Operations and Supply Chain Management (OSCM-204)

MCQ

Q1. Basic Objective of Just in Time (JIT) is

A. Lays emphasis on correcting the manufacturing process
B. Post new challenges before Management
C. Repetitive process with only one unit of work-in-progress
D. Deploy TPM

Q2. Production control system related to JIT and Lean Manufacturing is_______________.
A. Toyota System
B. Re-Engineering
C. World Class Manufacturing
D. Kanban System

Q3. Serviceability, Conformance, Aesthetic is the dimensions of__________.

A. Kaizen
B. Quality
C. Lean Management
D. Cause and Effect Concept

Q4. TQM is the control of all transformation processes of an organisation to best satisfy customer’s need in the
most economical manner.
A. True
B. False

Q5. Product layout is useful under

A. Quality control
B. Job production
C. Service Facilities
D. Simple and repetitive Manufacturing process

Q6. Requisite process inventory is low is a benefit of _____________

A. Continuous Flow Production Method
B. Mass Production Method
C. Batch Production Method
D. Job Production Method

Q7. Process layout has to mark all the ongoing operations due to Large number of operations are carried out in
various departments.
A. True
B. False

Q8. _______________ is most useful to manufacturer of heavy goods.

A. Cellular Manufacturing Layout
B. Fixed Position Layout
C. Project Layout
D. Product Layout
Q9. The following formula is used to calculate the _____________
__Actual Time Remaining___
Scheduling Time Remaining
 A. Time Feasibility Ratio
B. Critical Ratio Method
C. Distribution requirement Schedule
D. Queuing Analysis

Q10. Producing at a constant rate by maintaining constant rate of employee level is ________.
A. Level Aggregate Production Strategy
B. Demand Chase Aggregate Strategy
C. Mixed Production Strategy
D. All of above

Q11. In ________ the existing capacity is utilized at the highest level without any addition of further capacity
unless and until the demand is projected to be more than the current capacity in long term perspective.
A. Demand Matching Strategy
B. Demand Leading Strategy
C. Demand Expansion Strategy
D. Demand Trailing Strategy

Q12. Bill of Materials specifies the

A. Product Structure
B. Finance Structure
C. Quality Structure
D. None of the above

Q13. The point at which fresh request for purchase is made, called as ________.
A. Safety stock level
B. New Order Point
C. Re-order level
D. Fresh stock order

Q14. Closing Inventory = Opening inventory – Cost of Goods sold.

A. True
B. False

Q15. ________is important in highly regulated markets where products are under the control of government.
A. ABC Analysis
B. SDE Analysis
C. FSN Analysis
D. HML Analysis

Q16 ______ among channel members is required for effective SCM.

A. Co-operation
B. Integrity
C. Leadership
D. Partnership
Q17. Time for which the assets are kept idle against the time they get utilized in the supply chain is_______.
A. Scheduling of Production
B. Activity of logistics postponement
C. Reducing cash conversion cost
D. Dwell Time Minimization
Q18. Extended Supply chain is associated with
A. External Supply Chain
B. Internal Supply Chain
C. Outsourced Supply Chain
D. Market-oriented Supply Chain

Q19. In _______ the processing of material starts when processing capacity and material both are available.
A. Anticipatory Business Model
B. Responsive Business Model
C. Postponement for production
D. DBT

Q20. The system of the elements of organisation, coordination and re-structuring, so that the resources will be
the optimal configuration, the highest system efficiency is called__________.
A. Manufacturing
B. Distribution
C. Integration
D. Outsourcing

Q21. Production Planning, Control and Purchasing are _________ of OSCM.

A. Nature
B. Functions
C. Factors
D. Functions

Q22. Re-engineering essentially predicts reorganizing various business processes ____ in a systematic manner.
A. de-facto
B. de-novo
C. de-uno
D. All of above

Q23. Concept of re-engineering was propagated by _______.

A. Peter Drucker
B. Taichi Ohno
C. Davis
D. Adam Smith

Q24. Presently most of the machines are powered by electricity and their performance is monitored by
computers is _________.
A. Plant Automation
B. Semi-manual plant
C. IT Manufacturing system
D. IT Automation System
Q25. In services, in case of sale of goods, their ownership gets transferred to the purchaser without any
difficulty and the new owner has a right to resell it if he so desires.
A. True
B. False

Q26. The manufacturing concept “Production Line” introduced by ________.

