CIPS Operations Management : L5M9

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CIPS Operations Management Sample Questions:

1. An 'Order Qualifying' Objective contributes to the success of a business in that it is a criteria that will guarantee a customer will purchase an item. Is this sentence TRUE?

A) yes- this means the product is superior to that of competitors
B) yes- these objectives always guarantee a sale
C) no- this means a customer will buy from the organisation, but not this particular product
D) no- order qualifying is the process of accepting an order from a client, which may be rejected by the organisation

2. 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 8?

A) variation
B) visibility
C) volume
D) variety

3. Managing the supply chain, inventory and the implementation of Lean processes fall under which category of activity of the Operational Process?

A) designing
B) delivery
C) developing
D) directing

4. Which of the following is a computer-based programme which determines the amounts of inputs required into a process?

A) Just in Time
B) Kaizen
C) Work Scheduling
D) MRP

5. When processing low volumes of a product, specialisation is high and it is therefore possible to create products at a lower unit cost. Is this TRUE?

A) no- the volume of products created does not impact upon unit costs as these are fixed in advance
B) no- creating products in low volumes often leads to a higher unit cost
C) yes- when producing low volumes of a product, cost savings can be transferred to the customer
D) yes- staff gain specialities when there is less products to create

Solutions: