Influences of operations and HRM on
business activity) – Ultimate Q&A Guide
2025/2026
1. Define ‘operations management’. – ANS---The activities involved in
producing goods or services efficiently and effectively, including planning,
organising and controlling the production process.
2. Give two objectives of operations management. – ANS---To reduce costs and
to improve quality (also: increase efficiency, meet customer demand).
3. What is meant by ‘productivity’? – ANS---The output per unit of input (e.g.,
per worker or per hour) – a measure of efficiency.
4. State the formula for labour productivity. – ANS---Total output ÷ number of
employees (or total hours worked).
5. A business produces 5,000 units with 20 workers. Calculate labour productivity.
– ANS---5,000 ÷ 20 = 250 units per worker.
6. What is the difference between production and productivity? – ANS---
Production is the total amount produced; productivity is output per input
(efficiency).
7. Give two ways a business can improve labour productivity. – ANS---Provide
training and introduce new technology (also: motivation schemes, better
organisation).
,8. What is meant by ‘job production’? – ANS---A method where a single product
is made from start to finish to meet specific customer requirements (e.g.,
wedding cakes, custom furniture).
9. Give one advantage of job production. – ANS---High quality and unique
products, often able to charge a premium price.
10. Give one disadvantage of job production. – ANS---Labour-intensive and
slow, leading to higher costs per unit.
11. What is ‘batch production’? – ANS---A method where groups of identical
products (batches) are made at each stage before moving to the next stage
(e.g., bakery making different types of bread).
12. Give one advantage of batch production. – ANS---Some variety for customers
and lower unit costs than job production.
13. Give one disadvantage of batch production. – ANS---Time lost cleaning and
resetting machinery between batches (downtime).
14. What is ‘flow production’ (mass production)? – ANS---A continuous process
where identical products are made on an assembly line, often using
automation (e.g., car manufacturing).
15. Give one advantage of flow production. – ANS---Very low unit costs and
high output.
16. Give one disadvantage of flow production. – ANS---High initial investment in
machinery and very repetitive work for employees.
17. Which production method is most suitable for a one-off luxury yacht? – ANS--
-Job production.
, 18. Which production method is most suitable for a soft drinks factory producing
millions of identical bottles? – ANS---Flow production.
19. What is meant by ‘efficiency’ in operations? – ANS---Producing output with
minimum wasted resources (time, materials, energy).
20. Define ‘quality control’. – ANS---A system of inspecting products at the end
of the production process to check for defects.
21. Give one advantage of quality control. – ANS---Prevents faulty products
reaching customers.
22. Define ‘quality assurance’. – ANS---A system that focuses on preventing
defects by building quality into every stage of production, often involving all
employees.
23. Give one advantage of quality assurance. – ANS---Reduces waste and
rework, improves employee motivation because workers take pride in their
work.
24. What is Total Quality Management (TQM)? – ANS---A philosophy where
every employee is responsible for quality and continuous improvement is
sought.
25. Name two costs of poor quality. – ANS---Customer returns, lost reputation
(also: rework costs, scrap, warranty claims).
26. What does ‘just-in-time’ (JIT) mean? – ANS---A stock control method where
materials and components arrive exactly when they are needed in production,
minimising stock holding.
27. Give one advantage of JIT. – ANS---Reduces costs of storing stock and less
capital tied up in inventory.