Question 1

A process-oriented layout segments production facilities into functional departments.

Accepted Answer

In a process-oriented layout, facilities are segmented into departments based on the type of process or operation they handle. This is done to optimize the flow of materials and products through the production process.

Question 2

In a pull manufacturing system, raw materials are released to production based on actual customer orders.

Accepted Answer

In a pull manufacturing system, production is initiated based on customer demand, rather than forecasted demand. This means that raw materials are released to production when an actual order is received, rather than being produced ahead of time based on forecasts.

Question 3

In a lean environment, raw materials are delivered more frequently than in a traditional environment.

Accepted Answer

In a lean environment, the goal is to reduce the amount of inventory or waste. This means that raw materials are delivered more frequently in smaller batches as needed, rather than all at once in large quantities. This helps to reduce holding costs and increase efficiency in the supply chain.

Question 4

Push manufacturing made-to-stock is a traditional approach to manufacturing.

Accepted Answer

Push manufacturing made-to-stock is a traditional approach to manufacturing where products are produced in anticipation of customer demand.

Question 5

Push manufacturing is also referred to as make-to-order processing.

Accepted Answer

Push manufacturing is actually referred to as "make to stock" processing, where products are made in anticipation of future demand, not based on specific customer orders. "Make to order" is a characteristic of pull manufacturing, where production is based on actual demand.

Question 6

One inherent risk to using lean philosophy is that companies are at higher risk of inventory shortage during volatile times such as strikes, weather, etc.than when using the traditional philosophy.

Accepted Answer

Lean philosophy focuses on reducing inventory and having just enough to meet demand, which means companies may be more vulnerable to supply chain disruptions during unpredictable events. Traditional philosophy, on the other hand, typically involves holding more inventory as a buffer against such risks.

Question 7

Maximum effectiveness and efficiency are reached when the lean philosophy is used mainly by manufacturers.

Accepted Answer

The lean philosophy can be applied to any industry or business, not just manufacturers. It is a set of principles and practices that focus on maximizing efficiency and reducing waste in processes.

Question 8

In a push manufacturing system, raw materials are released to production based on forecasted demand.

Accepted Answer

In a push manufacturing system, materials are released based on forecasted demand rather than actual demand. This differs from a pull system, where materials are only released as needed based on customer demand.

Question 9

Employee involvement does not include performing any indirect manufacturing functions.

Accepted Answer

Employee involvement can certainly include indirect manufacturing functions such as process improvement, quality control, and safety initiatives.

Question 10

In a lean environment, process problems are less visible than they are in a traditional environment.

Accepted Answer

In a lean environment, process problems are more visible due to the continuous improvement and problem-solving culture. Lean focuses on identifying and eliminating waste and inefficiencies in processes, which requires a deep understanding and analysis of the process flow. This level of attention to detail and continuous observation makes process problems more visible and easier to identify than in a traditional environment.

Question 11

Under the lean production concept, employees are better utilized if they are experts in one operation rather than wasting time training them to learn various production operations.

Accepted Answer

Lean production emphasizes flexibility and cross-training of employees to perform multiple tasks, which improves overall efficiency and responsiveness to changes in production needs.

Question 12

In a pull manufacturing system, raw materials are released to production based on forecasted demand.

Accepted Answer

In a pull manufacturing system, raw materials are released to production based on actual demand, not forecasted demand. This ensures that inventory is minimized and production is driven by actual customer demand rather than predictions.

Question 13

In a push manufacturing system, raw materials are released to production based on actual customer orders.

Accepted Answer

In a push manufacturing system, raw materials are released to production based on sales forecasts or production plans, rather than actual customer orders.

Question 14

Make-to-order companies typically produce in small batch sizes.

Accepted Answer

Make-to-order companies produce products based on specific customer orders, which often results in smaller batch sizes compared to mass production.

Question 15

In a lean environment, operations only respond to customer orders.

Accepted Answer

In a lean environment, operations focus on meeting customer demand, but they also work to continuously improve processes and reduce waste, even if there are no current customer orders. This helps ensure that they are prepared to respond quickly and efficiently when orders do come in.

Question 16

Setups are a significant time-consuming activity in traditional production environments.

Accepted Answer

Setups involve preparing the equipment and workspace for a new production run, and can take a considerable amount of time in traditional manufacturing processes.

Question 17

In a lean environment, raw materials are delivered less frequently than in a traditional environment.

Accepted Answer

In a lean environment, raw materials are delivered more frequently and in smaller quantities to reduce inventory costs and waste, aligning with just-in-time production principles.

Question 18

Maximum effectiveness and efficiency are reached when the lean philosophy is used by both manufacturers and their suppliers.

Accepted Answer

The lean philosophy emphasizes minimizing waste and maximizing value, which can be achieved by collaborating closely with suppliers to streamline processes and eliminate unnecessary steps. When both manufacturers and suppliers adopt this approach, maximum effectiveness and efficiency can be achieved throughout the supply chain.

Question 19

In a lean environment, process problems are more visible than they are in a traditional environment.

Accepted Answer

In a lean environment, the focus is on continuous improvement and problem-solving, which makes process problems more visible and easier to address. This is because lean principles encourage identifying and eliminating waste and inefficiencies in processes, leading to a more streamlined and effective workflow. In contrast, a traditional environment may be more focused on maintaining status quo and may not prioritize identifying and addressing process problems as proactively.

Question 20

Make-to-order companies produce mainly to stock inventory.

Accepted Answer

Make-to-order companies produce goods only after receiving customer orders, meaning they do not produce to stock inventory.

Quiz 12: Lean Principles, Lean Accounting, and Activity Analysis