COB 300 OPERATIONS EXAM 1
COMPREHENSIVE QUESTIONS AND CORRECT
ANSWERS
◉ What is the productivity formula?
Answer: Output divided by input in operations.
◉ what is the function of operations
Answer: Set of activities in business that generate value by
transforming inputs into outputs using efficient processes
Outputs: products, services
◉ What is a process
Answer: one or more actions that transform inputs into outputs.
* Many outputs are "bundles" of goods/ products and services
◉ What are the 4 sources of variation?
Answer: 1. Variety of goods or services being offered- more goods/
services are offered = more variation in production or service
requirements. (Too many toppings🍕)
,2. Structural variation in demand- generally predictable, and
important for capacity planning. (seasonality, cycles, trends )
3. Random variation- natural variation is present in all processes,
cannot be influenced by managers. (Airline operations: weather
delay, maintenance on planes )
4. Assignment variation- has identifiable sources, can be reduced or
eliminated by analysis or corrective action. (Manufacturing machine
underperforming)
◉ How can variation disrupt operations and supply chain processes?
Answer: SUPPLY > DEMAND = Wasteful and costly❌💰
SUPPLY = DEMAND = ideal
SUPPLY < DEMAND = opportunity lost, customer
dissatisfaction
◉ What is operations management?
Answer: -Managing operation activities focused on generating value
efficiently
-management of resources used to create products and/or services
,-Operations manager should not work in a "silo"
-Enterprise view is critical to being successful
◉ How business functions interrelate with other business functions?
Answer: Marketing: identifies demand for goods or services📈
Operations: assures supplies
Finance: allocating funds for the other functions (Ad budget ,
raw materials)
◉ System Operations
Answer: Tactical management of personnel and inventory.
◉ What is involved in system design?
Answer: -Capacity, facility location, facility layout, product and
service planning, acquisition and placement of equipment
-These are typically strategic decisions that require a long-term
commitment of resources AND determine parameters of system
operations
◉ What is system operations?
Answer: -Management of personnel, inventory management and
control, scheduling, project management, quality assurance
, -These are tactical and operational decisions
-Operations managers spend more time on operation decisions than
any other area
◉ Supply Chain
Answer: a sequence of activities and organizations involved in
producing and delivering a good or service or both⛓️
◉ What are the 5 Key Operation decisions/ questions?
Answer: -What: resources are needed, and in what amounts?
-When: will each resource be needed, when the work be scheduled,
and when should materials and other supplies be ordered?
-Where: will the work be done?
-How: will the product or service be designed? How will the work be
done? How will resources be allocated?
-Who: will do the work?
COMPREHENSIVE QUESTIONS AND CORRECT
ANSWERS
◉ What is the productivity formula?
Answer: Output divided by input in operations.
◉ what is the function of operations
Answer: Set of activities in business that generate value by
transforming inputs into outputs using efficient processes
Outputs: products, services
◉ What is a process
Answer: one or more actions that transform inputs into outputs.
* Many outputs are "bundles" of goods/ products and services
◉ What are the 4 sources of variation?
Answer: 1. Variety of goods or services being offered- more goods/
services are offered = more variation in production or service
requirements. (Too many toppings🍕)
,2. Structural variation in demand- generally predictable, and
important for capacity planning. (seasonality, cycles, trends )
3. Random variation- natural variation is present in all processes,
cannot be influenced by managers. (Airline operations: weather
delay, maintenance on planes )
4. Assignment variation- has identifiable sources, can be reduced or
eliminated by analysis or corrective action. (Manufacturing machine
underperforming)
◉ How can variation disrupt operations and supply chain processes?
Answer: SUPPLY > DEMAND = Wasteful and costly❌💰
SUPPLY = DEMAND = ideal
SUPPLY < DEMAND = opportunity lost, customer
dissatisfaction
◉ What is operations management?
Answer: -Managing operation activities focused on generating value
efficiently
-management of resources used to create products and/or services
,-Operations manager should not work in a "silo"
-Enterprise view is critical to being successful
◉ How business functions interrelate with other business functions?
Answer: Marketing: identifies demand for goods or services📈
Operations: assures supplies
Finance: allocating funds for the other functions (Ad budget ,
raw materials)
◉ System Operations
Answer: Tactical management of personnel and inventory.
◉ What is involved in system design?
Answer: -Capacity, facility location, facility layout, product and
service planning, acquisition and placement of equipment
-These are typically strategic decisions that require a long-term
commitment of resources AND determine parameters of system
operations
◉ What is system operations?
Answer: -Management of personnel, inventory management and
control, scheduling, project management, quality assurance
, -These are tactical and operational decisions
-Operations managers spend more time on operation decisions than
any other area
◉ Supply Chain
Answer: a sequence of activities and organizations involved in
producing and delivering a good or service or both⛓️
◉ What are the 5 Key Operation decisions/ questions?
Answer: -What: resources are needed, and in what amounts?
-When: will each resource be needed, when the work be scheduled,
and when should materials and other supplies be ordered?
-Where: will the work be done?
-How: will the product or service be designed? How will the work be
done? How will resources be allocated?
-Who: will do the work?
