AACSB: Reflective Thinking Blooms: Remember Difficulty: Medium Learning Objective: 11-01 Explain what aggregate planning is and how it is usefulA. AACSB: Reflective Thinking Blooms: Reme
Trang 28 Capacity can be modified in aggregate planning by promotion and producing additional product using overtime
Trang 317 Aggregate planners typically use mathematical techniques such as linear programming and linear decision rules for planning
Trang 426 In the master production schedule, production is planned for the next period whenever the promise quantity becomes negative
available-to-True False
27 Which of the following best describes aggregate planning?
A the link between intermediate term planning and short term operating decisions
B a collection of objective planning tools
C make or buy decisions
D an attempt to respond to predicted demand within the constraints set by product, process and location decisions
E manpower planning
28 Accommodating peak demands and effectively using labor resources during periods of low demand would
be the goal of aggregate planners in …
29 Aggregate planning is capacity planning for:
A the long range
B the intermediate range
C the short range
D typically one to three months
E typically one or more years
30 One area to which aggregate planning decisions relate is:
Trang 531 Which of the following is an input to aggregate planning?
E material requirements plan
33 In doing "aggregate planning" for a firm producing paint, the aggregate planners would most likely deal with:
A just gallons of paint, without concern for the different colors and sizes
B gallons of paint, but be concerned with the different colors to be produced
C gallons, quarts, pints, and all the different sizes to be produced
D all the different sizes and all the different colors by size
E none of the above
34 Aggregate planning requires which of the following information?
A a forecast of expected demand
B current levels of inventory
C (a) and (b)
D policies regarding employment levels
E all of the above
35 Aggregate planners attempt to balance:
A demand and inventories
B demand and costs
C capacity and inventories
D capacity and costs
E capacity and demand
Trang 636 Which of the following is not an input to the aggregate planning process?
A resources available
B demand forecast
C policies on work force changes
D master production schedules
E All of these are basic capacity options
39 Which one of the following is not a basic option for altering demand?
A promotion
B backordering
C pricing
D subcontracting
E All are demand options
40 One option for altering the pattern of demand is:
Trang 741 Which of the following would not be a strategy associated with adjusting aggregate capacity to meet expected demand?
A subcontract
B vary the size of the workforce
C vary the intensity of workforce utilization
D allow inventory levels to vary
E none of the above apply to manufacturing capacity
43 One option for altering the availability of capacity is:
A use of overtime or slack time
B pricing
C promotion
D backorders
E none of the above
44 In order to use the "level capacity strategy," variations in demand are met by:
A varying output during regular time without changing employment levels
B varying output during regular time by changing employment levels
C (a) and (b)
D using combination of inventories, overtime, part time, and back orders
E price adjustments
45 In using the "chase strategy" variations in demand could be met by:
A varying output during regular time without changing employment levels
B varying output during regular time by changing employment levels
C (a) and (b)
D varying inventory levels
E price increases
Trang 846 Uncommitted inventory is called …
47 Aggregate planners seek to match supply and demand:
A at minimum overall cost
B by staying within company policy
C (a) and (b)
D keeping inventories at a minimum
E all of the above
48 In practice, the more commonly used techniques for aggregate planning are:
A mathematical techniques
B informal trial-and-error techniques
C (a) and (b) about equally
D simulation models
E linear programming optimization
49 The main disadvantage(s) of informal techniques used for aggregate planning is(are):
A they are expensive to do
B they may not result in the best plan
C they take a long time to do
D they require use of a computer
E lack of formal education of the planners
50 Inventory information for firm ABC:
What is the expected inventory at the end of April, 1999?
Trang 951 Inventory information for firm ABC:
What was the inventory at the end of March, 1999?
A 350
B 250
C 150
D 50
E none of the above
52 Linear programming to produce an aggregate plan:
A will produce the best plan if accurate inputs are used
B is the most widely used technique
C (a) and (b)
D will produce a plan that may not be the best plan
E requires an excel spread sheet
53 Simulation to produce an aggregate plan:
A will produce the best plan
B is the most widely used technique
C both (a) and (b)
D will produce a plan that may not be the best plan
E requires a minimum of 4 iterations to be accurate
54 Which term is most closely associated with the term disaggregation?
A subcontracting
B master schedule
C diversity
D varying inventory levels
E firing and laying off
55 The direct result of disaggregating the aggregate plan is the:
Trang 1056 Moving from the aggregate plan to a master production schedule requires:
A rough cut capacity planning
D high margin inventory
E none of the above
58 Proactive and Reactive aggregate planning strategies are best associated with:
A Input and Output
B Make and Buy
C Quantitative and Qualitative
D Exact and Approximate
E Demand and Capacity options
59 A manager has prepared a forecast of expected aggregate demand for the next six months Develop an aggregate plan to meet this demand given this additional information: A level production rate of 100 units per month will be used Backorders are allowed, and they are charged at the rate of $8 per unit per month Inventoryholding costs are $1 per unit per month in ending inventory Determine the cost of this plan if regular time cost
is $20 per unit and beginning inventory is zero
Trang 11
60 Given the projected demands for the next six months, prepare an aggregate plan that uses inventory, regular time and overtime, and backorders The plan must wind up with no units in ending inventory in Period 6 Regular time capacity is 150 units per month Overtime capacity is 20 units per month Overtime cost is $30 perunit, backorder cost is $20 per unit, inventory holding cost is $5 per unit, regular time cost of $20 per unit, and beginning inventory is zero.
