Operations and Material Management UPES MCQ with answer 1st Practice Set

Q1: Quality function deployment seeks to
a) Build high standard of quality in the product
b) Build voice of customer into the design of product
c) Focus on technical attributes in a process which have a bearing on customer satisfaction
d) None of above

Answer

b) Build voice of customer into the design of product

Q2: The use of models will guarantee the best possible decisions.
a) True
b) False

Answer

b) False

Q3: Group Consensus relates to which of the following judgmental forecasting technique?
a) Sales force
b) Consumer surveys
c) Delphi method
d) Executive opinions

Answer

c) Delphi method

Q4: Which of the following is not included as an inventory holding cost?
a) Annualized cost of materials
b) Handling
c) Insurance
d) Pilferage

Answer

a) Annualized cost of materials

Q5: Which of the following is considered to be a cause of poor U.S. global competitiveness?
a) the tendency to view labor as a cost factor to be minimized
b) decision-making based on short-term horizons
c) weaknesses in technological practice
d) all of the above

Answer

d) all of the above

Q6: The organization in India for granting ISO 9000 is
a) BIS
b) DGET
c) DGS&D
d) None of above

Answer

a) BIS

Q7: Discrepancy report is used for
a) Shipping
b) Custom clearance
c) Insurance
d) None of above

Answer

a) Shipping

Q8: An operating characteristics curve shows
a) upper and lower product specifications
b) product quality under different manufacturing conditions
c) how the probability of accepting a lot varies with the population percent defective
d) when product specifications don’t match process control limits

Answer

c) how the probability of accepting a lot varies with the population percent defective

Q9: The concept of cause and effect is used in
a) The concept of cause and effect is used in Quality circles
b) JIT
c) Multi-functional layout
d) All above

Answer

d) All above

Q10: Purchase function needs information from
a) Finance department
b) Stores
c) Quality control departments
d) All above

Answer

d) All above

Q11: A material requirements plan contains information with regard to all of the following except
a) quantities and required delivery dates of all sub-assemblies
b) quantities and required delivery dates of final products
c) the capacity needed to provide the projected output rate
d) inventory on hand for each final product

Answer

c) the capacity needed to provide the projected output rate

Q12: What are the two sources of costs in queuing analysis?
a) Arrivals and departures
b) Arrivals and idleness
c) Waiting customers and capacity
d) Equipment breakdowns and departures

Answer

b) Arrivals and idleness

Q13: The minimum record accuracy required for successful MRP is approximately
a) lower than 90%
b) 0.9
c) 0.95
d) 0.99

Answer

d) 0.99

Q14: The latest version of ISO 9000 is
a) 1985
b) 2000
c) 2005
d) 2015

Answer

d) 2015

Q15: Sark Incorporated is out of stock for a key item, which has a backorder of 200 units. An open order of 750 units is scheduled for arrival on the following Monday. What is the current inventory position at Sark?
a) Less than or equal to 0 units
b) Greater than 0 but less than or equal to 500 units
c) Greater than 500 but less than or equal to 750 units
d) Greater than 750 units

Answer

b) Greater than 0 but less than or equal to 500 units

Q16: In a X-bar chart, the constant used for determining control limits is
a) D4
b) D3
c) A2
d) None of above

Answer

a) D4

Q17: Most operation produce a mixture of both products and services which of the following business is closest to producing ‘pure’ services
a) IT company
b) Counselor/therapist
c) Steel company
d) A restaurant

Answer

b) Counselor/therapist

Q18: Which technique is used in computing seasonal relatives?
a) double smoothing
b) Delphi
c) Mean Squared Error (MSE)
d) centered moving average

Answer

d) centered moving average

Q19: A model is an abstraction of reality.
a) True
b) False

Answer

a) True

Q20: Capacity utilization is an objective of operations management
a) True
b) False

Answer

a) True

Q21: The principal activity in all production operations is to convert inputs into outputs that satisfy consumer wants.
a) True
b) False

Answer

a) True

Q22: Moving average method considers all past demands.
a) True
b) False

Answer

b) False

Q23: People from different functional areas of an organization in a DMU will always use the same evaluative criteria.
a) True
b) False

Answer

b) False

Q24: Environment of uncertainty is a condition in which the probability of all possible outcomes is known.
a) True
b) False

Answer

b) False

Q25: Services are intangible in nature.
a) True
b) False

Answer

a) True

Q26: Limited rebuy is the approach used in an organizational buying situation when the purchase is moderately important to the firm or the choice is somewhat complex.
a) True
b) False

Answer

a) True

Q27: The name Taguchi is associated with robust design.
a) True
b) False

Answer

a) True

Q28: The philosophy of zero defects is consistent with the commitment to continuous improvement.
a) True
b) False

Answer

a) True

Q29: Seasonal relatives can be used to de-seasonalize data or incorporate seasonality in a forecast.
a) True
b) False

Answer

a) True

Q30: Size of site is a factor for territory selection.
a) True
b) False

Answer

a) True

Q31: The greater the degree of customer involvement, the more challenging the design and management of operations.
a) True
b) False

Answer

a) True

Q32: Forecasts help managers plan both the system itself and provide valuable information for using the system.
a) True
b) False

Answer

a) True

Q33: A combination of product and process layout is called an assembly line.
a) True
b) False

Answer

b) False

Q34: Straight rebuy organizational purchase situation is characterized by low purchase importance, low choice complexity, the level of the decision-making unit (DMU) at low levels of the organization, a very small DMU, a very brief time to decision, and very limited decision search.
a) True
b) False

Answer

a) True

Q35: Ratio of standard deviation to mean is called skewness.
a) True
b) False

Answer

b) False

Q36: Lead users tend to accelerate diffusion of information through infrastructure, which is labeled as market push.
a) True
b) False

Answer

b) False

Note: It’s called market pull.

Q37: The variation inherent in the process is called chance variation.
a) True
b) False

Answer

b) False

Note: Common cause variation is the variation inherent in the process.

Q38: Payments, warranties, delivery dates, as so forth are examples of a purchase’s terms and conditions.
a) True
b) False

Answer

a) True

Q39: Exponential smoothing is a method based on time series.
a) True
b) False

Answer

a) True

Q40: The operations manager has primary responsibility for making operations system design decisions, such as system capacity and location of facilities.
a) True
b) False

Answer

a) True

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