Power Up Your Study Prep: Black Friday 75% Discount! Use coupon code below to save! - Ends in 0d 00h 00m 00s - Coupon code: big75certs

CIPS Level 5 Advanced Diploma in Procurement and Supply L5M9 Book

Page: 4 / 9
Total 120 questions

Operations Management Questions and Answers

Question 13

Companies that have high-visibility processes require higher levels of customer management skills than companies with low-visibility processes. Is this TRUE?

Options:

A.

yes- high visibility companies often have higher operating costs because of this

B.

yes- high visibility companies often have lower operating costs because of this

C.

no- all companies require customer management skills

D.

no- low visibility companies must focus on increasing levels of customer service

Question 14

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

Company

Performance objective

Plant layout

Company 1

Box 1

Box 5

Company 2

Box 2

Box 6

Company 3

Box 3

Box 7

Company 4

Box 4

Box 8

Which of the following will you put into box 3?

Options:

A.

flexibility

B.

speed

C.

quality

D.

cost

Question 15

In an organisation that uses Quality Control to determine whether manufactured products conform to customer requirements, which of the following activities would most directly demonstrate product-level inspection?

Options:

A.

Employees systematically checking products for defects

B.

Establishing a quality steering committee

C.

Conducting regular customer-feedback exercises

D.

Undertaking preventive equipment maintenance

Question 16

Which of the following items created by an organisation are intangible? Select TWO

Options:

A.

Legal Advice provided by a solicitor

B.

A cup of coffee from a restaurant

C.

A massage given at a Spa

D.

A shirt bought at a retail outlet

Page: 4 / 9
Total 120 questions