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1. Today companies are competing in a very ……………… environment than they were only a few years ago.

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Answer: different

2. Global competition, e-business, the Internet, and advances in technology require ………… and ………….

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Answer: flexibility, responsiveness

3. …………………… determines the firm’s mission and strategy and how the firm’s resources can most effectively be utilized.

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Answer: Decision Making in Production Management

4. …………………… may be defined as the conversion of a customer’s order into a finished product.

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Answer: Production

5. During the …………………… century the concept of large scale production came through in which small shops were converted into large manufacturing concerns employing mass production techniques notable among them being the textiles, metal fabrication and machine-tool industries.

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Answer: 18th

6. The era of scientific management began in the United States during the early …………………… the century.

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Answer: 20th

7. The …………………… has brought in various improvements in production function and as a result of this our industrialists today are well informed of the most modern techniques.

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Answer: change in technology

8. The new name …………………… has broadened our fields to service sector which has become more prominent.

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Answer: operations management

9. ………………… is the conversion process which converts land, labour, capital and materials (inputs) into desired outputs of goods and services.

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Answer: Management

10. ………………… Science is explored on how human behaviour is affected by leadership, motivation, communication, interpersonal relationships and attitude change

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Answer: (b) Behavioural Science

11. The ………………… or ………………… models express in words the relationship among variables.

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Answer: verbal, written

12. …………………… models show a pictorial relationship among variables.

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Answer: Schematic models

13. Effectiveness of production management is measured by the …………………… through which the inputs are converted into outputs.

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Answer: efficiency

14. …………………… is defined as an attitude of mind and prevention of all kinds of waste.

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Answer: Conceptually productivity

15. …………………… can be increased by increase of output, keeping input constant.

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Answer: Productivity

16. National productivity is given as …………………….

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Answer: per capita income

17. Production is “………………” and “………………” impact on other divisions of the organization.

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Answer: “affected by”, “has an”

18. Production is the ………………… of an organisation and it coordinates all other divisions of the organisation.

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Answer: heart

19. …………………… is the place in which the factors of production, like land, labour, capital and enterprise are brought together for creation of goods or services.

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Answer: Factory

20. The term ‘……………………’ is used synonymously with ‘Factory Layout’.

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Answer: Plant Layout

21. For any type of problem for optimal location the criteria is to achieve the …………………… rate of return of investments ROI over the long run.

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Answer: maximum

22. ROI is …………………… proportional to TC/TA.

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Answer: directly

23. The best location is one that will enable the company to produce and distribute its products with the …………… profit.

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Answer: greatest

24. The three elements of cost of location analysis are: (a) Cost of raw materials and (b) Cost of conversion and (c) …………….

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Answer: Cost of distribution

25. When the same market areas have to be supplied from more than one manufacturing unit the problem of adding a new place is said to be a …………………… location problem.

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Answer: multiplant

26. The technique which helps in allocation of outputs from origin to different destinations is called ………………… problem.

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Answer: transportation

27. A …………………… is the physical configuration of work stations, departments and equipments in an organisation for conversion process.

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Answer: layout

28. A good plant layout helps in smooth production, …………………… idle time, helps maintaining the …………………… of the product and …………………… delivery rate of the system.

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Answer: reduces, quality, improves

29. Production facilities are driven by certain guiding ……………………, while designing a production layout.

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Answer: principles

30. Layout designing is a …………………… term strategic decision, involving heavy investment on the system.

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Answer: long term

31. …………………… System involves a continuous or almost continuous physical flow of material.

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Answer: Continuous Production System

32. …………………… of products, processes, materials, machines and uninterrupted flow of materials are the main characteristics of this system.

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Answer: Standardization

33. The types of layouts can be divided into three major classes: (1) Line layout. (2) Functional layout. and (3) …………………….

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Answer: Combination of the above two

34. Ordinarily, …………………… product is processed by one line department.

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Answer: only one product

35. Today, the manager has to know not only the ……………… functions of production management, but also has to have the ability of ……………, …………… and ……………… the production management and a ……………… approach in the design and utilisation of computer based information system.

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Answer: traditional, planning, organising, controlling, systematic approach

36. Computer …………………… manufacturing systems are controlling and monitoring the process and doing it far more efficiently and effectively than human operators.

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Answer: integrated

37. The shorter cycle means …………………… competitive products.

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Answer: more

38. The age of mass production is ………………… and era of flexible production is …………………….

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Answer: gone, being started

39. The ………………… has limitations as its effectiveness depends upon the individual’s ability and insight.

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Answer: manual graphical approach

40. The layout is basically an ………………… of the various relationships between different operations or work areas.

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Answer: expression

41. …………… may be defined as the maximum or limiting capability of a production unit to produce in a specific period.

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Answer: Capacity

42. Different types of organizations use different ………….

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Answer: measures of capacity

43. Plant layout and material handling go ………………….

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Answer: side by side

44. …………… are normally used to handle bulk chemicals, bulk materials, fragile materials such as T.V. picture tubes, etc.