61 Use either the transportation method or linear programming to develop an optimum aggregate plan, given the following data:
Trang 12
62 Prepare a master schedule based on the following information:
Currently there are 145 units in inventory Policy calls for a fixed order quantity of 250 units
63 What is total forecasted demand?
64 What is total regular time capacity?
Trang 13
65 How should overtime capacity be utilized?
66 What are total regular time costs?
67 What are total overtime costs?
68 What are total carrying costs?
Trang 1469 What are total backorder costs?
70 What are total costs for each period?
71 What are total costs for the six periods?
A firm has 43 units of a certain product on hand Forecasts for the first two planning periods are 20 units each
A production quantity of 80 units is planned to be available in period 3 Customer orders are 22 for period 1 and
Trang 1573 What quantity is available for commitment to new customers in either of the first two periods?
A 21
B 1
C 20
D 4
E impossible to say without more information
A firm has 56 units of product X on hand Forecasts of demand are for 20 units per week An MPS quantity of
100 units is planned to arrive in period 3 Customer orders are 24 for period 1, 18 for period 2, and 15 for period3
74 What is the projected on hand inventory at the end of period 2?
A 14
B 32
C 12
D 20
E impossible to say without additional information
75 What quantity is available for commitment to new customers prior to the receipt of the MPS quantity in week 3?
A 14
B 32
C 12
D 20
E impossible to say without additional information
76 When the opportunity cost of lost revenue is relatively high, _ become(s) relatively more
Trang 1677 The more demand is, the more the aggregate plan will tend to reflect the strategy
B costs of storing inventory
C the perishability of capacity
D cost of overtime
E cost of hiring
80 At XYZ Corp., the aggregate planning unit reflects the fact that 50% of its output is product version A, 30%
is version B, and 20% is version C Suppose that over the coming year forecasted total demand (in planning units) is for 10,400 units Once the production plan is disaggregated, what will the weekly forecast for version
A be (assume 52 weeks per year)?
Trang 1781 A master production schedule quantity of 300 units will arrive in week 6 Weekly demand over weeks 3 through 10 is forecasted at 50 units At present, orders have been booked in various quantities in weeks 1, 2, 3 and 4 What is the available to promise for week 6?
A 50
B 6
C 300
D 100
E Cannot be determined without projected on-hand information
82 Which of the following steps is necessary to ensure that a master schedule is valid?
Trang 18ch11 Key
1 Aggregate planning is intermediate-range capacity planning that typically covers a time horizon of one to three months
FALSE
Aggregate planning covers the mid-term, typically two to 12 months
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Medium
Learning Objective: 11-01 Explain what aggregate planning is and how it is useful.
Stevenson - Chapter 11 #1
Topic Area: Introduction
2 The goal of aggregate planning is to achieve a production plan that attempts to balance the organization's resources and meet expected demand
TRUE
This is the goal of aggregate planning
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Easy
Learning Objective: 11-01 Explain what aggregate planning is and how it is useful.
Stevenson - Chapter 11 #2
Topic Area: Introduction
3 Aggregate planners are concerned with the quality and quantity of expected demand
FALSE
Aggregate planners are concerned with the quantity and timing of expected demand
AACSB: Reflective Thinking
Trang 194 Aggregate planning is used to establish general levels of employment, output, and inventories over an intermediate-range of time
TRUE
This is the domain of aggregate planning
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Easy
Learning Objective: 11-01 Explain what aggregate planning is and how it is useful.
Stevenson - Chapter 11 #4
Topic Area: Introduction
5 The assignment of work to specific machines and people are examples of aggregate planning
FALSE
Assigning work to specific machines or people is an example of detailed scheduling
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Medium
Learning Objective: 11-01 Explain what aggregate planning is and how it is useful.
