Management Engineering - Operations Management

Full exam

4.In the cutting stage is a cell where currently there are 4 operators employed to perform four different manual tasks which take respectively 7 min, 4min, 6min and 4min. The cutting stage is based on 3 shifts of 8hours each. The product daily demand is 200 pieces. Determine whether the number of operators can be reduced in order to save a resource for other value-added activities (1 Point) The cell needs 3 operators to address the overall work-content. The fourth operator can be employed in another stage The cell needs all the 4 operators to address the overall work-content Only 2 operator are necessary to address the overall work-content The cell requires 4 different operators to address each of the four activities 5.Lean and digitalisation (1 Point) Successful companies digitalise their processes and they implement Lean to improve them Companies that deeply embrace digitalisation, do not need lean management Companies that deeply embrace lean management do not need digitalisation Successful companies adopt lean management before digitalising their processes 6.Esselunga, as per health guidelines, adopted an M/M/1 configuration for the waiting line outside the supermarket. How does the average throughput time of that system change when prioritizing over 65-year olds over other customers ? (1 Point) it decreases it increases it depends on peak times it remains unchangedthe 7.Which one of the following statement is false considering the daily production capacity of a coupled system (1 Point) It is affected by the product of the availabilities of all the stages that compose the system It is always lower than the daily production capacity of a decoupled system It is computed considering the maximum change over time It is computed considering the maximum cycle time 8.Company-A produces valves and is performing for time delivery an average of 20 days . Most part of competitors delivers as 12 days. The market requires 40 days for time delivery. Valves are sold to industrial plant producers, an industrial plant on average takes 4-6 months for being designed and 6-9 months for being completed. (1 Point) Company-A should hurry on improving time delivery performance for grasping market share to competitors in the current condition, time delivery is not a significant KPI for increasing competitiveness of Company-A time delivery is a competitive advantage for Company-A time delivery is a competitive advantage for competitors 9.Value adding energy in a machining process of a machine tool (e.g. a lathe) processing 100 pieces of Item AZ123 is: (1 Point) The energy consumption of the machine tool from the moment it starts processing the first piece to the moment it finishes processing the last piece The energy necessary to detach the excess material compared to the final shape, breaking the chemical bonds among among athoms of the removed part and the athoms of the remaining part The energy consumption of the machine tool from the moment it finishes processing the previous item to the moment it finishes processing the last piece of the AZ123 item The enery consumption of the machine only during the time it is removing material 10.Company-A is a system integrator and is performing for time delivery an average of 12 days . Most part of competitors delivers as 15 days. The market is evolving and requires 10 days for time delivery. Integration are sold to industrial machine producers, an industrial machine on average takes 2 weeks for being designed and 1 month for being completed. (1 Point) Competitors should hurry on improving time delivery performance for grasping market share to Company-A Company-A is in a safe position because Company-A delivers faster than most part of competitors. in the current condition, time delivery is not a significant KPI for increasing competitiveness time delivery is a competitive advantage for competitors 11.Which one of the following statament is false considering the batching (1 Point) Batching is necessary when it is not possible to produce the entire range and quantity of products as requested by the customers in the time available The lower the batch size is and the lower is the number of different variants to deliver to the customers In a decoupled system each stage has its own batching only depending on the change over of the stage itself Batching is a waste since it means anticipating the production of final demand that is not requested - overproduction. 12.Calculate the Costs of an event knowing that it can hold up to 400 participants, Full price=300€, Discounted price=200€, PL=240, a gadget that cost 20 € for all participants paid before the event and 70% of full price ticket holders will have a dinner at the day of the event that costs 50€. (1 Point) C=20*400+0.7*50*240 C=20*400+0.7*50*(400-240) C=20*400+0.7*50*X C=20*400+0.7*50*(240-X) 13.In HQ case, on which performance does the choice of investing in a small number of big machines impact ? (1 Point) Lower flexibility of plan thanks to lower number of required setups. Higher speed (time) thanks to shorter cycle time. Higher price thanks to low number of employees needed. Higher quality of design thanks to better settings of machines. 14.There are two viewpoints to look at while studying a production process, namely workcontent and workpace. Which of the following sentence is true? (1 Point) The workcontent depends on the number of operators. The workcontent for each production stage is computed looking how frequently a piece exit the specific production stage. In the value stream map, in the timeline it is correct to put the workcontent. In the value stream map, in the process box it is correct to put the workcontent. 