Operations Management
2
ndEdition
WORKBOOK
Icfai Center for Management Research
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ISBN 81-314-1126-5
Ref. No. OM WB – 03 2K7 35
For any clarification regarding this book, students may please write to Icfai giving the above reference, and page number.
While every possible care has been taken in preparing this book, Icfai welcomes suggestions from students for improvement in future editions.
Icfai, March 2007. All rights reserved.
No part of this publication may be reproduced, stored in a retrieval system, used in a spreadsheet, or transmitted in any form or by any means – electronic, mechanical, photocopying or otherwise – without prior permission in writing from Icfai.
Operations Management (2nd Edition) – Workbook
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Part A
Multiple Choice Questions 3-67
Multiple Choice – Answers and Explanations 71-136
Part B Paper I
Paper I – Model Test 1 139-148
Paper I – Model Test 2 149-159
Paper I – Model Test 1 – Answers and Explanations 163-172 Paper I – Model Test 2 – Answers and Explanations 173-184
Paper II
Paper II – Model Test 1 187-196
Paper II – Model Test 2 197-207
Paper II – Model Test 1 – Answers and Explanations 211-221 Paper II – Model Test 2 – Answers and Explanations 222-231
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iv
Detailed Contents
Part One: Introduction to Operations Management
1. OPERATIONS MANAGEMENT – AN OVERVIEWOperations Management Decisions
The Historical Evolution of Operations Management Computers and Advanced Operations Technology 2. OPERATIONS STRATEGY
Operations Strategy as a Competitive Weapon Elements of Operations Strategy
Developing an Operations Strategy
Financial and Economic Analysis in Operations 3. FORECASTING DEMAND
Forecasting in Operations Forecast Components
Demand Forecasting Process Forecasting Methods
Selecting a Forecasting Method Measures of Forecasting Accuracy Monitoring and Controlling Forecasts
Part Two: Design of Facilities and Jobs
4. ALLOCATING RESOURCES TO STRATEGIC ALTERNATIVES Allocation Decisions in Operations Strategy
Linear Programming in Operations Management Formulation of Linear Programming Problems Solution of Linear Programming Problems
The Transportation Problem in Linear Programming 5. DESIGN OF PRODUCTION PROCESSES
Process Planning and Design
Major Factors Affecting Process Design Decisions Types of Process Designs
Process Planning Aids Selecting the Type of Process Design
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v 6. FACILITY LOCATION AND LAYOUT
Importance of Location
Factors Affecting the Location Decisions
General Steps in Location Selection and Location Decision Process Location Evaluation Methods
Locating Service Facilities Facility Layout
Basic Layout Formats Developing a Process Layout Developing a Product Layout
Developing a Cellular Manufacturing Layout
Japanese Approaches and Trends in Manufacturing Layouts Service Facility Layouts
7. JOB DESIGN
Job Design Fundamentals Considerations in Job Design Work Environment
Uses of Job Design
8. WORK MEASUREMENT Uses of Setting Work Standards Work Measurement Techniques
Part Three: Operations Planning and Control
9. AGGREGATE PLANNING AND CAPACITY PLANNING Overview of Planning Activities
The Aggregate Planning Process
Strategies for Developing Aggregate Plans Aggregate Planning Techniques
Master Production Schedule
Implementing Aggregate Plans and Master Schedules Capacity Planning
10. FUNDAMENTALS OF INVENTORY CONTROL Purpose of Inventories
Inventory Costs Inventory Systems
Economic Order Quantity Model Inventory Classifications Models
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vi 11. PURCHASE MANAGEMENT
Importance of Purchasing Organizing Purchasing
Responsibilities of a Purchasing Manager Purchasing Process
Duties of Buyers
Make-or-Buy Decisions Ethics in Buying
12. MATERIALS MANAGEMENT Necessity of Materials Management Functions of Materials Management Materials Management Technology Materials Management Techniques 13. MATERIALS REQUIREMENT PLANNING
Fundamentals of Materials Requirement Planning Components of an MRP System
Advantages and Disadvantages of an MRP System Problems in Implementing MRP Systems
Manufacturing Resource Planning (MRP II) 14. OPERATIONS SCHEDULING
Purpose of Scheduling Scheduling Methods Scheduling Activities
Scheduling by Type of Operations
Scheduling Personnel in Service Operations Scheduling Techniques
15. ENTERPRISE RESOURCE PLANNING Evolution of ERP
Business Process Reengineering Business Modeling for ERP
ERP Implementation ERP and Competitive Advantage 16. SUPPLY CHAIN MANAGEMENT
Business Drivers in Supply Chain Performance Principles of Supply Chain Management Forces Shaping Supply Chain Management Supply Chain Management Framework Customer Focus in Supply Chain Management Electronic Supply Chain Management
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vii 17. JUST-IN-TIME (JIT) MANUFACTURING SYSTEM
The Concept of the JIT System Advantages of JIT Systems
Characteristics of JIT Systems
18. PRODUCTIVITY AND QUALITY MANAGEMENT Productivity
The Strategic Role of Quality Role of Inspection in Quality Control The Cost of Quality
Statistical Concepts in Quality Control Computers in Quality Control
Concept of TQM
19. FACILITIES AND MAINTENANCE MANAGEMENT Facilities Management
Necessity of Maintenance Management Types of Maintenance
Economics of Maintenance
Evaluation of Preventive Maintenance Policies Maintenance Planning
Modern Approaches to Preventive Maintenance Recent Trends in Maintenance
20. PROJECT MANAGEMENT Necessity of Project Management Network Modeling Project Planning Methods Project Crashing
Part Four: Technology and Globalization in Operations Management
21. TRENDS IN OPERATIONS TECHNOLOGYAutomation
Overview of Manufacturing Activities Artificial Intelligence (AI)
Electronic Data Interchange (EDI)
22. GLOBALIZATION AND OPERATIONS MANAGEMENT Significance of Globalization
Sources of Global Competitive Advantage Difficulties in Managing Globalization
Changes in Operations Strategy Necessary due to Globalization Managing Globalization
Operations in Global Business Strategy
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Chapters Title Multiple Choice Questions
Chapter 1 Operations Management – An Overview 1-16
Chapter 2 Operations Strategy 17-40
Chapter 3 Forecasting Demand 41-86
Chapter 4 Allocating Resources to Strategic Alternatives 87-113
Chapter 5 Design of Production Processes 114-140
Chapter 6 Facility Location and Layout 141-186
Chapter 7 Job Design 187-200
Chapter 8 Work Measurement 201-216
Chapter 9 Aggregate Planning and Capacity Planning 217-243
Chapter 10 Fundamentals of Inventory Control 244-278
Chapter 11 Purchase Management 279-300
Chapter 12 Materials Management 301-333
Chapter 13 Materials Requirement Planning 334-360
Chapter 14 Operations Scheduling 361-408
Chapter 15 Enterprise Resource Planning 409-425
Chapter 16 Supply Chain Management 426-443
Chapter 17 Just-In-Time (JIT) Manufacturing System 444-460
Chapter 18 Productivity and Quality Management 461-493
Chapter 19 Facilities and Maintenance Management 494-529
Chapter 20 Project Management 530-557
Chapter 21 Trends in Operations Technology 558-582
Chapter 22 Globalization and Operations Management 583-600
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This section consists of multiple-choice questions that test the student’s
understanding of the basic concepts discussed in the textbook. Answering these
questions will help students quickly recollect the theories they’ve learnt and apply
them to real-life business situations.
