This set of Production Planning and Control Multiple Choice Questions & Answers (MCQs) focuses on “Process Analysis and Information Flows”.
1. Which of the following strategies specifies how the firm will employ its production capabilities to support its corporate strategy?
a) Tactical
b) Operations
c) Manufacturing
d) Production
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Explanation: The strategy builds to carry out the operations in a firm determines its efficiency and employment of the production capabilities. The more successful execution of the strategy the more support is provided to the corporate strategy.
2. Which of the following ensures the design meets the performance characteristics that are specified in the product concept?
a) Functional design
b) Production design
c) Service design
d) Product design
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Explanation: Functional design of a product compares and evaluates the performance of the product and the concept made during the design and ensures that it meets the characteristics of performance made during the product concept.
3. Which forecasting would be easy to predict based on time horizon?
a) Medium range
b) Short range
c) Long range
d) Intermediate range
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Explanation: All four forecasting can be predicted but the short range will be easy to predict as it can be more accurate as compared to medium, long and intermediate. In medium, long and intermediate more changes could occur during the period so they are little hard to predict.
4. Which one of the following is responsible for positive as well as negative effect on the production of the organization?
a) Customer
b) System
c) Process
d) Management
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Explanation: For the productivity of the organization four things are mainly responsible which are capital, quality, management and technology. If any of the four goes a little wrong then it will affect the production.
5. What is known as the sequence of data points that are measured typically at successive time at regular time intervals?
a) Moving average
b) Weighted moving average
c) Time series
d) Forecasts
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Explanation: A time series is a series of data at successive time which can be listed or made as graph in time order. Time series is the sequence of data points which are measured at successive time at regular time intervals.
6. Which of the following is not a step of decision process?
a) Specify objectives
b) Analyze and select alternative
c) Determine the product of chance probabilities
d) Implement and monitor the result
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Explanation: Implementing and monitoring of the result is done after completing all the processes and decision making process is done before the start of any process.
7. Completion of any operations depends upon slowest process in the assembly line. What operations managers need to do in order to be successful?
a) Target and eliminate bottlenecks
b) Identify the bottlenecks
c) Make the slowest process more slow
d) Make the slowest process a bit fast
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Explanation: Bottlenecks are the slow processes in the chain of processes which makes the whole process slow. Targeting the bottlenecks and eliminating them will make the process fast and it will result in better production.
8. Forecasting accuracy has _____ relation with time horizon.
a) Inverse
b) Linear
c) Parallel
d) Direct
View Answer
Explanation: The relation between forecasting and accuracy is inversely proportional. As the time increases in a production, the accuracy of the forecast decreases.
9. In which of the following decision environments it is impossible to assess the livelihood of various events?
a) Certainty
b) Uncertainty
c) Risk
d) Bounded rationality
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Explanation: If the decision made is uncertain then it is impossible to evaluate the results of working of various events happening during the production.
10. What should be done to make operations strategy effective?
a) Independent of organization’s strategy
b) Consistent with organization’s strategy
c) Developed by a first line manager
d) Independent of time dimension
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Explanation: If the operations which are going on in the production process follow the organization’s strategy strictly then all the strategy made for operations will be effective.
11. Organizational strategies relate to which of the following sets of factors?
a) Survival, growth rate, profitability and market share
b) Profitability, survival, lead times and target market
c) Quality, operating resources, growth rate and market share
d) Scheduling, profitability, lead times and survival
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Explanation: Strategies in an organization is mainly based on four factors which are survival which is very important while completing a product, growth rate should be maintained at some level so that confidence remains throughout and thus the profitability will also increase and market shares will rise and the value of the company will increase.
12. Which of the following is not a factor affecting a design strategy?
a) Cost
b) Market
c) Time to market
d) Revenue
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Explanation: Revenue of a certain product is evaluated after the product is launched in the market and so it has no effect on the strategy of design which is made before the production process starts.
13. How can be the reliability measured in a product?
a) Profitability
b) Durability
c) Failure
d) Forecasting
View Answer
Explanation: Reliability of any product can be measured by the profit it made in the market which can be used to determine the demand of the product in the market.
14. Which design can result in various product or services that can function over a broad range of conditions?
a) Computer aided design
b) Robust design
c) Design for re manufacturing
d) Modular design
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Explanation: Robust design is the design which is compatible with some variation in it. In these types of designs, it is insensitive to the variation and so they function over a broad range.
15. Strategy includes both organizational and functional strategies.
a) True
b) False
View Answer
Explanation: It is true as the organizational strategies made are executed then only the functional strategies are made and implemented.
Sanfoundry Global Education & Learning Series – Production Planning and Control.
To practice all areas of Production Planning and Control, here is complete set of Multiple Choice Questions and Answers.
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