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WorksheetsCIE AS Operations Management
Total questions: 50
Worksheet time: 31mins
Refers to the creation of goods and services
Operations Management
Production
Productivity
Operations
Economic activities that typically produce an intangible product
Products
Services
Operations Management
Production
Functions that an organization perform
Planning
Operations
Accounting
Leading
Marketing
Activities that relate to the creation of goods and services through the transformation of inputs to outputs
(a)
Productivity increases when:
inputs increase while outputs remain the same
inputs decrease while outputs remain the same
outputs decrease while inputs remain the same
inputs and output increase proportionately
inputs increase as the same rate as outputs
Labour or capital intensive
Labour intensive
Capital Intensive
Labour or capital intensive
Labour intensive
Capital Intensive
What does productivity mean?
productivity is how products are made
productivity is a measure of how many workers a business has
productivity measures efficiency
productivity measures effectiveness
Which of these isn't a method of improving productivity?
employing more staff
providing pay incentives
investing in up-to-date machinery
training staff
Which of the following statements is correct?
the level of production is the total number of goods produced per worker
productivity can be measured by output per worker in a given time period
increasing production leads to increased productivity
reducing productivity per worker will increase the number of workers
One of the benefits of increasing productivity is:
more workers will be employed
total production will increase with the same number of workers
average costs will stay the same
fewer raw materials will be needed to produce the same level of output
Which one of the following is NOT a factor of production?
land
table
capital
enterprise
What does CAD stand for?
Code and Design
Computer Aided Design
Create and Design
Craft and Design
What is CAD?
An app that lets you analyze different design concepts
A coding program to let you easily write in a computer language
Computer software used to create 2D drawings/3D models of designs
Creation and development for any robot
What does CAM stand for?
Carefully Added Material
Computer Aided Manufacture
Computer Aided Making
Careful Addition Manufacture
What are the advantages of using CAD?
It is easy to learn and use
Precise, accurate drawings/models
You can easily send and edit designs
The software is cheap to buy
You can use CAM to bring your model to life
What are the disadvantages of CAD?
Staff need to be trained to get the full use of the software
It is not precise enough
It doesn't look professional
The software is very expensive to buy
What are the advantages of CAM?
Human error is eliminated
The machinery is cheap
Products can be produced 24 hours a day without the need for lunch breaks
Any product can be made, without assembly by a human
What is the main disadvantage of CAM?
Very expensive
Unreliable accuracy
Parts look unfinished
Takes up too much space
The rise of the internet has meant that many businesses costs are:
Lower as there is more need for expensive retail premises
Higher as there is more need for expensive retail premises
Higher as there is less need for expensive retail premises
Lower as there is less need for expensive retail premises
Why do businesses need to be close to customers?
increase the transportation cost
to increase sales
because all services are sold directly to customers
for convenience
What is the most important factor for business in agriculture?
wage of workers.
raw materials.
type of land.
rent of property.
Diseconomies of Scale result in a lower per unit production cost over the long run
True
False
A _____ is anywhere buyers and sellers meet to buy and sell goods and services.
Store
Workplace
Restaurant
Market
A company wishes to increase labour productivity. All other things being equal, this is most likely to be achieved if the company
employs more workers.
reduces the wages it pays its employees.
reduces current output.
invests in more capital equipment.
Diseconomies of scale might arise because
firms spend money on new technology which leads to lower average costs.
decision-making by management becomes more difficult in larger firms.
workers are more likely to be productively efficient in larger firms.
larger firms can buy in bulk.
Stock losses will result in ...
An increase in Revenue
An increase in Expenses
An increase in Assets
An decrease in Liabilities
Work in progress inventory is the goods the customers are awaiting delivery of.
True
False
This type of inventory is classed as goods that have entered the transformation process but have not yet emerged from it.
Buffer Stock
Pipeline inventory
Finished goods inventory
Work in progress inventory
Anticipation inventory
Inventory is another word for:
Stock
Finance
Staff
Managers
Select the costs and risks of UNDERstocking:
Reputation may suffer if order are not met
Customer may be lost to competition
Advertisement costs will increase
Money will be tied up in stock
Identify the costs and risks of OVERstocking:
Customers will not be able to buy what they want
Staff will be made redundant
Higher storage costs
Items could deteriorate with age
The maximum order level is:
The amount of inventory that the business should not fall below
The amount of inventory that the business should not rise above
The time that it will take for the stock to be delivered to the business
The maximum amount of stock that the customer is allowed to order
The minimum stock level is:
600
300
200
100
The re-order level is:
300
500
400
100
The order quantity is:
600
200
500
100
The buffer stock level is:
300
200
500
100
Just-in-time inventory management is when:
Customers have a short period of time to order their stock
Stock is ordered just in time for when it is required
Stock is delivered quickly
The business does not have to order any stock
