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CME Operations Management & Process Improvement Flashcards

6 cards from real CME practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.

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  1. In supply chain management, what does 'bullwhip effect' refer to?

    Answer: Amplification of demand fluctuations as orders move upstream

    The bullwhip effect describes how small demand variations at the retail level get increasingly amplified as orders travel upstream through the supply chain.

  2. Which quality management framework uses Plan-Do-Check-Act (PDCA) as its core improvement cycle?

    Answer: Deming Cycle / Kaizen

    The PDCA cycle, also called the Deming Wheel, is central to Kaizen and continuous improvement philosophies in quality management.

  3. A company tracks the ratio of actual output to effective capacity. What operations metric is this?

    Answer: Efficiency

    Efficiency is the ratio of actual output to effective capacity, measuring how well a process performs relative to its realistic maximum.

  4. What is 'poka-yoke' in the context of quality management?

    Answer: An error-proofing technique that prevents defects at the source

    Poka-yoke is a Lean quality technique that uses design features or mechanisms to prevent errors before they occur or to make defects immediately obvious.

  5. Which forecasting method calculates demand estimates based on the average of several past periods, with equal weight given to each?

    Answer: Simple Moving Average

    Simple Moving Average calculates the arithmetic mean of demand over a fixed number of past periods, treating each period with equal weight.

  6. In Lean management, the Japanese term '5S' refers to a workplace organization method. Which of the following is NOT one of the 5S elements?

    Answer: Solve (Kaihatsu)

    The 5S elements are Sort, Set in order, Shine, Standardize, and Sustain — 'Solve' is not one of them.