L6M9

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The dumps for L6M9 exam was last updated on May 07,2025 .

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Question#1

Which of the following appear in the concept of Theory of Constraints? Select ALL that apply.

A. Boat
B. Rope
C. Buffer
D. Drum
E. Safe harbour

Explanation:
The Theory of Constraints (TOC) includes the Drum, Buffer, and Rope approach. This method helps manage constraints in production by synchronising workflow. The Drum sets the pace, the Buffer protects against variability, and the Rope ensures efficient scheduling. Boat and safe harbour are not part of TOC. (See p.204)
For further reading on Drum-Buffer-Rope, refer to this resource:
Theory of Constraints - Fortelabs

Question#2

Jed is the Operations Manager at a cake manufacturer and is trying to determine the optimum capacity of the factory.
Which of the following would be true if the factory achieves optimum capacity? Select ALL that 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

Explanation:
Optimum capacity is achieved when:
Customer demand is met (B)
Production costs are minimized (C)
Incorrect options:
(A) is false because optimum capacity isn’t necessarily the physical limit
(D) is false because the factory should be operating at a profit, not breakeven
(E) is false because the lowest cost per unit is achieved, not the highest
(F) is false because inventory levels should be minimized, not maximized (to reduce storage costs) (See LO 1.3, p.46)

Question#3

LTL Ltd is a manufacturing organisation producing made-to-order equipment for the construction industry, such as bespoke windows and doors. The Head of Operations has received four large orders and is considering the sequencing of production.
Which of the following should the company do?

A. Use a First Come, First Serve system to prioritise the orders that were made first, ensuring customer satisfaction
B. Sequence the orders in the way that will be the cheapest to produce, creating the highest profit margin
C. Create the orders in the most logical, economic, and fastest pattern. This may mean that the first order received is the last to be produced
D. Start manufacturing the order that has the longest completion time first so all orders are ready at the same time

Explanation:
Sequencing involves balancing logic, cost, and speed to optimise production. Prioritising orders purely by arrival time (Option A) or cost efficiency (Option B) might not be practical. Similarly, making sure all orders finish at the same time (Option D) isn't always necessary. (See p.183)

Question#4

Keisi is the new Operations Manager at Warehousing Logistics Corporation. She is reviewing several products sold by the organisation and deciding on the best warehousing options available. Keisi is looking at item 56283. This item is low cost, not sold in high volumes, but important to customers.
Which of the following stocking policies should be used for this item?

A. Never be out of stock
B. Maintain an average of 3 days stock
C. Stock reviewed monthly
D. No stock held locally

Explanation:
The item described is a ‘regular seller’―important to customers but not sold in high volumes. Keeping an average of 3 days' stock balances demand with the effort required for stock management. "Never be out of stock" is only for high-demand, critical items, while "monthly stock review" might lead to lost sales. (See p. 158)

Question#5

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

Explanation:
The Improvement Gap Analysis measures customer dissatisfaction levels. It describes the current state of an organisation and what needs to be done to reach the desired state. The gap between these states represents customer dissatisfaction. The IPA matrix by Piccolo et al categorises dissatisfaction into four quadrants, helping organisations determine whether action is needed. (See p. 137)

Exam Code: L6M9         Q & A: 84 Q&As         Updated:  May 07,2025

 

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