Just In Time strategies are considered to reduce the overall Cost of Quality. Wh

Question

Just In Time strategies are considered to reduce the overall Cost of Quality. What element(s) of Just in Time makes this possible?

A.the cost of low quality can be hidden in inventory.

B.JIT prevents long runs of defects.

C.JIT adds more buffers to the system.

D.B and C

E. A, B and C

The Sales and Operations Planning Team will establish Aggregate / Family level Production Plans based on some selected approach. Which of the following strategies might be considered in the Supply Planning step?

A.influencing demand by extending lead times

B.counterseasonal product mixing

C.influencing demand by changing price

D.influencing demand by back ordering

E.changing inventory levels

Consider Sales and Operations Planning in a company like Ford. Which of the following might be considered in the planning process for the S&OP Team with an 18 month planning horizon?

A.number of two-door vs. four-door cars to produce

B.number of cars with a hi-fi stereo system to produce

C.total number of SUVs to produce

D.number of green cars to produce

E. B, C, and D

Supply chain managers use ABC analysis as a type of Pareto analysis to focus attention. Our authors use the following criteria by convention (though other approaches are valid) for establishing ABC assignment:

A.annual demand

B.unit price

C.annual dollar volume

D.the number of units on hand

E.item quality

Explanation / Answer

1. b. JIT prevents long run of defects.

2. e. Changing inventory levels.

3. c. 18 month planning horizon is a part of Rough Cut Capacity planning and necessarily includes what can be produced with the capacity at hand or can be built in a small perio of time.

4. d. ABC analysis is meant for inventory at hand

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