3 marks Q. What is Line balancing?

The total work to be performed at a work station is equal to the sum of the tasks assigned to that work station. The assembly line balancing problem is one of assigning all tasks to a series of work stations so that each work station has no more than can be done in the workstation cycle time, and so that the unassigned (i.e. idle) time across all workstations is minimised. Elements of line balancing: Though primarily a scheduling issue ,assembly line balancing often has implications for layout. This would occur when, for balance purposes, workstation size or the number used would have to be physically modified. 1) workstation cycle time:The most common assembly line is the moving conveyor that passes a series of workstations in a uniform time interval called the work station cycle time.at each workstation ,work is performed on a product either by adding parts or by completing assembly operations. The work performed at each station is made up of many bits of work, termed tasks, elements and work units. Such tasks are described by motion-time analysis. Generally, they are groupings that cannot be subdivided on the assembly line without paying a penalty in extra motions. 2) precedence relationship: the problem is complicated by the relationships among tasks imposed by product design and process technologies. The is called the precedence relationship, which specifies the order in which tasks must be performed in the assembly process. Q. Write short notes on application of information technology in production management? Technology is the process of applying the finding of science and other forms of enquiry to applied situations. Production technology therefore involves applying the work of researchers to develop new products and processes. There are a range of new technologies that are being applied to improving production methods and outputs. For example, in recent years we have seen the development of ice cream varieties of chocolate products in the confectionery industry - an example of food technology. At the same time we have seen the widespread application of Information and Communications Technology to a wide range of production methods, such as:

The use of computer databases for online booking in the airline industry. The development of broadband services, benefiting small businesses to communicate using the Internet across the country. The use of company intranet systems to inform, and train, employees in companies like Cummins creating a more skilled and highly efficient workforce.

Q. WHAT ARE THE OBJECTIVES OF INVENTORIES? As man has progressed and his needs and activities have multiplied, the range of inventory has become larger and more diversified. As of today inventories include, among others, raw materials, semi-finished goods, finished goods and operating supplies .each of these serve specific purposes. The raw materials inventories are held for later conversion into semi- finished or finished goods. Raw material inventories must exist because generally it is not always economically feasible either to purchase or to schedule the delivery of raw materials as they are needed in the production process. Since manufacturing or processing always takes time, there is need for finished goods inventory. In some industries , materials must be processed in lots or batches. In other industries the flow of material may be steady, with the product existing simultaneously in several stages of completion. In still other types of manufacturing it is desirable from economic considerations, to process or schedule material in lots. In general, inventory facilitates transit and holding. Materials May be transported thousands of kilometres before they are incorporated into an end product. All time, materials are in transit, which may be a period of several months. During this transit, materials constitute someones inventory. Inventories serve to isolate the suppliers, the producer and the consumer. Yet another purpose of holding inventories is to reduce material handling costs. Finally, inventories are held to facilitate product display and service to customers, batching in production in order to take advantage of longer production runs and provide flexibility in production scheduling. Q. What is motion study? Motion study refers to a group of techniques under the wider group of techniques called method study. While Method study is used for design and improvement of any type of work methods, motion study concentrates only on work involving manual activities. Motion study consists of careful analysis of body motions used in doing a job to assist in eliminating and reducing ineffective or wasteful movement and reduce the total time taken for performing the work. Motion study involves use of a systematic approach involving the following steps: Understanding the general nature of existing method of performing work. Studying the existing method in detail analyzing and timing in detail each and every motion. This involves use of many alternative techniques such as simple motion study, micro motion study, two handed process chart, SIMO, Cycle graph, chronocyclegraph, and memo-motion study. Record the facts.

Develop alternative improved methods. Evaluate and compare alternative method. This step leads to identification of the best method. Define and document the new improved method method. Install the new method. Where required this involves provision of standard tools and working environment, It also includes training of the workmen in new methods of working. Maintain the new method.

Motion study helps in simplification and standardization of method by a systematic approach as described above. This approach ensures that the new methods make work easier as well as more effective. The care taken in documentation and installation of methods also promotes standardization by ensuring that all workmen adopt the same method Q. What are the functions of Stores department? Stores department is a place where goods are kept/ stored. In other words, it is the place which is used to cover all the aspects of preservation of goods i.e., building, supplies and act of storing. Functions : 1. To receive raw materials and account for them. 2. To provide adequate & proper storage and preservation to the previous item. 3. To meet the demands of the consuming departments by proper issues and account for consumption. 4. To minimise obsolescence, surplus and scrap through proper codification, preservation and handling. 5. To highlight stock accumulation, discrepancies, abnormal consumption and effect control measures. 6. To ensure good housekeeping so that material handling, preservation, stocking, receipt and issue can be adequately. 7. To assist verification and provide supporting information for effective purchase action. Q. Discuss the importance of production function. Production function makes significant contribution to societys well being. The standard of living of people depends upon the production of goods and services. More the production, higher the standard of living of the people. Importance of production function: Improving volume of producton. Reducing rejection rate. Maintaining delivery schedule. Controlling idle machine and manpower hours. Updating processes and procedures.