A. Henry Ford
B. Toyota
C. McDonalds
 D. Kanban

Q27. The basic concept of service is the basis of the _________

A. Service supply mechanism
B. Service operations factors
C. Service specification
D. Service approach

Q28. Data provided by finance department is important to ______________

A. Financial Predictions
B. Financial scarcity
C. Financial support availability
D. Financial Efficiency

Q29. System of operations management is as, ________

A. Input – Process –Output
B. Input-Output
C. Process – Output
D. Input –Output – Process

Q30. Material and capacity planning are the part of ________ in operations systems.
A. Input
B. Output
C. Process
D. All of above

Q31. Planning, designing for light, power are considered as __________

A. Plant Engineering
B. Industrial Engineering
C. Production design
D. Scheduling of production

Q32. Machines and equipment should be arranged in the plant in such a manner that the production cycle
________.
A. Should be works as per plan
B. Keeps going on
C. Must show the flow of production
D. Should have proper production control

Q33. Labour cost per unit is ____________.

A. Method of Material Scheduling
B. Method for measuring costing
C. Method of labour finances
D. Method of work measurement

Q34. ISO 9000:2005 describes the ________.

A. Quality management principals
B. Principals for Production systems
C. Manufacturing plant policies
D. Manufacturing standards for factories
Q35. During the process of implementing the system of lean management a company finds itself in a position to
get rid of processes, which do not add ________ through a set of trusted criteria.
A. Cost and Supply of materials
B. Customer satisfaction
C. Value and Track improvements
D. Bottom line structures

Q36. Quality circle is supported by ________

A. Top level management
B. Lower level management
C. Both the above
D. None of the above

Q37. Unexpected disturbances occurs at ___________

A. Input Process
B. Output Process
C. Transformation Process
D. None of the above

Q38. Volume and variety have _________

A. Similar Relationship
B. No relationship
C. Adverse relationship
D. Inverse Relationship

Q39. Job production is a type of ________

A. Production flow system
B. Continuous Flow Systems
C. Intermittent Flow System
D. All of above

Q40. Continuous flow systems is _________

A. Having low cost at initiation
B. Difficult to adopt
C. Having no difficulties at balancing of lines
D. Hard management control

Q41. ____________ shows the movement of a product through various stages of its cycle, starting from
introduction, leading up-to maturity and then decline.
A. Product life cycle
B. Process life cycle
C. Both of above
D. Product supply cycle

Q42. Assembly line is designed to strike a proper balance between _____________

A. Materials and process
B. Trouble free Manufacturing and Management
C. Technology and Manufacturing facility
D. Inventory Management and Manufacturing facility

Q43. Process layout is also referred as _________

A. Assembly layout
 B. Planning layout
C. Supply layout
D. Functional Layout

Q44. In __________ machines are put together in groups as per the process needs for a group of similar items,
which are required to be put through the similar processing.
A. Cellular layout
B. Fixed Position layout
C. Hybrid layout
D. Process layout

Q45. A process based organisation is cross functional and provided better results.
A. False
B. True

Q46. A client is only concerned with the ultimate outcome and not the process of providing the service.
A. True
B. False

Q47. Pre Planning comprises of the _____________ and resource planning.

A. Scheduling
B. Product mix determination
C. Demand Forecasting
D. Capacity planning

Q48. Consumer survey method, Past analogy and nominal group technique are the types of ___________
A. Delphi forecasting method
B. Linear forecasting Regression
C. Qualitative forecasting method
D. Quantitative forecasting method

Q49. The forecast should work constantly and also be reliable.

