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# Name: SAAD HASAN NIAZI Roll Number: 22667 Class: BBA Section: 6- CHARLIE Teacher Name: SIR AZHAR

## NISAR Subject: OPERATIONS AND PRODUCTION MANAGEMENT Assignment Number: 02

PROBLEM 4 P-4.a) Breakeven point= (F1-F2)/(V1-V2)=(300,000-120,000)/(900-600) = 600 units. P-4.b) Total Cost= F + cQ

Process 1: when 800 units are produced= 300,000 + 600(800) = \$ 780,000 Process 2: when 800 units are produced= 120,000 + 900(800) = \$ 840,000. The difference in total cost of both processes is = \$60,000.

PROBLEM 7 Each of 4 criteria receives a weight of or 0.25. PRODUCT A B C D E ( ( ( ( ( ) ) ) ) ) ( ( ( ( ( CALCULATION )+( )+( )+( )+( )+( ) ) ) ) ) ( ( ( ( ( ) ) ) ) ) TOTAL SCORE 6.75 6.50 5.75 5.25 7.00

## B. DECISION: THE MANAGEMENT SHOULD BULIT MEDIUM SIZES FACILITY.

PROBLEMS: Q1). How would you describe the mission of BSB, Inc., on this campus? Does BSB, Inc. enjoy any competitive advantages or core competencies? Answer: Form the past decade BSB, Inc., has been operating the campus food service according to their mission is that is to provide best quality of food services for the entire campus of 9000 people including students and staff through three facilities center. The Dogwood Room: Serves an upscale lunch on buffet in week days only, The Cafeteria: Open for breakfast, lunch and dinner daily, The Grill: Open between 11 am to 10 pm daily and until midnight in Friday and Saturday nights.

Q2). Initially, how did Renee Kershaw choose to use her pizza operations to compete with offcampus eateries? What were her competitive priorities? Answer: Kershaw has been at this university for the 18 months and after few month she conduct a survey around the campus in order to compete with off campus eateries and the result showed that a large amount of the food being consumed by the students of the university and was not begin purchased by BSB facilities and the reason were as follows: Tight and erratic schedule of cafeteria serving hours. The large percentage of students with cars. The number of times students ordered food delivered from of campus. Lack of verity in food offering. Students with refrigerators and micro wave ovens in their rooms.

In response to the market survey manager decided to expand the menu at the screen to include pizza. Along with expanding the menu, she also started a delivery service in the campus so that students have convenience of having food delivered quickly to their rooms. She also offer ready to cook pizza facilities to the students and her competitive priorities were reasonable prices with timely delivery.

Q3) What impact will the new food court have on Kershaws pizza operations? What competitive priorities might she choose to focus on now? Answer: New food court will create a competition among these chains (Dunkin Donuts) and fast foods (Taco Bell) and pizza hut, which will directly hit the pizza operations of Kershaw and will try to capture its share with in the campus currently Pizza Hut is offering a limited menu and providing a limited selection of pizzas on a walk-up-and-order basis only. Kershaw should focus on introducing more flavor in pizza category with reasonable prices and timely delivery for this purpose she have to hire more cooks and pizza delivery boy at affordable cost So there could be clash over the prices and timely delivery in future. Q4) If she were to change the competitive priorities for the pizza operation, how might that affect her operating processes and capacity decisions? Answer: BSB has started offering different variety of foods and also offering pizza to its customers. BSB pizzas were well received by the students and soon after increase the sales and the higher the profit margins for the company. The new found success comes with new challenges. Kershaw soon found out that her existing capacity is not enough to cater for the increasing demand for her pizzas. She lacks shortage space for the pizza making equipments and others machines. Here pizza operation are putting a strain on her other screen activates which is forcing her to relook at some of the selection on the menu. She faces the dilemma of increasing her pizza supply at the expense of other food items. Kershaw was also faced with the problem of longer delivery tome for her call-to-order pizzas. She reduces the gap between her existing capacity and the growing demand for her pizzas has to some extent, caused delivery time for pizzas. The poor service may influence customers to seek alternative food service in and off campus. Q5) What would be a good operations strategy for Kershaws operations on campus to meet the food court competition? Answer: According to me a good operation strategy for Kershaws operations to meet the food court competition could be expansion of space in the grill area to install more ovens so that they could meet the demand of their customer on time, understand the taste habit of their customer and offer new flavor with a verity of toppings at a affordable price by maintaining quality she could also assists the market need by simply accepting orders on phone.