UNIVERSITY EXAMINATIONS UNIVERSITEITSEKSAMENS UNISA lex PEIM91V May/June 2010 RPE191R PRODUCTION ENGINEERING: INDUSTRIAL | Duraton - 3 Hours 111 Marks EXAMINERS : FIRST. MR S CHIKUMBA SECOND MR K SITHOLE SS Use of a non-programmable pocket calculator is permissible. INSTRUCTIONS TO CANDIDATES 1 THIS EXAMINATION QUESTION PAPER CONSISTS OF FOUR PAGES AND ONE LOOSE ANSWER SHEET ALL CALCULATIONS MUST BE ROUNDED OFF TO 2"° DECIMAL, ALL WORKING MUST BE SHOWN |. ANSWER ALL QUESTIONS, . LIMIT YOUR ANSWER IN ACCORDANCE TO THE MARKS ALLOCATED FOR THE QUESTION aon Note: If you are of the opinion that insufficient information is given for you to answer a particular question, make a realstic assumption, motivate your assumption and then answer the question THIS IS A CLOSED BOOK EXAMINATION2 PEN91V/RPE191R MAY/JUNE2010 QUESTION 1 11 Define the term production and operations management (2) 12 Identify any two internal environmental factors that affect operations management decisions 2) 13. Identify any three decision areas in operations management @) 14 Differentiate between goods and services 2) 15 Explain three ways in which produetivity can be improved ) 16 The productivity measure of two financial years of assembled panels mn an auto manufacturer are shown below 2008 2009 Workers 145 190 ‘Assembled panels 190 000 245 000 Calculate the productivity for 2008 and 2009 @) 17 Explain the following terms 171 Mass customisation 2) 172. Primary business function 2) 173 Supply chain partnenng @ 18 Identify four competitive strategies a manager can implement to gain competitive advantage in the market place (4) [24] QUESTION 2 21 The Head of Industral Engineering at UNISA wants to forecast the number of students who will register for the industrial engineenng course year order to determine the schedule He has collected the following registration data for the past six years Year 2004 [2005 [2006 2007 [2008 [2000 ‘Students 550 [400 [350 480 [510 525 21.1 Compute a three year moving average for 2007, 2008 and 2009 @) 212 Use weights of 0 5, 03 and 0 2 to calculate the three year moving average for 2007, 2008 and 2008 (8) 22 Identify seven steps in quantitative forecasting ” [TURNOVER]3 PENSIWRPE1OIR MAY/JUNE2010 23 Motor Spares Shop has tracked the sales of a product over the last ten (10) weeks as. follows Penod [4 [2 [3 [4 16 [6 [7 [8 [9 [10 Demand | 24 [23 [36 [26 | 37 | 34 [23 [28 [29 [30 | Calculate forecast demand for week 4 using exponential smoothing with a of 0.4 given that the forecast demand for week 3 was 20 units (3) 118) QUESTION 3 31 Explain the term inventory management and identify the costs of inventory (8) 32 Precision Machine Shop uses 2500 brackets during the course of a year These brackets are purchased from a supplier 90 miles away The following information is known about the brackets Annual demand 2500 Holding cost per bracket per year R150 Order cost per order R18 75 Lead time 2 days Working days per year 250 321 Determine the economic order quantity? 3) 322 Given the EOQ, what would be the average inventory? What would be the annual inventory holding cost? @) 323 Given the EOQ, how many orders would be made each year? What would be the annual order cost? ) 324 Determine the total annual inventory cost 8) 325 What's the time between orders? @) 326 Determine the reorder point 3) [23] QUESTION 4 41 For each of the following products or operations indicate the most appropriate type of layout 411 Custom picture framing (1) 412.Chemical processing (ty 413 Construction of a subway tunnel (1) [TURNOVER]4 PENS1V/RPE191R MAY/JUNE2010. 41 4 Insurance claims processing ( 415A regional distribution (1) 4.16 Assembly of automobiles a 42 Aclothing chain is considering two different locations A and B for a new retail outlet The organization has identified four factors listed in the following table as the basis for evaluation and have assigned weights The manager has rated each location on each factor on a 100 point basis as shown in the right hand table Factor | Factor description weight [A |B 1 ‘Average community income [04 80_| 70 2 Community growth potential [025 [68/80 3 Transport availability 015 [78 | 90 4 Labour cost 02 50165, Calculate the composite score for each location hence identify the better side (10) [16] QUESTION 5 51 Identify any five tools of quality management 6) 52. Discuss the three major categories of costs of quality (9) 53. Explain any two principles or provisions of ISO 9000 (4) [18] QUESTION 6 A very simple product (A) consists of a base (B) and a casting (C) The base consists of plate (P) and three fasteners (F) There are currently 30 castings and 100 bases on hand Final assembly takes one week The casting has a lead time of three weeks All other parts have one week lead times There are no scheduled receipts All components are lot for lot The MPS requires 80 units of product A in week 5 and 120 in week 8 6 1 Draw the product structure (6) 6 2 Prepare a MRP schedule for the upcoming eight weeks using the template ” M12) Total Marks = 114 Full Marks = 114 © UNISA 2010' PEMSIV/RPE191R MAYJUNE2010 ANSWER SHEET (Hand in with your Script) sTupent NuMBER | _ 1D NUMBER [Period [ei 2 3 4 5 6 7 8 [Gross Requirements [Scheduled receipts (On hand from prior period INet requirements Enid [Planned order receipts. [Planned order releases [Gross Requirements [Scheduled receipts lOn hand from prior penod INet requirements [Planned order receipts [Planned order releases [Gross Requirements [Scheduled receipts lon hand from prior period [Net requirements [Planned order receipts [Planned order releases Icross Requirements [Scheduled receipts (On hand from prior period Net requirements [Planned order receipts [Planned order releases (Gross Requirements [Scheduled recespts {On hand from por period INet requirements [Planned order receipts [Planned order receipts ® UNISA 2010