ADL 14 Production and Operations Management V1

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ADL 14 Production & Operations Management V1
Assignment – A
Question 1 (a) Define Production Management and discuss its scope and functions.
Question 1 (b) Production Management deals with decision-making related to
co-production process so that the resulting goods or services are produced
according to the specifications, in the amounts and by the schedules demanded
and a t a minimum cost.” Discuss.
Question 2 (a) Compare and Contrast the Continuous and Intermittent Production
Question 2 (b) What do you understand by the term Flexible Manufacturing System?
Do you think it necessary for our country; discuss highlighting the examples
from our industries?
Question 3 (a) What is Production Planning and Control?
Question 3 (b) State main elements or functions of PPC.
Question 3 (c) Define Aggregate Planning and State its importance.
Question 4. For different types of manufacturing systems, we definitely have
different Production Planning & Control (PPC).” Do you agree with the statement?
Explain your viewpoint. Also explain the PPC for Intermittent & Continuous
manufacturing systems.
Question 5 (a) Plant layout is the physical arrangement whether existing or in
plans, of industrial facilities”. In the light of above statements discuss
various types of layouts commonly found in different industries.
Question 5 (b) What are the benefits that accrue due to a good plant layout?
Question 5 (c) Mention the guiding principles in designing a layout of
production facilities.
Assignment – B
Question 1 (a) Explain how Work Study (Work Measurement & Method Study) leads to
higher productivity?
Question 1 (b) How Standard Time per unit is calculated? Calculate the Standard
Time per piece in the following case.
The worker working on the machine has been given average performance rating as
The total allowance for the job under given conditions of working is 15%.
Question 2 (a) Solve the following Transportation Problem and Find the Minimum
Transportation Cost.
Question 2 (b) A company makes two kinds of leather belts. Belt A is a high
quality belt, and B is of lower quality. The respective profits are Rs. 40 and
Rs 30 per belt. Each belt of type A requires twice as much time as a belt of
type B, and, if all belts were of type B, the company could make 1000 per day.
The supply of leather is sufficient for only 800 belts per day (both A and B
combined). Belt A requires a fancy buckle, and only 400 per day a re available.
There are only 700buckles a day available for belt B. Set up the linear
programming equations for the problem and use Graphical Method for solving the
Question 2 (c) The workmen in an Engineering company are expected to work for
400 minutes in a shift of 8 hrs. The remaining time is meant for rest and
personal needs.
I. Determine the Standard Time per piece of a job whose normal time is 2
II. Calculate the no. of pieces to be produced per day. III. If the
workmen engaged on the above job produce 180 pieces in the shift, what is their
Question 3 (a) What is material Requirement Planning? Describe briefly the MRP
Process (preferably diagrammatically).
Question 3 (b) The product structure of an item (A) is as given below:
(1) Show by a diagram, when production of each component or assembly must
be carried out in order to complete the final assembly by week 15?
(2) Work out the number of components or subassemblies required to produce
1250 Nos. of the product “A” required in 15 week, assume that all scheduled
receipts are zero.


Case Study
An Electric Company produces MCBs. The demand forecast for MCBs for the next 12
months is as follows:

The cost of holding the inventory of MCBs, each costing Rs.40 are 2 % per month.
If there are shortage of MCBs , the enterprise has a loss of customer goodwill
and the loss of opportunity costs is estimated at Rs. 60 per MCB.
a) Estimate the relevant costs of producing 2,50,000 MCBs every month.
Take initial inventory as 30,000 MCBs.
b) If the production is carried our @2,00,000 MCBs per month for Jan , Feb. ,
March , April; @2,00,000 MCBs per month for Ma y , June , July & Aug ; and @
3,00,000 MCBs per month for Sept , Oct , Nov , Dec. Calculate the total costs
for this alternative plan.
Assume cost of producing in over-time costs @Rs. 6 per MCB, costs if
under-time(production below full capacity)@Rs. 3 per MCB and Rs 5 per MCB being
the set-up cost(cost of changing production rate).
Compare the two plans and find the better one.
Alternate-1: Calculation sheet for Average Inventory and Lost Sale (units)



Assignment – C
1. The transportation cost and labour cost are the two most important factors in
determining the site location.
(a) True (b) False
2. Location breakœeven analysis can be employed for determining the site
location decision.
(a) True (b) False
3. Brown and Gibson’s Model for location measure has nothing to do with annual
(a) True (b) False
4. The continuous Production system is that where facilities are standardized as
to routing and flow.
(a) True (b) False
5. The mass production is one in which large variety of products are produced.
(a) True (b) False
6. The intermittent process is based on functional type of layout.
(a) True (b) False
7. The fixed type of layout is one where all facilities like manpower, equipment
and materials are brought to the place of working.
(a) True (b) False
8. FMS stands for Flexible Manufacturing System.
(a) True (b) False
9. Batch Production is an example of Continuous Production System.
(a) True (b) False
10. The Continuous Production System employs General Purpose Machines and
Production System purpose Machines.
(a) True (b) False
11. Fredrick Taylor is called the Father of Motion Studies and B. Gilbreth is
called the Father of scientific management.
(a) True (b) False
12. Wilson gave formula for determining the Economic Order Quantity.
(a) True (b) False
13. Incase of components in series, the reliability is higher than the highest
of any component in the system and in case of components in parallel; the
reliability is less than the least in the system.
(a) True (b) False
14. If F (t1) and F (t2) are the probability of failures of two components in
the parallel system,
then the reliability of the system is given by 1-[1-F (t1)] x [1-F (t2)]
(a) True (b) False
15. In ABC analysis, -A” items are those which consume 70% by value and are
hardly 10% of the total items whereas -C” items are those which consume 10% by
value and are more than 70% of total items.
(a) True (b) False
16. A quality circle is a small group of employees in a company who discuss and
try to improve the quality of the output and other work related matters.
(a) True (b) False
17. P system of inventory control is basically Fixed Order Quantity System and Q
system of inventory control is Fixed Periodical Review System.
(a) True (b) False
18. In P type of inventory control system the average inventory is more than Q
type of inventory control system.
(a) True (b) False
19. Integrated approach towards material management is not necessary for
inventory control.
(a) True (b) False
20. A good management is one which starts on Incentive Scheme right from the
start of the factory.
(a) True (b) False
21. A forklift can be used for horizontal as well as vertical movements.
(a) True (b) False
22. Mobile cranes cannot move from one place to another.
(a) True (b) False
23. Hand trolleys are used for handling larger loads over small distances.
(a) True (b) False
24. Line Layouts generally involve low investments by way of equipment and
(a) True (b) False
25. Plant layout and material handling are closely inter-related.
(a) True (b) False
26. Material handling cost is directly proportion to the size of unit load.
(a) True (b) False
27. EOQ strikes a balance between inventory carrying cost and ordering costs.
(a) True (b) False
28. Measure of Central tendency is a data set refers to the extent to which the
observations are scattered.
(a) True (b) False
29. The value of all observations in the data set is taken into account when we
calculate its mean.
(a) True (b) False
30. If the curve of a certain distribution tails off towards the right end of
the measuring scale on the horizontal axis, the distribution is said to be
positively skewed.
(a) True (b) False
31. Extreme values in a data have a strong effect upon the Mode.
(a) True (b) False
32. If the value of mean=35.4 and value of median=35 the shape of the curve
skewed is -right”.
(a) True (b) False
33. It gives equal weightage to all previous months.
(a) Exponential Smoothing (b) Moving Average

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