Brainscape's Knowledge GenomeTM

Browse over 1 million classes created by top students, professors, publishers, and experts.


See full index

OPS LEC > OPS MODULE 7 > Flashcards

OPS MODULE 7 Flashcards

1
Q

It is a computer-based information system that translates master schedule requirements for end items into phased requirements for subassemblies, components, and raw materials

A

Materials Requirement Planning (MRP)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

The MRP is designed to answer three questions:

A
  1. WHAT is needed?
  2. HOW MUCH is needed?
  3. WHEN it is needed?
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

It is one of the three primary inputs in MRP which states which end items are to be produced, when these are needed, and in what quantities

A

Master Schedule

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

T or F: Managers like to plan far enough into the present so they have estimates of upcoming demands

A

False (future not present)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

T or F: The master schedule should cover a period that less than the cumulative lead time

A

False (at least equivalent not less than)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

It is the sum of the lead times that sequential phases of a process require, from ordering of parts or raw materials to completion of final assembly

A

Cumulative lead time

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

It is a listing of all of the assemblies, subassemblies, parts, and raw materials needed to produce one unit of a product

A

Bill of Materials (BOM)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

It is a visual depiction of the requirements in a bill of materials, where all components are listed by levels

A

Product Structure Tree

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

______ involves restructuring the bill of materials so that multiple occurrences of a component all coincide with the lowest level at which the component occurs

A

Low-level coding

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

Inventory records includes information on the status of each item by time period, called _______

Information about
- Gross requirements, schedules receipts and expected amount on hand

Other details for each item such as
- Supplier, lead time, lot size policy, changes due to stock receipts and withdrawals, and canceled orders and similar events

A

time buckets

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

What are the primary output of MRP?

A

POC
- Planned orders
- Order releases
- Changes

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

It is a schedule indicating the amount and timing of future orders

A

Planned orders

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

It involves authorizing the execution of planned orders

A

Order releases

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

It involves the revisions of the dates or quantities, or the cancellation of orders

A

Changes

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

It is one of the secondary outputs of MRP and evaluation of system operation, including deviations from plans and cost information

  • e.g. missed deliveries and stockouts
A

Performance-control reports

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

T or F: Planning reports is one of the secondary outputs of MRP and a data useful for assessing present material requirements

-e.g., purchase commitments

A

False (future not present)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
17
Q

It is one of the secondary outputs of MRP and a data on any major discrepancies encountered

  • e.g., late and overdue orders, excessive scrap rates, requirements for non existent parts
A

Exception reports

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
18
Q

MRP Processing takes the end item requirements specified by the master schedule and “_____” them into _______ requirements for assemblies, parts, and raw materials offset by lead times

A

explodes ; time-phased

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
19
Q

MRP Record

_____ is the total expected demand

_____ is the open orders schedules to arrive

_____ is the expected inventory on hand at the beginning of each time period

A

Gross requirements

Schedules receipts

Projected available

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
20
Q

MRP Record

_____ is the actual amount needed in each time period

_____ is the planned amount to order in each time period

A

Net requirements

Planned-order releases

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
21
Q

T or F: MRP Record includes the planned-order receipts expected to receive at the end of the period offset by lead time

A

False (beginning not end)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
22
Q

T or F: The product structure tree diagram is based on the MRP

A

False (The MRP is based on the product structure tree diagram)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
23
Q

In MRP development, requirements are determined ____ by _____, beginning with the end item and working down the tree

A

Level by level

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
24
Q

T or F: In MRP development, requirements are determined level by level, beginning with the end item and working up the tree

A

False (down not up)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
25
Q

In MRP development the timing and quantity of each “_____” becomes the basis for determining the timing and quantity of the “_____” items directly below it

A

parent ; children

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
26
Q

T or F: The “children” items eventually becomes the “parent” items for the next level, and so on

A

True

27
Q

It is the process of identifying the parent items that have generated a given set of material requirements for an item

A

Pegging

28
Q

T or F: An MRP is a static document

A

False (An MRP is not a static document because:

As time passes,
- Orders get completed or are nearing completion
- New orders will have been entered
- Existing orders will have been altered (quantity changes, delays, and missed deliveries)

29
Q

What are the two basic systems in MRP?

