MB00044-Answer keys

Sikkim Manipal University - DDE Master of Business Administration II Semester Production and Operations Management - MB0044 - 4 credits (Book ID 1627) Answer Key Duration : 2 hours Total marks: 140 _________________________________________________________ Section A 50 X 1= 50 marks 1. Time and Motion Study is a method used in which of the following? a. Labour productivity b. Capital productivity c. System productivity d. Personnel Productivity 2. Lack of expertise, quality considerations, nature of demand, and cost factors come under which of the following? a. Balancing of workstations b. Outsourcing strategies c. Quality circles d. Rationalisation of packaging methods 3. The first step in increasing the labour productivity is _____________ a. Balancing operations in assembly line b. Reallocation of workers c. Setting up productivity norms d. Evaluation of production operations 4. Releasing the necessary tools and equipment, instruments, and inspection devices for the purpose of production is a part of which one of the following? a. Scheduling b. Routing c. Dispatching d. Expediting 5. Which approach is used to gain access to foreign markets and quickly promote an organisation's interest? a. Joint venture b. Technology transfer c. Collaboration d. Licensing 6. The __________ strategy is the use of processes that provide little variety in high volumes and mostly customised. a. Manufacturing b. Functional c. Service d. Global 7. Allocation of resources is an element of which of these strategies? a. Marketing Strategy b. Operations Strategy c. Business Strategy d. Service Strategy 8. _________ forecasting is vital both for capacity-lead and capacity-lag decisions. a. Supply b. Quality c. Demand d. Operation 9. Facility, capacity, and layout planning are a part of which of these operation strategies? a. Operating decisions b. Process decisions c. Quality decisions d. Capacity decisions 10. In the equation Ft =Ft-1 + α (At –1 –Ft-1), α represents which of the following? a. New forecast b. Old forecast c. Actual value for the period d. Smoothing constant 11. Forecast error = ___________ - Forecast demand a. Actual decision b. Actual demand c. Actual forecast d. Actual allowance 12. The forecast can be trend based for which of the following? a. Products in the launch stage b. Products in the decline stage c. Products in the maturity stage d. Products in the growth stage 13. In which of the following industries is closeness to the market place a key factor? a. Cement b. Paper c. Meat products d. Computers 14. Which among the following methods assumes that in the foreseeable future the cost value does not change significantly? a. Breakeven analysis b. Rating plan c. Centre of gravity d. Point rating 15. Which among the following methods is used when both distance and load have to be considered for optimality in terms of cost? a. Factor rating b. Rating plan c. Centre of gravity d. Point rating 16. In which of the following sectors is the flexibility of choice low regarding the selection of a location? a. Hospitality b. Governmental organisations c. Computer d. Transportation 17. In assembly Line Balancing, the time available at each station is known as ________ time. a. Operation b. Productive c. Service d. Cycle 18. Which of the following technique is helpful in determining the magnitude of product flow between departments? a. Materials handling b. Line balancing c. Evaluating layout d. Layout planning 19. ________ layouts are not flexible as they are specifically designed for making or assembling one product. a. Hybrid layout b. Product layout c. Process layout d. Detailed layout 20. Which of the following can be kept on a work bench and picked up? a. Special equipment b. Part to picker c. Workplace equipment d. Horizontal travel 21. Which of the following quality control tools helps in pin-pointing the exact points at which errors have crept in? a. Histogram b. Flow chart c. Scatter diagram d. Control charts 22. Which of the following dimension of quality verifies that the variability in the process is within acceptable limits so as not to compromise the functionalities that the designer wanted? a. Quality of design b. Conformance to design c. Utilisation conditions d. After sales service 23. Acceptance sampling is also known as ____________________. a. Fool-proofing b. Double sampling c. Pareto analysis d. End of line inspection 24. "The main thrust of total productive maintenance is _________________.” a. Eliminating all break downs b. Testing purchased goods c. Conforming to requirements