Question 1

Aggregate sales and operations planning occur in a company about every 3 to 18 months.

Accepted Answer

A) True 
 B)False

Question 2

In an overview of the major operations planning activities in a typical logistics organization, which of the following activities follows aggregate sales and operations planning?

Accepted Answer

A) Process planning 
B) Workforce scheduling 
C) Vehicle loading 
D) Materials requirements planning 
E) Order scheduling 
A) Process planning 
B) Workforce scheduling 
C) Vehicle loading 
D) Materials requirements planning 
E) Order scheduling

Question 3

The aggregate operations plan differs in virtually every aspect in service organizations as contrasted with manufacturing organizations.

Accepted Answer

A) True 
 B)False

Question 4

In an overview of the major operations planning activities in a typical service organization, which of the following activities follows aggregate sales and operations planning?

Accepted Answer

A) Process planning 
B) Workforce scheduling 
C) Master scheduling 
D) Materials requirements planning 
E) Order scheduling 
A) Process planning 
B) Workforce scheduling 
C) Master scheduling 
D) Materials requirements planning 
E) Order scheduling

Question 5

Which of the following is not one of the "number of interesting issues that arise in yield management?"

Accepted Answer

A) Pricing structures that must appear logical to the customer and justify different prices 
B) Designing yield management programs that cannot be imitated by a competitor 
C) How to handle variability in customer arrivals, duration, and interval 
D) Managing the service process 
E) Training workers and managers to work in a yield management environment 
A) Pricing structures that must appear logical to the customer and justify different prices 
B) Designing yield management programs that cannot be imitated by a competitor 
C) How to handle variability in customer arrivals, duration, and interval 
D) Managing the service process 
E) Training workers and managers to work in a yield management environment

Question 6

A rate fence is a logical justification for different prices for what is essentially the same service.

Accepted Answer

A) True 
 B)False

Question 7

Backordering costs incurred in producing a given product type in a given time period are relevant aggregate operations planning costs.

Accepted Answer

A) True 
 B)False

Question 8

Yield management is the process of allocating the right type of capacity to the right type of customer at the right prices at the right time to maximize revenue or yield.

Accepted Answer

A) True 
 B)False

Question 9

Subcontracting is viewed as a risky strategy because the firm may lose control of product design and pricing.

Accepted Answer

A) True 
 B)False

Question 10

The International Aggregate Planning Society (IAPS) has developed aggregate operations planning guidelines that are followed by a majority of manufacturing firms.

Accepted Answer

A) True 
 B)False

Question 11

Firms facing cyclical demand fluctuations would be wise to introduce complementary products whose cycles are the same as their current products.

Accepted Answer

A) True 
 B)False

Question 12

Yield management is an important tool that can be used to shape demand patterns.

Accepted Answer

A) True 
 B)False

Question 13

The aggregate operations planning variable "production rate" refers to the number of units completed per unit of time.

Accepted Answer

A) True 
 B)False

Question 14

The aggregate operations plan translates annual and quarterly business plans into broad labor and output plans for the intermediate term of 3 to 18 months.

Accepted Answer

A) True 
 B)False

Question 15

Using constant workforce and varying inventory and stock out, what would be the constant workforce? Production required in periods 1,2 and 3 respectively are 1200, 1500 and 900 units.One worker during the panning horizon can produce two units in one day.Number of work days are 22 in period 17 in period 2 and 21 in period 3.Assume that the beginning inventory and the edniong inventory required are 300 units each.What is the number of workers required during the planning horizon of three periods?

Accepted Answer

A) 60 
B) 600 
C) 35 
D) 30 
E) 300 
A) 60 
B) 600 
C) 35 
D) 30 
E) 300

Question 16

From an operational perspective, yield management is most effective under which of the following circumstances?

Accepted Answer

A) Demand cannot be segmented by customer. 
B) Inventory is perishable. 
C) Fixed costs are low, and variable costs are high. 
D) The customer is a "captive" of the system. 
E) The firm doing yield management is very profitable. 
A) Demand cannot be segmented by customer. 
B) Inventory is perishable. 
C) Fixed costs are low, and variable costs are high. 
D) The customer is a "captive" of the system. 
E) The firm doing yield management is very profitable.

Question 17

The aggregate operations plan is developed from the master schedule and the strategic capacity plan.

Accepted Answer

A) True 
 B)False

Question 18

The sales and marketing plans are typically developed separately from the aggregate operations plan as a way of cross-checking results to ensure the integrity of assumptions about the future.

Accepted Answer

A) True 
 B)False

Question 19

The widespread adoption of computing technology has led to the virtual abandonment of simple cut-and-try charting and graphical methods to develop aggregate operations plans.

Accepted Answer

A) True 
 B)False

Question 20

In a logistics organization, vehicle dispatching immediately precedes vehicle loading.

Accepted Answer

A) True 
 B)False

Exam 19: Sales and Operations Planning

Aggregate sales and operations planning occur in a company about every 3 to 18 months.

In an overview of the major operations planning activities in a typical logistics organization, which of the following activities follows aggregate sales and operations planning?

The aggregate operations plan differs in virtually every aspect in service organizations as contrasted with manufacturing organizations.

In an overview of the major operations planning activities in a typical service organization, which of the following activities follows aggregate sales and operations planning?

Which of the following is not one of the "number of interesting issues that arise in yield management?"

A rate fence is a logical justification for different prices for what is essentially the same service.

Backordering costs incurred in producing a given product type in a given time period are relevant aggregate operations planning costs.

Yield management is the process of allocating the right type of capacity to the right type of customer at the right prices at the right time to maximize revenue or yield.

Subcontracting is viewed as a risky strategy because the firm may lose control of product design and pricing.

The International Aggregate Planning Society (IAPS) has developed aggregate operations planning guidelines that are followed by a majority of manufacturing firms.

Firms facing cyclical demand fluctuations would be wise to introduce complementary products whose cycles are the same as their current products.

Yield management is an important tool that can be used to shape demand patterns.

The aggregate operations planning variable "production rate" refers to the number of units completed per unit of time.

The aggregate operations plan translates annual and quarterly business plans into broad labor and output plans for the intermediate term of 3 to 18 months.

From an operational perspective, yield management is most effective under which of the following circumstances?

The aggregate operations plan is developed from the master schedule and the strategic capacity plan.

The sales and marketing plans are typically developed separately from the aggregate operations plan as a way of cross-checking results to ensure the integrity of assumptions about the future.

The widespread adoption of computing technology has led to the virtual abandonment of simple cut-and-try charting and graphical methods to develop aggregate operations plans.

In a logistics organization, vehicle dispatching immediately precedes vehicle loading.

Introduction

Strategy

Project Management

Design of Products and Services

Strategic Capacity Management

Learning Curves

Manufacturing Processes

Facility Layout

Service Processes

Waiting Line Analysis and Simulation

Process Design and Analysis

Six Sigma Quality

Statistical Quality Control

Lean Supply Chains

Logistics Distribution, and Transportation

Global Sourcing and Procurement

Enterprise Resource Planning Systems

Forecasting

Inventory Management

Material Requirements Planning

Workcenter Scheduling

Theory of Constraints

Health Care

Operations Consulting

Filters