A
  1. Regenerative System
  2. Net-change system
30
Q

T or F: Regenerative system is an approach that updates MRP records continuously while the Net-change system updates MRP periodically

A

False (regenerative - periodically ; net-change system - continuously)

31
Q

It is essentially a batch system that compiles all changes that occur within the time interval and periodically updates the system

A

Regenerative System

32
Q

T or F: A revised production plan is developed in the same way the original plan was developed

A

True

33
Q

T or F: In a net-change system, the production plan is unmodified to reflect changes as they occur

A

False (it is modified)

34
Q

T or F: In a net-change system, only the changes are exploded through the system

A

True

35
Q

T or F: Theoretically, MRP systems should require safety stock

A

False (should not require)

36
Q

______ may necessitate the strategic use of safety stock

A

Variability

37
Q

A _________ process or one with varying scrap rates may cause shortages in downstream operations

A

bottleneck

38
Q

T or F: Abundance may occur if orders are late or fabrication or assembly are longer than expected

A

False (shortages not abundance)

39
Q

When lead times are variable, the concept of ______ is often used

A

Safety time

40
Q

It involved scheduling orders for arrival or completions sufficiently ahead of their need so that the probability of shortage is eliminated or significantly reduced

A

Safety time

41
Q

_________ ordering

  • The order or run size is set to equal to the demand for that period
  • Minimizes investment in inventory
  • It results in variable order quantities
  • A new setup is required for each run
A

Lot-for-Lot (L4L)

42
Q

______ can lead to minimum costs if usage of items is fairly uniform

  • This may be the case for some lower-level items that are common to different ‘parents’
  • Less appropriate for ‘lumpy demand’ items because inventory remnants often
A

Economic Order Quantity (EOQ)

43
Q

Types of demand

____ ; stable demand
____ ; lumpy demand

A

Independent demand

Dependent demand

44
Q

_____ provides coverage for some predetermined no. of periods

A

Fixed Period Ordering

45
Q

MRP Benefits

Enables managers to easily:

  • Determine the _____ of each component of a given order size
  • To know when to _____ orders for each component
  • To be _____ when items need attention
A

quantities ; release ; alert

46
Q

T or F: Additional benefits of MRP is the high levels of in-process inventories as well as the ability to track material requirements and evaluate capacity requirements and a means of allocating production time

A

False (low not high)

47
Q

_____ is the ability to easily determine inventory usage

  • Exploding an end item’s BOM to determine the quantities of the components that were used to make the item
A

backflushing

48
Q

T or F: A computer and necessary software to handle computations and maintain records is required to maintain an effective MRP system

A

True

49
Q

An effective MRP system requires the integrity of data files as well as accurate and up-to-date?

A

Master schedules
Bill of Materials
Inventory Records

50
Q

T or F: One of the difficulties of MRP is the consequence of inaccurate data that includes:

  • Missing parts
  • Ordering the correct number of items
  • Inability to stay on schedule

As well as other problems like:
- Assumption of changing lead times
- Products being product differently from the BOM
- Failure to alter a BOM when customizing a product
- Inaccurate forecasts

A

False (incorrect not correct ; constant lead times not changing)

51
Q

_______ is the expanded approach to production resource planning involving other areas of the firm in the planning process and enabling capacity requirements of planning

A

Manufacturing resource planning (MRP II)

52
Q

Most ______ have the capability of performing simulation to answer a variety of “what if” questions so they can gain a better appreciation of available options and their consequences

A

Manufacturing resource planning (MRP II)

53
Q

_______ refers to when MRP II systems began to include feedback loops

A

Close Loop MRP

54
Q

T or F: Systems evaluate a proposed material plan different to available capacity

A

False (relative not different)

55
Q

______ refers to the evaluation that requires the revision of a proposed plan if it is not feasible

A

Capacity requirements planning

56
Q

It is the process of determining short-range capacity requirements

Inputs:
- Planned-order releases for the MRP
- Current shop loading
- Routing information
- Job time

Key outputs:
- Load reports for each work center

A

Capacity Requirements Planning (CRP)

57
Q

______ is the department or work center reports that compare known and expected future capacity requirements with projected capacity availability

A

Load reports

58
Q

_________ was the next step in evolution that began with MRP and evolved into MRPII and typically has an MRP core. It also provides a system to capture and make data available in real time to decision makers and other users throughout an organization

A

Enterprise Resource Planning (ERP)

59
Q

T or F: MRP systems are composed of a collection of integrated modules such as:

  • Accounting/Finance, Marketing, Human Resources, Purchasing, Production Planning, Inventory Management, Distribution, Sales, and Supply Chain Management
A

False (ERP not MRP)

60
Q

The _______ is the most ambitious and difficult implementation approach where companies cast off all their legacy system at once and implement a single ERP system across the entire company

A

Big bang

61
Q

______ is more appropriate for smaller companies expecting to grow into ERP since ERP dictates the process design where the focus is on a few key processes

A

Slam dunk

62
Q

_________ suits large or diverse companies that do not share many common processes across business units. Independent ERP systems are installed in each business unit of the enterprise while linking common processes across the enterprise

A

Franchising strategy

63
Q

READ ONLY

ERP Considerations
- How can ERP improve a company’s business performance?
-How long will an ERP implementation project take?
-How will ERP affect current business processes?
-What is the ERP total cost of ownership?
-What are the hidden costs of ERP ownership?

A

okay pi

OPS LEC (4 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2024 Bold Learning Solutions. Terms and Conditions