Tiêu đề Section 4.pdf ✅

SECTION 4 Topic 1: The nature of operations 2+3 MARKS (M/J 2014, V1), Q4 (a) Define the term ‘operations management’. [2] (b) Explain one reason how changes in technology could affect the operations management of a business. [3] Answer (a) It is a discipline of managing resources to achieve efficient on-going production of goods and services. It deals with the workflow at the operational level. How the work will be performed, who will do it and how resources will be combined. It is concerned with using factors of production to produce goods and services. It deals with various departments efficiency, quality, flexibility etc. (b) One impact of technology in the operations department is the potential for increased costs. This is because the initial implementation and ongoing maintenance of sophisticated systems often require substantial financial investments in hiring good quality labor along with paying for the hardware and software. This results in the business going into debt and makes it difficult to manage other areas of operations management like quality control and inventory management which reduce short-run efficiency.
AS / Level – Business (9609) – PAPER 1 – Short-Questions AATIK TASNEEM | AS / LEVEL: BUSINESS (9609) | 03041122845 2 (F/M 2021, V2), Q4 (a) Define the term ‘transformation process’. [2] (b) Explain one way in which a business could improve its intellectual capital. [3] Answer (a) An activity or group of activities that transform one or more inputs (factors of production), adds value to them and produces output for customers. (b) A business can enhance its intellectual capital by implementing training programs, workshops, and online courses that align with the industry trends and the company's strategic objectives can empower employees to acquire new skills and stay updated on the latest developments. This enables cross-functional collaboration and creating platforms for knowledge-sharing, such as regular team meetings, internal forums, or digital communication channels, facilitates the exchange of expertise and insights among different departments. This can strengthen its human capital, positioning itself for sustained innovation and competitiveness in the marketplace.
AS / Level – Business (9609) – PAPER 1 – Short-Questions AATIK TASNEEM | AS / LEVEL: BUSINESS (9609) | 03041122845 3 (O/N 2020, V3), Q4 (a) Define the term ‘intellectual capital’. [2] (b) Explain one function of an operations management department. [3] Answer (a) Intellectual capital is defined as the amount by which the market value of a company exceeds its tangible assets, it is the intangible capital. This is due to the collective knowledge and skills of a company. It includes Human Capital (well trained and knowledgeable employees), Structural Capital (databases and information systems) and Relational Capital (good links with supplier and customers). (b) The operations department plays a crucial role in managing inventory within a business. This function involves overseeing the entire lifecycle of goods, from procurement to storage and distribution. Operations professionals are responsible for maintaining an optimal level of inventory to meet customer demands while minimizing excess stock that could tie up capital. They utilize various inventory management techniques such as just-in-time (JIT) or buffer stocks to prioritize items based on their significance and ensure efficient use of resources. This allows the operations department to prevent stockouts, reduces carrying costs, and enhances overall supply chain efficiency, ultimately contributing to improved customer satisfaction and financial performance.
AS / Level – Business (9609) – PAPER 1 – Short-Questions AATIK TASNEEM | AS / LEVEL: BUSINESS (9609) | 03041122845 4 (M/J 2013, V1), Q1 (a) Define the term ‘added value’. [2] (b) Explain one way in which operations management decisions might add value to a product. [3] Answer (a) Added value is the difference between selling price of the finished good and cost of bought in materials. (b) Operations management decisions can significantly add value to a product by focusing on improving product design and quality. Operations managers can collaborate with product design teams to ensure that manufacturing processes are aligned with the intended design specifications. By integrating quality control measures into the production process, operations management can enhance the overall quality of the product. This involves implementing rigorous testing protocols, monitoring production variables, and employing quality assurance techniques to identify and rectify any defects or inconsistencies in the manufacturing process. Improving product design and quality not only leads to a superior end product but also reduces the likelihood of defects, returns, and warranty claims, thus lowering overall costs.