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L5M9 Operations Management Questions and Answers

Questions 4

Continuous Operations is a manufacturing methodology which is driven by forecasted customer numbers and has a low level of work-in-progress inventory. Is this true?

Options:

A.

yes- in continuous operations there is a low level of automation

B.

yes- in continuous operations there is a high level of standardisation

C.

no- in continuous operations actual customer numbers are used

D.

no- in continuous operations there is a high level of work-in-progress inventory

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Questions 5

A lorry transporting goods between warehouses has a dashboard warning generated from monitored oil-condition information before equipment failure. Which form of maintenance is being applied?

Options:

A.

run to breakdown

B.

reactive

C.

preventative

D.

condition-based maintenance

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Questions 6

Little Joy Ltd is a large company with several functional departments. Below are details of four departments. For each, you must decide which functional area of the business the department is, as well as the SERVQUAL Gap that each Department Lead is concerned with.

Department 1: This department is concerned with the creation of products. The products are created in line with BS EN 716-1 and undergo rigorous tests before they leave the factory. Many customers are unaware of the additional costs of testing to BS EN 716-1 and complain about the price of this product line.

Department 2: Other departments of the business are internal customers of this functional area and approach the Department Lead when they require something to be bought. Often the internal customers have unrealistic expectations of the timescales involved in the process and the Department Lead spends a lot of time explaining lead times and logistics.

Department 3: This functional area creates the budgets for the company and emails these to the Department Leads at the beginning of every quarter. Due to the complexity of the documents, other functional areas of the business often don’t understand the information provided.

Department 4: This area of the business is concerned with revenue, which has recently slumped. The Department Lead is conducting market surveys to find out the reason for this.

Complete the table below by listing the Functional Area of the business, and the corresponding SERVQUAL Gap. Each response should only be used once: procurement, finance, sales, production, satisfaction gap, delivery gap, standards gap, communication gap.

Department

Functional area

SERVQUAL gap

Department 1

Box 1

Box 5

Department 2

Box 2

Box 6

Department 3

Box 3

Box 7

Department 4

Box 4

Box 8

Which of the following will you put into box 8?

Options:

A.

satisfaction gap

B.

delivery gap

C.

standards gap

D.

communication gap

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Questions 7

George has recently been hired as the new Operations Manager at a cake factory. He has 10 years; experience but his most recent employment was as an Operations Manager in an accountancy firm. George believes that the skills and responsibilities of an Operations Manager is the same regardless of the organisation he works for. Which of the following would be one of these responsibilities? Select TWO

Options:

A.

increase profit

B.

keep customers happy

C.

create competitive advantage

D.

manage a team

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Questions 8

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 4?

Options:

A.

flexibility

B.

speed

C.

quality

D.

cost

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Questions 9

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: preventive maintenance, run to breakdown maintenance, condition-based maintenance, mixed maintenance, volume, visibility, variation, variety

Company

Maintenance approach

Operating-process characteristic

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 1?

Options:

A.

preventive maintenance

B.

run-to-breakdown maintenance

C.

condition-based maintenance

D.

mixed maintenance

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Questions 10

A bread factory is introducing a 'Poka-Yoke' methodology to reduce defects. What will be the focus of this?

Options:

A.

inputs such as the quality of raw materials

B.

outputs- which will be measured against strict criteria

C.

staff- the reduction of human error

D.

machinery- ensuring there is little to no downtime in machinery use

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Questions 11

Little Joy Ltd is a large company with several functional departments. Below are details of four departments. For each, you must decide which functional area of the business the department is, as well as the SERVQUAL Gap that each Department Lead is concerned with.

Department 1: This department is concerned with the creation of products. The products are created in line with BS EN 716-1 and undergo rigorous tests before they leave the factory. Many customers are unaware of the additional costs of testing to BS EN 716-1 and complain about the price of this product line.

Department 2: Other departments of the business are internal customers of this functional area and approach the Department Lead when they require something to be bought. Often the internal customers have unrealistic expectations of the timescales involved in the process and the Department Lead spends a lot of time explaining lead times and logistics.

Department 3: This functional area creates the budgets for the company and emails these to the Department Leads at the beginning of every quarter. Due to the complexity of the documents, other functional areas of the business often don’t understand the information provided.

Department 4: This area of the business is concerned with revenue, which has recently slumped. The Department Lead is conducting market surveys to find out the reason for this.

