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| Section | Objectives |
|---|---|
| Performance Improvement in Operations | - Continuous improvement approaches
|
| Operations Processes and Systems | - Four Vs of operations
|
| Quality and Reliability Management | - Total Quality Management (TQM)
|
| Operations Management Concepts | - Definition and scope of operations management
|
| Operations Strategy and Performance | - Order winners and order qualifiers
|
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NEW QUESTION # 91
Which of the following do you need to know in order to work out the gross profit margin of an item? Select TWO
Answer: A,B
Explanation:
The formula for working out gross profit is (revenue - cost of goods sold) divided by revenue. Therefore 2 and 3 are correct. It's unlikely you will have to do any mathematical calculations in this exam, but if you do they'll be super easy and there is a calculator inbuilt into the system you can use. There's a couple of different cost formulas on p.78 but these will be familiar to you already from Level 4.
NEW QUESTION # 92
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 2?
Answer: A
Explanation:
The correct answers are as follows:
NEW QUESTION # 93
Bilal is an Operations Manager at an apple pie manufacturer and is currently undertaking an Aggregate Capacity Analysis.
What is the purpose of this?
Answer: A
Explanation:
4 is the correct answer. Aggregate Capacity Analysis looks as medium-term capacity to see whether supply can match demand. This is from p.23. Aggregate means 'from a group or cluster' and therefore requires quite a few bits of data. For this reason option 1 is incorrect as this describes a very short term look at capacity analysis.
NEW QUESTION # 94
There are four manufacturing companies located on Seashell Industrial Estate. Each company creates a different product and employs a different maintenance approach to its operations. For each company, select the corresponding maintenance approach and the key operating process characteristic.
Company 1: This company creates craft beer and offers customers a tour of the brewery for a small charge. The brewing equipment is serviced monthly and the brewery is kept extremely clean. All equipment is labelled with the last service date.
Company 2: This company produces seasonal items such as Easter Eggs and Christmas Cake. The equipment has a control panel where lights will flash red advising staff to check oil levels and components. Staff can then report issues to the maintenance team if remedial work is required. Product demand fluctuates throughout the year.
Company 3: This equipment does not often break down and is only fixed when it is reported by staff as no longer working. Company 3 creates toys, providing a large range of product sizes and colours based on different customer requirements.
Company 4: Parts of the machine are serviced quarterly but in general, the machine is left to run its course and is then replaced when it is no longer financially viable to fix. The company produces cereal and the operating process is focused on the quantity produced and therefore uses standardised processes.
Complete the table below by listing the maintenance approach and operating process characteristic for each company. Each response should only be used once: preventative maintenance, run to breakdown maintenance, condition-based maintenance, mixed maintenance, volume, visibility, variation, variety
Which of the following will you put into box 5?
Answer: D
Explanation:
The correct answers are as follows:
NEW QUESTION # 95
When conducting a Failure Mode and Effective Analysis (FMEA) which system could be used to show risks to a business's operations? Select TWO
Answer: B,D
Explanation:
an FMEA is very similar to a risk assessment- it looks at potential failures and the likelihood and severity that these have on an organisation. In order to figure out which failures would have the biggest impact on a business, you'd give the failure a score for likelihood and a score for severity. This would be on a scale 1-10. You can then go one step further and use a RAG system (Red Amber Green) to denote which of the failures are severe (Red e.g. scores over 8) and which are not severe (Green e.g. scores under 2). The textbook does mention scales but doesn't mention the RAG system. However RAG is mentioned in other modules and should be a concept you're familiar with. The other two answers are clearly wrong- ABC Analysis is about categorising inventory and colour coding is not a recognised system and would be different for each organisation. P.99
NEW QUESTION # 96
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