Question

Question:

2. Which one of the following is not a reason why operations-based strategy leads to sustainable competitive advantage?

a. Operating systems are often invisible to the competitors

b. Operating systems are often linked to each other

c. Operating systems require less capital investment in general

d. Operations "know-how" can be expanded to new areas

3. Generally speaking, which type of process is appropriate to produce a large volume of standardized products?

a. Job shop

b. Project

c. Batch

d. Line flow

4. Consider a system that can produce 80 units per hour. Suppose the demand rate is 60 units per hour. What is the flow rate?

a. 80 units per hour

b. 60 units per hour

c. 20 units per hour

d. 100 units per hour

5. Which of the following is not a correct statement?

a. The utilization of a processing step is equal to the flow rate divided by the processing rate of the step

b. Utilization cannot be greater than one

c. It is possible that a system has more than one bottlenecks

d. A bottleneck step is the step with the lowest utilization

6. A process produces two types of products in batches. The batch size of product X is 50 and the batch size of Z is 100. Currently, management wants to produce these two products in a mix of X:Z = 2:1. Which of the following is not a feasible repeating cycle (or a production run)?

a. XXZXX, ...

b. XXXXZ, ...

c. XXZZ, ...

d. ZXXXX, ...

7. Consider a work station that operates at a smooth and continuous rate of 20 units per hour. Suppose that material arrives at a smooth and continuous rate of 25 units per hour to be processed by this station. Assume that the station starts at 8am with zero inventory in front of the station. What is the inventory level in front of the station at 12pm?

a. 0 units

b. 10 units

c. 20 units

d. 40 units

8. What is the average WIP (or inventory) level if a WIP build-up diagram has a triangular shape? Let the height of the triangle be H and the length of the base be T.

a. H

b. 0.5*H*T

c. 0.5*H

d. H*T 4

Answer 1

Answering the first four questions as per Chegg policy

Answer 2: Option A

Explanation: Operating systems being ‘invisible’ to each other is not a reason that operations strategy leads to sustainable advantage. Operations based strategy works on the systems approach require less capital and is expandable.

Answer 3: Option C

Explanation: Batch production is used to produce a large volume of standardized products.

Answer 4: Option B

Explanation: Since the capacity of the system is 80 units per hour but the demand is only 60 units per hour, the flow rate would be 60 units per hour as the production will be demand based.

Answer 5: Option D

Explanation: The bottleneck of the process is the step which takes more time than other nodes so that other nodes wait for it to complete its task and experience a slack. It has the highest utilization as it has no slack.