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| Section | Objectives |
|---|---|
| Competency 2: Quality Management | - Total Quality Management (TQM) - Cost of quality (prevention, appraisal, internal/external failure) - Quality management philosophies (Deming, Juran, Crosby) - Malcolm Baldrige National Quality Award criteria |
| Competency 1: Operations Management Fundamentals | - Product and service design - History and evolution of operations management - Operations strategy and competitive priorities |
| Competency 5: Capacity Planning and Facility Layout | - Facility layout types (process, product, cellular, fixed-position) - Capacity planning strategies - Location analysis and decisions |
| Competency 3: Process Improvement and Problem Solving | - Lean operations and waste elimination - Statistical Process Control (SPC) - Cause-and-effect diagrams (fishbone diagrams) - Six Sigma methodology - Plan-Do-Study-Act (PDSA) cycle |
| Competency 6: Production Planning and Scheduling | - Material Requirements Planning (MRP) - Theory of Constraints (TOC) - Aggregate planning - Just-in-Time (JIT) and Kanban systems - Master Production Schedule (MPS) |
| Competency 4: Supply Chain Management | - Logistics and distribution - Supply chain design and strategy - Inventory management - Sourcing and procurement |
| Competency 7: Forecasting | - Forecast accuracy measures - Quantitative forecasting methods (moving averages, exponential smoothing) - Qualitative forecasting methods |
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NEW QUESTION # 44
Which continuous improvement method does Cpk measure?
Answer: B
Explanation:
The process capability indexCpkmeasureshow close a process is to its target and how consistent it is around the average performance.
Cpk is a key metric inSix Sigma and continuous improvement methodologies. It evaluates both:
* Process centering(distance from specification limits)
* Process variation(spread of data)
Unlike Cp, which assumes the process is centered, Cpk accounts for actual process performance relative to upper and lower specification limits. This makes it a more realistic indicator of quality capability.
In Operations Management, Cpk helps organizations:
* Assess whether a process can meet customer specifications
* Identify improvement priorities
* Reduce defects before they occur
Higher Cpk values indicate better performance:
* Cpk # 1.33 is generally acceptable
* Cpk # 2.0 aligns with Six Sigma performance
The other options confuse Cpk with defect rates or cycle time measures. While defects per million opportunities (DPMO) are related, Cpk specifically evaluatesprocess capability, not output counts.
By focusing on consistency and target alignment, Cpk supports preventive quality management and data- driven continuous improvement.
NEW QUESTION # 45
What are two reasons a company might be hesitant to provide overtime as a capacity-based option?
Choose 2 answers
Answer: B,D
Explanation:
Companies may hesitate to use overtime becauseit is not a long-term solutionandit carries a wage premium
, typically around50% higher than regular pay.
Overtime can quickly increase capacity, but prolonged use leads to:
* Employee fatigue
* Quality deterioration
* Increased absenteeism
* Higher error rates
Additionally, overtime raises labor costs substantially, increasing unit production cost and reducing profitability.
The incorrect options are misleading:
* Overtime does not necessarily build excess inventory
* Overtime increases, not decreases, labor cost per unit
Operations Management views overtime as atemporary capacity buffer, appropriate for short demand spikes but risky if used continuously.
NEW QUESTION # 46
Which tier-level supplier directly supplies materials or services to a processing and packaging plant?
Answer: B
Explanation:
Comprehensive and Detailed Explanation (#250 words):
Tier one suppliersdirectly supply materials or services to a processing and packaging plant.
In supply chain hierarchy:
* Tier one suppliersdeliver components, raw materials, or services directly to the manufacturer
* Tier two suppliers supply tier one
* Tier three and beyond supply upstream tiers
JIT systems rely heavily on tier one suppliers because:
* Delivery frequency is high
* Quality must be consistent
* Lead times must be short
* Coordination must be tight
Operations Management stresses the importance of strong partnerships with tier one suppliers to ensure uninterrupted flow and minimal inventory.
NEW QUESTION # 47
In which organizational layout would one expect to see items arranged by type?
Answer: A
Explanation:
Comprehensive and Detailed Explanation (#250 words):
Aprocess layoutarranges itemsby type of activity or function, making it the correct answer.
In a process layout, similar resources-such as machines, skills, or functions-are grouped together. For example, all drilling machines are located in one area, all painting stations in another, and all inspection activities in another. Items move through the facility based on the specific operations they require.
This layout is commonly used when:
* Product variety is high
* Production volume is low to moderate
* Customization is required
Examples include hospitals (radiology, surgery, labs), machine shops, and repair facilities.
The other layouts differ fundamentally:
* Product layoutarranges items by sequence of operations
* Fixed layoutkeeps the product stationary (e.g., construction)
* Hybrid layoutcombines elements of process and product layouts
Operations Management favors process layouts for flexibility, but they often suffer from longer lead times, higher material handling costs, and complex scheduling. Despite these drawbacks, they are essential where customization and functional specialization dominate.
NEW QUESTION # 48
Which quality control tool should be used to monitor the current status or end result of a process?
Answer: C
Explanation:
Acontrol chartis the primary quality control tool used tomonitor the current status and end results of a process over time.
Control charts, a core component ofStatistical Process Control (SPC), distinguish between:
* Common-cause variation(natural process variation)
* Assignable-cause variation(abnormal, correctable issues)
By plotting data points against upper and lower control limits, control charts help operations managers determine whether a process isstable or out of control.
Why control charts are ideal:
* They provide real-time monitoring
* They detect trends before defects occur
* They support preventive quality management
* They reduce reliance on inspection
Other tools serve different purposes:
* Checklistscollect data
* Flowchartsmap processes
* Scatter diagramsanalyze correlations
Operations Management emphasizes control charts because they supportprocess-based quality, aligning with TQM and Six Sigma philosophies. Instead of fixing defects after they occur, organizations canintervene early
, reducing cost and improving consistency.
Control charts reinforce continuous improvement by enabling data-driven decisions, reducing variability, and stabilizing production processes-making them indispensable in modern quality management systems.
NEW QUESTION # 49
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