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B BUS 340 Chapter 4 + Supplement B Quiz Study fully solved & updated.

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B BUS 340 Chapter 4 + Supplement B Quiz Study fully solved & updated.

Institution
BUS-660
Course
BUS-660

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B BUS 340 Chapter 4 +
Supplement B Quiz Study
fully solved & updated
Long-term capacity planning deals with which of the following
factors?


A. Investment in new facilities
B. Inventories
C. Overtime budgets
D. Workforce size - answer A. investment in new facilities


B. capacity cushion - answer A measure of the reserve capacity a
process has to handle in unexpected increases in demand is the


A. capacity utilization rate.
B. capacity cushion.
C. capacity constraint limit.
D. capacity bottleneck.


An expansionist capacity strategy is NOT indicated when


A. expansion is made in large increments.
B. capacity expansion is consistently ahead of demand.
C. a preemptive marketing strategy is used.
D. expansion will lead to economies of scale. - answer D. expansion
will lead to economies of scale

, Waiting-line models often are used in capacity planning in order to


A. select an appropriate capacity cushion for a high customer-
contact process.


B. understand why forecast accuracy declines as the forecasting
horizon lengthens.


C. analyze the payoff of a series of events, such as competitors'
actions, which requires a sequence of decisions regarding
capacities.


D. evaluate different capacity expansion alternatives when demand
is uncertain. - answer A. select an appropriate capacity cushion for a
high customer-contact process


Using input measures of capacity is least appropriate in which of the
following situations?


A. significant learning effects are expected
B. productivity rates are expected to change
C. product variety and process divergence is low
D. the product or service mix is changing - answer C. product variety
and process divergence is low


Chang and Chang observe that the competition is increasing the
size of its warehouses. They have decided to do the same. They are
following _______ strategy.


A. a wait-and-see
B. an expansionist

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Institution
BUS-660
Course
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