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  OPERATIONS MANAGEMENT Meaning of operations management An operation may be defined as the process of changing inputs into outputs thereby adding value to some entity. Right quality, right quantity, right time and right price are the four basic requirements of the customers and as such they determine the extent of customer satisfaction.  And if these can be provided at a minimum cost, then the value of goods produced or services rendered increases. Operations management is concerned with managing the resources that directly produce the organisation services and products. The resources are generally consist of people, material, technology and information but may go wider than this. These resources are brought together by a series of processes so that they are utilized to deliver the primary service or product of the organization. Thus operation management is concerned with managing inputs (resources) through transformation processes to deliver outputs (service or product...

  Question 1: (a) Explain four advantages of using a Letter of Credit (L/C) as a method of payment in international trade for both the exporter and the importer. (8 marks) (b) Differentiate between a confirmed Letter of Credit and an irrevocable Letter of Credit. (4 marks) (c) Briefly describe four documents commonly required under a Letter of Credit. (8 marks) Model Answer: (a) Advantages of using a Letter of Credit (L/C): For the Exporter (Seller): Payment Guarantee: The exporter receives a guarantee of payment from the issuing bank, provided they comply with the terms and conditions of the L/C. This reduces the risk of non-payment due to the importer's financial difficulties. Reduced Risk of Non-Acceptance: The exporter can be confident that the importer will accept the goods if the documents presented are in compliance with the L/C terms. Facilitates Access to Financing: The L/C can be used as collateral to obtain ...