Question Paper

Exam Date & Time: 11-Jan-2020 (09:30 AM - 12:30 PM)

REVA UNIVERSITY
Productions and Operations Management [M18MB3513]
Marks: 100 Duration: 180 mins.

UNIT I
Answer 1 out of 2 questions.

1) What is "Make or Buy" decision? Explain with an example. (5)

a)
b) A firm produces single product and its selling price is Rs.40.Its variable cost per unit is Rs.32.Its fixed cost are Rs. 2,40,000. (5)
What is the Break Even point in terms of units and sales?
c) Mr. Sachin plans to sell a soldier toy at international trade fair. He may purchase these toys at Rs.7 per unit with the (10)
privilege of returning all unsold toys. The counter at the fair will be available at rental value of Rs.2800 payable in advance.
The toys will be sold at Rs.12 per unit. How many toys will be sold to Break Even?
2) Enumerate the uses of Break Even Analysis. (5)

a)
b) Define Break Even Analysis in terms of physical units. (5)
c) Three production process Automated (A), Cellular manufacturing (C) and Job shop (J) have the following cost structure. (10)

a) What is the most economical process for a volume of 10,000/year?

b) At what volume would each of the process be preferred?
c) What is the annual break even quantity for the automated process, if the product is sold at Rs.14/unit?
UNIT II
Answer 1 out of 2 questions.

3) Explain Delphi technique of forecasting. (5)

a)
b) Explain the tracking signal. (5)
c) Define simple moving average and weighted moving average and obtain the same for the following data by determining the 3 month, 5 (10)
month and 7 month moving average and also calculate the weighted moving average for 3 month period given the Wi's for i: 1 to 3 as
0.5,0.3 and 0.2 respectively the weights.

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4) Explain the importance of forecasting in production and operations management. (5)

a)
b) Enumerate the various monitoring and controlling models. (5)
c) From the following data calculate the Absolute percentage error from June to Dec and Mean absolute deviation and the Mean Absolute (10)
percentage error of the forecast error of the end Dec.

UNIT III
Answer 1 out of 2 questions.

5) Enumerate the various factors influencing Plant location. (5)

a)
b) Explain the LOAD DISTANCE method of Facility location with an example. (5)
c) Explain the center of gravity location model and solve the same for the following data to obtain a new showroom positioning for the (10)
automates

6) XYZ Company is evaluating four locations for a new plant and has weighted the relevant scores as given below. The scores have been (5)
assigned with higher value indicative of preferred condition. Using these scores, develop a qualitative factor comparison for the four
a) locations and identify the best location in terms of this

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 b) Differentiate between warehouse and service operations. (5)
c) The new Health-care facility is targeted to serve seven census tracts in Bengaluru. The table given below shows the (10)
coordinates for the centre of each census tract, along with the projected populations, measured in thousands. Customers will
travel from the seven census tract centre s to the new facility when they need health- care. Two locations being considered for
the new facility are at (5.5, 4.5) and (7, 2), which are the centers of census tracts C and F. Details of seven census tract
centers, coordinate distances along with the population for each centre are given below. Find the target area's Centre of
gravity for the Health-care medical facility.

UNIT IV
Answer 1 out of 2 questions.

7) Enumerate the objectives of work study. (5)

a)
b) Explain the following terms. (5)
a) Motion study b) Micro Motion Study
c) Explain the work measurement techniques. (10)
8) Explain the variables affecting the labor productivity. (5)

a)
b) A work sampling study is to be made of a typist pool. It is felt that typists are idle 30% of the time. How many observations (5)
should be made in order to have 95% confidence that accuracy is within ± 4%. Given c = 2 constant dependency on
confidence level.
c) An 8 hours work measurement study in a plant revealed the following (10)
a) Units produced 320 nos. b) Idle time = 15% ,c) Performance rating and d) Allowance time =12% of Normal Time
Determine the operating time and the standard time
UNIT V
Answer all the questions.

9) SSS is a medium size manufacturer of oil field pumps, the firm has developed a model of its high pressure pumps with improved (20)
performance. The firm should make or buy the new pump based on the following data.

a) Should the firm make use of Process A,B or Buy

b) At what volume should the firm switch from buying to making process A

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