Identify and explain two roles of the Operations manager at GT.
- (a)Identify and explain two roles of the Operations manager at GT.[8]
- (b)Consider the following three ways GT can reduce the average cost of products. Recommend the best way to choose. Justify your answer.[12]
Mark scheme
Marking points from the official mark scheme (Oct/Nov 2018). The mark or mark type is shown in brackets.
- [1] Planning the production such as setting a target of an increase of 10% in output of toy production
- [1] Organising the tasks done by the production line workers such as deciding which worker will fit heads onto the figures and which ones will package the dolls
- [1] Coordinating different departments with the production department ensuring that for example the purchasing department orders the right quantity of components for the toy cars ready for their assembly
- [1] Commanding the supervisors on the production lines to ensure they all know what they should be doing to keep to their targets and meet deadlines
- [1] Controlling the employees on the production line to make sure they are all meeting their targets and producing toys efficiently.
- [1] Explanation of an identified role (up to 2 marks)
- [2] Application marks for context (e.g., toys, production line, components for toy cars)
- [1] Advantage of cheaper supplier: Lower costs of purchasing raw materials
- [1] Advantage of cheaper supplier: New supplier may be keen to keep GT happy so supply at better price
- [1] Disadvantage of cheaper supplier: May be inferior quality
- [1] Disadvantage of cheaper supplier: May be an overseas supplier with higher transport costs
- [1] Disadvantage of cheaper supplier: Takes time to find new suppliers
- [1] Disadvantage of cheaper supplier: Takes time to build up new relationship with supplier
- [1] Advantage of fewer components: Quicker to assemble each toy
- [1] Advantage of fewer components: Speeds up the production process
- [1] Advantage of fewer components: Possibly fewer workers needed if fewer parts to fit
- [1] Disadvantage of fewer components: May affect the performance of the toy if it moves
- [1] Disadvantage of fewer components: Toy may lose some of its quality
- [1] Advantage of flow production: Much larger output produced
- [1] Advantage of flow production: Unit costs should fall
- [1] Advantage of flow production: Expand into new markets with increased output
- [1] Advantage of flow production: Lower unit costs allows lower prices and more competitive
- [1] Disadvantage of flow production: High cost of installing machinery
- [1] Disadvantage of flow production: Less able to respond to changes in styles of toys
- [1] Disadvantage of flow production: May not be able to sell the much larger quantity of each style of toy
- [L1] 1 mark for each outline of the advantages and disadvantages of each way. (max of 3 marks) (E.g. Lower cost of purchasing raw materials.)
- [L2] Detailed discussion of the advantages and disadvantages of each way. (1 x L2 explanation can gain 4 marks and a further mark can be awarded for each additional L2 explanation (max 6 marks)) (E.g. Lower cost of purchasing raw materials, which should allow GT to lower the prices of their toys. This should make their toys more competitive in other countries and should lead to higher sales. (4 marks for L2 answer + 1 application mark for mentioning toys sales).)
- [L3] For L3 to be awarded there need to be at least 2 L2 marks awarded and then a recommendation of the best way to reduce cost. (7-8 marks for some limited judgement, 9-10 marks for well justified recommendation)
- [App] Award up to 2 additional marks for relevant application.
- [App] Possible application marks: manufacturer of toys; toys sold to large toy shops throughout country Y; suitable for babies/young children; toys also exported; Marketing manager wants to sell toys online; toys manufactured using batch production; design and packaging of toys need to be adapted for each different export market; 200 different designs; plan to reduce components from 50 to 40; body of toy car can be made out of one piece of plastic; sells well designed toys of high quality; safety of the child is very important; components are imported and uses JIT; already low levels of worker motivation; recent price increases have resulted in falling sales.
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