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OM 300 Exam 2 – Nunnelley questions with precise detailed solutions, Exams of Production and Operations Management

OM 300 Exam 2 – Nunnelley questions with precise detailed solutions

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2024/2025

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OM |! 300 |! Exam |! 2 |! |! Nunnelley |!
questions |! with |! precise |! detailed |!
solutions
first |! rule |! of |! business |! - |! Correct |! answer |! you |! have |! to |! have |! products |!
that |! sell
product |! life |! cycle |! - |! Correct |! answer |! may |! be |! any |! length |! from |! a |! few |!
days |! to |! a |! few |! decades |! - |! the |! operations |! function |! must |! be |! able |! to |!
introduce |! new |! products |! successfully
what |! are |! the |! four |! parts |! of |! product |! life |! cycle |! - |! Correct |! answer |!
introduction, |! growth, |! maturity, |! decline
Product-by-value |! analysis |! - |! Correct |! answer |! list |! products |! in |!
descending |! order |! based |! on |! how |! much |! money |! it |! brings |! into |! the |! firm,
|! then |! use |! to |! develop |! strategy
objective |! of |! product |! selection/ |! decision |! - |! Correct |! answer |! to |!
develop |! and |! implement |! a |! product |! strategy |! that |! meets |! the |! demands |!
of |! the |! marketplace |! with |! a |! competitive |! advantage
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OM|! 300 |! Exam|! 2 |! – |! Nunnelley |!

questions |! with|! precise |! detailed |!

solutions

first |! rule |! of |! business |! - |! Correct |! answer |! ✔you |! have |! to |! have |! products |! that |! sell product |! life |! cycle |! - |! Correct |! answer |! ✔may |! be |! any |! length |! from |! a |! few |! days |! to |! a |! few |! decades |! - |! the |! operations |! function |! must |! be |! able |! to |! introduce |! new |! products |! successfully what |! are |! the |! four |! parts |! of |! product |! life |! cycle |! - |! Correct |! answer |! ✔introduction, |! growth, |! maturity, |! decline Product-by-value |! analysis |! - |! Correct |! answer |! ✔list |! products |! in |! descending |! order |! based |! on |! how |! much |! money |! it |! brings |! into |! the |! firm, |! then |! use |! to |! develop |! strategy objective |! of |! product |! selection/ |! decision |! - |! Correct |! answer |! ✔to |! develop |! and |! implement |! a |! product |! strategy |! that |! meets |! the |! demands |! of |! the |! marketplace |! with |! a |! competitive |! advantage

possible |! strategies |! for |! product |! selection |! - |! Correct |! answer |! ✔differentiation, |! low-cost, |! rapid |! response introductory |! - |! Correct |! answer |! ✔unusual |! expenses |! for |! research, |! product |! development, |! process |! enhancement, |! supplier |! development growth |! - |! Correct |! answer |! ✔stabilize |! design, |! effective |! forecasting, |! consider |! capability maturity |! - |! Correct |! answer |! ✔competition |! established, |! high |! volume, |! control |! costs, |! reduce |! options, |! pare |! down |! product |! line decline |! - |! Correct |! answer |! ✔special |! contribution Quality |! Function |! Deployment |! (QFD) |! - |! Correct |! answer |! ✔"House |! of |! quality" QFD |! - |! Correct |! answer |! ✔1. |! customer |! wants

  1. |! how |! the |! good/service |! will |! satisfy |! customer |! wants
  2. |! customer |! wants |! to |! product |! how's
  3. |! relationship |! between |! the |! firm's |! how's
  4. |! importance |! ratings
  5. |! competing |! products

additive |! manufacturing |! (aka |! 3-d |! printing) |! - |! Correct |! answer |! ✔uses |! CAD |! technology |! to |! produce |! products |! by |! adding |! material |! layer |! upon |! layer virtual |! reality |! technology |! - |! Correct |! answer |! ✔interactive |! model |! of |! product |! from |! basic |! CAD |! data |! - |! see |! finished |! design |! before |! physical |! model |! is |! built sustainability |! and |! life |! cycle |! assessment |! (LCA) |! - |! Correct |! answer |! ✔meeting |! needs |! of |! present |! without |! compromising |! ability |! of |! future |! generations |! to |! meet |! their |! needs |! - |! formal |! evaluation |! of |! the |! environmental |! impact |! of |! a |! product documents |! used |! in |! production |! - |! Correct |! answer |! ✔- |! assembly |! drawing |!

  • |! assembly |! chart |!
  • |! route |! sheet
  • |! work |! order
  • |! service |! design assembly |! drawing |! - |! Correct |! answer |! ✔shows |! exploded |! view |! of |! product- |! details |! relative |! locations |! to |! show |! how |! to |! assemble |! the |! product

assembly |! chart |! - |! Correct |! answer |! ✔identifies |! the |! point |! of |! production |! where |! components |! flow |! into |! subassemblies |! and |! ultimately |! into |! the |! final |! product route |! sheet |! - |! Correct |! answer |! ✔lists |! the |! operations |! and |! times |! required |! to |! produce |! a |! component work |! order |! - |! Correct |! answer |! ✔instructions |! to |! produce |! a |! given |! quantity |! of |! an |! item, |! usually |! to |! a |! schedule service |! design |! - |! Correct |! answer |! ✔if |! service |! productivity |! is |! low |! it |! complicates |! product |! design process |! chain- |! network |! - |! Correct |! answer |! ✔ ways |! to |! increase |! service |! efficiency |! - |! Correct |! answer |! ✔-limit |! the |! options -delay |! customization -modularization -automation -moment |! of |! truth 3 |! concepts/ |! views |! of |! sustainability |! - |! Correct |! answer |! ✔-system |! views

organizations |! and |! regulatory |! agencies |! - |! Correct |! answer |! ✔ISO |! 14000: |! ISO |! 14001 ISO |! 14000 |! - |! Correct |! answer |! ✔provide |! a |! guideline |! or |! framework |! for |! organizations |! that |! need |! to |! systematize |! and |! improve |! their |! environmental |! management |! efforts ISO |! 14001 |! - |! Correct |! answer |! ✔specifies |! the |! requirements |! of |! an |! environmental |! management |! system |! (EMS: |! systemic |! approach |! to |! handling |! environmental |! issues |! within |! an |! organization) |! for |! small |! to |! large |! organizations Quality |! (TQM) |! - |! Correct |! answer |! ✔totality |! of |! features |! and |! characteristics |! of |! a |! product |! or |! service |! that |! bears |! on |! its |! ability |! to |! satisfy |! stated |! or |! implied |! needs- |! increases |! profitability |! (sales |! increase |! = |! cost |! reduction) views |! of |! quality |! - |! Correct |! answer |! ✔- |! user |! based

  • |! manufacturing |! based
  • |! product |! based user-based |! - |! Correct |! answer |! ✔better |! performance, |! more |! features |! -"quality |! lies |! in |! the |! eyes |! of |! the |! beholder"

manufactoring-based |! - |! Correct |! answer |! ✔conformance |! to |! standards product-based |! - |! Correct |! answer |! ✔specific, |! measurable |! attributes |! of |! product Costs |! of |! Quality |! - |! Correct |! answer |! ✔- |! prevention |! costs

  • |! appraisal |! costs
  • |! internal |! failure |! costs
  • |! external |! failure |! costs prevention |! costs |! - |! Correct |! answer |! ✔reducing |! potential |! for |! defects appraisal |! costs |! - |! Correct |! answer |! ✔evaluating |! products, |! processes internal |! failure |! costs |! - |! Correct |! answer |! ✔producing |! defects |! before |! delivery external |! failure |! costs |! - |! Correct |! answer |! ✔identifying |! defects |! after |! delivery concepts |! for |! effective |! quality |! management |! - |! Correct |! answer |! ✔1. |! continuous |! improvement
  1. |! six |! sigma

a |! set |! of |! 7 |! tools |! - |! Correct |! answer |! ✔1. |! defines |! critical |! outputs |! and |! identify |! gaps |! for |! improvement |!

  1. |! measures |! the |! work |! and |! collect |! process |! data
  2. |! analyzes |! the |! data
  3. |! improves |! the |! process
  4. |! controls |! the |! new |! process |! to |! make |! sure |! new |! performance |! is |! maintained
  5. |! employee |! empowerment |! - |! Correct |! answer |! ✔getting |! employees |! involved 3a) |! how |! to |! get |! employees |! involved |! - |! Correct |! answer |! ✔- |! knowledge |! base
  • |! quality |! responsibility |!
  • |! techniques 3b) |! techniques |! for |! how |! to |! get |! employees |! involved |! - |! Correct |! answer |! ✔i. |! build |! communication |! networks |! that |! include |! employees ii. |! develop |! open, |! supportive |! supervisors iii. |! move |! responsibility |! to |! employees |! iv. |! build |! a |! high-moral |! organization |! v. |! create |! formal |! team |! structures
  1. |! benchmarking |! - |! Correct |! answer |! ✔selecting |! best |! prices |! to |! use |! as |! a |! standard |! for |! performance 4a) |! how |! to |! select |! best |! practices |! to |! use |! as |! a |! standard |! for |! performance |! - |! Correct |! answer |! ✔1. |! determine |! what |! to |! benchmark
  2. |! form |! a |! benchmark |! team
  3. |! identify |! benchmarking |! partners
  4. |! collect |! and |! analyze |! benchmarking |! information |!
  5. |! take |! action |! to |! match |! or |! exceed |! the |! benchmark
  6. |! Just-in-time |! (JIT) |! - |! Correct |! answer |! ✔relationship |! to |! quality benefits |! of |! JIT |! - |! Correct |! answer |! ✔- |! JIT |! cuts |! the |! cost |! of |! quality |!
  • |! JIT |! improves |! quality |!
  • |! better |! quality |! means |! less |! inventory |! and |! better, |! easier |! to-employ |! JIT |! system |! * |! pull |! system: |! production |! only |! when |! signaled |!
  • |! allows |! reduced |! inventory |! levels- |! inventory |! is |! costly |! and |! hides |! problems
  1. |! Taguchi |! concepts |! (QLF) |! - |! Correct |! answer |! ✔improve |! product |! and |! process |! design |! through |! Taguchi |! Concepts |!
  • |! quality |! robustness

ii. |! flowchart |! (process |! diagram) identifying |! problems |! - |! Correct |! answer |! ✔i. |! histogram ii. |! statistical |! process |! control |! chart statistical |! process |! control |! charts |! - |! Correct |! answer |! ✔time |! on |! the |! horizontal |! axis |! to |! plot |! values |! of |! a |! statistic |! to |! monitor |! processes |! with |! four |! key |! steps: |!

  • |! measure |! the |! process
  • |! when |! a |! change |! occurs, |! find |! cause
  • |! eliminate |! or |! incorporate |! the |! cause
  • |! restart |! the |! revised |! process statistical |! product |! control |! - |! Correct |! answer |! ✔objective |! of |! a |! process |! control |! system |! is |! to |! provide |! a |! statistical |! signal |! when |! assignable |! causes |! of |! variation |! are |! present causes |! of |! variation |! - |! Correct |! answer |! ✔- |! natural |! (common) |! causes
  • |! assignable |! (special) |! causes natural |! (common) |! causes |! - |! Correct |! answer |! ✔inherent |! and |! expected |! amount |! of |! variation |!
  • |! central |! tendency |!
  • |! dispersion |! if |! the |! distribution |! of |! outputs |! falls |! within |! acceptable |! limits, |! the |! process |! is |! said |! to |! be |! "in |! control" assignable |! (special) |! causes |! - |! Correct |! answer |! ✔traced |! to |! specific |! reason |! (generally |! this |! is |! some |! change |! in |! the |! process) |!
  • |! identify |! and |! eliminate purpose |! of |! a |! control |! chart |! - |! Correct |! answer |! ✔distinguish |! between |! natural |! and |! assignable |! causes |! of |! variation charts |! used |! for |! variable |! data |! - |! Correct |! answer |! ✔product |! characteristic |! that |! can |! be |! measured |! (length, |! size, |! weight, |! height, |! time, |! velocity) |!
  • |! x |! bar |! chart
  • |! r |! chart charts |! used |! for |! attribute |! data |! - |! Correct |! answer |! ✔product |! characteristic |! evaluated |! with |! a |! discrete |! choice |! (good/bad, |! yes/no)
  • |! p |! chart
  • |! c |! chart x |! bar |! charts |! - |! Correct |! answer |! ✔tracks |! changes |! in |! central |! tendency
  • |! product |! focus
  • |! mass |! customization process |! focus |! - |! Correct |! answer |! ✔-facilities |! are |! organized |! around |! specific |! activities |! or |! processes |! (ex |! hospital) |! -general |! purpose |! equipment |! and |! skilled |! personnel -high |! degree |! of |! product |! flexibility |! -high |! costs |! and |! low |! equipment |! utilization |! -product |! flows |! may |! vary |! considerably |! making |! planning |! and |! scheduling |! a |! challenge repetitive |! focus |! - |! Correct |! answer |! ✔-facilities |! often |! organized |! as |! assembly |! lines |! (car |! factories) |! -characterized |! by |! modules |! with |! parts |! and |! assemblies |! made |! previously |! -modules |! may |! be |! combined |! for |! many |! output |! options |! -less |! flexibility |! than |! process-focused |! facilities, |! but |! more |! efficient product |! focus |! - |! Correct |! answer |! ✔-facilities |! are |! organized |! by |! product |! (beer) |! -high |! volume, |! but |! low |! variety |! of |! products -long, |! continuous |! production |! runs |! enable |! efficient |! processes -high |! fixed |! cost |! but |! low |! variable |! cost

