Operations Management MCQs

Operations Management MCQs

Answer these 600+ Operations Management MCQs and see how sharp is your knowledge of Operations Management. Scroll down and let's start!

1: Which of the following would be relevant to the VOB (Voice of Business)?

A.   All of these

B.   ROI

C.   Free Cash Flows

D.   The P&L statement

2: A credit agency creates a credit report which is then used to create a loan agreement. Who is the supplier in the process of making a loan agreement?

A.   The customer whose data is used in the report

B.   There is no supplier

C.   Bank teller

D.   The credit agency

3: True or false? A good SIPOC diagram should always focus on one supplier.

A.   False

B.   True

4: When creating a multi vari chart, each temporal occurrence should contain the measurements of at least _______ consecutive units.

A.   one

B.   five

C.   three

D.   seven

5: A ________ indicates that a process event or measurement is likely to fall within that limit.

A.   item limit

B.   population limit

C.   control limit

D.   sample limit

6: Is a barrel of crude oil an output or an input?

A.   It depends on the context

B.   Output

C.   Input

7: Which term describes how an organization expects to achieve its missions and goals?


B.   Competitive Advantage

C.   Strategy

D.   Tactic

8: True or false? Regression tests are functional tests.

A.   False

B.   True

9: True or false? The ordering of SIPOC categories does not matter.

A.   True

B.   False

10: True or false? Affinity diagrams are best created by a cross-functional team.

A.   True


11: The international quality standard for for product design, manufacture, and distribution is known as:

A.   QS-5000

B.   ISO 5000

C.   QS-9000

D.   ISO 9000

12: Which of the following is NOT one of the 10 steps for an FMEA?

A.   All of these are included in the 10 steps

B.   Calculate the risk priority number for each effect

C.   Review the process or the product

D.   Prioritize the failure modes for action

13: Process boundaries are important for _________.

A.   clearly stating the beginning, end, and function of a process.

B.   setting the cost ceiling

C.   defining a volume limit

D.   determining stakeholders

14: (True or False): Key success factors are those activities that are key to achieving competitive advantage

A.   False

B.   True

15: (True or False): A system that permits the manufacturing of large quantities of identical goods using repetitive actions by people or machines is called mass production.

A.   True

B.   False

16: Which of the following is the SIPOC framework used for?

A.   All of these

B.   Defining relationships with inputs and suppliers

C.   Defining process scope

D.   Identifying customers

17: FMEA team leaders are in charge of:

A.   Making sure the team stays on track toward the completion of the FMEA

B.   Ensuring the team is prepared with all necessary materials

C.   all of these

D.   Planning and facilitating meetings

18: Which of the following is a goal of the SIPOC framework?

A.   Eliminate waste processes

B.   Provide a better understanding of the customer

C.   All of these

D.   Clearly define a process

19: What is the target RPN for FMEAs?

A.   250

B.   There is no target FMEA, it's up to the company to decide how much to improve

C.   500

D.   100

20: A problem statement is a _________.

A.   an alarm in the processing chain of command

B.   list of risks

C.   clear description of the issues that a team needs to address

D.   a formal complain from a customer

21: True or false? A processes can have the same DPU, but very different DPO.


B.   True

22: True or False? The failure modes with the highest RPNs should be attended to first.

A.   True

B.   False

23: Which of the following would be an incorrectly labeled output?

A.   A smartphone

B.   A car

C.   A well made car

D.   A t-shirt

24: True or false? Suppliers can come from internal entities.

A.   False

B.   True

25: What is the correct order of the main phases in the product life cycle?

A.   Maturity, Saturation, Growth, Decline

B.   Maturity, Growth, Saturation, Decline

C.   Growth, Saturation, Growth, Decline

D.   Growth, Maturity, Saturation, Decline

26: SIPOC represents the five key elements of a ______ map.

