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Operations Strategy & Planning Flashcards

7 cards from real COM practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.

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  1. Which tool is commonly used to translate high-level strategic goals into measurable operational objectives across four perspectives: financial, customer, internal process, and learning?

    Answer: Balanced Scorecard

    The Balanced Scorecard links strategic objectives to operational metrics across four perspectives, ensuring strategy execution at all levels.

  2. In aggregate production planning, the 'chase strategy' refers to:

    Answer: Adjusting production output to match demand fluctuations by hiring and firing

    The chase strategy matches production rate to demand by varying workforce size, avoiding inventory buildup but increasing hiring costs.

  3. What is the primary purpose of a Sales and Operations Planning (S&OP) process?

    Answer: To align supply capability with demand forecasts across business functions

    S&OP integrates sales, marketing, finance, and operations plans to balance supply and demand and support business strategy.

  4. A company that adopts a 'make-to-order' (MTO) production strategy typically experiences:

    Answer: Low finished goods inventory and longer customer lead times

    MTO production begins only after a customer order is received, reducing inventory risk but extending the time customers wait for delivery.

  5. Which concept describes the point in a supply chain where a customer order first influences production or procurement decisions?

    Answer: Customer order decoupling point

    The customer order decoupling point separates forecast-driven upstream activities from order-driven downstream activities in a supply chain.

  6. Hoshin Kanri (policy deployment) is best described as:

    Answer: A strategic planning methodology that cascades annual objectives throughout the organization

    Hoshin Kanri ensures strategic priorities flow from senior leadership down to frontline teams through aligned goals and action plans (catchball process).

  7. When forecasting long-term capacity needs, operations managers should account for which of the following factors?

    Answer: Technological change, market growth trends, and competitive dynamics

    Long-term capacity planning requires evaluating macro-level factors like technology evolution, market demand trajectories, and competitor actions.