Section 2 Bottleneck Analysis and theTheory of Constraints

Section 2 Bottleneck Analysis and the Theory of Constraints 1) The bottleneck time is always at least as long as the throughput time. Answer: FALSE Diff: 2 AACSB: Reflective thinking skills Objective: LO3 Learning Outcome: Explain options for managing bottlenecks and managing capacity in service and manufacturing processes 2) To find the throughput time with simultaneous processes, compute the time over all paths and choose the shortest path through the system. Answer: FALSE Diff: 2 Key Term: Throughput time Objective: LO3 Learning Outcome: Explain options for managing bottlenecks and managing capacity in service and manufacturing processes 3) The theory of constraints is a body of knowledge that deals with anything that limits an organization's ability to achieve its goals. Answer: TRUE Diff: 1 Key Term: Theory of constraints (TOC) Objective: LO3 Learning Outcome: Explain options for managing bottlenecks and managing capacity in service and manufacturing processes 4) Substantial research has proved that the only successful method of dealing with bottlenecks is to increase the bottleneck's capacity. Answer: FALSE Diff: 2 Key Term: Bottleneck Objective: LO3 Learning Outcome: Explain options for managing bottlenecks and managing capacity in service and manufacturing processes S7-9 5) Consider a production line with five stations. Station 1 can produce a unit in 9 minutes. Station 2 can produce a unit in 10 minutes. Station 3 has two identical machines, each of which can process a unit in 12 minutes (each unit only needs to be processed on one of the two machines. Station 4 can produce a unit in 5 minutes. Station 5 can produce a unit in 8 minutes. Which station is the bottleneck station? A) Station 1 B) Station 2 C) Station 3 D) Station 4 E) Station 5 Answer: B Diff: 3 Key Term: Bottleneck AACSB: Analytic skills Objective: LO3 Learning Outcome: Explain options for managing bottlenecks and managing capacity in service and manufacturing processes 6) A tortilla chip workstation produces 1,000 chips in 20 seconds. What is its bottleneck time? A) .02 seconds per chip B) 50 chips per second C) 20 seconds D) 6000 chips per minute E) 20,000 seconds Answer: A Diff: 2 Key Term: Bottleneck time AACSB: Analytic skills Objective: LO3 Learning Outcome: Explain options for managing bottlenecks and managing capacity in service and manufacturing processes 7) A work system has five stations that have process times of 5, 9, 4, 9, and 8. What is the throughput time of the system? A) 4 B) 9 C) 18 D) 35 E) 7 Answer: D Diff: 2 Key Term: Throughput time AACSB: Analytic skills Objective: LO3 Learning Outcome: Explain options for managing bottlenecks and managing capacity in service and manufacturing processes S7-10 8) A work system has five stations that have process times of 5, 9, 4, 9, and 8. What is the bottleneck time? A) 4 B) 9 C) 18 D) 35 E) 7 Answer: B Diff: 2 Key Term: Bottleneck time AACSB: Analytic skills Objective: LO3 Learning Outcome: Explain options for managing bottlenecks and managing capacity in service and manufacturing processes 9) An assembly line has 10 stations with times of 1, 2, 3, 4, …, 10, respectively. What is the bottleneck time? A) 18.18% of the throughput time B) 100% of the throughput time C) 550% of the throughput time D) 50% of the throughput time E) 1.82% of the throughput time Answer: A Diff: 2 AACSB: Analytic skills Objective: LO3 Learning Outcome: Explain options for managing bottlenecks and managing capacity in service and manufacturing processes 10) Which of the following is not one of the four principles of bottleneck management? A) Release work orders to the system at the bottleneck's capacity pace. B) Lost time at the bottleneck is lost system capacity. C) Increasing capacity at non-bottleneck stations is a mirage. D) Increased bottleneck capacity is increased system capacity. E) Bottlenecks should be moved to the end of the system process. Answer: E Diff: 2 Key Term: Bottleneck Objective: LO3 Learning Outcome: Explain options for managing bottlenecks and managing capacity in service and manufacturing processes S7-11 11) TOC was popularized by: A) Goldratt and Cox. B) Ford. C) Taguchi. D) Deming. E) Motorola and GE. Answer: A Diff: 2 Key Term: Theory of constraints (TOC) Objective: LO3 Learning Outcome: Explain options for managing bottlenecks and managing capacity in service and manufacturing processes 12) TOC strives to reduce the effect of constraints by: A) offloading work from constrained workstations. B) increasing constrained workstation capability. C) changing workstation order to reduce throughput time. D) A and B E) A, B, and C Answer: D Diff: 2 Key Term: Theory of constraints (TOC) AACSB: Reflective thinking skills Objective: LO3 Learning Outcome: Explain options for managing bottlenecks and managing capacity in service and manufacturing processes 13) The theory of constraints has its origins in: A) linear programming theory. B) the theory of economies of scale. C) material requirements planning. D) the theory of finite capacity planning. E) Goldratt and Cox's book, Answer: E Diff: 1 Key Term: Theory of constraints (TOC) Objective: LO3 Learning Outcome: Explain options for managing bottlenecks and managing capacity in service and manufacturing processes S7-12 14) Which of the following techniques is NOT a technique for dealing with a bottleneck? A) Schedule throughput to match the capacity of the bottleneck. B) Increase the capacity of the constraint. C) Have cross-trained employees available to keep the constraint at full operation. D) Develop alternate routings. E) All are techniques for dealing with bottlenecks. Answer: E Diff: 2 Key Term: Bottleneck AACSB: Reflective thinking skills Objective: LO3 Learning Outcome: Explain options for managing bottlenecks and managing capacity in service and manufacturing processes 15) In "drum, buffer, rope," what provides the schedule, i.e. the pace of production? A) drum B) buffer C) rope D) all three of the above in combination E) none of the above Answer: A Diff: 2 Key Term: Theory of constraints (TOC) Objective: LO3 Learning Outcome: Explain options for managing bottlenecks and managing capacity in service and manufacturing processes 16) In "drum, buffer, rope," the ________ acts like signals between workstations. Answer: rope Diff: 2 Key Term: Theory of constraints (TOC) Objective: LO3 Learning Outcome: Explain options for managing bottlenecks and managing capacity in service and manufacturing processes 17) Describe the theory of constraints in a sentence. Answer: The theory of constraints is the body of knowledge that deals with anything that limits an organization's ability to achieve its goals. Diff: 2 Key Term: Theory of constraints (TOC) Objective: LO3 Learning Outcome: Explain options for managing bottlenecks and managing capacity in service and manufacturing processes S7-13 18) Identify, in proper sequence, the steps in the process of recognizing and managing constraints. Answer: The five-step process of the theory of constraints includes: Step 1: Identify the constraints. Step 2: Develop a plan for overcoming the identified constraints. Step 3: Focus resources on accomplishing Step 2. Step 4: Reduce the effects of the constraints by offloading work or by expanding capability. Make sure that the constraints are recognized by all those who can have an impact on them. Step 5: When one set of constraints is overcome, go back to Step 1 and identify new constraints. Diff: 3 Key Term: Theory of constraints (TOC) Objective: LO3 Learning Outcome: Explain options for managing bottlenecks and managing capacity in service and manufacturing processes 19) Explain the importance of a bottleneck operation in a production sequence. Answer: A bottleneck operation is the one that limits output in the production sequence. Consequently, to increase throughput of the facility, the bottleneck output must be increased. Diff: 2 Key Term: Bottleneck Objective: LO3 Learning Outcome: Explain options for managing bottlenecks and managing capacity in service and manufacturing processes S7-14