1) What is the main objective of operations management? a) Maximize customer service only b) Minimize labour usage c) Focus only on marketing and sales d) Minimize cost per unit while achieving quality, quantity, time, and safety goals 2) Which of the following is an example of an input in the operations process? a) Feedback b) Customer satisfaction c) Raw materials d) Finished goods 3) The transformation process in operations converts inputs into: a) Feedback b) Machinery c) Outputs d) Waste 4) In selecting a business location, which of the following is LEAST important? a) Access to raw materials b) Nearby competitors c) Proximity to customers d) Infrastructure and facilities 5) What type of production system uses machines and manual labour together? a) Manual system b) Fully automatic system c) Semi-automatic system d) Digital system 6) Which item is typically considered a fast-moving inventory? a) Packaging material for bulk orders b) Sardine cans with long shelf life c) Potatoes and flour d) Equipment lubricant 7) A business that holds too much inventory may face: a) Loss of market share b) Reduced storage costs c) Increased profit margins d) Higher carrying costs and storage issues 8) What is the purpose of the Ishikawa diagram? a) Identify pricing strategies b) Trace customer feedback c) Identify root causes of quality defects d) Monitor sales trends 9) Which is a direct cost in a Cake making business? a) Salary b) Delivery fee c) Flour and eggs d) Equipment depreciation 10) Which of the following is an overhead cost? a) Shop rental and electricity for the dhoby business  b) Detergent, softener, bleach c) Used to pack and return cleaned clothes for individual customers d) Wages for workers who are physically washing, drying, folding clothes 11) According to Juran, quality is defined as: a) Meeting ISO standards b) Minimizing cost c) Fitness for use d) Consistency of production 12) Which of the following best reflects a cost of non-quality? a) Higher production output b) Better market reputation c) Refund due to damage cake d) Cost-saving on packaging 13) In a production plan, which of the following decisions is NOT typically considered? a) Equipment type b) Sales target c) Manpower need d) Marketing slogan 14) The rule of thumb in inventory management suggests: a) Overstock fast- and slow-moving items b) Keep minimal inventory for fast-moving items c) Stock fast-moving items adequately and slow-moving items sparingly d) Avoid stocking slow-moving items entirely 15) What does "cost per unit" help entrepreneurs determine? a) Product brand name b) Sale location c) Competitive pricing strategy d) Colour of product label 16) Which of the following is not considered an overhead cost in a dhoby (laundry) business? a) Electricity for running washing machines b) Monthly rental of shop space c) Detergent used per customer's laundry load d) Maintenance of ironing equipment 17) What is the main goal of production planning in a small business? a) To increase advertisement spending b) To reduce product pricing c) To ensure output meets sales forecast and optimize resources d) To create unique packaging 18) What does the Ishikawa diagram help entrepreneurs identify? a) Total sales revenue b) Customer satisfaction scores c) Root causes of a quality problem d) Optimal price point 19) Which factor is least likely to affect location planning? a) Availability of raw materials b) High crime rate c) Manpower availability d) Colour of the company logo 20) Which of the following best describes the transformation process in operations management? a) Converting feedback into profits b) Delivering products to customers c) Turning inputs into outputs d) Conducting a sales forecast 21) Which is a fast-moving item in the Pizza business according to the chapter? a) Plastic containers b) Water c) Freezers d) Cheese 22) In layout planning, machine positioning should primarily focus on: a) Worker relaxation b) Storage capacity c) Efficient process flow d) Marketing appeal 23) A production process that meets customer expectations in shape, taste, and hygiene reflects: a) High cost b) Good packaging c) Quality management d) Location strategy 24) Which is NOT a component of the operations management model (input-process-output)? a) Feedback b) Output c) Sales d) Process 25) The cause-and-effect diagram used for identifying quality problems is also known as: a) Bar chart b) Ishikawa diagram c) Line graph d) Scatter diagram 26) Why is inventory management critical in small businesses? a) To increase staff bonuses b) To reduce product variety c) To ensure timely product availability d) To decorate the store 27) Which of the following best defines overhead cost? a) Wages of Product makers  b) Cost of chicken meat c) Rent and utilities d) Payment for ingredients 28) What does the acronym ISO refer to in quality management? a) Internal Service Operations b) International Standards Organization c) Integrated System Output d) International Society of Operations 29) Which of the following is considered direct labour in a Pizza business? a) Online Platform Delivery driver (Grab/ Foodpanda) b) Accountant c) Pizza maker d) Office cleaner 30) An entrepreneur choosing a semi-automatic system for Pizza production considers factors such as: a) Branding and marketing b) Equipment quality and volume c) Climate and weather d) Colour of packaging 31) One of the benefits of quality management is to: a) Increase cost per unit b) Avoid product sales c) Retain market share d) Reduce packaging material

Operation Management

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