Operations Management Objective Assessment (OA)
Exam Prep | Process Analysis, Supply Chain
Management, Quality Improvement, Lean Systems,
Six Sigma Basics, Capacity Planning, Forecasting
Methods, Inventory Management & Operations
Strategy Study Guide with Practice Questions
, Question 1
What is the primary goal of operations management?
A) To maximize profits
B) To optimize efficiency and effectiveness
C) To minimize costs
D) To improve employee satisfaction
Correct Option: B) To optimize efficiency and effectiveness
Rationale: The primary goal of operations management is to optimize both efficiency
and effectiveness in the production of goods and services. This involves managing
resources, processes, and technology to produce high-quality products while
minimizing waste and costs. While maximizing profits and minimizing costs are
important, they are not the sole focus of operations management.
Question 2
Which of the following is a key component of the supply chain management
process?
A) Human resources management
B) Financial planning
C) Procurement
D) Market analysis
Correct Option: C) Procurement
Rationale: Procurement is a fundamental part of supply chain management, as it
involves acquiring the goods and services necessary to produce a final product.
Effective procurement practices can enhance the efficiency of the entire supply chain
by ensuring that materials are sourced at the right time, quality, and cost.
Question 3
What does the term 'lean manufacturing' refer to?
A) A method to reduce waste and improve efficiency
B) An approach to increase product variety
C) An initiative to enhance employee roles
D) A strategy for high inventory levels
Correct Option: A) A method to reduce waste and improve efficiency
Rationale: Lean manufacturing focuses on minimizing waste while maximizing
productivity. This approach emphasizes streamlining operations, improving quality, and