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Topic 10

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Last updated 11 months ago
25 questions
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What is a major disadvantage of just in time (JIT) production?
Please mark the correct option.
Reduced storage requirements
Reduced inventory costs
Increased risk reliance on suppliers
Increased flexibility in responding to demand fluctuations
What is a major focus of lean production?
Please mark the correct option.
Reducing waste
Reducing cost
Reducing time
Reducing labour
Which scale of production is consistent with computer-integrated manufacturing?
Please mark the correct option.
Craft
Mechanization
Batch
Automation
When do quality assurance and quality control take place relative to product manufacture?


Please mark the correct option.
A
B
C
D
Figure 13 shows a graph of costs/revenue against sales. The manufacturer has decided to set a break-even point at 400 units for a new product to be sold at a unit price of $400.


What would be the manufacturer’s profit when 1000 units are sold?
Please mark the correct option.
40,000
80,000
120,000
160,000
What is a disadvantage of statistical process control over other methods of quality control, for example continuous monitoring?
I. Early detection of problems
II. Cost
III. Time

Please mark the correct option.
I and II
I and III
II and III
I, II and III
Figure 5 below shows an example of computer-integrated manufacturing (CIM).


What is an advantage of CIM?
Please mark the correct option.
Low set-up costs
No stoppages in production when carrying out maintenance tasks
No cost for retraining the work force to update skills
Cost of maintenance is low
A business manufactures lamps which has the following costs and revenues:
  • Fixed costs = €100,000
  • Sales price per item = €5
  • Variable costs per item = €3
What would be the number of lamps needed to be sold for the manufacturer to break even?
Please mark the correct option.
5,000
33,334
50,000
100,000
Which quality management system regulates the quality of raw materials?
Please mark the correct option.
Statistical process control (SPC)
Quality control (QC)
Quality assurance (QA)
Just-in-time (JIT)
Which of the following is a disadvantage of just in case (JIC) production?
The availability of a buffer of goods
The ability to respond to demand
Having to hold inventory
Greater supply chain flexibility
Which waste is reduced by moving from just in case (JIC) to just in time (JIT) production?
Please mark the correct option.
Waiting
Defects
Overproduction
Transporting
Which of the following is an example of how design can be included in computer integrated manufacturing (CIM)?
Please mark the correct option.
Functions are simulated in the virtual environment before prototypes are made.
Components are ordered and traced by the computer system.
Production is tracked by computerised inventory control.
Retrieval and storage of parts is organised by the system.
Figure 10 shows computer integrated manufacturing (CIM).



CIM is a system that uses computers to integrate production, business and manufacturing in order to create more efficient production lines.
Which of the following are elements of CIM?
  1. Extraction of raw materials
  2. Tracking of financial resources
  3. Manufacturing final product
Please mark the correct option.
I and II
I and III
II and III
I, II and III
Which of the following terms best describes the most efficient way of designing and producing a product from the manufacturer’s point of view?
Please mark the correct option.
Cost effectiveness
Target costs
Cost analysis
Cost assurance
Which principle of lean production considers sequence, tools and worker movement in manufacture?
Please mark the correct option.
Value stream mapping
Lead time
Kaizen
Workflow analysis
Figure 11 shows quality control taking place in a car production plant.


Which one of the seven wastes does quality control help reduce?
Please mark the correct option.
Overproduction
Unnecessary inventory
Defects
Transporting
Figure 9 shows a car production line.


The company does not allocate space to the storage of components or completed cars. This is an example of which production strategy?
Please mark the correct option.
Just in case (JIC)
Just in time (JIT)
Workflow analysis
Kaizen
Which of the following would be included in a company's fixed costs?
I. Machinery
II. Rent
III. Materials used in production

Please mark the correct option.
I and II
I and III
II and III
I, II and III
At the car manufacturing plant, teams work together to eliminate waste such as cutting time spent waiting for parts to arrive, reducing unnecessary movement in work cells, eliminating over-processing and over-production.
This strategy, where everyone works together to eliminate waste during manufacture, is a key principle of...
Please mark the correct option.
Mass customisation
Lean production
Automation
Computer integrated manufacture (CIM)
The 5 S system was developed in Japan and is an important part of lean production.
Arranging the items on a production line so that they are easy to find, use, and put away, is an example of which of the 5 Ss?
Please mark the correct option.
Setting
Sorting
Sifting
Shifting
Statistical process control (SPC) is a quality control tool that uses statistical methods to ensure that a process operates at its optimum efficiency.
Which of the following are elements of statistical process control (SPC)?
  • I. Dramatically reducing variability and waste
  • II. Reducing costs
  • III. Predicting demand
Please mark the correct option.
I and II
I and III
II and III
I, II and III
What is true of just-in-case (JIC) inventory management?
Please mark the correct option.
Guarantees that products will be available
Reduces inventory costs
Enables lean production
Efficient use of materials
Which of the following is a pricing strategy where a company will add a percentage to the total cost of a product?
Please mark the correct option.
Demand pricing
Competitor-based pricing
Cost-plus pricing
Psychological pricing
The regulation of the quality of raw materials, assemblies, products and components is referred to as...
Please mark the correct option.
Quality control (QC)
Quality assurance (QA)
Statistical process control (SPC)
Standardization
Which of the following is true of break-even?
Please mark the correct option.
It is based on qualitative analysis
It is based on all products that a company sells
It is based on fixed and variable costs
It is based on trends of consumer behaviour