Exam 10: Supply Chain Capacity Planning

If a job is being done at 90 percent of the standard time because a supplier has delivered a defective product,_____ action must be taken with supplies on hand and the problem must be corrected with future deliveries.

Breakeven analysis (BEA) model should be used for making capacity decisions.

It is possible to forecast perfectly.

_____ have to be paid whether one unit is made or thousands.

ABC and LA assign overhead in as correct a way as possible to make each product or service reflect its true cost to the company so that it is possible to determine its true contribution to company profits.

What are the implications of bottlenecks on capacity?

E is the efficiency with which utilization U can be employed to make different kinds of products.

PMC (productivity at maximum capacity) is an excellent candidate for

Actual capacity is the greatest throughput rate that can be achieved with the existing configuration of resources and the accepted product or service mix plans.

Linear programming is a modeling technique used by P/OM to achieve optimal use of resources.

Percent capacity utilized can best be measured by:

What is capacity? How is it defined? Is 100 percent capacity realistic?

_____ is determined by calculating the amount of time that is available when fully utilizing the resources that are already in place to make and deliver product throughputs.Doubling the number of machines doubles the amount of available time.