University of Economics

Department of Management Studies

Online MBA programme

MBA-121 Production and Operations Management

Assignment I

Name: Khin Chaw Su Kyi

Student ID: 200215
Submission Date: 27/07/2022

1
 Assignment I

I. Focus on Chapter-1 and 2

(a) How do you understand the terms shown in Figure 1.3: Transformed resources, input
resources, transforming resources, transformation process, output products and
services and customers?
(b) Refer to the Figure1.3 on Page-11 of prescribed text. Critically analyze the practical
“transformation process” of a manufacturing and service firm in Myanmar. Then,
develop the transformation process of this organization.

Answer No - 1 (a)

By looking at the Figure 1.3, I understand that it is a step-by-step transformation, that starts with
input resources by using transforming resources and transformed resources. In this process,
transformation process is big deal and the outcome will be ready to end user or customers as
products and services and this is called “input-transformation-output” process.

All operations in an organization produce goods and services by changing inputs into outputs
using input-transformation-output processes. Operations are processes that take a set of input
resources which are used to transform themselves, into outputs of products and services.

As the name implies, transformed resources raw materials that undergo transformation to be
converted into forms desired by the markets. Thus, whether it is end products or the raw materials,
both classify as transformed products. For example, labour, energy, machinery, technology,
materials, information. Transformation adds greater value to these resources.

Inputs are any resources used to create goods and services. Input resources are usually classified
as: transformed and transforming resources. Examples of inputs include labor (workers' time), fuel,
materials, buildings, and equipment.

2
Transforming resources are items or things that are needed to convert raw materials into
products that are in shapes required by the end consumers. Buildings, machinery, hardware,
software and all other paraphernalia that is used for this purpose comes into the category of
transforming resources.
A transformation process is any activity or group of activities that takes one or more inputs,
making changes to it, adding value, and producing outputs for consumers or clients is referred to
as the transformation process. Transformation processes include changes in the physical
characteristics of materials or customers, changes in the location of materials, information or
customers. Several different transformations are usually required to produce a good or service.
The overall transformation can be categorized into:
 manufacture the physical creation of products e.g. cars
 transport the movement of materials or customers e.g. a taxi service
 supply change in ownership of goods e.g. in retailing
 service the treatment of customers or the storage of materials e.g. hospital wards, warehouses

The output products and services in the input-transformation-output processes may be in the
form of either goods or services or can be both goods and services. One thing to keep in mind is
that products and services are closely aligned. A product is a tangible item that is put on the
market for acquisition, attention, or consumption, while a service is an intangible item, which
arises from the output of one or more individuals.
Customers can be both inputs and outputs in the input-transformation-output model. Operations
Management focuses on providing quality products or services to the customers by transforming
input into output. So, it can be determined that, operation management is even customer-
oriented approach. Afterall the customer is the sole purpose of any organization and without
customers the organization would not exist.

Answer No - 1 (b)
In this answer, a car manufacturing industry has been chosen as an example of a practical
“transformation process” of a manufacturing and service company in Myanmar. Although it is
not my field of work, I chose GOLD AYA Motor International Co Ltd car manufacturing
business as a case study because I have done detailed research to buy a car. This car factory is
situated in Myotha industrial zone in Ngazun township, Mandalay Region and arrogantly
produce the brand “CHANGHE” SUVs, MPV’s and Vans type.

A transformation process of automobile industry is also a group of activities that takes one or
more inputs like raw materials, technicians, tools and equipment making changes to it, and
producing car for customers or dealer is referred to as the transformation process. In car
manufacturing, transformation process turns into the physical transformation.
Quality of inputs are crucial role in this transformation process. In automotive industry, types of
raw materials like tires, spare parts, engine parts, vehicles, oil, lubricants, aluminum, steel,
plastic, copper, glass, rubber and cloth are critical and skilled labours like technician and

3
management team also plays an important role. Moreover, financial resources are mandatory in
this transformation process.

Each car manufacturer has its own process, but GOLD AYA has outlined standard according to
the International Organization of Motor Vehicle-OICA of making a car, from gathering raw
materials to displaying the car on the sales floor. These steps are in transformation process.

Step 1: Raw steel converted into panel. Inner and outer panel joined together to make a door.
Other steel panels are also designed.
Step 2: A Uni-body is designed through different body panels in Welding Shop.
Step- 3: After Uni-Body is ready it is transferred to the paint shop.
Step-4: Then the body in white is prewashed, degreased, A phosphate coating is done,
electroplating is done.
Step-5: The Body is now painted in a Specific color and the baked in the paint shop.
Step-6: At the end all Tires, fuel tank, wiring harness, doors, front suspension, dashboard, seats,
steering wheel, tires, gear box, engine and other components are set in the colored body.
Step-7: Final finishing and test drives are done.

