Product Management Production Management Knowledge 2 — Questions and Answers
Question 1: Which production scheduling technique assigns jobs to machines to minimize total completion time?
- Johnson's Algorithm (Correct answer)
- Critical Path Method
- PERT Analysis
- Gantt Charting
Correct answer: Johnson's Algorithm
Johnson's Algorithm sequences jobs across two machines to minimize makespan (total completion time).
Question 2: In lean manufacturing, what does 'Poka-Yoke' primarily achieve?
- Increases machine throughput
- Prevents defects through error-proofing mechanisms (Correct answer)
- Reduces raw material costs
- Schedules preventive maintenance
Correct answer: Prevents defects through error-proofing mechanisms
Poka-Yoke uses physical or digital mechanisms to make errors impossible or immediately detectable.
Question 3: What is the primary goal of Overall Equipment Effectiveness (OEE)?
- Measure labor productivity
- Quantify how effectively manufacturing equipment is utilized (Correct answer)
- Track raw material usage
- Monitor supplier quality
Correct answer: Quantify how effectively manufacturing equipment is utilized
OEE measures availability, performance, and quality to reveal the true productive capacity of equipment.
Question 4: A manufacturer has a bottleneck workstation processing 80 units/hour while all other stations process 120 units/hour. What is the system throughput?
- 120 units/hour
- 100 units/hour
- 80 units/hour (Correct answer)
- 200 units/hour
Correct answer: 80 units/hour
System throughput is limited by the bottleneck; no station can produce faster than the slowest constraint.
Question 5: Which inventory costing method assumes the most recently purchased items are sold first?
- FIFO
- LIFO (Correct answer)
- Weighted Average
- Specific Identification
Correct answer: LIFO
LIFO (Last-In, First-Out) assumes the newest inventory is consumed first, affecting COGS and tax implications.
Question 6: What does 'cycle time' represent in a production context?
- Time from order placement to delivery
- Time between successive units coming off the production line (Correct answer)
- Time to complete one full preventive maintenance cycle
- Time a product spends in quality inspection
Correct answer: Time between successive units coming off the production line
Cycle time is the elapsed time between completing consecutive units at a workstation or production line.
Question 7: In supply chain management, what is a 'bullwhip effect'?
- Sudden machine breakdown propagating through production
- Amplification of demand variability as orders move upstream in the supply chain (Correct answer)
- Whiplash injuries from repetitive assembly motions
- Rapid price fluctuation due to commodity speculation
Correct answer: Amplification of demand variability as orders move upstream in the supply chain
The bullwhip effect causes small retail demand changes to become exaggerated order swings at the manufacturer and supplier levels.
Which production scheduling technique assigns jobs to machines to minimize total completion time?