Maintaining accuracy and timeliness of management information system. Effective grievance handling. Minimising inventory and achieving better yields. Enhancing customer satisfaction. Total quality management Business process re-engineering. Automation. Q. Differentiate Chase Strategy from Level Strategy. Different companies plan and schedule manufacturing production using different strategies. Some companies make goods only after receiving a customers order while others make goods and distribute them to retailers where customers buy at their discretion. A company’s strategy has a direct impact on the amount of inventory it carries and that translates into cash available for other needs. Chase strategy:Companies that use the chase strategy, or demand matching strategy, produce only enough goods to meet or exactly match the demand for goods. Think of this strategy in terms of a restaurant, which produces meals only when a customer orders, therefore matching the actual production with customer demand. The chase strategy has several advantages & disadvantages; it keeps inventories low, which frees up cash that otherwise, can be used to buy raw materials or components, and reduces inventory carrying costs that are associated with holding inventory in stock. Cost of capital, warehousing, depreciation, insurance, taxes, obsolescence and shrinkage are all inventory carrying costs. Level production:In a manufacturing company that uses a level production strategy, the company continuously produces goods equal to the average demand for the goods. Scheduling consistently arranges the same quantity of goods for production based on the total demand for the goods. So, if for three months a company wants to produce 20,000 units of a certain item and there are a total of 56 working days, it can have a level production to 358 units per day. Q. What is statistical Quality control SQC. It is desirable that the process itself adjusted in such a way that the number of defectives remain within acceptable limits. This is based on preventive principles. In such a situation, one can even dispense with inspection of individual components/products so long as one are assured that the defectives will not exceed pre-determined value within a specified confidence level. The method used for this purpose is called Statistical Quality Control (SQC). Statistical Quality Control (SQC) is the application of Statistical techniques to accept or reject products already produced or to control process and, therefore, product quality while the part is being made. While the latter is called process control, the former is named acceptance sampling.

Statistical Quality Control is the application of statistical techniques to determine how far the product conforms to the standards of quality and precision , and to what extent its quality deviates from the standard quality. The purpose of SQC is to discover and correct only those force which are responsible for variations outside the stable pattern. The standard quality is pre-determined through careful research and investigation.

7 marks Q. Write a short note on JUST-IN-TIME SYSTEMS (JIT) JIT is defined as a philosophy of manufacturing based on planed elimination of all wastes and continuous improvement of productivity. JIT is an approach that seeks to eliminate all sources of waste in production activities by providing the right part at the right place at the right time. JIT encompasses the successful execution of all manufacturing activities required to produce a final product, from design to delivery and including all stages of conversion from raw materials onward. The primary elements of JIT are to have only the required inventory when needed, to improve quality to Zero defects, to reduce lead times, queue-lengths and lot sizes, to incrementally revise the operations themselves and to accomplish these things at minimum cost. Improved Communications Shorter procurement lead times

Reduced amount of inspection In short JIT means: 1. Producing the quantity of units that is needed, no more or no less. 2. Producing them on the date and at the time required, not before, not after. OBJECTIVES: Produce only the products that customers want. Produce products only as quickly as customers want to use them. Produce products with perfect quality. Produce products with features that customers want. Produce with no waste of labour, materials, or equipment and with zero inventories.

The features are: Pull method of material flow Constantly high quality Small lot sizes Uniform work station loads

Standardised components and work methods Close supplier ties Flexible workforce Line flow strategy Automated production Total preventive maintenance

Benefits of JIT System Inventory levels are drastically reduced and high inventory turnovers have been achieved. Reduced production cycle time or product throughput time Improved product quality and minimum scrap. Root-cause elimination approach to solve production problems. Near zero defects Improved Communication Reduced customer-related problems Elimination of unpleasant suppliers. What is productivity? Bring down its importance? It describes how well a production manager achieves productive use of the resources of his firm. Productivity is an index or measure of the effective use of resources. It is usually Expressed as a ratio of output to input i.e. Productivity= output/input. The outputs are goods and services whereas the inputs are resources such as materials, labour, ,and other resources used to produce the outputs.

Q. What is Aggregate Planning? State the objectives of Aggregate Planning? Aggregate planning is an operational activity that does an aggregate plan for the production process, in advance of 2 to 18 months, to give an idea to management as to what quantity of materials and other resources are to be procured and when, so that the total cost of operations of the organization is kept to the minimum over that period Objectives of Aggregate Planning-: Objective of aggregate planning frequently is to minimize total cost over the planning horizon. Other objectives should be considered:

maximize customer service minimize inventory investment minimize changes in workforce levels minimize changes in production rates maximize utilization of plant and equipment

Q. Define productivity? List the factors affecting productivity. Productivity is a measure of the efficiency of production. Productivity is a ratio of what is produced to what is required to produce it. Usually this ratio is in the form of an average, expressing the total output divided by the total input. Productivity is a measure of output from a production process, per unit of input. The factors affecting productivity are: 1. Human Resources- quality of product & productivity depends on labor productivity. If labor do not have proper education & training, labor are not able to give justice to their work, Pride, recognition, challenging work, appreciation are motivational factors which mgt can use to improve the productivity. Trade union plays important role in improving productivity. General level of education is important for Productivity. Organization should provide work related Training to workers Mgt. maintain cordial relationship with labor unions, Incentive Schemes, Workers participation in management, MBO, Quality circles, Communication system, Working hours job evaluation & job specification,

2.Technology: Use of outdated machinery increases wastage of material & takes more time for producing a single product compared to latest machinery, it increases maintenance Company can invest in R & D, use techniques like replacement analysis, Capital Budgeting Use of CAD, CAM, FMS, Automation 3. Physical Facilities in Plant: Facilities like plant layout, building, equipments, mechanization level, maintenance etc. plays important role in improving productivity. Poor plant layout increases idle time of man & machine. Selection of machines or equipment many time create excess capacity or some time too small capacity. Therefore Use scientific methods for plant layout to optimize area utilization. Better vertical space utilization. Multistory building for expansion of office area. Make use of gravity for material flow. Proper transportation of material to avoid spoilage & breakage. Use of SPM rather than conventional one. Replacement of machinery whenever requires. 4. Product: Product is one which is manufactured with the help of processes. Bad design of product prevents use of most economic process. Lack of standardization prevents use of high production process. Incorrect quality standards cause unnecessary work. Therefore Product design must be simple to understand. There must be standardization. Consider availability of technology for product design. Product development reduces ineffective time due to change in product design. R&D contributes improvement in product design. 5. Production: Final product quality & productivity however depends on PPC. Improper PPC affects productivity in terms of idle time of man & machine. Therefore Break even analysis used to find minimum volume at which production can be profitable. Use of PERT/CPM to arrange activities. Daily,

