CMA Intermediate · Operations Management and Strategic Management · Introduction to Operations Management
Which of the following is a decision belonging to the strategic (long-term) level of operations management rather than the tactical or operational level?
Deciding the location and capacity of a new plant is a strategic operations decision because it commits large capital for many years and shapes the firm's competitive position. Rosters, expediting and daily scheduling are short-term operational decisions.
- ADeciding the location and capacity of a new plantCorrect
- BPreparing the weekly shift roster for machine operators
- CExpediting a delayed order of components
- DScheduling today's jobs on the CNC machines
Explanation
Facility location and capacity involve large capital commitments and long time horizons, so they are strategic decisions. Shift rosters, expediting and daily job scheduling are short-term operational decisions.
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