Top 100+ Operations Management Interview Questions And Answers
Question 1. Define The Term Operations Management?
Answer :
Operations management manages the assets had to produce the organisation’s services and products. It entails dealing with people, machines and facts.
Question 2. Explain The Decisions Operations Managers Make?
Answer :
Operations managers must plan the production agenda. This includes deciding how an awful lot to provide and in what order. This information would be used to make purchasing and staffing choices.
Operations managers must control stock. They need to arrange the stock within the warehouse. They also facilitate the motion of inventory from the warehouse to the retail centers or the purchaser.Operations managers additionally have to control high-quality levels. This may include inspection of materials, and using satisfactory tools consisting of control charts.
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Question 3. Describe The Transformation Process Of A Business. Give Three Examples. What Constitutes The Transformation Process At An Advertising Agency, A Bank, And A Tv Station?
Answer :
The transformation technique entails taking the diverse inputs and remodeling them into outputs. An advertising company could transform the time of its group of workers into an advertising marketing campaign. A bank may additionally use the time of a teller, an input pc, and a financial institution department to simply accept a deposit. A TV station may want to use the time of its production team, the video device, and the studio to provide a news story.
Question four. What Are The Three Major Business Functions, And How Are They Related To One Another? Give Specific Examples?
Answer :
The three predominant enterprise features are finance, advertising and operations. Operations entail the manufacturing of a products or services and should manipulate the inputs to production consisting of workers' time, aluminum, and system time to create plane elements Finance manages the belongings, along with the constructing used for production, investments and coins flows associated with manufacturing, consisting of presenting the wished machines. Marketing generates income of the product or service, including finding customers for the proposed airplanes.
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Question 5. Identify The Two Major Differences Between Service And Manufacturing Organizations. Find An Example Of A Service And Manufacturing Company And Compare Them?
Answer :
Manufacturing corporations produce a bodily product that may be saved in stock. Service companies cannot create an stock of the carrier considering the fact that it is intangible. For instance, Ford Motors is a producer. It makes automobiles, clients have little touch with the operation, and they can create an inventory of vehicles. McDonalds is an instance of a provider organization. Customers go without delay to the restaurant where they may be served speedy through the workforce.
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Question 6. What Are The Three Historical Milestones In Operations Management? How Have They Influenced Management?
Answer :
Three historic milestones are the industrial revolution, total first-class management (TQM) and worldwide opposition. The business revolution modified manufacturing procedures from a hard work consciousness to a device attention. TQM brought on managers to be more targeted on satisfactory and stopping defects. Finally, global competition brought about managers to in addition growth their awareness on pleasant, understanding that to not enhance become to “lose the race.”
Question 7. Identify Three Current Trends In Operations Management And Describe Them. How Do You Think They Will Change The Future Of Om?
Answer :
The lean structures idea is a current trend in operations control. This includes taking a total machine technique to creating an green operation. This consists of ideas together with just-in-time (JIT), overall excellent management (TQM), continuous development, resource planning, and supply chain management (SCM).
Companies are the use of the Internet to reach out to clients, and suppliers directly. Amazon.Com has been able to promote books and lots of different items directly from its warehouse to people like you and me. The Internet is changing how the supply chains paintings since we can now do away with the “center guy” or distributor by using selling without delay from the manufacturing unit to the final or end purchaser. Companies also can ease transactions among companies, called B2B commerce, by using using digital buying and selling networks.
Large statistics structures, called Enterprise Resource Planning (ERP) systems, are permitting groups to boom efficiency. These big, state-of-the-art software program packages coordinate, throughout the complete enterprise, the sports concerned in producing and handing over products to clients.
Each of those ideas makes extensive use of facts and cooperation among companions. OM will most in all likelihood stay more statistics intensive and require greater cooperation among all the gamers within the fee chain.
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Question eight. Define The Terms Total Quality Management, Just-in-time, And Reengineering. What Do These Terms Have In Common?
Answer :
Total first-rate control (TQM) is a philosophy that makes a speciality of meeting the needs of the client. TQM is not inspection, but certainly the prevention of defects. It involves absolutely everyone in the enterprise. Just-in-time is a philosophy that makes a speciality of lowering stock and different wastes and on the manufacturing of the right number of objects on the proper time. Reengineering makes a speciality of improving enterprise processes with the intention to enhance performance. Each of these techniques strives to allow extra responsive and more efficient manufacturing main to better first-rate and better client pleasure.
Question 9. Describe Today’s Om Environment. How Is It Different From That Of A Few Years Ago? Identify Specific Features That Characterize Today’s Om Environment?
Answer :
Today’s OM environment is greater international, greater carrier orientated, and uses greater data era than that of even a few years in the past. Companies can outsource steps of their operation easier. Now even carrier operations are outsourced off-shore. Information era lets in organizations to cooperate greater carefully, growing tighter deliver chains, faster reaction and less waste. Specific features consist of extra outsourcing, greater use of facts era, and deeper cooperation in the deliver chain.
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Question 10. Is Operations Management Is Important In All Types Of Organization?
