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Questions and Answers of
Operations Management
Rework can increase the costs of an operation but has no impact on the capacity of the process. True or false? a. True b. False
A pharmaceutical company creates a compound with a four-stage process: Some of the resources have partial yields: 15 percent of material is discarded after the Acid step and 45 percent of the
To find the bottleneck in a process with attrition loss, all we need to do is find the resource with the lowest capacity. True or false? a. True b. False
To obtain your first driver’s license, you must successfully complete several activities. First, you must produce the appropriate identification. Then, you must pass a written exam. Finally, you
What is the highest possible yield a process can obtain? a. 95 percent b. 100 percent c. 200 percent d. It depends on the process.
The help desk at Triple Stacked handles calls from customers regarding their high-end industrial switches. The help desk is actually divided into two groups. The first group is called the
A process has a yield of 50 percent. How many units are needed as inflow to create an outflow of 40 units per day? a. 10 b. 20 c. 80 d. 90
An architectural firm has three types of clients: “G” = “green/new”; “EC” = experienced with a complex project; and “ES” = experienced with a simple project. The process flow for
The magnetic resonance imaging (MRI) unit of St Francis hospital has 2 MRI machines and sees two kinds of patients, “regular” patients and “contrast” patients. The regular patients don’t
The following on-boarding process for new employees has two stages. In the first, employees fill out several government forms and necessary visas for immigration. In the second the employees attend
Consider a process consisting of five resources that are operated 8 hours per day. The process works on three different products, A, B, and C: Demand for the three different products is as
A resource has an implied utilization of 150 percent. This is the highest implied utilization in the process. This means that the resource is the bottleneck. True or false? a. True b. False
Rockin’ Rocks offers two types of indoor climbing walls, the Challenge and the Psycho. There is one Challenge wall and 4 Psycho walls. There are two types of customers: Recreational and Expert.
At a career fair there are two types of job seekers, ones with low experience (Elow) and those with high experience (Ehigh). 70 Elows arrive per hour and 30 Ehighs arrive per hour. The Elows first
The local Department of Motor Vehicles issues new licenses and renews licenses. The office receives 110 customers per hour. All customers first see a receptionist. The receptionist directs them
Panini, a popular sandwich shop, offers 3 types of sandwiches: grilled vegetables, grilled chicken, and pastrami. Demand (sandwiches per hour) are Grilled Vegetables = 25, Grilled Chicken = 15, and
Evaluate the impact of increasing the usage of the new kiosks. To do this, first draw a process flow diagram that combines the three different flows (traditional process, NEXUS program, new kiosks).
GV is a small accounting firm supporting wealthy individuals in their preparation of annual income tax statements. Every December, GV sends out a short survey to its customers, asking for the
The implied utilization can never be bigger than 100 percent. True or false? a. True b. False
The resource with the largest total demand rate is the bottleneck. True or false? a. True b. False
The total demand rate for a resource is the sum of the individual demand rates that need to be processed by the resource. True or false? a. True b. False
A process has 10 resources and two types of flow units. How many columns will there be in the demand table? a. 2 b. 5 c. 10 d. 20
A process has six resources and three types of flow units. How many rows will there be in the demand table?a. 2 b. 3 c. 6 d. 18
What do you think of the comments of these two experts? Draw a process flow diagram for each of the two expert proposals. For each proposal, compute process capacity, labor utilization, and costs of
The White Tooth Device Company is a manufacturer of high-end electric toothbrushes. For each toothbrush, there are a sequence of assembly steps performed by five workers. Each worker does two tasks.
Mr. K’s is a very popular hair salon. It offers high-quality hairstyling and physical relaxation services at a reasonable price, so it always has unlimited demand. The service process includes five
It takes a lawyer 120 minutes to serve one customer. Demand is 2 customers per 8-hour day. The lawyer has a wage rate of $200 per hour. a. What is the cost of direct labor for the lawyer
Specialization typically leads to a higher average labor utilization. True or false? a. True b. False
Specialization increases the costs of labor because specialists will command a higher wage rate. True or false? a. True b. False
Balancing a process with a fixed sequence of activities will achieve a higher average labor utilization than balancing a process with no fixed sequence of activities. True or false? a.
It is possible to increase process capacity by balancing a process. True or false? a. True b. False
Which of the following actions does not relate to off-loading the bottleneck? a. Reassigning activities to other, nonbottleneck resources b. Automating some of the activities at the
What happens to the target manpower if the labor content is doubled? a. The target manpower increases by 50 percent. b. The target manpower doubles. c. The target manpower decreases by
How does the target manpower change as the demand rate increases? a. The target manpower increases. b. The target manpower stays the same. c. The target manpower decreases. d.
