MGSC 395 Exam 2 | UPDATED Questions with 100% Verified Answers
Question:
constraint
Answer:
any factor that limits the performance of a system and restricts its output
Question:
capacity
Answer:
the maximum rate of output of a process or a system
Question:
bottleneck
Answer:
type of a constraint about capacity shortage; defined as resources whose capacity limits
the ability to meet the service or product volume, product mix, or fluctuating
requirements demanded by the marketplace
Question:
theory of constraints
Answer:
managing constraints to maximize profits and effectively use resources
Question:
theory of constraints (5 steps)
Answer:
1. identify systems constraints
2. decide how to exploit systems constraints
3. subordinate everything else to above decision
4. elevate systems constraints
5. do not allow inertia to cause a system constraint
Question:
, inventory's relationship to financial measures:
Answer:
as inventory decreases, net profit, cash flow, and return on investment increase
Question:
throughput's relationship to financial measures:
Answer:
as TP increases, NP, CF, and ROI increase
Question:
operating expense's relationship to traditional financial
measures:
Answer:
as OE decreases, NP, CF, and ROI increase
Question:
throughput time def:
Answer:
total elapsed time from start to finish of a job
Question:
a workstation is a bottleneck if (2 ways):
Answer:
1) it has highest total time per unit processed or
2) it has highest avg utilization and total workload
Question:
drum, buffer, rope regulates:
Answer:
the flow of WIP at the bottleneck
Question:
DRUM:
Question:
constraint
Answer:
any factor that limits the performance of a system and restricts its output
Question:
capacity
Answer:
the maximum rate of output of a process or a system
Question:
bottleneck
Answer:
type of a constraint about capacity shortage; defined as resources whose capacity limits
the ability to meet the service or product volume, product mix, or fluctuating
requirements demanded by the marketplace
Question:
theory of constraints
Answer:
managing constraints to maximize profits and effectively use resources
Question:
theory of constraints (5 steps)
Answer:
1. identify systems constraints
2. decide how to exploit systems constraints
3. subordinate everything else to above decision
4. elevate systems constraints
5. do not allow inertia to cause a system constraint
Question:
, inventory's relationship to financial measures:
Answer:
as inventory decreases, net profit, cash flow, and return on investment increase
Question:
throughput's relationship to financial measures:
Answer:
as TP increases, NP, CF, and ROI increase
Question:
operating expense's relationship to traditional financial
measures:
Answer:
as OE decreases, NP, CF, and ROI increase
Question:
throughput time def:
Answer:
total elapsed time from start to finish of a job
Question:
a workstation is a bottleneck if (2 ways):
Answer:
1) it has highest total time per unit processed or
2) it has highest avg utilization and total workload
Question:
drum, buffer, rope regulates:
Answer:
the flow of WIP at the bottleneck
Question:
DRUM:
