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CIPS L5M9 Exam Syllabus Topics:

CIPS Operations Management Sample Questions:

1. Little Joy Ltd is a large company with several functional departments. Below are details of four departments. For each, you must decide which functional area of the business the department is, as well as the SERVQUAL Gap that each Department Lead is concerned with.
Department 1: This department is concerned with the creation of products. The products are created in line with BS EN 716-1 and undergo vigorous tests before they leave the factory. Many customers are unaware of the additional costs of testing to BS EN 716-1 and complain about the price of this product line.
Department 2: Other departments of the business are internal customers of this functional area and approach the Department Lead when they require something to be bought. Often the internal customers have unrealistic expectations of the timescales involved in the process and the Department Lead spends a lot of time explaining lead times and logistics.
Department 3: This functional area creates the budgets for the company and emails these to the Department Leads at the beginning of every quarter. Due to the complexity of the documents, other functional areas of the business often don't understand the information provided.
Department 4: This area of the business is concerned with revenue, which has recently slumped. The Department Lead is conducting market surveys to find out the reason for this.
Complete the table below by listing the Functional Area of the business, and the corresponding SERVQUAL Gap. Each response should only be used once: procurement, finance, sales, production, satisfaction gap, delivery gap, standards gap, communication gap.

Which of the following will you put into box 6?

A) communication gap
B) satisfaction gap
C) standards gap
D) delivery gap

2. At Red Glass Ltd a strategy has been developed by the Operations Department to reduce costs and streamline supply chain operations. This is being incorporated into the organisation's overarching corporate strategy. What is the name given to this type of strategy development?

A) structure-related strategy
B) value engineering
C) bottom- up
D) lean

3. Which of the following do you need to know in order to work out the gross profit margin of an item? Select TWO

A) revenue
B) net profit
C) sales volume
D) costs of goods sold

4. Which of the following are operations management activities? Select THREE

A) job design
B) capacity planning
C) process selection
D) development of new products
E) materials management

5. Companies that have high-visibility processes require higher levels of customer management skills than companies with low-visibility processes. Is this TRUE?

A) yes- high visibility companies often have higher operating costs because of this
B) no- low visibility companies must focus on increasing levels of customer service
C) yes- high visibility companies often have lower operating costs because of this
D) no- all companies require customer management skills

Solutions: