OPERATION MANAGEMENT MCQs

1. ……….. refers to the transformation of the state of input in to output.

a) Transportation. b) Alteration.
c) Inspection d) all of these

2. …………refers to preserving goods in a protected environment.

a) Alteration b) Inspection
c) Storage d) Bargaining

3. ……………refers to the verification of and confirmation towards the

requirements of an entity.
a) Inspection. b) Pricing.
c)Alteration. d)None of these.

4. …………….is the management of all activities directly related to the

production of goods and services
a) Production management b) Finance control
c) Employee development d) all of these

5. Which of the following statement is not true in the case of goods?

a) Tangibility. b) Can be stored c) Physical shape
d) Intangibility.
6. Which of the following is not an objective of operations management?
a) Customer satisfaction b) Profitability
c)Timeliness d) Employee punishment

7. Which of the following is not a part of scientific management principles?

a) Replacement of rule of thumb b) Scientific selection of employees
c)Supervise each worker in detail d) Coercion

8. All of the following are differences between manufacturing and service

operations EXCEPT
a) Quality is more easily measured in service operations.
b) Productivity is easier to measure in manufacturing operations
c)Contact with customers is more prevalent with persons working in service operations.
d)Accumulation or decrease in inventory of finished products is more applicable to
manufacturing operations.

9. ……………is measure of the quantity of output per unit of input.

a) Productivity b) Marketability
c)Sociability d)None of these

10. ……………………is the sum all the observations and divided by the total
number of observations?
a) median b) Mode
c)Mean d) None of these

11. Lillian and Frank Gilbreth are responsible for principles of

a) Sociotechnical systems b) Zero inventory
c)Motion study d) Interchangeable parts

12. ………………… is the process of randomly inspecting a sample of goods and

deciding whether to accept the entire lot based on the results
a) Statistical process control. b) Acceptance sampling
c)(a) and (b) d)None of these

13. ……………is a system that is used to maintain a desired level of quality in a

product or service.
a) Economic ordering quantity b) Quality control
c)Knowledge management d) Manpower planning

14. Operations management is applicable

a) Mostly to the service sector b) Mostly to the manufacturing sector
c) to manufacturing and service sectors d) To services exclusively

15. The person most responsible for popularizing interchangeable parts in

manufacturing was
a) Eli Whitney b) Whitney Houston
c) Sergio Farmerson d) Lillian Gilbreth

16. The Father of Scientific Management is

a) Frank Gilbreth b) Frederick W. Taylor
c) W. Edwards Deming d) Walther Shewhart

17. Walter Shewhart is listed among the most important people of POM
because of his contributions to
a) assembly line production b) Measuring productivity in the service sector
c)Statistical quality control d) Just-in-Time inventory methods

18. Henry Ford is noted for his contributions to

a) Quality control b) Assembly line operations
c) Scientific management d) Standardization of parts

19. Which of the following is not an objective of operation management?

a) To improve product quality b) To reduce cost of production
c)Material cost control d) Trading on equity

20. Hawthorne studies were related with……..

a) Scientific management b) Human relations movement
c)Marketing management d) None of these
21. Moving of materials from the store room to the machine and from one
machine to the next machine during the process of manufacture is
called…………………
a) VED analysis b) ABC Analysis
c) Material handling d) None of these

22. ………………………..is the term used to describe the set of statistical tools
used by quality professionals for the purpose of quality control
a) accounting standards b) statistical quality control
c) population study d) none of these

23.……………. is the art of applying tests, preferably by the aid of measuring

appliances to observe whether a given item or product is within the
specified limits of variability or not.
a) Inspection b) Planning
c) Leading d) None of these

24. Which of the following is TRUE about business strategies?

a) All firms within an industry will adopt the same strategy.
b) Well defined missions make strategic development much easier.
c) Strategies are formulated independently of SWOT analysis.
d) An organization should stick with its strategy for the life of the business.

