Business Services Business Services Operations 2 — Questions and Answers
Question 1: Which operational model involves a business retaining control of processes while using external staff?
- Full outsourcing
- Staff augmentation (Correct answer)
- Offshoring
- Franchising
Correct answer: Staff augmentation
Staff augmentation lets companies supplement their in-house team with external workers while retaining management control of processes.
Question 2: What is the purpose of a business continuity plan (BCP) in service operations?
- To plan annual budget cycles
- To ensure critical services continue during disruptions (Correct answer)
- To onboard new employees
- To document vendor contracts
Correct answer: To ensure critical services continue during disruptions
A BCP outlines procedures to maintain essential business functions during and after a disaster or disruption.
Question 3: In the context of business services, what is 'capacity planning'?
- Estimating storage for physical goods
- Determining the resources needed to meet future service demand (Correct answer)
- Calculating employee vacation days
- Budgeting for office renovations
Correct answer: Determining the resources needed to meet future service demand
Capacity planning ensures that sufficient resources are available to meet anticipated service demand without over- or under-provisioning.
Question 4: Which of the following is a characteristic of a lean service operation?
- Maximizing inventory buffers
- Eliminating waste and non-value-added activities (Correct answer)
- Increasing process steps for quality
- Hiring more supervisors
Correct answer: Eliminating waste and non-value-added activities
Lean operations focus on eliminating waste (non-value-added steps) to improve efficiency and deliver more value to customers.
Question 5: What does 'first call resolution' (FCR) measure in a service center?
- How quickly calls are answered
- The percentage of issues resolved on the first customer contact (Correct answer)
- The number of calls transferred
- Total call volume per day
Correct answer: The percentage of issues resolved on the first customer contact
FCR tracks how often customer issues are fully resolved during the initial contact, without requiring follow-up calls.
Question 6: Which document formalizes the relationship between a service provider and a client, detailing scope, deliverables, and pricing?
- Business continuity plan
- Statement of Work (SOW) (Correct answer)
- Risk register
- Org chart
Correct answer: Statement of Work (SOW)
A Statement of Work (SOW) defines the specific services, deliverables, timeline, and pricing agreed upon between a provider and client.
Business Services Business Services Operations 2
Which operational model involves a business retaining control of processes while using external staff?