ISDS Review Questions Test 1 Flashcards
T/F: slack is the amount of time an activity can be delayed without delaying the entire project
TRUE
Α project organization:
A. is effective for companies with multiple large projects
B. often fails when the project cuts across organizational lines
C. is most helpful for ongoing with no termination dates
D. is appropriate only in construction firms
E. is most helpful when the work contains simple and unrelated tasks
A. effective for companies with large projects
Which of the following statements regarding critical paths is true?
A. some activities on the critical path may have slack
B. the duration of the critical path is the average duration of all paths in the project network
C. every network has only one critical path
D. the shortest of paths through the network is the critical path
E. on a specific project, there can be multiple critical paths, all with exactly the duration
E. on a specific project, there can be multiple critical paths, all with exactly the duration
T/ F: One advantage of exponential smoothing is the limited amount of record keeping involved
TRUE
T/ F: In a regression equation where y-hat is demand and x is advertising, a coefficient of determination (R^2) of .7 means that 70% of the variance in advertising is explained by demand
FALSE
Increasing the number of periods in a moving average will accomplish greater smoothing, but at the expense of
A. sensitivity to real changes in the data
B. accuracy
C. manager understanding
D. stability
E. All of the above are diminished when the number of periods increases
A. sensitivity to real changes in the data
A fundamental distinction between trend projection and linear regression is that:
A. trend projection uses least squares while linear regression does not.
B. trend projection uses two smoothing constants, not just one.
C. trend projection can be a function of several variables, while linear regression can only be a function of one variable.
D. in trend projection the independent variable is time; in linear regression the independent variable need not be time, but can be any variable with explanatory power.
E. only linear regression can have a negative slope
D. in trend projection the independent variable is time; in linear regression the independent variable need not be time, but can be any variable with explanatory power.
Which of the following is an example of a “hidden” production function?
A. assembling a motorcycle
B. manufacturing a television
C. transplanting a liver
D. producing a computer
C. transplanting a liver
Which of these is NOT one of the 10 strategic OM decisions?
A. scheduling
B. layout strategies
C. managing quality
D. marketing
D. marketing
Which of the following sectors has seen a consistent rise in the percentage of workers in the United States since 1950?
A. Services.
B. Manufacturing
C. Agriculture
D. None of the above
A. Services
Many operations management (OM) innovations have come from outside of the United States. Which of the following OM innovations is matched with the wrong country/region?
A. Japan -> inventory management
B. Germany -> robotics
C. Scandinavia -> ergonomics
D. All of the above are correct
D. All of the above are correct
The creation of a unique advantage over competitors is referred as
A. response.
B. experience differentiation.
C. competitive advantage.
D. differentiation.
C. competitive advantage.
A theory which states that countries benefit from specializing in (and exporting) goods and services in which they have a relative advantage, and they benefit from importing goods and services in which they have a relative disadvantage is referred to as the
A. theory of comparative advantage.
B. theory of planned behavior.
C. theory of exportation.
D. theory of relative perception.
A. theory of comparative advantage.
Taguchi’s quality loss function is based on a
A. quadratic equation.
B. linear equation.
C. negative exponential distribution.
D. binomial distribution.
A. quadratic equation.
How does just-in-time (JIT) relate to total quality management (TQM)?
A. JIT is rooted in continuous improvement and forced problem solving, which improve quality.
B. JIT is not related to TQM.
C. JIT systems encourage last-minute deliveries, which increases the probability of a late delivery.
D. JIT increases finished-goods-inventory levels to be able to respond quickly to customers.
A. JIT is rooted in continuous improvement and forced problem solving, which improve quality.
A c-chart is based on the
A. normal distribution.
B. binomial distribution.
C. Poisson distribution.
D. Erlang distribution.
C. Poisson distribution.
The two popular measures for quantitatively determining if a process is capable are
A. upper specification and lower specification.
B. process capability ratio and process capability index.
C. process mean and standard deviation of the process population.
D. process mean and range
B. process capability ratio and process capability index.
In location planning, environmental regulations, cost and availability of utilities, and taxes are:
A. site-related factors.
B. global factors.
C. country factors.
D. regional/community factors.
E. None of the above.
D. regional/community factors.
Which of the following statements regarding the center-of-gravity method is FALSE?
A. The optimal solution is unconstrained, so it could suggest a location in the middle of a body of water.
B. The optimal x- and y-coordinates are calculated separately.
C. The origin of the coordinate system and the scale used are arbitrary, just as long as the relative distances are correctly represented.
D. The weights used are the quantity of goods moved to or from each location.
E. It is designed to minimize the maximum possible travel distance to any of the locations.
E. It is designed to minimize the maximum possible travel distance to any of the locations.
Which of the following is NOT among the eight determinants of revenue and volume for a service firm?
A. shipment cost of finished goods
B. competition in the area
C. purchasing power of the customer-drawing area
D. quality of management
E. uniqueness of the firm’s and the competitors’ locations
A. shipment cost of finished goods
Traffic counts and demographic analysis of drawing area are associated with:
A. service location decisions.
B. the center-of-gravity method.
C. locational cost-volume analysis.
D. manufacturing location decisions.
E. the transportation model.
A. service location decisions.
Which of the statements below best describes retail layout?
A. addresses the layout requirements of large, bulky projects such as ships and buildings
B. positions workers, their equipment, and spaces/offices to provide for movement of information
C. allocates shelf space and responds to customer behavior
D. deals with low-volume, high-variety production
E. seeks the best personnel and machine utilization in repetitive or continuous production
C. allocates shelf space and responds to customer behavior
Which of the following does NOT support the retail layout objective of maximizing customer exposure to products?
A. Maximize exposure to expensive items.
B. Convey the store’s mission with the careful positioning of the lead-off department.
C. Use prominent locations for high-impulse and high-margin items.
D. Use end-aisle locations.
E. Locate high-draw items around the periphery of the store.
A. Maximize exposure to expensive items.
The concept of customizing in a warehouse layout:
A. locates stock wherever there is an open location.
B. is theoretically sound, but several years away in practice.
C. is possible, but it causes serious loss of oversight of the quality function.
D. cannot be considered seriously in today’s high efficiency factories.
E. incorporates value-added activities in warehouses.
E. incorporates value-added activities in warehouses.
The major problem addressed by the process-oriented layout strategy is:
A. the provision of low-cost storage with low-cost material handling.
B. balancing product flow from one work station to the next.
C. how to design a continuous flow process.
D. minimizing difficulties caused by material flow varying with each product.
E. the movement of material to the limited storage areas around the site.
D. minimizing difficulties caused by material flow varying with each product.
Which of the following is one of the main advantages of a product oriented layout?
A. high customer exposure rates
B. low capital cost
C. low variable cost per unit
D. high flexibility
E. employability of highly skilled labor
C. low variable cost per unit
T/ F: The shortest of all paths through the network is the critical path.
FALSE
The phases of project management are:
A. GANTT, CPM, and PERT.
B. planning, programming, and budgeting.
C. different for manufacturing projects than for service projects.
D. planning, organizing, staffing, leading, and controlling.
E. planning, scheduling, and controlling.
E. planning, scheduling, and controlling.
Which of the following statements regarding PERT analysis is true?
A. Only critical activities contribute to the project variance.
B. Project standard deviation is the sum of all critical activity standard deviations.
C. The most likely time is equivalent to the expected activity time.
D. Project variance is the sum of all activity variances.
E. Each activity has two estimates of its duration.
A. Only critical activities contribute to the project variance.
Which of the following statements regarding CPM is true?
A. All activities on the critical path have their LS equal to the maximum EF of all immediate predecessors.
B. The critical path is the shortest of all paths through the network.
C. The critical path is that set of activities that has positive slack.
D. Some networks have no critical path.
E. All activities on the critical path have their ES equal to their LF.
A. All activities on the critical path have their LS equal to the maximum EF of all immediate predecessors.
T/ F: Mean squared error and exponential smoothing are two measures of the overall error of a forecasting model.
FALSE
