Production Activity in Engineering Positions

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Questions and Answers

Which formula represents the Economic Order Quantity (EOQ)?

$rac{RI}{S}$

$rac{2RS}{I}$ (correct)

$rac{RS}{2I}$

$rac{IS}{2R}$

What does the break-even point formula $rac{F}{S-V}$ determine?

Total variable costs

Number of units sold (correct)

Total fixed costs

Price per unit sold

Which of the following is NOT a step in Production Planning and Control?

Marketing (correct)

Dispatching

Scheduling

When should variable costs be reduced based on expected sales?

When total costs are less than existing total costs Signup and view all the answers

Which of the following represents fixed costs in a business?

Insurance premiums Signup and view all the answers

What is the primary goal of Production Planning and Control?

To balance idle resources and idle inventory. Signup and view all the answers

In the total cost formula $TC = F imes U V$, what does 'F' represent?

Fixed costs Signup and view all the answers

Which of the following describes 'average inventory' in the context of inventory management?

Half of the order quantity (Q/2) Signup and view all the answers

What is the primary factor in determining whether to build a single-story or multi-story plant?

The type of product to be made Signup and view all the answers

Which layout is best suited for a job-shop environment where many different products are produced?

Process Layout Signup and view all the answers

What type of inventory refers to materials that are ready for shipping and sale?

Finished Goods Signup and view all the answers

Which of the following plant layouts would be most appropriate for products requiring similar processing equipment?

Group Technology Signup and view all the answers

What does Economic Order Quantity help minimize?

Inventory costs Signup and view all the answers

Which option is NOT a consideration when selecting a plant location?

Employee satisfaction Signup and view all the answers

In which plant layout do products remain stationary while processes are brought to them?

Fixed Product Layout Signup and view all the answers

What type of inventory consists of unfinished products that are still under manufacturing?

Work in Process Signup and view all the answers

What is the primary responsibility of the Plant Engineer?

Running the support services of the plant Signup and view all the answers

Which engineer is primarily focused on designing maintenance criteria?

Maintenance Engineer Signup and view all the answers

What is a key objective of Facility Planning?

To determine how the manufacturing facility best supports production Signup and view all the answers

Which of the following is NOT a component involved in planning manufacturing facilities?

Transportation network analysis Signup and view all the answers

In the hierarchy of engineering positions, who is in charge of all activities related to the product?

Plant Production Manager Signup and view all the answers

Which position is responsible for analyzing quality problems and their prevention?

Quality Manager Signup and view all the answers

What does the process of Facility Location primarily involve?

Choosing the most appropriate geographical location based on business needs Signup and view all the answers

Which engineering role is responsible for plant layout and time-motion analysis?

Industrial Engineer Signup and view all the answers

Study Notes

Planning Production Activity

The aim is to understand typical production activities and decisions related to engineering positions.

Engineering Positions in Production

Plant Manager: Overall plant manager overseeing all activities.
Plant Engineer: Responsible for support services, not product-specific. This includes:
- Design Engineer: Designs and implements small plant and equipment changes, and specifications for larger changes.
- Maintenance Engineer: Designs and specifies maintenance criteria.
Plant Production Manager: Manages activities directly related to the product, including production equipment. Their staff handles maintenance.
Utilities: Manages all utility needs of the plant.
Housekeeping: Manages general housekeeping and associated support activities.
Security: Manages all security aspects.
Industrial Engineer: Manages plant layout, time-motion analysis, and standards.
Quality Manager: Handles quality issues.
Quality Control: Analyzes and prevents quality problems.
Inspection: Determines if products meet specifications.

Planning Manufacturing Facilities

Objective: To determine how the manufacturing facility best supports production.
Involves:
- Location Determination: Determining the optimal location considering transportation costs, manpower availability, costs, utilities, taxes, tariffs, and supplier location.
- Component Determination:
  - Structure: The building and support services (utilities, transportation).
  - Layout: Production areas, support services, personnel areas.
  - Handling Systems: Managing materials, personnel, information, and equipment.
  - Facility Layout: Determining the layout required for each need.

Facility Location

The process of choosing a suitable location for a facility.
Steps:
- Establish the need for a new facility.
- Determine the best geographical location based on factors like transportation costs, manpower availability, costs, utilities, taxes, tariffs, and supplier location.
- Establish requirements(products, equipment, building needs, utilities).
- Screen potential locations.
- Select the best location.
- Build the plant.

Plant Design

Decisions on plant design (single-story vs. multi-story, concrete vs. steel construction) depend on the product and its production methods.

Plant Layout

Four main types:
- Product Layout: Arranges machines/personnel in sequence of production for efficient product flow.
- Process Layout: Groups similar machines/activities together for versatile production of different products.
- Group Technology Layout: Groups products with similar processing for efficient use of equipment.
- Fixed-Position Layout: Product remains fixed, and processes are brought to it.

Types of Inventory

Raw Materials: Materials requiring processing.
Purchased Parts: Components not needing processing.
Supplies: Consumable materials.
Work in Process: Unfinished products.
Finished Goods: Completed products.

Economic Order Quantity (EOQ)

The optimal reorder amount to minimize inventory costs.
Formula given, with variables representing annual inventory need, storage cost per unit, setup cost for ordering, and other relevant factors.

Break-Even Charts

The point where costs equal total revenues.
Fixed Costs: Independent of production level (Lease, insurance).
Variable Costs: Vary directly with production level (Direct labor, material).

Production Planning & Control (PPC)

Balancing idle resources and idle inventory. Key is to maintain enough inventory for worker productivity and prevent overly large idle inventories.
Steps in planning production:
- Process Planning: Determining steps in production.
- Loading: Time on each machine to process parts.
- Scheduling: Setting specific time for tasks.
- Dispatching: Authorizing task commencement.
- Production Control: Monitoring and adjusting the plan.

Planning and Control Systems

Materials Requirements Planning (MRP): Schedules raw materials and parts, and production operations for on-time product delivery.
Master Production Schedule (MPS): Defines the production plan.
Bill of Materials: Lists necessary materials.
Order Schedules: Determines material order timing to maintain availability.
Manufacturing Resource Planning (MRP II): Extends MRP to include scheduling machinery and personnel.

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Description

This quiz explores typical production activities and key engineering positions in a manufacturing plant. Learn about the roles and responsibilities of various professionals such as plant managers, engineers, and quality managers. Enhance your understanding of the intricate dynamics of production environments.