Jed is theOperations Managerat acake manufacturerand is trying to determine theoptimumcapacityof the factory.
Which of the following would be true if the factoryachieves optimum capacity? SelectALLthat apply.

• A.The factory physically cannot produce more items
• B.The factory fulfills customer demand for items
• C.The lowest total cost for production is achieved
• D.The factory breaks even
• E.The highest cost per item is achieved
• F.Inventory levels are maximized

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What does a forcefield diagram show?

• A.People in favour of change and against it
• B.The flow of information through a supply network
• C.The potential causes of an issue that has occurred
• D.The sequencing of events within an operational strategy

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Manuel has created an Efficient Frontier diagram mapping six options his organisation can take. Is it possible for there to be two curves on this diagram?

• A.Yes - the second curve can represent what is achievable should the organisation engage in continuous improvement
• B.Yes - there should always be at least two curves on the graph to demonstrate different timescales for the options
• C.No - only one curve is needed as this plots the trade-offs and level of risk
• D.No - the diagram should only have straight lines, not curves

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Which of the following describes aProprietary Network?

• A.A privately owned and controlled group
• B.The sharing of materials in an informal setting
• C.A network that has both horizontal and vertical structures
• D.A relationship that is one-sided

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The Improvement Gap Analysis can be utilised to manage trade-offs in operational strategy. Which of the following is measured by the IGA? Select ALL that apply.

• A.Churn rate
• B.Customer return rate
• C.Customer dissatisfaction levels
• D.Return on investment
• E.Profit margin

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