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| Section | Weight | Objectives |
|---|---|---|
| Topic 1: Supply Chain and Inventory Management | 20% | - Inventory Control
|
| Topic 2: Forecasting and Project Management | 20% | - Project Management
|
| Topic 3: Capacity Planning and Facility Layout | 15% | - Layout Design
|
| Topic 4: Quality Management Methods | 25% | - Quality Tools and Techniques
|
| Topic 5: Process Design and Analysis | 20% | - Process Performance
|
>> Operations-Management Questions Exam <<
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NEW QUESTION # 69
A comprehensive automobile collision shop offers body and engine repair as well as custom vehicle paint options.
Which two operational processes would suit this shop?
Choose 2 answers
Answer: A,B
Explanation:
An automobile collision shop performingbody repair, engine repair, and custom paint jobsrequires both projectandbatchprocesses.
Aproject processis appropriate because many repair jobs areunique, varying in scope, damage severity, customer requirements, and repair time. Each vehicle may require a distinct sequence of tasks, making standardized flow impractical.
Abatch processis suitable for activities such as painting or part refurbishment, where similar tasks are grouped together to improve efficiency. For example, multiple vehicles may be painted in the same color batch to reduce setup time and material waste.
Line and continuous processes are unsuitable because:
* Repairs are not standardized
* Volume is relatively low
* Customization is high
Operations Management emphasizes aligning process type withproduct variety and volume. This hybrid approach allows flexibility while maintaining efficiency where possible.
NEW QUESTION # 70
Why might a company avoid using demand-based options such as inventory and backorders over a long period of time?
Answer: C
Explanation:
Comprehensive and Detailed Explanation (#250 words):
Demand-based options such asinventory accumulation and backordersare avoided long term becausethey are more risky.
Maintaining high inventory levels increases:
* Holding costs
* Obsolescence risk
* Damage and theft
* Cash flow constraints
Backorders, while avoiding inventory buildup, risk:
* Customer dissatisfaction
* Lost sales
* Damage to brand reputation
Operations Management categorizes these options asshort-term demand smoothing tools, not sustainable strategies. Over time, uncertainty in demand magnifies the risks associated with inventory imbalances or unmet demand.
The other options are incorrect:
* These methods are not inherently time consuming
* They do not directly affect subcontracting or labor policies
Thus, firms avoid long-term reliance on demand-based options to maintain stability and customer trust.
NEW QUESTION # 71
Which two types of operations include repetitive processes?
Choose 2 answers
Answer: B,D
Explanation:
Line processesandcontinuous processesare the two operational process types characterized byhighly repetitive activities.
Aline processinvolves standardized products moving through a fixed sequence of steps. Each workstation performs the same task repeatedly, making it ideal for high-volume, low-variety production. Examples include automobile assembly lines and consumer electronics manufacturing.
Acontinuous processgoes a step further, operating24/7 with extremely high volume and minimal variation
. Production flows continuously rather than in discrete units. Industries such as oil refining, chemicals, and paper manufacturing use continuous processes.
The other options are not primarily repetitive:
* Project processesare unique, one-time efforts (e.g., construction projects)
* Batch processesinvolve moderate repetition but frequent changeovers between batches Operations Management classifies processes based onvolume and variety. Line and continuous processes sit at the high-volume, low-variety end of the spectrum, making repetition unavoidable and necessary for efficiency.
Repetitive processes enable:
* High labor productivity
* Low unit cost
* Process automation
* Consistent quality
However, they also require careful work system design to avoid worker fatigue and quality drift.
NEW QUESTION # 72
What are two common drawbacks of implementing an enterprise resource planning (ERP) solution?
Choose 2 answers
Answer: B,D
Explanation:
Comprehensive and Detailed Explanation (#270 words):
Two widely recognized drawbacks of ERP implementations are that theytake a long time to implement (and to realize benefits)andrequire extensive, often complex training-optionsAandB.
ERP systems integrate data and processes across functions (planning, procurement, production, inventory, finance, distribution). That integration is valuable, but it also makes implementation complex: processes must be aligned, data standardized, roles clarified, and change managed across departments. As a result, organizations often experience long project timelines before stable adoption and measurable benefits occur.
Training is a major burden because ERP changes how people work day-to-day. Users must learn new transaction flows, reporting logic, and discipline in data entry. Without strong training, adoption collapses into workarounds, bad data, and loss of trust in the system.
This connects to the operations principle that planning and control systems are "mechanisms and operating logics" used to manage resources and supplies over time to meet requests. ERP is one such enabling infrastructure-but it must support operations rather than become a constraint.
While customization can be an issue in some cases, the most universal drawbacks across organizations remain time-to-valueandtraining complexity, makingA and Bthe best answers.
NEW QUESTION # 73
Why is capacity requirements planning (CRP) important?
Answer: A
Explanation:
Capacity Requirements Planning (CRP) is important because itcompares available production capacity to planned workloads, ensuring feasibility.
Once demand has been translated into production and material plans, CRP validates whether:
* Machines are available
* Labor hours are sufficient
* Work centers are not overloaded
Without CRP, organizations risk releasing production plans that cannot be executed, resulting in:
* Bottlenecks
* Overtime
* Missed delivery dates
* Poor resource utilization
The incorrect options describe other functions:
* Employee efficiency is evaluated through performance metrics
* Lead time transparency is a scheduling outcome, not CRP's core purpose
* Material coordination is handled by MRP
CRP ensures alignment betweenwhat is plannedandwhat is possible, making it a critical link between planning and execution in Operations Management.
NEW QUESTION # 74
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