QUESTIONS AND ANSWERS

*Topic 1: Tendering Evaluation*

1. Q: What is the primary objective of tendering evaluation?

A: To select the best supplier or contractor for a project.

2. Q: What are the key factors to consider when evaluating tenders?

A: Price, quality, delivery time, and contractor’s experience and reputation.

3. Q: How do you calculate the total cost of a tender?

A: Total cost = (price x quantity) + (delivery cost + other expenses)

4. Q: What is the difference between a tender and a quote?

A: A tender is a formal offer to supply goods or services, while a quote is an

informal estimate of the cost of a project.

5. Q: How do you evaluate the technical capability of a tenderer?

A: By reviewing their experience, qualifications, and references.

6. Q: What is the purpose of a tender evaluation committee?

A: To evaluate tenders objectively and select the best supplier or contractor.

7. Q: How do you ensure transparency and fairness in the tender

evaluation process?

A: By using a clear and objective evaluation criteria, and by keeping the

evaluation process transparent and auditable.
*Topic 2: Forecasting Planning*

1. Q: What is the purpose of forecasting in planning?

A: To predict future demand or trends and make informed decisions.

2. Q: What are the different types of forecasting methods?

A: Qualitative methods (e.g. expert opinion), quantitative methods (e.g. time

series analysis), and hybrid methods.

3. Q: How do you calculate the forecast error?

A: Forecast error = (actual value – forecast value) / actual value

4. Q: What is the difference between a forecast and a prediction?

A: A forecast is a prediction based on historical data and trends, while a

prediction is a statement about a future event or trend.

5. Q: How do you evaluate the accuracy of a forecasting model?

A: By using metrics such as mean absolute error (MAE) or mean squared

error (MSE).

6. Q: What is the purpose of a forecasting plan?

A: To outline the forecasting process, identify the data required, and establish
the frequency of forecasting updates.

7. Q: How do you ensure that forecasting is integrated with planning and

decision-making?

A: By involving stakeholders in the forecasting process, using forecasting

outputs to inform planning and decision-making, and regularly reviewing and
updating the forecasting process.
*Topic 3: Scheduling*

1. Q: What is the purpose of scheduling in production planning?

A: To allocate resources and tasks over time to meet production

requirements.

2. Q: What are the different types of scheduling methods?

A: Forward scheduling, backward scheduling, and just-in-time (JIT)

scheduling.

3. Q: How do you calculate the production lead time?

A: Production lead time = (production time + inspection time + packaging

time) + (transportation time + delivery time)

4. Q: What is the difference between a schedule and a timetable?

A: A schedule outlines the tasks and activities to be performed, while a

timetable outlines the specific times at which tasks and activities will be
performed.

5. Q: How do you evaluate the effectiveness of a scheduling system?

A: By using metrics such as lead time, throughput, and utilization.

6. Q: What is the purpose of a scheduling algorithm?

A: To optimize the allocation of resources and tasks over time to meet

production requirements.

7. Q: How do you ensure that scheduling is integrated with production

planning and control?
A: By involving stakeholders in the scheduling process, using scheduling
outputs to inform production planning and control, and regularly reviewing
and updating the scheduling process.

*Topic 4: Production Control Gantt Chart*

1. Q: What is a Gantt chart?

A: A graphical representation of a project schedule, showing the tasks and

activities to be performed over time.

2. Q: What are the benefits of using a Gantt chart in production control?

A: Improved visualization of the production schedule, better coordination of

tasks and activities, and enhanced communication among stakeholders.

3. Q: How do you create a Gantt chart?

A: By identifying the tasks and activities to be performed, estimating the

time required for each task, and plotting the tasks on a timeline.

4. Q: What is the critical path in a Gantt chart?

A: The sequence of tasks that determines the minimum duration required to

complete the project.

5. Q: How do you update a Gantt chart?

A: By revising the task list, updating the task durations, and adjusting the
timeline as necessary.

6. Q: What is the difference between a Gantt chart and a PERT chart?

A: A Gantt chart is a graphical representation of a project schedule, while a

PERT chart is a network diagram showing the relationships between tasks.
_Topic 4: Production Control Gantt Chart_

1. Q: How do you ensure that a Gantt chart is accurate and up-to-

date?
A: By regularly reviewing and updating the chart, and by involving
stakeholders in the review process.

2. Q: What is the purpose of a Gantt chart in production control?

A: To provide a visual representation of the production schedule, and to
help coordinate tasks and activities.

3. Q: How do you use a Gantt chart to identify potential production

bottlenecks?
A: By analyzing the chart to identify tasks that are critical to the
production schedule, and by identifying potential bottlenecks in the
production process.

_Topic 5: Selection of Transport Media and Finished Goods_

1. Q: What are the key factors to consider when selecting a transport

media?
A: Cost, reliability, speed, and security.

2. Q: What is the difference between a private carrier and a common

carrier?
A: A private carrier is a company that owns and operates its own
transportation fleet, while a common carrier is a company that
provides transportation services to the general public.

3. Q: How do you calculate the total cost of transportation?

A: Total cost = (cost per unit x quantity) + (fuel cost + maintenance
cost + other expenses)

4. Q: What is the purpose of a bill of lading?

A: To provide a receipt for goods shipped, and to outline the terms and
conditions of the shipment.
5. Q: How do you ensure that finished goods are properly packaged
and labeled for transportation?
A: By following established packaging and labeling procedures, and by
conducting regular inspections to ensure compliance.

6. Q: What is the difference between a freight forwarder and a

customs broker?
A: A freight forwarder is a company that arranges for the transportation
of goods, while a customs broker is a company that facilitates the
clearance of goods through customs.

