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Exam 14: Material Requirements Planning Mrp and Erp

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Question 71

Multiple Choice

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Effective use of MRP and other dependent demand models does not require which of the following?

A) master production schedule
B) bill of materials
C) inventory availability
D) lead times
E) cost of individual components

F) A) and B)
G) D) and E)

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Question 72

True/False

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MRP is an excellent tool for scheduling products with variable lead times.

A) True
B) False

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Question 73

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__________ is a lot-sizing technique that generates exactly what is required to meet the plan.

Finite capacity scheduling, unlike MRP, recognizes the capacity limitations of departments and machines when building schedules.

Which of the following statements regarding MRP in services is true?

The extension of MRP which extends to resources such as labor hours and machine hours, as well as to order entry, purchasing, and direct interface with customers and suppliers is

The time-phased product structure, unlike the bill of material, adds the concept of lead times.

Consider the bill of material for Product J and the data given in the following table. The gross requirements for J are 200 units in week 6 and 250 units in week 8. Develop the MRP tables for each item for an 8-week planning period. Use the lot-for-lot lot-sizing rule.

Closed-loop MRP systems allow production planners to move work between time periods to smooth the load or to at least bring it within capacity.

__________ is a system that allows, with MRP in place, inventory data to be augmented by other resource variables.

A(n) __________ system is packaged business software that automates and integrates the majority of their business processes, shares common data and practices across the entire enterprise, and produces and accesses information in a real-time environment.

A(n) __________ can illustrate whether a work center has been scheduled beyond its capacity.

In continuous (stock-to-forecast) operations, the master production schedule is usually expressed in terms of

Enterprise resource planning (ERP)

An error has been detected in the technical drawing of a product about to be placed on a master production schedule. The part should be 9" by 12", not 9 cm by 12 cm; further, the part should be stainless steel, not ordinary steel. What document transmits the needed change? Where is the corrected information recorded? Why is this important to the master production schedule?

How does the process choice of an organization affect the basis of its master production schedule?

A bill of material lists all components, ingredients, and materials needed to produce one unit of an end item.

__________ are a way of allowing a segment of the master schedule to be designated as "not to be rescheduled."

Which of the following statements regarding lot-sizing is true?

Each R requires 4 of component S; each S requires 3 of part T. The lead time for assembly of R is 1 week. The lead time for the manufacture of S is 2 weeks. The lead time for the procurement of T is 6 weeks. The cumulative lead time for R is __________ weeks.