weekly, monthly equipment utilization report, Use of flow process chart to show sequence of operations, transportation, delays, storage & inspection of production activities. Use of time study to measure std. time and allowances. Scientific planning for selection of batch quantity, performance rating, requirement of machines, labor, material to achieve desired target. Plant layout which will reduce material movement. Ideal layout should ensure straight line movement of material. Proper selection of material Handling Device to reduce movement of material & time required to move material. 6. Management Policies: Autocratic leadership style de-motivates labors. Excessive product Varity adds ideal time due to short runs. Poor industrial relation results in strike & lockouts. Q. EXPLAIN QS-9000. The QS-9000 is divided into three (3) sections: 1) all the twenty (20) ISO-9001 elements plus certain automotive requirements; 2) system requirements defined by the 'Big Three' for their own use, which are referred to as 'Additional Requirements' in the standard; and 3) customer-specific requirements, which are requirements that are unique to every individual automotive or truck manufacturer. The core activity requirements of the QS-9000 include the following: 1) Quality System Assessment (QSA); 2) Advanced Product Quality Planning and Control Plan (APQP); 3) Production Part Approval Process (PPAP); 4) Potential Failure Modes and Effects Analysis (FMEA); 5) Measurement Systems Analysis (MSA); and 6) Statistical Process Control (SPC). Certification to the QS-9000 consists of the following basic steps: 1) Review of the QS9000 document standard and its support literature and software; 2) Organizational preparation and assembly of a team that will oversee the certification; 3) Development of a Quality Manual that meets the QS-9000 requirements; 4) Development of support documents for your Quality Manual; 5) Implementation of the quality management systems defined in your Quality Manual; 6) Pre-assessment of your quality systems (optional); 7) Certification to the QS-9000; 8) Continual assessment of your quality systems against QS9000 requirements to maintain your registration. QS-9000 certification requirements are said to be very demanding, with only a few selected third party entities duly authorized by the automotive industry to give QS-9000 certifications. Nonetheless, many big companies that got certified to QS-9000 standards have saved millions of dollars through defect and waste reduction, on-time delivery performance improvements, and of course, market share increases. The main weakness of the QS-9000 is the fact that it is based on the ISO-9001:1994, which has been obsolete and replaced by ISO-9001:2000. As such, automotive companies are expected to transition into using the ISO/TS-16949 as the new standard for the automotive industry's quality management systems.

Elements of QS-9000 QS-9000 includes three sections: the 20 elements in ISO 9001 and a few automotivespecific requirements; additional system requirements developed by GM, Chrysler and Ford; and customer-specific requirements determined by individual auto and truck-makers. Actual requirements include items like a quality system assessment (QSA), an advanced quality product planning and control plan, and a production part approval process.

Q. Explain MPS with the help of flow chart? The master schedule sets the quality of each end item to be completed in each time period of short range planning horizon. Master production schedule are developed by reviewing market forecasts, customer orders inventory levels, facility loading and capacity information regularly Objectives To schedule end items to be completed promptly and when promised to customers. To avoid overloading or under loading the production facility so that production capacity is efficiently utilized and low production costs result. Illustrates the flow chart for MPS Forecasts & customer orders

Domestic and International and

Aggregate plan

End products

Tentative master production schedule (MPS)

Service

parts

Revice Master Schedule CRP system

Trial-fit on MRP system

Are materials adequate?

Are capacities adequate?

No No

Yes

Yes

Guidelines for master schedule 1. 2. 3. 4. 5. 6. Work from an aggregate production Schedule common modules when possible Load facilities realistically Release orders on a timely basis Monitor inventory levels closely Reschedule as required

Updating of MPS The MPS is usually updated weekly, i, e. after one week has passed, one week is taken off the front end of the MPS, one week is added on to the back end and the demands for the whole MPS are estimated anew. The early part of the MPS tends to be dominated by actual on hand customer orders whereas the later part of the schedule tends to be dominated by forecasts. MPS in produce to stock and produce to order firms Three elements of the MPS affected by the type of production system are a) Demand management b) Lot sizing c) Number of products to be schedule(product mix) Length of planning horizon of MPS The planning horizon in master scheduling may vary from a few weeks in some firms to more than a year in others. The dominant factor in deciding the length of planning horizon is that the planning horizon should at least equal the longest cumulative lead time required for the end product. Q. what measures do you suggest in implementing technology change? For several reasons the literature on how to design technology implementation processes appropriately has mostly focused on one of two outcomes: (a) satisfaction with technology and (b) willingness to use the technology which is typically discussed as technology acceptance and/or behavioral intention to use. THE SCIENCE OF DESIGNING NEW TECHNOLOGY IMPLEMENTATION