7. Q: How do you calculate the carbon footprint of a transportation

operation?
A: Carbon footprint = (fuel consumption x emissions factor) + (other
emissions sources x emissions factor)

_Topic 6: Raw Material and Equipment_

1. Q: What are the key factors to consider when selecting raw

materials?
A: Quality, cost, availability, and sustainability.

2. Q: How do you calculate the total cost of raw materials?

A: Total cost = (cost per unit x quantity) + (transportation cost +
storage cost + other expenses)

3. Q: What is the purpose of a bill of materials?

A: To provide a list of the raw materials and components required for a
product or project.

4. Q: How do you ensure that equipment is properly maintained and

calibrated?
A: By following established maintenance and calibration procedures,
and by conducting regular inspections to ensure compliance.

5. Q: What is the difference between a preventive maintenance

schedule and a predictive maintenance schedule?
A: A preventive maintenance schedule is based on a fixed schedule,
while a predictive maintenance schedule is based on the actual
condition of the equipment.

6. Q: How do you calculate the return on investment (ROI) of a new

equipment purchase?
A: ROI = (gain from investment – cost of investment) / cost of
investment

7. Q: What is the purpose of a total productive maintenance (TPM)

program?
A: To maximize equipment effectiveness and efficiency by involving all
stakeholders in the maintenance process.

_Topic 7: Basic Principles Work Study_

1. Q: What is the purpose of a work study?

A: To examine and improve the efficiency and effectiveness of a
process or system.

2. Q: What are the key principles of work study?

A: To examine the existing process, to develop and evaluate
alternatives, and to implement and maintain the new process.

3. Q: How do you calculate the standard time for a task?

A: Standard time = (basic time x rating factor) + (allowance for fatigue
and delay)

4. Q: What is the purpose of a method study?

A: To examine and improve the methods and procedures used to
perform a task or process.

5. Q: How do you identify opportunities for improvement in a process

or system?
A: By using techniques such as brainstorming, fishbone diagrams, and
Pareto analysis.

6. Q: What is the difference between a work study and a method

study?
 A: A work study is a broader examination of a process or system, while
a method study is a more detailed examination of a specific task or
process.

7. Q: How do you ensure that the results of a work study are

implemented and sustained?
A: By involving stakeholders in the study, by developing a plan for
implementation, and by monitoring and evaluating the results.

_be designed to mimic the efficiency and sustainability of natural

systems.

Here are the remaining questions and answers for Topic 8: Principle
of Nature Economy:

Topic 8: Principle of Nature Economy in Engineering Economics:

_Question 1:_

What is the principle of nature economy in engineering economics?

_Answer:_

The principle of nature economy states that economic systems

should be designed to mimic the efficiency and sustainability of
natural systems.

_Question 2:_

What are the key characteristics of a natural system that can be

applied to economic systems?

_Answer:_

The key characteristics of a natural system that can be applied to

economic systems include: efficiency, sustainability, resilience, and
adaptability.
_Question 3:_

How can the principle of nature economy be applied to reduce

waste in engineering systems?

_Answer:_

The principle of nature economy can be applied to reduce waste in

engineering systems by designing systems that mimic the efficiency
of natural systems, such as closed-loop systems that reuse and
recycle materials.

_Question 4:_

What is the concept of “cradle-to-cradle” design, and how does it

relate to the principle of nature economy?

_Answer:_

Cradle-to-cradle design is a design approach that seeks to create

products and systems that are fully recyclable and reusable,
mimicking the natural cycle of growth, decay, and rebirth. This
approach is closely related to the principle of nature economy,
which seeks to design economic systems that mimic the efficiency
and sustainability of natural systems.

_Question 5:_

How can the principle of nature economy be applied to optimize

energy use in engineering systems?

_Answer:_

The principle of nature economy can be applied to optimize energy

use in engineering systems by designing systems that mimic the
efficiency of natural systems, such as systems that use renewable
energy sources, reduce energy consumption through efficient
design, and recover waste energy.
_Question 6:_

What is the concept of “biomimicry” and how does it relate to the

principle of nature economy?

_Answer:_

Biomimicry is the practice of using nature and living systems as a

source of inspiration for designing and solving human problems.
Biomimicry is closely related to the principle of nature economy,
which seeks to design economic systems that mimic the efficiency
and sustainability of natural systems.

_Question 7:_

How can the principle of nature economy be applied to promote

sustainable development in engineering systems?

_Answer:_

The principle of nature economy can be applied to promote

sustainable development in engineering systems by designing
systems that mimic the efficiency and sustainability of natural
systems, such as systems that use renewable energy sources,
reduce waste and pollution, and promote biodiversity and
ecosystem services.

_Topic 9: Economics in the Design of Equipment and Processes_

1. Q: What is the purpose of economic analysis in equipment

design?
A: To evaluate the costs and benefits of different design options and
to select the most cost-effective option.

2. Q: How do you calculate the present value of future cash flows?

A: Present value = future cash flow / (1 + discount rate)^number of
periods

3. Q: What is the difference between a fixed cost and a variable

cost?
A: A fixed cost is a cost that remains the same regardless of the
level of production, while a variable cost is a cost that varies with
the level of production.

4. Q: How do you evaluate the economic feasibility of a new

process or equipment?
A: By conducting a cost-benefit analysis, calculating the return on
investment (ROI), and evaluating the payback period.

5. Q: What is the purpose of sensitivity analysis in economic

evaluation?
A: To evaluate how changes in assumptions or variables affect the
outcome of the economic evaluation.

6. Q: How do you calculate the internal rate of return (IRR) of a

project?
A: IRR = discount rate that makes the net present value (NPV) of the
project equal to zero.

7. Q: What is the difference between a project’s NPV and its IRR?

A: NPV is the present value of the project’s expected cash flows,
while IRR is the discount rate that makes the NPV equal to zero.