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Businesses use three fundamental processes: procurement, production, and fulfillment.

A) True
B) False

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Warning signs of deteriorating process management conditions include ________ and ________.

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Describe some warning signs of deteriorating process management conditions.

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Some warning signs of deteriorating proc...

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What are the principles of the theory of constraints?

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The Theory of Constraints (TOC) is a man...

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The average inventory in a process is the average number of units that are inside the process at any time.

A) True
B) False

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Students typically need to see an academic advisor, followed by a departmental advisor, and then the registrar before being processed for graduation. The academic advisor and departmental advisor can each serve 10 students per hour while the registrar can serve only 5 students per hour. Which of the following statements regarding this system is true?


A) If the academic advisor operates at full capacity, then there is a waiting line at the departmental advisor.
B) The entire system is capable of processing 25 students per hour.
C) The registrar is the bottleneck in this system.
D) The advisors are the bottlenecks in the system.

E) A) and C)
F) A) and B)

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Process management can best be described by which one of the following statements?


A) Process management can only be applied to production-type facilities.
B) Process management is only concerned with improving the output of the firm.
C) Process management is a short-term decision because it can be repeatable.
D) Process management is best suitable for standardized outputs.

E) B) and D)
F) B) and C)

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A process delivers output of consistent quality and value, in small volumes.

A) True
B) False

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Process capacity is the effective capacity of a process that can be sustained under normal working conditions.

A) True
B) False

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Explain why a bottleneck limits the output of a process.

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A bottleneck in a process is a point whe...

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According to the theory of constraints (TOC) , bottlenecks can be attributed to all of the following constraints except


A) policy
B) payment
C) internal
D) external

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

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The work step with the lowest capacity is called the ________.

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Process management is important to a business because it affects the ________.

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Which one of the following statements concerning processes is not correct?


A) Processes are an organized sequence of work steps.
B) Processes are repeatable.
C) Processes span different functions and multiple organizations.
D) Processes are customized work steps.

E) None of the above
F) A) and B)

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A process is stable if


A) the average inflow rate would be equal to the average outflow rate
B) the average inventory rate is close to zero
C) the average rate of arrival or demand is lower than the process or service capacity
D) the average rate of arrival or demand is higher than the process or service capacity

E) B) and C)
F) C) and D)

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Given the following process flow diagram, which of the following actions would have the greatest effect on throughput? Given the following process flow diagram, which of the following actions would have the greatest effect on throughput?   A)  Increase the throughput rate at WorkStation B to 12 units/hr. B)  Decrease the processing time at WorkStation A to 5 minutes. C)  Decrease the processing time at WorkStation D to 5 minutes. D)  Increase the throughput rate at WorkStation C to 12 units/hr.


A) Increase the throughput rate at WorkStation B to 12 units/hr.
B) Decrease the processing time at WorkStation A to 5 minutes.
C) Decrease the processing time at WorkStation D to 5 minutes.
D) Increase the throughput rate at WorkStation C to 12 units/hr.

E) A) and D)
F) B) and C)

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Process management decisions are both strategic and operational in nature.

A) True
B) False

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During peak times, Bellville County Department of Motor Vehicles can process an average of 120 customers per hour. Each customer takes about 5 minutes to complete their transaction. On average how many customers are waiting in line?


A) 24 customers
B) 12 customers
C) 2 customers
D) 10 customers

E) A) and B)
F) None of the above

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Managing a process involves planning, analyzing, and improving the process.

A) True
B) False

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