Master of Business Administration- MBA Semester 2 MB0044 Production and Operations Management - 4 Credits (Book ID: B1133) Assignment

t Set - 1 (60 Marks) Note: Each question carries 10 Marks. Answer all the questions.

Q1. Explain briefly the Computer Integrated Manufacturing. Ans. Integration occurs when a broad range of manufacturing and supporting activities are linked.CIM is the complete automation of manufacturing plant, with all processes functioning under computer control and digital information tying them together. The three major functions in manufacturing are production, design, and management function. Production functions convert resources into design. Finally the management functions plan and control production activities. Three computer aids in CIM are: Computer aid to the production function(automated flow of material) Computer aid to the design function(automated flow of technological information) Computer aid to the management function (automated flow of managerial information)
Project design Production planning Production scheduling and control CIM Distribution system Cost accounting Order processing Material control Assembly operations

Machine maintenance

Personal assignment

When, it comes to production, CIM are included in different areas of production processes such as in engineering design, production planning, shop control, order processing ,material control, distribution and many other areas. Information flow across all function takes place with the help of computers. Transmission, processing, distribution and feedback happen almost in real time so that intended a conducted rapidly.CIM process helps in rapid production and also reduces indirect costs.CIM helps in avoiding accumulation of materials resulting in better throughput and better utilization of space. Bar coded labels that accompany materials contain instruction for processing them which are read by sensing devices and display the status on monitors. If expending is needed to meet deadlines, they will be able to seek intervention. Identifying shortage and ensuring faster deliveries become easy with CIM. Thus, CIM is an important aspect of technology in manufacturing.

Q2. What is automation? What are the kinds of automation? Ans. Automation is the use of scientific and technological principles in the manufacture of machine that take over work normally done by humans. For examples:- ATM machines - E-education It improves quality and productivity using labor saving devices. The advantage is that it has low variability and will be more consistent on a repetitive basis. On the shop floor variability causes loss of quality. There are three kinds of automation: fixed, programmable, and flexible. 1) Fixed: It is rigid and less variable. They are designed for high volume production. They are not amenable to change in product or process, they need minimum human intervention. Ex- oil refineries and chemical processing units. 2) Programmable: Machines are enable machines to operate automatically. The machines have sensing and control devices. They replace human efforts, they guide, locate, move and achieve relative positions by means of cams, optical sensing and load sensing mechanisms and activate the controls to remove human intervention. Computers are used for

controlling one machine or a number of them and they have programmed written into them for operations. 3) Flexible:Robots are higher in the order of automation as they perform a variety of tasks. They are designed to move materials by holding them in their arms and making precise movements according to programs written into computers that reside in them. They simulate human actions. They use sensors for action, inspection, identification and guidance. To make effective use of automated machines, we need to have the movement of materials from and to different stations as also stores, automated. Automated storage and retrieval system (ASRS), receive orders for materials from anywhere in the production area, collect materials and deliver materials to the workstations. Computer and information systems are used to placing orders for materials, giving commands and adjusting inventory records which show the location and quantity of materials available or needed.

Q3. What are the factors that influence the plant location? Ans. The general factors that influence the plant location are listed below. 1) Availability of land: It plays an important role in determining the plant location. Many-a-time, our plans calculations and forecasts suggest a particular area as the best to start an organization. Sometime we have to choose the second option. 2) Availability of inputs: While choosing a plant location, it is very important for the organization to get the labor at the right time and raw materials at good qualities. The plant should be located: o Near to the raw material source when there is a loss of weight. o At the market place when there is a loss of weight in the material o Close to the market when universally available, so as to minimize the transportation cost.

