2.1 Role of Operations management

Question 1

What is operation?

Answer 1

The function of business that deal with the transformation of inputs into outputs`

Question 2

What are the strategic goals of operations?

Answer 2

• Improve productivity
• Efficiency
• Quality of outputs

Question 3

What is cost leadership strategy?

Answer 3

Is the strategy in which a business aims to be the lowest cost manufacturer within its industry.

Question 4

How can low costs production be achieved?

Answer 4

Through economies of scale in production and distribution, cheaper raw materials and technology aid.

Question 5

What are challenges of cost leadership strategy?

Answer 5

• Competitor can use the same strategy and achieved even lower price
• Customer preference of low cost product - low quality

Question 6

How product differentiation is ad vantage?

Answer 6

• Generate more sale due to ‘unique’ features in the products that offer to customer

Question 7

Name 5 ways company can differ their product?

Answer 7

• Better quality
• Faster delivery
• Custom design product
• Clever design
• More application

Question 8

What is tangible and intangible?

Answer 8

• Tangible is products (Can touch, see , smell, felt)

- Intangible is services (Cannot see, touch or feel)

Question 9

What is primary industry and example ?

Answer 9

-Raw material collection (mining)

Question 10

What is secondary industry and example?

Answer 10

• Use raw materials to create products(Construction)

Question 11

What is tertiary industry and give example?

Answer 11

• Provide service (hair salon)

Question 12

What is quaternary industry and example?

Answer 12

-Transfer information (Radio)

Question 13

What is quinary industry and example?

Answer 13

• Service provide at home (Restaurant