Operations and Supply Chain Strategy:
Key Concepts and Frameworks Exam
2026 Questions and Answers Graded A+
Operations and Supply Chain Strategy - Correct answer-The setting of broad
policies and plans that will guide the use of the resources needed by the firm to
implement its corporate strategy.
Corporate Strategy - Correct answer-Provides overall direction and coordinates
operational goals with those of the larger organization.
Operations Effectiveness - Correct answer-Performing activities in a manner that
best implements strategic priorities at a minimum cost.
Initiatives - Correct answer-The major steps that need to be taken to drive success
in the firm.
Competitive Dimensions - Correct answer-Parameters of performance that
companies focus on to attain an advantage over their competitors.
©COPYRIGHT 2026, ALL RIGHTS RESERVED 1
,Trade-Offs - Correct answer-Management must decide which parameters of
performance are critical and concentrate resources on those characteristics.
Strategic Position - Correct answer-Not sustainable unless there are compromises
with other positions.
Straddling - Correct answer-Seeking to match a successful competitor while
maintaining its existing position, often a risky strategy.
Order Qualifiers - Correct answer-Dimensions that are necessary for a firm's
products to be considered for purchase by customers.
Order Winners - Correct answer-Criteria used by customers to differentiate the
products and services of one firm from those of other firms.
Moderna's Operations Strategy - Correct answer-Developing a flexible product
development platform for producing mRNA medicines.
mRNA - Correct answer-The set of instructions by which cells make all proteins
and send them to various parts of the body.
Efficient Operations - Correct answer-Minimizing total cost without compromising
customers' needs.
Support It - Correct answer-Other product-specific criteria that companies may
focus on.
©COPYRIGHT 2026, ALL RIGHTS RESERVED 2
,Discussion 1 - Correct answer-Which competitive dimension(s) might companies
like eBay, Nordstrom, Starbucks, Apple, Facebook, and Uber focus on to attain an
advantage?
Product Development Platform - Correct answer-A system used by Moderna to
produce a new type of drug, specifically mRNA medicines.
Business Risk Implications - Correct answer-Understanding why strategies have
implications relative to business risk.
Productivity Evaluation - Correct answer-Assessing productivity in operations and
supply chain management.
Sustainable Business Strategy - Correct answer-A strategy that relates to operations
and supply chain management while considering long-term viability.
Activity-system maps - Correct answer-Diagrams that show how a company's
strategy is delivered through a set of supporting activities.
IKEA's Strategy - Correct answer-Targets young, low-cost buyers, uses a self-
service model, designs low-cost, modular, ready-to-assemble furniture, stocks
products in boxes, allows customers to pick their own boxes, and offers in-store
childcare and extended hours.
©COPYRIGHT 2026, ALL RIGHTS RESERVED 3
, Supply chain risk - Correct answer-The likelihood of a disruption that would
impact the ability of the company to continuously supply products or services.
Supply chain coordination risks - Correct answer-Risks associated with the day-to-
day management of the supply chain.
Disruption risks - Correct answer-Risks caused by natural or manmade disasters,
such as earthquakes, hurricanes, terrorism, and pandemics.
Supply Chain Risk Example - 2011 - Correct answer-In March 2011, a massive
earthquake unleashed a powerful tsunami that shut down virtually all
manufacturing capability in Sukagawa City, Japan.
Supply Chain Risk Example - 2012 - Correct answer-In 2012, excessive rain
ruined the grape harvest for Nyetimber, an English winemaker.
Supply Chain Risk Example - 2004 and 2021 - Correct answer-In 2004 and in
2021, oil tankers ran aground in the Suez Canal, blocking traffic through the canal
for nearly a week.
Supply Chain Risk Example - 2005 - Correct answer-In 2005, Hurricane Katrina
knocked out power and transportation routes along the Gulf of Mexico.
Supply Chain Risk Example - 2000 - Correct answer-In 2000, a 10-minute fire at a
Phillips plant that supplied integrated circuits led to a $400 million loss.
©COPYRIGHT 2026, ALL RIGHTS RESERVED 4
Key Concepts and Frameworks Exam
2026 Questions and Answers Graded A+
Operations and Supply Chain Strategy - Correct answer-The setting of broad
policies and plans that will guide the use of the resources needed by the firm to
implement its corporate strategy.
Corporate Strategy - Correct answer-Provides overall direction and coordinates
operational goals with those of the larger organization.
Operations Effectiveness - Correct answer-Performing activities in a manner that
best implements strategic priorities at a minimum cost.
Initiatives - Correct answer-The major steps that need to be taken to drive success
in the firm.
Competitive Dimensions - Correct answer-Parameters of performance that
companies focus on to attain an advantage over their competitors.
©COPYRIGHT 2026, ALL RIGHTS RESERVED 1
,Trade-Offs - Correct answer-Management must decide which parameters of
performance are critical and concentrate resources on those characteristics.
Strategic Position - Correct answer-Not sustainable unless there are compromises
with other positions.
Straddling - Correct answer-Seeking to match a successful competitor while
maintaining its existing position, often a risky strategy.
Order Qualifiers - Correct answer-Dimensions that are necessary for a firm's
products to be considered for purchase by customers.
Order Winners - Correct answer-Criteria used by customers to differentiate the
products and services of one firm from those of other firms.
Moderna's Operations Strategy - Correct answer-Developing a flexible product
development platform for producing mRNA medicines.
mRNA - Correct answer-The set of instructions by which cells make all proteins
and send them to various parts of the body.
Efficient Operations - Correct answer-Minimizing total cost without compromising
customers' needs.
Support It - Correct answer-Other product-specific criteria that companies may
focus on.
©COPYRIGHT 2026, ALL RIGHTS RESERVED 2
,Discussion 1 - Correct answer-Which competitive dimension(s) might companies
like eBay, Nordstrom, Starbucks, Apple, Facebook, and Uber focus on to attain an
advantage?
Product Development Platform - Correct answer-A system used by Moderna to
produce a new type of drug, specifically mRNA medicines.
Business Risk Implications - Correct answer-Understanding why strategies have
implications relative to business risk.
Productivity Evaluation - Correct answer-Assessing productivity in operations and
supply chain management.
Sustainable Business Strategy - Correct answer-A strategy that relates to operations
and supply chain management while considering long-term viability.
Activity-system maps - Correct answer-Diagrams that show how a company's
strategy is delivered through a set of supporting activities.
IKEA's Strategy - Correct answer-Targets young, low-cost buyers, uses a self-
service model, designs low-cost, modular, ready-to-assemble furniture, stocks
products in boxes, allows customers to pick their own boxes, and offers in-store
childcare and extended hours.
©COPYRIGHT 2026, ALL RIGHTS RESERVED 3
, Supply chain risk - Correct answer-The likelihood of a disruption that would
impact the ability of the company to continuously supply products or services.
Supply chain coordination risks - Correct answer-Risks associated with the day-to-
day management of the supply chain.
Disruption risks - Correct answer-Risks caused by natural or manmade disasters,
such as earthquakes, hurricanes, terrorism, and pandemics.
Supply Chain Risk Example - 2011 - Correct answer-In March 2011, a massive
earthquake unleashed a powerful tsunami that shut down virtually all
manufacturing capability in Sukagawa City, Japan.
Supply Chain Risk Example - 2012 - Correct answer-In 2012, excessive rain
ruined the grape harvest for Nyetimber, an English winemaker.
Supply Chain Risk Example - 2004 and 2021 - Correct answer-In 2004 and in
2021, oil tankers ran aground in the Suez Canal, blocking traffic through the canal
for nearly a week.
Supply Chain Risk Example - 2005 - Correct answer-In 2005, Hurricane Katrina
knocked out power and transportation routes along the Gulf of Mexico.
Supply Chain Risk Example - 2000 - Correct answer-In 2000, a 10-minute fire at a
Phillips plant that supplied integrated circuits led to a $400 million loss.
©COPYRIGHT 2026, ALL RIGHTS RESERVED 4
