ADL 02 Marketing Management V1

Assignment - A
Question 1 (a) Define Production Management and discuss its scope and
functions.
Question 1 (b) Production Management deals with decision-making related to
co-production process so that the resulting goods or services are produced
according to the specifications, in the amounts and by the schedules
demanded
and a t a minimum cost." Discuss.
Question 2 (a) Compare and Contrast the Continuous and Intermittent
Production
systems.
Question 2 (b) What do you understand by the term Flexible Manufacturing
System?
Do you think it necessary for our country; discuss highlighting the
examples
from our industries?
Question 3 (a) What is Production Planning and Control?
Question 3 (b) State main elements or functions of PPC.
Question 3 (c) Define Aggregate Planning and State its importance.
Question 4. For different types of manufacturing systems, we definitely
have
different Production Planning & Control (PPC)." Do you agree with the
statement?
Explain your viewpoint. Also explain the PPC for Intermittent & Continuous
manufacturing systems.
Question 5 (a) Plant layout is the physical arrangement whether existing or
in
plans, of industrial facilities". In the light of above statements discuss
various types of layouts commonly found in different industries.
Question 5 (b) What are the benefits that accrue due to a good plant
layout?
Question 5 (c) Mention the guiding principles in designing a layout of
production facilities.


Assignment - B

Question 1a) What is economic order quantity? What are the assumptions of
EOQ?

Question 1b) If the annual demand for a product is 3,50,000 units. The
annual
carrying cost rate is 25 percent of the cost of the unit the product costs
Rs
14.75 per unit to purchase, and each time the product is ordered the
related
ordering cost is Rs 53.00.
i) What is EOQ?
ii) What is total cost at EOQ?
iii) How much would be the total cost if the order quantity is 2500
units
due to standard packing?

Question 2a. Operations scheduling is one of the most important function of
production planning and control. Discuss.

Question 2b) Seven jo bs are to be carried out on three machines M1, M2, M3
in
the order of M1, M2, M3. The processing time in hours of various jobs are
tabulated below.



Job

M1

M2

M3



A

1

7

8



B

3

3

1



C

7

8

8



D

9

2

11



E

4

8

9



F

5

6

14



G

2

1

12


Question i) What are the conditions for using Johnson's rule to sequence
jobs on
three machines?

Question ii) What is the make span for these jobs?

Question iii) What is the idling time?

Question 3a) A company that produces mixer gr inder has the follo wing
orders
over the next six months.



Period

1

2

3

4

5

6



Demand

2000

5000

8000

4500

2000

8000


Monthly production capacities are 5000 units on regular time, 1000 units on
over
time, and 2000 units can be sub contracted each month. Production costs are
Rs20/- per unit on regular time, Rs 25/- per unit on over time, and Rs 28/-
for
sub contracted quantities.
Inventory holding costs are charged @ Re 1/- per u nit per month. Use
transportation mode! to develop a production plan for next six months.

Question 3 b) Five jobs are to be assigned to five mac hinists. The
following
matrix shows the time taken by each of the machinist for reach of the jobs.



Machinist

Jobs






1

2

3

4

5





A

10

5

3

2

8





B

9

7

8

2

7





C

7

5

6

2

4





D

3

5

8

2

4





E

9

10

9

6

10




Using Hungarian method find out the optimum assignment and processing time.


Case study

Paradise Land Management Company

Paradise Land Management owns and operates hotels and apartment complexes
near a
major metropolitan area. They want to expand operations in the near future,
the
goal being to increase net earnings before taxes. Two alternative expansion
opportunities are under considerations: the Densmore complex and the
Highgate
project. Both projects involve the purchase of land on which apartment
building
would be constructed and operated.

The site for the Densmore complex is situated in a respectable, quite,
sparsely
populated residential neighborhood. Land for the 70-unit complex can be
purchased for $60,000. Building costs are estimated at $1,680,000. Anuual
maintenance costs would amount to $30,000. Apartment units would rent for
$410
per month. Paradise is also conidering constructing a recreation facility
nearby. It would cost $100,000 and would service both Densmore residents
and the
residents of the company owned Paradise west, the only existing apartment
complex in the neighborhood. Paradise west, with 120 units renting for $290
per
month, has had an average occupancy rate of 84% for the past three years.
The
addition of Densmore and the recreation facility are expected to increase
Paradise West's occupancy rate to 90% (probability 0.6) or 95% (probability
0.4). Densmore's occupancy rate is expected to be 90% (probability 0.5),
85%
(probability 0.3), or 80% (probability 0.2).

The highgate project calls for 400 units to be constructed on land costing
$220,000 in a high density population neighborhood with many competing
apartments. Building costs would be $4,200,000. Rental revenue per unit
would
be $240 per month; anuual operating costs would be $150,000. Highgate's
occupancy rate is expected to be 90% (probability 0.2), 80% (probability
0.5),
or 70% (probability 0.3).

Q) What factors should be analyzed in making this capacity decision?



Assignment - C

1. Which of the following methods best considers intangible costs related
to a
location decision?

a) Weighted method

b) Location break-even analysis

c) Transportation method

d) Assignment method

e) None of the above

2. What is the major difference in focus between location decisions in the
service sector and in the
manufacturing sector?

a) There is no difference in focus

b) The focus in manufacturing is revenue maximization, while the focus in
service is cost minimization

c) The focus in service is revenue maximization, while the focus in
manufacturing is cost minimization

d) The focus in manufacturing is on raw materials, while the focus in
service is
on labour

3. Service / retail / professional location analysis typically has a:

a) Cost focus

b) Revenue focus

c) Labor focus

d) Environmental focus

4. Efficiency is calculated as:

a) Efficiency= Standard time * Actual time

b) Efficiency= Standard time/ Actual time

c) Efficiency= Actual time/ standard time

d) None of the above

5. The factors involved in location decisions include

a) Foreign exchange

b) Attitudes

c) Labor productivity

d) All of the above

e) None of the above

6. Industrial location analysis typically has a

a) Cost focus

b) Revenue focus

c) Labor focus

d) Environmental focus

7. Hotel chain find regression analysis useful in site location
a)True

b)False



8. The telemarketing industry seeks locations that have

a) Good electronic movement of data

b) Low cost labour

c) Adequate availability of labour

d) All of the above

9. Factors affecting location decisions include

a) Proximity to markets, proximity to suppliers, proximity to athletic
facilities

b) Site costs, transportation availability, labour availability

c) Average age of labour force, labour costs, and number of females in
college

d) Utility costs, zoning, altitude of city

e) All of the above

10. An aggregate plan for a manufacturing firm includes consideration of:

a) Production rates

b) work-force levels

c) Inventory holdings

11. A service firm's aggregate plan links the firm's strategic goals and
objectives with detailed operational
plans called:

a) Production plan

b) Staffing plan

c) Work-force schedule

d) None of the above

12. Utilization is calculated as:

a) Utilization = Actual hours*Scheduled available hours

b) Utilization = Actual hours/ Scheduled available hours

c) Utilization = Actual hours+Scheduled available hours

d) None of the above

13. Which of the following statements does NOT apply to a production plan?

a) Plans are consistent with company's strategic goals and objectives

b) Enables the assessment of financial and physical resource needs without
excessive detail

c) Serves as a bridge between the strategic and operational plans

d) Provides a view of detailed work-force schedules

14. The time horizon for an aggregate plan is typically:

a) 0 - 3 months

b) 3 -18 months

c) 24 - 60 months

d) None of the above



15. A for-profit service may expect to encounter which of the following
sequence
of plans?

a) Business plan; staffing plan; work-force schedule

b) Business plan; production plan; work-force schedule

c) Financial plan; staffing plan; master production schedule

d) Annual plan; production plan; master production schedule

16. The operations area input to the aggregate plan includes:

a) Demand forecasts

b) Cost data

c) work-force capacities

d) Product design changes

17. Aggressive alternatives for coping with demand requirements include:

a) Anticipation inventory

b) Creative pricing

c) Employee hiring and layoffs

d) Use of subcontractors

18. A reactive strategy that is sometimes called the capacity strategy may
be
characterized as:
a)Chase #1: vary work-force level to match demand

b) Chase #2: vary output rate to match demand

c) Level #1: constant work-force level d)Level #2: constant output rate

19. Planned capacity is:

a) Planned capacity = Demonstrated capacity * Efficiency * Utilization
factor

b) Planned capacity = Designed capacity * Efficiency / Utilization factor

c) Planned capacity = Designed capacity * Efficiency * Utilization factor

d) None of the above

20. The aggregate planning strategy that is most likely to impact the
productivity of manufacturing workers,
adversely, is:

a) Hiring of temporary workers

b) Use of overtime

c) Layoff of workers

d) Building anticipation inventory

21. A linear programming model CANNOT be used when which of the following
are
true?

a) An optimal production plan is desired

b) The values of decision variables are fractional

c) A set of linear constraints may be defined

d) Cross product relationships exist between two or more decision variables



22. Basic element of operations Management is:

a) Customer demand

b) Operating system/Process

c) Process capacity

d) All of the above

23. The transportation method may be used to determine the costs of
alternative
strategies for anticipation
inventory when which of the following data are available?

a) work-force capacity per planning period

b) Aggregate demand per planning period

c) Beginning inventory

d) All of the above

24. Which of the following statements are true about anticipation
inventory?

a) Inventory increases during periods of light demand

b) Use of anticipation inventory is a reactive alternative to arrive at an
acceptable aggregate plan

c) Increase in anticipation inventory leads to increases in pipeline
inventory

d) Both a and b

25. When following a utilization strategy, which alternative relies on
external
sources of production?

a) Overtime/undertime

b) Subcontracting

c) Back orders

d) Stock outs

26.A major department store initiates a business plan that gets translated
into
an operational plan called a

a) Production plan

b) Staffing plan

c) Master production schedule

d) Work-force schedule

27.An appliance manufacturer initiates a business plan that gets translated
into
an operational plan called a

a) Production plan

b) Staffing plan

c) Master production schedule

d) Work-force schedule

28. Which one is not a factor for make or buy decisions:

a) Cost

b) Quality

c) Labor

d) Plant location



29. Which one is correct?

a) Designed capacity > Planned capacity > Demonstrated capacity

b) Designed capacity > Demonstrated capacity > Planned capacity

c) Designed capacity = Demonstrated capacity > Planned capacity

d) All of the above

30. Plant Productivity is:

a) Productivity = Inputs/Outputs

b) Productivity = lnputs*Outputs

c) Productivity = Outputs//lnputs

d) None of the above

31.A service encounter includes

a) Face-to-face interaction

b) Customers and a building

c) Customers and advertising

d) All of the above

32. Which function typically employs more people than any other functional
area?

a) Information Systems

b) Finance

c) Operations

d) Marketing

33. The inputs to a transformation process include all of the following
except

a) Materials

b) People

c) Assembly

d) Information

34. An assembly line is an example of

a) A product layout

b) A process layout

c) A fixed position layout

d) An intermittent organization

35. Which of the following characteristics is most typical of a continuous
manufacturing organization?

a) The firm manufactures customized product.

b) The firm has a low volume of production

c) The firm has a relatively low unit cost of production

d) The firm creates many different products with many different
characteristics

36. Which type of processing system tends to produce the most product
variety?

a) Assembly

b) Job shop

c) Batch

d) Continuous


37. Buying on the basis of price alone risks problems in each of the
following
categories except

a) Capacity

b) Quality

c) Quantity

d) Supplier

38.Which one is not a factor for make or buy decisions:

a) Cost

b) Quality

c) Labor

d) Plant location

39. JIT is a

a) Push system

b) Pull system

c) Both

d) None of these

40. The word management in quality assurance describes many different
functions,
encompassing a policy management

a) HRM, Safety control

b) Component control & management of other resources

c) None of the above