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business
operations management 6th

Questions and Answers of Operations Management 6th

What are three basic approaches to negotiations? lop5
How does a traditional adversarial relationship with suppliers change when a firm makes a decision to move to a few suppliers? lop5
What is the difference between postponement and channel assembly? lop5
What is CPFR? lop5
What is the value of online auctions in e-commerce? lop5
Explain how FedEx uses the Internet to meet requirements for quick and accurate delivery. lop5
How does Walmart use drop shipping? lop5
What are blanket orders? How do they differ from invoiceless purchasing? lop5
What can purchasing do to implement just-in-time deliveries? lop5
What is e-procurement? lop5
How does Red Lobster, described in the Global Company Profile, find competitive advantage in its supply chain? lop5
What is SCOR, and what purpose does it serve? lop5
Choose a local establishment that is a member of a relatively large chain. From interviews with workers and information from the Internet, identify the elements of the supply chain.Determine whether
Kamal Fatehl, production manager of Kennesaw Manufacturing, finds his profit at $15,000 (as shown in the following statement)—inadequate for expanding his business. The bank is insisting on an
A company buys an item for €50 and sells it for €75.The annual sales and average stock of this item are 10,000 units and 1,600 units, respectively, while the carrying cost is 20% of its
An excerpt from Kalamia manufacturing company’s last year’s final annual report revealed the following information:CATEGORY PART NO.AVERAGE INVENTORY UNIT VALUE UNITS €Raw materials RSI - 1 200
A company has supplied the following data with respect to its three different types of fertilizers:ANNUAL DEMAND AVERAGE INVENTORY COST PER SACK FERTILIZER SACKS SACKS €10-10-10 30,000 5,000 18
The plant manager, Murat Kristal, at York Technologies makes Aircraft Navigation Systems. He expects you, as the new OM analyst, to provide some insight for performance of the plant. High on his list
Based on the data in Table 11.10 determine:a) How many weeks of finished goods were on hand at the end of last year.b) How many weeks of finished goods were on hand at the end of this year. lop5
What are the advantages of each of Darden’s four supply chains? lop5
What are the complications of having four supply chains? lop5
Where would you expect ownership/title to change in each of Darden’s four supply chains? lop5
How do Darden’s four supply chains compare with those of other firms, such as Dell or an automobile manufacturer? Why do the differences exist, and how are they addressed? lop5
What other techniques might Regal use to improve supply chain management? lop5
What kind of response might members of the supply chain expect from Regal because of their “partnering” in the supply chain? lop5
Why is supply chain management important to Regal? lop5
How does this supply chain differ from that in a manufacturing firm? lop5
What are the constraints on making decisions based on economics alone at Arnold Palmer Hospital? lop5
What role do doctors and nurses play in supply chain decisions in a hospital? How is this participation handled at Arnold Palmer Hospital? lop5
Doctor Smith just returned from the Annual Physician’s Orthopedic Conference, where she saw a new hip joint replacement demonstrated. She decides she wants to start using the replacement joint at
The objective of supply chain management is to _________. lop5
The term vertical integration means to:a) develop the ability to produce products that complement or supplement the original product.b) produce goods or services previously purchased.c) develop the
The bullwhip effect can be aggravated by:a) local optimization.b) sales incentives.c) quantity discounts.d) promotions.e) all of the above. lop5
Supplier selection requires:a) supplier evaluation and effective third-party logistics.b) supplier development and logistics.c) negotiations, supplier evaluation, supplier development, and
A major issue in logistics is:a) cost of purchases.b) supplier evaluation.c) product customization.d) cost of shipping alternatives.e) excellent e-procurement. lop5
Inventory turnover 5a) Cost of goods sold 4 Weeks of supplyb) Weeks of supply 4 Annual cost of goods soldc) Annual cost of goods sold 4 52 weeksd) Average inventory investment 4 Cost of goods solde)
The following payoff table provides profits based on various possible decision alternatives and various levels of demand at Robert Klassan’s print shop: L01 DEMAND LOW HIGH Alternative 1 $10,000
Zhu Manufacturing is considering the introduction of a family of new products. Long-term demand for the product group is somewhat predictable, so the manufacturer must be concerned with the risk of
A news vendor wants to decide on the number of magazines to order for the next day. Based on his experience, he believes that demand for the magazine would range from 400–900 based on the following
The city of Belgrade, Serbia, is contemplating building a second airport to relieve congestion at the main airport and is considering two potential sites, X and Y. Hard Rock Hotels would like to
Given the following conditional value table, determine the appropriate decision assuming that each state of nature has an equal likelihood of occurring:ALTERNATIVES STATES OF NATURE VERY FAVORABLE
A construction company wants to decide on whether to bid for a new project or not. If the company decides to bid, there is a KWD 10,000 cost associated with preparing the preliminary proposal. The
In the TV show and game “Who Wants to be a Millionaire?” the participants get four choices for each question and the questions get tougher and tougher the longer a participant stays in the game.
