Chapter 2

Question 1

(…..)are the people and groups who have a legitimate interest in the operation’s activities.

Answer 1

Stakeholders

Question 2

how operations can judge its performance at three levels?

Answer 2

▶ The broad, societal level, using the idea of the ‘triple bottom line’.

▶ The strategic level of how an operation can contribute to the organization’s overall strategy.

▶ The operational level, using the five operations ‘performance objectives’.

Question 3

An example of an internal stakeholder ?

Answer 3

operation’s employees.

Question 4

An example of external stakeholders?

Answer 4

customers, society or community groups and a company’s shareholders.

Question 5

Some external stakeholders have a direct commercial relationship with the organization, for example

Answer 5

suppliers and customers.

Question 6

Some external stakeholders (don’t) have a direct commercial relationship with the organization, for example

Answer 6

industry regulators.

Question 7

(……) the difference between the costs of producing products and services and the revenue the organization secures from its customers in exchange.

Answer 7

Profit

Question 8

You would want to do things right; would not want to make mistakes, want to satisfy your customers by providing error-free goods and services which are ‘fit for their purpose’. This is giving a (……) advantage.

Answer 8

Quality

Question 9

You would want to do things fast, minimizing the time between a customer asking for goods or services and the customer receiving them in full, thus increasing the availability of your goods and services and giving a (……) advantage.

Answer 9

Speed👏🏼

Question 10

‘doing things right’,

Answer 10

Quality