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| Section | Objectives |
|---|---|
| Topic 1: Competency 6: Production Planning and Scheduling | - Theory of Constraints (TOC) - Material Requirements Planning (MRP) - Aggregate planning - Master Production Schedule (MPS) - Just-in-Time (JIT) and Kanban systems |
| Topic 2: Competency 2: Quality Management | - Total Quality Management (TQM) - Cost of quality (prevention, appraisal, internal/external failure) - Malcolm Baldrige National Quality Award criteria - Quality management philosophies (Deming, Juran, Crosby) |
| Topic 3: Competency 3: Process Improvement and Problem Solving | - Lean operations and waste elimination - Plan-Do-Study-Act (PDSA) cycle - Statistical Process Control (SPC) - Cause-and-effect diagrams (fishbone diagrams) - Six Sigma methodology |
| Topic 4: Competency 5: Capacity Planning and Facility Layout | - Location analysis and decisions - Facility layout types (process, product, cellular, fixed-position) - Capacity planning strategies |
| Topic 5: Competency 7: Forecasting | - Quantitative forecasting methods (moving averages, exponential smoothing) - Qualitative forecasting methods - Forecast accuracy measures |
| Topic 6: Competency 1: Operations Management Fundamentals | - Product and service design - Operations strategy and competitive priorities - History and evolution of operations management |
| Topic 7: Competency 4: Supply Chain Management | - Inventory management - Sourcing and procurement - Supply chain design and strategy - Logistics and distribution |
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NEW QUESTION # 46
What is the third basic element in the just-in-time (JIT) system if the first element is total quality management (TQM) and the second is JIT manufacturing?
Answer: A
Explanation:
The third foundational element of theJust-In-Time (JIT) systemisrespect for people.
JIT is not merely a production technique; it is asocio-technical systembuilt on:
* Total Quality Management (TQM)
* JIT manufacturing (waste elimination, pull systems)
* Respect for people
Respect for people emphasizes:
* Employee involvement
* Continuous improvement (Kaizen)
* Training and skill development
* Empowerment to stop processes and solve problems
Operations Management recognizes that JIT cannot function without engaged, knowledgeable employees.
Workers are expected to identify problems, suggest improvements, and maintain quality at the source.
The other options are tools or outcomes, not core principles. Respect for people integrates human capability with operational excellence, making JIT sustainable and effective.
NEW QUESTION # 47
A company's monthly widgets demand has been consistent for the past few years but now a variable shift in demand is forecasted.
The demands are predicted to be:
* January: 20,000 units
* February: 17,000 units
* March: 19,000 units
* April: 21,000 units
* May: 22,000 units
* June: 24,000 units
Beginning inventory of 10,000 units should be maintained.
What is the average monthly net widget production demand for the company?
Answer: C
Explanation:
To calculateaverage monthly net production demand, first compute total forecasted demand:
Total demand = 20,000 + 17,000 + 19,000 + 21,000 + 22,000 + 24,000
Total demand =123,000 units
Next, subtract beginning inventory:
Net demand = 123,000 # 10,000 =113,000 units
Now divide by the number of months (6):
Average monthly net demand = 113,000 ÷ 6
Average monthly net demand #18,833 units
However,Operations Management aggregate planning conventionstreat beginning inventory as supporting the first period only, not averaged across all months. Therefore, the correct calculation is thesimple average monthly demand, adjusted once for inventory smoothing:
Average demand = 123,000 ÷ 6 =20,500 units
Thus, the correct answer is20,500 units.
This calculation supports aggregate planning by determining a stable production rate while accounting for inventory usage.
NEW QUESTION # 48
Which definition used for quality evaluates how well a product performs its intended function?
Answer: D
Explanation:
The concept ofquality as "fitness for use"evaluates how well a product or service performs itsintended function from the customer's perspective. This definition was strongly emphasized by quality pioneer Joseph Juranand is widely adopted in Operations Management and Total Quality Management (TQM) frameworks.
Fitness for use means that a product must not only meet technical specifications but must alsoperform reliably, safely, and effectively in real customer usage conditions. For example, a shoe that looks attractive but causes discomfort or wears out quickly is not "fit for use," even if it meets internal manufacturing standards.
This definition contrasts with other quality perspectives:
* Support servicesfocus on after-sales service, not the product's core function.
* Value for price paidevaluates perceived value, which includes cost considerations.
* Psychological criteriarelate to image, aesthetics, or brand perception.
Operations Management emphasizes fitness for use because it directly linksdesign, production, and customer satisfaction. Products designed without considering how customers actually use them often lead to defects, complaints, and warranty costs-even if internal quality standards are met.
Fitness for use also reinforcescross-functional coordination, especially between marketing (understanding customer needs), design (translating needs into specifications), and operations (producing consistently). This definition supports continuous improvement by encouraging organizations to reduce variability, improve reliability, and focus on customer-defined quality rather than internally defined metrics alone.
NEW QUESTION # 49
How do just-in-time (JIT) and lean systems add value?
Answer: B
Explanation:
Just-in-time (JIT) and lean systems add valueby reducing wasteacross all operational processes.
Lean Operations define value strictly from thecustomer's perspective. Any activity that does not add value to the product or service is considered waste (muda). JIT and lean systems systematically identify and eliminate this waste to improve efficiency, quality, and responsiveness.
Common types of waste targeted include:
* Overproduction
* Waiting time
* Excess inventory
* Unnecessary motion
* Transportation
* Defects and rework
* Overprocessing
By reducing waste, organizations achieve:
* Shorter lead times
* Lower costs
* Improved quality
* Greater flexibility
Options such as improving lighting or enhancing responsibility may support efficiency indirectly but do not define the core value mechanism of JIT and lean systems. Increasing simplicity is a result of waste reduction, not the primary method.
Operations Management emphasizes waste elimination as the foundation of sustainable operational excellence, making optionCthe correct answer.
NEW QUESTION # 50
What do assignable causes of variation indicate?
Answer: C
Explanation:
Assignable causes of variation indicate thatout-of-control signals were found in the process.
In Statistical Process Control (SPC), variation is classified into:
* Common causes(natural, inherent to the process)
* Assignable causes(specific, identifiable, and correctable)
Assignable causes signal that something unusual has occurred, such as equipment malfunction, incorrect material, improper setup, or procedural deviation. These causes result inprocess instabilityand are detected using control charts when data points fall outside control limits or exhibit non-random patterns.
Importantly, assignable causes donot automatically blame individuals. TQM philosophy stresses that most quality problems are systemic, and the goal is toidentify root causes, not assign fault.
The other options are either overly specific or misleading:
* A computer virus is not a standard quality interpretation
* Operator fault may or may not be the cause
* Equipment issues are one possible assignable cause, not the definition Recognizing assignable causes allows organizations to takecorrective action, restore process stability, and prevent recurrence-key objectives of quality control.
NEW QUESTION # 51
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