Several decades of research have helped to provide empirical evidence showing what types of design practices help to create technology implementation processes that are likely to promote end user acceptance and effective use of new technologies. Major contributions come from the studies of technology acceptance, technology implementation, and diffusion of innovations, organizational justice, participative decision making and technology /organisational change. Key research from these areas will be discussed to make the case that the Science of implementation does, in fact, exist and should be used to design technology implementation processes Organisational factors Organisational factors that have been found to predict end user technology acceptance focus on decisions made by management related to how a new technology will be Implemented Technology factors The technological characteristics most often studied and linked to technology acceptance are response time, flexibility, breakdowns or crashes, usability or ease of use, and usefulness. The last two have been the most thoroughly researched because they are both central to the technology acceptance model (TAM),2023 51 100104 the most thoroughly studied theory of technology acceptance. The concept of usefulness is not only determined by technological design but also by selection which is a management decision. Nevertheless, it is being categorized here as a technology factor because end user perceptions of usefulness are tied to the performance of the technology. DESIGN PRINCIPLES FOR SOUND NEW TECHNOLOGY IMPLEMENTATION PROCESSES The research reviewed can be translated directly into design guidelines for implementation processes. presents a matrix of guidelines together with the major predictors they affect. The assumption underlying the table is that the design principles presented will only positively affect the predictors of success if they are designed properly. As can be seen, most of the design principles can have a positive impact on most, if not all, of the predictors of acceptance. That does not mean that an organization can simply choose one of the principles that affect all of the predictors. Each of the design principles affects predictors through specific mechanisms so they are all important. Commitment of top management is the most crucial because it enables the resources for implementing each of the other principles provides a list of the design guidelines together with specific explanations of why each is important. Q. Discuss the concept of Make or Buy decision listing the considerations involved. This is very first step in process planning. It involves considering whether to make or some or all of a product or service. A manufacturing firm might decide to purchase certain parts rather than make them; sometimes the firm may buy all the parts from outsourcing and simply perform only assembly operations to produce the finished product. Buy decisions reduce or eliminate the need for process selection. At the completion of product design, the design department prepares the product design documents such as product structure tree, part lists, drawings for parts, components, sub-units and final assembly of the product. The process planning engineers are required to make the

important decision of make or-buy, considering a number of factors. Also required capacity of firm to produce the finished products depends on the make decision. In make or buy decision, the various factors usually considered are: AVAILABLE CAPACITY: if the firm has available capacity in equipments, necessary skills and time, it makes sense to produce an item so that the available capacity in equipments and skilled labour can be made use of. EXPERTISE: if the needed expertise is lacking in the firm, buying might be a better alternative. QUALITY CONSIDERATIONS: outside suppliers who specialise can usually offer higher quality products than what the firm can produce. But unique quality requirement or the desire to closely monitor the quality may cause a firm to decide to make. THE NATURE OF DEMAND: when the demand for a product is high and stable, it is better for them to produce the item rather than buy. Alternatively, when fluctuations in demand or small orders have to be handled, it is better to buy the item from multiple sources who are specialists. COST: any cost savings achieved from buying or making must be weighed against the preceding factors. Economic analysis of make or buy decision is based on break even analysis or economic batch quantity or economic order quantity concepts.

Apart from the above important considerations, the other non economic considerations could be: Availability of suppliers Desire to specialise in a particular field of manufacture. Control of design secrets. Availability of research and development facilities in house. Reliability of outside suppliers. Lead time for procurement v/s lead time for in-house manufacturers. Delivery schedules to be met. Employee preferences for particular nature of work.

Depending on the various considerations discussed above, managers are required to make decisions regarding (a) when to make and (b) when to buy. When to make? Some of the reasons that may lead the managers to decide to make a part component or a product in-house instead of buying are: Higher purchase price per unit of the item as compared to the per unit product cost if produced in-house. Assurance of timely availability because the firm does not have to depend on outside suppliers. Better control of quality on in-house operations. Need to preserve trade secrets and design secrets.

 Availability of the required facilities and capacities in-house. When to buy? Some of the reasons that guide managers to make a decision to buy an item from outside sources of supply are: When the purchase price per unit of the item is lesser than the per unit product cost if made in-house. When the firms requirement of an item is low and does not justify investment on special purpose equipments, machines and tools for manufacturing the item in-house. When the outside suppliers hold a patent on the needed item. When opportunity cost of producing is much higher than that of buying. When there is no problem of trade secrets or design secrets for the buying firm. When the item does not have a long term requirement. CONCLUSION: The philosophy underlying the make-or-buy decision is: it would be very unusual that one organisation were superior to competition in all aspects of manufacturing or services.By buying outside , the management of the purchasing firm can concentrate its efforts better on its main mission or core competency. This approach can result in substantial downsizing and an expanded scope for purchasing in the process. With the world as a market place, the purchasing department is responsible to search for or to develop world class suppliers suitable for the strategic needs of the firm. Q. What are the different types of maintenance management and explain its features Introduction: Maintenance Management is concerned with planning, organising and directing the

resources in order to control the availability performance of the industrial plants to some specified level.It is a function supporting production function and is entrusted with the task of keeping the machinery, equipment and plant services in proper working condition.It also involves maintenance planning, maintenance scheduling , execution of maintenance activities(repair, breakdown and preventive maintenance)and also controlling costs of maintenance. Types of Maintenance Management: Organisation may use any or all the five type of maintenance. 1) Break down Maintenance or Corrective Maintenance: It occurs when there is a work stoppage because of machine breakdown.In this sense, maintenance becomes repair work. Repairs are made after the equipment is out of order-an electronic motor will not start, a conveyor belt is ripped,or a shaft has broken. In cases such as these, the maintenance

department checks into the difficulty and makes the necessary repairs. Role of the department is almost passive. Corrective Maintenance seeks to achieve the following objectives: a)To get equipment back into operation as quickly as possible in order to minimise interruption to production. This objective can directly affect production capacity, production costs, production quality and customer satisfaction. b)To control the costs of repair crews, including regular time and overtime labour costs. c)To control the cost of the operation of repair shops. d)To control the investment in replacement spare parts that are used when machines are repaired. e)To perform the appropriate amount of repairs at each malfunction. 2)Preventive Maintenance: Maintenance activities under taken before the machines or equipments fail. Aims to minimise the consists of; 1)Proper design and installation of equipment, 2)Periodic inspection of plant and equipment to prevent break downs before they occur, 3) Repetitive servicing, upkeep and overhaul of equipment,and 4) Adequate lubrication,cleaning and painting of buildings and equipment The key to all good Preventive Maintenance is inspection.Inspection should cover virtually everything , including production machinery,motors, controls, materials handling equipment, process equipment,lighting buildings and plant services. 3)Predictive Maintenance One of the newer types of maintenance that may be anticipated to gain increasing attention is called Predictive Maintenance.In this, sensitive instruments (e.g.,vibration analysers, amplitude meters, audio gauges, optical tooling,pressure, temperature and resistance gauges)are used to predict trouble. This will allow an extention to the service life without fear of failure. 4)Routine Miantenance: This includes activities such as periodic inspection, cleaning ,lubricationand repair of possibility of unanticipated or major break-downs Preventive Maintenance

production equipments after their service life Routine Maintenance may be classified as: 1)Running Maintenance: In which the maintenance work is carried out while the equipment is in the operating condition.