A car is very different from the beginning to the final output. Its outcomes are regarded as both
product or services, as everyone knows, the utility models are numerous. It can be observed as
physical or chemical transformation for car manufacturing because it can used in chemical
processing and oil refining. It is useful in the airline companies, trucking, companies, package
delivery services and it is called locational transformation. It can also develop to store while
transferring money from bank to bank and also use for warehouse operation. Transformation
into school bus, ferry for colleges and universities. It also transforms as physiological needs as
hospital and healthcare institutions.

4
The transformation process of “CHANGE” car production guarantee for ecofriendly as factory
does not produce waste, not any air and water pollution and no effect for environment.
Meanwhile it is thinking in local, linking in global in near future. So, I think that is an obvious
example of the transformation process from detail inputs transformed into a vehicle for human
utility in all human activities for society.

II. (a) Explain the five operations performance objectives.

(b) How would you measure the quality and dependability of a private bank? (You can
refer to Figure 2.5).

Answer No - II (a)

(a) organization’s operations require a well-defined set of performance objectives. There

are five basic performance objectives that apply to all types of operations. They are quality,
speed, dependability, flexibility, and cost. These five points have internal and external
implications, which are usually matched.

Quality is the set of characteristics that demonstrate the ability of goods and services to satisfy
certain needs. Given the fact that human needs are unlimited, it is nearly impossible to come up
with a single definition of quality. There exist different definitions, because the conception
of quality differs from one person to another and because quality is multidimensional.

Speed means the duration between customers requesting products or services and their receipt of
them. The main benefit to the operation’s customers of speedy delivery of goods and services is
that the faster they can have the product or service, the more likely they are to buy it. Fast
response to external customers is greatly helped by speedy decision-making and speedy
movement materials and information inside the operation.

Dependability means doing things in time for customers. Exactly when they are needed or at
least when they were assured. Customers might only judge the dependability of an operation
after the product or service has been delivered. Through time, dependability can override all
other criteria. Operations where internal dependability is high are more effective than those
which are not, because dependability saves time, money, and gives stability to the operations.

Flexibility means being able to change the process or outcome in some way. Being able to
change for enough and fast enough to meet customers’ requirements gives a flexibility
advantage. Customer prefer product/ service flexibility, mix flexibility, volume flexibility and
delivery flexibility.

5
Cost may arguably play a decisive role. Low Cost is a universally attractive objective. The
lower the cost of producing their goods and services, the lower can be the price to their
customers. Even those companies which do not compete on price will be interested in keeping
costs low. The ways in which operations management can influence cost will depend largely on
where the operation costs are incurred.

Answer No - II (b)

Figure 2.5. Quality means different things in different operations

There are the two important factors that give effects to the banking service; quality and
dependability. Those two issues of goods and services have become crucial today due to
increased consumer awareness. All banking activities, the outcomes of which are both tangible
and non-tangible, reliable on changes in technology and government regulations to be good
quality, service dependability and loyalty to banking industry.

As a bank user of private banks in Myanmar, I would measure the quality of the bank as follows
when studying operation performance-
1. Customers perceive the quality of a service by comparing and contrasting their
expectations before they get the service and their experiences after they get the service. If
their expectations are met, then the service provided is satisfactory.

6
2. The ways the service is delivered to the customer is very important for the customer
(example, the greeting and guidance you will receive upon entering the bank, clarification
of the banking process, assistance of the staff, waiting time, bank environment and
attitudes of other bank users)
3. The interaction between the customer and the firm’s representative and the effectiveness of
the firm’s problem-solving practices are of importance for the perception of quality.

Dependability means doing things in time for customers. Dependability of the bank can be
measured by following operation performance-
1. Customer satisfaction for their readiness in such a regular interest and other terms and
condition conforming as per the contract between bank and bank users.
2. High expectancy for ATM machine service in public area are exceedingly demand for
comfort way.
3. Customers distinguish the dependability for useful network of payment system in shopping
district and socioeconomic sectors.

During the COVID 19 Global Pandemic period, the quality and dependability of private bank
services decreased. Most of them lacked responsibility and were not able to overcome the
unforeseen challenges and were disorganized and had negative emotions. At a time of political
instability in early 2022, banks are again in trouble for the impact of rumors. At that time, I was
not satisfied that the policies, which are looking forward for the bank, are published daily and
are complicated. Recently, there are some relaxation, new incentives for bank users are
introduced again and the quality of the bank is being improved.

********************