chapter 12

Question 1

Project-based production

Answer 1

only one unit is manufactured at a time. often used for very large projects or for individual customers

Question 2

examples of project- or job-based production:

Answer 2

custom home construction
haircuts
yachts

Question 3

Batch production

Answer 3

a method used to produce similar items in groups, stage by stage

Question 4

Examples of batch production include the following:

Answer 4

bakeries
textiles
furniture

Question 5

Mass production

Answer 5

manufacturing many identical goods at once

Question 6

process layout

Answer 6

aims to improve efficiency by arranging equipment according to its function

Question 7

product layout,

Answer 7

high-volume goods are produced efficiently by people, equipment, or departments arranged in an assembly line

Question 8

cellular layout

Answer 8

a lean method of producing similar products using workstations to facilitate operations by eliminating set-up and unnecessary costs between operations

Question 9

fixed-position layout

Answer 9

in which the product stays in one place and the workers go to the product

Question 10

Material-requirements planning (MRP)

Answer 10

a production planning, scheduling, and inventory control system used to manage manufacturing processes

Question 11

MRP system is intended to meet the following objectives simultaneously:

Answer 11

1. Ensure that materials are available for production and products are available for delivery to customers
2. Maintain the lowest possible material and product levels in store
3. Plan manufacturing activities, delivery schedules, and purchasing activities

Question 12

ERP systems

Answer 12

track business resources and the status of business commitments

Question 13

Just-in-time (JIT) manufacturing

Answer 13

strategy that companies employ to increase efficiency and decrease waste by receiving goods only when they are needed in the production process

Question 14

Gantt chart

Answer 14

a timeline

Question 15

PERT “program evaluation and review technique.”

Answer 15

analyzing the tasks involved in completing a given project, and to identify the minimum time needed to complete the total project.

Question 16

critical path method (CPM)

Answer 16

step-by-step technique for process planning that identifies critical and noncritical tasks in order to prevent time-frame problems

Question 17

supply chain management

Answer 17

is the process of managing the movement of the raw materials and parts from the beginning of production through delivery to the consumer

Question 18

logistics

Answer 18

the management of the flow of things between the point of origin and the point of consumption

Question 19

The most reliable source of fresh customer insights is

Answer 19

good marketing information

Question 20

Marketing research is a systematic process for

Answer 20

identifying marketing opportunities and solving marketing problems

Question 21

four Ps

Answer 21

Product:
Promotion:
Place:
Price:

Question 22

four Cs

Answer 22

Customer solution:
Communication:
Convenience:
Cost:

Question 23

The five stages of the PLC are:

Answer 23

Product development
Market introduction
Growth
Maturity
Decline