M.B.A. DEGREE EXAMINATION, JUNE 2010
BA 9221 — OPERATIONS MANAGEMENT
(Use of normal probabilities permitted)
Time : Three hours Maximum : 100 Marks
Answer ALL Questions
PART A — (10 × 2 = 20 Marks)1. What do you mean control decisions?
2. Define the term Production sharing.
3. What do you understand by Delphi technique?
4. What is capacity requirement planning?
5. What do you mean by simultaneous engineering?
6. What is SIMO chart?
7. What do you understand by materials management manual?
8. Define the term Re-order point.
9. Mention the objectives of facility layouts.
10. What are the tasks that project team must perform before the project begins?
PART B — (5 × 16 = 80 Marks)11. (a) Explain in detail the various elements of operation strategy.
(b) Define Productions system. Explain how the concept of production system
helps in understanding of production and operations management.
12. (a) The past data about the load on a stamping centre are as follows :
Month Load, Machine hours
May 2009 584
June 2009 610
July 2009 655
August 2009 747
September 2009 862
October 2009 913
November 2009 963
(i) Find an exponential smoothing forecast for the month of December
2009. Take ( α=0.33).
(ii) Compare your answer with a five month moving average forecast.
(b) (i) Explain the activities involved in long range capacity planning
(ii) Discuss the information flow for planning and control with MRP. (8)
13. (a) (i) Name and describe the steps in developing a new products. What
are the key differences between a prototype and a production
(ii) Describe the relationship between process design and product
(b) (i) Explain the steps in determining Labour standards for time
(ii) The Tircon Company pays its workers on a 60% gain sharing plan,
with bonus pay beginning at 80% of standard. The standard is
400 units per 40-hour week. Ramesh whose base pay is Rs. 200 per
hour, produced 430 units last week. Determine
(1) Ramesh’s gross pay for the week,
(2) Unit labour cost at 60% of the standard and
(3) Ramesh’s rate of work last week. (6)
14. (a) (i) Explain the activities and the functions of materials and
(ii) Discuss briefly vendor rating and value analysis. (8)
(b) (i) Describe the principles of stores layout and various records
used in stores. (8)
(ii) The average demand rate for a particular raw material for a
company is estimated to be 1000 items per month. The distribution
of demand rate is found to be normally distributed with a standard
deviation of 200. The average lead time for the procurement of raw
material has been observed in the past to be approximately
3 months and the normally approximated lead times have a
standard deviation of 1 month. If the service level is to be 95%
determine the required level of safety stock in situation where in
both demand rate and lead time varies. (8)
15. (a) (i) What are the three principles of crashing projects? Discuss. (6)
(ii) Horizontal bar charts and other charting techniques offers
operation managers macro-control of projects, whereas CPM and
PERT offers micro-control. Explain. (10)
(b) (i) Describe how managers may simultaneously consider both
quantitative and qualitative factors in facility location analysis. (10)
(ii) Explain why we balance production lines. Mention the steps in
line balancing. (6)