OPM 311 Test Questions with Correct Answers Latest 2025
What is operations and supply chain management? - Answers The design, operation, and improvement
of the systems that create and deliver the firm's primary products and services
Benchmarking - Answers When one company studies the processes of another company to identify best
practices
Process - Answers Made up of one or more activities that transform inputs into outputs
Sourcing - Answers The selection of suppliers that will deliver the goods and services needed to create
the firm's product
Logistics processing - Answers Delivering
Five differences between services and goods - Answers 1. Service is intangible, good is tangible
2. Service requires some degree of interaction with the customer
3. Services are inherently heterogenous
4. Services as a process are perishable and time dependent
5. The specifications of a service are defined and evaluated as a package of features that affect the 5
senses
Efficiency - Answers Doing something at the lowest possible cost
Effectiveness - Answers Doing the things that will create the most value for the company
Value - Answers The attractiveness of a product relative to its cost
Mass customization - Answers The ability to produce a unique product to a particular customer's
requirements
Electric Commerce - Answers Refers to the use of the internet as an essential element of business
activity
Service Science - Answers Aims to apply the latest concepts in IT-based organizations
Business Analytics - Answers Involves the analysis to better solve business problems using mathematical
analysis
Sustainability - Answers The ability to meet current resource needs without compromising the ability of
future generations to meet their needs
, Triple bottom line - Answers A business strategy that includes social, economic, and environmental
criteria
What are the two most important metrics? - Answers Customer service and cost
Single-source purchasing - Answers Using one supplier for a product, cheaper and more flexible products
Sole-sourcing - Answers When the supplier is the only place to buy products
Operations - Answers Manufacturing and service processes used to transform resources into products
Supply chain - Answers Processes that move info and material to and from the firm
Process activities - Answers Planning, sourcing, making, delivering, returning
Evaluating efficiency - Answers Benchmarking and margin, management efficiency ratios
Six-Sigma Quality - Answers Process of improvement; standard of quality, 3.4 defects allowed in a
million opportunities
Strategy - Answers How a firm will create and sustain value for current shareholders
Shareholders - Answers Individuals/ companies that legally own one or more shares of stock in the
company
Stakeholders - Answers Individuals/ organizations who are directly or indirectly influenced by the actions
of the firm
Operations effectiveness - Answers Performing activities in a manner that best implements strategic
priorities at a minimum cost
Corporate strategy - Answers Long term (3-5 years) direction of the company
(Products, markets)
Business imperatives - Answers Tactical objectives that must be done in the next year for a competitive
advantage
Operations objectives - Answers Yearly objectives to support the business imperatives and longer term
strategy
Trade-offs - Answers Management must decide which parameters of performance are critical and
concentrate resources on those characteristics
Straddling - Answers Seeking to match a successful competitor by adding features, services, or
technology to existing activities (risky strategy)
What is operations and supply chain management? - Answers The design, operation, and improvement
of the systems that create and deliver the firm's primary products and services
Benchmarking - Answers When one company studies the processes of another company to identify best
practices
Process - Answers Made up of one or more activities that transform inputs into outputs
Sourcing - Answers The selection of suppliers that will deliver the goods and services needed to create
the firm's product
Logistics processing - Answers Delivering
Five differences between services and goods - Answers 1. Service is intangible, good is tangible
2. Service requires some degree of interaction with the customer
3. Services are inherently heterogenous
4. Services as a process are perishable and time dependent
5. The specifications of a service are defined and evaluated as a package of features that affect the 5
senses
Efficiency - Answers Doing something at the lowest possible cost
Effectiveness - Answers Doing the things that will create the most value for the company
Value - Answers The attractiveness of a product relative to its cost
Mass customization - Answers The ability to produce a unique product to a particular customer's
requirements
Electric Commerce - Answers Refers to the use of the internet as an essential element of business
activity
Service Science - Answers Aims to apply the latest concepts in IT-based organizations
Business Analytics - Answers Involves the analysis to better solve business problems using mathematical
analysis
Sustainability - Answers The ability to meet current resource needs without compromising the ability of
future generations to meet their needs
, Triple bottom line - Answers A business strategy that includes social, economic, and environmental
criteria
What are the two most important metrics? - Answers Customer service and cost
Single-source purchasing - Answers Using one supplier for a product, cheaper and more flexible products
Sole-sourcing - Answers When the supplier is the only place to buy products
Operations - Answers Manufacturing and service processes used to transform resources into products
Supply chain - Answers Processes that move info and material to and from the firm
Process activities - Answers Planning, sourcing, making, delivering, returning
Evaluating efficiency - Answers Benchmarking and margin, management efficiency ratios
Six-Sigma Quality - Answers Process of improvement; standard of quality, 3.4 defects allowed in a
million opportunities
Strategy - Answers How a firm will create and sustain value for current shareholders
Shareholders - Answers Individuals/ companies that legally own one or more shares of stock in the
company
Stakeholders - Answers Individuals/ organizations who are directly or indirectly influenced by the actions
of the firm
Operations effectiveness - Answers Performing activities in a manner that best implements strategic
priorities at a minimum cost
Corporate strategy - Answers Long term (3-5 years) direction of the company
(Products, markets)
Business imperatives - Answers Tactical objectives that must be done in the next year for a competitive
advantage
Operations objectives - Answers Yearly objectives to support the business imperatives and longer term
strategy
Trade-offs - Answers Management must decide which parameters of performance are critical and
concentrate resources on those characteristics
Straddling - Answers Seeking to match a successful competitor by adding features, services, or
technology to existing activities (risky strategy)
