IGCSE Business Studies 0450 · Topic 4

Operations management: past paper questions

214 real questionsasked in 10 of the last 10 exam series2019–2026usually: Explain, Justify, Identify, Calculate, Define

Real questions on operations management

The newest 20 of 214 written questions. Open one to see it on the real paper.

0450/11 · May/June 2026 · Q2d[6]
Explain two ways OBZ could maintain quality production. way explanation way explanation
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0450/11 · May/June 2026 · Q2e[6]
Do you think the advantages to a business of using job production are greater than the disadvantages? Justify your answer.
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0450/12 · May/June 2026 · Q3c[4]
Identify four reasons why quality might be important for a business. reason reason reason reason
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0450/12 · May/June 2026 · Q3d[6]
Explain two disadvantages to BTV of using flow production. disadvantage explanation disadvantage explanation
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0450/12 · May/June 2026 · Q4b[2]
Identify two economies of scale. economy of scale economy of scale
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0450/13 · May/June 2026 · Q1b[2]
Calculate X and Y. Y X
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0450/13 · May/June 2026 · Q2d[6]
Explain two advantages to CCH of changes in technology. advantage explanation advantage explanation
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0450/13 · May/June 2026 · Q4d[6]
Explain two reasons LKH wants to improve the quality of its products. reason explanation reason explanation
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0450/22 · May/June 2026 · Q2b[12]
Using Appendix 1 and other information, consider the following two possible locations for KE’s second factory. Which location should KE choose? Justify your answer. • • location A location B location A location B recommendation
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0450/22 · May/June 2026 · Q3a[8]
Explain two advantages for KE of introducing lean production. advantage explanation advantage explanation
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0450/22 · May/June 2026 · Q3b[12]
Using Appendix 3 and other information, consider the two new products KE could produce. Which product should KE choose? Justify your answer using suitable calculations. • • product A product B product A product B recommendation
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0450/12 · February/March 2026 · Q3b[2]
Calculate KYX’s margin of safety. Show your working. margin of safety
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0450/12 · February/March 2026 · Q3c[4]
Outline two reasons why KYX holds a high level of inventory. reason reason
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0450/12 · February/March 2026 · Q3e[6]
Explain two factors a manufacturing business should consider when deciding on a suitable location for a new factory. Which factor is likely to be the most important? Justify your answer.
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0450/11 · October/November 2025 · Q1d[6]
Explain two possible effects of WMH introducing new technology. Effect 1: Explanation: Effect 2: Explanation:
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0450/11 · October/November 2025 · Q1e[6]
Explain two factors a manufacturing business should consider when deciding on a suitable location for a factory. Which factor is likely to be the most important? Justify your answer.
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0450/11 · October/November 2025 · Q3a[2]
Identify X and Y. X: Y:
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0450/11 · October/November 2025 · Q3b[2]
Define ‘margin of safety’.
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0450/12 · October/November 2025 · Q1a[2]
Define ‘quality assurance’.
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0450/12 · October/November 2025 · Q3e[6]
Do you think access to employees is the most important factor for a new business to consider when deciding on a suitable location? Justify your answer.
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What examiners said

Comprehensive responses • Correct calculations of the value of KYX’s margin of safety were provided including suitable working to support their answer of 3000 units. Limited responses • Many candidates divided the values rather than subtracting the break-even output from the current output. This lead to incorrectly calculating the answer to be 1.3 rather than 3000 units.
— Examiner report, February/March 2026, 0450/12 Q3(b) (Cambridge)

Comprehensive responses • Two relevant reasons were outlined, with typical correct responses including meeting unexpected demand, maintaining or increasing output, and benefiting from economies of scale. • Good use of the stimulus material was shown in these responses. For example, recognising the country was experiencing economic growth and that the business made beds. Limited responses • Some c...
— Examiner report, February/March 2026, 0450/12 Q3(c) (Cambridge)

Comprehensive responses • Responses focused on the factors including labour and raw materials. These candidates explained how cheaper raw materials could reduce production costs and the skilled labour might produce high quality products or be more efficient. • Evaluation was often evident through explanations that labour may be less important because the business may be capital intensive, which is...
— Examiner report, February/March 2026, 0450/12 Q3(e) (Cambridge)

Practise this topic

Answer these questions online and get each one marked against the official mark scheme, with what you missed and how to fix it.

Practise operations management

In the syllabus

1 0450.4.1.1.01 — Difference between production and productivity

Difference between production and productivity
Benefits of increasing efficiency and how to increase it, e.g. increasing productivity by automation and technology, improved labour skills
Why businesses hold inventories
The concept of lean production: how to achieve it, e.g. just-in-time inventory control and Kaizen; benefits of lean production

2 0450.4.1.1.02 — Benefits of increasing efficiency and how to increase it, e.g. increasing productivity by automation and technology, improved labour skills

Benefits of increasing efficiency and how to increase it, e.g. increasing productivity by automation and technology, improved labour skills

3 0450.4.1.1.03 — Why businesses hold inventories

Why businesses hold inventories

4 0450.4.1.1.04 — The concept of lean production: how to achieve it, e.g. just-in-time inventory control and Kaizen; benefits of lean production

The concept of lean production: how to achieve it, e.g. just-in-time inventory control and Kaizen; benefits of lean production

5 The main methods of production: • Features, benefits and limitations of job, batch

Recommend and justify an appropriate production method for a given situation

6 Identify and classify costs: • Classifying costs using examples, e.g. fixed,

Use cost data to help make simple cost-based decisions, e.g. to stop production or continue

7 Economies and diseconomies of scale: • The concept of economies of scale with

The concept of diseconomies of scale with examples, e.g. poor communication, lack of commitment from employees, weak coordination

8 0450.4.2.3.01 — Construct, complete or amend a simple break-even chart

Construct, complete or amend a simple break-even chart
Interpret a given chart and use it to analyse a situation
Calculate break-even output from given data
Define, calculate and interpret the margin of safety
Use break-even analysis to help make simple decisions, e.g. impact of higher price
Understand the limitations of break-even analysis

9 0450.4.2.3.02 — Interpret a given chart and use it to analyse a situation

Interpret a given chart and use it to analyse a situation

10 0450.4.2.3.03 — Calculate break-even output from given data

Calculate break-even output from given data

11 0450.4.2.3.04 — Define, calculate and interpret the margin of safety

Define, calculate and interpret the margin of safety

12 0450.4.2.3.05 — Use break-even analysis to help make simple decisions, e.g. impact of higher price

Use break-even analysis to help make simple decisions, e.g. impact of higher price

13 0450.4.2.3.06 — Understand the limitations of break-even analysis

Understand the limitations of break-even analysis

14 0450.4.3.1.01 — The concept of quality control and how businesses implement quality control

The concept of quality control and how businesses implement quality control
The concept of quality assurance and how this can be implemented

15 0450.4.3.1.02 — The concept of quality assurance and how this can be implemented

The concept of quality assurance and how this can be implemented

16 0450.4.4.1.01 — Factors that a business could consider when deciding which country to locate operations in

Factors that a business could consider when deciding which country to locate operations in
The role of legal controls on location decisions
Recommend and justify an appropriate location for a business in given circumstances

17 0450.4.4.1.02 — The role of legal controls on location decisions

The role of legal controls on location decisions

18 0450.4.4.1.03 — Recommend and justify an appropriate location for a business in given circumstances

Recommend and justify an appropriate location for a business in given circumstances

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