BSB10192-2 & BSB10214-2

Sample paper

Operations Management
Date

Sample paper

Time Allowed

2.00 hours

Exam No

BSB10192-2 & BSB10214-2

Venue

Stoke / Stafford / SURF network

Weighted

100%

Advised

40 minutes for Section A, 80 minutes for Section B

Examiner

Roy Edwards

Session

Sample paper

Closed Book Examination

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Instructions to candidates:
Section A

30 Multiple choice questions @1.5% each

12 Yes/No questions @ .5% each

Section B

7 Short answer questions @ 7% each

You should answer all questions

Section B Short answer questions (50%) Section B of the examination
paper will contain 7 questions only. These questions have been selected, by
us, from the pre-published list of 10 possible questions previously available.
You will be required to write answers to all 10 of these questions. It is
expected that your response to each question would be no more than 150
words, This exam paper has the requisite spaced lines for each of the written
answers. Only in exceptional circumstances will additional answer books be
accepted and these should be clearly marked in the usual way with your
student name and number
You will NOT be allowed to take material, notes, articles or books into the
examination with you.
Please note that higher marks will be given where the exam paper as a whole
reflects:

Independent thought and ability to apply operations concepts to practical

effect.
A structured approach that utilises appropriate terminology and relevant
models and frameworks where necessary.
A good balance between the practical and theoretical aspects.
Accuracy and clarity of style in presenting answers.

This is a closed book examination and Staffordshire University regulations for

examinations apply.

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Module: Operations Management

Re: Multiple Choice Sections Section A
Instructions to students
1) Enter student name and number at the top of the answer sheet
2) This test paper contains 30 multiple choice questions, each carrying equal
marks @ 1.5% each plus 10 yes/no type questions @.5% each
3) Candidates must answer all the questions on this paper.
4) Select the ONE letter corresponding to the MOST APPROPRIATE answer
for each question, and place an X in the appropriate box on the answer
grid.
5) Stop immediately when time is up.
6) You may not leave the room before the allocated time is up.
7) The answer sheet and the question booklet must be handed in at the end
of the test.
[Example]
1. The common name for the system which allows employees to choose
their starting time, finishing time, and to vary their lunch-break, within
agreed parameters is
A) Varytime

B) Flexitime

C) Overtime

D) Personal time

In this example, the correct answer is B) Flexitime and should be indicated as:
A
Question
1

B
x

Mark

If you wish to change your answer, the original answer must be clearly crossed
out so that the desired answer is absolutely clear. If there is any doubt as to
your desired answer, that response will receive no marks.

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Operations Management - Multiple question answer Sheet
Please write student name: ___________________________
Student Number: ___________________________
Date of Exam: Sample Paper
A

Assessor: Roy Edwards

D

Mark

Question 1

Question 21

Question 2

Question 22

Question 3

Question 23

Question 4

Question 24

Question 5

Question 25

Question 6

Question 26

Question 7

Question 27

Question 8

Question 28

Question 9

Question 29

Question 10

Question 30

Question 11

Question 31

Question 12

Question 32

Question 13

Question 33

Question 14

Question 34

Question 15

Question 35

Question 16

Question 36

Question 17

Question 37

Question 18

Question 38

Question 19

Question 39

Question 20

Question 40

SCORE

TOTAL SCORE

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Mark

BSB10192-2 & BSB10214-2

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Operations Management MULTIPLE CHOICE TEST SECTION

Note: In questions where the word NOT is emphasised, the correct answer is the statement
that is not true in the given context. This is often most easily found by first identifying the true
statements.

Operations can be classified according to the degree of

variation in demand and visibility of the operation as well as
their volume and variety of production. Which of the
following operations would be classified as high variation
and high visibility

A)
B)
C)
D)

A fast food restaurant

A carpenter
A high street branch of a bank
A family doctor

Which of the following concerning the term customer in operations

management is true
Manufacturing systems can have only internal customers because
other departments are responsible for serving the external customer
All customers are internal in manufacturing and external in services
Only service organizations have external customers because service is
provided in the presence of a customer.
Customers can be internal or external in both manufacturing and
service operations

A)
B)
C)
D)

Which of the characteristics below is NOT typically used to

help classify operations:

A)
B)
C)
D)

Visibility
Variety
Value-added
Variation

The ( ) characteristic of a service is best illustrated by an

empty airline seat or hotel room not occupied

A)
B)
C)
D)

Time perishability
Labour intensity
Intangibility
Simultaneous production and consumption

Which among the following strategies is used by fast food

restaurants to reduce costs?

