to produce high tech plastic containers in high volumes She will use either an assembly line or batch process and has selected two possible sites one in a small town and one in a big city She has discovered the following Based on the information just presented which of the following should be chosen A Assembly line in city B Assembly line in small town C Batch process in city D Batch process in small town LO 4 1 4 2 Topic Product Flow Characteristics Approaches to Order Fulfillment Difficulty 2 Moderate AACSB Reflective thinking Bloom s Understand Feedback With the information given high volume indicates assembly line and the large market and availability of labor indicate city 4 2 Chapter 04 Process Selection 7 Identify the correct statement from the following A A batch process is characterized by jumbled flow while an assembly line process is characterized by a sequential flow B A project process is characterized by difficult planning and scheduling C A job shop process is used to produce to customer order D All of the above are true LO 4 1 Topic Product Flow Characteristics Difficulty 2 Moderate AACSB Reflective thinking Bloom s Understand Feedback All are correct statements see Section 4 1 8 Referring to the product process matrix if a company has a few major products with high demand and a jumbled flow job shop process we know the company A has a company strategy B is on the diagonal of the matrix C is further in its product life cycle than its process life cycle D is further in its process life cycle than its product life cycle LO 4 4 Topic Product Process Strategy Difficulty 2 Moderate AACSB Reflective thinking Bloom s Understand Feedback A few major products combined with a job shop process indicate that the product has evolved faster than the process a few major products suggest assembly line or possibly very large batch 9 An important lesson from the product process matrix is A give importance to product choice decisions over process choice decisions B give importance to process choice decisions over product choice decisions C give importance to aligning product choice decisions and process choice decisions D most firms should operate off the diagonal to achieve competitive status LO 4 3 Topic Process Selection Decisions Difficulty 2 Moderate AACSB Reflective thinking Bloom s Understand Feedback The product process matrix represents the strategic choices available to firms in both product and process dimensions and most organizations want to be positioned on the diagonal indicating alignment 4 3 Chapter 04 Process Selection 10 The type of processing system that is used for highly standardized products such as oil and gasoline is A mass production B continuous process C project D batch LO 4 1 Topic Product Flow Characteristics Difficulty 1 Easy AACSB Reflective thinking Bloom s Remember Feedback Highly standardized commodity products like oil and gas are examples of continuous flow industries 11 A operation uses a process layout while a operation uses a product layout A batch assembly line B assembly line batch C job shop batch D continuous assembly line LO 4 1 Topic Product Flow Characteristics Difficulty 2 Moderate AACSB Reflective thinking Bloom s Understand Feedback Batch operations use a process layout work is organized by process type and assembly line operations are organized according to the product flow i e product layout 12 The type of processing system that is used for complex jobs with a unique or creative set of activities and where automation is virtually impossible is A mass production B continuous production C project D batch LO 4 1 Topic Product Flow Characteristics Difficulty 1 Easy AACSB Reflective thinking Bloom s Remember Feedback Project processes are defined by unique creative and complex products where it is difficult to introduce automation 4 4 Chapter 04 Process Selection 13 The type of processing system that has high product variety and moderate capital investment is A line B continuous production C project D batch E mass production LO 4 1 Topic Product Flow Characteristics Difficulty 2 Moderate AACSB Reflective thinking Bloom s Understand Feedback