Business operations
Edexcel GCSE Business Studies revision on Business operations. Aligned to the Pearson Edexcel GCSE Business 1BS0 specification. This bank has 10 practice questions on this topic.
Sample questions (3 of 10)
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Question 1
Just-in-time (JIT) stock control means stock is...
- A) Ordered in large bulk to get discounts
- B) Held in case of emergency
- C) Delivered just before it's needed in production
- D) Bought in advance to beat price rises
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Answer: Delivered just before it's needed in production
JIT reduces storage costs and the risk of unsold/obsolete stock — but the business is exposed to supplier delays and rising delivery costs. Used heavily in car manufacturing (Toyota pioneered it). The opposite is 'just in case' stock — large buffer stocks held to avoid running out.
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Question 2
A factory produces 200 units a day. If the wage cost per worker is £80/day and one worker produces 25 units, what is the labour cost per unit?
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Answer: 3.20
Labour cost per unit = (worker daily wage) ÷ (units produced per worker per day). 80 / 25 = 3.2 → £3.20. This metric is central to operations decisions: switching to a more productive process or training drops this number.
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Question 3
Quality assurance differs from quality control because it...
- A) Tests products at the end of production
- B) Tests every product, not a sample
- C) Builds quality into the process at every stage
- D) Is cheaper but less thorough
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Answer: Builds quality into the process at every stage
Quality CONTROL (QC) inspects finished goods and rejects bad ones — wasteful because faulty products have already cost time and materials. Quality ASSURANCE (QA) designs the process so faults don't happen — checks at every stage, worker responsibility for own work. QA is more proactive and reduces wastage.
Want to test yourself on the remaining cards for this topic?
7 more questions on Business operations — plus mistakes tracking and spaced repetition across the whole Business Studies spec.