WGU C215 Operations Management | Ultimate 150-Question Final
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WGU C215 Operations Management
1. Which term describes the management of the entire flow of information,
materials, and services from raw-materials suppliers through factories and
warehouses to the end customer?
A) Enterprise Resource Planning (ERP)
B) Supply Chain Management (SCM)
C) Operations Strategy
D) Total Quality Management (TQM)
Answer: B
Rationale: SCM is the broad integration of all activities associated with the moving of
goods from the earliest stage to the final consumer.
2. According to the WGU C215 curriculum, "Operations Management" is primarily
responsible for:
A) Increasing the company's stock price
B) Transforming inputs (labor, capital, materials) into outputs (goods and services)
C) Hiring and firing employees
D) Developing the annual marketing budget
Answer: B
Rationale: The core of OM is the transformation process that adds value to a product or
service.
3. Which "Quality Guru" is best known for the "14 Points for Management" and
the PDCA (Plan-Do-Check-Act) cycle?
A) Joseph Juran
B) Philip Crosby
C) W. Edwards Deming
D) Kaoru Ishikawa
Answer: C
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Rationale: Deming’s philosophy emphasized that management is responsible for 85% of
quality problems and pushed for continuous improvement.
4. A company produces 100 units using 20 hours of labor. What is their labor
productivity?
A) 0.2 units per hour
B) 5 units per hour
C) 2000 units
D) 80 units
Answer: B
Rationale: Productivity = Output / Input. In this case, = 5.
5. In "Six Sigma," what is the maximum number of defects allowed per million
opportunities (DPMO)?
A) 1.2
B) 3.4
C) 10.0
D) 6.0
Answer: B
Rationale: Six Sigma aims for near-perfection, allowing only 3.4 defects for every million
units produced.
6. Which tool is used to identify the "vital few" problems from the "trivial many"
using the 80/20 rule?
A) Fishbone Diagram
B) Pareto Chart
C) Control Chart
D) Histogram
Answer: B
Rationale: A Pareto chart ranks problems by frequency; usually, 80% of problems are
caused by 20% of the causes.
7. "Just-in-Time" (JIT) production is primarily focused on:
A) Increasing safety stock
B) Eliminating waste (Muda) and reducing inventory levels
C) Batch processing large orders
D) Outsourcing all production
Answer: B
Rationale: JIT seeks to produce only what is needed, when it is needed, to reduce
carrying costs and improve flow.
,2026 UPDATED QUESTIONS DOWNLOAD
8. Which type of layout is most appropriate for a high-volume, standardized
production process like an auto assembly line?
A) Process Layout (Functional)
B) Product Layout (Line)
C) Fixed-Position Layout
D) Cellular Layout
Answer: B
Rationale: Product layouts are designed for repetitive, high-volume production where
the work follows a fixed path.
9. In the "Service-Profit Chain," internal service quality leads directly to:
A) Higher prices
B) Employee satisfaction and productivity
C) Lower taxes
D) New product development
Answer: B
Rationale: Happy, well-supported employees provide better service, which eventually
leads to customer loyalty and profit.
10. What is the main disadvantage of a "Moving Average" forecast?
A) It is too complex to calculate
B) It lags behind actual trends and "smooths" out sudden changes
C) It ignores all historical data
D) It only works for new products
Answer: B
Rationale: Because it averages past data, it is slow to react to real-world shifts or
seasonal spikes.
11. "Capacity Utilization" is calculated as:
A) Actual Output / Design Capacity
B) Design Capacity / Effective Capacity
C) Input / Output
D) Sales / Costs
Answer: A
Rationale: This ratio measures how close a facility is to its maximum theoretical output.
12. Which inventory cost is associated with "Opportunity Cost" and the physical
space used to store goods?
A) Ordering Cost
B) Setup Cost
, 2026 UPDATED QUESTIONS DOWNLOAD
C) Holding (Carrying) Cost
D) Shortage Cost
Answer: C
Rationale: Carrying costs include insurance, taxes, storage fees, and the cost of capital
tied up in inventory.
13. The "Economic Order Quantity" (EOQ) model seeks to minimize the sum of
which two costs?
A) Labor and Materials
B) Holding Costs and Ordering Costs
C) Shipping and Handling
D) Marketing and Sales
Answer: B
Rationale: The EOQ is the "sweet spot" where the cost of placing orders equals the cost
of holding the items.
14. In "Project Management," the "Critical Path" is the sequence of activities that:
A) Is the most expensive
B) Takes the shortest amount of time
C) Has zero slack time and determines the total project duration
D) Can be delayed without affecting the end date
Answer: C
Rationale: If any task on the critical path is delayed, the entire project is delayed.
15. "Outsourcing" is the act of:
A) Moving a factory to another country
B) Hiring an outside firm to perform services previously handled in-house
C) Increasing the number of employees
D) Selling products online
Answer: B
Rationale: Outsourcing allows a firm to focus on its "core competencies" while letting
experts handle non-core tasks.
16. Which "Quality Tool" is also known as an "Ishikawa Diagram" or "Cause-and-
Effect Diagram"?
A) Scatter Plot
B) Fishbone Diagram
C) Flowchart
D) Check Sheet
Answer: B