A. True
B. False
Q50. The formula given under is for _______.
D1+D2+D3……….Dn Where “D” is Demand Period and “n” = Number of demand periods
n
A. Simple average method
B. Semi Average method
C. Moving average method
D. Exponential smoothing average

Q51. Estimating, Routing, Scheduling and Loading are components of___________

A. Production Costing
B. Production planning
C. Production control
D. Production scheduling

Q52. In _________ while having long term view, the resource utilization can be optimally managed and idle
time of workers can be avoided which will bring about a saving in the cost.
A. Master production Schedule
B. Capacity Planning
 C. Material Requirement Planning
D. Aggregate Planning

Q53. The major benefit of the demand chase strategy is that the workforce is retained throughout the year and
the cost incurred towards hiring and training of the new workers is almost negligible.
A. True
B. False

Q54. In ________ the inventory level is kept low and producing as much as is required.
A. Level Aggregate Production strategy
B. Master Production Strategy
C. Demand Chase Strategy
D. None of the above

Q55. The production capacity which is pragmatic and achievable on any given day, is termed as the_______
A. Efficient capacity
B. Process Capacity
C. Capacity utilization
D. Actual output efficiency

Q56. Where companies made attempt to match the production capacity with demand is _______
A. Demand trailing strategy
B. Demand Lending strategy
C. Steady expansion strategy
D. Demand matching strategy

Q57. _____ is a planning technique which is used to ensure the adequacy of existing capacity at critical
resources with a view to achieve the level according to the projections made under the MPS.
A. MPS
B. CRP
C. RCCP
Q58. This refers to the time that would be expected to occur most if the activity were frequently repeated under
exactly the same conditions.
A. Pessimistic Time
B. Most likely time
C. Lead time
D. Optimistic time

Q59. For production planning____________ is useful.

A. Long term forecasting
B. Short term forecasting
C. Medium term forecasting
D. A and B Both

Q60. Methods used in scheduling a project is

A. Outline master program
B. CPM and PERT
C. Aggregate planning method
D. Scheduling function

Q61. Important chart used in program control is _________

A. Route chart
 B. Gantt chart
C. Inspection chart
D. Material Chart

Q62. ______ is the projection of the manufacturer’s net capacity.

A. RCCP
B. CRP
C. MRP
D. MRP II

Q63. The phase of a service system where customers are present is referred as the,_____
A. Front office
B. Back office
C. Off stage
D. All of above

Q64. It deals with the arrangement of the physical facilities and the manpower which are required to
manufacture a product or perform a service.
A. Project life cycle
B. PDCA Cycle
C. Product and process Life cycle
D. Project and process life cycle

Q65. Objective of facility layout changes include

A. Improved quality control
B. Avoidance of bottlenecks
C. utilization of resources economically
D. None of the above
Q66. Highly specialized people and machines allow high rates of throughout and low unit cost in _________
A. Job production
B. Batch production
C. Project
D. Assembly Lines

Q67. The major produced fixed at one location is_______

A. Hybrid position
B. Product layout
C. Process layout
D. Fixed position layout

Q68. The systems where the production facilities are flexible enough to handle a wide variety of products and
sizes are called as________.
A. Toyota Production
B. Continuous flow
C. Both the above
D. None of these.

Q69. The process used by the managers to check the number of inventory items and control them in the
business is known as ____________
A. Inventory management
B. Inventory level
C. Inventory planning
 D. Inventory Control

Q70. Inventory refers to ___________ of product, a firm is offering for sale and components that make up the
product.
A. Logistics of goods
B. Packaging material
C. Minimal goods required for sales
D. Stock-pile

Q71. The rent for the stores where materials are stored falls under
A. Stocking Cost
B. Procurement Cost
C. Cost of rent paid for stores
D. Inventory carrying cost

Q72. The Penalty for not having materials when needed is _______.
A. General losses
B. Loss of order cost
C. Loss of Material
D. Stock out cost

Q73. Procurement cost can be clubbed with Ordering Cost.

A. True
B. False

Q74. The classification made on weight of the materials is known as ________

A. FSN
B. VED
C. PQR
D. ABC

Q75. LOB stands for

A. Line of Balance
B. Lot of Bills
C. Lot of Batches
D. Line of Batches

Q76. Under ______ Analysis the main focus is put on the availability of the items included in the inventory.
This analysis is important in highly regulated markets where products are under the control of government.
A. XYZ
B. GOLF
C. SDE
D. SOS

Q77. _______ Inventories are also called transit or movement inventories.