25………… is the process of selection of path, which each part of the product
will follow
a) Routing. b) Scheduling
c) Follow-up. d) Dispatching

26…………. Is the fixation of time and date for each operation as well as it
determines the sequence of operations to be followed.
a) Dispatching b) Scheduling.
c) Routing. d) all of these.

27. ……………. is the process of verification or correction in the quality of the

product when the deviations in the quality are found to be more than
expected.
a) Policies b) Quality control
c) Quantity measurement d) None of these
28. Which of the following is true? The impact of strategies on the general
direction and basic character of a company is
a) Long range b) Short ranged
c) Minimal d) Medium range
29. Which of the following is true?
a) Corporate strategy is shaped by functional strategies
b) Corporate mission is shaped by corporate strategy
c) Functional strategies are shaped by corporate strategy
d) External conditions are shaped by corporate mission
30. The fundamental purpose of an organization’s mission statement is to
a) Define the organization’s purpose in the society
b) Define the operational structure of the organization
c) Generate good public relations for the organization
d) Define the functional areas required by the organization

31. Which of the following is not a key way in which business organizations
compete with one another?
a) Production cost b) Product duplication
c) Flexibility d) Quality

32. …………………….. involves determination of the progress of work, removing

bottlenecks in the flow of work and ensuring that the productive operations
are taking place in accordance with the plans
a) Follow up b) Time management
c) Time study d) Time booking

33…………… is the process of setting of productive activities in motion through

release of orders and instructions, in accordance with previously planned
timings.
a) Time study b) Follow up
c) Dispatching d) None of these

34. ………………. is a time-table of operations specifying the time and date

when each operation is to be started and completed.
a) Time study b) Schedule
c) Loading d) None of these

35. ………………. Involves the fixation of path through which work will flow for
manufacturing of goods.
a) Scheduling b) Routing
c) Time study d) None of these

36. ………. is the process of reporting daily progress of work in each shop in a
prescribed proforma and to investigate the causes of deviations from the
planned performance and to take necessary actions
a) Follow up b) Motion study
c) Time study d) all of these

37. Which of the following is an objective of quality control?

a) To produce qualitative items
b) To reduce companies cost through reduction of losses due to defects.
c) To produce optimal quality at reduced price. d) all of these

38……………….. is that aspect of operation management function, which is

concerned with the acquisition, control, and use of materials needed and flow
of goods and services connected with the production process.
a) Materials management b) Division of labour
c) Mass production d) Craft production

39. If inputs decrease while output remains constant, what will happen to
productivity?
a.) It will increase b) It will decrease
c) It will remain the same d) It is impossible to tell

40…………….is the art and science of ensuring that all which occurs is in
accordance with the rules established and the instructions issued in the case
of operations.
a) Operational attack b) operational control
c) Operational summary d) None of these

41……………………… is concerned with deciding in advance what is to be

produced, when to be produced, where to be produced and how to be produced
a) Operational planning b) Operational control.
c) (a) and (b). d) None of these

42. The differences between the actual demand for a period and the demand
forecast for that period is called:
a) Forecast error b) Weighted arithmetic mean
c) Decision process. d) Mean square error

43. All of the following decisions fall within the scope of operations
management EXCEPT for
a) Financial analysis b) Design of products and processes
c) Location of facilities d) Quality management

44. ………………can be defined as the measurements that detect the onset of a

degradation mechanism, thereby allowing causal stressors to be eliminated or
controlled prior to any significant deterioration in the component physical
state
a) Break down maintenance b) Predictive maintenance
c)Past maintenance d)None of these

45. In the case of ……………….. type of maintenance, no actions or efforts are

taken to maintain the equipment as the designer originally intended to ensure
design life is reached.
a) Break down maintenance b) Preventive maintenance
c)(a) and (b) d)None of these.