A)
B)
C)
D)

Increased advertising via the Internet

Allowing customers to play an active part in the service process
Increase prices
Increasing menu items to cater to varying tastes

An order-winning characteristic could be described as :

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A)
B)
C)
D)

A factor which
A factor which
A factor which
the customer
A factor which

significantly contributes to winning business

may be of significance in other parts of the organisation
has to be above a particular level to be considered by
is at a higher level than the standard for the industry

All of the following are benefits of a multi-site type of

expansion except

A)
B)
C)
D)

Ability to reach a mass market quickly

Reduced financial risk from local economic downturn
Pre-emption of competitors by capturing premium locations
Retention of control

Service process can be classified according to each of the

following, except

A)
B)
C)

The degree of customer satisfaction

The degree of customer contact
The objective of the service activity defined as goods, information or
people
The degree of service flexibility, ranging from standard to customised
service

D)
9

When there is a high volume/ low variety mix, there is

typically

A)
B)
C)
D)

High Customisation
High Contact time
Small volumes of customer transactions
Short customer transaction

10

Which of the following is true of process types?

A)
B)

Mass services are similar to jobbing processes

Service shops and batch are in a similar position, but one relates to
manufacturing and the other to services
Jobbing processes have higher process variety than professional
services
Professional services have lower variety, but higher volume than
service shops

C)
D)
11

Efficiency in resource usage is hard to obtain in service

operations because of

A)
B)
C)
D)

buffering
demand variability
intangible components
inter-functional co-operation

12

Which of the following phrases best describes a mass process

type?
Low volume, high variety
Finished goods are usually made to order
Processes are designed to perform a wide variety of activities

A)
B)
C)

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D)

High fixed costs, low variable costs

13

Which of the following is NOT a strategy for managing

supply?

A)
B)
C)
D)

Developing complementary services

Using part-time employees
Forecasting demand
Scheduling employee shifts

14
A)
B)
C)
D)

Which one of the following conditions favours a level strategy for

manufacturing firms.
High availability of workers
Short shelf life of inventory
Highly automated equipment and a make-to-stock strategy
High inventory-holding cost

15

Purpose of differential pricing is to:

A)
B)
C)
D)

Make peak period usage unattractive

Charge customers according to their ability to pay
Make off-peak usage attractive
Adjust capacity to demand

16

Under the ABC system of inventory priorities, a Class A item

is :

A)

The 20% of
stock value
The 80% of
stock value
The 20% of
stock value
The 80% of
stock value

B)
C)
D)

high-value items that account for around 20% of the total

high-value items that account for around 20% of the total
high-value items that account for around 80% of the total
high-value items that account for around 80% of the total

17

The model of the physical goods supply chain does NOT contain
which of the following elements

A)
B)
C)
D)

Competitor
Distributor
Retailer
Customer

18

Which of the following is NOT a factor that can significantly

reduce time to market for a product or service

A)

Separation of the design of products and services from the design of

the processes which will produce them
An early resolution of design conflict and uncertainty
Simultaneous development of the various stages in the overall process

B)
C)

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D)

An organisational structure which reflects the development project

19

In a supply chain for products with low profit margins, the

focus is likely to fall on :

A)
B)
C)
D)

The increase in variety

The number of deliveries to end customers
The reduction of inventory
The reduction of suppliers

20

The benefits of team working do NOT include which one of

the following?

A)
B)
C)
D)

Increasing satisfaction by allowing individuals to contribute more

effectively
Improving quality and encouraging innovation
Eliminating workplace stress
Improving productivity through enhanced motivation

21

Job enrichment :

A)

Means that staff are moved periodically from task to task in order to
increase variety and interest
Involves allocating a wider range of similar tasks to individuals
Increases the amount of money employees are paid for completing a
unit of work
Involves giving employees work with a greater degree of responsibility
and autonomy

B)
C)
D)
22

In an organisation that has empowered its front-line employees

the middle managers become

A)
B)
C)
D)

Obsolete
Inspectors
Facilitators
Supervisors

23

The Hackman Oldham approach to job design is said to

produce the following performance outcomes?

A)
B)
C)
D)

The ability to do a repetitive job very well

Commitment to the organisations mission
Results orientation through incentives and profit related pay
Low absenteeism and turnover

24

Which of the following dimensions of service quality is usually

seen as the most important to customers in the Servqual model?

