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IGCSE Section 4: Operations Management 4

Total questions: 40

Worksheet time: 20mins

Name
Class
Date
1.
1. What is mass production?
a)

1. Producing goods one at a time

b)

2. Producing goods in small quantities

c)

3. Producing goods in large quantities

d)

4. Producing goods for a limited period

2.
2. What is job production?
a)

1. Producing goods one at a time

b)

2. Producing goods in small quantities

c)

3. Producing goods in large quantities

d)

4. Producing goods for a limited period

3.
3. What is batch production?
a)

1. Producing goods one at a time

b)

2. Producing goods in small quantities

c)

3. Producing goods in large quantities

d)

4. Producing goods for a limited period

4.
4. Which of the following is NOT a benefit of mass production?
a)
1. Lower production costs
b)
2. Consistent quality of products
c)
3. Ability to customize products
d)
4. High production speed
5.
5. What is a fixed cost?
a)
1. A cost that varies with the level of production
b)
2. A cost that remains constant regardless of the level of production
c)
3. A cost that is incurred only when a product is sold
d)
4. A cost that is not associated with production
6.
6. What is a variable cost?
a)
1. A cost that remains constant regardless of the level of production
b)
2. A cost that varies with the level of production
c)
3. A cost that is incurred only when a product is sold
d)
4. A cost that is not associated with production
7.
8. What is the break-even point?
a)
1. The point at which a business starts to make a profit
b)
2. The point at which total revenue equals total costs
c)
3. The point at which total revenue exceeds total costs
d)
4. The point at which total revenue is less than total costs
8.
9. What is quality control?
a)
1. A process of ensuring that a product meets a certain level of quality
b)
2. A process of preventing defects in the production process
c)
3. A process of continuously improving product quality
d)
4. A process of ensuring that products are produced efficiently
9.
10. What is quality assurance?
a)
1. A process of ensuring that a product meets a certain level of quality
b)
2. A process of preventing defects in the production process
c)
3. A process of continuously improving product quality
d)
4. A process of ensuring that products are produced efficiently
10.
11. What is the benefit of having quality production?
a)
1. Increased production costs
b)
2. Decreased customer satisfaction
c)
3. Improved brand reputation
d)
4. Increased waste
11.
15. What is the formula for calculating total cost?
a)
A. Fixed cost + variable cost
b)
B. Selling price - variable cost
c)
C. Fixed cost - variable cost
d)
D. Selling price + variable cost
12.
16. What is the difference between quality control and quality assurance?
a)
A. Quality control focuses on the final product, while quality assurance focuses on the production process
b)
B. Quality control focuses on the production process, while quality assurance focuses on the final product
c)
C. Quality control and quality assurance are the same thing
d)
D. Quality control and quality assurance are not important in production
13.

Which of the following is NOT a way to improve productivity in operations management?

a)

Introducing new technology

b)

Reducing waste

c)

Increasing employee breaks

d)

Streamlining processes

14.
18. Which of the following is a benefit of using technology in production?
a)
A. Lower production costs
b)
B. Increased production capacity
c)
C. Improved quality control
d)
D. All of the above
15.
19. What is an advantage of mass production?
a)
A. Lower cost per unit
b)
B. Production of unique items
c)
C. Flexible production process
d)
D. Low level of wastage
16.
20. What is the difference between job production and batch production?
a)
A. Job production involves producing a large number of identical items, while batch production involves producing a small number of unique items
b)
B. Job production involves producing a unique item, while batch production involves producing a large number of identical items
c)
C. Job production and batch production are the same thing
d)
D. None of the above
17.
22. What is the main disadvantage of job production?
a)
High fixed costs
b)
Low quality products
c)
Low skilled workforce
d)
High unit costs
18.
23. Which of the following is an example of a fixed cost in production?
a)
Raw materials
b)
Rent for a factory
c)
Electricity bill
d)
Wages for workers
19.
25. Which of the following is an example of quality control?
a)
Inspecting finished products to ensure they meet a set standard
b)
Conducting surveys to gather customer feedback
c)
Training employees to use new equipment
d)
Encouraging employees to suggest process improvements
20.

Which of the following best describes the concept of Kaizen in operations management?

a)

A one-time improvement in production processes

b)

A Japanese production technique involving robots

c)

A continuous improvement approach to production processes

d)

An approach to quality control that only focuses on finished products

21.

What is the primary benefit of implementing a Just-in-Time (JIT) system in manufacturing?

a)

Increased production costs

b)

Increased inventory holding costs

c)

Increased lead times

d)

Reduced inventory holding costs

22.

Which of the following statements correctly differentiates between production and productivity?

a)

Production refers to the output of goods and services, while productivity refers to the efficiency with which resources are used to produce those goods and services.

b)

Production and productivity are two terms that refer to the same thing.

c)

Production refers to the efficiency with which resources are used to produce goods and services, while productivity refers to the output of those goods and services.

d)

Production and productivity are both terms that refer to the cost of producing goods and services.

23.

Which of the following is NOT one of the five economies of scale?

a)

Purchasing economies

b)

Technical economies

c)

Marketing economies

d)

Capital Economies

24.

Which of the following is NOT one of the four main diseconomies of scale?

a)

Coordination and communication problems

b)

Lack of motivation from employees

c)

Too much delegation

d)

New technology

25.

Which of the following is not a factor affecting location decisions for a retail/service business

a)

Proximity Customers

b)

Cost

c)

Infrastructure

d)

Store Design

26.

What is the main purpose of lean production?

a)

Increase output by hiring more workers

b)

Reduce costs by using cheaper materials

c)

Eliminate waste and improve efficiency

d)

Increase inventory levels to meet demand

27.

Which of the following is a drawback of Just-in-Time (JIT) production?

a)

Low inventory costs

b)

Less need for storage space

c)

Greater flexibility in production

d)

High risk if suppliers delay delivery

28.

What does the term “economies of scale” refer to?

a)

Increased variable costs

b)

Higher prices due to demand

c)

Lower average costs as output rises

d)

Falling break-even points

29.

Which cost would most likely increase as a business produces more units?

a)

Factory rent

b)

Insurance premiums

c)

Salaries of managers

d)

Raw materials

30.

Why is location important for a manufacturing business?

a)

It affects customer loyalty

b)

It determines profit margins

c)

It influences transport and labour costs

d)

It guarantees quality production

31.

A factory uses batch production to make school uniforms. Demand has now risen steadily. What’s the best change to improve efficiency?

a)

Switch to job production

b)

Switch to mass production

c)

Reduce worker shifts

d)

Buy cheaper fabric

32.

A bakery often throws away unsold fresh bread. What is the best strategy to reduce waste while maintaining quality?

a)

Raise prices to lower demand

b)

Use cheaper ingredients

c)

Switch to Just-in-Time production

d)

Increase batch sizes

33.

A tech firm wants to improve product quality. Which is the best option long term?

a)

Introduce quality assurance systems

b)

Replace all staff

c)

Lower the selling price

d)

Inspect each product before sale

34.

A small clothing business wants to increase added value. Which is the best option?

a)

Buy more expensive thread

b)

Lower prices without change

c)

Use eco-friendly packaging

d)

Pay lower wages

35.

A car factory is facing communication problems due to its large size. What is the best way to solve this?

a)

Increase output

b)

Invest in digital communication tools

c)

Use more delegation

d)

Offer more breaks

36.

Just-in-Time production helps reduce storage costs.

a)

True

b)

False

37.

Fixed costs change directly with the level of output.

a)

True

b)

False

38.

Quality control focuses on checking products after production is complete.

a)

True

b)

False

39.

Job production is the cheapest method for high-volume output.

a)

True

b)

False

40.

Diseconomies of scale can lead to higher average costs as a business grows too large.

a)

True

b)

False