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1. On the basis of Hawthorne studies, Elton Mayo and his team concluded that ________had a major impact on employee productivity.
a. Physical work conditions
b. Importance and recognition given to employees
c. Job content d. Fear of losing job
2. Which company first adopted the concept of scientific management in the assembly line production system?
a. General electric b. Ford motors c. General motors
d. Westinghouse
3. The computerization of operations began when the first computer was installed in General Electric Appliance Park in 1954. What was the basic objective of computer applications then?
a. Reducing manpower b. Reducing clerical costs c. Enhancing worker safety d. Increasing production
4. Operations management involves the functions of planning, organizing, controlling etc, in production systems. The activity of encouraging employees through praise, recognition and other intangibles is part of which function?
a. Controlling b. Motivating c. Coordinating d. Organizing
5. Decisions on production and process design, facility location and layout etc, are part of which decision category?
a. Strategic decisions b. Tactical decisions c. Operational decisions d. All of the above
6. Which of the following decision do not fall within the basic scope of operations management?
a. Analyzing the firm’s financial position b. Designing a new assembly line
c. Determining the location of a new distribution center
d. Improving product quality
7. Division of labor or specialization is an outcome of ____________.
a. Industrial revolution b. World War II
c. Scientific management
d. Computerization of production systems 8. The decision of an operations manager
about what products to make and when is part of which function?
a. Organizing b. Directing c. Planning d. Coordinating
9. The decisions that operations managers take can be broadly classified into various categories. What is the usual time-frame for tactical decisions?
a. Seven years or more b. One or two years c. Two to four months d. A couple of weeks
10. Operations Management deals with which of the following?
a. Design of products b. Design of services c. Acquisition of resources d. All of the above
11. Operations Management involves the activities of planning, organizing, controlling, directing, and coordinating in production systems. These systems convert resource inputs into products or services. Centralization and/or decentralization of operations fall under which of the following activities?
Part A: Multiple Choice Questions
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a. Planning b. Organizing c. Directing d. Controlling
12. The term ‘Production Management’ was replaced by a more general term ‘Operations Management’ in the 1970s. What led to the enlargement of the field and use of the new term?
i. Inclusion of purchasing function
ii. Inclusion of dispatch and other related activities
iii. Inclusion of services related concepts and procedures
iv. Inclusion of manufacturing technologies a. i, ii, iii
b. iii, iii, iv c. i, iii, iv d. i, ii, iii, iv
13. Operations Research uses mathematical techniques to solve complex problems. When was the concept of operations research first introduced?
a. In the early 1940s during World War II b. In the late 1920s during Hawthorne studies c. In 1911 for the moving assembly line
production by Ford
d. In the 1880s at Midvale Steel Works 14. Who was involved in the Hawthorne
experiments at the Western Electric plant? a. Frederick Taylor
b. Henry Ford c. Elton Mayo d. Adam Smith
15. Which of the following technologies helps perform tasks that are repetitive or hazardous for a human being to perform? a. CAD
b. FMS
c. Expert systems d. Moving assembly line
16. Computerization has significantly improved the production process. Which of the following is not an advantage of computerization in the production process?
a. Rise in quality of products b. Reduction in labor costs c. Higher maintenance costs
d. Greater efficiency of the production process
17. Which of the following are among the key objectives of an operations manager? i. Maximizing customer satisfaction ii. Minimizing inventory
iii. Maximizing resource utilization a. i & ii
b. ii & iii c. i & iii d. i, ii & iii
18. Product design is one of the factors that an operations manager must consider while designing a production system. Product design can be based on a customized or a standard production design system. What does a customized product design system primarily focus on?
a. Quality and on-time delivery b. Reducing costs
c. Costs and quality d. Mass production
19. Which of the following is not categorized among indirect costs?
a. Administrative costs b. Maintenance costs c. Labor costs d. Rentals
20. Who generally develops corporate objectives that are unique to each organization?
a. Frontline managers b. Top-level managers c. Middle level managers d. Production supervisors
21. What factors must managers consider while formulating corporate objectives? a. Market conditions
b. Political environment c. Economic environment d. All of the above
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22. Rainbow Electronics manufactures a limited number of models of television sets. What kind of product design system does the company have?
a. Customized production design b. Standardized product design c. Stock-to-order
d. Assemble-to-order
23. Feasibility studies are part of the new product development process. The feasibility test generally focuses on which of the following aspects?
i. Technical feasibility ii. Marketing feasibility iii. Economic feasibility iv. Production feasibility a. i & ii
b. ii & iii c. i & iii d. iii & iv
24. Large organizations are often divided into separate operating divisions that operate as autonomous business units with independent control. What are such units called?
a. Subsidiary units b. Strategic business units c. Franchise centers d. Sister concerns
25. Nucor, a steel producer, competes successfully with larger integrated steel producers by processing steel scrap rather than producing steel from iron ore. What advantage does the company gain through this kind of production process?
a. Production flexibility b. Better quality c. Lower costs
d. Batch process facility
26. Selecting product design, production system, and inventory policy for finished goods fall under which component of operations strategy?
a. Designing the production system b. Product/service design and development c. Technology selection and process
development
d. Allocation of resources to strategic alternatives
27. Which among the following products are generally customized as per user requirements?
i. Industrial boilers ii. Turbines iii. Televisions iv. Ceiling fans a. i and ii b. ii and iii c. iii and iv d. iv and i
28. Which stage of the product life cycle is characterized by exponential growth of sales volume?
a. Introduction stage b. Growth stage c. Maturity stage d. Decline stage
29. Pick the statement that pertains to the relationship between the role of operations department and the product life cycle. a. The role of operations department
increases as the product moves up the lifecycle
b. The role of operations department decreases as the product moves up the lifecycle
c. There is no change in the role of operations department across the lifecycle d. The role of operations department
increases or decreases as the product moves up the lifecycle
30. What is the basic use of a prototype during the new product development process? a. A prototype is used to test the technical
and economical feasibility
b. A prototype helps test the product performance under standard conditions c. A prototype is developed as part of test
marketing d. None of the above
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31. Availability of raw materials and nearness to markets are some of the factors that are considered while making decisions regarding plant location. Which component of operations strategy deals with decisions such as plant location? a. Allocation of resources to strategic
alternatives
b. Technology selection and process development
c. Product design and development d. Facility planning
32. Developing an operations strategy is an important function of an operations manager. The operations strategy should basically be in accordance with which of the following?
a. Organization strategy b. Marketing strategy c. Competitor strategy d. Both a and c
33. How is strategic planning different from operations planning?
a. Strategic planning is concerned with long-term planning while operational planning involves short-term day-to-day planning b. Strategic planning is concerned with
short-term day-to-day planning while operational planning involves long-term planning
c. Operational planning involves selection of target markets and distribution channels d. Both strategic planning and operational
planning are long-term in nature
34. Which of the following is not a characteristic of operations strategy? a. It should be fixed so as to support a
product through its entire lifecycle
b. It should accommodate future changes in market demand
c. It should focus on having short-term operational superiority over competitors d. It should be consistent with strategies in
other functional areas such as marketing, finance and human resources
35. HDFC Bank offers deposits, loans, insurance products, mutual funds, trading in stocks, etc, under one roof and positions
itself as a financial supermarket. Which type of competitive advantage strategy does the bank seek to focus on?
a. Quality b. Product variety c. Convenience d. Low cost
(Questions 36 to 39) The given data below shows the initial investment of three projects and their payback periods. Use this data to answer the following four questions.
Project Initial
investment Expected annual income from the project
A Rs.10,00,000 Rs.2,00,000
B Rs.12,00,000 Rs.2,50,000
C Rs.8,00,000 Rs.1,50,000 36. Calculate the payback period for Project A a. 5 years
b. 4 years c. 3 years d. 6 years
37. What is the payback period for Project B? a. 5.0 years
b. 4.8 years c. 3.8 years d. 4.5 years
38. Calculate the payback period for Project C. a. 5.0 years
b. 4.8 years c. 5.3 years d. 4.5 years
39. Based on the results for product A, B and C, which is the best investment in terms of faster returns?
a. Project A b. Project B c. Project C
d. Either project A or C
40. Allocation of resources to strategic alternatives is a component of operations strategy. What is the main objective of this component?
a. To minimize efficiency
b. Optimize the use of resources for best strategic use
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c. Ensure capacity expansion d. Maintain proximity to resources
41. Demand for a commodity is most likely to depend upon which of the following? i. The price of the commodity
ii. The prices of the available complimentary goods
iii. The customer tastes and preferences iv. Price of substitutes
a. i and ii b. ii and iii c. i, ii, and iii d. i, ii, iii, and iv
42. _________is the ability of an organization to adjust quickly to true changes in the base level of demand.
a. Stability b. Responsiveness c. Repetitiveness d. Controlling
43. The numerical difference between forecast demand and actual demand is called ___________.
a. Standard deviation b. Forecast error c. Forecast variance d. Forecast noise
44. A forecast made by using exponential smoothing was found to be over-optimistic to the most recent trends in demand. Which of the following is the most suitable corrective action possible to make the forecast more realistic?
a. Increase the value of α b. Decrease the value of α
c. Shift to some other forecasting method d. Ensure that α remains constant
45. If the demand for a product is stable and is representative of the future, what should be the value of α used to forecast the demand for the product?
a. Low b. High
c. Medium
d. Can take any value
46. Organizations generally use demand forecasts to develop which of the following plans?
a. Financial plans b. Facilities plans c. Marketing plans d. All of the above
47. Which of the following methods is judgmental and subjective in nature and based on the estimates and opinions of individuals?
a. Time series methods b. Delphi method c. Exponential smoothing d. Regression analysis
48. Which of the following statements is not true about demand?
a. Dependent demand is forecasted
b. If a manufacturer produces tires, the demand for the tires is a dependent demand
c. MRP systems help determine demand for items with dependent demand
d. Exponential smoothing is used to determine independent demand
49. Which of the following statements about demand forecasting is not true? a. Forecasts are more accurate for shorter
time horizons
b. Regression analysis produces more accurate forecasts than moving average c. A 6-month moving average forecast is
more accurate than a 3-month moving average forecast
d. Forecasts are created using only quantitative data
50. Identify the statistical techniques that use historical data collected over a period of time to predict future demand.
a. Time-series methods b. Qualitative methods c. Nonparametric methods d. Causal methods
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51. Which of the following is not considered by operations managers before selecting a method for forecasting the future demand? a. Cost and accuracy
b. Data availability c. Projected time span d. Plant capacity
52. Which of the following measures provide information on the extent of forecast error in relative terms?
a. Mean absolute deviation b. Mean square error c. Mean forecast error
d. Mean absolute percentage error
53. Which of the following decisions undertaken by operations managers does
not generally require long-range forecast?
a. Capacity planning b. New product development c. Spare parts inventory d. Capital funds
54. Demand for a product is influenced by many factors. Which of the following is
not a factor that influences product
demand?
a. Price of the product b. Price of the substitutes
c. Income levels of the consumers d. Extent of accuracy of demand forecasts 55. Which of the following is not a
consequence of underestimation of demand?
a. Increase in supply lead time b. Increase in loss of orders c. Increase in customer switching
d. Increased locking up of working capital as inventory
56. Which of the following demand estimates are very detailed and used to plan and schedule production operations?
a. Short-term demand b. Medium-term demand c. Long-term demand d. All of the above
57. Raw materials demand forecast is derived from which of the following type of forecast?
a. Short-term demand forecast b. Aggregate product demand forecast c. Labor demand forecast
d. All of the above
58. Forecasting demand has a direct impact on which of the following two functions of management.
a. Planning and organizing b. Directing and control c. Organizing and staffing d. Planning and controlling
59. In Delphi method, independent opinions and predictions are made by a panel of experts and summarized by a competent mediator. The success of this method is
not dependent on which of the following?
a. The presence of a socially dominant individual
b. The geographical distance between the experts
c. Tendency towards groupthink d. Competency of coordinator
60. The demand for generator sets for twelve consecutive months from January to December is given as 78, 80, 85, 82, 84, 85, 87, 88, 86, 89, 86, 87. Calculate the approximate demand for January of the next year using the simple moving averages method. Assume the time period to be a six month moving average.
a. 82 b. 83 c. 86 d. 87
61. The sum of weights used in weighted moving average method should be equal to _________.
a. 1 b. 10 c. 100 d. Zero
62. How are weights in the weighted moving average method calculated?
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a. Simple moving average method b. Future forecast
c. Trial & error
d. Exponential smoothing
63. Which of the following forecasting methods are used when the demand for a product is influenced by seasonal tendencies?
a. Delphi method
b. Simple moving average method c. Exponential smoothing
d. All of the above
64. Which of the following is not a benefit that an operations manager gains when using the exponential smoothing method? a. Easy availability of standard software
packages
b. Less computational requirements c. Larger data storage space d. Greater accuracy in forecasts
65. Maximum weightage is given in the exponential smoothing method for demand values in which of the following time periods?
a. Latest time period b. Earliest time period
c. Average of latest and oldest time periods d. Sum of latest and oldest time periods 66. What is the formula for calculating the
weighted moving average? a. WMAt =
∑
= n 1 t t tA C b. WMAt+1 =∑
= n 1 t t tA
C
c. WMAt+1 =∑
+ = 1 n 1 t t tA
C
d. WMAt-1 =∑
= 1 -n 1 t t tA
C
67. Why is the constant α used in exponential smoothing method?
i. To show effects of past demand ii. To smooth out the effects of any noise iii. To predict future trends in demand
a. Only i b. Only ii c. i and ii d. i, ii, and iii
68. In the equation Y = a + bX, what is ‘a’ termed as?
a. Value of the dependent variable b. Value of the independent variable c. Slope of the line
d. Y intercept or constant value
69. What is the relation between the slope of the line and the trend line in regression analysis?
a. If the slope is positive, then the trend line increases positively
b. If the slope is positive, then the trend line decreases negatively
c. There is no relationship between the slope and the trend line
d. If the slope is negative, then the trend line increases positively
70. If the sales of a refrigerator model rose from 15000 units to 20000 units between two consecutive time periods due to 5% increase in advertising expenditure. What is the value of the slope?
a. 33.33 b. 6.67 c. 3.33 d. 250
71. Short-range decisions vary from purchasing, job scheduling, and project assignment to machine scheduling. Which of the following forecasting methods can be used for such decisions?
a. Exponential smoothing b. Linear regression analysis c. Multiple regression analysis d. Delphi method
72. Identify the forecasting method that can be used when data collection proves very expensive.
a. Moving averages method b. Delphi method
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c. Regression analysis d. Exponential smoothing
73. Which of the following forecasting methods give 100% accurate forecasts? a. Qualitative methods
b. Time series methods c. Causal methods d. None of the above
74. Identify the relationship between cost of forecasting and accuracy of forecasting. a. Cost is directly proportional to extent of
accuracy
b. Cost is indirectly proportional to extent of accuracy
c. Accuracy is independent of costs
d. Cost is inversely proportional to extent of
accuracy
(Questions 75 to 79) Use the data given in the table below to answer the following five questions related to forecast errors.
Demand Forecast Actual Demand
500 510 510 510 520 515 540 550 550 545 75. Calculate the Mean Absolute Deviation
(MAD). a. 5 b. 6 c. 30 d. 20
76. The Mean Square Error (MSE) for the given data is ______________.
a. 250
b. 100
c. 50 d. 75
77. Calculate the mean forecast error. a. 2
b. 10
c. 7 d. 5
78. Mean Absolute Percentage Error (MAPE) for the given data is __________.
a. 5.72 b. 3.14 c. 1.14 d. 2.56
79. Calculate the Tracking Signal (TS). a. 1.67
b. 2.67 c. 3.67 d. 4.67
80. For forecasting purposes, firms need to take into consideration various factors or components. Which of the following is associated with average sales over a given period of time?
a. Trend component b. Seasonal component c. Cyclical component d. Base demand
81. The demand for luxury products may be linked with the business cycle, as sales usually increase during the boom phase and slow-down during recession. What component of forecasting is described here?
a. Trend component b. Seasonal component c. Cyclical component d. Base demand
82. When LG increased the advertising budget by 40%, the sales of its televisions doubled. On this basis, LG prepared an aggressive demand forecast for the next year. What component of demand did LG consider as part of its forecast?
a. Cyclical component b. Promotional component c. Trend component d. Irregular component
83. Which of the following is an example of the trend component of forecast?
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a. The demand for gold has reduced as the price of gold has increased
b. The promotional expenditure of Airtel’s GSM service was hiked based on demand forecast
c. The demand for camera mobile phones in India has increased steeply since 2001 d. The demand for wrist watches has been
fluctuating for quite some time
84. Identify the correct sequence of steps taken as part of the demand forecasting process. a. Identify influencing factors – understand
objectives – identify customer segments – select forecasting technique
b. Identify influencing factors – identify customer segments – understand objectives – select forecasting technique
c. Identify customer segments – understand objectives – identify influencing factors – select forecasting technique
d. Understand objectives – identify influencing factors – identify customer segments – select forecasting technique 85. Which of the following demand
forecasting techniques is divided into static and adaptive methods?
a. Qualitative methods b. Time series methods c. Causal methods d. All of the above
86. Trend and seasonal components play an important role in demand forecasting. In which of the following forecasting methods are estimates of trend and seasonal components assumed to not vary from year to year?
a. Exponential smoothing b. Static forecasting method c. Regression analysis d. Simple moving average
87. Constrained optimization models are useful techniques enabling operations managers to compute the amount of resources to be allocated to each strategic alternative. Which of the following is not a benefit of using a constrained optimization model?
a. Feasible solutions are reduced to manageable numbers
b. Provides optimal solution for the whole organization
c. Enables decision-makers to perform what-if analysis
d. Provides optimal solutions that are always practical
88. Constrained optimization models consist of three major components. Which of the following is not a component of these models?
a. Decision variables b. Nature of demand c. Objective functions d. Constraints
89. Linear programming is a mathematical constrained optimization model used to maximize or minimize the linear functions of a large number of variables, subject to certain constraints. Linear programming cannot help obtain solutions for which of the following?
a. Profitability b. Cost effectiveness c. Motivation
d. Productivity
90. Identify the term that describes the solution satisfying all the restrictions of a linear programming problem.
a. Initial solution b. Basic solution c. Feasible solution d. Final solution
91. In linear programming, a statement such as the ‘number of labor hours available is 600’ is identified as a ___________. a. Constraint
b. Slack variable
c. Objective function d. Decision variable
92. Identify the mathematical technique used to determine the optimal utilization of resources in an organization.
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a. Exponential smoothing b. Regression analysis c. Linear programming d. Decision tree analysis
93. When arriving at production plan decisions by using linear programming, which of the following is not considered a constraint? a. Market
b. Capacity
c. Destination requirements d. Inventory space
(Questions 94 to 98) Atul Tele-Products manufactures two telephone models using two different raw material grades. One (x) is of superior quality and the other (y) inferior (second grade). The profit per unit for the model using superior quality raw material is Rs.200 and that of the other is Rs150. The maximum demand for both telephones is 600 units. Production should not exceed demand and total machine time available for both types of telephones together is 650 hours. Besides, one superior quality telephone can be produced in two hours while one unit of inferior quality telephone can be produced every hour. Answer the following five questions using the information given above.
94. If Atul Tele-Products wants to maximize profits, what should be the objective function?
a. Maximize Z = 2x + 4y b. Maximize Z = 200x + 150y c. Maximize Z = 600x + 650y d. Maximize Z = 2x + y
95. What is the constraint on machine hours? a. 2x + y ≤ 650
b. x + 2y ≤ 650 c. 2x + y ≤ 600 d. x + 2y ≤ 600
96. What is the constraint on demand?
a. 2x + y ≤ 600 b. x + 2y ≤ 600 c. x + y ≤ 650 d. x + y ≤ 600
97. If the number of superior quality telephones produced in a month is 200 and inferior quality telephones is 200, then what is the maximum profit (in rupees) that the company gets?
a. Rs. 75000 b. Rs. 70000
c. Rs. 76500
d. Rs. 78500
98. What is the appropriate production combination for the two models to gain maximum profits?
a. x = 300, y = 300 b. x = 600, y = 0 c. x = 250, y = 100 d. x = 200, y = 200
99. While constructing a linear programming problem, certain assumptions are made. Which of these is not such an assumption? a. Proportionality
b. Optimality c. Divisibility d. Additivity
100. If the objective function is a maximizing function, which of the following can be considered for it?
a. Profits b. Inventory
c. Advertising expenditure d. Production costs
(Questions 101 to 104) The diagram represents the solution for a linear programming problem where ABCS is the feasible region. Use the diagram to answer the following four questions.
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101. Identify the constraint represented by the line passing through the coordinates (40, 0) and (0,60).
a. x + y = 40 b. 2x +3y = 120 c. 3x + 2y = 120 d. x + y = 60
102. Identify the corner points of the feasible region from the above diagram.
a. (0,0), (80,0), (60,0), (40,0) b. (40,0), (80,0), (60,80), (60,0) c. (40,0), (80,0), (80,60), (60,0) d. (0,60), (40,0), (80,0), (80,60)
103. What is the equation of the line passing through (80,0)?
a. x = 80 b. y = 80 c. x + y = 80 d. x - y = 80
104. Find the minimum value of the objective function where minimize Z = 20x + 35y. a. 2100
b. 1600 c. 800 d. 3700
105. Which of the following statements is not characteristic of linear programming? a. The linear programming problem should
have a well-defined single objective to achieve
b. The objective function and constraints of the linear programming problem must be linear functions
c. Decision variables of the linear programming problem should be continuous in nature
d. The resources considered in the linear programming problem should have unlimited supply
106. Identify the correct sequence of steps to formulate a linear programming problem. i. Identify the objective function
ii. Identify decision variables iii. Identify constraints a. ii, i, and iii
b. i, ii, and iii c. iii, ii, and i d. ii, iii, and i
107. Where does the optimum solution lie on the graph in the graphical method of solving a linear programming problem?
C B A 20 Y O (0,0) 20 60 80 40 60 80 X 40 S 120 100 120 100 D
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a. On the X axis b. On the Y axis c. In the feasible region d. Outside the feasible region
108. In the simplex method of solving a linear programming problem, the ‘lesser than or equal to’ inequality is converted into equality by ___________ to the left hand side of the inequality.
a. Adding a slack variable b. Subtracting a slack variable c. Adding a function
d. Subtracting a function
109. The sequence of steps in moving from one basic solution to another in a simplex method is known as ____________. a. Integration b. Iteration c. Allocation d. Summation
110. Identify the typical objective function of a transportation problem.
a. To minimize the sum of all quantities transported
b. To minimize the sum of all production costs
c. To minimize the sum of all transportation costs
d. All of the above
111. Which among the following is not a method used in developing an initial feasible solution for a transportation problem?
a. North-West corner method b. Least cost method
c. Vogel’s approximation method d. Stepping stone method
112. Of all the methods used to determine the initial feasible solution in transportation problems, which is said to be most effective?
a. North-West corner method b. Lest cost method
c. Vogel’s approximation method d. Both a & b
113. The concept of linear programming does not consider any synergetic effects among decision variables while calculating their total value for the objective function or the constraints they are associated with. This is part of which assumption of linear programming?
a. Proportionality b. Additivity c. Divisibility d. Certainty
114. Onio Designs provides industrial designing services to various automobile companies in India. This is an example of ___________.
a. Job shop production b. Batch manufacturing c. Standardized service d. Customized service
115. In the emerging business scenario, it has become essential for operations managers to manage the structure of their organizations, not merely their operations. What does the term ‘structure’ include? a. Number of plants and their individual
capacities
b. Choices in equipment and process technology
c. Production control and workforce management
d. All of the above
116. Keeping other things constant, when the price of a commodity decreases, the demand for the commodity __________. a. Does not change
b. Increases continuously c. Increases to a certain level d. Decreases
117. To attain its objective of profit maximization, L&T decided to acquire a mine in Australia thereby owning sources of raw material supplies. What is this process of expanding ownership called? a. Horizontal integration b. Forward integration c. Backward integration d. Diagonal integration
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118. The factor that is not considered by operations managers while making their decisions on backward integration.
a. Level of training for distributor employees b. Capabilities to consume and market the
products
c. Anticipate changes in net return on assets d. Availability of funds
119. What are the basic objectives of process planning and design?
i. To produce products with desired quality ii. To produce products at the right time iii. To produce products in required quantities iv. To produce products below competitor
prices a. i and ii b. i and iii c. ii, iii, and iv d. i, ii, and iii
120. Organizations must be flexible to increase or maintain their market share. The ability of the production system to shift quickly from producing one product to another is called _____________.
a. Product flexibility b. Demand flexibility c. Volume flexibility d. Customer flexibility
121. In an assembly chart, the process of inspection is generally represented by a __________.
a. Square b. Circle c. Triangle d. Pentagon
122. Which of the following is not an advantage of process-focused production? a. Small work-in-process inventory
b. Less manufacturing cycle time c. Low initial investment
d. Better product mix available to meet customer demand
123. Which of the following is not an advantage of the product focused production system?
a. Lower unit costs
b. Lower initial investments c. Ease of planning
d. Reduced worker training
124. ABC Corp. to match the diversity in customer orders wants to produce products in small batches. Which type of process design would be economically feasible for ABC?
a. Assembly line
b. Continuous processing c. Discrete unit processing d. Job shop process
125. Which of the following forms the basis for designing factory buildings and facility layouts?
a. Operations strategy b. Production planning c. Process planning d. Product design
126. When Hindustan Smelters Ltd. decided to manufacture lead ingots, the management decided to develop a process plan for the same. Which of the following factors should the operations manager at Hindustan Smelters Ltd. keep in mind when developing a process plan?
a. Nature of demand
b. Degree of vertical integration c. Employee skill level requirements
d. Quality level and degree of customer contact
127. Demand for Pepsi cola is seasonal. It has a very high demand during summer and minimal demand during winter season. Which of the following assumptions is
false with respect to the seasonality of
demand of Pepsi cola?
a. As demand is seasonal Pepsi cola should not be produced in winter season
b. Pepsi cola should be produced throughout the year but with varying outputs
c. Finished goods inventory must be stocked to meet high demand during summer d. All the above statements are false.
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128. Which of the following is not a factor affecting backward integration?
a. Cost of producing components versus cost of buying them
b. Investments necessary to produce components in-house
c. Anticipated changes in net return on assets, if production of components is undertaken
d. Ability of the organization to market its products
129. Identify which of the following is not an advantage of vertical integration.
a. It reduces the over-dependency on the purchasing function
b. It helps decentralize the overheads
c. It helps in pooling the R&D and design efforts
d. It helps in achieving economies of scale 130. Assume that Eastside, a readymade
garment retailer, acquired a textile mill to produce different fabrics. What kind of integration strategy has the retailer adopted?
a. Forward integration b. Backward integration c. Horizontal integration d. Lateral integration
131. There are various types of process designs that are generally used by organizations. In which type of process design, products or services tend to flow along linear paths without backtracking or sidetracking? a. Product-focused systems
b. Process-focused systems c. Group technology d. All the above
132. Steel and Chemical industries generally implement which type of process design? a. Discreet unit manufacturing
b. Process manufacturing c. Job shop process d. Both a & c
133. Which of the following process design systems entail high initial investment?
a. Product-focused systems b. Process-focused systems c. Group technology d. All of the above
134. What are the characteristics of process focused systems?
i. Operations are grouped according to the type of processes
ii. Production is performed on products on a start and stop basis
iii. Products move from department to department in batches
iv. Products are produced irrespective of diversity in customer orders
a. i and ii b. iii and iv c. i, ii, and iii d. ii, iii, and iv
135. Coding of parts in a manufacturing plant is done to ensure the identification of each part and its characteristics. What is the difficulty in adopting this approach? a. It provides a clear picture of the steps
involved in producing the part
b. It results in standardization of part design c. It leads to grouping of the parts into
families
d. It requires high employee skills
136. Which of the following is not an advantage of cellular manufacturing? a. Lesser machine changeover time b. Lower cost of training
c. Reduction in material handling costs d. Increase in the in-process inventory
137. Which of the following types of charts indicate operations by circles and inspections by squares?
a. Assembly charts b. Gantt charts c. Flow charts d. None of the above
138. Which type of production systems has high diversity in product design and small batch size?
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a. Job shop production systems b. Cellular manufacturing systems c. Batch production systems d. Product focused systems
139. Which of the following is not true about a product-focused system?
a. Presence of initial fixed costs b. Presence of low variable costs
c. The total cost of production increases as the output volume increases
d. Low variations in products
140. In what way is a typical product-focused system distinct when compared to a process focused system?
a. Lower fixed costs and higher variable costs
b. Higher fixed costs and lower variable costs
c. Higher fixed costs and higher variable costs
d. Lower fixed costs and lower variable costs 141. Which of the following reasons persuade companies to set up facilities in export promotion zones, technology parks and industrial estates?
i. Tax holidays and exemption from import-export barriers
ii. Availability of infrastructure iii. Low loan interest rates iv. Low cost of manpower a. i and iv
b. ii, iii, iv c. i, ii, iii d. ii and iv
142. Which of the following is a major factor in selection of a location for an aluminum factory?
a. Proximity to final consumer b. Proximity to input sources c. Proximity to sea port d. All of the above
143. For which of the following industries is proximity to markets a must?
a. Telecom industry b. Textile industry
c. Healthcare industry d. Call center
144. What do you understand by the term ‘facility layout’?
a. A list of facilities provided by the organization to the consumers
b. The physical distribution of various departments for ease in production
c. The location of employees inside the organization
d. Layout of safety equipment in an organization
145. Layouts are differentiated by the types of workflow they entail. Workflow in turn is dictated by the nature of the product. Which of the following statements is true about product layout?
a. Equipment is dedicated to the manufacture of a narrow product line
b. Equipment is flexible to produce a wide range of products
c. Material handling cost increases significantly
d. It is used for manufacturing customized
products
146. Which of the following involves the use of layout planning tools like templates and two-dimensional cut-outs of equipment drawn to scale?
a. Graphic and schematic analysis b. Load distance model
c. Computer models d. CRAFT model
147. Cotton yarn manufacturing units are generally concentrated in select areas of the country as yarn production requires certain ideal levels of humidity. What factor influences selection of plant location in this case?
a. Site cost
b. Conducive politico-economic situation c. Suitability of climate
d. Availability of amenities
148. Which of the following is not a primary objective of facility location and layout decisions?
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a. To set up a plant of the right size and right design
b. To serve the customer better c. To optimize production cost d. To use best available technology
149. Which of the following is not an advantage of selecting an ‘optimum location’ for a plant?
a. Reduction of transportation costs of raw material and finished goods
b. Competitive advantage due to proximity to market
c. Low labor-cost d. Cost of technology
150. Which of the following types of layout is used when the product manufactured is bulky, heavy or fragile?
a. Product layout b. Process layout c. Fixed position layout d. Group technology layout
151. Which of the following techniques is not associated with taking suitable location decisions?
a. Cost-profit-volume analysis b. Factor analysis
c. Linear programming d. CRAFT analysis
152. Which of the following organizations selects a particular location from a market-oriented approach?
a. A retailer b. A manufacturer
c. A software development center d. A content development center
153. Which of the following is not a type of facility layout?
a. Process layout b. Product layout c. Employee layout d. Hybrid layout
154. ‘It is also called the cellular manufacturing layout.’ Identify the layout from the following.
a. Process layout
b. Grouping technology layout
c. Fixed position layout d. Hybrid layout
155. In which of the following situations is there no need for selecting a facility location?
a. When a business has just started
b. When expansion of the existing plant is possible
c. When a business wants to establish new
branches/plants
d. When government regulations mandate that the business has to shift its location 156. Firms conduct facility location analysis
where they evaluate different locations and finally choose an optimum location to start operations. Arrange the following activities related to facility location planning in a logical sequence.
i. Design layout ii. Select location iii. Search for a location iv. Revise layout a. i, ii, iii, iv b. ii, iii, i, iv c. iii, ii, i, iv d. iv, iii, ii, i
157. Rahul wanted to set up a small scale printing press to print books for individuals interested in publishing their work for a small audience. Which is the right location for Rahul to establish a printing press to cater to this kind of market?
a. Near paper mills b. In a town/city
c. In a village where cost of labor is cheap d. Near the manufacturer of printing
machines
158. There are many factors affecting the selection of a facility location. Which of the following factors would deter a firm from setting up operations in a particular location?
a. Low labor costs
b. High transportation costs
c. Availability of public utility services d. Benefit of tax holidays
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159. The basic raw material for a cement manufacturing unit is limestone and the major consumers are the government, real estate and individual consumers. Which is the best possible location to build a cement plant?
a. Close to sea port
b. Close to cities where consumption is high c. Close to the raw material source
d. Within special economic zones or export processing zones
160. Process layouts are also known as ______. a. Functional layouts
b. Fixed position layout c. Flow-shop layouts d. Straight-line layouts
161. Many auto-ancillary units have set up facilities close to facilities of auto majors like Hyundai and Ford near Chennai. Which of the following factors would have primarily led to this decision?
a. Site cost
b. Proximity to markets
c. Need for safety requirements
d. Availability of services like electricity, drainage, and waste disposal
162. Which of the following is not considered a benefit derived by companies setting up operations in special export zones (SEZ)? a. Good infrastructure support
b. Tax holidays
c. Low interest loans
d. Availability of prime real estate
163. Companies can follow certain guidelines when trying to analyze possible locations and identify an optimal one since it is expensive and time-consuming. What is the correct sequence of guidelines a company can follow when evaluating locations?
a. Define location objectives – relate objectives to criteria – Identify relevant decision criteria – evaluate alternative locations – select the best location
b. Identify relevant decision criteria – define location objectives – relate objectives to criteria – evaluate alternative locations – select the best location
c. Define location objectives – identify relevant decision criteria – relate objectives to the criteria – evaluate alternative locations – select the best location
d. Define location objectives – identify relevant decision criteria – evaluate alternative locations – relate objectives to criteria – select the best location
164. Though there is no standard procedure, certain guidelines can be used for making a location decision. The first guideline is to define location objectives. Whose views and requirements are not considered when defining them?
Cost Volume Relationships of Two Locations
V0 Volume of sales Cos t Revenue TC2 TC1 FC1 FC2
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a. Owners and promoters b. Employees
c. Customers d. Competitors
(Questions 165 & 166) The above figure presents cost-volume-profit analysis. Based on the figure, answer the following two questions. 165. Which of the following is similar for the
two locations? a. Revenue b. Fixed cost c. Variable cost d. Total cost
166. If fixed cost at a location is Rs.500,000, variable cost per unit Rs.30, and price per unit Rs.50. Calculate the number of units a firm should produce to break even? a. 20,000
b. 10,000 c. 25,000 d. 15,000
(Questions 167 to 169) The table below gives details about fixed costs and variable costs for three different locations. Answer the following
three questions using information given in the
table.
Location Fixed cost /Yr Variable cost / Unit
Chandigarh Rs. 4,00,000 300
Gurgaon Rs. 4,50,000 285
Delhi Rs. 5,00,000 275
167. Which of the following locations would have the highest total cost per year if annual output of a firm located there is 1000 units?
a. Chandigarh b. Gurgaon c. Delhi
d. Both Delhi and Gurgaon
168. Which of the following locations would have the highest annual profit if the annual production is 1000 units and selling price per unit is Rs.1000?
a. Chandigarh b. Gurgaon c. Delhi
d. Both Chandigarh and Gurgaon
169. Which plant location would you select if you were the authority to make the final decision?
a. Chandigarh b. Gurgaon c. Delhi
d. Any of the above
170. Which of the following is not an advantage of a good layout?
a. It reduces material handling costs b. It reduces congestion in the plant c. It reduces space utilization d. It increases machine utilization
171. Under which type of layout are similar machines and equipment grouped to carry out the production process.
a. Process layout b. Product layout c. Fixed position layout d. Hybrid layout
172. What type of machine is used in a process layout?
a. Specially designed machines b. General purpose machines
c. Machines that help manufacture standardized products
d. All of the above
173. Which of the following is an advantage of process layouts?
a. Increased production time b. Increased work-in-progress c. Increased accumulation of work
d. Increased utilization of men and material 174. Which type of layout is designed to
produce standardized products? a. Process layout
b. Product layout c. Fixed position layout d. Hybrid layout
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175. Which of the following manufacturing processes requires using a fixed position layout?
a. Petroleum distillation b. Beer manufacturing c. Ship-building
d. Cement manufacturing
176. In a fabrication and assembly plant, fabrication is done on __________ layout while assembly is done on ______________ layout.
