Operations Management

MASTERS OF BUSINESS ADMINISTRATION

(2019-2021)

Submitted to: Dr. Rajwinder Singh Submitted by:

Amanpreet Kaur
MBA-1st year sec-B
Roll no.19421065

SCHOOL OF MANAGEMENT STUDIES

PUNJABI UNIVERSITY PATIALA
Q 1. Explain plant layout methods in detail.
Ans: Plant layout, also known as planning and layout facilities, deals with the organized and
proper organization of manufacturing facilities and the use of available resources, including
people, capital, equipment, tools, materials, and production methods inside the facility. Smooth
and quick flow of material is the essence of an ideal production facility.

Methods of plant layout:

A layout furnishes the building specifications for housing, different facilities (such as staff,
supplies, machinery, etc.). Additionally, it incorporates various aspects of production system
architecture. The information needed for the layout of the plant
includes workplace measurements, sequence of operations, material flow pattern, space for
raw material storage. Inventory of in-process and finished products, warehouses, toilets etc.
There is no single standardized technique leading to the best configuration; the various
techniques may be used individually or in combination with other techniques at specific stages
involved in the construction of the plant or factory.
During the development stages of layout following methods may be used:

1.Process flow chart:

They demonstrate, in sequence of operations, how different component parts assemble
to form sub-assemblies which in turn lead to assemblies (finished products).

2.Material movement patterns:

The materials-in-process flow pattern is traced, and architecture is developed around it.
3.Layout analogues:
They cover two-dimensional cutouts or templates and three-dimensional models.

a. Templates: They're used for plant layout production. They are two-dimensional or
block models composed of carton, colored paper, or celluloid. They are made to scale,
and are placed on the building's scaled outline plan. Templates or customs show the
different facilities and the building plan. They demonstrate the actual use of the floor
space. The temples may be placed and positioned either on a board or on a cross-
hatched surface or on a graph paper with a tape and thus be known as graphic
technique. Such models have versatility in themselves and can be shifted from place to
place on the graph paper type to determine carious feasible positions for different
machines.

A two-dimensional template gives machine outline and its details whereas block templates
shows the boundary of the maximum projected area of the machine.

b. Three-Dimensional model: These are a facility's scale models, and these are similar
to the actual circumstances because they often display the facility's height in addition to
length and width. Models made of plastic made from wood or deice. They view minor
details and can be placed on a thick plastic sheet which acts as the floor plan. Models are
primarily used for drawing up floor plans and elevations. Models can be produced for
production machinery, staff, material handling equipment or any other facilities. Models are
far more effective and quicker than models or prototypes, especially when designing multi-
story plant layouts.

4. Correlation chart: It includes drawing a grid of alternative solutions provided in rows.

Plant products may be multi-storey building ground floor, first floor or other floors.

5.Travel chart: A travel chart, as the name implies, is a map or record of how far the
material is traveling in motion when going from machine to machine one type to another
department. The amount of travel depends on the frequency of movements between parts
or travel map divisions helping to improve the current layout of the factory.

6.Lord path matrix method: This approach seeks to common the transport of section to
section of the in-process product type. Like the travel map, it also helps to decide the
 location of one preliminary model of the plant made using other techniques. The
departments which have mass material or products flow are located next to each other.

Q2. Explain Operations competitiveness with the help of suitable

example.
Ans: Competitiveness:

How effectively an organization meets the wants and needs of customers relative to others
that offer similar goods or services. Companies must be competitive in market place selling
their goods and services. Competitiveness is an important element in deciding whether a
business is flourishing, barely getting by, or struggling. Business companies compete by a
variation of their roles in marketing and operations. Marketing influences competitiveness in a
number of ways including identifying consumer needs and wants, pricing, and advertising and
promotion.

Operations have a significant impact on productivity through product and service design,
expense, venue, price, response time, efficiency, management of inventories and supply chain,
and operation. Both of those are interconnected.

1. Product and service design: will represent the combined efforts of many of the
Company's areas to balance financial resources, organizational capabilities, supply chain
capabilities and customer needs. Special features or attributes of a product or service
may be a key factor in customer buying decisions. Other key factors include innovation
and the timing of new products and services to market.

2. Cost: a main element influencing pricing decisions and income is the performance of
an organization. Cost-reduction efforts in corporate organizations are usually continuing.
Productivity (debated later in the chapter) is a significant cost determinant. Organizations
with higher productivity levels have a competitive cost advantage over their rivals.
 To achieve lower costs, higher productivity or better quality, a business can outsource a
portion of its service.

3. Location: can be essential to the customers in terms of cost and convenience.

Position near to the inputs will lead to lower input costs. Locating close to customers will
result in lower freight costs and faster delivery times. Practical position in retail sector is
especially significant.

4. Quality: refers to materials, fabrication, design, and service. Consumers judge quality in
terms of how well they think the intended intent of a product or service is achieved. In general,
consumers are willing to pay more for a product or service if they believe that the product or
service is of a higher quality than a rival.

5.Quick response: can be a competitive advantage. One approach is to bring new or

improved products or services to the market quickly. Another can offer current goods and
services to a customer quickly after they are ordered, and yet another can manage consumer
complaints quickly.

6. Flexibility: is capable of responding to changes. Changes can relate to changes in the

design features of a product or service, or the volume customers need, or mix of organization's
products or services. High versatility in a changing environment can represent a competitive
advantage.

7. Inventory management: could be a competitive advantage if stocks of goods are

efficiently matched to demand.

8. Supply chain management: coordinates internal and external activities (buyers and
suppliers) with a view to ensuring timely and cost-effective distribution of products through the
network.

9. Service: Customers may view after-sales activities as value-added, such as distribution,

setup, warranty work and technical assistance. And it may require extra care when research is
underway, such as courtesy, keeping the client updated, and care to information. Quality of
service can be a crucial differentiator; and it is also a sustainable one. In addition, companies
highly rated for service quality by their customers appear to be more profitable, and grow
faster, than businesses not highly rated.

10. Manager and workers: People are at the heart and soul of an enterprise, and if they
are knowledgeable and inspired, their skills and ideas will provide a distinct competitive
advantage. One ability that is frequently ignored is answering the call. The way complaint calls
or information requests are handled may be a positive or a negative one. If a respondent is rude
or unhelpful, that can produce a negative picture. Conversely, if calls are treated quickly and
cheerfully, this can create a good picture and a competitive advantage, theoretically.