COB 291 Test 2 EXAM LATEST REAL EXAM QUESTIONS AND CORRECT ANSWERS WITH RATIONALES|ALREDY GRADED A+ If the optimal value of a variable is basic (not zero), then the reduced cost is always: - ANSWER- zero If the optimal value of a variable is zero and th

COB 300 Operations Chp 5 EXAM LATEST REAL EXAM 57 QUESTIONS AND CORRECT ANSWERS WITH RATIONALES|ALREDY GRADED A+ What are manufacturing processes? - ANSWER- processes used to make tangible goods. What is required to make something can be divided into 3 simple steps: Source, make, and deliver. Depending on the item being produced supply chain can be very long or very short, where parts are sourced and the product is made locally. Source: Parts are procured from suppliers Make: Manufacturing takes place Deliver: Product is shipped to the customers. Activities organized to minimize costs while meeting the competitive priorities necessary to attract customer orders. consists of a set of tasks, flow of material, and storage of material and information, transformation of input to the desired output. flow consiss of material flow and informational. material flows transfer a product from one tasks to the next, flow of information helps to determine how much of the transformation has been done and what remains. when the task is not being performed or transfered must be stored. Goods in storage is called work-in-process inventory. Lead time - ANSWER- the time needed to respond to a customer order. For example: the time it takes to make a burger when it is ordered all the way up to the delivery to the customer. Customer order decoupling point - ANSWER- where inventory is position in the supply chain to allow processes or entities in the supply chain to operate independently. Where inventory is positioned to allow entities in the supply chain to operate independently. Selecting a decoupling point helps determine customer lead time, greatly impacts inventory investment. Quicker responses mean greater inventory investment. Finished goods inventory includes the cost of the materials, plus the cost to fabricate the finished item. Forms of transformation systems - ANSWER- continuous, flow shop/assembly line, batch, job shop, project Finished goods - ANSWER- includes the cost of the material plus the cost to fabricate the finished items Positioning inventory in the supply chain - ANSWER- The shorter the customer lead time, the higher the inventory investment. Shows the process of source to make to deliver and how much time and investment it takes for each type of order. The inverted triangles represent customer order decoupling points. Make-to-stock orders: customer lead time is short, and inventory investment is high. Decoupling point is at the end of the make cycle. Assemble-to-Order: Customer lead time is medium, inventory investment is medium, and the decoupling process happens halfway through the make time. Make-to-Order: Customer lead time is longer, inventory investment is low, and the decoupling process happens before the make cycle. Engineer-to-order: Customer lead time is long, inventory investment is low, and the decoupling point is at it's source. many firms serve a combination of these environments and a few will have all simultaneously. The arrows going in a circle has to do with lead time. The order comes in and then goes back out, with the lead time determining the length of time. Make-to-stock typically has the shortest lead time, and engineer-to-order has the longest lead time. Make-To-Stock - ANSWER- A production environment where the customer is served "on demand" from finished goods inventor. Must balance the level of finished inventory against the level of service to the customer. More inventory increases costs, so a tradeoff between the costs of the inventory and the level of customer service must be made. This process can be found by making better estimate of customer demand, finding transportation alternatives, speedier production, more flexible manufacturing. Many invest in lean manufacturing. Assemble-to-order - ANSWER- a production environment where pre-assembled components, sub assemblies, and modules are put together in response to a specific customer order. Primary task is to define a customer's order in terms of alternative components. Success is found when you engineer designs that enable as much flexibility as possible in combining components, options, and modules into finished products. Also applies lean manufacturing principles to decrease the time required to assemble finished goods and delivering customer orers quicker. advantages can be found by moving the decoupling point from finished goods to components. 17 components that can be combined into 384 ways is much easier to forecast then 384 products of finished goods. In other words, if you put the decoupling point at the 'make' stage instead of the finished goods stage then you can market the combinations without making them yet. It would not make sense to make a decoupling point where a bunch of cheeseburgers with extra onions (a finished good) are produced - much harder to sell then cheeseburgers that can have products added to them (ketchup, mustard, lettuce, etc...) Make-to-order - ANSWER- a production environment where the product is built directly from raw materials and components in response to a specific customer order. Decoupling point could be in either raw materials at manufacturing site or with the suppliers inventory. engineering determines what materials will be required and what steps will be required in manufacturing. Might not be possible to pre-order parts. Engineer-to-order - ANSWER- here the firm works with the customer to design the product, which is then made from purchased material, parts, and componen