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Answer: Conveyors

45. The ………………… of a customer’s order to a finished product needs generally the organisation and planning of the manufacturing process.

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Answer: conversion

46. The overall objective of any organisation is to ………………… its profitability through productivity.

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Answer: improve

47. …………………… is concerned with determining what products are to be produced, in what quantities and when.

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Answer: production planning

48. …………………… determines whether the resources to execute the plan have been provided and if not, takes the necessary action to correct the deficiency.

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Answer: Production control

49. ……………… may be defined as ‘intermediate planning’ which is normally done for a period of upto one year’s time.

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Answer: Aggregate planning

50. The word ‘aggregate’ symbolizes that the planning is done at the …………………… level.

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Answer: broadest

51. …………………… is a technique of determining the requirements of raw materials, components, spares, etc., required for the manufacturing of the product.

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Answer: Material planning

52. If the delivery date of the finished product is known in advance, then the ordering time and quantity of other ………………… can be planned accurately with the help of ………………… calculations.

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Answer: work-in-progress, mathematical calculations

53. The MRP ………………… is initiated once the customer orders for the finished goods from the supplier.

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Answer: process

54. The …………………… plan contains all the constituents of the production process that would finally lead to the resultant product.

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Answer: master

55. One would instinctively recognise two aspects of quality, quality of …………… and quality of …………….

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Answer: design, performance

56. …………… implies working to a set standard of quality which is achievable and which has a ready market.

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Answer: Quality control

57. …………………… decisions in quality management can be built only on facts.

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Answer: Objective

58. The decisions naturally would be as good or as bad as the …………………… on which they are based.

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Answer: data

59. When data are examined, it will normally be found that a few values will be extremely high or extremely low and most of the values tend to be concentrated within a region which is somewhere between the two extremes. This phenomenon is known as …………………….

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Answer: central tendency

60. The …………………… is a parameter in a series of statistical data which reflects a central value of the same series.

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Answer: measure of central tendency

61. …………………… cause is the variation which is natural or inherent in the process.

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Answer: Chance Causes

62. …………………… is the variation which is unnatural or external due to assignable causes that can be traced.

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Answer: Assignable Causes

63. The …………………… may be defined as the capability of a process.

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Answer: process capability

64. The number of units in each sample is called ‘……………………’.

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Answer: sample size

65. A control chart is the graphical representation between the order of sampling along ………………-axis and statistics (functions of the observed values of the variable) along ………………-axis.

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Answer: x-axis, y-axis

66. If the point remains within the ‘UCL and LCL’, the process is allowed to continue. The product so produced is called …………………….

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Answer: a good lot

67. The quest for efficiency is ………………… to mankind.

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Answer: eternal

68. The achievement of satisfactory quality involves all stages of the quality ………………… as a whole.

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Answer: loop

69. …………………… represents the fullest requirement involving all the quality system elements in ISO: 9004 at their most stringent.

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Answer: Model 1

70. …………………… is used when the specified requirements for products are started in terms of an already established design or specification.

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Answer: Model two

71. The ISI mark is by …………………… only whereas the certification for ISO standards can be had from any of the authorised agencies in India or abroad.

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Answer: BIS

72. ISO: 9000 is a ………………… system standard and not a ………………… standard.

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Answer: quality, product

73. …………………… is the application of statistical techniques to determine how far the product confers to the standards of quality and precision and to what extent its quality deviates from the standard quality.

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Answer: Statistical quality control

74. The standard quality is determined through careful ………………… and ………………….

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Answer: research, investigation

75. SQC technique measures the ……………… and certain defective products may be approved with reworking to the level of acceptable standards.

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Answer: extent of defect

76. ……………… % inspection is very monotonous.

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Answer: 100%

77. Organisational commitment to quality has to be developed through the powers of …………………… the persons involved.

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Answer: education

78. …………………… is a quality-focused customer-oriented integrative management method that emphasizes continuing and cumulative gains in quality, productivity and cost reduction.

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Answer: TQM

79. Use of ………………… and ………………… is treated as a part of manufacturing a product.

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Answer: gauges, fixtures

80. Selecting the type of a gauge to be used is one of the ………………… decisions to be made.

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Answer: first

81. In manufacturing, the Japanese practice is that the responsibility for quality rests with the manufacturer of the part rather than the quality department acting as a ……………… function.

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Answer: staff function

82. If one item produced is of sub-standard & it is likely to effect the subsequent process, then the process shall be stopped immediately and the entire team will discuss the “cause and effect”, decide the remedial action, rectify the process and then …………… the production.

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Answer: restart

83. The Just in time focuses on the ………… and ………….

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Answer: production, purchasing

84. The JIT purchasing system lays emphasis on ………… supplying of material by suppliers just in time for use on the shop floor.

