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Master of Business Administration Semester II (November / Winter 2011) MB0044 Production & Operations Management SET I & II LEARNING

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Master of Business Administration Semester II (November / Winter 2011) MB0044 Production & Operations Management SET I
Q1. Explain in brief the origins of Just In Time. Explain the different types of wastes that can be eliminated using JIT. Answer: Just in time (JIT) is a production strategy that strives to improve a business return on investment by reducing in-process inventory and associated carrying costs. Just-in-time production method is also called the Toyota Production System. To meet JIT objectives, the process relies on signals or Kanban between different points in the process, which tell production when to make the next part. Kanban are usually 'tickets' but can be simple visual signals, such as the presence or absence of a part on a shelf. Implemented correctly, JIT focuses on continuous improvement and can improve a manufacturing organization's return on investment, quality, and efficiency. To achieve continuous improvement key areas of focus could be flow, employee involvement and quality. Quick notice that stock depletion requires personnel to order new stock is critical to the inventory reduction at the center of JIT. This saves warehouse space and costs. However, the complete mechanism for making this work is often misunderstood. For instance, its effective application cannot be independent of other key components of a lean manufacturing system or it can "...end up with the opposite of the desired result."[1] In recent years manufacturers have continued to try to hone forecasting methods such as applying a trailing 13 week average as a better predictor for JIT planning; however, some research demonstrates that basing JIT on the presumption of stability is inherently flawed.

Over production: Over production is to manufacture products before it is actually needed. If the demand for that product decreases, the extra parts or products produced may not be useful or needed. Also over

production results in high storage costs and is also difficult to detect defects. So, over production is considered a waste. 2. Inventory: Excess procurement or production builds up stock of materials which are not immediately used, thus locking space and funds carrying heavy costs. Illustrates the inventories at different levels of an organisation Supplier distribution, Production, and Customer distribution. Inventories in an organization

3. Waiting time: Waste of time happen when goods are not moving or being processed. The operator, the machine or the part will either be not working or be worked upon. The duration of waiting is can be said to be unproductive and may create more serious consequences. 4. Movement: Any unnecessary movement is a waste of energy; it causes blockages, disrupting movements and delaying the flow of other items creating delays. 5. Effort: The people, who work, do not make a study as to how the products on which they are making are utilised and do not realise the purpose for which they are made. This lack of education will lead to waste of resources. Finally, they end up in shortage of resources when needed. 6. Defective products: The defective products lead to a tremendous loss to the company. This is because they use up the same equipments, workmen and the time that would be used to make good products. Thus defective products use up resources and result in losses. 7. Over Processing: Some steps like unnecessary processing or production do not add value to the final output. As a result, it is waste of all the inputs that go into the process. Since these wastes have to be eliminated, a thorough study of how they occur and what steps would result in their elimination is of paramount importance. The next section focuses on some of them.

Q2.What is Value Engineering or Value Analysis? Elucidate five companies which have incorporated VE with brief explanation.

Answer: Value engineering (VE) is a systematic method to improve the "value" of goods or products and services by using an examination of function. Value, as defined, is the ratio of function to cost. Value can therefore be increased by either improving the function or reducing the cost. It is a primary tenet of value engineering that basic functions be preserved and not be reduced as a consequence of pursuing value improvements. In the United States, value engineering is specifically spelled out in Public Law 104-106, which states Each executive agency shall establish and maintain cost-effective value engineering procedures and processes. Value engineering is sometimes taught within the project management or industrial engineering body of knowledge as a technique in which the value of a systems outputs is optimized by crafting a mix of performance (function) and costs. In most cases this practice identifies and removes unnecessary expenditures, thereby increasing the value for the manufacturer and/or their customers. VE follows a structured thought process that is based exclusively on "function", i.e. what something "does" not what it is. For example a screw driver that is being used to stir a can of paint has a "function" of mixing the contents of paint can and not the original connotation of securing a screw into a screw-hole. In value engineering "functions" are always described in a two word abridgment consisting of an active verb and measurable noun (what is being done - the verb - and what it is being done to - the noun) and to do so in the most non-prescriptive way possible. In the screw driver and can of paint example, the most basic function would be "blend liquid" which is less prescriptive than "stir paint" which can be seen to limit the action (by stirring) and to limit the application (only considers paint.) This is the basis of what value engineering refers to as "function analysis. Value engineering uses rational logic (a unique "how" - "why" questioning technique) and the analysis of function to identify relationships that increase value. It is considered a quantitative method similar to the scientific method, which focuses on hypothesis-conclusion approaches to test relationships, and operations research, which uses model building to identify predictive relationships. Value engineering is also referred to as "value management" or "value methodology" (VM), and "value analysis" (VA).[4] VE is above all a structured problem solving process based on function analysis understanding something with such clarity that it can be described in two words, the active verb and measurable noun abridgement. For example, the function of a pencil is to "make marks". This then facilitates considering what else can make marks. From a spray can, lipstick, a diamond on glass to a stick in the sand, one can then clearly decide upon which alternative solution is most appropriate. Case 2

In implementation of VA, Ashok Leyland changed gear material from phosphor bronze to a less expensive cast iron and eliminated frequent field complaint of gear seizure in trucks. Case 3

T.V. Sundaram Iyenger & Sons (TVS) Limited is one of the largest automobile distribution companies in India. During the mid of 1940s to 1960s, TVS based in Madurai was ranked as the best bus transportation system in India. It could manage to run the fleets for about 96% of the time. TVS used the VE approach to restore the mobility of buses that had broken down. They stocked their garage with some critical assemblies of a bus. Whenever, a part or an assembly failed of a bus, they replaced it immediately with a new one, thus restoring mobility within a couple of hours. When compared to the traditional method, this approach has gained much more benefits to the company. It helped to save time, reduce cost, efficient, quicker, and competitive. Case 4

The Six Sigma quality is deployed in Motorola to enhance value to customers. Case 5

Sundaram Fastener incorporated Zero defect approach to enhance product quality. This approach also enhanced to achieve zero deviation from delivery schedules Case 6

In order to provide customers with exceptional handling, fuel economy, majestic style and easy maintenance, Maruti Zen employed the Value-for-Money approach. Case 7

Titan Watches introduced new designs by adopting a strategy of innovation.

