QUESTION 4 Consider a 4-step process with all the steps in a series. Distributin

Question

QUESTION 4

Consider a 4-step process with all the steps in a series. Distributing the work done by the bottleneck step to other steps, without creating a new bottleneck, would increase the capacity of the process.

True

False

QUESTION 5

A product requires two steps, A and B. Step A is the predecessor of Step B. One worker is assigned to A, and one worker is assigned to B. For each product, the process time in Step A if the work is done by one worker is 15 min. The process time in Step B if the work is done by one worker is 15 min. Each worker works for 480 minutes/day. Which of the following is correct about the labor utilization when the process is producing at capacity?

80%-100%

50%-79%

20%-49%

<10%

QUESTION 6

Consider a Pizza shop. When work-in-process of orders increases, the response time to customers will increase, even if the demand has reduced.

True

False

QUESTION 7

The variety of products is high in a standard shop.

True

False

80%-100%

50%-79%

20%-49%

<10%

Explanation / Answer

Answer to question 4 :

By distributing the work done in the bottleneck step, the cycle time of the bottleneck step reduces. Since, process cycle time is dependent on cycle time of bottleneck step, in this case the cycle time of the whole process would reduce. Reduced cycle time of a process entails increased capacity of a process. Thus by distributing the work done by the bottleneck steps to other steps, without creating a new bottleneck , it would INCREASE the capacity of the process

ANSWER : TRUE

Answer to question 5 ;

Since both the steps have identical processing time of 15 minutes , the overall process cycle time will be 15 minutes/ item. Thus process capacity will be = 60/15 = 4 items / hour.

Thus when the process is producing at a capacity, logically the capacity utilization is 100%. Therefore , correct answer should be : a. 80% - 100% “

ANSWER :    a) 80% - 100 %

Answer to question 6 :

Work in process (WIP), work in progress (WIP) goods in process, or in-process inventory are a company's partially finished goods waiting for completion and eventual sale or the value of these items. These items are either just being fabricated or waiting for further processing in a queue or a buffer storage. The term is used in production and supply chain management.

Increased WIP ( i.e. higher inventory of partially finished products) helps to meet customer requirement faster which lesser reaction time to orders placed by customers which gets further aided due to reduced demand . Thus the statement made in the problem is FALSE.

ANSWER : FALSE

Answer to question 7:

In a standard shop product specifications are standardized and hence outcome is of products with same/ similar dimensions and features. As a result, opportunity or variations are limited. Thus variety of products in standard shop is less .

ANSWER : TRUE

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