Exam 18: Managing Service and Manufacturing Operations

Toysoft Corp., a company that makes plastic toys for children, recently received an order for 250 toy cars. For this order, the company has an inventory of 100 kilograms of plastic, 75 kilograms of fiberglass, 500 toy wheels, 1,000 light-emitting diode (LED) bulbs, 135 toy cars in various stages of manufacturing, and 50 completed toy cars. In this scenario, which of the following components of the inventory can be categorized under work-in-process inventory?

Which of the following scenarios best illustrates batch production?

Sundown Communications, a media company, recently became ISO 9000 certified. Based on this information, which of the following statements is true of Sundown Communications?

Which of the following is a common characteristic of quality products and quality services?

Michael ordered a pair of shoes from an e-commerce website. The company sent his order to the wrong address and this confusion delayed the delivery by 10 days. Michael was disappointed by this and stopped ordering shoes from that online store. To regain his trust, the company apologized for the inconvenience and sent him a gift voucher worth $1000 that he could redeem at any e-commerce website. This gesture proved to be fruitful and Michael recommended this e-commerce company to all his friends. The process adopted by the e-commerce company to regain Michael's trust is called _____.

Pathos Solutions, a technology solution company, recently became an ISO 14000-certified company. Based on this information, which of the following statements is true of Pathos Solutions?

LightLife uses 200,000 eggs a year. If the ordering cost is $1 per order and the holding cost is $0.4 per egg, then the optimal quantity to order eggs is _____.

Gem Genie is a designer jewelry store that runs its processes only on make-to-order operations. Based on this information, which of the following statements is true of Gem Genie?

TrinkCan, a soda manufacturing company, produces around 50,000 cans of soda per day. The production system used by the company is very efficient, and it releases close to 3,000 cans per hour. Once the production system is turned on, it functions round the clock to seal and release cans until the machine is turned off. The manufacturing operation of TrinkCan is an example of _____.

In the context of the principles of total quality management, _____ is an organizational goal to concentrate on meeting customers' needs at all levels of the organization.

The bottling system at Trink Inc., a soft drink manufacturing company, dispatches about 1,000 bottles an hour. Once the conveyor system is turned on, it functions constantly to cap and dispatch bottles until the machine is turned off. The bottling system of Trink Inc. illustrates _____.

According to the service-profit chain, success begins with:

AT Oils, a gas station, retails 30,000 gallons of petrol per year. Its ordering costs are $20 per order and holding costs are $40 per gallon. According to the economic order quantity (EOQ) model, approximately how often should the company place a fresh order for petrol?

PlayStat is a company that manufactures toys for toddlers. To begin the production, the manufacturers purchase unprocessed plastic and metals. In the context of manufacturing inventories, the unprocessed plastic and metal used to produce toys are referred to as _____.

Timothy is a manager in a footwear manufacturing company. He calculates the amount of materials required to meet the daily production targets-that is, to produce 1000 pairs of men's footwear. He then uses this information to measure the company's performance. In this scenario, Timothy most likely calculates the _____ of the company.

_____ are also known as partially finished goods.

Initial assembly is the process in which all the work-in-process inventories are assembled to create finished goods inventories.

The master production schedule is a detailed schedule that indicates the quantity of each item to be produced, the planned delivery dates for those items, and the time by which each step of the production process must be completed to meet those delivery dates.

The Lucitona International Airport operates 24 hours a day, seven days a week. On an average, the airport handles 4900 flights per week. Which of the following indicates the average productivity of the airport?

Which of the following statements is true of the International Organization for Standardization (ISO) 9000 certification?