Answer :
In some sorts of agency it is exceedingly easy to visualize the operations feature and what it does, even supposing we've got never seen it. For example, the general public have visible photographs of automobile assembly. But what approximately an advertising corporation? We realize vaguely what they do – they produce the classified ads that we see in magazines and on tv – however what is their operations characteristic? The clue lies inside the phrase ‘produce’. Any business that produces something, whether tangible or no longer, have to use assets to do so, and so ought to have an operations hobby. Also the car plant and the advertising enterprise do have one vital element in not unusual: both have a higher objective – to make a benefit from generating their services or products. Yet not-for-earnings agencies also use their sources to produce offerings, no longer to make a earnings, but to serve society in a few manner.
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Question 11. What Is Operations Management In The Smaller Organization?
Answer :
Operations management is just as critical in small companies as it's miles in big ones.
Irrespective of their size, all groups need to supply and deliver their services and products efficaciously and effectively. However, in practice, dealing with operations in a small or medium-size organization has its own set of issues. Large groups may also have the assets to devote individuals to specialised obligations but smaller corporations frequently can't, so humans may additionally need to do unique jobs as the need arises. Such an casual shape can allow the business enterprise to respond quick as possibilities or troubles gift themselves. But choice making can also come to be burdened as people’ roles overlap. Small organizations can also have exactly the equal operations management problems as big ones but they can be extra tough to separate from the mass of different troubles in the corporation.
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Question 12. What Is Operations Management In Not-for-earnings Organizations?
Answer :
Terms such as competitive gain, markets and commercial enterprise, that are used on this book, are usually related to organizations in the for-income zone. Yet operations management is also relevant to organizations whose reason is not by and large to earn earnings. Managing the operations in an animal welfare charity, clinic, studies corporation or authorities branch is essentially the same as in business agencies. Operations need to take the identical choices – a way to produce services and products, spend money on technology, agreement out a number of their sports, devise performance measures, and enhance their operations performance and so on.
However, the strategic objectives of no longer-for-earnings companies may be more complicated and contain a combination of political, economic, social and environmental goals. Because of this there can be a greater hazard of operations decisions being made beneath situations of conflicting objectives. So, as an instance, it's far the operations workforce in a kids’s welfare department who have to stand the conflict between the fee of providing more social workers and the chance of a toddler not receiving adequate safety.
Nevertheless the great majority of the topics protected on this e book have relevance to all varieties of employer, inclusive of non-profit, despite the fact that the context is exceptional and some phrases may additionally must be tailored.
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Question 13. What Is The Input–transformation–output Process?
Answer :
All operations produce services and products through changing inputs into outputs the use of an ‘enter-transformation-output’ system. Put actually, operations are techniques that take in a fixed of input assets which are used to transform some thing, or are converted themselves, into outputs of services and products. And although all operations agree to this wellknown enter–transformation–output version, they range in the nature in their particular inputs and outputs. For example, if you stand a ways sufficient away from a sanatorium or a vehicle plant, they may look very comparable, but pass nearer and clear differences do begin to emerge. One is a manufacturing operation producing ‘products’, and the opposite is a carrier operation generating ‘offerings’ that trade the physiological or psychological situation of sufferers.
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Question 14. What Is The Processes Hierarchy?
Answer :
So far we've got mentioned operations management, and the enter–transformation–output model, at the level of ‘the operation’. For instance, we have described ‘the whistle manufacturing unit’, ‘the sandwich save’, ‘the catastrophe alleviation operation’, and so forth. But appearance inner any of these operations. One will see that each one operations encompass a collection of tactics (although those strategies can be known as ‘devices’ or ‘departments’) interconnecting with each different to shape a community. Each technique acts as a smaller model of the complete operation of which it bureaucracy a component, and converted resources go with the flow between them. In truth inside any operation, the mechanisms that in reality remodel inputs into outputs are these procedures. A manner is ‘an arrangement of assets that produce a few combination of products and services’. They are the ‘building blocks’ of all operations, and that they shape an ‘internal community’ within an operation.
Each system is, at the equal time, an inner provider and an inner client for different procedures. This ‘inner patron’ concept affords a version to examine the inner sports of an operation. It is likewise a beneficial reminder that, with the aid of treating inner clients with the same degree of care as outside clients, the effectiveness of the complete operation may be improved.
Question 15. Operations Management Is Relevant To All Parts Of The Business?
Answer :
It isn't always simply the operations characteristic that manages methods; all features manipulate approaches. For instance, the marketing characteristic will have strategies that produce demand forecasts, methods that produce advertising and marketing campaigns and tactics that produce advertising plans. These tactics within the other features also want coping with the use of comparable concepts to the ones within the operations function. Each feature may have its ‘technical’ information. In advertising and marketing, that is the expertise in designing and shaping advertising plans; in finance, it's miles the technical expertise of economic reporting.
