Operation Management Objective Set 1

Study Operation Management Objective Set 1 and other mcq set with answer. Must assess your knowledge through our exam quiz after study all MCQ set.

Multiple choice question answer

Q1: …applies only when demand for a product is constant over the year and each new order is delivered in full when inventory reaches zero.
EOQ
ABC
VED
FSN

Answer

EOQ

Q2: This is the variable cost of goods: purchase unit price × annual demand quantity.
Purchase cost
Ordering cost
Holding cost
all of the above

Answer

Purchase cost

Q3: “This type of layout is used in the manufacture of boilers, hydraulic and steam turbines and ships etc.”
Product or Line Layout
Process or Functional Layout.
Fixed Position Layout.
all of the above

Answer

all of the above

Q4: IT capacity planning involves
estimating the storage
“computer hardware, software”
connection infrastructure resources
all of the above

Answer

all of the above

Q5: Demand for an organization’s capacity varies based on
changes in production output
increasing or decreasing the production quantity of an existing product
Both (a) & (b)
None of the above

Answer

Both (a) & (b)

Q6: …is the planning of production and manufacturing modules in a company or industry
production planning
production control
Both (a) & (b)
None of the above

Answer

production planning

Q7: “Production planning can be combined with production control into production planning and control, or it can be combined and or integrated into ..”
ABC
EOQ
ERP
VED

Answer

ERP

Q8: Production planning comprises of which of the following activities?
Determination of the required product mix and factory load to satisfy customers needs
Matching the required level of production to the existing resources
Scheduling and choosing the actual work to be started in the manufacturing facility
all of the above

Answer

all of the above

Q9: … is the activity of monitoring and controlling any particular production or operation.
production planning
production control
Both (a) & (b)
None of the above

Answer

production control

Q10: “This is the cost of placing orders: each order has a fixed cost K, and we need to order D/Q times per year.”
Purchase cost
Ordering cost
Holding cost
all of the above

Answer

Ordering cost

Q11: It is also known as Facilities Planning and Layout.
Plant
production control
plant mayout
plant layout

Answer

plant layout

Q12: “If all the processing equipment and machines are arranged according to the sequence of operations of the product, the layout is called ..”
Product or Line Layout
Process or Functional Layout.
Fixed Position Layout.
all of the above

Answer

Product or Line Layout

Q13: “In this type of layout, only one product of one type of products is produced in an operating area.”
Product or Line Layout
Process or Functional Layout.
Fixed Position Layout.
all of the above

Answer

Product or Line Layout

Q14: This layout is particularly useful where low volume of production is needed.
Product or Line Layout
Process or Functional Layout
Fixed Position Layout.
all of the above

Answer

Process or Functional Layout

Q15: It is an engineering study used to analyze different physical configurations for a manufacturing plant
Plant
production control
plant mayout
plant layout

Answer

plant layout

Q16: “It is a “set of actions and decision taken during production to regulate output and obtain reasonable assurance that the specification will be met.”
production planning
production control
Both (a) & (b)
None of the above

Answer

production control

Q17: “In this type of layout, the machines and not arranged according to the sequence of operations but are arranged according to the nature or type of the operations.”
Product or Line Layout
Process or Functional Layout.
Fixed Position Layout.
all of the above

Answer

Process or Functional Layout.

Q18: ” …is an Internet-enabled, often Web-based application that acts as a mechanism for business to manage and procure staffing services temporary, and, in some cases, permanent placement services as well as outside contract or contingent labor.”
ABC
EOQ
JIT
VMS

Answer

VMS

Q19: “the average quantity in stock (between fully replenished and empty) is Q/2, so this cost is h × Q/2”
Purchase cost
Ordering cost
Holding cost
all of the above

Answer

Holding cost

Q20: An effective MPS
“Give production, planning, purchasing, and management the information to plan and control manufacturing”
Tie overall business planning and forecasting to detail operations
Enable marketing to make legitimate delivery commitments to warehouses and customers
all of the above

Answer

all of the above

Q21: MPS issues:
Width of the time bucket
Planning horizon
Rolling plan
all of the above

Answer

all of the above

Q22: …is a methodology aimed primarily at reducing flow times within production as well as response times from suppliers and to customers.
ABC
EOQ
JIT
VED

Answer

JIT

Q23: ” .is a plan for individual commodities to be produced in each time period such as production, staffing, inventory, etc”
MPS
ABC
EOQ
JIT

Answer

MPS

Q24: A . is a person or organization that vends or sells contingent labor.
vendor
customer
company
all of the above

Answer

vendor

Q25: This layout is commonly suitable for non repetitive jobs.
Product or Line Layout
Process or Functional Layout.
Fixed Position Layout.
all of the above

Answer

Process or Functional Layout.

Q26: “In this type of layout the major component remain in a fixed location, other materials, parts, tools, machinery, man power and other supporting equipment s are brought to this location.”
Product or Line Layout
Process or Functional Layout.
Fixed Position Layout.
all of the above

Answer

Fixed Position Layout.

Q27: “It is the most effective physical arrangement, either existing or in plans of industrial facilities i.e. arrangement of machines, processing equipment and service departments to achieve greatest co-ordination and efficiency of 4 M s (Men, Materials, Machines and Methods) in a plant.”
Plant
production control
plant mayout
plant layout

Answer

plant layout

Q28: “It utilizes the resource allocation of activities of employees, materials and production capacity, in order to serve different customers.”
production planning
production control
Both (a) & (b)
None of the above

Answer

production planning

Q29: …is the process of determining the production capacity needed by an organization to meet changing demands for its products
production control
plant mayout
plant layout
capacity planning

Answer

capacity planning

Q30: Effective capacity is the maximum amount of work that an organization is capable of completing in a given period due to constraints such as
quality problems
delays
material handling
all of the above

Answer

all of the above

Q31: Better utilization of existing capacity can be accomplished through improvements in overall .. effectiveness
equipment
class
product
all of the above

Answer

equipment

Q32: ” .. can be increased through introducing new techniques, equipment and materials, increasing the number of workers or machines, increasing the number of shifts, or acquiring additional production facilities.”
control
management
Capacity
all of the above

Answer

Capacity

Q33: .. strategy is adding capacity in anticipation of an increase in demand.
lag
pull
push
lead

Answer

lead

Q34: “A large capacity does not necessarily imply … inventory levels, but it can imply higher cycle stock costs.”
low
zero
high
two

Answer

high

Q35: . strategy refers to adding capacity only after the organization is running at full capacity or beyond due to increase in demand
lag
pull
push
lead

Answer

lag

Q36: Typical features of a VMS application include
“order distribution,”
consolidated billing
significant enhancements in reporting capability
all of the above

Answer

all of the above

Q37: “This plan quantifies significant processes, parts, and other resources in order to optimize production, to identify bottlenecks, and to anticipate needs and completed goods.”
MPS
ABC
EOQ
JIT

Answer

MPS

Q38: … strategy is an aggressive strategy with the goal of luring customers away from the company’s competitors by improving the service level and reducing lead time.
lag
pull
push
lead

Answer

lead

Q39: ..strategy is adding capacity in small amounts in response to changing demand in the market
match
lag
pull
push

Answer

match

Q40: ” . strategy is adding or reducing capacity in small or large amounts due to consumer’s demand, or, due to major changes to product or system architecture.”
attachment
match
lag
pull

Answer

attachment

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