Operational Strategy

What are the key components of supply chain management?

• Planning, sourcing, making, delivering, and returning

• Selling, advertising, marketing

• Hiring, training, supervising

• Designing, manufacturing, packaging

Explain the concept of total quality management in the context of operation strategy.

• TQM focuses on reducing costs by cutting corners and compromising on quality

• TQM is only concerned with the satisfaction of the organization's shareholders

• TQM emphasizes the importance of customer satisfaction, continuous improvement, and involvement of all members of the organization in quality improvement.

• TQM does not involve the participation of all members of the organization in quality improvement

What are the different types of inventory management techniques?

• Fixed Order Quantity (FOQ), Periodic Inventory System, and Safety Stock Inventory

• Just-in-Time (JIT), ABC analysis, Economic Order Quantity (EOQ), and Vendor Managed Inventory (VMI)

• First In, First Out (FIFO), Last In, First Out (LIFO), and Weighted Average Cost Method (WAC)

• Total Quality Management (TQM), Six Sigma, and Lean Manufacturing

How does supply chain management contribute to the overall operational strategy of a company?

• By decreasing customer satisfaction and increasing costs

• By causing delays in the flow of goods and services

• By increasing costs and reducing efficiency

• By optimizing the flow of goods and services, reducing costs, improving efficiency, and enhancing customer satisfaction.

Discuss the importance of quality control in operation strategy.

• Minimizing customer satisfaction

• Ensuring products or services meet required standards and specifications

• Maximizing profits

• Ignoring industry standards

What are the challenges faced in inventory management and how can they be overcome?

• Ignoring demand patterns and storage space

• Challenges in inventory management include demand variability, storage space constraints, and tracking inefficiencies. These can be overcome by identifying demand patterns, optimizing storage space, and implementing efficient tracking systems.

• Implementing outdated tracking systems

• Hiring more staff to manage inventory

Explain the role of technology in improving supply chain management.

• Technology has no impact on supply chain management

• Technology only adds complexity to supply chain management

• Technology helps in providing real-time visibility, data analytics, automation, and better communication in supply chain management.

• Supply chain management can be improved without the use of technology

How can companies ensure effective quality control throughout the production process?

• Skipping inspections and testing

• Implementing quality management systems, conducting regular inspections, using statistical process control, and providing employee training

• Not providing any employee training

• Ignoring customer feedback

Discuss the impact of effective inventory management on the financial performance of a company.

• Effective inventory management has no impact on financial performance

• Effective inventory management leads to higher holding costs and lower profitability

• Effective inventory management causes frequent stockouts and reduces cash flow

• Effective inventory management can positively impact the financial performance of a company by reducing holding costs, minimizing stockouts, improving cash flow, and increasing profitability.

What are the key performance indicators used to measure the success of supply chain management?

• Marketing budget

• Employee turnover rate

• Customer satisfaction

• On-time delivery, inventory turnover, order fulfillment cycle time, and perfect order fulfillment