A.   product

B.   process

C.   cost

D.   road

27: A firm can effectively use its operations function to yield competitive advantage through all of the following, EXCEPT:

A.   constant innovation of new products

B.   customization of the product

C.   setting equipment utilization goals below the industry average

D.   speed of delivery

28: True or false? The gross margin often reflects the value created during the process.

A.   False

B.   True

29: (True or False): It is easier to measure productivity for an operation that provides services than for one that produces goods since there is no material used in services.

A.   False

B.   True

30: What is the commonly accepted variable for Inputs?

A.   I

B.   Alpha

C.   Y

D.   X

31: What is another name for a "Fishbone Diagram"?

A.   A cause and effect diagram

B.   A RACI Diagram

C.   A Pie Chart

D.   A GANTT Diagram

32: Operations management includes all of these activities, EXCEPT:

A.   secure financial resources

B.   oversee the transformation process

C.   maintain quality

D.   schedule work

33: Which of the following best describes a bar chart that depicts the frequencies of numerical or measurement data?

A.   Gantt Chart

B.   Process Map

C.   Check Sheet

D.   Histogram

34: What is the planning method used to show the tasks associated with a project, the people in charge of completing the tasks and the timelines?

A.   Pie chart

B.   Pareto chart

C.   Gantt chart

D.   Histogram

35: What is the least likely decision made by an Operations Manager?

A.   Selecting the location and layout of a facility

B.   How much capacity is required to balance demand

C.   Deciding which market areas to manufacture products for

D.   How to use quality techniques to reduce waste

36: True of false? You can always use the same standard deviation when calculating a sigma score, regardless of time frame.

A.   False


37: A full factorial experiment has ______ factor(s) with _______ level(s) each.

A.   one; multiple

B.   a couple ; no

C.   multiple; one

D.   multiple; multiple

38: Which of the following would be an observational study?

A.   a behavior chart

B.   a histogram

C.   a bell curve

D.   a box and whisker plot

39: Which of the following is NOT used when determining RPN?

A.   Detection

B.   Cost

C.   Indenture levels

D.   Probability

40: Which of the following is NOT a DMAIC term?

A.   Measure

B.   Analyze

C.   Cause

D.   Define

41: ________ refers to the consequences of a failure if it should occur.

A.   Detection

B.   Severity

C.   Intensity

D.   Occurrence

42: Operations can be classified according to their volume and variety of production as well as the degree of variation and visibility. Which of the following operations would be classified as high volume, low variety?

A.   A carpenter

B.   A family doctor

C.   A front office bank

D.   A fast food restaurant

43: When designing an experiment, which category would inputs be included in?

A.   Response

B.   Levels

C.   Factors

D.   None of these

44: Which of the following best describes 'failure modes'?

A.   The number of times a process or product fails during testing

B.   All the ways a process or product can fail

C.   The number of times a process or product fails during the product's launch

D.   None of these

45: How do you calculate DPU (defects per unit)?

A.   (Number of defects observed)/(Number of units inspected)

B.   (Cost per defect)/(Total defects)

C.   (Number of units inspected)/(Number of defects) - (Number of defects)

D.   (Number of units inspected)/(Number of defects observed)

46: A high sigma score indicates _____ defects.

A.   moderate

B.   severe

C.   few

D.   many

47: Within the SIPOC framework, an Iphone is an example of a/an _______.

A.   cost

B.   output

C.   input

D.   customer

48: DFMEA stands for _______.

A.   Dependent Failure Mode and Effects Analysis

B.   Dynamic Failure Mode and Effects Analysis

C.   Detrimental Failure Mode and Effects Analysis

D.   Design Failure Mode and Effects Analysis

49: Which of the following options list the 3 factors used to determine the relative risk of a failure?

A.   Ranking, Severity, and Frequency

B.   Severity, Ranking, and Time

C.   Frequency, Ranking, and Category

D.   Severity, Occurrence, and Detection

50: The costs incurred when a customer returns a defective product are best described as a _____ Cost-of-poor-quality (COPQ).

A.   Resultant

B.   Controllable

C.   Equipment

D.   Cheap