CHAPTER 16: JUST-IN-TIME AND LEAN PRODUCTION SYSTEMS

TRUE/FALSE

1. TPS stands for Toyota Production System.
True (Just-in-time, the Toyota production system, and lean operations; easy)

2. TPS stands for Total Production Streamlining.
False (Just-in-time, the Toyota production system, and lean operations; easy)

3. Product storage is an example of waste, in the sense that no value is added.
True (Just-in-time, the Toyota production system, and lean operations; moderate)

4. In a JIT system, product inspection adds value by identifying defective items.
False (Just-in-time, the Toyota production system, and lean operations; moderate)

5. Customer demand will always remain an unknown, so it is not considered a source of variation.
False (Just-in-time, the Toyota production system, and lean operations; moderate)

6. Variability in manufacturing can occur because engineering drawings or specifications are
incomplete or inaccurate.
True (Just-in-time, the Toyota production system, and lean operations; moderate)

7. A push system means providing the next station with exactly what is needed when it is needed.
False (Just-in-time, the Toyota production system, and lean operations; moderate)

8. Waste is anything that does not add value, such as storage or inspection of items; waste also
includes any activity that does not add value from the consumer's perspective.
True (Just-in-time, the Toyota production system, and lean operations; moderate)

9. Increasing inventory exposes variability in production processes.
False (Just-in-time, the Toyota production system, and lean operations; moderate)

10. JIT brings about competitive advantage by faster response to the customer regardless of cost.
False (Just-in-time (JIT), moderate)

11. One goal of JIT partnerships is the removal of in-plant inventory by delivery in small lots directly to
the using department as needed.
True (Just-in-time (JIT), easy)

12. Many suppliers feel that having a variety of customers is better than being tied to long-term
contracts with one customer.
True (Just-in-time (JIT), moderate)

13. JIT suppliers have concerns that the JIT firm's demands for small lot sizes are simply a way of
transferring holding cost from manufacturer firm to the supplier firm.
True (Just-in-time (JIT), moderate)

14. Reducing distance is a common JIT goal.
True (JIT layout, moderate)

15. Cross-training is a common JIT tactic to improve flexibility.
True (JIT layout, moderate)

16. JIT systems carry inventory just in case something goes wrong.
False (JIT inventory, moderate)

17. Hidden problems are generally uncovered during the process of reducing inventory.
True (JIT inventory, moderate)

18. Lower average inventory is feasible only if setup times are short.
True (JIT inventory, moderate)

19. If setup times and costs can be reduced enough, the JIT ideal of "Lot Size = 1" can be achieved.
True (JIT inventory, moderate)

20. A scheduler may find that freezing the portion of the schedule closest to the due dates allows the
production system to function and the schedule to be met.
True (JIT scheduling, moderate)

21. The first step in reducing setup times is the separation of setup into preparation activities and
actual setup, so that as much work as possible can be done while the machine or process is
operating.
True (JIT inventory, easy)

22. Level scheduling means producing at a constant rate, regardless of customer demands.
False (JIT scheduling, easy)

23. With level schedules, a few large batches, rather than frequent small batches, are processed.
False (JIT scheduling, moderate)

24. The number of kanbans decreases as safety stock is increased.
False (JIT scheduling, easy) {AACSB: Communication}

25. A kanban system requires little variability in lead time because shortages have their impact on the
entire productive system.
True (JIT scheduling, moderate) {AACSB: Communication}

26. Inventory has only one positive aspect, which is availability; inventory has several negatives,
including increased material handling, obsolescence, and damage.
True (JIT scheduling, moderate)

27. The quality management tool called poka-yoke is not relevant to JIT systems.
False (JIT Quality, moderate)

28. Employee empowerment is unnecessary in the Toyota Production System, because automation and
powerful information systems reduce the need for employee creativity and decision making.
False (Toyota production system, easy)

29. The Toyota Production System requires that activities have built-in, automatic tests so that gaps
between expectations and actuality are immediately evident.
True (Toyota production system, easy)

30. The 5S'ssort/segregate, simplify/straighten, shine/sweep, standardize, and sustain/self-
disciplineare important to lean production because they act as a means to reduce waste.
True (Just-in-time, the Toyota production system, and lean operations; easy)

31. When implemented as a comprehensive manufacturing strategy, JIT, TPS, and lean systems sustain
competitive advantage and result in increased overall returns.
True (Just-in-time, the Toyota production system, and lean operations; moderate)

32. Because most services cannot be inventoried, there is little place for JIT to help service
organizations achieve competitive advantage.
False (Lean operations in services, moderate)

MULTIPLE CHOICE
33. What does TPS stand for?
a. Total Production Streamlining
b. Toyota Production System
c. Taguchis Production Ss
d. Total Process Simplification
e. None of the above
b (Just-in-time, the Toyota production system, and lean operations; easy)

34. Which of the following is generally found in most JIT environments?
a. a push or pull system, depending upon the rate of demand
b. a push system for high margin items and a pull system for low margin items
c. a push system for purchased parts and a pull system for manufactured parts
d. push systems
e. pull systems
e (Just-in-time, the Toyota production system, and lean operations; moderate)

35. Which one of the following is not a benefit of the implementation of JIT?
a. cost reduction
b. variability increase
c. rapid throughput
d. quality improvement
e. rework reduction
b (Just-in-time (JIT), easy)

36. Which of the following is not a reason for variability?
a. Employees, machines, and suppliers produce units late.
b. Customer demand is unknown.
c. Employees, machines, and suppliers produce units that conform to standards.
d. Engineering drawings are inaccurate.
e. Drawings or specifications are incomplete.
c (Just-in-time, the Toyota production system, and lean operations; easy)

37. Which of the following is specifically characterized by a focus on continuous improvement, respect
for people, and standard work practices?
a. Just-in-time (JIT)
b. Toyota Production System (TPS)
c. Lean operations
d. Material requirements planning (MRP)
e. kanban
b (Just-in-time, the Toyota production system, and lean operations; moderate)

38. Which of the following is specifically characterized by continuous and forced problem solving via a
focus on throughput and reduced inventory?
a. Just-in-time (JIT)
b. Toyota Production System (TPS)
c. Lean operations
d. Material requirements planning (MRP)
e. kanban
a (Just-in-time, the Toyota production system, and lean operations; moderate)

39. Which of the following statements regarding a pull system is true?
a. Large lots are pulled from upstream stations.
b. Work is pulled to the downstream stations before it is actually needed.
c. Manufacturing cycle time is increased.
d. Problems become more obvious.
e. None of the above is true of a pull system.
d (Just-in-time, the Toyota production system, and lean operations; moderate)

40. Manufacturing cycle time is best defined as the
a. length of the work shift, expressed in minutes per day
b. time it takes a unit to move from one workstation to the next
c. time between the start of one unit and the start of the next unit
d. sum of all the task times to make one unit of a product
e. time from raw materials receipt to finished product exit
e (Just-in-time, the Toyota production system, and lean operations; moderate)

41. If the goals of JIT partnerships are met, which of the following is a result?
a. For incoming goods, receiving activity and inspection are outsourced.
b. In-transit inventory falls as suppliers are located closer to facilities.
c. The number of suppliers increases.
d. In-plant inventory replaces in-transit inventory.
e. All of the above are consequences of meeting the JIT partnership goals.
b (Just-in-time (JIT), moderate)