OPMA EXAM 2 CHAPTER 9 | STUDY GUIDE, MCQS, PRACTICE QUESTIONS AND OPERATIONS
MANAGEMENT EXAM REVIEW | 2026/2027
Enterprise Resource Planning (ERP) - correct answer ✔✔a computer system that integrates
application programs in accounting, sales, manufacturing, and the other functions in a firm
Material Requirements Planning (MRP) - correct answer ✔✔the logic for determining the
number of parts, components, and materials needed to produce a product
A logical, easily understood approach to the
problem of managing the parts, components,
and materials needed to produce end items
How much of each part to obtain?
When to order or produce the parts?
Dependent demand drives the MRP system
Master Production Scheduling - correct answer ✔✔The schedule that explains how much
quantity of each item is required and at what time. This schedule is mainly developed on the
basis of forecasts customer orders for finished product, safety stock and internal orders
The master production scheduler (also known as a
planner, MRP controller, etc.) maintains the master
schedule - correct answer ✔✔Include demand from all sources
Keep sight of the aggregate plan
Participate in customer order promising
Be visible to all layers of management
Objectively manage conflicts between manufacturing,
marketing and engineering
Identify and communicate all problems
, Time Fences - correct answer ✔✔periods of time having some specified level of opportunity for
the customer to make changes
The purpose is to maintain a reasonably controlled flow through the production system
MRP System Structure - correct answer ✔✔states the number of items to be produced
during specific time periods
A bill-of-materials file identifies the specific
materials used to make each item and the correct quantities of each
The inventory record file contains data such as
the number of units on-hand and on-order
Product Demand Sources - correct answer ✔✔Customers - specific orders placed by either
external or internal customers
Aggregate production plan - the firm's strategy
for meeting demand in the future, implemented
through the master production schedule
Bill of Materials - correct answer ✔✔Contains the complete product description, listing the
materials, parts, and components along with the sequence in which the product is created
The BOM shows how the product is put together
MRP Explosion Process - correct answer ✔✔1. The requirements for end items are retrieved
from the master schedule
- These are referred to as "gross requirements" by the MRP program
2. Uses on-hand balance with schedule of orders to calculate the "net requirements"
MANAGEMENT EXAM REVIEW | 2026/2027
Enterprise Resource Planning (ERP) - correct answer ✔✔a computer system that integrates
application programs in accounting, sales, manufacturing, and the other functions in a firm
Material Requirements Planning (MRP) - correct answer ✔✔the logic for determining the
number of parts, components, and materials needed to produce a product
A logical, easily understood approach to the
problem of managing the parts, components,
and materials needed to produce end items
How much of each part to obtain?
When to order or produce the parts?
Dependent demand drives the MRP system
Master Production Scheduling - correct answer ✔✔The schedule that explains how much
quantity of each item is required and at what time. This schedule is mainly developed on the
basis of forecasts customer orders for finished product, safety stock and internal orders
The master production scheduler (also known as a
planner, MRP controller, etc.) maintains the master
schedule - correct answer ✔✔Include demand from all sources
Keep sight of the aggregate plan
Participate in customer order promising
Be visible to all layers of management
Objectively manage conflicts between manufacturing,
marketing and engineering
Identify and communicate all problems
, Time Fences - correct answer ✔✔periods of time having some specified level of opportunity for
the customer to make changes
The purpose is to maintain a reasonably controlled flow through the production system
MRP System Structure - correct answer ✔✔states the number of items to be produced
during specific time periods
A bill-of-materials file identifies the specific
materials used to make each item and the correct quantities of each
The inventory record file contains data such as
the number of units on-hand and on-order
Product Demand Sources - correct answer ✔✔Customers - specific orders placed by either
external or internal customers
Aggregate production plan - the firm's strategy
for meeting demand in the future, implemented
through the master production schedule
Bill of Materials - correct answer ✔✔Contains the complete product description, listing the
materials, parts, and components along with the sequence in which the product is created
The BOM shows how the product is put together
MRP Explosion Process - correct answer ✔✔1. The requirements for end items are retrieved
from the master schedule
- These are referred to as "gross requirements" by the MRP program
2. Uses on-hand balance with schedule of orders to calculate the "net requirements"