Stevenson - Chapter 11 #5
Topic Area: Introduction
6 The output from aggregate planning is a detailed business plan covering the next 2 to 12 months
FALSE
The output is an aggregate production plan
AACSB: Reflective Thinking
Trang 207 Demand can be altered in aggregate planning by promotion and producing additional product using
overtime
FALSE
These are supply options
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Hard
Learning Objective: 11-02 Identify the variables decision makers have to work with in aggregate planning and some of the possible strategies they can use Stevenson - Chapter 11 #7
Topic Area: Introduction
8 Capacity can be modified in aggregate planning by promotion and producing additional product using overtime
FALSE
Promotions do not modify capacity
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Hard
Learning Objective: 11-02 Identify the variables decision makers have to work with in aggregate planning and some of the possible strategies they can use Stevenson - Chapter 11 #8
Topic Area: Introduction
9 Organizations facing seasonal changes in demand are prevented from using aggregate planning techniques
FALSE
Aggregate planning can accommodate seasonal changes in demand
AACSB: Reflective Thinking
Trang 2110 Seasonality in demand has the advantage of leveling out requirements for our product or service
FALSE
Seasonality increases variation in requirements
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Medium
Learning Objective: 11-02 Identify the variables decision makers have to work with in aggregate planning and some of the possible strategies they can use Stevenson - Chapter 11 #10
Topic Area: Introduction
11 A level capacity strategy is also known as a chase demand strategy
FALSE
Level and chase strategies are opposite approaches
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Easy
Learning Objective: 11-02 Identify the variables decision makers have to work with in aggregate planning and some of the possible strategies they can use Stevenson - Chapter 11 #11
Topic Area: Basic Strategies for Meeting Uneven Demand
12 An advantage of a "chase" strategy for aggregate planning is that inventories can be kept relatively low
TRUE
The chase strategy keeps inventories low
AACSB: Reflective Thinking
Blooms: Understand
Difficulty: Medium
Learning Objective: 11-02 Identify the variables decision makers have to work with in aggregate planning and some of the possible strategies they can use Stevenson - Chapter 11 #12
Topic Area: Basic Strategies for Meeting Uneven Demand
13 Linear programming models yield the optimal solution
TRUE
Linear programming models can find an optimal solution if one exists
AACSB: Reflective Thinking
Trang 2214 Ultimately the overriding factor in choosing a strategy in aggregate planning is overall cost
TRUE
The task of aggregate planning is to strike a balance between demand and capacity at minimum cost
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Hard
Learning Objective: 11-02 Identify the variables decision makers have to work with in aggregate planning and some of the possible strategies they can use Stevenson - Chapter 11 #14
Topic Area: Basic Strategies for Meeting Uneven Demand
15 Aggregate planners commonly use trial-and-error methods in developing aggregate plans
TRUE
Trial-and-error approaches can lead to good solutions
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Easy
Learning Objective: 11-03 Describe some of the graphical and quantitative techniques planners use.
Stevenson - Chapter 11 #15
Topic Area: Techniques for Aggregate Planning
16 The use of tables and charts in aggregate planning usually enables planners to arrive at an optimal plan
FALSE
Such solutions may be good solutions, but they're usually not optimal
AACSB: Reflective Thinking
Trang 2317 Aggregate planners typically use mathematical techniques such as linear programming and linear decision rules for planning
FALSE
Both qualitative and quantitative approaches are used in aggregate planning
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Medium
Learning Objective: 11-03 Describe some of the graphical and quantitative techniques planners use.
Stevenson - Chapter 11 #17
Topic Area: Techniques for Aggregate Planning
18 Disaggregating an aggregate plan leads to a master schedule
TRUE
This is an output of the aggregate planning process
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Medium
Learning Objective: 11-01 Explain what aggregate planning is and how it is useful.
Stevenson - Chapter 11 #18
Topic Area: Disaggregating the Aggregate Plan
19 The master schedule indicates the quantity and timing for delivery of a product, but not the dates productionwill need to start
TRUE
Required start dates depend on products' lead times
AACSB: Reflective Thinking
Trang 2420 Departmental budgeting is an example of aggregate planning
TRUE
The challenge is to get requirements into balance with resources
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Easy
Learning Objective: 11-01 Explain what aggregate planning is and how it is useful.
Stevenson - Chapter 11 #20
Topic Area: Introduction
21 Master schedulers are employed primarily by service organizations
FALSE
Master schedulers are primarily employed in manufacturing
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Easy
Learning Objective: 11-05 Describe the master scheduling process and explain its importance.
Stevenson - Chapter 11 #21
Topic Area: Disaggregating the Aggregate Plan
22 Subcontracting 'in' would apply to periods in which our organization has excess capacity
TRUE
Subcontracting in would be selling some available capacity
AACSB: Reflective Thinking
Trang 2523 Available-to-promise in the first week is equal to beginning inventory plus MPS quantity, if any, less committed customer orders before the next MPS quantity
TRUE
This is the ATP calculation for the first week
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Medium
Learning Objective: 11-05 Describe the master scheduling process and explain its importance.
Stevenson - Chapter 11 #23
Topic Area: The Master Scheduling Process
24 A time fence in the master schedule is used to prevent unauthorized people from making changes to the schedule
FALSE
Time fences are used to ensure that full consideration is given when schedule changes are being considered
AACSB: Reflective Thinking
Blooms: Remember
Difficulty: Medium
Learning Objective: 11-05 Describe the master scheduling process and explain its importance.
Stevenson - Chapter 11 #24
Topic Area: The Master Scheduling Process
25 After the first period of the planning horizon, available-to-promise is computed only for those periods in which there is an MPS quantity
TRUE
After the first week, ATP values will only occur in periods in which there are MPS quantities
AACSB: Reflective Thinking