QUESTION 1 MARKS: 10 Multiple Choice Answer the following questions by choosing and indicating the correct answer; write the correct letter next to the respective question number. 1. allows organisations to minimize costs and involves bulk buying, movement and bulk storage of raw materials and finished goods. a) Economies of scale b) Product availability c) Risk management d) Uncertainty 2. What does VOC refer to? a) Value over Customer b) Voice of the Customer c) Verify operations Cost d) Variety of Care e) None of the above 3. There are four key process types from which management can choose. Which ONE of the following is NOT such a process type? a) Job process b) Product process c) Batch process d) Continuous flow process 4. The three major functional areas of an organisation are: a) Strategy, human resources and finance. b) Human resources, marketing and finance. c) Operations, procurement and sales. d) Operations, finance and marketing. e) None of the above 5. Which of the following is the most correct way of completing the sentence? Tertiary operations management is a) Utilised in the provision of goods and services b) Utilised in the provision of goods c) Utilised in the provision of services d) Utilised to a lesser degree in the provision of services e) All of the above are correct 6. One of the other departments or functions within an organisation is referred to as servitization. Which of the following statements describes servitization. a) Managing the cost of the organisation's labour, raw materials, and overheads b) Providing management with the relevant information that will enable it to manage effectively and efficiently c) Purchasing raw materials, machinery and equipment for the organisation, d) Selling the goods or services of the organisation e) A transformation process wherein production organisations embrace a service orientation and/or develop more and better services. 7. Defining characteristics of services do not include: a) Superior value retention b) Uniqueness c) Labour intensive d) All of the above e) None of the above. 8. The inputs that are changed during the operations process are referred to as: a) Transforming inputs b) Transformed inputs c) Transformation process d) Finished goods e) Outputs 9. The time horizon for operational decisions is: a) 5 to 25 years. b) Longer than 1 year but shorter than 5 years c) 1 to 3 years d) A couple of days, weeks or even months e) None of the above 10. Which of the following statements describes the concept value added? a) Processes exploited to conceive and deliver goods and services at cheaper prices. b) Additional value of a commodity over the cost of commodities used to produce it from the previous stage of production c) Additional value in the price of a product in comparison with competitive products. d) Additional value added to a product when training staff to work smarter. e) None of the above