How does the takt time change as the demand rate increases? a. The takt time increases. b. The takt time stays the same. c. The takt time decreases. d. Cannot determine from the
If the takt time is shorter than the cycle time, the process needs to run faster. True or false? a. True b. False
Which of the following statements about takt time and cycle time is true? a. Takt time only depends on demand, not capacity. Cycle time does depend on capacity. b. Takt time only depends on
The bottleneck resource in a process has the least idle time. True or false? a. True b. False
A group of workers works really hard. In fact, they work so hard that one of them claims to have an average labor utilization of 120 percent. Is that possible? a. Yes b. No
A nonbottleneck worker currently has an idle time of 20 seconds per unit. Because of the large demand, the company improves the process by adding more capacity to the bottleneck. How does this impact
You and three of your friends run a car wash for a fund-raiser. Between interior and exterior cleaning, you spend about 40 minutes per vehicle. You are so successful that the next day you invite four
A process is replicated in another country where wages are 50 percent lower. Staffing and processing times are identical. What would be the effect on the costs of direct labor?a. Costs of direct
Imagine you could take a tour of the Tesla plant. To prepare for this tour, draw a simple process flow diagram of the operation. What is the cycle time of the process (assume two shifts of 8 hours
The local driver’s license center processes applications for driver’s license renewals through the following three steps. First, the customer registers with the receptionist, who updates the
An automated car wash serves customers with the following serial process: pretreat, wash, rinse, wax, hand dry. Each of these steps is performed by a dedicated machine except for the hand-dry step,
An assembly process has a cycle time of 45 seconds and operates with 100 stations. Assuming the process starts empty and is machinepaced, how long will it take (in minutes) to complete 50 units?
Consider a four-step serial process with the number of workers at each step and processing times given in the following table. Assuming that the process starts out empty and is worker-paced, how
Consider a four-step serial process with processing times given in the following list. There is one machine at each step of the process, and this is a machine-paced process. Step 1: 25 minutes
A small mortgage lender has one receptionist, four loan officers, and two office managers. When applicants apply for a new loan in person, they first fill out paperwork with the receptionist. Then
Consider the following production process for manufacturing biscuits. The first step of the process is mixing, where all of the ingredients are combined in the correct proportion to form dough. In
Consider a process consisting of three resources. Assume there exists unlimited demand for the product. Resource 1 has a processing time of 6 minutes per unit. Resource 2 has a processing
A community health system’s nurse team consists of 12 nurses working in the local community. It takes a nurse 1.5 hours to complete one patient visit (including travel time and breaks). a.
It takes a barber 15 minutes to serve one customer. a. What is the capacity of the barber expressed in customers per hour?b. Assuming the demand for the barber is 2 customers per hour, what is
You observe a vehicle registration department at your local township. Assume that all employees are ready to work at 9 a.m. You arrive at 9 a.m. sharp and are the first customer. Is your time through
Smartphones are made on a 40-step assembly process. All 40 steps are connected through a conveyor belt and all of the 40 steps must work at the same rate even if some of them have more capacity than
Is the capacity of the bottleneck larger than, equal to, or smaller than the capacity of the process? a. Larger thanb. Equal to c. Smaller than d. The answer depends on the specific
What is the maximum utilization a resource can achieve? a. A value equal to the demand b. A value equal to the capacity c. There is no maximum utilization. d. 1.00
You observe a bank and notice that a customer leaves the bank about every five minutes. These five minutes between customers are a. The capacity of the process. b. The processing time of
You observe a long line at the airport security. The process currently is a. capacity-constrained. b. demand-constrained. c. unconstrained. d. linearly constrained.
What is the relationship between the processing time at a resource and its capacity? a. They are the same. b. They are reciprocals of each other.c. They are multiples of each other. d.
You are sitting in a restaurant and the waiter brings you the food you ordered a while ago. If you think about you being the flow unit in the process of the restaurant, which step of this process
Which of the following items would be considered resources in a restaurant? a. Recipes b. Food c. Brand image d. Chefs
Which of the following questions would be asked in a process analysis of a college admissions office? a. When was the college founded? b. How long does it take the office to process an
Who do you think is correct, Mark (the unload capacity should be twice as high) or Doug (the two lifts have the same capacity)? Can you give a response to Jessica—is there any other difference
The small architectural firm Streefkerk designs and manages various home construction projects. Each project requires on average 18 months to complete and earns $60,000 for Streefkerk. How many
The hospital has 50 beds, and on average 40 are occupied. On average, 30 patients are discharged from the hospital each day. What is the average length of stay (days) for a patient at this hospital?
During the Eagles Super Bowl victory parade there were on average 700,000 people on the Ben Franklin Parkway. The event lasted 4 hours. Each person spent on average 2.5 hours at the event. What was
A consulting company must hire 15 new associates per year to replace those who have left the company for other positions or have retired. The company employs 120 associates overall. How long is the
CodeDeskInc matches programmers with freelance jobs. It has 30 employees who staff its online chat room. It receives, on average, 240 chat requests per hour, and the average chat session takes 5
Patients take a drug for severe acne for 6 months and there are 150,000 new patients each month. How many patients are taking this drug on average at any given time?