46. ………………is defined as the combination of tasks that are required to

keep a machine or part of a machine in the desirable condition.
a) Substitution b) Maintenance
c) reduction d) Induction
47. …………. involves systematically recording, analysing and synthesizing the
times required to perform a motion.
a) Method study b) Motion study
c) Time study d) all of these

48. ……………. refers to the manufacturing of large volume of a single or a very

few varieties of products with a standard set of processes
a) Continuous production b) Intermittent production
c) Project production d) None of these

49. ………………. is the process of predicting and defining the long-term and
the short-term capacity needs of an organisation and determining how those
needs will be satisfied.
a) Capacity planning b) Capacity control
c) Staff fixation d) instrumentalization

50………………is a measure the actual level of output for a process or activity

over a period of time.
a) Actual capacity b) Design capacity
c) Maximum capacity d) None of these

51. Production facilities are arranged as per the sequence of production

operations from the first operations to the finished product. This method is
called…………..
a) Process production b) Job production
c) Both of these d) None of these

52. Frederick Winslow Taylor is called;

a) Father of operations research
b) Father of marketing management
c) Father of financial management
d) Father of scientific management

53. In the case of…………………. the products are produced as per the
specifications of the customers within prefixed time and cost.
a) Mass production b) Job production
c)Both of these d)None of these

54………………..is the system in which items are processed in lots and a new lot
is undertaken for production only when the production on all items of a lot is
complete.
a) Job production b) Batch production
c) Mass production d) None of these

55. …………is the capacity that specifies a theoretical upper limit above the
usual rate of routine operations.
a) Maximum capacity b) Effective capacity
c) Actual capacity d) None of these.

56. ……………………………is the highest reasonable output rate which can be

achieved with the current product specifications, product mix, work force,
plant and equipment.
a) Publicity b) Capacity
c) (a) and (b) d) None of these
57. In ………………, machines and other supporting services are located
according to the processing sequence of the product
a) Project lay out b) Product lay out
c) Combination lay out d) None of these
58. The lay out in which production operation is performed in a fixed position
is called………….
a) Project lay out b) Product lay out
c) (a) and(b) d) None of these
59………………. decision is the systematic process of determining a geographic
site for a firm’s operations.
a) Plant location b) Plant layout
c) Product lay out d) none of these
60. The layout in which all the equipment’s performing similar tasks are
grouped together is called…………………..
a) product lay out b) Process lay out
c) Combination lay out d) None of these
61. …………….. is the configuration of departments, work centres and
equipment in the conversion process.
a) Plant lay out b) Plant locations
c) (a) and (b) d) None of these.
62. Which of the following affect the choice of plant location decision?
a) Proximity to markets b) Supply of materials
c) (a) and (b) d)none of these
63. The founder of the scientific management movement was:
a) Frank Gilbreth b) Walter Shewhart
c) Frederick W.Taylor d) Ford Harris

64. The Hawthorne Studies stimulated the development of:

a) The scientific management movement b) The human relations movement
c) The socio-technical movement d) The lean production movement.

65. Walter Shewhart developed:

a). the economic order quantity model b) The human factors engineering field
c)Linear programming models d) Statistical quality control techniques

66. The moving assembly line was developed by:

a). Elton Mayo b) Frederick W. Taylor
c) Clark Gable d) Henry Ford
67……………is used to monitor characteristics that can be measured and have
a continuum of values such as height, weight, volume etc.
a) Control chart of attributes b) Control chart for variables
c) (a) and (b) d) None of these
68……………..is used to monitor characteristics that have discrete values and
can be counted
a) Control chart for variables. b) Control chart for attributes
c)(a) and (b) d) None of these
69. Which of the following is not a control chart for variables?
a) X Chart b) R Chart
c) P Chart d) None of these
70. Which of the following is not a control chart for attributes?
a) P chart b) C chart
c)X chart d) None of these
71.ISO 9000 is a………………….
a) International standard b) National standard
c) Local standard d) None of these
72. In management literature TQM stands for
a) Total quality management b) Total quantity management
c)Total quantity maintenance d) None of these

73………………..is a group of workers from the same area who usually meet to
discuss their problems, investigate, recommend solutions and to corrective
actions
a) Quality problems b) Quality circle
c)Quantify value d) None of these
74.Which of the following is not an objective of quality circle?
a) To improve quality b) To improve productivity
c)Trading on equity d) None of these
75. Which of the following is not a principle of TQM?
a) Customer focus b) Continuous improvement
c)Team approach d) Black marketing
76………………is the systematic recording and critical examination of existing
and the proposed way of doing work as a means of developing effective
methods.
a) Method study b) Time study
c) Time booking d) None of these
77. The costs of all activities incurred to prevent poor quality in products and
services.
a) Prevention cost b) Appraisal cost
c) Failure cost d) None of the above
78. This cost is the cost associated with measuring evaluating, or auditing
products or services to assure conformance to quality standards and
performance requirements
a) Prevention cost b) Appraisal cost
c) Failure cost d) None of the above
79. This cost is the costs resulting from products or services not conforming to
requirements or user needs.
a) Prevention cost b) appraisal cost
c)Failure cost d) None of the above
80.…………… is a graphical tool to analyse and time the small, physical
actions of workers and machine in performing a routine, repetitive, worker machine
task so that idle time can be identified
a) Activity chart b) Metrics
c) (a) and (b) d) None of these
81)…………is the level of output volume for which total cost equals total
revenues
a) Profit b) Breakeven point
c) sales d) all of these
82)……………. is a process of representing each item by a number, the digit of
which indicates the group, the sub-group, the type and the dimension of the
item.
a) Codification b) Classification
c) Duplication d) None of these
83)…………………….is a Manufacturing system utilizing computer software
programs that control the actual machine on the shop floor.
a) complex manufacturing b) Computer aided manufacturing
c) (a) and (b) d) None of these
84)……………is the Japanese concept of continuous improvement in all things.
a) Kaizen b) Marketing myopia
c) (a) and (b) d) None of these
85)……………….. is the process of creating and using mathematical
representations of management problems and organizations to predict
outcomes of proposed courses of action
a) Mathematical modelling b) Physical modelling
c) Service queries d) none of these
86)…………………………is the degree to which the design specifications for a
product or service are appropriate to its function and use, and the degree to
which a product or service conforms to its design specifications
a) Quantity b) Quality
c) Price d) Cost
87)…………………is a process used to determine the maintenance requirements
of any physical asset in its operating context?
a) Reliability Cantered Maintenance b) Preventive cost
c) Unavoidable cost d) None of these
88)…………………………..is the application or techniques designed to establish
the time for a qualified worker to carry out a specified job at a defined level or
performance
a) Work measurement b) Work delay
c) Work atmosphere d) None of these
89)………………………… deals with decision-making related to production
processes so that the resulting goods or services are produced according to
specifications, in the amount and by the schedule demanded and out of
minimum cost.
a) Production management b) Marketing management
c) Finance management d) Capital structure
90)………….is the part of an organization that produces the organization’s
physical goods and services.
a) Operating system b) Marketing system
c) Financial system d) all of these
91. Which of the following records quantity of material only
a) Bin card b) Stores ledger
c) Bill of materials d) None of these
92. Which of the following is used for issuing materials to different production
departments
a) Material requisition b) Purchase requisition
c) Purchase order d) None of these
93. Continuous stock taking is a part of
A) Annual stock taking b) Perpetual inventory
c) ABC analysis d) None of these
94. Stores department issues materials to the production department on the
basis of
a) Goods received note b) Purchase requisition
c) Stores requisition d) Material transfer note
95. Recording of time spent by a worker on different job is called
a) Time keeping b) Time booking
c) Job card keeping d) Job order costing
96. The difference between the actual cost and standard cost is called
a) Profit b) Loss c) Sales d) Variance

97. Quality circle is a group of

a) Operatives b) Supervisors c) Management trainees d) Top management

98. Safety stock is related to

a) Inventory control b) Quality control c) Employee control d)Strategic control
99. ..............is undertaken to find out the one best way of doing the thing
a) Job Analysis b) Merit rating c) Job enrichment d) None
100. The book “Creative Experience was written by ....................
a) Henry Fayol b) F.W. Taylor c) Mary parker Follet d) None of these
101. The concept of Job enrichment is a contribution by........
a) Frederick Herzberg b) F.W.Taylor c) C.K. Prahlad d) Peter F. Drucker
102…………… is the process of comparing actual performance with the
standard and taking corrective Action.
a) Controlling (b) Management c) Planning d)Co-ordination
103…………………aims at visualizing and identifying deviation before they
actually occur.
a) Predictive control b) Concurrent control
c) Operational Control d) All of these
104.In ---------type of organization, workers receive instructions from various
specialists.
a) Line b) Functional c) Informal d) None
105.……………………..is an organized creative approach which has its
objective, the efficient identification of unnecessary cost—cost which provides
neither quality nor use nor life nor appearance nor customer features.
a) Money chain b) Value analysis c) Supply chain d) None of these
106.……………….. are those materials and equipment’s which have no
immediate use but have accumulated due to faulty planning, forecasting and
purchasing.
a) Surplus items b) Deficit items c) (a) and (b) d)None of these
107…………………………………. is a recording technique for micro motion study.
a) Simultaneous Motion Cycle chart b) Simultaneous Master Cycle Chart
c) (a) and (b) d) None of these
108……………….is a priority rule that gives top priority to the waiting job
whose operation time at a work center is shortest.
a) Material shortage b) Shortest-processing-time rule
c) (a) and (b) d) None of these
109…………………….is the process of testing the feasibility of master
production schedules in terms of capacity.
a) Rough-cut capacity planning b) Manpower planning c) Financial planning
d) all of these
110.…………………. involves the activities relating to procuring materials and
supplies consumed during production
a) Selling b) Pricing c) Purchasing d) Distributing
111.The risk or probability of incorrectly concluding that the conversion
process is out of control.
a) Type 1 error b) Type 2 errors c) (a) and (b) d) None of these
112.Operation process chart is also called as…………………………..
a) Online chart b) Outline process chart c) (a) and (b) d) None of these
113. It is a chart where activities of more than subject (worker or equipment)
are each recorded on a common time scale to show their inter-relationship.
a) Single activity chart b) Multiple activity charts c) Charting d) None of these
114)……….…is an assigning job to work centres without considering the work
centre’s capacity
a) Infinite loading b) Finite loading c) (a) and (b) d) None of these

115………………………is the analysis and comparisons of items to group them

into families with similar characteristics
a) Mass technology b) Group Technology c) Independent technology d) None of these

116……………………is one that is capable of producing a variety of products (or

parts) with virtually no time lost for changeovers form one product to the next.
a) A flexible automated system b) A fixed automated system
c) (a) and(b) d) None of these

117)Fixed position layout is also called as…………………. of layout

a) Project type b) Product type c) (a) and(b) d) None of these

118)is an information management system that connects all departments and

disciplines within a company making them an integrated unit.
a) Enterprise asset management b) Entrepreneurship development
c) Manpower planning d) None of these

119)………………………is a Computer software programs that allow a designer

to carry out geometric transformations rapidly.
a) Tally b) Computer-aided design c) (a) and(b) d) None of these

120…………….. is the arrangement of a facility so that equipment used to make

similar parts or families of parts is grouped together.
a) Cellular layout b) Product lay out c) (a) and (b) d) None of these

121……………is a graphical and algebraic representation of the relationships

among volume of output, cost, and revenues.
a) Break mechanism b) Break-Even Analysis c) Fixed analysis d) None of these

122……………...is a technology concerned with the application of mechanical,

electronic, and computer based systems to operate and control production
a) Automation b) Manpower c) Motivation d) Supervision

123.Specialization of labour in manufacturing is associated with

a) Henry Fayol b) Eli Whitney & others c) Charles Babbage d) Frederick
W.Taylor

124.Interchangeable parts, cost accounting is associated with

a) Adam Smith b) Eli Whitney & others c) Charles Babbage d) Frederick W. Taylor

125.Division of labour by skill; assignment of jobs by Skill; basics of time

study are contributed by
a) Adam Smith b) Eli Whitney & others c) Charles Babbage d) Frederick W. Taylor

126.Scientific management, time study and work study are associated with
a) Adam Smith b) Eli Whitney & others c) Charles Babbage d) Frederick W. Taylor

127.Motion of study of jobs in production management is contributed by

a) Frank B. Gilbreth b) Henry L. Gantt c) F.W. Harris d) Elton Mayo

128.Scheduling techniques for employees, machines Jobs in manufacturing

are associated with
a) Frank B. Gilbreth b) Henry L. Gantt c) F.W. Harris d) Elton Mayo

129.Economic lot sizes for inventory control is developed by

a) Frank B. Gilbreth b) Henry L. Gantt c) F.W. Harris d) Elton Mayo

130.Human relations; the Hawthorne studies is developed by

a) Frank B. Gilbreth b) Henry L. Gantt c) F.W. Harris d) Elton Mayo

131.Statistical inference applied to product quality: quality control charts are

contributed by
a) W.A. Shewart b) H.F. Dodge & H. G. Roming c) P.M. Blacker& others
d)John Mauchlly and J.P.Eckert

132.Inspection sampling plans is developed by

a) W.A. Shewart b) H.F.Dodge&H.G.Roming
c) P.M. Blacker & others d) John Mauchlly and J.P. Eckert

133.Operations research applications in world war II is contributed by

a) W.A. Shewart b) H.F. Dodge & H. G. Roming
c) P.M. Blacker & others d) John Mauchlly and J.P. Eckert

134.Digital Computer is associated with

a) W.A. Shewart b) H.F. Dodge & H. G. Roming
c) P.M. Blacker & others d) John Mauchlly and J.P. Eckert

135. Which of the following is not an input in production system

a) Men b) Material c) Money d) Competition

136. Which of the following is a part of production system?

a) Input b) Output c) Transformation process d) all of these

137. Operations management is part of

a) Management science b) Natural science c) (a) and (b) d) None of these

138. Resources are in the form of…………

a) Human b) Material c) Capital d) all of these

139. Which one of the following is not a part of production planning and
control?
a) Follow-up
b) Financial leverage
c)Routing
d)Scheduling

140. Which one of the following is not an objective of materials management?

a) To minimise material cost.
b) To purchase, receive, transport and store materials efficiently.
c) To reduce material costs through simplification, standardisation
d) To fix cash dividend

141. Which one of the following is an objective of maintenance management?

a) To reduce breakdown of machineries
b) To keep the machines and other facilities in a good condition.
c) To keep the plant in good working condition
d)all of these
142. Operation management department has interaction with
a) Finance department b) Marketing department c) (a) and (b) d) None of these
143. Which of the following factors affect the choice of manufacturing process?
a) Product characteristics b) Requirements of customers
c) Availability of capital d) all of these

144. Which of the following is a production system?

a) Continuous System b) Intermittent System c) Project systems d) all of these

145. Which of the following is a characteristic of intermittent production

system?
a) The flow of production is intermittent.
b) The volume of production is generally small.
c)A wide variety of products are produced.
d) all of these

146. Which of the following is incorrect in the case of job production?

a) More variety of products is manufactured as per customer’s requirements.
b) Volume of production is large.
c) Highly skilled employees are required who can take up each job as a challenge.
d) Detailed planning is essential for sequencing the requirements of each product.