2) Shut down Maintenance: In which the maintenance work is carried out when the machine or equipment is out of service i.e;After shutting down the machine or equipment. 5)Planned Maintenance: Break down of a machine or an equipment does not occur in a planned manner but maintenance work can be planned well in advance. Planned maintenance according to a predetermined schedule is also known as scheduled or productive maintenance. It involves inspection of all plant and equipments , machinery, buildings in order to service overhaul, lubricate or repair before actual break down or deterioration in service occurs.

Features of Maintenance Management: 1)Proper identification of all items to be included in the programme. 2) Adequate records covering, volume of work,cost and so forth. 3) Inspections on a definite schedule-with standing orders on specific assignments. 4)Use of checklists by inspectors. 5) Use of repair budgets for major items of equipment. 6)An inspection frequency schedule may vary from as often as once every six hours to as little as once a year. 7) Adminstrative procedures that provide necessary fulfillment and follow up on programme. Q. What are the challenges faced by production/operation manager in the present global era? (10 marks) Production Managers run productions on behalf of the Producer and Line Producer. They help to determine the most efficient and economic way to schedule shoots, negotiate business deals for crews, locations and technical equipment, and make day-to-day production decisions to ensure that productions proceed smoothly. Production Managers are dynamic and highly self-motivated individuals. They should be excellent communicators, prepared to work very long hours, and able to react calmly under intense pressure. During production, Production Managers ensure that all bills are paid, that tasks are delegated properly, and that people work well together. Their responsibilities include: setting up and implementing financial monitoring systems; controlling production expenditure; monitoring and controlling the progress of productions; overseeing production paperwork, such as releases, call sheets, and daily progress reports; and liaising with the First Assistant Director on set, to ensure that the production schedule and departmental budgets are on target. Production Managers sign and authorize all purchase orders, and help the Production Accountant to prepare weekly cost reports. They make changes to the schedule and to the budget as required, and ensure that these changes are brought to the attention of all relevant personnel. Production Managers deal with any personnel problems or issues that may arise, and ensure that all Health and Safety regulations are adhered to.

Challenges of Operation Manager: There are many challenges faced by production manager in the field of operation management. Operation managers should equip him or her with varies issues and knowledge cross all the business function, not just the operation. To be a good operation manager, they must be able to understand the whole business flows, the products, the customers, the operation, the people and the technology. Understanding of various issues can make them deal better with various support group to improve the process and operations productivity and efficiency to the next level. Understand problem solving from technical point of view and able to discuss intellectually with technical parties for various operation issue and being participative. This is not strange that a lot of operation managers learn all trades before being promoted and a lot of them are well equipped to tackle technical issues. Another challenge that operation manager will face now is dynamic business environment and be able to adapt to the changes. In this competitive business environment, customer needs requirements, technology, government rules and regulation, product life cycle, financial market, economy and politics. As customers are the most important variables in the business, manager should understand them and react to fulfill what they expect constantly. Customers now are more demanding with better knowledge on product, quality requirement and pricing. Therefore, in order to compete with others, managers should position their products better with distinctive values against others in the market. Operation manager should think globally and act globally. Most of the business will develop rapidly only with international presence as we cannot rely on domestic market alone. Manager should understand what the international market needs and basic requirement in trade. Understand the other international culture and people can help operation manager to deal with global customers and vendors more effectively. Beside think global and give customer focus, operation manager also must be able to think outside the box with good problem solving skills when the needs arise.

Social responsibility may be new keywords in the modern management and an operation manager challenge is to do the business and maintain their social responsibility. While there is need to increase profits and returns for the shareholder, the action and activity from the operation must not result in bad impact for the community or social environment whether in the country or globally. Operation manager must maintain the needs to understand public and not doing harm to them for example, cheating, producing low quality products or affecting the safety and cleanliness of the environment. Justification of costs and budgets are also important to convince the top management that the operation department is being managed effectively. Operation managers are challenged to keep at minimum and constantly try to improve the cost even though there will be harsh decisions to take in order to satisfy the top management. Example: decision has to be made in headcount reduction, machinery performance enhancement, increase productivity, and manage the supply chain better etc. is essential although the action will be hard to be

accepted by all parties. All the budgets requested for operation department must also be justified that it will give potential good returns to the organization whether short or long term basis. In conclusion, the job of operation management is not simple and easy as before. There are challenges to face as they are working at high competitive, dynamic and global environment. Operation managers should equip with extensive of all round business operation knowledge, good educational background and able think globally. All the action should be justified with reasons in term of money value because in business what the top management wants to see is the financial returns. The challenges also exist to maintain a balance between the returns to the shareholder and the responsibility to the social environment. Q.Enumerate and explain the various major factors governing Plant Location. Meaning : Plant location is the function of determining where the plant should be located for maximum operating economy and effectiveness. Factors affecting plant location: To be systematic , in selecting a plant location, the entrepreneur would have to consider the following factors. They are: 1. Deciding on domestic and international location: The first step in plant location is to decide whether the facility should be located domestically or internationally. If the management decides on foreign location, the next logical step would be to decide upon a particular country for location. It is necessary bcz country across the world are vying with each other such as political stability, import and export quotas currency and exchange rate, cultural and economic peculiarities, etc. 2. Selection of a region: The selection of a particular region out of the many natural region of a country is the second step in plant location. a. Availability of raw materials: As a manufacturing unit is engaged in the convertion of raw material into finished products, it is very essential that it should be located in a place where the supply of raw material is assured at minimum transport cost. Plats that are nearness to the raw material offers following advantages: Reduced cost of transportation. Regular and proper supply of materials uninterrupted by transportation. Saving in the cost of storage of materials. b. Nearness to the market:

Since goods are produced for sales, it is very essential that the factory should be located near their market. A reduction in the cost of transporting finished goods to the market, the ability to adjust the production programme to suits the likes and dislikes of the consumers, provide after sale services, are some of the advantages. c. Availability of power: Power is an essential tool to run an industry. Coal, electricity, oil and natural gas are the sources of power. where coal is the source of power, the factory has to be located near the coal fields. industries using electricity have to be located at a place where electric powr is available regularly at cheap rates. d. Transport facilities: These are essential for bringing raw materials and men to the factory and for carrying the finished products from factory to the market.. e. Suitability of climate: The climate has its own importance in the locating a plant because of two reasons; first, there are certain industries which, bcz of their nature of production, require particular climate condition ;humid climate for cotton textile and jute. Such factories have to be located in places where humid climate are available. Secondly, climate affects labour efficiency, and such places do not attract industries. 3. Selection of community: Selecting a particular locality or community in a region is the third step in plant location. It is influenced by following factors: a. Availability of labour: An adequacy supply of labour at reasonable wages is essential for the smooth running and success of an organisation. The development of plantation industry in India has been due to among other things, the availability of labour at cheap rates. The labour required may be skilled or unskilled. It is the skilled labours which influences the plant location bcz unskilled labours supposed to be available everywhere, specially in our country. b. Civic amenities for workers: Besides goods working condition inside the factory, the employees require certain facility outside. Recreational facility such as, clubs , theatres, parks etc must be provided for the employees.sometimes in some cases they demand for schools for their children also. 4. Selection of the site: The selection of an exact site in achoosen locality is the fourth factor in plant location. a. Soil, size and topography :

For factories producing engineering goods, the fertility or otherwise of the soil may not be a factor influencing plant location. But for agro based industries, a fertile soil is necessary for for ensuring a strategic location. b. Disposal of waste; The problem of the disposal of efluents is common to many industries particularly chemical, sugar, steel and leather industries and braveries. The site selected for the location of the plant should have provision for the disposal of waste. There must be enough space for dumping of solid waste. For liquid waste, satisfactory sewer connection or a river or sea should be available. Conclusion; Whatever the reason, the selection of the location has to be made after considering all the above factors. It may be impossible to place abounds in all the facility that are required to start a factory but a search has to be made for a place which enjoys as many facilities as possible. Q. Write short notes on CRP, Quality circles? Also write the significance and characteristics of Quality circle? CAPACITY REQUIREMENT PLANNING (CRP) It is an effort to develop a match between the production plan production capacity of a company.CRP must be coordinated with MRP. Capacity requirements planning are conceptually comparable with material requirement planning. The current and planned manufacturing orders from the materials requirements planning provide the input for the detailed production line planning. The required capacity is compared with the available capacity per productions line (machine). The capacity requirements planning spots at an early stage, where and when utilization problems will occur, so that preventive/alternative measures may be taken. If is impossible to solve these problems, then the MRS must be adjusted. ESTIMATION OF CAPACITY REQUIREMENTS Capacity requirements can be estimated in two ways 1) One possibility is to forecast the needed productions capacity directly from the master productions schedule such a forecast is usully not very accurate since the inventory status of different items is not taken into account. In general, this is denoted rough cut capacity planning (RCCP).it is more accurate to estimate the capacity requirements after carrying out complete MRP calculations. This is usually denoted capacity requirements planning (CRP). 2) While choosing the master schedule, the capacity requirements are estimated by rough cut capacity planning. After choosing the master schedule and going through the MRP

calculations, a more accurate estimate is obtaining from capacity requirements planning .if there are large deviations between these two estimates of the capacity requirements it may be necessary to go back and adjust the master schedule. The objective of CRP is to ensure that sufficient capacity is available where and when it is needed to accomplish planned production. Without materials, production capacity is idle, and without productive capacity, materials are idle. To plan capacity, an operations manager needs to coordinate CRP with MRP I INPUTS OF CRP 1) Open order file : An open shop order appears as scheduled receipts on the material requirements plan. It is triggered for the release of quantity of a part to be manufactured and completed on a specific date that contains information about the quantities, due dates and operations. The open order file is a record of all the active orders and contains the following data by part number and work order: i) Order due date ii) Order quantity iii) Operations completed iv) Operations remaining 2) Planned order releases: Planned order releases are inputs to CRP in assessing the total capacity required for the future time period. The data includes the following: i) Planned order release date ii) Planned order receipt date iii) Planned order quantity 3) Routing file: Routing is typically used as shop travellers that accompany the work from start to finish. The necessary details of how to manufacture an item are found in routing file. Routing file contains the following information: i) operations to be performed ii) sequence of operations iii) work centers in which the operations should be performed. iv) Possible alternative work centers v) Tooling needed for each operation vi) Setup times, and runtimes per piece vii) Operators skills viii) Inspection, operations and testing requirements 4) Alternative routing : the standard routing for an item is its primary routing. An item can also have one or more alternative routings, which describe additional methods of manufacturing the same item. Alternative routings are used when the primary routing is not available. 5) Work center file : a work center as defined by APICS dictionary is a specific production area, consisting of one or more people and/or machines with identical capabilities that can be considered as one unit for the purposes of capacity

