1) TPS stands for Toyota Production System. |
Answer: TRUE |
2) TPS stands for Total Production Streamlining. |
Answer: FALSE |
3) Product storage is an example of waste in the sense that no value is added. |
Answer: TRUE |
4) In a JIT system, product inspection adds value by identifying defective items. |
Answer: FALSE |
5) Customer demand will always remain an unknown, so it is not considered a source of variability. |
Answer: FALSE |
6) Variability in manufacturing can occur because engineering drawings or specifications are incomplete or inaccurate. |
Answer: TRUE |
7) A push system means providing the next station with exactly what is needed when it is needed. |
Answer: FALSE |
8) Waste is anything that does not add value from the consumer’s perspective. |
Answer: TRUE |
9) Increasing inventory exposes variability in production processes. |
Answer: FALSE |
10) The 5Ss—sort/segregate, simplify/straighten, shine/sweep, standardize, and sustain/self discipline—are important to lean production because they act as a means to reduce waste. |
Answer: TRUE |
11) When implemented as a comprehensive operations strategy, JIT, TPS, and lean systems sustain competitive advantage and result in increased overall returns. |
Answer: TRUE |
12) What does TPS stand for? |
Answer: B) Toyota Production System |
13) Which of the following is generally found in most lean environments? |
Answer: E) pull systems |
14) Which of the following is NOT a source of variability? |
Answer: C) Employees, machines, and suppliers produce units that conform to standards. |
15) Which of the following is specifically characterized by a focus on continuous improvement, respect for people, and standard work practices? |
Answer: B) Toyota Production System (TPS) |
16) Which of the following is specifically characterized by continuous and forced problem solving via a focus on throughput and reduced inventory? |
Answer: A) Just-in-time (JIT) |
17) Which of the following statements regarding a pull system is TRUE? |
Answer: D) Problems become more obvious. |
18) Manufacturing cycle time is best defined as the: |
Answer: E) time from raw materials receipt to finished product exit. |
19) Which of the following is specifically characterized by the elimination of waste through a focus on exactly what the customer wants? |
Answer: C) Lean operations |
20) Which of the following is NOT one of the Seven Wastes? |
Answer: C) assignment |
21) The 5Ss: |
Answer: E) All of these are true. |
22) The list of 5Ss, although it looks like a housekeeping directive, supports lean production by: |
Answer: A) identifying non-value items and removing them, in the "sort/segregate" category. |
1) JIT brings about competitive advantage by faster response to the customer regardless of cost. |
Answer: FALSE |
2) One goal of JIT partnerships is the removal of in-plant inventory by delivery in small lots directly to the using department as needed. |
Answer: TRUE |
3) Many suppliers feel that having a variety of customers is better than being tied to long-term contracts with one customer. |
Answer: TRUE |
4) JIT suppliers have concerns that the JIT firm’s demands for small lot sizes are simply a way of transferring holding cost from the JIT firm to the suppliers. |
Answer: TRUE |
5) A common JIT layout tactic is to minimize distance. |
Answer: TRUE |
6) Cross-training is a common JIT layout tactic to improve flexibility. |
Answer: TRUE |
7) JIT systems carry inventory just in case something goes wrong. |
Answer: FALSE |
8) Hidden problems are generally uncovered during the process of reducing inventory. |
Answer: TRUE |
9) A scheduler may find that freezing the portion of the schedule closest to the due dates allows the production system to function and the schedule to be met. |
Answer: TRUE |
10) The first step in reducing setup times is the separation of setup into preparation activities and actual setup, so that as much work as possible can be done while the machine or process is operating. |
Answer: TRUE |
11) Level scheduling means producing at a constant rate, regardless of customer demands. |
Answer: FALSE |
12) With level schedules, a few large batches, rather than frequent small batches, are processed. |
Answer: FALSE |
13) The number of kanbans decreases as safety stock is increased. |
Answer: FALSE |
14) A kanban system requires that the process has little variability in lead time because shortages impact the entire production system. |
Answer: TRUE |
15) The quality management tool called poka-yoke is not relevant to JIT systems. |
Answer: FALSE |
16) Concerning relationships with suppliers, which of the following combinations is critical to the success of JIT? |
Answer: A) close relationships with trust |
17) Which one of the following is not a benefit of JIT implementation? |
Answer: B) variability increase |
18) If the goals of JIT partnerships are met, which of the following is a result? |
Answer: B) In-transit inventory falls as suppliers are located closer to facilities. |
19) Which one of the following is a characteristic of a JIT partnership? |
Answer: D) removal of incoming inspection |
20) Characteristics of just-in-time partnerships do NOT include: |
Answer: B) large lot sizes to save on setup costs and to gain quantity discounts. |
21) Which of the following is not a goal of JIT partnerships? |
Answer: D) inspect all incoming shipments to ensure zero defects |
22) Which of the following is NOT a goal of JIT partnerships? |
Answer: E) All of the above are goals of JIT partnerships. |
23) Which one of the following is a concern expressed by suppliers in JIT partnerships? |
Answer: C) having limited ability to respond to changes in product and quality |
24) How can a reduction of in-transit inventory be encouraged? |
Answer: A) supplier location near plants |
25) In JIT partnerships, suppliers have several concerns. Which of the following is NOT such a concern? |
Answer: E) customers’ infrequent engineering changes |
26) Which of the following is NOT a concern of suppliers as they prepare to enter into JIT partnerships? |
Answer: E) All of the above represent JIT supplier concerns. |
27) Just-in-time systems make demands on layouts, including the need for: |
Answer: E) all of the above |
28) Which one of the following is NOT a layout tactic in a JIT environment? |
Answer: B) fixed equipment |
29) Who is credited with coining the phrase, "Inventory is evil"? |
Answer: D) Shigeo Shingo |
30) Which one of the following statements is TRUE regarding JIT inventory? |
Answer: B) It is the minimum inventory necessary to keep a perfect system running. |
31) A firm wants to develop a level material use schedule based on the following data. What should be the setup cost? Desired lot size: 60 A) $0.45 |
Answer: A) $0.45 |
32) A product has annual demand of 100,000 units. The plant manager wants production to follow a four-hour cycle. Based on the following data, what setup cost will enable the desired production cycle? |
Answer: B) $7.20 |
33) Which of the following is TRUE regarding the steps to reducing setup times? |
Answer: E) All of the above are true. |
34) If a factory wants to cut its current lot size in half, by what proportion must setup cost change? |
Answer: A) Setup cost must be cut to one fourth its current value. |
35) Which one of the following statements is TRUE about the kanban system? |
Answer: E) The customer workstation signals to the supplier workstation when production is needed. |
36) Kanban is associated with all EXCEPT which of the following? |
Answer: D) increased material handling |
37) What does the Japanese word "kanban" mean? |
Answer: C) card |
38) Which one of the following scenarios represents the use of a kanban to reduce inventories? |
Answer: D) A "customer" work center signals to the "supplier" workstation that more parts are needed. |
39) The number of kanbans should be equal to which of the following? |
Answer: B) the ratio of (demand during lead time + safety stock) to container size |
40) Lead time for cakes is 2 days with daily demand of 10 cakes and a safety stock of ½ a day. Each container (kanban) holds 1 cake. What is the correct number of kanbans? |
Answer: E) 25 |
41) The cook in a fast-food restaurant knows that 2 hamburger patties and an order of fries should be started for each car that is waiting in line. This is best an example of: |
Answer: B) kanban. |
42) Lead time for computers is 7 days with daily demand of 5 computers and a safety stock of 1 day. Each kanban holds 8 computers. What is the correct number of kanbans? |
Answer: C) 5 |
43) Lead time for computers is 5 days with daily demand of 25 and safety stock of 5 computers. If management wants to use 10 kanbans how many computers should each one hold? |
Answer: E) 13 |
44) A grocery store is attempting to implement a kanban system. Which of the following would not be an application of kanbans? |
Answer: D) The meat department stocking up on turkeys before Thanksgiving. |
45) Which of the following is FALSE regarding the links between JIT and quality? |
Answer: E) JIT increases the cost of obtaining good quality. |
46) JIT makes quality cheaper because: |
Answer: C) JIT prevents long runs of defects. |
47) Great Lakes Barge and Baggage Company makes, among other things, battery-operated bilge pumps. Which of the following activities is NOT part of JIT? They: |
Answer: B) produce in long production runs to reduce the impact of setup costs. |
48) A manufacturer took the following actions to reduce inventory. Which of these is generally not accepted as a JIT action? |
Answer: D) It picked the supplier that offered the lowest price based on quantity discounts. |
1) Employee empowerment is unnecessary in the Toyota Production System, because automation and powerful information systems reduce the need for employee creativity and decision making. |
Answer: FALSE |
2) The Toyota Production System requires that activities have built-in, automatic tests to signal problems. |
Answer: TRUE |
3) Which of the following is an illustration of employee empowerment? |
Answer: C) "No one knows the job better than those who do it." |
4) Which of the following is not characteristic of a TPS employee? |
Answer: B) strict job classifications |
1) Which of the following is NOT an attribute of lean operations? |
Answer: C) pushing responsibility to the highest level possible through centralized decision making |
2) Lean operations are known for their: |
Answer: E) All of the above are attributes of lean operations. |
3) Which of the following is characteristic of lean operations? |
Answer: D) low space requirements |
1) Because most services cannot be inventoried, there is little place for JIT to help service organizations achieve competitive advantage. |
Answer: FALSE |
2) Excess bags of basic commodities such as flour and sugar that are stored in a restaurant’s kitchen represent which of the following wastes? |
Answer: D) inventory |
Supply Chain Exam 2 (Chapter 16)
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