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CIPS Operations Management Sample Questions:

1. How can a company measure the dependability of an item it produces? Select TWO

A) gross profit margin
B) documentation is accurate
C) how quickly complaints are resolved
D) number of injuries caused by the product
E) variety of colours offered

2. A company should aim to achieve all its performance objectives at the same time to ensure success. Is this TRUE?

A) yes- a company should focus on all criteria at each stage of the product lifecycle
B) no- companies should select which objectives should take precedent over others depending on the focus of the organisation at that time
C) yes- focusing on all objectives simultaneously is the only way to achieve a higher profit and market share
D) no- companies should set performance criteria each month and this may change depending on market conditions

3. Below are details of 4 local manufacturing companies. For each company you must decide what the main objective is for the organisation and what layout their manufacturing plant has.
Company 1: This company creates large, delicate products which are hard to move. The main aim of the company is to stand out from competitors due to the superior level of materials used and by using the latest forms of technology to create the items.
Company 2: This company produces 72 different items and has designated zones within its premises for the creation of each item. The zones are organised based on the technology used and some products may be passed between different zones to be completed. The company creates many different items in response to changing customer demands, with many product lines only lasting a single season.
Company 3: Company 3 creates one product which flows along a single production line, with staff members adding to the product on four different occasions. The company must produce a high volume of this singular product in order to break even. Therefore, there is always a steady flow of items through the plant and it is important there is no stoppage in production.
Company 4: This company produces small batches of products, as and when they are ordered by customers. Due to uncertainty in demand, a high profit margin is added to the cost of each item. Teams in the factory are grouped into different areas depending on the technological process they are using.
Complete the table below by listing the objective criteria and plant layout for each company. Each response should only be used once: flexibility, speed, quality, cost, functional layout, cell layout, product layout, fixed-position layout

Which of the following will you put into box 6?

A) functional layout
B) cell layout
C) product layout
D) fixed-position layout

4. An Operations Manager is responsible for making many decisions. Which of the following would be a strategic decision made by an Operations Manager?

A) deciding which inventory to carry
B) deciding how to allocate key raw materials among the functional areas
C) scheduling the production of manufactured goods
D) creating quality standards

5. Operations Management is concerned with the management of resources in the production of tangible goods. Is this TRUE?

A) yes- operations management is ensuring a company has the correct resources to create goods
B) no- operations management is concerned with ensuring the organisation is profitable
C) yes- operations management ensures there are sufficient goods produced to meet customer demand
D) no - operations management can also be concerned with the creation of intangible goods

Solutions: