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A batch process is less flexible than an assembly line and less effiecent than a job shop. |
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A customer service function at an insurance firm that handles claims based on the first letter of the customer's last name is an example of applying group technology to a servic operation. |
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The product-process matrix illustrates that low volume, one-of-a-kind products are ideally suited to a job show process |
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Products that use standard components, but the final configuaration of those components is a customer-specific are called make-to-order. |
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According to the law of variability, converting from an assemble to order to a make-to-order production process should increase productivity of the manufacturing process. |
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As the degree of service customization decrease, managers have more opportunity to focos on cost and production. |
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Cross sourcing is a strategy in which two suppliers are ussed for the same purchased product or service. |
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A recent trend in supply management is a reduction in the total supply base, although the authors not that the number of first-tier suppliers has actually increased slightly. |
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a manager deciding where 6 depts could be located in a six room office building has over 500 possibe arrangements |
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The Delphu method, panel consenus forcasting, and market surverys are all qualitative methods, but only market surverus do not use experts. |
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Over the long run, flucatations in demand sue to seasonaility are greater than those due to randomness. |
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In the waiting line theory, the number of channels refers to the number of customer waiting line in the system. |
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A waiting line cannot be both multiple-channel and multiple-phase. |
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With only a half hour for lunch I screamed into the parking lot of the neareast Golden Arches Supper Club at 40 miles an hour. WHen I saw the drive through line was 15 cars deep I didnt bother getting in line; I was off to visit the Colonel. THis behavir might be described as balking. |
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In operations and supply chain environments that must deal wtih random demand, it is virtually impossible to achieve very high capacity utilization levels and still provide acceptable customer service. |
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A ninety percent learning curve is steeper than an eigty percent learning curve. |
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Learning curve theory suggest that productivity will increase as people and systems learn to perform taks more efficiently. |
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Outsourcing can be risky because it decreases the firm's strageic flexibility. |
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A company that uses portfolio analysis would probably classift things like office supplies in the Bottleneck quadrant. |
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Capacity is the capability of a worker, machine, work cente, plant, or organization to produce output per time period. |
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A traditional university classroom has room for 30 students and is scheduled for use during 12 consecutive one hour period from 8:00am to 8:00pm in the spring semeseter. Its theorictical capacity is therfore half of its rated capacity. |
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In general, higher conformance quality reduces capacity since the extra care taken during production slow the output rate. |
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A model with a positive mean forecast error suggest that on average, the model over forecasts. |
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The tracking signal calculated for the first forecast is always either +1 or -1. |
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A collaborative planning, forecasting, and replenishment system eliniates the need for forecasting. |
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Forecast are almost always wrong. |
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A firm's capacity can be limited by member of its supl chain. |
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The back room refers to the part of the service procss where the customer is not visible to the other customers waiting for service. |
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Building rental and deprecitation on campital equipment are example of fixed costs. |
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In a decision tree, outcome poiint are under direct control of the decision maker and show the results of choices. |
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The theory of Constraints would support the statement that a chain is only as strong as its weakest link. |
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A manufacturer seeking to reduce the varability of quality should use multiple sourcing. |
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it is more costly to create a more realistic simulation than one that is less realistic. |
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In most cases, simulation models provide optimal soution to problems just like the most of the equations presented in your textbook. |
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Target costing is not the act of designing a process to meet a specific cost objective. |
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The ease with which parts can be replaced, checked, or evaluated is testability |
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The concept development phase addresses the feasbility of a product or service. |
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In the planing phase, the oeprations and supply chain function develops inital cost estimates and identifies key supply chain partners. |
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The development funnel demonstrates that while initital conceptual development takes a long time, products design can progress quickly through the final phases of development. |
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Products deceloped using a concurrent engineering process can be developed more quickly than those using a sequential development process. |
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Quality function development can be used to show linkages between customer requirements and product characteristcs. |
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Product design doesn't refer to the development of physcial products and intangible services. |
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The greater the randomness in the model, the greater the number of periods should be used in a moving average forecast |
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WHen there is a significant upward or downward trend in the data, the two best forecasting models are exponetial smoothing and linear regression. |
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