Process Strategy
50 questions available
Questions
Which of the four major process strategies is characterized by organizing facilities around specific activities to facilitate low-volume, high-variety production?
View answer and explanationA company is evaluating two processes. Process A has a fixed cost of $200,000 and a variable cost of $60 per unit. Process B has a fixed cost of $300,000 and a variable cost of $25 per unit. What is the crossover point in units where the total cost of both processes is equal?
View answer and explanationWhich tool for process analysis is a schematic or drawing of the movement of material, product, or people?
View answer and explanationIn the context of the service process matrix, which quadrant is characterized by a high degree of labor and a high degree of customization?
View answer and explanationWhat term describes the production of physical items by adding material layer upon layer, similar to how an inkjet printer works?
View answer and explanationIn a process chart for a hamburger assembly process, the total time for all activities is 3.15 minutes. The time for value-added operations (moving patty to broiler and the broiling itself) is calculated as 2.50 minutes plus 0.20 minutes, totaling 2.70 minutes. What is the percentage of value-added time?
View answer and explanationThe fundamental rethinking of business processes to bring about dramatic improvements in performance is known as:
View answer and explanationWhich process strategy is characterized by high volume, low variety, and long, continuous production runs?
View answer and explanationIn a value-stream map for Motorola's cell phone production, what is the total value-added time, calculated by summing the operational process times?
View answer and explanationWhat is the ability to respond with little penalty in time, cost, or customer value called?
View answer and explanationWhich technology uses electronic signals from a centralized computer to automate production and material flow, bridging the gap between product-focused and process-focused facilities?
View answer and explanationIn the service process matrix shown in Figure 7.8, which quadrant would typically include fast-food restaurants and airlines?
View answer and explanationWhat is the primary objective of a process strategy?
View answer and explanationA manufacturing system where CAD, FMS, inventory control, warehousing, and shipping are all integrated is known as:
View answer and explanationWhich technique for improving service productivity involves structuring a service so customers must go to where the service is offered, such as a bank customer going to a loan officer for a loan?
View answer and explanationWhat does build-to-order (BTO) mean in the context of mass customization?
View answer and explanationWhich process analysis tool takes an expanded look at where value is added (and not added) in the entire production process, including the supply chain, and starts with the customer?
View answer and explanationWhich technology is a wireless system where integrated circuits with antennas send radio waves over a limited range to provide unique identification for tracking parts, pallets, or people?
View answer and explanationKleber Enterprises is evaluating three software processes. The crossover point between Software A and B is 2,857 reports. The crossover point between Software B and C is 6,666 reports. For a forecasted volume of 5,000 reports, which software process is the most economical?
View answer and explanationWhat type of process is considered the classic assembly line and is widely used for automobiles and household appliances?
View answer and explanationIn a service blueprint, activities are often structured into levels. Which level contains activities performed away from and not immediately visible to the customer?
View answer and explanationWhat is a major challenge of implementing a high-volume build-to-order (BTO) system for mass customization?
View answer and explanationWhat are electronically guided and controlled carts used in manufacturing and warehousing to move parts and equipment called?
View answer and explanationWhat is the term for delaying any modifications or customization to a product as long as possible in the production process?
View answer and explanationWhich of the following is NOT one of the five tools for process analysis and design discussed in the chapter?
View answer and explanationIn the context of the four process strategies, facilities with high fixed costs and low variable costs are most characteristic of which strategy?
View answer and explanationThe use of video cameras and computer technology in inspection roles, such as checking for imperfections in Frito-Lay's potato chips, is an example of what technology?
View answer and explanationAn accounting firm needs to select a new software process. Software B has a total fixed cost of $300,000 and a variable cost of $25 per report. Software C has a total fixed cost of $400,000 and a variable cost of $10 per report. At what volume of reports is the cost of the two processes equal?
View answer and explanationWhat are computer-controlled warehouses that provide for the automatic placement and withdrawal of parts and products into and from designated places called?
View answer and explanationIn what way does time-function mapping (or process mapping) differ from a standard flowchart?
View answer and explanationWhich of the four process strategies is best suited for producing a high volume of customized products, such as Dell computers?
View answer and explanationAccording to the service blueprint for Speedy Lube, Inc., what is an example of a potential failure point at the 'Perform Service' stage?
View answer and explanationWhat type of technology involves machinery that has its own computer and memory, such as the advanced equipment at Pratt and Whitney's turbine blade plant?
View answer and explanationIn the comparison of process characteristics, which strategy typically involves the most broadly skilled operators?
View answer and explanationWhich of the nine production technologies discussed are mechanical devices that use electronic impulses to activate motors and switches, often used for tasks that are monotonous or dangerous?
View answer and explanationWhat is the primary focus when operations managers are dealing with services in the low customization quadrants of the service process matrix?
View answer and explanationIn the comparison of the four process strategies, which one is most likely to have finished goods that are built-to-order (BTO)?
View answer and explanationWhat is the primary purpose of adding a time dimension to a flowchart to create a time-function map?
View answer and explanationAccording to the analysis of American National Can Company's process mapping, how much time savings was achieved through process improvement?
View answer and explanationWhich of the following is an example of the 'focus' technique for improving service productivity?
View answer and explanationWhat is the defining characteristic of a process-focused facility's scheduling?
View answer and explanationWhen comparing the four process options, which one typically has the lowest facility utilization, sometimes as low as 5 percent?
View answer and explanationWhat is a key difference between value-stream mapping (VSM) and a process chart?
View answer and explanationA manager of a service firm wants to analyze the process with a specific focus on customer interaction points, potential failure points in that interaction, and the line of visibility. Which tool should be used?
View answer and explanationThe repetitive process strategy achieves its flexibility and product variety primarily through the use of what?
View answer and explanationWhich of the four process strategies would be most appropriate for a company producing a very high volume of a single, standardized product like paper or glass?
View answer and explanationWhich of the following is NOT listed as a major challenge for making mass customization work?
View answer and explanationA process chart is used to analyze the assembly of a product. The total time for the process is 200 seconds. The value-added operation time is 170 seconds. What is the percentage of value-added time for this process?
View answer and explanationA firm wants to compare two processes. Process A has fixed costs of $150,000 and variable costs of $60 per unit. Process B has fixed costs of $300,000 and variable costs of $25 per unit. What is the crossover point in units?
View answer and explanationIn the four quadrants of the service process matrix, what are services with low labor intensity and high customization, such as fine-dining restaurants and auto repair shops, classified as?
View answer and explanation