Isds 3115 Quiz 4 Test Questions – Flashcards
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The expected output is sometimes referred to as rated capacity
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True
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Unfavorable exchange rates can offset other savings in a location decision
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True
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A location decision for a traditional department store (e.g. Macy's) would tend to have what type of focus? A) environmental focus B) education focus C) labor focus D) cost focus E) revenue focus
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E) revenue focus
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Intangible costs include which of the following? A) availability of public transportation B) Quality of prospective employees C) quality of education D) All of the above E) None of the above
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D) All of the above
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Traffic counts and purchasing power analysis of drawing area are techniques associated with A) locational cost volume analysis B) the transportation model C) a manufacturing location decision D) a retail or professional service location decision E) the factor rating method
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D) a retail or professional service location decision
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Cross-docking processes items as they are received rather than placing them in storage
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True
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A focused work center is well suited to the production of a large family of products requiring similar processing, even if their demands are not very stable
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False
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Which of the following is NOT one of McDonald's "seven major innovations"? A) self-service kiosks B) breakfast menu C) The Happy Meal D) drive through windows E) play areas
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C) The Happy Meal
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Because problems with fixed position layouts are so difficult to solve well onsite, operations managers: A) utilize this approach only for construction projects such as bridges and office towers B) increase the size of the site C) utilize this layout only for defense contractors D) Virtually never employ this layout strategy E) often complete as much of this project as possible offsite
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E) often complete as much of this project as possible offsite
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Which type of layouts features departments or other functional groupings in which similar activities are performed? A) product oriented B) mass production C) fixed position D) unit production E) process oriented
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E) process oriented
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The study of waiting lines calculates the cost of good service but does not value the costs of customers' waiting time
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False
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The common measure of a queuing system's performance include A) maximum que length, maximum time a customer may spend in the queue, and average queue length B) probability that the service facility will be idle, average queue length, and probability that the waiting time will exceed a specified duration C) average time each customer spends in the system, maximum queue length, and probability of a specific number of customers in the system D) average time each customer spends in the system, probability that the service system will be idle, and average time each customer spends in the queue E) average queue length, maximum time a customer may spend in the queue, and the utilization factor for the system
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D) average time each customer spends in the system, probability that the service system will be idle, and average time each customer spends in the queue
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A McDonald's single lane drive-through that has one window for making the payment and a second window for receiving the food behaves most like which of the following? A) single server, multi-phase system B) multiple server, multi-phase system C) single server, single-phase system D) multiple server, single-phase system E) single server, sequential phase system
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A) single server, multi-phase system
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What is NOT a characteristic of a Model C or an M/D/1 model? A) single server B) single phase C) unlimited population size D) Poisson arrival rate pattern E) exponential service time pattern
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E) exponential service time pattern
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Changes in capacity may lead, lag, or straddle the demand
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True
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Utilization will always be lower than efficiency because A) effective capacity equals design capacity B) expected output is less than rated capacity C) effective capacity is greater than design capacity D) expected output is less than actual output E) effective capacity is less than design capacity
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E) effective capacity is less than design capacity
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Of the four approaches to capacity expansion, the approach that "straddles demand" A) uses incremental expansion B) works best when demand is not growing but is stable C) at some times leads demand and at other times lags D) uses one step expansion E) Choices A and C are correct
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E) choices A and C are correct
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Among the following choices, an operations manager might best evaluate political risk of a country by looking at which type of country ranking? A) based on corruption B) based on the cost of doing business C) based on competitiveness D) based on average duration between presidential/prime minister elections E) based on magnitude of government social programs
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A) based on corruption
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In location planning, environmental regulations, cost and availability of utilities, and taxes are: A) site related factors B) country factors C) global factors D) regional/community factors E) None of the above
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D) regional/community factors
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When making a location decision at the country level, which of these would be considered? A) zoning restrictions B) corporate desires C) location of markets D) land/construction costs E) air, rail, highway, waterway systems
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C) location of markets
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The transportation model when applied to location analysis A) minimizes the movement of goods B) minimizes total fixed costs C) maximizes revenues D) minimizes total transportation costs E) minimizes total production and transportation costs
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E) minimizes total production and transportation costs
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The objective of a layout strategy is to: A) develop an effective and efficient layout that will meet the firm's competitive requirements B) maximize flexibility C) minimize space used D) maximize worker satisfaction E) minimize cost
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A) develop an effective and efficient layout that will meet the firm's competitive requirements
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What is the primary reason retailers tend to locate high draw items around the periphery of the store? A) More shelf space for those popular items is available around the periphery B) There will be less congestion of customers than there would be in the middle C) This arrangement will help to maximize customer exposure to other items in the store D) This arrangement allows customers to travel through the store as quickly as possible E) It is easier to put large advertisement signs on the outside walls right next to the items
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C) This arrangement will help to maximize customer exposure to other items in the store
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One of the major advantages of a process-oriented layout is A) high equipment utilization B) smooth and continuous flow of work C) large work in process inventories D) small work in process inventories E) flexibility in equipment and labor assignment
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E) flexibility in equipment and labor assignment
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A college registrar's office requires you to first visit with one of three advisors and then with one of two financial professionals. This system is best described as which of the following? A) Single server multiphase system B) multiple server multiphase system C) multiple server cross phase system D) multiple server single phase system E) single server single phase system
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B) multiple server multiphase system
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A system in which the customer receives service from only one station and then exits the system is which of the following? A) a multiphase system B) a limited access system C) a multiple channel system D) a single channel system E) a single phase system
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E) a single phase system
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An assembly line has 10 stations with times of 1,2,3,4....10 respectively. What is the bottleneck time? A) 50% of the throughput time B) 100% of the throughput time C) 1.82% of the throughput time D) 18.18% of the throughput time E) 550% of the throughput time
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D) 18.18% of the throughput time
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Production and transportation costs are always considered in which of the following location decision methods? A) transportation model B) proximity of markets C) purchasing power D) traffic counts E) clustering
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A) transportation model
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A special arrangement of machinery and equipment to focus on production of a single product or group of related products describes what layout type? A) work cell B) fixed position layout C) intermittent production D) job shop E) warehouse layout
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A) work cell
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A typical goal used when developing a process-oriented layout strategy is to: A) maximize the number of different tasks that can be performed by an individual machine B) minimize the number of operator skill necessary C) minimize the distance between adjacent departments D) maximize job specialization E) minimize the material handling costs
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E) minimize the material handling costs
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In the basic queueing model (M/M/1) what probability distribution describes service times? A) lognormal B) Poisson C) negative exponential D) normal E) binomial
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C) negative exponential
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Adding a complementary product to what is currently being produced is a demand management strategy used when: A) price increases have failed to bring about demand management B) the existing product has seasonal or cyclical demand C) capacity exceeds demand for a product that has stable demand D) efficiency exceeds 100% E) demand exceeds capacity
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B) the existing product has seasonal or cyclical demand
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The reason fast food restaurants are often found in close proximity to each other is A) availability of skilled labor B) low cost C) location clustering near high traffic flows D) they enjoy competition E) none of the above
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C) location clustering near high traffic flows
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Which of the following statements regarding "proximity" in the location decision is FALSE? A) Service organizations find that proximity to market is the most critical primary location factor B) Perishability of raw materials is a good reason for manufacturers to locate near the supplier, not the customer C) Reduction in bulk is a good reason for a manufacturer to locate near the supplier D) Manufacturers want to be near customers when their product is bulky, heavy, or fragile E) Clustering among fast food chains occurs because they need to be near their labor supply
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E) clustering among fast food chains occurs because they need to be near their labor supply
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Which of the following represents an unlimited queue? A) small barbershop with only 5 chairs for waiting customers B) faculty office with limited seating during office hours C) restaurant with no outside seating and limited capacity due to fire department restrictions D) toll booth serving automobiles on an interstate E) drive through lane at a fast food restaurant
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D) toll booth serving automobiles on an interstate
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Which of the following is NOT a characteristic of an (M/M/S) or a model B system? A) Poisson arrival rate pattern B) unlimited population size C) exponential service time pattern D) single server E) single phase
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D) single server
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Industrial location analysis typically attempts to: A) minimize costs B) avoid countries with strict environmental regulations C) maximize sales D) ignore exchange rates and currency risks E) focus more on human resources
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A) minimize costs
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Globalization of the location decision is the result of all EXCEPT which of the following? A) higher quality of labor overseas B) market economies C) more rapid, reliable travel and shipping D) high differences in labor costs E) ease of capital flows between countries
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A) higher quality of labor overseas
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Which of these factors would be considered when making a location decision at the site level? A) cost of availability and utilities B) zoning regulations C) cultural and economic issues D) governmental rules, attitudes, stability, incentives E) proximity to raw materials and customers
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B) zoning regulations
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The main goal of retail layout is: A) minimizing storage costs B) minimizing material handling costs C) minimizing space required D) minimizing customer confusion regarding location of items E) maximizing profitability per square foot of floor space
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E) maximizing profitability per square foot of floor space
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A good layout requires determining: A) material handling equipment B) capacity and space requirements C) cost of moving between various work areas D) environment and aesthetics E) All of the above
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E) All of the above
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In the office relationship chart which rating reflects the highest importance for two departments closeness to each other A) O B) I C) E D) X E) A
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E) A