A)
B)
C)
D)

Empathy
Assurance
Reliability
Tangibles

25

Warranty service, processing of complaints, and costs of

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litigation are examples of

A)
B)
C)
D)

Internal failure costs

External failure costs
Appraisal costs
Prevention costs

26

An operations view of quality is quality is consistent

conformance to customers expectations. By this it is meant
that :

A)
B)

The product will be seen as synonymous with innate excellence

There are clear specifications consistently met that provide customers
with what they would realistically believe they should receive
The product must be right every time, irrespective of cost to the
operation
Anything the customer wants and desires should be provided by the
organisation

C)
D)
27

Which of the following is NOT usually considered as a quality

characteristic?

A)
B)
C)
D)

aesthetic appeal
reliability
durability
repeatability

28

The meaning of quality has evolved greatly over the past

century. Which of the following statements best exemplifies
the current meaning of quality?

A)

Continuous improvement, competitive advantage and meeting or

exceeding customer requirements now and in the future
Inspection of every item produced to ensure exact customer
specifications are met
Production of parts within control limits and use of statistical process
control tools to ensure consistent meeting of customer specifications
The collaboration of all functional disciplines for the purpose of
designing and offering quality products or services

B)
C)
D)

29

The implementation of TQM does NOT involve

A)
B)
C)
D)

prevention rather than cure

strong action to discipline employees who cause poor quality
emphasis on process management
top management commitment and involvement

30

The three important management issues for operations

managers dealing with their international network of
operations are :

A)
B)
C)

Culture, co-ordination and communication

Customers, suppliers and transformation resources
Frequently flyer schemes, expense accounts and lightweight luggage

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D)

None of the above

31

Maintaining the quality of products and services is easier when

production or delivery is closer to home
True
False

A)
B)
32
A)
B)

An operations strategy covers a relatively short time horizon,

whereas a business strategy covers a relatively long time horizon
True
False

33

The hierarchical model of strategy in the top-down

perspective is intended to represent the way strategies are
usually formulated

A)
B)

True
False

34

Environment constraints tend to affect the design of

products and services, but not the design of the process
which delivers them

A)
B)

True
False

35

Capacity levels in excess of demand could cause underutilisation.

A)
B)

True
False

36

The costs of inventory outweigh the benefits of holding

stock

A)
B)

True
False

37

A supply chain encompasses all the activities associated with the

flow and transformation of goods and services except information
flows
True
False

A)
B)
38

Jobs that are designed purely on the division of labour,

scientific management or ergonomic principles can alienate
the people performing them.

A)
B)

True
False

39

Reliability means the total useful life of the product or

service, assuming occasional repair or modification.

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A)
B)

True
False

40

TQM approach asserts that there is an optimum amount of

quality effort to be applied in any situation, which minimises
the total costs of quality

A)
B)

True
False

Section B Short answer questions (50%) Section B of the examination

paper will contain 7 questions only. These questions have been selected, by
us, from the pre-published list of 10 possible questions previously available.
You will be required to write answers to all 7 of these questions. It is expected
that your response to each question would be no more than 150 words, This
exam paper has the requisite spaced lines for each of the written answers.
Only in exceptional circumstances will additional answer books be accepted
and these should be clearly marked in the usual way with your student name
and number

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Question 1
Relate Schroeders 5 decision areas to relative operations situations
within a retail bank.

Question 2
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By using a relevant example briefly explain the concept of time

perishability identifying methods that Operations Managers could use to
reduce its impact on the organisation.

Question 3
Describe how operations management can contribute to the success of
an organisation using IKEA as an example.
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Question 4
Relating to an organisation of your choice identify typical differences
between strategic and operational decisions

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Question 5
Identify a product/service that would typically be produced or delivered
within a process layout and describe the product/service characteristics
together with two of the process design features

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Question 6
Explain why the design of products & services and the design of their
processes are interrelated and should be carried out concurrently.

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Question 7
Use an organisation of your choosing briefly outline the costs/benefits
associated with holding inventory

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Question 8
Using organisational examples of your choosing, what are some of the
consequences of under-utilisation and being over-stretched with respect
to the management of capacity?

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Question 9
A major responsibility for all managers in the future will be the support
of company based systems designed to ensure the quality of product or
services. Discuss why quality has become such a live issue today?

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Question 10
Briefly explain the importance of corporate social responsibility, with
some examples of voluntary actions a business can take to address
interests of the business and the wider society.

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Spare page in case you need to attempt the question again

Not to be used as additional space for other questions
Question ___

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Spare page in case you need to attempt the question again

Not to be used as additional space for other questions
Question ___

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