MGT 033 Ch 3

Question 1

These are arrangements of facilities, equipment, and people to produce goods and services under controlled conditions.

Answer 1

MANUFACTURING AND SERVICE SYSTEMS

Question 2

This produce standardized products in large volumes.

Answer 2

Manufacturing Systems

Question 3

Variable costs are added as labour is employed to combine or process the raw materials and other components.

Value addition will takes place during the production process for the product.

The cost of output relative to the cost of input can be measured, as the actual cost is known i.e. productivity is measurable quantity.

Answer 3

Might appear

Question 4

This manufacturing system is the oldest and most popular approach. Skilled Craftspeople produce every item by hand, typically with the help of equipment. Machines are generally built for a specific purpose and can only help a worker create a single product at a time.

Answer 4

Custom Manufacturing

Question 4

This system aims to create small batches of custom products for clients.

Answer 4

Jobshop or Batch/Intermittent Manufacturing

Question 5

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

Answer 5

Designed capacity

Question 5

This approach to manufacturing aims to balance mass production with flexible workflows that adapt to changing market conditions or client needs.

Answer 5

Modular Production or Manufacturing

Question 5

This is less of a system of manufacturing but more of a technology. Though 3D printing they allow manufacturers to create objects by steadily adding material to a base.

Answer 5

Additive Manufacturing

Question 5

This manufacturing system are built for the mass production of a single product. The flow in this system aims to be continuous.

Answer 5

Continuous Flow or Process Manufacturing

Question 6

The uncertainty of future demand is one of the most perplexing problems faced by new facility planners.

Answer 6

Might Appear

Question 6

These present more uncertainty with respect to both capacity and costs.

Answer 6

Service Systems

Question 6

This is the ratio of actual output to effective capacity.

Answer 6

Efficiency

Question 6

This 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. It is less than design capacity or at the most equal it because of the limitation of product mix, quality specification, and breakdowns.

Answer 6

System/effective capacity

The actual is even less because of many factors affecting the output such as actual demand, downtime due to machine/equipment failure, unauthorized absenteeism.

Question 7

This is the ratio of actual output to design capacity.

Answer 7

Utilization

Question 7

Formula for Efficiency and Utilization

Answer 7

Efficiency= Actual Output/Effective Capacity
Utilization= Actual Output/Design Capacity

Question 8

This is the act of balancing available resources to satisfy customer demand or project capacity needs.

OR
This is the process of determining the resources and capabilities necessary to meet business demands

Answer 8

CAPACITY PLANNING

Question 8

This is the rate of productive capability of a facility. Also is the first step when an organization decides to produce more or new products

Answer 8

Capacity
is usually expressed as volume of output per period of time.

Question 8

Sufficient capacity is required to meet the customers demand in time. So what does capacity affect?

Answer 8

Capacity affects the cost efficiency of operations.
Capacity affects the scheduling system.
Capacity creation requires an investment