QUESTION 1 Average number of units produced for each product is high in a custom
ID: 385113 • Letter: Q
Question
QUESTION 1
Average number of units produced for each product is high in a custom shop.
True or False
QUESTION 2
The variety of products is low in a standard shop.
True or False
QUESTION 3
The order winning criterion is cost in a standard shop and flexibility in a custom shop.
True or False
QUESTION 4
The process flexibility is low is a standard shop.
True or False
QUESTION 5
Resources are organized around products (Product Layout) in a standard shop.
True or False
QUESTION 6
The work-in-process inventory between processes is high in a custom shop
True or False
QUESTION 7
Products are usually made-to-order based on bids in a custom shop.
True or False
QUESTION 8
The cost per product will be higher in a custom shop when compared to a standard shop.
True or False
QUESTION 9
In the Chad’s Creative concept case, both standard and custom products are made in the same shop that is setup for custom products.
True or False
QUESTION 10
The cost to make a standard product at Chad’s will be higher than a shop that is designed to make standard products.
True or False
Explanation / Answer
QUESTION 1
Average number of units produced for each product is high in a custom shop.
False. In a custom shop, average units produced will be decided based on the tailor-made request from consumers.
QUESTION 2
The variety of products is low in a standard shop.
True. In a standard shop, varieties will be normal as compared against super or hyper markets.
QUESTION 3
The order winning criterion is cost in a standard shop and flexibility in a custom shop.
True. While cost is significant in a standard shop, being flexible is significant in a custom shop.
QUESTION 4
The process flexibility is low is a standard shop.
True. In a standard shop, there cannot be flexibility in terms of dynamic changes.
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