Complete the table below by listing the Functional Area of the business, and the corresponding SERVQUAL Gap. Each response should only be used once: procurement, finance, sales, production, satisfaction gap, delivery gap, standards gap, communication gap.

Department

Functional area

SERVQUAL gap

Department 1

Box 1

Box 5

Department 2

Box 2

Box 6

Department 3

Box 3

Box 7

Department 4

Box 4

Box 8

Which of the following will you put into box 7?

Options:

A.

satisfaction gap

B.

delivery gap

C.

standards gap

D.

communication gap

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Questions 12

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

Options:

A.

directing

B.

designing

C.

delivery

D.

developing

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Questions 13

Which of the following are performance objectives which can be applied to the Operations department at any organisation? Select THREE

Options:

A.

cost reduction

B.

dependability

C.

quality

D.

flexibility

E.

innovation

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Questions 14

Which of the following is a benefit to a company of introducing TQM?

Options:

A.

higher profit margins

B.

benchmarking is made easier

C.

improved supplier relations

D.

increased customer loyalty

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Questions 15

When quality is used as a foundation to build improvements in other areas such as dependability, what is this theory known as?

Options:

A.

brick-laying theory

B.

wave theory

C.

sand cone theory

D.

bridge theory

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Questions 16

The methodology for defining customer requirements and creating products that meet those needs is commonly known as which of the following?

Options:

A.

business process re-engineering

B.

value engineering

C.

quality function deployment

D.

defining business needs

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Questions 17

A fast-food restaurant provides a drink machine for customers to use, which allows the customer to select the drink that they wish by putting their cup under the machine and pushing a button. The machine will first drop ice into the cup, but this button will not work unless the cup is placed on an X. What is this an example of?

Options:

A.

redundancy

B.

preventive maintenance

C.

fail safing

D.

run to breakdown

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Questions 18

Total Productive Maintenance and Just in Time are examples of Total Quality Management (TQM). Is this correct?

Options:

A.

yes- other examples include business process re-engineering

B.

yes- other examples include statistical process control

C.

no- TQM includes quality circles and quality function deployment

D.

no- TQM includes Kansei Engineering

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Questions 19

How can a company measure the dependability of an item it produces? Select TWO

Options:

A.

number of injuries caused by the product

B.

how quickly complaints are resolved

C.

variety of colours offered

D.

gross profit margin

E.

documentation is accurate

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Questions 20

Which of the following are basic performance objectives used for day-to-day operations and ensure staff are working towards tangible achievements? Select TWO

Options:

A.

cost

B.

quality

C.

customer satisfaction

D.

operations agility

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Questions 21

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

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Questions 22

Sunshine Ltd is a global manufacturer of confectionery with sales of products in over 30 different countries bringing in a revenue of over £5m. Due to different cultures and tastes, they produce similar products for each country market, but tweak the recipe slightly for each customer base. Which type of manufacturing process is used at Sunshine Ltd?

Options:

A.

make to order

B.

mass production

C.

customisation

D.

mass customisation

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Questions 23

Below are details of five companies who operate a Total Quality Management System (TQM). For each company, select the system used and identify which area of the Balanced Scorecard this relates to.

Company 1: The focus of this company is to gather real-time data to assess the quality of products created during the manufacturing process. There are tight budgets and reworking any defects will affect the bottom line.

Company 2: This company is concerned about how their products are received. They have recently completed market research focused on their client’s feelings. The objective is now to improve the product’s look and performance to meet these expectations.

Company 3: The focus of this company is defining the customer requirements and translating this into a high-quality specification and effective operational process.

Company 4: Within this company there is a group of 6 employees who meet regularly with the objective of reducing issues that arise in the manufacturing of products.

Complete the table below by listing the TQM System used and the relevant Balanced Scorecard criteria for each company. Each response should only be used once: Quality Circle, Statistical Process Control, Kansei Engineering, Quality Function Deployment, Finance Criteria, Business Process Criteria, Learning and Growth Criteria, Customer Criteria.

Company

TQM technique

Balanced Scorecard perspective

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 7?

Options:

A.

finance criteria

B.

business process criteria

C.

learning and growth criteria

D.

customer criteria

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Questions 24

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 7?

Options:

A.

functional layout

B.

cell layout

C.

product layout

D.

fixed-position layout

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Questions 25

Tools by Tom is a manufacturer of hardware. They have recently advertised that a new range of hammers would be released shortly, however due to issues in the supply chain and a low-quality delivery of steel, the production of the new hammers has been put on hold. Of the following, which are internal impacts of failure for the company? Select TWO.