15.How would you define the Heuristic EMSR method? (1 Point) An iterative method used to maximize the profit by appropriately allocating the available capacity whenever there are only three classes of customers. The computation starts from the cheapest class. An iterative method used to maximize the profit by appropriately allocating the available capacity whenever there are more than two classes of customers. The computation starts from the most expensive clas An iterative method used to maximize the profit by appropriately allocating the available capacity whenever there are only three classes of customers. The computation starts from the most expensive class. An iterative method used to set the right overbooking strategy by appropriately allocating the available capacity whenever there are more than two classes of customers. The computation starts from the cheapest class. 16.In the cutting department, there are two operators working in parallel with a CT=14 min/piece. The department works 1 shift per day (Ta=480 min/day). Change over time is 5 min/setup and availability is 100%. Which of the following sentence is correct? (1 Point) EPE>= (5 min/setup * #setups)/(480 min -14 min/piece*D) EPE>= (2,5 min/setup * #setups)/(480 min -7 min/piece*D) EPE>= (5 min/setup * #setups)/(480 min -7 min/piece*D) EPE>= (2,5 min/setup * #setups)/(960 min -14 min/piece*D) 17.Which one of the following statement is true considering the daily production capacity of a decoupled system (1 Point) It is affected by the product of the availabilities of all the stages that compose the system It is determined by the stage that has the slowest cycle time It is determined by the stage that has the lowest expected output It is determined by the stage that has the worst availability 18.In a multiple queueing system, which are the benefits of centralization of back-office activities? (1 Point) Shortening of lead-time Increasing of flexibility Higher specialization Increasing customization 19.The JOY srl operates in the agri-food industry and it is specialized in biological products characetrised by high obsolescence levels. The demand is characterised by fluctuation and it is not easy to predict. What would JOY have to go for between direct shipping and finished good warehouse? (1 Point) Direct Shipping Finished Good Warehouse Choose both We need information on customers and suppliers to decide 20.You are a manager of a restaurant; if your service process (output) is affected by uncertainty, which lever do you invest in? (1 Point) Reservation system Training Standardization of activities Increasing employees participation in process improvement 21.Which type of company can benefit from implementing Yield management? (1 Point) Only companies that provide a service to customers. Only companies belonging to specific industries (example transportation or entertainment) that have fixed capacity and want to maximise their profit. Any kind of companies able to segment the market that have fixed capacity and perishable inventory, high capacity change cost, uncertain demand and the possibility to sell/book products in advance. Only service companies able to segment the market that have fixed capacity and perishable inventory, high capacity change cost, uncertain demand and the possibility to sell/book products in advance. 22.According to KDAM (Key Decisional Area matrix), DHL transport services belongs to cluster (1 Point) Service project Service factory DIY service Service partnership 23.Lean and radical innovation (1 Point) Lean is continuous improvement and cannot be adopted in radical innovation Radical innovation can benefit from Lean aspect of reacting to events rather than focusing of anticipating them (test ideas on the market and make adjustment) Lean is used after a radical innovation to fine tune the product or process Lean is based on radical innovation 24.A useful model for improving Planet conditions is to make a better use of energy by critically analising the present use by analysing the following aspects: (1 Point) Transformation; Distribution; Use Transformation; Distribution; Purchase; Use Price; Distribution; Use Supplier; Price; Distribution; 25.Value Stream Mapping is used to map: (1 Point) Time only Time and number of pieces in queue only Time but also other scarce resource as water or energy Cycle time and processing time 26.The M&M company, which works on 3 shifts of 6hours/shift each, has a cell in which are now employed 3 operators. The operators perform manual tasks in order to produce product A, which daily demand is 100. In the cell, three main activities are performed which take respectively 5 min, 10 min and 3 min. Determine whether the number of operators can be reduced in order to save a resource for other value-added activities (1 Point) The cell needs 3 operators to address the overall work-content The cell needs 2 operators; thus 1 operator can be employed in another department 3 operators are necessary to cope with the 3 different activities The cell requires only 1 operator 27.Italian airline is adopting 3 classes, Premium rate for 1000 €, executive rate for 800 € and economy rate for 500 €, with a protection level of 150 seats. The company decided to adopt the economy rate as a last minute price ticket. What would happen to the protection level (1 Point) Increasing the protection level Decreasing the protection level Increasing both protection level and seats for discounted rate Not impacting on protection level 28.Sailor Spa production process is made by 5 stages with the following EPEs: EPE (S1) = 2,14 days; EPE (S2) = 0; EPE (S3) = 2,51 days; EPE (S4) = 1,42 days, EPE (S5) = 0,66 days. Which is the frequency according to which Sailor Spa is able to produce the whole volume and mix required by the customer? (1 Point) Every 2,51 days Every 1,346 days It depends on the volume and mix required by the customer Every 0,66 days 29.Choose the one correct answer: (1 Point) Cost of Underestimation represents the lost revenue associated with reserving too few seats as discounted fare Cost of underestimation represents the cost of reserving too many seats at full fare. As if the empty full-fare seat could have been sold at the discounted price. Cost of Underestimation represents the lost revenues associated with reserving too few seats as full fare Cost of Underestimation represents the lost profit associated with reserving too few seats as discounted fare 30.The assembly stage of a company is composed of three operators that work on parallel. Each operator performs the whole assembly of the components to produce the final product. The whole assembly process takes 100 minutes. Which one of the following statement is false? (1 Point) The cycle time of the assembly stage is 100/3 minutes The total workcontent to produce 10 final products is 1000 minutes In the timeline of the VSM currrent State the VA time is 100/3 minutes In the timeline of the VSM currrent State the VA time is 100 minutes 31.For the Shouldice hospital, which are the drawbacks of opening on Saturday? (1 Point) Lower bond among doctors and staff, because there was the creation of two sub-groups (one working only during weeks and one working also on saturdays) and service provided on Saturdays not exactly equal to the one provided during week. Clients are not satisfied because the service provided is not exactly equal to the one provided during week. Not enough rooms available to guarantee 4 days of patients recovery, therefore the solution is not applicable. There are no drawbacks for this solution, and therefore is the one applied by Shouldice hospital. 32.Considering a theme park service company, which of the following options could be considered an outcome of the company? (1 Point) food outlets, toilets and white knuckle rides easy parking, lots of rides and fun time good food and 18 rides used helpful staff, never a dull moment and enjoyable attractions 33.Company-A produces valves and is performing for time delivery an average of 15 days . Most part of competitors delivers as 20 days. The market requires 40 days for time delivery. Valves are sold to industrial plant producers, an industrial plant on average takes 4-6 months for being designed and 6-9 months for being completed. (1 Point) Competitors should hurry on improving time delivery performance for grasping market share to Company-A time delivery is a competitive advantage for Company-A in the current condition, time delivery is not a significant KPI for increasing competitiveness time delivery is a competitive advantage for competitors 34.Choose the one correct answer (1 Point) In order to maximize my revenues, it is more convenient to sell all tickets to low cost passengers as I am sure they will buy them all Having fixed capacity of event’s seats, we should start selling full price tickets to ensure profit maximization and cover all the seats available Protection level of full price tickets is necessary to avoid cannibalization from discounted price tickets Protection level of discounted price tickets is necessary to avoid cannibalization from full price tickets 35.Calculate the revenues of an event knowing that it can hold up to 500 participants, Full price=300€, Discounted price=150€, PL=200, and 50% of full price ticket holders will donate 40 € for charity (1 Point) R=300X+(500-200)*150+0.5*40*200 R=300X+(500-200)*150+0.5*40*X R=300X+(500-200)*150 R=300X+(500-200)*150+0.5*40 36.If on average 100 c/hr enter a bar, then 10 c/hr leave and go home, and the rest enter the restaurant and after lunch go home. What is the adjusted occurrence of the path of people entering both the bar and the restaurant? (1 Point) 0,1 0,9 1 we need more information 37.In the HQ case, why "having extra-capacity" is a good choice for the new market? (1 Point) Because it allows to absorb possible fluctuations in demand volume without using stocks Because it allows to overproduce and so to have stocks to absorb peaks of demand. Because it allows to exploit economies of scale Because it impacts on product quality and so on customer satisfaction. 38.The ride to the tallest building in the world, Burj Khalifa tower in an elevator takes 38 seconds, before you are able to enjoy the view. Engineers studying the queuing management suggested introducing a video projection inside the elevator. (1 Point) The video has the same function as a waiting line in a queuing system. Customers will be distracted by the video and perceive longer ride The video has the same function of magazines and journals in a medical doctor waiting room. The video has no purpose related to Queue management. 39.For the Shouldice hospital, which are the drawbacks of opening a second clinic (even outside Canada)? (1 Point) The difficulties of replicating the same concept, especially for what regards soft elements (bond among doctors and staff, relationship with patients, and the standard procedure of hernia surgery). The difficulties of replicating the same concept, especially for what regards hard elements (patients rooms, stairs, surgerys rooms with U shape…). The difficulties in guaranteeing the same duration and predictability of hernia surgerys. The difficulties in hiring new doctors and staff.