a. Product, process b. Process, product c. Product, fixed position d. Fixed position, product
177. Managers can use various models like mathematical models, computer models, and physical models to develop a process layout. Which among the following helps find the best process layout by evaluating thousands of alternative layouts very quickly?
a. Graphic and schematic analysis b. CRAFT model
c. Load distance model d. Line balancing
178. Different types of products are manufactured using a process layout. As workflow differs from product to product, managers focus on minimizing the movement of materials as it can hike material movement costs. Which of the following models aims at minimizing these costs?
a. Graphic and schematic analysis b. CRAFT model
c. Load distance model d. Line balancing
179. In which of the following countries were compact production layouts developed due to space constraints?
a. USA b. Japan c. India d. China
180. Match the following models used to develop layouts with their respective features.
i. CRAFT model ii. Load distance model iii. Line balancing
iv. Graphic & schematic analysis
p. Used for studying workflow in an assembly line
q. Evaluates thousands of alternative layouts in a short period
r. Analyses and minimizes material movements costs in a plant
s. Two dimensional drawings are used to determine the best layout
a. i/p, ii/q, iii/r, iv/s b. i/q, ii/p, iii/r, iv/s c. i/r, ii/q, iii/p, iv/s d. i/q, ii/r, iii/p, iv/s
181. Different types of layout of service facilities exist based on degrees of customer contact. In which of the following layouts is internal work of employees given secondary importance? a. Layouts focusing on customer receiving
and servicing
b. Layouts focusing on technology
c. Layouts focusing on physical materials processing
d. Layouts focusing on production efficiency 182. Which of the following service providers
uses both customer focus layouts and process focus layouts as part of its service facility layout?
a. Banks b. Hospitals c. Restaurants d. Call center
183. The following table gives the volume of quantities to be shipped to four markets. The X and Y coordinate values of the location that would help minimize transportation costs are also given. Use the center of gravity method to identify coordinates for the optimal location to set up a warehouse to service the four markets with minimal transportation costs.
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Distribution Center X Y VOLUME (‘000) A 4 4 60 B 12 6 90 C 10 14 110 D 5 13 100 a. 10.75, 9.06 b. 10.05, 8.11 c. 9.06. 10.75 d. 8.11, 10.06
184. Which of the following is not a location evaluation method?
a. Point rate method b. Center of gravity method c. Analytic Delphi method d. Historical analogy method
185. Analytic Delphi Method helps managers take complex multi-location decisions. Give the correct sequence of steps to be taken as part of such location decisions. a. Form panels - Identify trends and
opportunities - Determine directions and strategic goals of the organization - Develop alternatives - Prioritize alternatives
b. Identify trends and opportunities - Determine directions and strategic goals of the organization - Form panels - Develop alternatives - Prioritize alternatives c. Identify trends and opportunities - Form
panels - Determine directions and strategic goals of organization - Prioritize alternatives - Develop alternatives
d. Form panels - Determine directions and strategic goals of the organization - Prioritize alternatives - Develop alternatives - Identify trends and opportunities
186. Linear Decision Rules (LDRs) are a set of equations for calculating the optimal workforce, aggregate output rate and inventory level for each time period in a planning horizon. Which of the following is not true about LDRs?
a. They provide optimum solutions for the problems
b. They eliminate trial and error computations
c. They consider non linear cost relationships d. They can be generalized to all
organizations
187. ________ is the basis for job analysis, job description and job specification.
a. Job rotation b. Job design c. Job enrichment d. Job enlargement
188. ________ describes the tasks, duties and responsibilities of a job.
a. Job analysis b. Job enrichment c. Job description d. Empowerment
189. ___________ investigates job content, the physical conditions in which the job is carried out, and qualifications necessary to carry out job responsibilities.
a. Job description b. Job analysis c. Job profile d. Job specification
190. What does an effective job design ensure? a. Employees are paid above expectations b. Jobs are consistent with organizational
goals
c. Proper measurement of work done by each employee
d. All the above
191. The Job Characteristics Model developed by Richard Hackman and Greg Oldham includes five characteristics. They are skill variety, task identity, task significance, autonomy and feedback. Match the following terms with their respective description.
i. Skill variety ii. Task significance iii. Autonomy iv. Feedback
p. Influence of job on individuals inside & outside the organization
q. Flexibility, independence, and discretion in the job
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r. Skill sets and abilities needed for the job s. Extent of information given to employees
on their performance a. i/q, ii/p, iii/s, iv/r b. i/p, ii/q, iii/r, iv/s c. i/r, ii/q, iii/p, iv/s d. i/r, ii/p, iii/q, iv/s
192. Which of the following is not a consequence of a good job design?
a. Improved efficiency b. Improved productivity c. Increase in worker inputs d. Increase in motivation
193. The job design developed should be feasible for employees as well as the organization. Feasibility is required in which of the following areas?
i. Technical feasibility ii. Economic feasibility iii. Political feasibility iv. Behavioral feasibility a. i, ii, iv
b. i, iii, iv c. i, ii, iii d. ii, iii, iv
194. What do you understand by the term job content?
a. It gives the detailed set of activities to be performed on the job
b. It describes the physical conditions in which the job is done and qualifications for the job.
c. It describes the duties and responsibilities of a job.
d. All of the above
195. Job content is the key to job design as it influences other aspects of human resource management. Job content helps clarify which of the following aspects?
i. Qualifications ii. Skill sets
iii. Nature of training programs iv Level of motivation
a. i and ii b. iii and iv c. i, ii, and iii d. i, ii, iii, iv
196. Job specialization at work has many advantages for the organization. Which of the following is not an advantage resulting from this?
a. Ease in recruiting new workers because fewer skills are required
b. Lower production time and higher productivity levels
c. Lower flexibility in job rotation
d. Larger scope for mechanization or automation of processes
197. Which of the following is an advantage of work specialization for a manager? a. Lower work satisfaction
b. Ease of supervision and training workers c. Reduced scope for improvement because
of limited perspective of workers
d. Hidden costs of worker dissatisfaction resulting from absenteeism and high employee turnover
198. Which of the following types of compensation is a basic need and is not a tool used for employee motivation? i. Fixed salary
ii. Promotion iii. Health insurance iv. Bonus
a. Only i b. ii, iii and iv c. i, iii and iv d. i, ii, iii, iv
199. Which of the following is a form of monetary benefit given to employees in an organization?
a. Rewards b. Titles c. Promotions d. Low interest loans
200. Identify the correct sequence of activities to be performed by the human resource manager.
