MBA 745 EXAM QUESTIONS WITH CORRECT ANSWERS LATEST UPDATE 2026/2027
Value Stream - Answers All activities ( value add, business value add, and non-value add)
required to meet a customer or stakeholder request.
Value Stream Map - Answers a visual representation of activities and flows of information,
materials, and services required to accomplish specific objectives
Value Stream Mapping - Answers a team based systematic approach to create value stream
maps which identify waste in the current state or paint the vision of a future state with less
waste.
What are the seven types of waste? - Answers 1. Motion
2. Over-production
3. Movement
4. Inventory
5. Poor processing
6. Waiting
7. Defects
Value Stream Management consist of: - Answers 1. Ownership by someone responsible for the
performance.
2. Clearly define boundaries and interfaces with other internal and external value streams
3. Material, products, services, information, and cash flows with standard work for all activities.
4. Performance measurements are built in and drive continuous improvement
Do reporting relationships need to change to give the value stream manager, the authority
required to implement the future state? - Answers Depends.
(Revisit in a year of lean transformation)
Downstream Flows - Answers - Materials, products and services - flow downstream
- --> Supplier's Supplier, Supplier, operations, distribution, retailer, customer
Upstream Flow - Answers The movement of payment (and other things, like information, returns,
etc.) from the customer toward intermediaries and the original source in a supply chain.
both directions - Answers Information
, Make to Stock (MTS) - Answers finished goods that are held in inventory in advance of
customer orders
Assemble to Order (ATO) or
Finish to Order - Answers Product or Service is assembled after receipt of a customer's order
Made to Order (MTO) - Answers Products or service is made after receipt of a customer's order.
Design or Engineer to Order - Answers Customer requirements require creation of specifications,
or sourcing of unique materials.
Digital Fulfillment - Answers Product or service is delivered digitally over the internet.
Push Process - Answers Process initiated by forecasting demand, speculative. Plan level of
activity (production, shipments)
Pull Process - Answers Process initiated in response to an order, reactive. Plan level of inventory
and capacity
True or False:
Most restaurants only have one value stream - Answers False
Your organization uses an order fulfillment approach which relies on forecasts to position
product in anticipation of customer orders. This is an order fulfillment approach known as: -
Answers push or speculative
A common value stream which will start outside your organization, at your suppliers is: -
Answers materials to finished goods
True or False:
Concept to product launch is a big cross-functional value stream which is important for most
organizations. - Answers True
All activities required to bring an idea from concept to implementation are known as a: -
Answers Value Stream
True or False:
Every product or service is unique and should be identified as a value stream. The typical
Value Stream - Answers All activities ( value add, business value add, and non-value add)
required to meet a customer or stakeholder request.
Value Stream Map - Answers a visual representation of activities and flows of information,
materials, and services required to accomplish specific objectives
Value Stream Mapping - Answers a team based systematic approach to create value stream
maps which identify waste in the current state or paint the vision of a future state with less
waste.
What are the seven types of waste? - Answers 1. Motion
2. Over-production
3. Movement
4. Inventory
5. Poor processing
6. Waiting
7. Defects
Value Stream Management consist of: - Answers 1. Ownership by someone responsible for the
performance.
2. Clearly define boundaries and interfaces with other internal and external value streams
3. Material, products, services, information, and cash flows with standard work for all activities.
4. Performance measurements are built in and drive continuous improvement
Do reporting relationships need to change to give the value stream manager, the authority
required to implement the future state? - Answers Depends.
(Revisit in a year of lean transformation)
Downstream Flows - Answers - Materials, products and services - flow downstream
- --> Supplier's Supplier, Supplier, operations, distribution, retailer, customer
Upstream Flow - Answers The movement of payment (and other things, like information, returns,
etc.) from the customer toward intermediaries and the original source in a supply chain.
both directions - Answers Information
, Make to Stock (MTS) - Answers finished goods that are held in inventory in advance of
customer orders
Assemble to Order (ATO) or
Finish to Order - Answers Product or Service is assembled after receipt of a customer's order
Made to Order (MTO) - Answers Products or service is made after receipt of a customer's order.
Design or Engineer to Order - Answers Customer requirements require creation of specifications,
or sourcing of unique materials.
Digital Fulfillment - Answers Product or service is delivered digitally over the internet.
Push Process - Answers Process initiated by forecasting demand, speculative. Plan level of
activity (production, shipments)
Pull Process - Answers Process initiated in response to an order, reactive. Plan level of inventory
and capacity
True or False:
Most restaurants only have one value stream - Answers False
Your organization uses an order fulfillment approach which relies on forecasts to position
product in anticipation of customer orders. This is an order fulfillment approach known as: -
Answers push or speculative
A common value stream which will start outside your organization, at your suppliers is: -
Answers materials to finished goods
True or False:
Concept to product launch is a big cross-functional value stream which is important for most
organizations. - Answers True
All activities required to bring an idea from concept to implementation are known as a: -
Answers Value Stream
True or False:
Every product or service is unique and should be identified as a value stream. The typical
