Operations And Supply Chain
Management - C720 (WGU)
Questions With Accurate Answers
5S Methodology correct answer Sort, straighten, shine, standardize, and sustain;
used to create visual control of the workplace.
ABC Analysis correct answer Used to determine which inventory items should
receive the highest level of control, through multiplying the dollar value of each
item by its annual usage. Items are ranked by dollar usage, from highest to
lowest. Following the Pareto Principle, the first 20% of the items are assigned to
Class A, characterized as having close control and monitoring through a perpetual
inventory system. Class B items comprise the next 30%, and they deserve less
attention. Class C items are the last 50% of stocked items, characterized by lowest
dollar usage and can be monitored loosely through a periodic review system.
Actual Output correct answer The effective capacity minus additional factors that
reduce production, such as a fuel stop.
Adjustable Capacity correct answer The ability the use a portion of facilities or
employees at any given time, such as closing off a section of a restaurant when
demand is low so that some wait staff can prepare for peak demand.
Aggregate Planning correct answer The combination of individual end items into
groups or families of parts for planning purposes; for example, an appliance
manufacturer may begin medium-range planning by determining production rates
for each product family, such as fridges, stoves, and dishwashers.
,Agile Supply Chains correct answer Fast and reliable supply chains that can
transmit information reliably, accurately, and quickly from the marketplace to
supply chain members; can create flexible and responsive production processes
that allow product differentiation.
Appraisal Costs correct answer Investments in measuring quality and assessing
customer satisfaction.
Assembly Line correct answer The assembly of low-variety discrete products, such
as washing machines, at high volume; each output is trackable.
Assembly-Line Balancing correct answer Having the optimal number of
appropriate workstations and the appropriate amount of work per station so that
idle time is low, preferably zero.
Assurance correct answer Knowledge and courtesy of employees and their ability
to convey trust and confidence.
Available-to-Promise correct answer Inventory that has not yet been sold. Take
the on-hand inventory and subtract it from the customer orders booked.
Backward Vertical Integration correct answer Owning its suppliers.
Batch Flow correct answer A process that aggregates similar products together to
generate sufficient volume for efficient use; transition/changeover time is
required between batches; an example is the manufacturing of pain medications.
,Bill of Materials (BOM) correct answer Lists the needed materials and quantities
of materials; it also provides information on how the materials come together;
like a recipe.
Black Belts/Green Belts correct answer When using Six Sigma, these specialists
are developed within an organization who are experts in specific methods.
Bottleneck correct answer The most limiting constraint on the system, whereby
requiring the longest time or slowest rate.
Build-Up Method correct answer Adding together estimates from each element
from an organization, from the bottom to the top; for example, sales
representatives at the bottom of the organization can be asked for their estimates
of the revenue that they generate; this data is then passed on to the next-higher
level of the organization, and revised and refined during this process.
Capacity correct answer A measure of an organization's ability to provide
customers with goods in the amount requested and in a timely manner, given
current resources; the maximum sustainable rate of production.
Capacity Planning correct answer Planning an organization's ability to deliver at
capacity; significant capital is usually involved to build facilities and purchase
equipment; require careful consideration of long-term objectives, current
demand, and long-term demand.
Capacity Requirements Planning (CRP) correct answer Used to determine
capacity.
, Capacity Utilization correct answer Actual Output / Design Capacity; used to
measure how much capacity is actually being used on an average basis.
Capital correct answer Facilities and equipment
Cash-to-Cash Cycle correct answer The time between when a company owes
money to suppliers when it receives money from customers.
Chase Demand correct answer The process of varying the workforce and using
overtime to adjust production rates to match demand; this strategy requires a
flexible workforce.
Check Sheets correct answer Used to record data points in real-time at the site
where the data is generated; raw data is collected without interpretation and
then depicted using a different statistical tool.
Competitive Advantage correct answer Developing capabilities that customers
value, can be sustained over the long-term, and competitors find difficult to
replicate.
Concurrent Engineering correct answer Completing product design and process
design simultaneously.
Constraint correct answer When a resource's capacity to less than or equal to
demand for that resource.
Management - C720 (WGU)
Questions With Accurate Answers
5S Methodology correct answer Sort, straighten, shine, standardize, and sustain;
used to create visual control of the workplace.
ABC Analysis correct answer Used to determine which inventory items should
receive the highest level of control, through multiplying the dollar value of each
item by its annual usage. Items are ranked by dollar usage, from highest to
lowest. Following the Pareto Principle, the first 20% of the items are assigned to
Class A, characterized as having close control and monitoring through a perpetual
inventory system. Class B items comprise the next 30%, and they deserve less
attention. Class C items are the last 50% of stocked items, characterized by lowest
dollar usage and can be monitored loosely through a periodic review system.
Actual Output correct answer The effective capacity minus additional factors that
reduce production, such as a fuel stop.
Adjustable Capacity correct answer The ability the use a portion of facilities or
employees at any given time, such as closing off a section of a restaurant when
demand is low so that some wait staff can prepare for peak demand.
Aggregate Planning correct answer The combination of individual end items into
groups or families of parts for planning purposes; for example, an appliance
manufacturer may begin medium-range planning by determining production rates
for each product family, such as fridges, stoves, and dishwashers.
,Agile Supply Chains correct answer Fast and reliable supply chains that can
transmit information reliably, accurately, and quickly from the marketplace to
supply chain members; can create flexible and responsive production processes
that allow product differentiation.
Appraisal Costs correct answer Investments in measuring quality and assessing
customer satisfaction.
Assembly Line correct answer The assembly of low-variety discrete products, such
as washing machines, at high volume; each output is trackable.
Assembly-Line Balancing correct answer Having the optimal number of
appropriate workstations and the appropriate amount of work per station so that
idle time is low, preferably zero.
Assurance correct answer Knowledge and courtesy of employees and their ability
to convey trust and confidence.
Available-to-Promise correct answer Inventory that has not yet been sold. Take
the on-hand inventory and subtract it from the customer orders booked.
Backward Vertical Integration correct answer Owning its suppliers.
Batch Flow correct answer A process that aggregates similar products together to
generate sufficient volume for efficient use; transition/changeover time is
required between batches; an example is the manufacturing of pain medications.
,Bill of Materials (BOM) correct answer Lists the needed materials and quantities
of materials; it also provides information on how the materials come together;
like a recipe.
Black Belts/Green Belts correct answer When using Six Sigma, these specialists
are developed within an organization who are experts in specific methods.
Bottleneck correct answer The most limiting constraint on the system, whereby
requiring the longest time or slowest rate.
Build-Up Method correct answer Adding together estimates from each element
from an organization, from the bottom to the top; for example, sales
representatives at the bottom of the organization can be asked for their estimates
of the revenue that they generate; this data is then passed on to the next-higher
level of the organization, and revised and refined during this process.
Capacity correct answer A measure of an organization's ability to provide
customers with goods in the amount requested and in a timely manner, given
current resources; the maximum sustainable rate of production.
Capacity Planning correct answer Planning an organization's ability to deliver at
capacity; significant capital is usually involved to build facilities and purchase
equipment; require careful consideration of long-term objectives, current
demand, and long-term demand.
Capacity Requirements Planning (CRP) correct answer Used to determine
capacity.
, Capacity Utilization correct answer Actual Output / Design Capacity; used to
measure how much capacity is actually being used on an average basis.
Capital correct answer Facilities and equipment
Cash-to-Cash Cycle correct answer The time between when a company owes
money to suppliers when it receives money from customers.
Chase Demand correct answer The process of varying the workforce and using
overtime to adjust production rates to match demand; this strategy requires a
flexible workforce.
Check Sheets correct answer Used to record data points in real-time at the site
where the data is generated; raw data is collected without interpretation and
then depicted using a different statistical tool.
Competitive Advantage correct answer Developing capabilities that customers
value, can be sustained over the long-term, and competitors find difficult to
replicate.
Concurrent Engineering correct answer Completing product design and process
design simultaneously.
Constraint correct answer When a resource's capacity to less than or equal to
demand for that resource.