d. Conformance to quality standards 25. ____________________ focuses upon the needs of the business, its activities, their flow, and the data entities they create. a. Physical model b. Database model c. Logical model d. Server model 26. In ________________ , the purpose of the process is to be written in a statement. a. Business process modelling b. Logical process modelling c. Meta-process modelling d. Physical process modelling 27. ______________________ represents the entities or clusters of information and their relationships maintained for the business. a. Process flow diagram b. Control flow diagram c. Entity relationship diagram d. Data flow diagram 28. Which of the following is one of the reasons for optimising the business process? a. To determine the disposition of data b. To maximise the earnings of the organisation c. To go deeper into the details and collect data d. To verify the adequacy of data 29. Use __________________ of tasks to monitor and control the project deliverables. a. Polar chart b. Radar chart c. Milestone chart d. GANTT chart 30. _________________ is the individual responsible for managing the project. a. Customer b. Project manager c. Sponsor d. Designer 31. __________________ formalise acceptance and bring project to an orderly end. a. Controlling processes b. Executing processes c. Closing processes d. Planning processes 32. Who are responsible for the completion of the project as per the plans of the project? a. Team members b. Stage managers c. Customers d. Stage teams 33. __________________ involves the execution of the project as per the plan. a. Feasibility stage b. Research stage c. Preparation stage d. Implementation stage 34. Identifying the actions to minimise the risk consequences is also known as _______________. a. Risk assessment b. Risk mitigation c. Risk prioritising d. Risk management 35. Which of the following may be done through regularly organised meetings and quality reviews? a. Outstanding project work evaluation b. Project review questionnaire c. Final product evaluation d. Process evaluation 36. _____________ plan is developed using the forecast demand as the input. a. Marketing b. Aggregate c. Differential d. Business 37. Information technology companies follow the ________________ strategy a. Chase demand strategy b. Level production strategy c. Stable work-force strategy d. Differentiation strategy 38. ____________ is an integrated process transforming raw materials into finished products which are then delivered to the customer. a. Customer Relationship Management b. Supply Chain Management c. Vendor Management Inventory d. Total Quality Management 39. _________________ must monitor the entire supply chain to detect early warning signals of changing customer demand and needs. a. Sales and operations planners b. Finance manager c. Business analyst d. Distributor 40. "Critical path method overcomes the deficiencies of _____________.“ a. CPM chart b. Gantt chart c. Flow chart d. PERT chart 41. In which of the following starting time of the processing job is determined by “setting back” the number of days required for its processing, from finish date? a. Index method of scheduling b. Critical ratio scheduling c. Forward scheduling d. Backward scheduling 42. ______________ looks at the manufacturing activities with a view to make the components simpler, processes faster, and the products better. a. Control engineering b. Industrial engineering c. Value Engineering d. Systems engineering 43. _____________ is done for the processes and quality assurance measures. a. Evaluation b. Inspection c. Implementation d. Optimisation 44. Which of the following determines the quantities to be produced at specified intervals of time? a. Inspection b. Distribution c. Forecasting d. Retailing 45. The companies which undertake supplying the manufactured products of an organisation are called as ____________. a. Suppliers b. Customers c. Producers d. Vendors 46. ____________enables a firm to meet the changing demands of the customers in order to develop new processes and materials and to make the organisation more agile in its manufacture. a. Delivery time b. Quality c. Flexibility d. Quantity 47. ______________ is the result of a decision taken at the highest level. a. Marketing Strategy b. Business Strategy c. Operations Strategy d. Service Strategy 48. _____________ is the process of estimating, routing, and scheduling a. Planning b. Controlling c. Implementing d. Functioning 49. "________________ management involves defining a backup procedure” a. Configuration b. Risk c. Quality d. Change 50. Which of the following is seen as anti-people policy? a. Varying workforce size by hiring or layoffs b. Sub-contracting c. Using part-time workers d. Varying production rates through overtime or idle time Section B 25 X 2= 50 marks 51. Which among the following are the quality tools? 1. Line of balance 2. Gantt chart 3. Control chart 4. Checksheet a. Options 1 & 2 b. Options 3 & 4 c. Options 1 & 4 d. Options 2 & 3 52. Consider the below mentioned statements. 1. Breakeven analysis assumes the relationships between costs and volume to be non-linear. 2. The cost values with higher volumes do not rise in the same proportion. State True or False: a. 1-True, 2-True b. 1-False, 2-True c. 1-False, 2-False d. 1-True, 2-False 53. Which of these are competitive priorities? a. Volume, Location b. Quantity, License c. Location, Layout d. Quality, Flexibility 54. In which of the following methods is the opinion of a group of experts collected? 1. Market surveys 2. Jury of executive opinion 3. Delphi method 4. Historical analysis a. Options 1 & 2 b. Options 2 & 3 c. Options 2 & 4 d. Options 3 & 4 55. Which of the following industries require continuous water supply in large amounts? 1. Paper 2. Chemical 3. Food processing 4. Computers a. Options 1 & 2 b. Options 2 & 3 c. Options 1 & 3 d. Options 2 & 4 56. Consider the below mentioned statements. 1. Assembly line refers to a special arrangement of facilities typically along a straight line or a u-shaped line. 2. Systematic technique provides an organised approach for selecting the best layout. State True or False: a. 1-False, 2-False b. 1-True, 2-True c. 1-True, 2-False d. 1-False, 2-True 57. Histograms are used for which of the following? 1. It is used to record huge volumes of data about a process. 2. It indicates the extent of each category of problems in descending order of magnitude of the problem. 3. It reveals whether the pattern of distribution has a single peak, or many peaks. 4. It helps in locating the points at which a problem exists. a. Options 1 & 2 b. Options 2 & 3 c. Options 1 & 3 d. Options 1 & 4 58. The outcomes of the logical model and physical model are called the _______________________ and ________________________. a. Control flow diagrams, business process diagrams b. Business process diagrams, data flow diagrams c. Entity relationship diagrams, business process diagrams d. Entity relationship diagrams, control flow diagrams 59. Responsibilities of the project manager are ____________________ and ________________________. a. Budgeting and cost control, scheduling tasks b. Team building, budgeting and cost control c. Scheduling tasks, team work d. Team work, team building 60. Consider the below mentioned statements: 1. Before allocation of staff to the stage, the team structure is defined and team leaders appointed. 2. Project objectives may be formulated as S.M.A.R.T. State True or False: a. 1-True, 2-True b. 1-False, 2-True c. 1-False, 2-False d. 1-True, 2-False 61. Which of the following is included in configuration management? 1. Defining the naming and numbering scheme 2. Structuring the changes 3. The way project plans are updated 4. The manner in which project performance are monitored a. Option 1 & 3 b. Option 1 & 2 c. Option 2 & 3 d. Option 3 & 4 62. Consider the below mentioned statements: 1. While developing the aggregate plan it is assumed that the facilities are changeable and can be expanded or contracted. 2. Each of the aggregate plans developed suggests a suitable mix of resource inputs which must be examined to satisfy a certain objective. State True or False: a. 1-True, 2-True b. 1-False, 2-True c. 1-False, 2-False d. 1-True, 2-False 63. Consider the below mentioned statements: "1. Decision making process is a behavioural aspect of the business process where humans are involved." "2. The failure of decisions is due to biases in perception and fallacies in reasoning. " State True or False: a. 1-True, 2-True b. 1-False, 2-True c. 1-False, 2-False d. 1-True, 2-False 64. What are the major concerns of a master schedule? 1. If the schedule meets the production plan. 2. If there are priority or capacity conflicts. 3. If the vendor managed inventory works. 4. Project failure. a. Option 1 & 2 b. Option 2 & 3 c. Option 1 & 4 d. Option 2 & 4 65. Which of the following are capacity (production) options? 