147. Which of the following is an advantage of job production?

a) It tries to satisfy the unique requirements of customers.
b) Employees will become more skilled,
c) Full potential of employees can be utilised.
d)all of these

148. Which of the following is a limitation of job production system?

a) Higher cost due to frequent set up changes.
b) Higher level of inventory at all levels and it results in higher inventory cost.
c) Production planning is complicated.
d)all of these

149. Which of the following is a part of product life cycle

a) Introduction phase b) Growth phase c) Saturation phase d) all of these

150)…………….is the process of careful step by step of dismantling of existing

product in order to understand its unique underlying concepts
a) Reverse engineering b) Civil engineering c) (a) and (b) d) None of these

151……………refers to the development of the concept or idea of a product in

terms of specifications which are required for transforming the idea in to
product
a) Product design b) Product development c) (a) and (b) d) None of these
152………………… refers to the process of creating new products or modifying
the existing ones within a predetermined time frame and cost price
a) Product design b) Product development c) Market development d) None of these

153. Which of the following technique is employed for measuring work

a) Time study b) Work sampling c) Predetermined motion time studies d) all of these

154…………………is the process of determining which job to start first and in

what order other jobs should be processed on the machine or in work centre
a) Job sequencing b) Priority rules c) Batch production d) None of these

155. Which of the following factors affect capacity planning?

a) Type of product b) Type of process c) Skill level of workers d) all of these

156. Which of the following is an objective of scheduling?

a) meet due dates b) Minimise lead time
c) Minimise setup time and set up cost d)all of these

157……………….is a time table for performing activities utilizing resources or

allocating activities
a) Scheduling b) Engineering c) Reporting d) Communication

158……………………..starts from some data in the future and schedules the

required operations in reverse sequence
a) Scheduling b) Backward scheduling c) Forward scheduling d) all of
these

159.In this sampling plan, the inspection results of two sample sizes are used
to decide whether to accept or reject the complete lot.
a) Single sampling plan b) Double sampling plan
c) Questionnaire d) Census investigation

160. Which of the following is a part of cost of quality?

a) Prevention cost b) Appraisal cost c) Failure cost d) all of these

161. Which of the following is an objective of quality assurance?

a) To improve quality b) To reduce cost c) to increase productivity d)all of these

162. Which of the following is material handling equipment?

a) Hand truck b) Pulley blocks c) Conveyors d) all of these

163. Which of the following is a way of codification?

a) Numerical code b) Mnemonic code c) alpha-numeric code d) all of these

164.The process of buying large quantities of items when its price is low so
that tentative profits can be obtained by selling them at higher prices is
called……………..
a) Speculative purchasing b) Group purchasing
c)Tender purchasing d)None of these

165. Which of the following is a function of purchasing department?

a) Receive purchase requisition b) Supplier selection
c) Order placement d) all of these

166……………………….is the quantity that should be carried by the company

so that production is not affected before the next deliver arrives.
a) Minimum stock level b) Maximum stock level c) Re order level d) all of these

167.VED Analysis is related with

a) Materials b) Spare parts c) Labour d) Overheads

168. Which of the following cost is associated with inventories?

a) Carrying cost b) Ordering cost c) Over stocking cost d) all of these

169. Which of the following factor affects the choice of the plant location
selection decision?
a) Capital requirement. b) Government policy c) Climate conditions d) all of these

170.Locating the plant nearer to the market is preferred if:

a) The products are subject to spoilage.
b) After sales services are promptly required very often.
c) (a) and (b) d) None of these

171.Which of the following is the objective of plant layout

a) Streamline the flow of materials through the plant.
b) Facilitate the manufacturing process.
c) Minimise materials handling cost.
d) all of these

172.Industrial buildings may be grouped under

a) Single-storey buildings, b) Multi-storey buildings
c) (a) and (b) d) None of these

173. Which of the following is not an advantage of single story building?

a) There is a greater flexibility in layout.
b) Expansion is easily ensured by the removal of walls.
c) low cost of transportation and material handling charges
d) More land is required for building construction

174. Which of the following is not a limitation of multi-story building?

a) Materials handling becomes very complicated.
b) A lot of floor space is wasted on elevators, stairways and fire escapes.
c) Natural lighting is poor
d) Less land is required

