OMCh17 - Lecture notes 1 PDF

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Chapter 17 – Lean Operating System TRUE/ FALSE 1. Lean enterprise refers to approaches that focus primarily on the elimination of waste throughout the value chain. 2. In lean thinking, waste need not be classified as simply material waste such as scrap and defective parts. 3. Synchronization of the value chain is a lean approach to increasing speed and response. 4. According to the Toyota Motor Company, waiting time is necessary in production and is not classified as waste. 5. Knowledge bottlenecks and equipment breakdowns are a form of waste in organizations. 6. The 5Ss focus on improving waste generated by inefficient transportation. 7. In the context of the 5Ss, standardize means to formalize procedures and practices to create consistency and ensure that all steps are performed correctly. 8. A clean and organized work area is an important principle of lean thinking. 9. Single minute exchange of dies (SMED) frees up capacity for other productive uses. 10. Large batches often reduce teardowns and setups and provide economies of scale. 11. To accomplish single piece flow, a manufacturer needs the ability to change between products quickly and inexpensively. 12. Lean operating systems seek to apply the principles of continuous flow to the production of discrete parts by reducing batch size, ideally to a size of one. 13. The goal of total productive maintenance (TPM) is to minimize the costs associated with routine maintenance activities. 14. A goal of total productive maintenance is to have zero accidents in the entire life cycle of an operating system. 15. Total productive maintenance (TPM) strives to relieve machine operators of routine maintenance activities so that they can focus entirely on being productive. 16. When producing broad goods or service mix with diverse requirements on common equipment, the ideal strategy is to run large batches. 17. Lean Six Sigma is simply the union of lean approaches with quality improvement techniques, each of which has been used independently in other applications. 18. Six Sigma addresses visible problems in processes; lean production is more concerned with less visible problems. 19. Lean production is focused on efficiency by reducing waste and improving process flow, while Six Sigma is focused on effectiveness by reducing errors and defects.

Chapter 17 – Lean Operating System

20. Lean principles are always transferrable to front-office services that involve high customer contact and service encounters. 21. The Timken Company used a Lean Six Sigma approach that was highly successful. 22. Lean principles are mostly beneficial to manufacturers and provide little value to service organizations. 23. In a just-in-time (JIT) system, the computer inventory data is the interface and control point between customers and supply cycles. 24. In a push system, finished-goods inventory is produced in advance of customer demand using a forecast of sales. 25. Just-in-time (JIT) systems are based on the concept associated with pull systems rather than push systems. 26. Kanban is the Japanese term for elimination of waste. 27. The number of Kanban cards is directly proportional to the amount of work-in-process inventory. 28. Production Kanbans trigger the movement of parts. 29. Starbucks successfully implemented lean principles. 30. Nashua Corporation, a service organization, used lean principles and methods to reduce ordercycle time.

Chapter 17 – Lean Operating System MULTIPLE CHOICE 1. Which of the following is not a basic principle of a lean operating system? a. Elimination of waste b. Batching c. Increased speed and response d. Improved quality 2. According to the Toyota Motor Company, which of the following is not one of the seven major waste categories? a. Overproduction b. Transportation c. Motion d. Single-piece flow 3. Long lead-times and higher work-in-process is most closely related to which of Toyota’s “Seven Major Waste Categories?” a. Overproduction b. Single-piece flow c. Waiting time d. Transportation 4. Which of the following is not one of the 5Ss? a. Synchronize b. Standardize c. Shine d. Sustain 5. In the 5Ss, items identified as unnecessary and tus removed from a workplace would be included with which S? a. Sort b. Synchronize c. Shine d. Standardize 6. Quick setup or changeover of tooling and fixtures is associated with ______. a. Visual controls b. Single minute exchange of dies c. 5Ss d. Six sigma 7. Total production maintenance (TPM) a. Puts total responsibility on maintenance workers b. Puts total responsibility on equipment operators c. Eliminates all down time d. Employees preserve and protect their equipment 8. Total production maintenance (TPM) seeks to do all the following except _____. a. Minimize equipment effectiveness b. Create worker ownership c. Foster continuous improvements efforts d. Enable multiple products in small batches to be run on the same equipment

Chapter 17 – Lean Operating System 9. Quality at the source requires a. Starting with a plan b. Having reliable suppliers c. Doing it right the first time d. Having a good design 10. Toyota classifies waste into seven major categories. Those categories include all of the following except_____. a. Motion b. Ordering c. Inventory d. Waiting 11. Which of the following is least related to a push system? a. Maximum customer responsiveness b. Predefined schedule c. Finished goods inventory d. Based on forecast 12. Which of the following is least related to a pull system? a. Building inventory b. Final assembly schedule c. Real time information d. Sales rate 13. A withdrawal Kanban a. Authorizes production b. Authorizes suppliers to produce c. Authorizes the transfer of an empty container d. Authorizes shipping to customers 14. The number of Kanban cards is dependent on all of the following except. a. Average daily demand rate b. Setup time c. Part waiting time d. Safety stock 15. Which one of the following statements is true concerning Lean Six Sigma? a. Lean principles focused on advanced statistical methods b. Lean principles have been developed over a sixty year plus period of time c. Lean principles include the 5Ss framework and practices d. Six sigma and lean principles are not related – they are separate bodies of knowledge 16. Southwest Airlines illustrates the application of “lean principle” when it a. Reduces airplane turnaroung time at airport gates b. Assigns airplane seats c. Serves all passengers in-flight dinners d. Requires a change of ticket fee for missing a scheduled flight 17. Which one of the following statements are true? a. Postponement is the process of delaying orders from suppliers because it is very difficult to order from geographically dispersed business

Chapter 17 – Lean Operating System b. General Motors supply chain is a good example of a push system c. Dell Computers supply chain is a good example of push system d. Flexibility and responsive service are top priorities compared to low cost in an efficient supply chain 18. Principles of lean operating systems include all of the following except a. Eliminate waste b. Reduce workforce c. Increase speed and response d. Reduce cost 19. Which of the following “lean” ideas is false? a. Activities not adding value are a waste b. Accidents are a form of waste c. A pull system produces waste d. Overproduction is a form of waste 20. Ford Motor Company has decided to switch to a pull system of manufacturing and distribution for its vehicles. Which one of the following is most likely to occur? a. Inventory levels will increase b. Component parts and subassemblies will be replenished only when needed c. Dealer parking lot space will need to be increased d. Finished goods inventory will decrease, but raw materials and work-in-process inventories will increase 21. In a Kanban system, the numerator of the formula K= [d (p + w)(1 + α) ] / C is analogous to a. Demand during the lead time only in a foxed quantity inventory system b. Safety stock only in a fixed period inventory system c. The order up-to-level (M) in a fixed period inventory system d. The reorder point (r) in a fixed quantity inventory system 22. ABC Manufacturing used a Kanban system for a component. The daily demand is 800 units. Each container has a combined waiting and processing time of 0.34 days. If the container size is 50 and efficiency (safety) factor is 9 percent, how many Kanban cards sets should be authorized (round up)? a. 5 sets b. 6 sets c. 7 sets d. 8 sets 23. Which one of the following statement is true? a. The heijunka system is a system of boxes much like in a mailroom set of boxes attached to a wall used to smooth production outputs b. Producing goods early is a principle of lean c. A university publication printed with 100% post-consumer recycled fiber is an example of total productive maintenance practice d. Preventive maintenance is not a part of lean principles and practices...