Certified Production & Operations Manager (POM) Practice Exam

Is outsourcing some production a means of supporting a constraint?

1. True

2. False

3. It is not specified

4. Only in certain conditions

The correct answer is: False

Outsourcing production can indeed be a strategy used to alleviate constraints in a manufacturing or operational process, particularly when the internal capacity is limited or the company lacks specific expertise. However, the notion that outsourcing is inherently a means of supporting a constraint does not hold true in all scenarios. Outsourcing can be effective in managing constraints by offloading excess demand and allowing the internal team to focus on critical processes. This helps in ensuring that the core operations are not hindered by overload or inefficiencies. However, there are also situations where outsourcing can introduce new complexities and dependencies that could exacerbate existing constraints rather than alleviate them, such as issues related to quality control, communication delays, or disrupted logistics. The key aspect to consider is that while outsourcing can be beneficial in some contexts, it is not a guaranteed solution for all constraints. Each situation should be evaluated on its own merits, considering factors like cost, quality, and reliability. Therefore, stating "false" indicates an understanding that outsourcing alone does not universally serve as a means of supporting a constraint in production and operations management.