Operations

Question 1

role of operations management

Answer 1

• strategic role of operations management – cost leadership, good/service differentiation
• goods and/or services in different industries
• interdependence with other key business functions

Question 2

influences of operations management

Answer 2

• globalisation, technology, quality expectations, cost-based competition, government policies, legal regulation, environmental sustainability
• corporate social responsibility
the difference between legal compliance and ethical responsibility
environmental sustainability and social responsibility

Question 3

operations processes

Answer 3

• inputs
transformed resources (materials, information, customers)
transforming resources (human resources, facilities)
• transformation processes
the influence of volume, variety, variation in demand and visibility (customer contact)
sequencing and scheduling – Gantt charts, critical path analysis
technology, task design and process layout
monitoring, control and improvement
• outputs
customer service
warranties

Question 4

operations strategies

Answer 4

• performance objectives – quality, speed, dependability, flexibility, customisation, cost
• new product or service design and development
• supply chain management – logistics, e-commerce, global sourcing
• outsourcing – advantages and disadvantages
• technology – leading edge, established
• inventory management – advantages and disadvantages of holding stock, LIFO (last-in-first-out), FIFO (first-in-first-out), JIT (just-in-time)
• quality management
control
assurance
improvement
• overcoming resistance to change – financial costs, purchasing new equipment, redundancy payments, retraining, reorganising plant layout, inertia
• global factors – global sourcing, economies of scale, scanning and learning, research and development