requirements planning and detailed scheduling. A work center is composed of a number of machines or workers capable of doing the same work. A work center can be any of the following: i) Functional work center ii) Flow type work center iii) Group type work center iv) Group project work center 6) Shop calendar: The calendar contains information about the number of working days available. CRP OUTPUTS Work center load profile and report: A load report is a comparative analysis of the expected versus actual capacity usage in the department or at a work center. The work center load reports show future capacity requirements based on the released and the planned orders for each time period on the production plan. QUALITY CIRCLES: MEANING A quality circle is a completely voluntary group of 6 to 8 workers of a shop or who meet regularly during company time once every fortnight or every month under the leadership of a trained foreman or section head to examine work-related problems that affect the quality of output and to recommend to the management possible solutions to those problems. The foreman for this purpose are trained in advance in basic statistical and problem solving techniques as well as in handling groups. The motivation to form such a group comes solely from the workers desire to do something creative. Nobody is paid to join, nobody is forced to join, and nobody is penalized for not taking part. The circle, once formed, sets its own terms of reference, selects its problems (and not individual grievance) and presents its recommendations for their solution. CHARACTERISTICS OF QUALITY CIRCLE 1) Its is a philosophy as against technique i) It harmonizes the work ii) It removes barriers of mistrust iii) It makes workplace meaningful iv) It shows concern for the total person 2) It is voluntary 3) It is participate 4) It is group activity 5) It has managements support 6) It involves task performance 7) It is not a forum to discuss demands or grievances 8) It is not a forum for management to unload all their problems

9) It is not a substitute for joint-plant councils or work committees 10) It is not a panacea for all ills. SIGNIFICANCE OR NEED FOR QUALITY CIRCLES The need for public and private businesses to improve quality of services is no longer an option but a necessity. Since the early 1960s businesses across the Globe have been searching for ways to improve overall operational efficiency. This trend has been more heightened with the onset of free open trade and Customers demanding so much more for their dollars. Some organisations have successfully implemented the use of quality circles as part of an ongoing improvement programme. Others have experimented with quality circles with the best intentions and faced several obstacle, but what is true is that this type of participatory management brings several benefits to all concerned. Q. Discuss the concept of Line balancing: Production Line Balancing Line-balancing strategy is to make production lines flexible enough to absorb external and internal irregularities. There are two types of line balancing, which we have explained as

Static Balance Refers to long-term differences in capacity over a period of several hours or longer. Static imbalance results in underutilization of workstations, machines and people. Dynamic Balance Refers to short-term differences in capacity, like, over a period of minutes, hours at most. Dynamic imbalance arises from product mix changes and variations in work time unrelated to product mix.

Labour Balancing and Assignments Strategy of production line stability is the tendency for labour assignments to be fixed. Labour feasibility is an important feature in the strategy of production line flexibility linked to individual skills and capabilities

When one worker is having problem in performing his assigned task and experiencing delay due to technical problem(s), other worker(s) should move into help. The management practice of deliberately pulling workers of the line when the line is running smoothly. The movement of whole crews from one dedicated line to another as the model mix changes. Group Technology In which one worker can handle variety of tasks (automation) in a single work centre.

Equipment Balancing

While balancing equipment, attempt to ensure that each piece of equipment in the work cell has the same amount of work. Now days every manufacturer is attempting to maximize the utilization of all available equipments. Such high utilization is often counterproductive and may be the wrong goal because; high utilization is usually accompanied by high inventory. Equipment Failure An equipment failure is a major serious matter, with the potential to shut down a production line. To avoid such failures one should not overload the equipments, and workers should be trained to perform a daily machine checking (preventive maintenance) and following standard operating procedures. The advantage for Maintenance and Engineering Department does not lye in running late shifts, hence calculate the preventive maintenance time and schedule the activity. Analysis Analysis is generally performed by Competent Technical Staff. Begin the analysis with division of production-line work into small tasks, determination of task time standards, specification of required task sequencing and notation of constraints. If bottle neck task is in the way of good balance, the Competent Technical Staff should analyze the task to reduce the time it takes to perform. Line Balancing Leadership Workmen should lead the production line balancing effort, so that they can react quickly when line imbalances (static and dynamic) crop up as a result of changeover to make a different item or changes in the output rate. Conclusion Production-line balancing study tends to employ thought and ingenuity to change conditions. Production-line design and operation is more art than science. Labour flexibility is the key to effective resource management. The idea of workers checking and doing minor repair work on their own equipment possibly decreases the risk of equipment failure. Selecting an appropriate set of balancing mechanism is a part of work cell design and it must be linked with many other decisions for the system to function well. Q. List and Explain the Method Study Procedure?-------------10 Marks Method Study procedure : Meaning and Definition of Method Study: Work method analysis or Method study is a scientific technique of observing, recording and critically examining the present method of performing a task or job or operation with the aim of improving the present method and developing a new and cheaper method. It is known as

methods improvement or work improvement. It encompasses the study of work processes, working conditions and equipments and tools used to carry out the job. According to British standard Institute, Method study may be understood as the systematic recording and critical examination of existing and proposed ways of doing work, as a means of developing and applying easier and more effective method and reducing costs. Method Study Procedure: The various steps involved in method study are as follows: 1) Select: There are three factors that should be kept in mind while selecting a job: i) Economic considerations: It is obviously a waste of time to start or continue a long investigation if the economic importance of a job is small or if it is one that is not expected to run for long. Questions that should always be asked are:Will it pay to begin a method study of this job? or will it pay to continue this study? Obvious choices for study are: a) Key profit-generating or costly operations or ones with the largest scrap/waste rates. b) Bottlenecks which are holding up other production operations or lengthy operations that consume a great deal of time. c) Operations Involving repetitive work using a great deal of labour and ones that are likely to run for a long time. d) Movements of material over long distances between Workstations, those involving the use of a relatively large proportion of labor of which require repeated handling of material. One of the easiest techniques that can be used to identify key operations as listed in i) above is the Pareto analysis. ii) Technical or Technological Considerations: One of the important considerations is the desire by management to acquire more advanced technology, whether in equipment or in processes. Thus management may want to computerize its office paperwork or its inventory system, or to introduce automation in the production operations. Before such steps are taken, a method study can point out the most important needs of the enterprise in this respect. For Example, if paperwork leaves much to be desired and a good deal of unnecessary or unwarranted information or processes exist, computerizing the same method or work will do nothing much to improve the efficiency of the office. A common term used by information systems specialists in this case is Useless material in, yields useless materials out. The only thing that changes in this case as a result of computerizations is that the same unneeded information will be produced at a higher rate. If, on the other hand, computerization is preceded by a method study, the process is then simplified a priori.The type of information needed is determined more clearly and even decisions on the choice of hardware and software are made more rationally.

iii) Human consideration: certain operations are often a cause of dissatisfaction by workers. They may induce fatigue or monotony or may be unsafe or clumsy to operate. The level of satisfactions should point to a need for method study. Thus an operation which may be perceived as effective by management may, on the other hand, generate a great deal of, resentment by the workforce. If such operations are addressed by work study specialists as part of an overall work study programme, the benefits of work study can become more apparent to the workforce. The work or job to be studied and define the objectives to be achieved by method study. The job selected to have maximum economic advantage, shall offer vast scope for work improvement through reduction of excessive materials handling and fatigue of workmen, offer scope for improving conditions and improving the utilizations of resources. 2) Record: The next step in the basic procedure, after selecting the work to be studied, is to record all the facts relating to the existing method. The success of the whole procedure depends on the accuracy with which the facts are recorded, because they will provide the basis of both the critical examination and the development of the improved method. It is therefore essential that the record be clear and concise. Recording serves essentially as a basis for subsequent analysis and examination. It is not an end in itself .Recording may be carried out in two phases. i) A rough sketch or charting of the job being studied to establish whether the recorded information is of use; and, ii) A more formal and accurate chart or diagram to include in a report or presentation. All the relevant facts or information pertaining to the existing method are recorded using the recording techniques such as i) Process charts a) Outline (Operation) process chart/ operation process chart. b) Flow process chart-material type, man-type and machine type/Equipment type. c) Two handed process chart. d) Multiple activity chart/Man-machine charts. e) Simultaneous motion chart (SIMO chart). ii) Diagrams such as a) Flow diagram b) String diagram c) Travel chart

3) Examine: The recorded facts critically, challenging everything being done and seeking alternatives, questioning the purpose( what is achieved?), the means (How is it achieved?),sequence(when is it achieved?),place (where is it achieved?), and the person (who achieves it?). 4) ImproveWork /Develop: Develop the improved method by generating several alternatives and selecting the best method. The factors to be considered while evaluating alternatives and selecting the best method are: i) Cost of implementation. ii) Expected savings in time time and cost. iii) Feasibility. iv) Produceability. v) Acceptance to design, production, planning and control, quality control, production and sales departments. vi) Reaction of employees to the new method. Vii) Short term or long term implication of the alternative. Establish the new method by providing suitable equipment design ,mechanical aids, jigs and fixtures, tools, working conditions, material handling equipments, workplace layout and work, planning and control techniques. 5) Evaluate: Different alternatives to developing a new improved method comparing the cost-effectiveness of the selected new method with the current method of performance. 6) Define: The new method , as a result , in a clear manner and present it to those concerned ,i.e., management supervisors and workers .Once a decision has been taken on the changes in method to be adopted, it is important that the new method should be strictly defined. For all jobs other than those performed on standard machine tools or specialized machines where the process and methods are virtually controlled by the machine, it is desirable to prepare a written standard practice, also known as an operative instruction sheet. This serves several purposes: i) It records the improved method for future reference, in as much detail as may be necessary. ii) It can be used to explain the new method to management, supervisors and operatives. It also advises all concerned, including the works engineers of any new equipment required or of changes needed in the layout of machines or workplaces. iii) It is an aid to training or re-training operatives and can be used by them for reference until they are fully conversant with the new method.

iv) It forms the basis on which time studies may be taken for setting standards, although the breakdown by element will not necessarily be the same as the breakdown by motion. 7) Install: Before installing the new method procedure, it may be tried out experimentally for a short period to see if there are any difficulties in its implementation. Once the method has been tested and found successful, it is ready for installation. Install the improved (new) method in three phases planning, arranging and implementing the phases. In the first two phases, the programme of installation and a schedule (I.e., time table)are planned and necessary requirements such as resources ,equipments ,tools, operating instructions to workers are provided. The implementation phase involves the introduction of the developed method as standard practice to achieve the desired results. Installation will require the active support of all concerned, and is by no means simple. Throughout the course of study, the opportunity should have been taken to develop good working relationship and get the cooperation of the people who will be directly concerned by the changed methods. An opportune movement must be selected for installing the new method after adequate preparations have been made. This would include finding alternative takes for clerical workers who may be displaced as a result of changes. It may also involve training or retraining of the personnel in the new method.

8) Maintain: Maintain the new method by ensuring that the installed method is functioning Well. This is done by periodic checks and verifications at regular intervals. Proper control Procedures are used to ensure that the new method is practiced to achieve the benefits Of method study and also o achieve higher productivity. Once the new procedure has been installed, it should, reviewed from time to time, to see if Any changes have crept in without anybodys notice. Reasons for any variations in method Must be investigated. Where changes have occurred due to valid reasons, such changes can be accepted, and the operating instructions modified accordingly.However,if the changes are undesirable , suitable measure should be taken from a higher level to see that the methods are brought back to the authorized procedure. Such changes may otherwise cause inefficiency and duplication of work. It is especially important to see that the improved method is not gradually changed back to the original method through force of habit. Any procedure which has been in existence for more than five years needs re-study.