Options:

A.

loss of credibility

B.

customer complaints

C.

downtime

D.

wasted resources

E.

decreased market share

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Questions 26

Total Quality Management is built on 8 founding principles. Which of the following do these include? Select THREE.

Options:

A.

employee involvement

B.

process improvement

C.

fact-based decision making

D.

bottom-up process design

E.

supply chain integration

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Questions 27

Little Joy Ltd is a large company with several functional departments. Below are details of four departments. For each, you must decide which functional area of the business the department is, as well as the SERVQUAL Gap that each Department Lead is concerned with.

Department 1: This department is concerned with the creation of products. The products are created in line with BS EN 716-1 and undergo rigorous tests before they leave the factory. Many customers are unaware of the additional costs of testing to BS EN 716-1 and complain about the price of this product line.

Department 2: Other departments of the business are internal customers of this functional area and approach the Department Lead when they require something to be bought. Often the internal customers have unrealistic expectations of the timescales involved in the process and the Department Lead spends a lot of time explaining lead times and logistics.

Department 3: This functional area creates the budgets for the company and emails these to the Department Leads at the beginning of every quarter. Due to the complexity of the documents, other functional areas of the business often don’t understand the information provided.

Department 4: This area of the business is concerned with revenue, which has recently slumped. The Department Lead is conducting market surveys to find out the reason for this.

Complete the table below by listing the Functional Area of the business, and the corresponding SERVQUAL Gap. Each response should only be used once: procurement, finance, sales, production, satisfaction gap, delivery gap, standards gap, communication gap.

Department

Functional area

SERVQUAL gap

Department 1

Box 1

Box 5

Department 2

Box 2

Box 6

Department 3

Box 3

Box 7

Department 4

Box 4

Box 8

Which of the following will you put into box 1?

Options:

A.

procurement

B.

finance

C.

sales

D.

production

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Questions 28

An order-qualifying objective contributes to business success because it guarantees a customer will purchase a product. Is this TRUE?

Options:

A.

Yes, order-qualifying objectives always guarantee a sale.

B.

Yes, order-qualifying objectives mean the product is superior to alternatives.

C.

No, an order qualifier establishes a minimum requirement for consideration but does not guarantee purchase.

D.

No, order qualifying refers to accepting or rejecting customer orders.

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Questions 29

Which of the following stakeholders are also internal customers?

Options:

A.

buyers

B.

the local community

C.

banks and lending agencies

D.

employees

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Questions 30

The DMAIC Methodology includes five phases, what are these?

Options:

A.

define, measure, analyse, improve, control

B.

design, manufacture, analyse, implement, control

C.

design, measure, apply, improve, consult

D.

define, manufacture, apply, increase, conclude

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Questions 31

When conducting Failure Mode and Effects Analysis (FMEA), which systems could be used to communicate or assess risks to business operations? Select TWO.

Options:

A.

ABC analysis

B.

Generic colour coding

C.

Red-Amber-Green (RAG) system

D.

A numerical scale from 1 to 10

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Questions 32

Under what circumstances would an 'intermittent operations' process be the most suitable?

Options:

A.

many different items are produced in low quantities

B.

where quality assurance must be carried out regularly

C.

an organisation with low numbers of manufacturing staff

D.

in high value, high volume production

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Questions 33

JJ Ltd is a sporting goods manufacturer who is based in the UK. It is considering expanding its operations to include manufacturing sites based in South America. Which of the following considerations will JJ Ltd need to consider now that they are becoming an international organisation? Select TWO

Options:

A.

keeping costs down

B.

cultural aspects

C.

quality standards

D.

product design

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Questions 34

Doug's Doughnuts Ltd is a large manufacturer of doughnuts. They produce in excess of 100,000 doughnuts per day which are boxed and sent to supermarkets and other retail outlets for sale. Large pieces of machinery are used to make the doughnuts. Which form of maintenance would be the most appropriate to use at Doug's Doughnuts?

Options:

A.

run to breakdown

B.

preventative

C.

condition based

D.

reactive

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Questions 35

Which of the following are operations management activities? Select THREE

Options:

A.

process selection

B.

materials management

C.

development of new products

D.

capacity planning

E.

job design

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Questions 36

Which of the following is NOT a stakeholder in the implementation of Six Sigma?

Options:

A.

Suppliers

B.

Customers

C.

Processes

D.

Employees

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Exam Code: L5M9
Exam Name: Operations Management
Last Update: Nov 14, 2026
Questions: 120
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