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MNB1601 EXAM PACK 2025

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Inventories should be kept to provide for risks involved in purchasing from far away suppliers. Which one of the following is a disadvantage of too much inventory? - ANSWER Losses in terms of depreciation. If Toyota moves away from the JIT system and decides to incorporate a new computer-ass...

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  • January 17, 2025
  • 91
  • 2024/2025
  • Exam (elaborations)
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  • MNB1601
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MNB1601 EXAM PACK 2025




Inventories should be kept to provide for risks involved in purchasing from far
away suppliers. Which one of the following is a disadvantage of too much
inventory? - ANSWER Losses in terms of depreciation.


If Toyota moves away from the JIT system and decides to incorporate a new
computer-assisted system which is used to maintain minimum inventory levels,
they would make use of the ______________ system. - ANSWER materials-
requirements planning


Tebogo is the purchasing and supply manager at Cross Pharmacy, a large national
chain of pharmacies. One of his key performance areas is managing the
purchasing and supply function for the future. In this regard, Tebogo is responsible
for safeguarding materials provisions and the development of supplier sources.
Tebogo is responsible for which level of purchasing and supply planning? -
ANSWER Strategic level


Tebogo has secured a contract with a French beauty brand for the exclusive
distribution of their products in South Africa. To facilitate the distribution of these
products in South Africa, Tebogo (who is situated at Cross Pharmacy's
headquarters) will be responsible for all of the purchasing. This arrangement will
not influence the purchasing of other beauty brands stocked by the pharmacies
and each branch will continue to manage their own purchases. Which type of
purchasing and supply structure is described here? - ANSWER A combination of
centralised and decentralised purchasing and supply functions

,______________ allocate the responsibility for buying a specific material or
service to a specific person. - ANSWER Specialist groups


Mavis is the marketing manager for Mars Plastics. She is serving on a cross-
functional purchasing team for the company's toy division. The team includes
members from the finance department, the purchasing and supply department
and Mars Plastic's main toy supplier, Kidz R Us. Which one of the following would
be a reason for Kidz R Us to be included in the crossfunctional team at Mars
Plastics? - ANSWER New product development


In order to assess the management performance of the cross-functional team on
which Mavis serves, Mars Plastics has put together an evaluation sheet. Which
one of the following options would be included in the evaluation sheet used for
management performance? - ANSWER The adequacy of performance appraisal


Mankhubu, the purchasing and supply manager, also serves on Mavis's cross-
functional team and is responsible for the assessment of the purchasing and
supply activities of the team. Which control point should Mankhubu use when
looking at the effectiveness of inventory-holding? - ANSWER Calculating inventory
turnover


Which one of the following is the most general method of describing quality? -
ANSWER Specification


For which of the following reasons is operations management important to the
business? - ANSWER Operations management is important because it can
contribute to an increase in the productivity of the business, it can help the
business satisfy the needs of its customers/clients more effectively, and it can also
be a decisive factor for the general reputation of the business.

,Which of the following are positive results obtained from the application of the
operations management guidelines? - ANSWER Positive results obtained from the
application of the operations management guidelines are higher quality, lower
costs, greater adaptability, and better service.


Which one of the following statements is incorrect concerning the classification of
operations processes in manufacturing businesses? - ANSWER Continuous or
repetitive systems represent operations systems in which the output volume is
low but reflects more variety.


Which of the following statements about the basic layout types used in the design
of operations processes are correct? - ANSWER Regarding the basic layout types
which may be adopted in the design of the operations processes, fixed position
layout and cellular layout are correct.


Which of the following statements on the design of products and services are
correct? - ANSWER The design of a product or service is said to "begin and end"
with the customer/ client. The implicit advantages in the package relating to
products and services are the psychological advantages. Peripheral services
supplement the core service. The financial function is also involved in the
screening process of designing products and services. The preliminary design
specifies the components to be included in the product or service package.


Which one of the following statements related to operations improvement is
incorrect? - ANSWER All areas in a business are equally important when it comes
to improvement.


Doing a job analysis, compiling job descriptions and job specifications and
identifying the number of employees who will be needed in the future are steps in
the process. - ANSWER HR planning.

, Job analysis, compiling job descriptions and specifications, and determining the
number of employees who will be needed in future are the three steps in the HR
planning process. The HR needs are based on the organisation's goals and
strategy. Refer to section 12.3 in ITBM.


In this human resource management activity, observation, interviews and
questionnaires can be used to collect information about job behaviours and
activities. - ANSWER Job analysis.


Observation, interviews and questionnaires can be used to collect information
about job behaviours and activities for job analysis. Job analysis is the process of
describing and recording information about job behaviours and activities. Refer to
section 12.3.1 in ITBM.


This document consists of a job summary, a description of each main task and a
description of the kind of decisions that the incumbent must take. - ANSWER Job
description.


A job description consists of a job summary, a description of each main task and a
description of the kind of decisions that the incumbent must take. The format of a
job description can differ from business to business, but the information is usually
presented in a format that is easily readable. Refer to section 12.3.1.2 in ITBM.


The purpose of recruitment is to ________________. - ANSWER Ensure that a
sufficient number of applicants apply for the vacancy.

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