1 An accountant decides to use the services of a cleaning company for one day per week.
What is this an example of?

(A) Development
(B) Downsizing
(C) Global contracting
(D) Outsourcing

2 A factory manager is deciding the best order in which to complete tasks.
Which operations process is being carried out?

(A) Monitoring
(B) Scheduling
(C) Sequencing
(D) Task design

3 Free samples of a breakfast cereal are given to supermarket customers to try.
For which stage of the product life cycle is this most likely to be an appropriate strategy?

(A) Establishment
(B) Growth
(C) Maturity
(D) Post-maturity

4 Which of the following is the correct sequence for an operations process?

(A) Facilities – controls – waste
(B) Materials – design – product
(C) Information – services – improvement
(D) Human resources – planning – customers

5 Which of the following is an entitlement of Australian employees?

(A) Wage increases every year
(B) Cost of living wage increases
(C) Minimum employment standards
(D) New employment contracts every two years

6 A business develops a shirt made from fabric which never stains or looks crushed. It then
runs an advertising campaign to inform people about this product.
What type of approach is this?

(A) Industrial
(B) Marketing
(C) Production
(D) Selling

7 In winter, the number of beach lifeguards employed by a local council is reduced.
What has influenced the transformation process in this situation?

(A) Variation in demand
(B) Variation in visibility
(C) Variety
(D) Volume

8 What would be the best strategy for a business to increase its gross profit?

(A) Use cost centres
(B) Reduce fixed costs
(C) Minimise expenses
(D) Use sale and leaseback

9 Information about four companies is shown in the table.

a=Staff turnover (% of workforce)
b=Output per worker (products per hour)
c=Absenteeism (average days per employee)

Company A: a=15 b=8 c=9
Company B: a=11 b=12 c=8
Company C: a=11 b=8 c=9
Company D: a=15 b=12 c=8

Which company is likely to have the best employee relations?
(A) A
(B) B
(C) C
(D) D

10 Sam’s job is to set goals for employees and give them feedback on the achievement of
their goals.
What best describes this process?
(A) Dispute resolution
(B) Job design
(C) Performance management
(D) Recruitment

11 Which of the following is an essential aspect of logistics?
(A) Undertaking a skills audit
(B) Checking the quality of all output
(C) Materials handling and packaging
(D) The creation of a budget for new machinery

12 A manager builds relationships with individual employees and encourages their
contribution to decision-making in the workplace.
What leadership style is this?
(A) Autocratic
(B) Democratic
(C) Laissez faire
(D) Political

13 Robyn believes her manager has unfairly denied her a bonus. She consults her employee
handbook which instructs her to put her complaint in writing and send copies to the
manager and the Human Resources department.
What is Robyn doing?
(A) Seeking mediation
(B) Using negotiation
(C) Involving a tribunal
(D) Applying grievance procedures

15 A gym has fitness-conscious office workers as its target market.
What type of market segmentation is this?
(A) Geographic and behavioural
(B) Geographic and demographic
(C) Psychographic and behavioural
(D) Psychographic and demographic

16 The global financial crisis (GFC) caused many businesses to reduce their employee
numbers.
What type of influence on human resources was this?
(A) Economic
(B) Financial
(C) Government
(D) Legal

17 A fast food outlet advertises a large soft drink for only 20 cents, knowing that customers
will also buy additional items from the menu once they are in the store.
What pricing strategy is this?
(A) Loss leader
(B) Penetration
(C) Price points
(D) Skimming

20 Which of the following groups would suffer the worst financial impact as a result of an
increase in the value of the Australian dollar?
(A) Japanese shareholders of an Australian bank
(B) Australian producers selling wine to New Zealand
(C) Australian car makers purchasing inputs from Italy
(D) American travel agents organising tours for Australians