Chap020 - Chapter 20 - Constraint Management Chapter 20...

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Chapter 20 - Constraint Management Chapter 20 Constraint Management True / False Questions 1. OPT stands for optimal purchasing technique. FALSE Level: Easy 2. Synchronous manufacturing refers to the entire production process working together in harmony to achieve the goals of the firm. TRUE Level: Easy 3. Dr. Eli Goldratt feels that the goal of a firm is to make useful products efficiently. FALSE Level: Easy 4. The operational measure of throughput is "the rate at which money is generated by the system through production of goods and services that might be sold". FALSE Level: Easy 20-1
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Chapter 20 - Constraint Management 5. From an operations standpoint, one of the goals of the firm under the theory of constraints is to increase throughput while simultaneously reducing inventory and reducing operating expense. TRUE Level: Easy 20-2
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Chapter 20 - Constraint Management 6. Mr. Goldratt's "Theory of Constraints" is useful only in manufacturing settings. FALSE Level: Easy 7. According to the theory of constraints the term productivity is defined as all those actions that bring a company closer to its goals. TRUE Level: Easy 8. According to the theory of constraints it is wrong to for manufacturers to try to match capacity with demand by attempting to balance capacity across a sequence of processes. Unbalanced capacity is better. TRUE Level: Easy 9. According to the theory of constraints a bottleneck is any resource whose capacity is greater than the demand placed on it. FALSE Level: Easy 10. According to the theory of constraints a non-bottleneck is any resource where capacity is less than the demand placed on it. FALSE Level: Easy 20-3
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Chapter 20 - Constraint Management 11. According to the theory of constraints, capacity is the time available for production. TRUE Level: Easy 12. According to the theory of constraints, a capacity-constrained resource (CCR) is one whose utilization is close to capacity and could be a bottleneck if it is not scheduled carefully. TRUE Level: Easy 13. According to the theory of constraints, throughput is the rate at which product is passed through the manufacturing system. FALSE Level: Medium 14. According to the theory of constraints, Throughput is the rate at which money is generated by the system through sales. TRUE Level: Easy 15. One way to find a bottleneck is to run a capacity resource profile. TRUE Level: Easy 20-4
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Chapter 20 - Constraint Management 16. A way to find a bottleneck is to use one's knowledge of a particular plant, look at the system in operation and talk with supervisors and workers. TRUE Level: Easy 17. Buffer inventory in front of a bottleneck is called a time buffer. TRUE Level: Easy 18. An MRP system can allow for product rejects by building a larger batch than is demanded, but a JIT system cannot tolerate poor quality. TRUE
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This note was uploaded on 07/17/2011 for the course MBA 587 taught by Professor None during the Spring '11 term at Missouri (Mizzou).

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Chap020 - Chapter 20 - Constraint Management Chapter 20...

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