Last year, there were 3,400,000 visitors to a national park and, on average, each visitor spent 22 hours in the park. Last year, on average, how many visitors were in the park simultaneously?
One of the chair lifts at a ski resort unloads 1800 skiers per hour at the top of the slope. The ride from the bottom to the top takes 12 minutes. How many skiers are riding on the lift at any given
A Rhode Island company produces communion wafers for churches around the country and the world. The little company produces a lot of wafers, several hundred million per year. When in production, the
A campus deli serves 300 customers over its busy lunch period from 11:30 a.m. to 1:30 p.m. A quick count of the number of customers waiting in line and being served by the sandwich makers shows that
Based on the data provided in Table 2.6, what is the flow time of customers from 3:30 p.m. to 4:00 p.m.? TABLE 2.6 Call Center's Log from 3:30 p.m. to 4:00 p.m. Caller ID Time spent (min) in
Based on the data provided in Table 2.6, what is the flow rate of customers from 3:30 p.m. to 4:00 p.m.? TABLE 2.6 Call Center's Log from 3:30 p.m. to 4:00 p.m. Caller ID Time spent (min) in
Based on the data provided in Table 2.5, what is the flow time of customers from 9:00 a.m. to 10:00 a.m.? TABLE 2.5 Time Stamps of 10 Customers Who Visited a Local Bank Branch from 9:00 a.m. to 10:00
Based on the data provided in Table 2.5, what is the flow rate of customers from 9:00 a.m. to 10:00 a.m.? TABLE 2.5 Time Stamps of 10 Customers Who Visited a Local Bank Branch from 9:00 a.m. to
Based on the data provided in Table 2.4, what is the flow time of callers from 8:00 a.m. to 8:20 a.m.? TABLE 2.4 Time Stamps of the 8 Callers Who Called from 8:00 a.m. to 8:20 a.m. to the
Based on the data provided in Table 2.4, what is the flow rate of callers from 8:00 a.m. to 8:20 a.m.? TABLE 2.4 Time Stamps of the 8 Callers Who Called from 8:00 a.m. to 8:20 a.m. to the
For the purpose of process analysis, which of the following measures would be considered an appropriate flow unit for analyzing the main operation of a gas station? Instructions: You may select more
For the purpose of process analysis, which of the following measures would be considered an appropriate flow unit for analyzing the main operation of a local accounting firm? Instructions: You may
For the purpose of process analysis, which of the following measures would be considered an appropriate flow unit for analyzing the operation of a coffee shop? Instructions: You may select more than
If inventory is measured in kilograms, then when applying Little’s Law the flow rate can be measured in ______ a. Units per kilogram b. Minutes per kilogram c. Kilograms per
Little’s Law is very general, so it is not necessary that flow rate and flow time use the same time units. True or false?
A computer server experiences large fluctuations in the amount of data requests it receives throughout the day. Because of this variation, Little’s Law does not apply. True or false?
Forty customers per 90 minutes is a(n) ______ a. Inventory b. Flow rate c. Flow time
Six customers enter a gift shop during a 3-hour period. On average there are 0.25 customers in the gift shop and each spends 7.5 minutes in the shop on average. Which of the following numbers is most
Over the course of a 24-hour period a call center handled 1200 different calls and at noon there were 50 callers “in” the center (talking or waiting to talk to a representative). The sixth caller
Over the course of a day, fans pour into a NASCAR venue at the rate of 8000 people per hour. The average rate at which fans leave the venue ______. a. must be less than 8000 people per
It is election day and 1800 voters vote in their precinct’s library during the 10 hours the polls are open. On average, there are 15 voters in the library and they spend on average 5 minutes in the
At a cruise ship terminal, each day on average 1000 passengers embark on ships. On average, passengers spend 5 days on their cruise before returning to this terminal. If the flow unit is a passenger,
Over the course of a month, which of the following is most likely to describe an appropriate flow unit for a process analysis of a hospital? a. The number of physicians b. The number of
From the perspective of process analysis, which of the following could be appropriate flow units for a hardware store? a. Number of workers b. Number of cash registers c. Number of
Which of the following operational decisions correspond(s) to the consumption utility component of the consumer utility function? Instructions: You may select more than one answer. a.
Which of the following operational decisions correspond(s) to the price component of the consumer utility function? Instructions: You may select more than one answer. a. When will the
Which of the following operational decisions correspond(s) to the convenience component of the consumer utility function? Instructions: You may select more than one answer. a. When will the
Which of the following inefficiencies in a bank’s operations results from variability? a. Employees entering the same information twice b. Associates reading the terms and conditions of
Which of the following inefficiencies in a grocery store’s operations results from inflexibility? a. Leftover fruits and vegetables b. Delivery delays from the warehouse c. A surge
Which of the following items would be considered a resource in the operations of a movie theater? a. Popcorn b. Projector c. Printer ink d. Soda
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