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BUS 370 – Fall 2012 – Test 1
Directions: Fill in your name and student ID. Shade the corresponding letters and numbers on the answer sheet. For the “Special Codes” section to the left of the identification number, put the number 946768 and shade the bubbles below. Answer each question with the one best choice by marking the letter of the answer on the attached answer sheet. Each of the 25 questions is worth 4 points for a total of 100 points.
- “A network of manufacturers and service providers that work together to convert and move goods from the raw materials stage through to the end user” is the definition of the following:
a) Operations Function b) Supply Chain c) Service Operations d) Operations Management
- “A transformation process which converts inputs, such as People and Information, into an intangible product, such as Legal, Medical Services or Fast Food”, is the definition of a(n):
a) Finance Operation b) Manufacturing Operation c) Service Operation d) Accounting Operation
- In the LeapFrog Case, the following entity was downstream of LeapFrog:
a) Retailers (Target) b) Capable Toys c) Electronics (microchip) Company d) Special paper (Tyvek) Company
- The supply chain function works with marketing to manage the movement and distribution of physical goods throughout the supply chain. This supply chain activity is:
a) Purchasing b) Logistics c) Capacity Planning d) Forecasting
- “Performance dimensions which differentiate a company’s products and services” is the definition of:
a) Order Winner b) Value Index c) Order Qualifier d) Process Capability
- McDonald’s invests significantly more in their equipment than Subway. This is an example of which type of Strategy Element:
a) Cross-structural b) Infrastructural c) Mega-structural d) Structural
- Companies must prioritize and determine the performance dimensions on which they will focus and excel. Each performance dimension has several sub-dimensions. Performance, conformance and reliability are sub-dimensions of:
a) Quality b) Time c) Flexibility d) Cost
- A middle aged man with a death wish is trying to decide which motorcycle to purchase. Given the information below, the best choice of supplier is:
Importance Supplier Performance HOG KAW BUL Cost 2 1 5 3 Performance 3 4 2 5 Safety 1 2 3 1
a) HOG b) KAW c) BUL d) Tie
- “The total elapsed time needed to complete a business process (also known as throughput time)” is the definition of:
a) Productivity b) Benchmarking c) Efficiency d) Cycle Time
Note: All prior tasks must be complete before you can collect cash
Using the data from the process map above, the reduction in maximum cycle time (in Minutes) when changing from the serial process (1 worker) to the parallel process ( workers) is:
a) 0 b) 10 c) 13 d) 15
- In the Bluebird Café case, Katie defines the problems and goals. The primary measure she uses is:
a) Wasted Food b) Employee Retention Rate c) Profit Margin d) Customer Satisfaction
Change Oil
Inflate Tires
Check Wipers
Change Filter
Collect Cash
Maximum Time (Minutes)
10 3 2 8 2
Change Oil
Inflate Tires
Check Wipers
Change Filter
Collect Cash
The picture above depicts the following continuous improvement tool:
a) Histogram b) Check Sheet c) Fishbone Diagram d) Bar Graph
- The American Society for Quality has a two part definition of quality. One perspective on quality is “the characteristics of a product or service that bear on its ability to satisfy stated or implied needs of the customer, also known as fitness for use”. This is the ____________ perspective on quality.
a) Conformance b) Reliability c) Aesthetics d) Value
- In the Dittenhoefer’s Fine China case, the machine was mistakenly left at 190 degrees for an extended period of time. The following solution focuses on using prevention:
a) Process Changes, Formal Procedures and Training b) Final Inspection c) Destroy the plates before they are shipped d) Control Charts
Root Cause: Day 1 Day 2 Day 3
Late arrival II II I
Gate occupied
Too few agents I I
Accepting late
passengers
II III II
Root Cause: Day 1 Day 2 Day 3
Late arrival II II I
Gate occupied
Too few agents I I
Accepting late
passengers
II III II
- ColaCo has a target of 20.00 ounces of liquid in their plastic bottles. A customer will not notice any difference in volume as long as the bottle contains at least 19.50 ounces, but no more than 20.50 ounces. If the process mean is 20.15 and the process standard deviation is .10 ounces, the process capability using a +/- 3 sigma quality standard is:
a) 1. b) 1. c) 2. d) (2.17, 1.17)
Day Late Deliveries Number of Observations 1 6 100 2 4 100 3 8 100 4 6 100
(Round ALL calculations to the nearest thousandth) A failure is defined as a late delivery. The following information was taken while the process was in control and producing a quality service. The upper control limit is:
a). b). c). d).
- “Shortening the overall duration of a project by reducing the time it takes to perform some of the activities” is the definition of:
a) Network Diagram b) Critical Path Method c) Crashing d) Slack Time
Use the information below for the next 3 questions:
Duration # Weeks Activity Activity (Weeks) Predecessor(s) Crash Cost per Week Can be Crashed A 4 None N/A B 8 A $ 600 3 C 2 A $150 1 D 5 B, C N/A E 6 C $100 1 F 4 D $350 1 G 1 E N/A
- Determine the Earliest Start time in weeks for Node D:
a) 4 b) 6 c) 12 d) 17
- The Latest Finish time in weeks for Node G is:
a) 12 b) 13 c) 20 d) 21
- Determine the most economical way to crash the project by 2 weeks. The cost is:
a) $ 250 b) $ 700 c) $ 950 d) $ 1200
Upper control limit for X chart:
UCLX X A 2 * R [4-10]
Lower control limit for X chart:
LCLX X A 2 * R [4-11]
Upper control limit for R chart:
UCLR D 4 * R [4-12]
Lower control limit for R chart:
LCLR D 3 * R [4-13]
Sample proportion:
n
a p
n
i^^ ^1 i [4-7]
Where:
n = number of observations in the sample
ai 0 if the attribute is not present for the ith observation, and 1 if it is.
Average sample proportion for an attribute:
m
p p
m
j
j
^1 [4-14]
Where:
pj = p value for the jth sample
m = number of samples used to develop the control chart
Upper control limit for p chart:
UCLp p 3 * Sp [4-15]
Lower control limit for p chart:
LCL (^) p p 3 * Sp [4-16]
Standard deviation for attribute samples: [4-17]
n
p p S (^) p
Where:
n = size of each sample
Project Management
Earliest start time for a project activity:
ES = Latest EF for all immediate predecessors [5-1]
Earliest finish time for a project activity:
EF = ES + Activity’s duration [5-2]
Latest finish time for a project activity:
LF = Earliest LS for all immediate successors [5-3]
Latest start time for a project activity:
LS = LF – Activity’s Duration [5-4]
Slack time for a project activity:
Slack time = LS – ES [5-5]
