103. Which of the following is an example of a TQM initiative? - ANSWER-c. Quality
Function Deployment Effort
104. Within the process management initiatives, concurrent engineering - ANSWER-d.
reduces R&D cycle time.
105. The situation analysis consists of ______ parts. - ANSWER-5
106. The situation analysis is - ANSWER-a. a team exercise.
b. designed to help your group understand the current market conditions.
c. designed to help your group understand how the industry will evolve over the next 8
years.
d. a five part analysis.
107. Which three customer groups "ride the wave of technology" and are considered to
be in the high technology segments? - ANSWER-a. Performance, High End, and Size
108. When plotting the segment locations for each round - ANSWER-a. the goal is to
determine the ideal spot location for each segment during the 8 years.
109. Which of the following questions is answered by the demand analysis? -
ANSWER-c. Are the market segments growing at the same rate?
11. On perceptual map, the percentage of customers interested in a product positioned
outside of the rough cuts of that product is - ANSWER-0%
110. Two points that should be considered in your strategy are - ANSWER-c. it is easy
to confuse unit market size with dollar market size.
,111. What is the total cost in dollars for adding 1.0 million units of capacity to a
production line with an automation level of 1.0 and floor space costs per unit of $6?
Assume automation costs per unit of $4. - ANSWER-b. $10 million
1 000 000 (6 +4*1) = 10 000 000
112. If you are currently producing 100,000 units and your automation level is 10, how
much will it cost you to double your capacity? - ANSWER-b. $4,600,000
100 000 (6 + 4*10) = 4 600 000
113. What is the right formula for capacity investment? - ANSWER-d. Investment =
Capacity x [$6 + ($4 x Automation)]
114. If your current capacity is 10,000 units and your automation level is 5.0, what is the
difference of the investment between doubling your capacity and doubling your
automation level? - ANSWER-a. $60,000
115. If you are currently producing 100,000 units at an automation level of 5, how much
would it cost to maximize automation? - ANSWER-c. $2,000,000
100 000 * 4 *(10 -5) = 2 000 000
116. As a manager you need to change the automation level of your segment from 2 to
5. The line has a capacity of 2 million. How much would it cost? - ANSWER-b. $24
million
2 000 000 * (5-2) *4 = 24 000 000
117. Rapid movement of an existing product on the Perceptual Map requires -
ANSWER-b. low automation levels.
118. If a product's Price was $20, its Material $8, and its Labor $7, the Margin Per Unit
would be: - ANSWER-d. $5.
20 - (8 + 7) = 5
119. If the price/product is $10 and the material cost/product is $2 and the labor
cost/product is $3, what is the margin/product? - ANSWER-e. none of the above
10 - (2 + 3) = 5
12. MTBF is measured in - ANSWER-b. hour increments.
, 120. In the Capstone® simulation, what are the components of a product's minimum
material cost? - ANSWER-b. Reliability component cost and positioning component cost
121. The reliability component cost of a product with a 17,000 hour MTBF rating is: -
ANSWER-a. $5.10.
17 000 * 0.3 /1 000 = 5.1
122. The best case margin potential for a product with a top price of $30 and a minimum
cost of goods sold of $15 is: - ANSWER-a. $45.
b. $2.
c. $450.
d. $.50.
e. none of the above. <---------
123. A point or some points you consider for your strategy are - ANSWER-a. strive to
give your customers the top two buying criteria.
b. the perceptual map is more important as a rough cut consideration than a fine cut
distinction.
c. maximize the effectiveness of R&D, to achieve higher demand you must have a
substantially better offer, it does not matter how good your product is if you stock out.
124. In Capstone®, the spreadsheets allow team members to - ANSWER-a. make
changes to variables.
b. observe the results of changes made to variables.
125. Each of the spreadsheets - ANSWER-a. work independently.
b. depend on values entered in other spreadsheets.
126. New products are created on which spreadsheet? - ANSWER-b. Research and
Development
127. Using the R&D Spreadsheet to design your products, you have which of the
following projects to choose from? - ANSWER-a. Repositioning
b. Invention
c. Reliability adjustment
128. What is the minimum amount of time that it takes to create a new product? -
ANSWER-c. 1 year
129. What are the drivers of Material Costs? - ANSWER-a. Higher performance
b. Smaller size
c. Higher Mean Time Between Failure (MTBF)
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