OPM EXAM 1 QUESTIONS & ANSWERS
2025/26 ALREADY PASSED.
1 of 53
Term
What is sustainability?
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using resources rapidly to meet maximizing current profits without
immediate needs regard for future use
depleting resources for short-term managing resources to make
sure they are available for
economic growth
future generations
, Don't know?
2 of 53
Term
What is the impact of demand variation on Operations
Management?
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You need to automate processes, You need to reduce inventory,
reduce capacity, and fixed streamline capacity, and eliminate
scheduling flexibility
You need to minimize You need buffer inventory,
inventory, standardize buffer capacity, and flexibility
capacity, and rigid planning incase you get high levels of
orders from customers
Don't know?
3 of 53
Term
What are the Demand Plan inputs and outputs?
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, 1. Supplier Power Inputs: Business Plan,
2.Buyer Power Marketing, Sales, and History
3.Competitive Rivalry
4.Threat of Substitution Outputs: Production Plan,
5.Threat of New Entry Schedules, ERP business
models
Upstream is when materials go
A good process design
towards suppliers in the
supply chain
Accountability to the process
Downstream is when things go
Metrics/Results
towards the customer in the supply
chain
Don't know?
4 of 53
Term
What to keep in mind when using customer supplied data and
forecasts?
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Customers often forecast high
Customers provide highly accurate
for buffer factor. But well
data. Suppliers rely on this without
managed supplier businesses
adjustment.
know this and factor it in
accordingly.
Customers often forecast Customers often forecast low for
conservatively. Suppliers cost efficiency. Suppliers ignore this
reduce forecasts further. trend.
, Don't know?
5 of 53
Term
Control Limits
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the upper and lower bands
of a control chart, tells you You need buffer inventory,
how much you can/can't buffer capacity, and flexibility
produce, three standard incase you get high levels of
deviations away from the orders from customers
base MOE
Simple average you add up the data
points and you divide by the ---
numbers
Don't know?
6 of 53
Term
Order winners vs. Order qualifiers
Give this one a try later!
2025/26 ALREADY PASSED.
1 of 53
Term
What is sustainability?
Give this one a try later!
using resources rapidly to meet maximizing current profits without
immediate needs regard for future use
depleting resources for short-term managing resources to make
sure they are available for
economic growth
future generations
, Don't know?
2 of 53
Term
What is the impact of demand variation on Operations
Management?
Give this one a try later!
You need to automate processes, You need to reduce inventory,
reduce capacity, and fixed streamline capacity, and eliminate
scheduling flexibility
You need to minimize You need buffer inventory,
inventory, standardize buffer capacity, and flexibility
capacity, and rigid planning incase you get high levels of
orders from customers
Don't know?
3 of 53
Term
What are the Demand Plan inputs and outputs?
Give this one a try later!
, 1. Supplier Power Inputs: Business Plan,
2.Buyer Power Marketing, Sales, and History
3.Competitive Rivalry
4.Threat of Substitution Outputs: Production Plan,
5.Threat of New Entry Schedules, ERP business
models
Upstream is when materials go
A good process design
towards suppliers in the
supply chain
Accountability to the process
Downstream is when things go
Metrics/Results
towards the customer in the supply
chain
Don't know?
4 of 53
Term
What to keep in mind when using customer supplied data and
forecasts?
Give this one a try later!
Customers often forecast high
Customers provide highly accurate
for buffer factor. But well
data. Suppliers rely on this without
managed supplier businesses
adjustment.
know this and factor it in
accordingly.
Customers often forecast Customers often forecast low for
conservatively. Suppliers cost efficiency. Suppliers ignore this
reduce forecasts further. trend.
, Don't know?
5 of 53
Term
Control Limits
Give this one a try later!
the upper and lower bands
of a control chart, tells you You need buffer inventory,
how much you can/can't buffer capacity, and flexibility
produce, three standard incase you get high levels of
deviations away from the orders from customers
base MOE
Simple average you add up the data
points and you divide by the ---
numbers
Don't know?
6 of 53
Term
Order winners vs. Order qualifiers
Give this one a try later!
