Any diagnostic code provides clues on the SYSTEM that is involved with the issue. For example, the OXygen sensor is part of the system that is causing your car grief. The troubleshooting process generally breaks down the system into pieces and the technician measure values at each major point in the system to condemn smaller parts of the larger system.
There is good odds that the Oxygen sensor is involved, but not perfect odds. The other thing to think of is why did it fail? If a wire has a bad connection, then you might think the sensor is bad. Sometimes it just takes a cleaning of the electrical contacts to fix the problem.
If you find the service manual for the vehicle, it will go into detail for your car on the proper troubleshooting sequence. Most car companies have their manuals online with daily access fees.
Here is Chrysler's: www.techauthority.com