Exam period 2

Question 1

is the process of thinking through the current mission of the organization and the current environmental conditions facing it, then setting forth a guide for tomorrow’s decisions and results.

Answer 1

Strategic Planning

Question 2

Production and operations strategic plans are the basis for

Answer 2

1-Operational planning of facilities (design)
2- operational planning for the use of these facilities.

Question 3

Who suggests three contrasting modes of strategic planning?

Answer 3

Henry Mintzberg

Question 4

What are the suggests three contrasting modes of strategic planning:

Answer 4

Entrepreneurial
Adaptive
Planning modes

Question 5

is an approach in which strategy is formulated mainly by a strong visionary chief executive who actively searches for new opportunities,

Answer 5

Entrepreneurial mode

Question 6

is most likely to be used by managers in established organizations that face a rapidly changing environment and yet have several coalitions,

Answer 6

Adaptive mode

Question 7

Is an approach to strategy formulation that involves systematic,comprehensive analysis

Answer 7

Planning Mode

Question 8

Strategic planning regarding quality is a very important part of management. Organizations, either new or already existing, must consider quality during strategic planning. There are several processes for strategy development.

Answer 8

Forced-Choice Model

Question 9

Manufacturing and service systems are arrangements of ___________,__________, and ________ to produce goods and services under controlled conditions.

Answer 9

Facilities
Equipment
People

Question 10

Produce standardized products in large volumes. This plant and machinery have a finite capacity and contribute fixed costs that must be borne by the products produced.

Answer 10

Manufacturing Systems

Question 11

Present more uncertainty with respect to both capacity and costs. Services are produced and consumed in the presence of the customer and there is little or no opportunity to store value, as in a finished goods inventory.

Answer 11

Service Systems

Question 12

Production systems design involves planning for the _______, _________, and _____of a production operation.

Answer 12

Inputs

Transformation activities

Outputs

Question 13

of a facility is the planned or engineered rate of output of goods or services under normal or full scale operating conditions.

Answer 13

Design capacity

Question 14

is the maximum output of the specific product or product mix the system of workers and machines is capable of producing as an integrated whole.

Answer 14

System/Effective capacity

Question 15

is the ratio of actual output to effective capacity.

Answer 15

Efficiency

Question 16

is the ratio of actual output to design capacity.

Answer 16

Utilization

Question 17

Actual output
= ———————-
Effective capacity

Answer 17

Efficiency

Question 18

Actual output
= ——————-
Design capacity

Answer 18

Utilization

Question 19

requirements are more difficult to determine because the future demand and technology are uncertain.

Answer 19

Long-term capacity

Question 20

What are the Following parameters will affect long-range capacity decisions?

Answer 20

Multiple Products
Phasing in Capacity
Phasing out Capacity

Question 21

Company’s produce more than one product using the same facilities in order to increase the profit.

Answer 21

Multiple Products

Question 22

In high technology industries, and in industries where technology developments are very fast, the rate of obsolescence is high.

Answer 22

Phasing In Capacity

Question 23

The outdated manufacturing facilities cause excessive plant closures and down time.

Answer 23

Phasing out capacity

Question 24

Managers often use forecasts of product demand to estimate the short-term workload the facility must handle.

Answer 24

Short-term Capacity Strategies

Question 25

What are the short term strategies?

Answer 25

Inventories
Backlog
Employment Level(Hiring or Firing)
Employee Training
Subcontracting
Process design

Question 26

Stock finished goods during slack periods to meet the demand during peak period

Answer 26

Inventories

Question 27

During peak periods, the willing customers are requested to wait and their orders are fulfilled after a peak demand period.

Answer 27

Backlog

Question 28

Hire additional employees during peak demand period and lay off employees as demand decreases.

Answer 28

Employment Level (Hiring or Firing)

Question 29

Develop multi skilled employees through training so that they can be rotated among different jobs.

Answer 29

Employee Training

Question 30

During peak periods, hire the capacity of other firms temporarily to make the component parts or products.

Answer 30

Subcontracting

Question 31

Change job contents by redesigning the job.

Answer 31

Process design

Question 32

Need for Selecting a
Suitable Location

Answer 32

When starting a new organization,

In case of existing organization

In case of Global Location

Question 33

When starting a new organization,

Answer 33

•Identification of regions
• Choice of a site within a region

Question 34

In case of existing organization

Answer 34

• Plant manufacturing distinct products.
•Manufacturing plant supplying to specific market area.
•Plant divided on the basis of the process or stages in manufacturing.
• Plants emphasizing flexibility

Question 35

In case of Global Location

Answer 35

• Virtual Proximity
• Virtual Factory

Question 36

The organizational objectives along with the various long-term considerations

Answer 36

Identification of region

Question 37

Once the suitable region is identified, the next step is choosing the best site from an available set.

Answer 37

Choice of a site within a region

Question 38

Each plant services the entire market area for the organization.

Answer 38

Plant manufacturing distinct products

Question 39

Here, each plant manufactures almost all of the company’s products.

Answer 39

Manufacturing plant supplying to specific market area.

Question 40

Each production process or stage of manufacturing may require distinctively different equipment capabilities, labour skills, technologies, and managerial policies and emphasis.

Answer 40

Plant divided on the basis of the process or stages in manufacturing.

Question 41

This requires much coordination between plants to meet the changing needs and at the same time ensure efficient use of the facilities and resources.

Answer 41

Plants emphasizing flexibility.

Question 42

With the advance in telecommunications technology, a firm can be in virtual proximity to its customers.

Answer 42

Virtual Proximity

Question 43

Many firms based abroad in the service sector and in the manufacturing sector often out sources part of their business processes to foreign locations such as the Philippines.

Answer 43

Virtual Factory

Question 44

Refers to the physical arrangement of the production facilities

Answer 44

Plant layout

Question 45

It refers to the configuration of departments, work centers, and equipment,

Answer 45

LAYOUT

Question 46

to facilitate a smooth flow of work, material, and information through the system

Answer 46

LAYOUT DESIGNS

Question 47

It is a layout that uses standardized processing operations to achieve smooth, rapid, high-volume flow.

Answer 47

PRODUCT LAYOUTS

Question 48

These are layouts that can handle varied processing requirements.

Answer 48

PROCESS LAYOUTS

Question 49

These are occasionally called as

Answer 49

Functional layouts