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Xaviers Institute of Business Management Studies
OPERATIONS MANAGEMENT
Maximum Marks: 100
Note: Attempt any five questions. All questions carry equal marks. Assume any missing data suitably.
Question. 1. (a) Draw a systems view diagram of any service organization of your choice. Identify its various components. Explain its interdisciplinary nature. 10
Question. 1 (b) What are the major characteristics of a Production system? Discuss some of its upcoming issues that provide economies in production and efficiency in the performance of the system. 10
Question. 2. (a) Explain with examples, how the TQM concept can integrate design engineering, manufacturing and service. 10
Answer : Total Quality Management is a management approach that originated in the 1950s and has steadily become more popular since the early 1980s. Total Quality is a description of the culture, attitude and organization of a company that strives to provide customers with products and services that satisfy their needs. The culture requires quality in all aspects of the company’s operations, with processes being done right the first time and defects and waste eradicated from operations. Total Quality Management, TQM, is a
Question. 2(b) What are process capability studies ? Explain the process capability index with applications to a real life example. 10
Answer : s. Introduction to Process Capability
A process has been defined as a sequence of interdependent procedures, operations or steps that consume resources and convert the inputs into outputs. Each operation or step adds to the next to achieve a goal or desired result. In every process, there exists a certain amount of variation. Variation in a process cannot be eliminated, but it can be measured, monitored, reduced and controlled. If we look at a simple example of making a cup of coffee, we can identify the inputs, steps, equipment and output of the
Question. 3. (a) Compare traditional process planning with Computer Aided Process Planning (CAPP). Also explain a generative CAPP system. 10
Answer : The Planning Function Every part or product that has to be manufactured in the machine shop of the manufacturing company has to undergo through a series of machining operations in a proper sequence. The manufacturing process planning involves determining proper sequence of manufacturing operations to be carried out so that part can be produced in the least possible time making the optimum use of the available resources. To make the proper sequence the operations are documented on a form known as the route sheet. In the route sheet there is a list of the production operations and the machine tools
Question. 3(b) Explain the objectives of Total Productive maintenance. Give its importance. Also comment on the concept of TPM promotion. 10
Answer : It can be considered as the medical science of machines. Total Productive Maintenance (TPM) is a maintenance program which involves a newly defined concept for maintaining plants and equipment. The goal of the TPM program is to markedly increase production while, at the same time, increasing employee morale and job satisfaction.
TPM brings maintenance into focus as a necessary and vitally important part of the business. It is no longer regarded as a non-profit activity. Down time for maintenance is scheduled as a part of the manufacturing day and, in some cases, as an
Question. 4. (a) Why is forecasting required in operations management ? Discuss the concept of forecast error as applied to different conditions. 10
Answer : Advantages and Disadvantages of Forecasting Methods of Production and Operations Management
Organizations use forecasting methods of production and operations management to implement production strategies. Forecasting involves using several different methods of estimating to determine possible future outcomes for the business. Planning for these possible outcomes is the job of operations management. Additionally, operations management involves the managing of the processes required to manufacture and distribute products. Important aspects of operations management include creating, developing, producing and distributing products for the organization.
Question. 5. (a) What is facility planning ? Explain with examples different types of layouts as used in manufacturing organisations. 10
Answer : Facility layout and design is an important component of a business’s overall operations, both in terms of maximizing the effectiveness of the production process and meeting the needs of employees. The basic objective of layout is to ensure a smooth flow of work, material, and information through a system. The basic meaning of facility is the space in which a business’s activities take place. The layout and design of that space impact greatly how the work is done—the flow of work, materials, and information through the system. The key to good facility layout and design is the integration of the needs of people (personnel and customers), materials (raw, finishes, and in process), and machinery in such a
Question. 5(b) Discuss work measurement as a process to establish task time. Explain the various techniques for developing time standards. 10
Answer : Work Measurement: Techniques of Work Measurement
International Labour Organization(ILO) defined work measurement as ‘die application of techniques designed to establish the work content of a specified task by determining the time required for carrying it out at a defined standard of performance by a qualified worker’. Conventionally, it is known as time study, which is primarily carried out to determine the standard time required to perform a specific task. Such time standards are used for planning and scheduling work, for cost estimating or for labour cost control. Otherwise, it may serve as the basis for a wage incentive plan. But we find it has wide application in deciding a wage incentive plan. Techniques of Work Measurement:
There are different techniques of work measurement. However, the following are the principal
techniques:
Question. 6. (a) Explain just in time manufacturing with the help of examples. Discuss its advantages and disadvantages. 10
Answer : Just in time (JIT) is an inventory management system, used to manage the stock that is kept in storage. It involves receiving goods from suppliers as and when they are required, rather than carrying a large inventory at once.
Advantages of just in time inventory management
Companies like to use JIT as it is seen as a more cost efficient method of holding stock. Its purpose is to minimise the amount of goods you hold
Question. 6 (b) For an independent demand inventory model, derive the equation for Economic Order Quantity. List all assumptions. 10
Answer : Economic order quantity or EOQ model is the equation that helps compute order quantity of inventory accompanied by the minimum total holding and ordering costs. Formula The economic order quantity is derived from the total cost equation,
Question. 7. Write short notes on any four of the following: 4×5=20
(a) OPT
(b) Break even analysis
(c) Lean manufacturing
(d) Kanban system
(e) Line of Balance for Production Control
(f) Purpose of aggregate plans.
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