-less |! skilled |! labor mass |! customization |! - |! Correct |! answer |! ✔-rapid, |! low-cost |! production |! of |! goods |! and |! service |! to |! satisfy |! increasingly |! unique |! customer |! desires -combines |! flexibility |! of |! a |! process |! focus, |! with |! efficiency |! of |! a |! product |! focus -imaginative |! product |! design; |! limited |! line |! and |! modules; |! flexible |! process |! design |! -tightly |! controlled |! inventory |! management; |! get |! rid |! of |! obsolescence |! -tight |! schedules; |! scheduling |! orders |! and |! materials |! from |! design |! through |! delivery |! -responsive |! supply-chain |! partners using |! crossover |! charts/ |! calculations |! to |! compare |! processes |! - |! Correct |! answer |! ✔ tools |! of |! process |! analysis |! and |! design |! - |! Correct |! answer |! ✔- |! flow |! chart

  • |! time-function |! mapping
  • |! valut-stream |! mapping
  • |! process |! chart
  • |! service |! blueprinting flow |! chart |! - |! Correct |! answer |! ✔movement |! of |! materials

time |! horizons |! for |! capacity |! - |! Correct |! answer |! ✔-long |! range |! (>3 |! yrs) -intermediate |! range |! (3-36 |! months) |! -short |! run |! (<3 |! months) design |! capacity |! - |! Correct |! answer |! ✔maximum |! theoretical |! output |! of |! a |! system effective |! capacity |! - |! Correct |! answer |! ✔capacity |! a |! firm |! expects |! to |! achieve |! given |! current |! operating |! constraints tactics |! for |! matching |! capacity |! to |! demand |! - |! Correct |! answer |! ✔- |! making |! staffing |! changes

  • |! adjusting |! equipment |! *purchasing |! additional |! machinery |! |! *selling |! or |! leasing |! out |! existing |! equipment |!
  • |! improving |! processes |! to |! increase |! throughput |!
  • |! redesigning |! products |! to |! facilitate |! more |! throughput
  • |! adding |! process |! flexibility |! to |! meet |! chaining |! product |! preferences |!
  • |! closing |! facilities demand |! management |! - |! Correct |! answer |! ✔appointments, |! reservations, |! first-come |! first-serve

capacity |! management |! - |! Correct |! answer |! ✔Full |! time, |! temporary, |! part- time |! staff bottleneck |! - |! Correct |! answer |! ✔the |! limiting |! factor |! or |! constraint |! in |! a |! system |! - |! a |! bottleneck |! has |! the |! lowest |! effective |! capacity |! in |! a |! system bottleneck |! time |! - |! Correct |! answer |! ✔the |! time |! of |! the |! lowest |! workstation |! in |! a |! production |! system throughput |! time |! - |! Correct |! answer |! ✔time |! is |! takes |! for |! a |! unit |! of |! good |! to |! go |! through |! production |! from |! start |! to |! end |! with |! no |! waiting break-even |! point |! - |! Correct |! answer |! ✔where |! revenue |! and |! expenses |! are |! equal break-even |! analysis |! - |! Correct |! answer |! ✔technique |! for |! evaluating |! process |! and |! equipment |! alternatives |! -objective |! is |! to |! find |! the |! point |! in |! dollars |! and |! antis |! at |! which |! cost |! equals |! revenue |! -requires |! estimation |! of |! fixed |! costs, |! variable |! costs, |! and |! revenue |! -assumptions: |! * |! costs |! and |! revenue |! are |! linear |! functions