A. Pipeline
B. Buffer
C. Decoupling
D. Viscous

Q78. In FSN analysis the letter S stands for

A. Slow moving material
 B. Slack material
C. Standard Material
D. Stocked Inventories

Q79. Safety stock tends to be higher when various elements such as lead time and usage rate are ________.
A. Not much variable
B. Highly variable
C. Slightly favorable
D. Not favorable

Q80. In ________ the reorder quantity is variable like P system but smaller limit is places on its size.
A. Q system
B. Hybrid System
C. S System
D. A and C.

Q81. Level of control is about

A. Stock to be maintained
B. Cost control level
C. Usage Value
D. Delivery of material

Q82. The goods with limited period availability should be obtained and kept in stock for ____________.
A. Valuation
B. Strategy planning
C. Future requirements
D. Inventory control

Q83. Formula for calculating EOQ is

2 hd
A. EOQ(Q) =
√ O
2 DO
B. EOQ(Q) =
√ h
4 hd
C. EOQ(Q) =
√ O
hd
D. EOQ(Q) =
√
2O

Q84. EOQ for the company ABC from the following data given would be __________.
Annual Usage 90,000 Units
Cost of Placing and Receiving One Rs. 60
Order
Cost of Material Per Unit Rs. 6000
Annual Carrying cost 10% of
inventory value
A. 13500
B. 12000
C. 14500
D. 13000
Q85. SCM tries to bring out co-ordination between different stakeholders, i.e. from suppliers to customers is_.
A. Mutually sharing channel
B. Integrated Behaviour
C. Co-operation
D. Integrated Process

Q86. In _________ the manufacturing company becomes the centre and takes the lead in bringing all the
partners and suppliers in its supply chain.
A. Production oriented supply chain
B. Self monitored supply chain
C. Raw supply chain
D. Market oriented supply chain

Q87. Decisions related to production such as planning, contracting and scheduling falls under__
A. Strategic Functions
B. Operational Functions
C. And B Both
D. Tactical Function

Q88. Under assembly systems, staging delay occurs where numerous components of assembly wait for the
availability of their matching components.
A. Kitting of supplies
B. Delaying of supplies
C. Managing supply time
D. Minimising uncertainty

Q89. SCM helps in increasing the level of overhead costs of an organisation.

A. True
B. False

Q90. The model of generalized supply chain management ___________ aims at linking the organisation and its
network of suppliers with the customers.
A. By Planning and Strategically
B. By Controlling
C. By Logically and Logistically
D. By supply modeling

Q91. The concerned effort of two or more supply chain partners to gain competitive advantage is ______
A. Co-operation
B. Partnership
C. Collaboration
D. Affiliation

Q92. The internal processes of the organisation are making way for a horizontal management style. In the
external world, the boundaries and distinctions between suppliers, distributors, customers and the organisations
are rapidly decreasing. This concept is known as _______.
A. Integrated Organisation
B. Supply oriented company
C. Unlimited organisation
D. Extended Organisation

Q93. The term of 4PL given by

 A. Anderson Consulting Company
B. Oxford Marine Lines
C. British Shipping Company
D. Vancouver Logistics Company

Q94. ____ is responsible positioning and reinventing various operations , processes and relationships of
business.
A. 3PL
B. 4PL
C. DBT
D. Enterprise extension

Q95. The inventories are situated upstream in centralized location so that the forward movement of goods can
be delayed, in Place Postponement.
A. True
B. False
Q96. A process which measures the time it takes to convert inventory into goods, sales made on credit and
collection of cost is ________.
A. Dwell time Minimisation
B. CCC
C. Production value recognition
D. Production money flow

Q97. DPO Stands for

A. Days Production Outstanding
B. Days Process Outstanding
C. Days Planning Outstanding
D. Days Payable Outstanding

Q98. When the goods flow from consumers to suppliers it is known as ________.
A. Downstream
B. Upstream
C. Down-flow
D. Up-flow

Q99. Supply chain dynamics have been defined as _________.

A. Delivery level
B. Resource level
C. Inventory Level
D. None of these

Q100. The process through which a particular value flow is financed by several supply chain participants is
determined by _______.
A. Money Flow
B. Cost Flow
C. Finance Flow
D. Cash Flow