Q3.Explain different types of Quantitative models. Differentiate between work study and motion study. Answer: Types of quantitative models

1. Linear Programming: Linear programming technique is often used for optimising a given objective like: profit or revenue maximisation, or cost outgo minimisation. Distribution of the resources is the critical issue when there are limited resources and they have to meet competing demands. . 2. Transportation Model: Transportation model is concerned with goods from manufacturing centers or warehouses which have to be supplied to depots or retail outlets. The demand and supply position of the places where they are required or produced and the cost of transportation are considered in the model. We use this model to economise. 3. Assignment Model: Allocating jobs or persons to machines, awarding different projects to contractors is done so that maximum returns occur or less expense are incurred. Hence, calls for the use of this model. 4. Inventory Control Model: Inventory control model considers the: Frequency of placing orders Quantities per order considering the cost of placing an order Number of pieces that are to be kept in reserve Rate of consumption Lead time required for the supplier Costs involved in storage

We have different models which give solutions to optimisation depending upon the probabilities of patterns of consumption and supply. 5. Waiting Line Models: Queues are formed when the rate of service is at a variance with the rate of arrival. They are formed when the rate of production is less at particular points compared to the previous ones. Sometimes we see multiple service points and a single queue are formed for feeding them. Number of items which includes the following is studied with some special techniques. People to be serviced Rate of service Type of queue discipline that is intended to be followed Policy of priority Tolerable amounts of waiting Others

6. Simulation Models: Simulation models are used when we will not be able to formulate mathematical models. So, we develop a model which resembles a real life situation. Based on this pattern, we predict and plan our procurement, production, delivery and other actions. 7. PERT (Project Evaluation and Review Technique) and CPM (Critical Path Method) Models: When projects are undertaken with a number of activities, some happens in sequence, with gaps of weeks or months and some happens simultaneously. It is important to estimate the time required for completion of the project. A lot of coordination is needed while supplying the resources. It is also equally important to identify the bottlenecks and smoothen resources so that time schedules are maintained. Delayed completion may entail penalties. In this model, we adopt special methods to make the system efficient.

Work practices are ways of doing any work which has been in vogue and found to be useful. These are determined by motion and time study conducted over years and found to be efficient and practiced. Any method improvement that is conducted may be adopted to change the practice, but only after trials they have shown that, they increase the comfort of the worker and get the job done faster. Work study: We say that work study is being conducted when analysis of work methods is conducted during the period when a job is done on a machine or equipment. The study helps in designing the optimum work method and standardisation of the work method. This study enables the methods engineer to search for better methods for higher utilisation of man and machine and accomplishment of higher productivity. The study gives an opportunity to the workmen to learn the process of study thus making them able to offer suggestions for improved methods. This encourages workmen participation and they can be permitted to make changes and report the advantages that can be derived from those. This course is in alignment with the principle of continuous improvement and helps the organisation in the long run. Reward systems may be implemented for recognising contributions from the workmen. Work study comprises of work measurement and method study. Work measurement focuses on the time element of work, while method study focuses on the methods deployed and development of better methods. Work measurement: Work measurement can be defined as a systematic application of various techniques that are designed to establish the content of work involved in performing a specific task. The task is performed by a qualified worker. With this we arrive at the standard time for a task. This will be used to fix performance rating of other workers. It forms the basis of incentives, promotion, and training for workmen and assessment of capacity for the plant. Hence, training the workers is very important. ILO defines a qualified worker as one who is accepted as having the necessary physical attributes, possessing the required intelligence and education, and having acquired the necessary skill and knowledge to carry out the work in hand to satisfactory standards of safety, quantity, and quality. Training workers

Methods study: Method study focus is on studying the method currently being used and developing a new method of performing the task in a better way. Operation Flow charts, Motion Charts, Flow Process charts, which are the elements of the task, are studied to find the purpose of each activity, the sequence in which they are done, and the effect of these on the work. The study may help in changing some of them and even eliminate some of them to effect improvements. The new method should result in saving of time, reduced motions, and simpler activities. Machine worker interaction: Machine worker interaction study consists of studying the amount of time an operator spends on the machine before it is activated and the time he has nothing to do. In many modern manufacturing centers, where we have automated systems of manufacturing, the role of the worker is limited to, observing various screens, dials, indicator lamps to see that the process is going on smoothly. In some cases, his job may be to load the jobs on the machines and check the settings. What is of concern to us, is to see whether the operations permit for enabling an operator to look after two or three machines, without affecting of the performance of the machine or man. Q4. What is Rapid Prototyping? Explain the difference between Automated flow line and Automated assembly line with examples. Answer: Rapid Prototyping (RP) can be defined as a group of techniques used to quickly fabricate a scale model of a part or assembly using three-dimensional computer aided design (CAD) data. What is commonly considered to be the first RP technique, Stereo lithography, was developed by 3D Systems of Valencia, CA, USA. The company was founded in 1986, and since then, a number of different RP techniques have become available. Rapid Prototyping has also been referred to as solid free-form manufacturing; computer automated manufacturing, and layered manufacturing. RP has obvious use as a vehicle for visualization. In addition, RP models can be used for testing, such as when an airfoil shape is put into a wind tunnel. RP models can be used to create male models for tooling, such as silicone rubber molds and investment casts. In some cases, the RP part can be the final part, but typically the RP material is not strong or accurate enough. When the RP material is suitable, highly convoluted shapes (including parts nested within parts) can be produced because of the nature of RP. There is a multitude of experimental RP methodologies either in development or used by small groups of individuals. This section will focus on RP techniques that are currently commercially available, including Stereo lithography (SLA), Selective Laser Sintering (SLS), Laminated Object Manufacturing (LOM), Fused Deposition Modeling (FDM), Solid Ground Curing (SGC), and Ink Jet printing techniques.