175. Which of the following is not a quality of good plant layout?

a) To reduce material handling cost
b) To provide enough production facility
c) To reduce labour efficiency
d) To provide ease of supervision

176.Which of the following is not an objective of good plant layout?

a) To improve productivity b) To provide safety to employees
c)To increase the number of accidents d) to provide easy supervision

177. Which of the following is not an objective of MRP?

a) Reduction in inventory cost b) Meeting delivery schedule
c) Improve the performance of production d)To decrease production efficiency

178.Which of the following is not an Objective of material handling?

a) To reduce material handling cost b) To increase production life cycle
c) Better control of the flow of material d) To ensure safety in the movement of goods

179. Which of the following is not a Rule for material handling?

a) Make handling distances as short as possible
b) Use right method and proper material handling
c)Promote wasteful material handling methods
d) Use mechanical equipment’s wherever it is useful

180.Which of the following is a Rule for material handling?

a) Make handling distances as short as possible
b) Use right method and proper material handling
c) Eliminate wasteful material handling methods
d) all of these

181.Which of the following is the objective of motion study?

a) To eliminate all non-productive and ineffective motions.
b) To develop more effective and productive patterns of movements
c) (a) and (b)
d) None

182. Which of the following is not a technique of work measurement

a) Time study b) Amalgamation c) Work sampling
d). Predetermined motion and time study

183. Which of the following is a Production Planning?

a) Factory Planning, b) Process Planning c) Operation Planning d) all of these

184.In ……………………. the operations are located and the sequence of these
operations in the production is determined
a) Factory Planning, b) Process Planning c) Operation Planning d) None of these

185.………………..is concerned with planning the details of the methods

required to perform each operation
a) Factory Planning, b) Process Planning c) Operation Planning d) None of these

186.………… is the art and science of ensuring that all which occurs is in
accordance with the rules established and the instructions issued
a) Operational plan b) Operational policy c) Operational mission d) Operational control

187. Dispatch provides official authorization for

a) Movement of materials to different work stations,
b) Movement of tools and fixtures necessary for each operation,
c)beginning of work on each operation,
d) all of these

188. Which of the following is not an objective of quality circle?

a) To improve quality b) To improve productivity
c)Employee retrenchment d). none of these

189. Which of the following is not a principles’ of TQM?

a) Customer focus b) Continuous improvement
c)Team approach d) Producer focus

190. Which one of the following is not an objective of materials management?

a) To maximise material cost.
b) To purchase, receive, transport and store materials efficiently.
c) To reduce material costs through simplification, standardisation
d) To minimise material cost

191. Which one of the following is not an objective of maintenance

management?
a) To reduce breakdown of machineries
b) To keep the machines and other facilities in a bad condition.
c) To keep the plant in good working condition
d) all of these

192. Which of the following is not a characteristic of intermittent production

system?
a) The flow of production is intermittent.
b) The volume of production is generally small.
c) A single product is manufactured in bulk.
d) None of these

193. Which of the following is an input in manufacturing system?

a) capital b) Material c) Human resource d) all of these
194. Which of the following is not a part of production system?
a) Input b) Output c) Transformation process d) Politics

195.Which of the following is not a part of product life cycle stage?

a) Introduction phase b) Competition phase
c) Maturity and saturation phase d) None of these

196. Which of the following is not an objective of quality assurance?

a) To reduce the quality b) To reduce cost c) To increase productivity
d) all of these

197. Which of the following is not a function of purchasing department?

a) Receive purchase requisition b) Supplier selection
c) Order placement d) Employee selection

198. Which of the following is not the objective of plant layout?

a) Streamline the flow of materials through the plant.
b) Facilitate the manufacturing process.
c) Enhance materials handling cost.
d) None of these

199. Which of the following is not an objective of operation management?

a) To reduce product quality
b) To reduce cost of production
c) Material cost control
d) None of these

200.Which of the following is not an objective of quality control?

a) To produce qualitative items
b) To reduce companies cost through reduction of losses due to defects.
c) To enhance quality variation among same product category.
d)None of these