Ch. 3 Making and Delivering

Question 1

product scheduling

Answer 1

allocates available capacity (equipment, labor, and facilities) to the work that needs to be done

Question 2

high utilization rates

Answer 2

long production runs and centralized manufacturing and distribution centers

Question 3

low inventory levels

Answer 3

short production runs and just-in-time delivery of raw materials

Question 4

high levels of customer service

Answer 4

high levels of inventory or many short production runs

Question 5

run out time

Answer 5

number of days or weeks it would take to deplete the product inventory on hand

R = (product on hand) / (product demand)

Question 6

facility management (3)

Answer 6

1. the role each facility will play
2. how capacity is allocated in each facility
3. the allocation of suppliers and markets to each facility

Question 7

four rules for efficient order management

Answer 7

1. enter the order once and only once
2. automate order routing
3. make order status visible
4. use integrated order management systems

Question 8

types of delivery

Answer 8

1. direct deliveries

2. milk run deliveries

Question 9

direct deliveries

Answer 9

deliveries made from one originating location to one receiving location

Question 10

milk run deliveries

Answer 10

deliveries that are routed to either bring products from a single originating location to multiple receiving locations or deliveries that bring products from multiple originating locations to a single receiving location

Question 11

single product locations

Answer 11

facilities where a single product or a narrow range of related items are available for shipment

Question 12

distribution centers

Answer 12

facilities where bulk shipments of products arrive from single product locations

Question 13

palletized

Answer 13

limited by the pallet size and defined height

Question 14

physical distribution (3)

Answer 14

1. bulk
2. palletized
3. per unit