Operations Management
Comprehensive FA Review (Qns & Ans)
2025
1. Which of the following is a key principle of lean
management?
- A) Increasing inventory levels
- B) Reducing waste
- C) Maximizing employee turnover
- D) Expanding facility size
- ANS: B) Reducing waste
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, - Rationale: Lean management focuses on reducing waste in
processes to improve efficiency and value to the customer.
2. What is the primary purpose of Six Sigma in operations
management?
- A) To increase product variety
- B) To reduce defects and improve quality
- C) To maximize employee headcount
- D) To expand market share
- ANS: B) To reduce defects and improve quality
- Rationale: Six Sigma is a methodology aimed at reducing
defects, improving quality, and achieving near-perfect processes.
Fill-in-the-Blank Questions
3. The __________ method involves analyzing and optimizing
the flow of materials, information, and finances in a supply chain.
- ANS: supply chain management
- Rationale: Supply chain management focuses on the
efficient flow of materials, information, and finances throughout
the supply chain to optimize operations.
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,4. __________ is the process of ensuring that an organization's
outputs meet customer expectations and regulatory requirements.
- ANS: Quality assurance
- Rationale: Quality assurance involves systematic processes
to ensure that outputs meet customer expectations and regulatory
requirements.
True/False Questions
5. True or False: Just-in-time (JIT) inventory management aims
to reduce inventory levels by delivering materials and products
only when needed.
- ANS: True
- Rationale: JIT inventory management reduces inventory
levels by delivering materials and products only when they are
needed, minimizing holding costs and waste.
6. True or False: Total quality management (TQM) involves the
participation of only senior management in quality improvement
efforts.
- ANS: False
- Rationale: TQM involves the participation of all employees
in quality improvement efforts, not just senior management.
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, Multiple Response Questions
7. Which of the following are components of a successful
operations management strategy? (Select all that apply)
- A) Process optimization
- B) Workforce training
- C) Increasing production errors
- D) Technology integration
- ANS: A) Process optimization, B) Workforce training, D)
Technology integration
- Rationale: Successful operations management strategies
include process optimization, workforce training, and technology
integration to improve efficiency and quality.
8. Which of the following techniques can be used to improve
production efficiency? (Select all that apply)
- A) Bottleneck analysis
- B) Increasing batch sizes
- C) Process automation
- D) Reducing machine maintenance
- ANS: A) Bottleneck analysis, C) Process automation
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