3) Closeness to market places: It is advisable to locate the plant near to the market place, when: o The projection life of the product is low o The transportation cost is high o The products are dedicate and susceptible to spoilage o After sales service are promptly required very often The advantages of locating the plant near to the market place are: o Consistent supply of goods to the customers o Reduction of the cost of transportation 4) Communication facilities: it is also an important factor which influences the location of a plant. Regions with good communication facilities 5) Infrastructure: It plays a prominent role in deciding the location. The basic infrastructure needed in any organization is: Power: for example, industries which run day and night require continuous power supply. So they should be located near to the power stations and should ensure continuous power supply throughout year. Water: for ex.-process industries such as, paper, chemical, and cement, requires continuous water supply in large amount. So, such process industries need to be located near to the water. Waste disposal: for example- for process industries such as, paper and sugarcane industries facility for disposal of waste is the key factor. 6) Transport: It is must facility for facility location and layout of location of the plant. The basic modes of transportation are by air, road, rail, water, and pipeline. Cost of transportation is also an important criterion for plant location. 7) Government support: The factors that demand addition attention for plant location are the policies of the state government and local bodies concerning labor laws, building codes, and safety.

8) Housing and recreation: it also influences the plant location. Good schools, housing and recreation for employees will have a greater impact on the organization. Special factors: 1) Economic stability-outside investments 2) Cultural factors 3) Wages 4) Joint ventures-support of big time players Q4. Describe the seven basic quality control tools. Ans. 7 basic quality control tools are: Flow chart Check sheet Histogram Pareto analysis Scatter diagram Control chart Cause and effect diagram a) Flow chart: It is a visual representation of process showing the various steps. It helps in locating the points at which a problem exists or an improvement is possible. Detailed data can be collected, analyzed, and methods for correction can be developed using flow charts. b) Check sheet: They are used to record the number of defects, types of defects, locations at which they are occurring, times at which they occurring, and workmen by whom they are occurring. It helps to implement a correction procedure at the point where the frequencies are more. c) Histogram: They are graphical representation of distribution of data. They are generally used to record huge volumes of data about a process. They reveal whether the pattern of

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distribution has a single peak, or many peaks and also the extent of variation around the peak value. Pareto analysis: It is a tool for classifying problem areas according to the degree of importance and attending to the most important. When the cause of these defects has been attended, then other defect becomes predominantly observed and if the process is continued, it leads to zero defects. Scatter diagram: It is used when we have two variables and want to know the degree of relationship between them. Control charts: They are used to verify whether a process is under control. Variable, when the range, will render the product and maintain the specification, this is called the quality of conformance. Cause and effect diagram: It represents all the possible causes which lead to a defect on quality characteristics. These are arranged in such a way that different branches representing cause connect in stem in the discovery of the problem.

Q5. Define project management. Describe the five dimensions of project management. Ans. Managing a project is the use of resources, such as cost, time, manpower, hardware and software involved in the project.
PROJECT MANGEMENT cost Problems and needs of a project time manpower material Deliverable of project or product

It usually starts with a problem statement and ends with delivery of complete delivery. Project management involves understanding the scope and various processes in a project cycle. The dimensions are features, quality, cost, schedule, and staff. They are depended one another. For each project you need to decide which dimensions are critical and how to balance the others so as to achieve the key project objective. Each of the five dimensions can take place one of three roles on any given project. 1) Drive: a driver is a key objective of the project; it has low flexibility towards the project team. 2) Constraint: a constraint is the limiting factor beyond the control of project team. It gives the project team virtually no flexibility. 3) Degree of freedom: Any project dimension that is neither a driver nor a constraint becomes a degree of freedom. A degree of freedom provides wider latitude towards the project team for balancing that dimension against the other four.

Q6. What is meant by Supply Chain Management (SCM)? What are the objectives of SCM? Ans: Supply chain management (SCM) is considered by many experts worldwide as the ultimate solution towards efficient enterprise management. Many management failures have attributed to the lack of a system to bind various sub systems within a geographically widespread enterprise, which true to modern trends, also includes an umbrella of customers, suppliers, and associates. Objectives: Reduction of inventory Enhancement of participation level and empowerment level Increase in functional effectiveness of existing system like enterprise resource planning (ERP), accounting software, and documentation such as financial reports/statements/ISO 9000 documents Effective integration of multiple system like ERP ,communication systems, documentation system and security

 Design/ research & development (R & D) systems Better utilization of resources like men, material, equipment, and money Optimization of money flow cycle within the organization as well as from external agencies Enhancement of value of products, operations and services. These enhancements will consequently enhance the profitability of organization. Enhancement of coverage and accuracy of management information systems.