Master of Business Administration - MBA Semester III OM0010 Operations Management - 4 Credits (Book ID: B1232) Assignment - Set-

- 1 (60 Marks)

Note: Each Question carries 10 marks. Answer all the questions. Q1.What are the emerging opportunities and challenges that confront Operations Management in India? List the important differences between Service and manufacturing.
Ever since 1992, when the Celia committee put up its proposals in respect of import tariffs, the need for changing Operations Management practices in the country has been felt. The committee recommended: Reduction in tariff levels. Simplification in slab rates of tariffs. Removal of differences between rate and materials. Intermediates and finished goods. Efficient administration. Advantages and disadvantages of Indian Manufacturing Organizations Indian industry enjoyed undue advantages due to high import tariffs. Another advantage enjoyed by the Indian industry was Licenses determined the availability of products and services their quality, price, etc. in the market. One of the serious drawbacks of Indian manufacturing organizations operating in a controlled economy was the predominant domestic focus in their approach to business. In contrast, manufacturing organizations in small countries such as Japan and Korea developed good international focus, which helped them set tough targets and high standards for operations system performance.

Quality Management Issues Reports have brought to light Indias poor performance with respect to customer care and quality. Indian organizations have fared badly on the customer orientation and Total Quality Management (TQM) drive when compared to other countries. It is interesting to note that in the 1996 ratings, China was ranked 16th with respect to customer orientation while India was placed at 43rd rank.

Lead Time Issues Reports also put India almost at the bottom of the list with respect to time to market. Long lead time forces organizations to either carry large inventories or produce some plan, which may more or less be different from what the market wants. Further, bringing in new variations of the product to the market will also be delayed. All this will result in high cyst, large non-moving inventory, poor delivery reliability and eroded market share.

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Q2.Explain Order Winner, Order Qualifier and Kano Model. List out the Universal Principles.

Order Winner A useful way to examine a firm's ability to be succesful in the market is to identify the order winners. An order winner is a criterion that customers use to differentiate the services or products of one firm from those of another. Order Qualifier Performance dimensions on which customers expect a minimum level of performance. Superior performance on an order qualifier will not, by itself, give a company a competitive advantage.

Kano Model The Kano model is a theory of product development and customer satisfaction developed in the 80s by Professor Noriaki Kano which classifies customer preferences into five categories:

Attractive One-Dimensional Must-Be Indifferent Reverse

These categories have been translated into English using various different names (delighters/exciters, satisfiers, dissatisfies, etc.), but all refer to the original articles written by Kano.

Attractive Quality These attributes provide satisfaction when achieved fully, but do not cause dissatisfaction when not fulfilled. These are attributes that are not normally expected, For example, a thermometer on a package of milk showing the temperature of the milk. Since these types of attributes of quality unexpectedly delight customers, they are often unspoken. One-dimensional Quality These attributes result in satisfaction when fulfilled and dissatisfaction when not fulfilled. These are attributes that are spoken of and ones which companies compete for. An example of this would be a milk package that is said to have ten percent more milk for the same price will result in customer satisfaction, but if it only contains six percent then the customer will feel misled and it will lead to dissatisfaction. Must-be Quality These attributes are taken for granted when fulfilled but result in dissatisfaction when not fulfilled. An example of this would be package of milk that leaks. Customers are dissatisfied when the package leaks, but when it does not leak the result is not increased customer satisfaction. Since customers expect these attributes and view them as basic, then it is unlikely that they are going to tell the company about them when asked about quality attributes.

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Q3.What are Opportunity Costs and Ownership Costs, and how are they relevant to investment decisions? Q4.What is Economies of Scale? Illustrate with an example. How is it different from Economies of Scope? Q5.Explain the importance of location decisions and the decision-making process for making location decisions. Q6.Explain the terms: Operations Mission, Distinctive Competence, Operation Objectives and Operation Policies.

Master of Business Administration - MBA Semester III OM0010 Operations Management - 4 Credits (Book ID: B1232) Assignment - Set- 2 (60 Marks)

Note: Each Question carries 10 marks. Answer all the questions. Q1.Following table shows figures of weekly demand for a certain brand of toilet soap at a retail store, in the past eight months. Period 1 2 3 4 5 6 7 8 Demand 32 20 47 31 24 50 38 42

Determine the forecast for the demand of that brand of toilet soap in the 9th week by the 5-month moving average method.

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If the actual demand for the soap in the 9th week turns out to be 56 nos, what would be the Forecast for the 10th week, calculated on the same basis? Q2.What do you understand by Line Balancing? Explain Johnsons rule for sequencing and how it is different from CDS algorithm. Q3.List out the seven forms of waste. Explain how 5Ss are used to eliminate them.

Q4.List various Q C Tools? How does Crosbys absolute of quality differ from Demings principles? Q5.Explain two different Independent demand item techniques. Q6.What is Failure? Explain with an example. Name the mechanisms to detect failure.