Yet each may even have a ‘system management’ role of manufacturing plans, guidelines, reviews and offerings. The implications of this are very essential. Because all managers have a few duty for managing tactics, they're, to a point, operations managers. They all need to need to present top carrier to their (regularly internal) customers, and they all will want to try this efficaciously. So, operations control is relevant for all features, and all managers must have some thing to learn from the standards, principles, methods and strategies of operations control. It additionally way that we need to distinguish between two meanings of ‘operations’:
‘Operations’ as a function, meaning the part of the agency which produces the products and services for the enterprise’s external customers;
‘Operations’ as an interest, which means the control of the strategies inside any of the agency’s functions.
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Question 16. What Is Mixed High- And Low-visibility Processes?
Answer :
Some operations have each high- and coffee-visibility approaches in the equal operation.
In an airport, for example: a few sports are absolutely ‘seen’ to its customers along with data desks answering humans’s queries. These group of workers function in what's termed a the front-office environment. Other parts of the airport have little, if any, patron ‘visibility’, which include the luggage handlers. These rarely-seen team of workers carry out the vital but low-touch tasks, inside the returned-workplace part of the operation.
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Question 17. What Are Implications Of The Four Vs Of Operations Processes?
Answer :
All four dimensions have implications for the value of creating the products or offerings.
Put honestly, high quantity, low variety, low variation and coffee customer touch all help to maintain processing charges down. Conversely, low volume, high variety, excessive variation and high patron contact usually carry some type of cost penalty for the operation. This is why the volume dimension is drawn with its ‘low’ give up at the left, in contrast to the other dimensions, to preserve all of the ‘low price’ implications on the proper. To a few quantity the position of an operation in the 4 dimensions is determined by way of the call for of the market it is serving. However, maximum operations have a few discretion in shifting themselves on the scale.
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Question 18. What Are The Activities Of Operations Management?
Answer :
Operations managers have a few duty for all of the sports within the agency which make contributions to the powerful production of products and services. And even as the exact nature of the operations function’s responsibilities will, to a degree, depend upon the way the employer has chosen to outline the boundaries of the feature, there are some widespread lessons of activities that practice to all sorts of operation.
Understanding the operation’s strategic performance targets. The first responsibility of any operations management group is to understand what it is attempting to acquire. This manner understanding how to choose the performance of the operation at different stages, from huge and strategic to extra operational performance goals. This is discussed.
Developing an operations strategy for the employer. Operations control entails loads of minute-with the aid of-minute choices, so it's miles crucial that there may be a fixed of wellknown principles that may manual choice-making towards the organization’s longer-term goals. This is an operations approach.
Designing the operation’s products, services and strategies. Design is the interest of determining the physical form, shape and composition of products, offerings and methods. It is a crucial part of operations managers’ sports.
Planning and controlling the operation. Planning and control is the activity of figuring out what the operations assets must be doing, then making sure that they truly are doing it. Various making plans and manage activities.
Improving the overall performance of the operation. The persevering with duty of all operations managers is to enhance the overall performance of their operation.
The social responsibilities of operations management. It is increasingly more diagnosed by many companies that operations managers have a set of vast societal responsibilities and issues past their direct sports. The general term for those factors of enterprise responsibility is ‘company social duty’ or CSR. It have to be of precise hobby to operations managers, because their sports will have an immediate and full-size impact on society.
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Question 19. What Is The Model Of Operations Management?
Answer :
The first is the enter–transformation–output version and the second is the categorization of operations management’s hobby areas. The model now suggests interconnected loops of sports.
The bottom one more or less corresponds to what's generally visible as operations control, and the pinnacle one to what's seen as operations approach.
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Question 20. What Is The Visibility Dimension?
Answer :
Visibility is a slightly greater hard dimension of operations to envisage. It refers to how a great deal of the operation’s activities its customers revel in, or how a whole lot the operation is exposed to its clients. Generally, patron-processing operations are extra uncovered to their customers than cloth- or information-processing operations. But even customerprocessing operations have a few preference as to how seen they wish their operations to be. For example, a store may want to perform as a excessive-visibility ‘bricks and mortar’, or a lower-visibility net-based totally operation. In the ‘bricks and mortar’, excessive-visibility operation, clients will at once enjoy maximum of its ‘cost-adding’ activities. Customers may have a quite brief ready tolerance, and may stroll out if no longer served in an affordable time.
Customers’ perceptions, rather than goal standards, will also be critical. If they understand that a member of the operation’s team of workers is discourteous to them, they're probable to be disenchanted (even supposing the workforce member supposed no discourtesy), so excessive-visibility operations require personnel with top client contact talents. Customers may also request goods which definitely could now not be bought in such a shop, however due to the fact the clients are clearly inside the operation they could ask what they prefer! This is known as excessive received range. This makes it difficult for excessive-visibility operations to reap excessive productiveness of sources, so that they have a tendency to be exceptionally high-value operations.
Conversely, an internet-based retailer, while now not a natural low-contact operation, has a long way lower visibility. Behind its web website online it is able to be greater ‘manufacturing unit-like’. The time lag between the order being located and the gadgets ordered by the customer being retrieved and dispatched does now not have to be minutes as in the shop, but can be hours or maybe days. This allows the duties of locating the objects, packing and dispatching them to be standardized by means of group of workers who want few customer touch talents. Also, there may be extraordinarily high staff utilization. The web-based company also can centralize its operation.
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