1. Changing inventory levels 2. Back ordering during high-demand periods 3. Influencing demand 4. Varying workforce size by hiring or layoffs a. Option 1 & 2 b. Option 2 & 3 c. Option 1 & 4 d. Option 2 & 4 66. SCM applications fall into two main categories namely _________________________. a. Planning applications, Execution applications b. Domain applications, Planning applications c. Execution applications, Web-based applications d. Web-based applications, Domain applications 67. A Bullwhip effect may arise due to which of the following? 1. Reduced service levels in the organisation 2. Avoiding multiple demand forecasting 3. Stabilised prices 4. Inefficient allocation of resources a. Option 1 & 2 b. Option 2 & 3 c. Option 1 & 4 d. Option 2 & 4 68. Detailed scheduling is possible in ____________ and _______________ a. Airlines, hotels b. Production line, hotels c. Airlines, production lines d. Factories, Industries 69. Why excess capacity should be available? 1. To handle emergencies 2. To queuing and transit of Work in Progress 3. To cooperate and meet the schedule. 4. To accommodate a totally new but profitable order. a. Option 1 & 2 b. Option 2 & 3 c. Option 1 & 4 d. Option 2 & 4 70. Consider the below mentioned statements: 1. The cost and quality of a product play a major role in modifying the value, productivity, and effectiveness of the product . "2. Industries should think beyond value management to suit the customers’ priorities.” State True or False: a. 1-True, 2-True b. 1-False, 2-True c. 1-False, 2-False d. 1-True, 2-False 71. "What are the key questions asked during the analysis and valuation of functions step?” 1. Have all resources been allocated? 2. What are high cost areas? 3. How to amend present plans/contracts? 4. What is the worth of secondary functions? a. Option 1 & 3 b. Option 2 & 4 c. Option 1 & 2 d. Option 2 & 3 72. Consider the below mentioned statements: 1. Self-certification by the vendor is resorted to ensure quantity of the material. "2. Maintenance of machines and periodic shop floor inspection is necessary.” State True or False: a. 1-True, 2-True b. 1-False, 2-True c. 1-False, 2-False d. 1-True, 2-False 73. Different companies adopt different strategies depending on which of the following? 1. Products 2. Transporters 3. Type of outsourcing 4. Warehouses a. Option 1 & 3 b. Option 2 & 4 c. Option 1 & 2 d. Option 2 & 3 74. Which of these are the phases of operations strategy? 1. Quality 2. Data gathering 3. Differentiating 4. Flexibility a. Options 1 & 4 b. Options 2 & 3 c. Options 3 & 4 d. Options 2 & 4 75. Layout decisions require substantial investments of both ________ and ________. a. Money , Effort b. Manpower, Money c. Effort, Manpower d. Time, Money Section C Answer all the questions 4*10=40 marks Case Study (Compulsory) Dr.Chowdary has been in the field of hospital administration for last 18 years. Recently he has been posted as chief of a district Head Quarters Hospital. After assuming the position, Dr.Chowdary came to know that everything is not good at the hospital and came across certain critical problems. Some of them are. (a) Storage of medical and non-medical items (b) Poor patient feeding-patients have complained about the quality of food. (c) Non availability of Ambulance, when needed. (d) Break down of X-ray machine since long time. Dr.Chowdary decided to take assistance of a management hand to solve the above problems and many more small problems that bother him in every day business. Dr.Chowdary gave an advertisement. Called candidates for interview and could not satisfy from the answers given by the candidates. One fine morning a neatly dressed young man came to Dr.Chowdary and told him that he is useful to Dr.Chowdary in solving the problems in the Hospital. He told Dr.Chowdary that he is working as a production manager in local medium sized factory. Dr.Chowdary laughed at him and said, “ You see young man in spite of my 18 years of experience in the hospital, I am not in a position to understand their administrative problems. You being a production manager of a manufacturing concern, how do you help me? “ Think that you are the young man who has approached Dr.Chowdary and explain Source: Murthy, P. R. (n.d.). Production And Operations Management. New Age International. Each Question carries 10 marks 76. How will scheduling ensure the availability of ambulance? Refer unit 13 77. How will total productive maintenance prevent the breakdown of the x-ray machine? Refer Unit 7 78. Write short notes on a. Seven principles of SCM (5 marks) Refer Unit 12 b. Value engineering (5 marks) Refer Unit 14 79. c. What are the different types of layout? Explain any one in detail. (5 marks) Refer Unit 6 d. Explain how to improve the business process using 'As-is' business process? (5 marks) Refer Unit 8