Automated flow lines: When several automated machines are linked by a transfer system which moves the parts by using handling machines which are also automated, we have an automated flow line. After completing an operation on a machine, the semi finished parts are moved to the next machine in the sequence determined by the process requirements a flow line is established. The parts at various stages from raw material to ready for fitment or assembly are processed continuously to attain the required shapes

or acquire special properties to enable them to perform desired functions. The materials need to be moved, held, rotated, lifted, positioned etc. for completing different operations. Sometimes, a few of the operations can be done on a single machine with a number of attachments. They are moved further to other machines for performing further operations. Human intervention may be needed to verify that the operations are taking place according to standards. When these can be achieved with the help of automation and the processes are conducted with self regulation, we will have automated flow lines established. One important consideration is to balance times that different machines take to complete the operations assigned to them. It is necessary to design the machines in such a way that the operation times are the same throughout the sequence in the flow of the martial. In fixed automation or hard automation, where one component is manufactured using several operations and machines it is possible to achieve this condition or very nearly. We assume that product life cycles are sufficiently stable to invest heavily on the automated flow lines to achieve reduced cost per unit. The global trends are favouring flexibility in the manufacturing systems. The costs involved in changing the set up of automated flow lines are high. So, automated flow lines are considered only when the product is required to be made in high volumes over a relatively long period. Designers now incorporate flexibility in the machines which will take care of small changes in dimensions by making adjustments or minor changes in the existing machine or layout. The change in movements needed can be achieved by programming the machines. Provision for extra pallets or tool holders or conveyors is made in the original design to accommodate anticipated changes. The logic to be followed is to find out whether the reduction in cost per piece justifies the costs of designing, manufacturing and setting up automated flow lines. Group Technology, Cellular Manufacturing along with conventional Product and Process Layouts are still resorted to as they allow flexibility for the production system. With methodologies of JIT and Lean Manufacturing finding importance and relevance in the competitive field of manufacturing, many companies have found that well designed flow lines suit their purpose well. Flow lines compel engineers to put in place equipments that balance their production rates. It is not possible to think of inventories (Work In Process) in a flow line. Bottlenecks cannot be permitted. By necessity, every bottleneck gets focused upon and solutions found to ease them. Production managers see every bottleneck as an opportunity to hasten the flow and reduce inventories. However, it is important to note that setting up automated flow lines will not be suitable for many industries Automated Assembly Lines: All equipments needed to make a finished product are laid out in such a way as to follow the sequence in which the parts or subassemblies are put together and fitted. Usually, a frame, body, base will be the starting point of an assembly. The frame itself consists of a construction made up of several components and would have been assembled or fabricated in a separate bay or plant and brought to the assembly line. All parts or subassemblies are fitted to enable the product to be in readiness to perform the function it was designed to. This process is called assembly. Methodologies of achieving the final result may vary, but the basic principle is to fit all parts together and ensure linkages so that their functions are integrated and give out the desired output. Product Layouts are designed so that the assembly tasks are performed in the sequence they are designed. You will note that the same task gets repeated at each station continuously. The finished item comes out at the end of the line The material goes from station 1 to 5 sequentially. Operation 2 takes longer time, say twice as long. To see that the flow is kept at the same pace we provide two locations 2a and 2b so that operations 3, 4 an 5 need not wait. At 5, we may provide more personnel to complete operations. The time taken at any of the locations should be the same. Otherwise the flow is interrupted. In automated assembly lines the moving pallets move the materials from station to station and moving arms pick up parts, place them at specified places and fasten them by pressing, riveting, screwing or even welding. Sensors will keep track of these activities and move the assemblies to the next stage. An operator will oversee that the assemblies are happening and there are no stoppages. The main consideration for using automated assembly lines is that the volumes justify the huge expenses involved in setting Q5.Explain Break Even Analysis and Centre of Gravity methods. Explain Product layout and process layout with examples. Answer: Break Even Analysis refers to the calculation to determine how much product a company must sell in order to break even on that product. It is an effective analysis to measure the impact of different marketing decisions. It can focus on the product, or incremental changes to the product to determine the potential outcomes of marketing tactics. The formula for a break even analysis is: Break even point ($) = (Total Fixed Costs + Total Variable Costs). Total Variable Costs = Variable cost per unit x units sold

Unit contribution (contribution margin) = Price per unit Variable cost per unit. When looking at making a change to the marketing program, one can calculate the incremental break even volume, to determine the merits of the change. This determines the required volume needed such That there is no effect to the company due to the change. If making changes to fixed costs (changing advertising expenditure etc.): Incremental break even volume = change in expenditure / unit contribution. Thus if a company increased its advertising expenditure by $1 million, and its unit contribution for the specific product is $20, then the company would need to sell an additional 50,000 units to break even on the decision. If making changes to the unit contribution (change in price, or variable costs): Incremental break even volume = (Old Unit Volume x (Old Unit Contribution New Unit Contribution)) / New Unit Contribution Thus if a company increased its price from $15 to $20, and had variable costs of $10, it is increasing its unit contribution from $5 to $10, assume also an old unit volume of 1 million. It could therefore reduce its volume by 500,000 to break even on the decision. When making changes to a specific product, cannibalization of other products may occur. To calculate the effect of cannibalization, the Break Even Cannibalization rate for a change in a product is: New Product Unit Contribution / Old Product Unit Contribution. New Product is the planned addition to a product line (or change to a product within a product line), Old Product is the product that loses sales to the new product (or the product line that loses sales). The cannibalization rate refers to the percentage of new product that would have gone to the old product; this must be lower than the break even cannibalization rate in order for the change to be profitable. In manufacturing, facility layout consists of configuring the plant site with lines, buildings, major facilities, work areas, aisles, and other pertinent features such as department boundaries. While facility layout for services may be similar to that for manufacturing, it also may be somewhat differentas is the case with offices, retailers, and warehouses. Because of its relative permanence, facility layout probably is one of the most crucial elements affecting efficiency. An efficient layout can reduce unnecessary material handling, help to keep costs low, and maintain product flow through the facility. Firms in the upper left-hand corner of the product-process matrix have a process structure known as a jumbled flow or a disconnected or intermittent line flow. Upper-left firms generally have a process layout. Firms in the lower right-hand corner of the product-process matrix can have a line or continuous flow. Firms in the lower-right part of the matrix generally have a product layout. Other types of layouts include fixedposition, combination, cellular, and certain types of service layouts. PROCESS LAYOUT Process layouts are found primarily in job shops, or firms that produce customized, low-volume products that may require different processing requirements and sequences of operations. Process layouts are facility configurations in which operations of a similar nature or function are grouped together. As such, they occasionally are referred to as functional layouts. Their purpose is to process goods or provide services that involve a variety of processing requirements. A manufacturing example would be a machine shop. A machine shop generally has separate departments where general-purpose machines are grouped together by function (e.g., milling, grinding, drilling, hydraulic presses, and lathes). Therefore, facilities that are configured according to individual functions or processes have a process layout. This type of layout gives the firm the flexibility needed to handle a variety of routes and process requirements. Services that utilize process layouts include hospitals, banks, auto repair, libraries, and universities. Improving process layouts involves the minimization of transportation cost, distance, or time. To accomplish this some firms use what is known as a Muther grid, where subjective information is summarized on a grid displaying various combinations of department, work group, or machine pairs. Each combination (pair), represented by an intersection on the grid, is assigned a letter indicating the importance of the closeness of the two (A = absolutely necessary; E = very important; I = important; O = ordinary importance; U = unimportant; X = undesirable). Importance generally is based on the shared use of facilities, equipment, workers or records, work flow, communication requirements, or safety requirements. The departments and other elements are then assigned to clusters in order of importance. Advantages of process layouts include:


Flexibility. The firm has the ability to handle a variety of processing requirements. Cost. Sometimes, the general-purpose equipment utilized may be less costly to purchase and less costly and easier to maintain than specialized equipment. Motivation. Employees in this type of layout will probably be able to perform a variety of tasks on multiple machines, as opposed to the boredom of performing a repetitive task on an assembly line. A process layout also allows the employer to use some type of individual incentive system. System protection. Since there are multiple machines available, process layouts are not particularly vulnerable to equipment failures. Disadvantages of process layouts include: Utilization. Equipment utilization rates in process layout are frequently very low, because machine usage is dependent upon a variety of output requirements. Cost. If batch processing is used, in-process inventory costs could be high. Lower volume means higher per-unit costs. More specialized attention is necessary for both products and customers. Setups are more frequent, hence higher setup costs. Material handling is slower and more inefficient. The span of supervision is small due to job complexities (routing, setups, etc.), so supervisory costs are higher. Additionally, in this type of layout accounting, inventory control, and purchasing usually are highly involved. Confusion. Constantly changing schedules and routings make juggling process requirements more difficult. PRODUCT LAYOUT Product layouts are found in flow shops (repetitive assembly and process or continuous flow industries). Flow shops produce high-volume, highly standardized products that require highly standardized, repetitive processes. In a product layout, resources are arranged sequentially, based on the routing of the products. In theory, this sequential layout allows the entire process to be laid out in a straight line, which at times may be totally dedicated to the production of only one product or product version. The flow of the line can then be subdivided so that labor and equipment are utilized smoothly throughout the operation. Two types of lines are used in product layouts: paced and unpaced. Paced lines can use some sort of conveyor that moves output along at a continuous rate so that workers can perform operations on the product as it goes by. For longer operating times, the worker may have to walk alongside the work as it moves until he or she is finished and can walk back to the workstation to begin working on another part (this essentially is how automobile manufacturing works). On an unpaced line, workers build up queues between workstations to allow a variable work pace. However, this type of line does not work well with large, bulky products because too much storage space may be required. Also, it is difficult to balance an extreme variety of output rates without significant idle time. A technique known as assembly-line balancing can be used to group the individual tasks performed into workstations so that there will be a reasonable balance of work among the workstations. Product layout efficiency is often enhanced through the use of line balancing. Line balancing is the assignment of tasks to workstations in such a way that workstations have approximately equal time requirements. This minimizes the amount of time that some workstations are idle, due to waiting on parts from an upstream process or to avoid building up an inventory queue in front of a downstream process. Advantages of product layouts include: Output. Product layouts can generate a large volume of products in a short time. Cost. Unit cost is low as a result of the high volume. Labor specialization results in reduced training time and cost. A wider span of supervision also reduces labor costs. Accounting, purchasing, and inventory control are routine. Because routing is fixed, less attention is required. Utilization. There is a high degree of labor and equipment utilization. Disadvantages of product layouts include: Motivation. The systems inherent division of labor can result in dull, repetitive jobs that can prove to be quite stressful. Also, assembly-line layouts make it very hard to administer individual incentive plans. Flexibility. Product layouts are inflexible and cannot easily respond to required system changesespecially changes in product or process design. System protection. The system is at risk from equipment breakdown, absenteeism, and downtime due to preventive maintenance.


Product Layout Example: Let consider an example of Work allocation at an airport Activity 1. Deplane 2. Immigration 3. Baggage claim 4. Customs 5. Check baggage 6. Board domestic flight Average time, seconds 20 16 40 24 18 15

Q6. Explain Jurans Quality Trilogy and Crosbys absolutes of quality. List out the pillars of Total Productive Maintenance. Answer: JURANs Quality Triology Juran uses his famous universal Breakthrough Sequence to implement quality programmes. The universal breaks through sequences are; Proof of need: there should be a compelling need to make changes. Project identification: here what is to be changed is identified. Specific projects with time frames and the resource allocation are decided. Top management commitment: Commitment of the top management is to assign people and fix responsibilities to complete the project. Diagnostic journey: Each team will determine whether the problems result from systemic causes or are random or are deliberately caused. Root causes are ascertained with utmost certainty. Remedial Action: This is the stage when changes are introduced. Inspection, testing, and validation are also included at this point. Holding on to the gains: the above steps results in beneficiary results. Having records or all actions and consequences will help in further improvements. The actions that results in the benefits derived should be the norm for establishing standards JURAN has categorized cost of quality in to four categories: 1. Failure CostsInternal: These are cost of rejections, repairs in terms of materials, labour, machine time and loss of morale. 2. Failure Costs-External: These are cost of replacement, on-site rework including spareparts and expenses of the personnel, warranty costs and loss of goodwill. 3. Appraisal Costs: These are cost inspection, including maintenance of records, certification, segregation costs, and others. 4. Prevention costs: Prevention cost is the sequence of three sets of activities, Quality planning, Quality control, and Quality improvement, forming the trilogy to achieve TOTAL QUALITY MANAGEMENT. JURANs argument says that; Quality is the result of good planning consideration the needs of both internal and external customers and develops processes to meet them. The processes are also planned to meet them. Quality is built into the system of manufacture, inputs and processes that are on stream like raw material, spare parts, labour, machine maintenance, training, warehousing, inspection procedures, packaging, and other. These entire have to follow standards and control exercises to make sure that mistake do not occur often and that if mistakes do occur then they are correct data the source. Quality improvement measures are essential to keep the quality culture alive. Newer methods will be found, some operations can be eliminated, improved technology available. In short, as experience is gained things can always be done better. IT is for the management to take the initiative and encourage the employees to be on lookout for opportunities for improvement.

CROSBYS Absolutes of Quality


Like Deming, Crosby also lays emphasis on top management commitment and responsibility for designing the system so that defects are not inevitable. He urged that there be no restriction on spending for achieving quality. In the long run, maintaining quality is more economical than compromising on its achievement. His absolutes can be listed as under: Quality is conformance to requirements, not goodness Prevention, not appraisal, is the path to quality. Quality is measured as the price Paid for non-conformance and as indices Quality originates in all factors. There are no quality problems. It is the people designs and processes that create problems. Crosby also has given 14 points similar to those of Deming. His approach emphasizes on measurement of quality, increasing awareness, corrective action, error cause removal and continuously reinforcing the system, so that advantages derived are not lost over time. He opined that the quality management regimen should improve that overall health of the organization and prescribed a vaccine. The ingredients are. 1. Integrity: Honesty and commitment help in producing everything right first time, every time. 2. Communication: Flow of information between departments, suppliers, customers helps in identifying opportunities. 3. Systems and operations: These should bring in a quality environment so that nobody is comfortable with anything less than the best. Total Production Maintenance (TPM) Maintenance is a function in any operations system. Maintenance keeps the equipments in good condition. Generally equipments deteriorate because usage wear to the parts introducing inaccuracies on the products made on them. When the deterioration produces a component which exceeds the permitted deviations rendering them unacceptable, maintenance is undertaken to bring back the machine to produce acceptable components. Sometimes the failure is sudden and serious and the equipment stops working. Disruption of production and emergency repairs works are costly and schedules are missed causing delays in supplies and consequent losses. These breakdowns occur because the equipment was carrying hidden defects which were not apparent. All theses are attended to by the maintenances department. Historical records indicate the probability of failures over different periods thus enabling us to plan to attend to them. With progress in automation, we have costly equipments. We have flow lines and any one machine breaking down causes a series of machine to beadle. So, we have to move towards zero breakdowns like we want to move towards zero defects by implementing TQM Tools. TPM puts the responsibility of maintenance where it belongs to and the operator who uses the equipment. It is a companywide activity which involves all the people. The main thrust is eliminating all break downs. The focus is on the operating personnel because they would know about malfunctioning earlier and more than anybody else. They work on the machine and are aware of the slightest variations that occur and thus should be able to plan to remove the cause before it becomes serious. So every planned maintenance activity reduces the probability of a breakdown, Ownership of the operation and machine increases the commitment of the workmen. Autonomy is the starting point for learning and excellence. The worker can suggest better ways of improving quality, productivity, and design. This help in continuous improvement, Team work and participation improves the quality culture. The principles of 5S- the housekeeping activities which improve efficiency at workplace is considered a measurable standard to aid the implementation at TPM even in the office rooms.


Master of Business Administration Semester II (November / Winter 2011) MB0044 Production & Operations Management SET II
Q1.Explain Logical Process Modeling and Physical Process Modeling. What are the ingredients of Business Process? Answer: Logical data models represent the abstract structure of some domain of information. They are often diagrammatic in nature and are most typically used in business processes that seek to capture things of importance to an organization and how they relate to one another. Once validated and approved, the logical data model can become the basis of a physical data model and inform the design of a database. Logical data models should be based on the structures identified in a preceding conceptual data model, since this describes the semantics of the information context, which the logical model should also reflect. Even so, since the logical data model anticipates implementation on a specific computing system, the content of the logical data model is adjusted to achieve certain efficiencies. The term 'Logical Data Model' is sometimes used as a synonym of 'Domain Model' or as an alternative to the domain model. While the two concepts are closely related, and have overlapping goals, a domain model is more focused on capturing the concepts in the problem domain rather than the structure of the data associated with that domain. Logical data model topics Reasons for building a logical data model Helps common understanding of business data elements and requirements Provides foundation for designing a database Facilitates avoidance of data redundancy and thus prevent data & business transaction inconsistency Facilitates data re-use and sharing Decreases development and maintenance time and cost Confirms a logical process model and helps impact analysis. Modeling benefits Facilitates business process improvement Focuses on requirements independent of technology Facilitates data re-use and sharing Increases return on investment Centralizes metadata Fosters seamless communication between applications Focuses communication for data analysis and project team members Establishes a consistent naming scheme Logical & Physical Data Model A logical data model is sometimes incorrectly called a physical data model, which is not what the ANSI people had in mind. The physical design of a database involves deep use of particular database management technology. For example, a table/column design could be implemented on a collection of computers, located in different parts of the world. That is the domain of the physical model. People often get confused with the fact that logical and physical data models are very different in their objectives, goals and content. Following are some key differences.


Logical Data Model

Physical Data Model

Includes entities (tables), Includes tables, columns, keys, data types, validation rules, database triggers, attributes (columns/fields) and stored procedures, domains, and access constraints relationships (keys) Uses business names for entities & attributes Is independent of technology (platform, DBMS) Uses more defined and less generic specific names for tables and columns, such as abbreviated column names, limited by the database management system (DBMS) and any company defined standards Includes primary keys and indices for fast data access.

Is normalized to fourth normal May be de-normalized to meet performance requirements based on the nature form(4NF) of the database. If the nature of the database is Online Transaction Processing (OLTP) or Operational Data Store (ODS) it is usually not denormalized. De-normalization is common in Data warehouses. The ingredients The ingredients that go into a business process can be briefly Outline as under: (i) The data that are needed to accomplish the desired business objective; (ii) Acquisition, storage, distribution, and control of data across tasks in the process; (iii) Persons, teams and organizational units that perform and responsible for tasks; (iv)Decisions that modify and enhance the value of data during the process; We have some behavioral aspects of the business process mainly the decision making process Where humans are involved. Decision failures are common and research has shown that it is because of biases in perception and fallacies in reasoning. Another reason is a tendency to act On assumptions even when data are available easily for verification and/or confirmation. Selective Recall a means tendency to bring out of memory the facts that reinforce our assumptions and Biased evaluation and tendency to accept evidence or fact as absolute which support our Hypotheses. These factors result in faulty decision making and being aware and avoiding them Consciously improve the processes. Business Analyst His main responsibility is to collect in detail business problems The requirements of the business people who have business problems and present them in a Format that technology people understand and facilitate both in obtaining best solutions. He has To liaise between them to break down data, see through the logical steps that need to be taken And fill the gaps to enable the experts in technology to provide solutions. His skills. Knowledge And functions are given under in brief: a) Lead the team members to a consensus; b) Identify or gather the requirements of the business process that are critical; He needs to Question concern people, verify the statements that are made, locate any gaps and arrange the in the logical process for creating uninterrupted dataflow. c) Identify the core requirements; d) Question business area experts and seek relevant information; e) Make sure that the requirements can be subjected to tests and the results are verifiable; Analysts most important skill will be in his capacity to separate the grain from the chaff to know Which are critical, vital and important b its of information from a huge mass of data he is confronted with Q2.Explain Project Management Knowledge Areas. With an example explain Work Breakdown Structure. Answer: The knowledge areas of project management are the following: Project integration management, cost management, communications management Project scope management, quality management, risk management Project time management, human management, procurement management For a project to be successful, it is necessary to understand its relationship with other management disciplines. Other management supporting disciplines are business legal issues, strategic planning, logistics, human resource management, and domain knowledge.


Work Breakdown Structure (WBS) The entire process of a project may be considered to be made up on number of sub process placed in different stage called the Work Breakdown Structure (WBS). A typical example of a WBS of a recruitment process is indicated in figure 8.8. WBS is the technique to analyse the content of work and cost by breaking it down into its component parts. Project key stages form the highest level of the WBS, which is then used to show the details at the lower levels of the project. Each key stage comprises many tasks identified at the start of planning and later this list will have to be validated. WBS is produced by identifying the key elements, breaking each element down into component parts and continuing to breakdown until manageable work packages have been identified. These can then be allocated to the appropriate person. The WBS does not show dependencies other than a grouping under the key stages. It is not time based - there is no timescale on the drawing. Example of work breakdown structure

Q3.Take an example of any product or project and explain Project Management Life Cycle. Answer: Phases of project management life cycle Project management life cycle has six phases: Analysis and evaluation phase Marketing phase Design phase Execution phase


Control inspecting, testing, and delivery phase Closure and post completion analysis phase

Projects too have to chore through their life-cycles adhering to a system. Every project irrespective of its size, scope has to adapt a system. A system in the project management refers to the existence of interrelationship of activities in a project. The absence of a system makes a project die. No matter what project it is that youre preparing for, the project management life cycle can assist you in narrowing your focus, keeping your objectives in order and finishing said project on time, on budget and with a minimum of headaches. Every project management life cycle contains five steps: Initiation, Planning, Execution, Monitoring/Control and Closure. No one step is more important than the other and each step plays a crucial role in getting your project off the ground, through the race, down the stretch and across the finish line. Phases of Project management life cycle 1) Initiation: In this first step you provide an over-view of the project in addition to the strategy you plan on using in order to achieve the desired results. During the Initiation phase youll appoint a project manager who in turn will -- based on their experience and skills -- select his team members. And lest you think you need to be a Bill Gates or Donald Trump in order to see your project take on a life of its own, fear not: there are some great technological tools available to get you through the Initiation phase of the project management life cycle. 2) Planning: The all-important second step of any successful project management life cycle is planning and should include a detailed breakdown and assignment of each task of your project from beginning to end. The Planning Phase will also include a risk assessment in addition to defining the criteria needed for the successful completion of each task. In short, the working process is defined, stake holders are identified and reporting frequency and channels explained. 3 & 4) Execution and Control: Steps Three and Four take you into deeper water. When it comes to the project management cycle, execution and control just may be the most important of the five steps in that it ensures project activities are properly executed and controlled. During the Execution and Control phases, the planned solution is implemented to solve the problem specified in the project's requirements. In product and system development, a design resulting in a specific set of product requirements is created. This convergence is measured by prototypes, testing, and reviews. As the Execution and Control phases progress, groups across the organization become more deeply involved in planning for the final testing, production, and support. 5) Closure: By the time you reach Step Five -- Closure -- the project manager should be tweaking the little things to ensure that the project is brought to its proper conclusion. The Closure phase is typically highlighted by a written formal project review report which contains the following elements: a formal acceptance of the final product (by the client), Weighted Critical Measurements (a match between the initial requirements laid out by the client against the final delivered product), lessons learned, project resources, and a formal project closure notification to higher management. The Project Management Cycle saves time and keeps everyone on the team focused. Fortunately, modern technology provides a variety of templates that will take you from A-to-Z (or in this case from Start-to-Finish) making the Project Management Cycle user friendly no matter what your level of management experience! Q4.Explain PMIS. What is the difference between Key Success Factor (KSF) and Knowledge (K) Factor? Explain with example. Answer: Project Management Information System (PMIS) An information system is mainly aimed at providing the management at different levels with information related to the system of the organisation. It helps in maintaining discipline in the system. An information system dealing with project management tasks is the project management information system. It helps in decision making in arriving at optimum allocation of resources. The information system is based on a database of the organisation. A project management information system also holds schedule, scope changes, risk assessment and actual results. The information is communicated to managers at different levels of the organisation depending upon the need. Let us find how a project management information system is used by different stakeholders.


Who needs information and why? Upper managers To know information on all projects regarding progress, problems, resource usage, costs and project goals. This information helps them take decisions on the project. They should review the projects at each milestone and arrive at appropriate decision To see each project schedule, priority and use of resources to determine the most efficient use across the organisation. To see schedule, task lists and specification so that they know what needs to be done next.

Project manager and department managers Project team members

The four major aspects of a PMIS are: 1. Providing information to the major stakeholders 2. Assisting the team members, stakeholders, managers with necessary information and summary of the information shared to the higher level managers 3. Assisting the managers in doing what if analyses about project staffing, proposed staffing changes and total allocation of resources 4. Helping organisational learning by helping the members of the organisation learn about project management Usually, the team members, and not the systems administrators of the company, develop a good PMIS. Organisations tend to allocate such responsibility by rotation among members with a well designed and structured data entry and analytical format. Key Success Factors A key success factor is a performance area of critical importance in achieving consistently high productivity. There are at least 2 broad categories of key success factors that are common to virtually all organizations: business processes and human processes. Both are crucial to building great companies. Our focus is primarily on the human processes. To some extent, every human process is a key success factor. We talk about organizational performance, but in truth, its people who produce results. Human processes are constantly evolving to fit new technologies and changing circumstances, but every once in a while, major shifts occur that dramatically change what's required in each of the key success areas. Were experiencing such a shift right now moving from the industrial age to a knowledge-based economy in a global marketplace. Globalization and information technology are placing different, challenging demands on leaders and organizations in virtually every key success area. Here are some highlights of these changes: Leadership "Command and control" leadership carried many organizations to very high levels of financial performance during periods when competition was not so great and things didn't change very fast, but its time has passed. The demands on the total organization are too great for a few people at the top to call all the shots. More Vision A compelling vision is one of a company's greatest assets. It can be a magnet for attracting talented people. It can serve as a beacon when people temporarily lose their way. It can be a source of energy and inspiration when people are encountering difficult obstacles. The CEO has a primary responsibility to shape, communicate and sustain the vision, but this need not be a solitary task. In fact the more people who can be involved in shaping the vision, the better. More Communication In most organizations, there have been 3 pervasive patterns that will no longer work in knowledge-based organizations: (1) the primary flow of information was verticalwithin departmental walls that were often impermeable, (2) information was hoarded and used as a source of power over others, and (3) people at the top often withheld crucial strategic information from those lower in the organization in the belief they couldn't handle it. More Teamwork


Teamwork is more crucial to producing results today than ever before, and at the same time, the very nature of teams and their functions are changing rapidly. In the past it was typical to go for long periodseven an entire careeras the member of one functional team. Today, membership on more than one team is the norm, and it is unlikely that anyone entering the work force will remain on the first team they join for more than a year at most. More Strategic Alignment Process reengineering and systems thinking are moving strategic alignment back to the top of many corporate agendas. It has become crystal clear that many of the greatest opportunities for productivity improvement lie at the interfaces of the processes used to produce products and serve customersand it is fruitless to excel in one process while lagging in others. In fact, it's counterproductive. More Conflict Resolution The new economy increases the potential for conflict in virtually every area of organizational life. Stakeholders are more informed and frequently more demanding. Employees are being asked to do more with lesswithout the promise of job security that existed in the past. Aligning self-interests with corporate interests is not as simple as it used to be. Alliances, mergers, and acquisitions bring together different cultures and set the stage for major internal conflicts and power struggles. Developing good conflict skills needs to be high on everyone's personal and corporate agendas. More Embracing Change Individuals and organizations that change before they have to will be the winners in global competition. People vary a lot in their tolerance of change and in the degree to which they actively seek change in their lives. It is difficult to grasp the potential for the continuing acceleration of change on a global scale. With more people having more access to more information, it is reasonable to expect more innovation and more competition on a daily basis. Merely accepting change and learning to tolerate it will not be enough to successfully compete in the next century. We must welcome change as our friend. More Learning Organization Leaders and managers have always given lip service to the notion of people being their most important asset and to the need for continuous training and development. In most companies, however, it has been no more than a notion. Most have not been consistent in this crucial area. The same company that will spend $5,000 a year to maintain a machine will not spend $500 to develop an employee. Of all the key success areas, this one is changing the most. The future belongs to learnersto individuals that take responsibility for updating their skills and knowledge, to teams that consciously develop the deep dialogue that enables team members to learn from one another, and to organizations that continuously improve their ability to transform data into value-added, actionable information to serve customers. More Rediff.com Business Secrets of Wal-Mart's success Secrets of Wal-Mart's success August 22, 2007 08:46 IST Ptolemy, the ancient astronomer, believed that planets rotated around the earth and developed a theory to explain and calculate that motion. As humankind's understanding of the heavens expanded, Ptolemy's theory of planetary physics had to become more complicated to explain observed motion. Then, in the sixteenth century, Copernicus advanced a theory that the planets rotated around the sun, not the earth. This model of planetary physics triumphed because it explained the motion of the planets much more accurately and simply. In a similar way, the productivity loop reveals a remarkable simplicity behind Wal-Mart's success. The loop explains the "motion" of Wal-Mart. But the physics behind Wal-Mart, and the management chemistry of strong process that goes along with it, do not fully explain Wal-Mart's success. There is something else that drives the company with equally compelling power: its biology. Why haven't other companies in the Wal-Mart world been able to triumph like Wal-Mart? What is the difference that makes the difference -- beyond cost-cutting physics and strong-process systems? It's WalMart's "genetic" makeup, what I call its DNA. Most other companies miss this key factor. They fail to recognize that they cannot replicate Wal-Mart's success without replicating its DNA. The DNA of an organization refers to its internal, hard-wired character. This is in contrast to its external traits. Many executives trying to duplicate the success of Wal-Mart think that they can do so by duplicating visible competitive advantages such as Wal-Mart's everyday-low-price (EDLP) position, its low cost


structure, its streamlined logistics and distribution network, its information systems prowess, and its partnerships with vendors. Yet most of these fast-follower efforts fail because they miss the genetic code. In biology, we describe people by referring to such traits as blonde hair, blue eyes, fair skin, high cheek bones, long legs, and small feet. But we know full well that these traits are simply the manifestation of an internal code, our genes. Modern medicine, science, and cosmetics offer many ways to modify our traits -dyeing our hair, smoothing our complexion with plastic surgery, and coloring our eyes with contact lenses. Altering traits does not endow us with the underlying genes, however, and over time, our gray roots show and our crow's feet come back. The same is true in business. Companies that replicate Wal-Mart's competitive advantages often end up with just a corporate "dye job." They find that the change often doesn't work or doesn't work well, and even if it does work, they have to reapply the fix to sustain the change. To replicate Wal-Mart's enduing operational strengths successfully, we need to start with the DNA. Wal-Mart executives believe that perpetuating the company's DNA is one of their chief jobs. They dedicate the first Saturday meeting of every month to culture, asking one or two managers to give a prepared talk on what the culture means. They also lead mandatory culture training for all new managers. During training sessions at the Walton Institute, they teach trainees about everything from expense control to continuous improvement. Wal-Mart's DNA includes some potent genes that encode the leadership and work attitudes lying at the root of its competitive advantages. Of the many genes of this kind, five deserve special attention: focus, correction of errors, constructive paranoia, thrift, and a "we can make it better" attitude. Excerpted from: Wal-Smart by William H Marquard