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Answer: time

85. …………………… is the acquisition of needed goods and services at optimum cost from competent, reliable sources.

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Answer: Purchasing

86. In a modern company, the purchasing department represents one of two major interfaces with parties outside the company (the other is ……………………).

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Answer: marketing

87. Modern purchasing practice is governed by a set of international objectives that could be called the ‘…………………… of purchasing’.

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Answer: ten commandments

88. The overall motto, or “golden rule,” of purchasing is to buy goods and services of the right quality, in the right …………, at the right …………, at the right ……………, and from the right ……………….

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Answer: quantity, price, time, source

89. Managing the purchasing function involves four key responsibilities that are cyclical. They are analysis, planning, ……………… and control.

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Answer: implementation

90. The fifth responsibility ……………… is not cyclical but provides the framework and continuity for the entire.

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Answer: organisation

91. ………………………… refers to the logical structuring of people and activities that allows them to interact smoothly for optimum performance.

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Answer: purchasing organisation

92. ………………………… becomes necessary whenever the purchasing responsibilities within a firm can no longer be handled by only one person.

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Answer: Specialisation

93. In the daily business of purchasing, …………………… behaviour is necessary to achieve long-term profit.

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Answer: ethical behaviour

94. The best way to ‘manage’ conflicts is to ………………… them.

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Answer: avoid

95. Purchasing department is only as good as its …………………….

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Answer: people

96. It is equally true that a purchasing department is only as good as the …………………… it buys from.

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Answer: sources

97. The ……………… decision is only one of several issues that must be resolved before individual sources can be identified and selected.

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Answer: make-or-buy

98. Having a …………………… source is considerably more comfortable.

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Answer: single

99. Purchasing …………………… wishing to identify vendors in a given product category can obtain this information form a multitude of sources.

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Answer: managers

100. Professionally managed purchasing departments maintain …………………… supplier files.

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Answer: up-to-date

101. After consulting with the appropriate …………………, the purchasing manager can draw up a preliminary candidate list.

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Answer: information sources

102. A ………………… lists a vendor’s assets and liabilities.

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Answer: balance sheet

103. Most problems can be resolved easily and amiably among reasonable people who are eager to ……………… and expand a good working ……………….

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Answer: continue, relationship

104. A ……………… will not find himself designated a ‘price buyer’ in the derogatory sense if he carefully analyse all quotations in terms of quality, service and price.

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Answer: purchasing agent

105. The purchasing agent should not be …………………… into thinking that he is getting a bargain simply because the price is set at cost or less.

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Answer: deceived

106. The question raised by the controversy over ‘administered pricing’ is essentially …………………….

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Answer: misleading

107. Purchasing procedure deals with …………… directions to be followed in accomplishing the procurement of the required materials.

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Answer: step-by-step

108. Purchasing procedure specifies the details of …………… and …………… should a task be accomplished.

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Answer: how, by whom

109. …………………… individual contract arrangements is an essential part of the buying job.

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Answer: Negotiating

110. …………………… is a communication process through which a purchasing manager and a supplier attempt to reconcile their differing objectives, needs, constraints and perspectives to achieve a mutually satisfactory Solution.

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Answer: Negotiation

111. Purchasing involves handling of vast data and information that calls for …………………….

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Answer: computerization

112. Manual operations are very …………… and …………… and the information might not be available right on time.

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Answer: very slow, cumbersome

113. A …………… is one that an organization has produced to meet what it sees as the requirements of customers in general.

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Answer: software package

114. The strong advantage of using software is that, all that is required is to buy the package, have it ………………, read the manuals and get started.

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Answer: demonstrated

115. …………………… is simply the process by which an organization is supplied with the goods and services that it needs to achieve its objectives of buying, storage and movement of materials.

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Answer: Materials Management

116. Materials Management is related to planning, procuring, storing and providing the appropriate material of right quality, right quantity at right place in right time so as to co-ordinate and schedule the …………………… activity in an integrative way for an industrial undertaking.

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Answer: production

117. ………………… Costs are those costs which arise for the procurement of raw materials, indirect materials, fuels, semi-finished and finished products (goods), including delivery costs.

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Answer: Materials Costs

118. ………………… which is conceived as a comprehensive supply system can substantially contribute to a company’s profits, via its systematic influence upon these cost categories.

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Answer: Integrated materials management

119. Regardless of the organisational Solution selected, the factual connections between the ………………… of the business supply system must be taken into account and resolved from a system view.

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Answer: subfunction

120. Planning and control give ……………… to purchasing, storing, allocating and disposal procedures within a company.

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Answer: rise

121. Integrated materials management is a ………………… function within the company, penetrating mere functional thinking in purchasing, production, sales and design/development and overlaying it with resource oriented thinking.

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Answer: cross-sectional

122. The …………………… Manager will not easily accept the ‘excessive cost’ of materials handling nor will the …………………… Manager accept the view that the distribution costs can be reduce to half

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Answer: Production, Distribution