Bakery Products is considering the introduction of a new line of pastries. In order to produce the new line, the bakery is considering either a major or a minor renovation of its current plant. Bill
Which option should François select? Explain. L01
What is the EMV for Alternative 1 in the following decision table?STATE OF NATURE Alternative S1 S2 A1 $15,000 $20,000 A2 $10,000 $30,000 Probability 0.30 0.70a) $15,000b) $17,000c) $17,500d)
What is level scheduling? L01
How might the procedure for custom surgical packs described here be improved? L01
Barbara Flynn’s company has compiled the following data on a small set of products:ITEM ANNUAL DEMAND UNIT COST A 100 $300 B 75 100 C 50 50 D 200 100 E 150 75 Perform an ABC analysis on her data.
Lynn Fish opened a new beauty-products retail store.There are numerous items in inventory, and Lynn knows that there are costs associated with inventory. However, because her time is limited, she
Rate a job you have had using Hackman and Oldham’s core job characteristics (see page 445) on a scale from 1 to 10. What is your total score? What about the job could have been changed to make you
Make a process chart for changing the right rear tire on an automobile. lop25
Prepare a process chart for the Jackman in Solved Problem 10.1. lop25
Draw a process chart for the activities of a receptionist handling the check-in process at a hotel. lop25
If Charlene, the worker in Problem 10.13, has a performance rating of 90%, what is the normal time for the operation? Is she faster or slower than normal? lop25
A hotel housekeeper, Alison Harvey, was observed five times on each of four task elements, as shown in the following table. On the basis of these observations, find the standard time for the process.
A time study has revealed an average observed time of 5 minutes, with a standard deviation of 1.25 minutes. These figures are based on a sample of 75 cycles. Is this sample large enough for analyst
Determine the job element’s normal time and standard time. lop25
If the management uses a 95% confidence level and an accuracy of ;5%, is their current sample size sufficient? lop25
Define learning curve 812
Use the doubling concept to estimate times 814
Compute learning-curve effects with the formula and learning-curve table approaches 815
Describe the strategic implications of learning curves 818
What are some of the limitations of learning curves? lo1
Identify three applications of the learning curve. lo1
What are the approaches to solving learning-curve problems? lo1
Why isn’t the learning-curve concept as applicable in a high-volume assembly line as it is in most other human activities? lo1
What are the elements that can disrupt the learning curve? lo1
Explain the concept of the doubling effect in learning curves. lo1
What techniques can a firm use to move to a steeper learning curve? lo1
Susan Sherer, an IRS auditor, took 45 minutes to process her first tax return. The IRS uses an 85% learning curve. lo1 How long will the:a) 2nd return take?b) 4th return take?c) 8th return take?
Temple Trucking Co. just hired Ed Rosenthal to verify daily invoices and accounts payable. He took 9 hours and 23 minutes to complete his task on the 1st day. Prior employees in this job have tended
If Professor Laurie Macdonald takes 15 minutes to grade the first exam and follows an 80% learning curve, how long will it take her:a) to grade the 25th exam?b) to grade the first 10 exams? lo1
Elizabeth Perry, a student at SUNY, bought 6 bookcases for her dorm room. Each required unpacking of parts and assembly, which included some nailing and bolting.a) What is her learning rate?b)
Professor Mary Beth Marrs took 6 hours to prepare the first lecture in a new course. Traditionally, she has experienced a 90% learning curve. How much time should it take her to prepare the 15th
Using the data from Problem E.14, how long will it take to complete the 12th plane? The 15th plane? How long will it take to complete planes 12 through 15 inclusive? At $40 per hour, what can Alwan,
Central Electronics Corp. produces semiconductors and has a learning curve of .7. The price per bit is 100 millicents when the volume is .7 × 1012 bits. What is the expected price at 1.4 × 1012
If it took Boeing 28,718 hours to produce the eighth 787 jet and the learning-curve factor is 80%, how long did it take to produce the tenth 787? lo1
As the estimator for Rajendra Tibrewala Enterprises, your job is to prepare an estimate for a potential customer service contract. The contract is for the service of diesel locomotive cylinder heads.
If the first unit of a production run takes 1 hour and the firm is on an 80% learning curve, how long will unit 100 take?(Hint: Apply the coefficient in Table E.3 twice.) lo1
Professor Hayes took 20 minutes to grade the first exam. He estimates that it will take him two hours to grade all 10 exams. What learning factor is he assuming? lo1
If the first unit of a production run takes 1 hour and the firm is on an 90% learning curve, how long will unit 100 take?1. What are the advantages and disadvantages to IBM and SMT from this
A learning curve describes:a) the rate at which an organization acquires new data.b) the amount of production time per unit as the total number of units produced increases.c) the increase in
A surgical procedure with a 90% learning curve required 20 hours for the initial patient. The fourth patient should require approximately how many hours? lo1a) 18b) 16.2c) 28d) 30e) 54.2
The first transmission took 50 hours to rebuild at Bob’s Auto Repair, and the learning rate is 80%. How long will it take to rebuild the third unit? (Use at least three decimals in the exponent if
Which one of the following courses of action would not be taken by a firm wanting to pursue a learning curve steeper than the industry average? lo1a) Following an aggressive pricing policyb) Focusing
Describe the three categories of business analytics. L01
Describe the three major issues for data management and clean data. L01
What are some ways to use Excel to clean data? L01
Describe the purpose of a heat map. L01
Consider Example G1. Think of three additional items for which the manager might want to check to ensure that the data are clean. L01
Describe the three paths of data mining. L01
For the ‘Change’ column (E) in Figure G.5:a) Determine the upper and lower limits for a 3-standard-deviation accuracy check.b) Which, if any, values fall outside the limits computed in part (a)?
Using Figure G.2, enter $6,000 into cell E8. In that spreadsheet, any new supplier (with a ‘Y’ in column J) should have its total purchases in column D equal to its change from the previous month
Using Figure G.2, analytics manager Vicky Luo wishes to set up Conditional Formatting in Excel to ensure that all the suppliers have different supplier numbers in column B.Which Conditional
Using the data in Figure G.8(b), supply chain manager Jon Jackson wishes to use Excel’s Conditional Formatting to highlight any entries in column B that are at least as large as this year’s
Thompson Industries’ supply chain manager, Xun Xu, wishes to understand the makeup of his supply base better.He suggests that you, using the data in Figure G.5, use Excel to create a PivotTable
Thompson Industries’ supply chain manager, Xun Xu, wishes to identify suppliers with the largest and smallest purchase levels, so he knows where to focus his purchasing resources. He suggests that
Thompson Industries’ CEO, Gihan Edirisinghe, wishes to identify the top-performing suppliers to present with a performance award. He suggests that you, using the data in Figure G.5, use Excel to
Thompson Industries’ supply chain manager, Xun Xu, wishes to better understand the quality and on-time performance of his supply base. He suggests that you, using the data in Figure G.5, use Excel

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