Q5.Explain the seven principles of supply chain management. Take an example of any product in the market and explain the scenario of Bullwhip effect. Answer: The Seven Principles of SCM are: 1. Group customer by needs: Effective SCM groups customers by distinct service needs, regardless of industry and then tailors services to those particular segments 2. Customise the logistics network: In designing their logistics network, companies need to focus on the service requirement and profit potential of the customer segments identified 3. Listen to signals of market demand and plan accordingly: Sales and operations planners must monitor the entire supply chain to detect early warning signals of changing customer demand and needs. This demand driven approach leads to more consistent forecast and optimal resource allocation 4. Differentiate the product closer to the customer: Companies today no longer can afford to stockpile inventory to compensate for possible forecasting errors. Instead, they need to postpone product differentiation in the manufacturing process closer to actual consumer demand. This strategy allows the supply chain to respond quickly and cost effectively to changes in customer needs 5. Strategically manage the sources of supply: By working closely with their key suppliers to reduce the overall costs of owning materials and services, SCM maximises profit margins both for themselves and their suppliers 6. Develop a supply chain wide technology strategy: As one of the cornerstones of successful SCM, information technology must be able to support multiple levels of decision making. It also should afford a clear view and ability to measure the flow of products, services, and information 7. Adopt channel spanning performance measures: Excellent supply chain performance measurement systems do more than just monitor internal functions. They apply performance criteria to every link in the supply chain criteria that embrace both service and financial metrics Procter & Gamble: The Power of Partnership Who says you can't please customers and achieve profitable growth from doing so? Certainly not Procter & Gamble. But even this consumer products giant recognizes the need for continuous change in order to enjoy continued success. Since early in the century, P&G had based its strategy on delivering superior products to consumers. "Sell so that we will be filling the retail shelves as they are empty," said CEO Richard Deupree in 1911. By the late 1970s, this single-minded focus on consumers had earned P&G a reputation among wholesalers and


retailers for being inflexible and dictatorial. Perceiving the growing power of these trade customers in the early 1980s, P&G revised its strategy to maintain a constant focus on reinventing the customer interface in pursuit of sustained competitive advantage. The first step was a series of merchandising and logistics initiatives launched throughout the 1980s under the banner of "total system efficiency." Such efforts as implementing more flexible promotional policies and a damaged goods program signaled a new emphasis on trade customers. These efforts paid off. In 1990, P&G ranked 15th among the Fortune 500, up from 23rd in 1979. In the early 1990s, P&G took the next big step--a sales reorganization creating multifunctional teams with key customers, notably Wal-Mart, to address issues in such key areas as category management and merchandising, logistics, information technology, and solid waste management. P&G simultaneously developed partnerships with suppliers to reduce cycle times and costs. The results have been impressive. For example, the Just-in-Tide marketing initiative uses point-of-sale scan data to determine how and when to replenish product. Warehouse inventory turns have almost doubled; factory utilization has grown from 55 percent to more than 80 percent; and overall costs have dropped to 1990-1991 levels. P&G more recently introduced the Streamlined Logistics program to improve customer service and supply chain efficiency. The first phase consolidated ordering, receipt, and invoicing of multiple brands, harmonized payment terms, and reduced bracket pricing categories. The implications for customers? As Steven David, vice president of sales, explained: "Now they'll be able to mix a load of soap or paper or food products on a full truck to get the best possible pricing. We're going to make available common-quantity pricing brackets across all our sectors. We're going to have multi sector ordering for the first time." To ensure customer satisfaction, P&G instituted a scorecard last year to enable both distributors and vendors to evaluate P&G's efficiency in such key areas as category management, assortment, efficient product introduction, promotion, and replenishment. In the last six months, P&G has undertaken Streamlined Logistics II to reduce unloading time in food-retailer warehouses. By combining such tools as activity-based costing and Electronic Data Interchange with dropand-hook programs and elimination of pallet exchanges, P&G expects to remove non-value-added costs and improve consumer value...in the process saving $50 million, which P&G intends to pass on to customers. 6. Time taken by three machines on five jobs in a factory is tabulated below in table below. Find out the optimal sequence to be followed to minimise the idle time taken by the jobs on the machines. Job A B C D E Answer: Steps to be taken to solve the algorithm are as follows: 1. Take column M1, ignoring M2 and M3. Get the sequence by applying Johnsons rule. 2. Next Combine M1 and M2 Make it as one machine MX and combine M3 and call it MY. Get the sequence. 3. Next Combine M1 and M2 and M3 and call it MC. Similarly combine M2 and M3. Call it MD. Find the sequence. 4. Calculate the total time taken to process all jobs A, B C, D and E. Choose whichever given the total time. 5. According to the steps mentioned above the job order sequence of machines 1 and 2, that is, MA can be derived with the help of the following table Machine 1 (M1) 6 4 5 3 4 Machine 2 (M2) 8 5 5 4 3 Machine 3 (M3) 7 3 7 6 4

Sequenc e of MA

Machine 1


Job A B C D E

(M1) 6 4 5 3 4

Using Johnsons algorithm, the job order sequence obtained is: B E A C D MA =


Processing Time Machine 1 Time-in Time-out 0 4 4 8 8 14 14 19 19 22

Machine 2 Time-in 4 9 14 22 27

Time-out 9 12 22 27 31

Machine 3 Time-in 9 12 22 31 36

Time-out 12 16 29 36 42

The time taken (TA) to complete the sequence obtained above is 44. The job order sequence of machines (1, 2) and (3, 4), that is, MB can be derived with the help of the following table (Table 12.7). Sequence of MB Job A B C D E D E M1+M2 14 9 10 7 7 B C M3 11 9 10 8 11 A MB =

The time taken (TB) by sequence MB is now calculated as shown below table Time taken (TB) by sequence MB J O B D E B C A Processing Time Machine 2 Time-in Time-out 3 7 7 10 11 16 16 21 22 30

Machine 1 Time-in Time-out 0 3 3 7 7 11 11 16 16 22

Machine 3 Time-in Time-out 7 13 13 17 17 20 21 28 30 37

The time taken (TB) to complete the sequence obtained above is 41.


The job order sequence of machines (1, 2, 3) and (2, 3, 4), that is, MC can be derived with the help of the following table Sequence of MC Job A B C D E M1+M2+M3 21 12 17 13 11 M2+M3 19 14 15 12 14

MC =

The time taken (TC) by sequence MC is now calculated as shown in table Time taken (TC) by sequence MC J O B E B A C D Processing Time Machine 2 Time-in Time-out 4 7 8 13 14 22 22 27 27 31

Machine 1 Time-in Time-out 0 4 4 8 8 14 14 19 19 22

Machine 3 Time-in Time-out 7 11 13 16 22 29 29 36 36 42

The time taken (TC) to complete the sequence obtained above is 44. Thus, we get values: TA = 44, TB = 41 and TC = 44. From the three values, TB is the minimum. Therefore, the optimal sequence for the given 5 jobs under the 4 machines is MB. MB = D E B C A