Professional Documents
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SESI 2018/2019
(FINAL EXAMINATION SEMESTER I
2018/2019 SESSION)
Process X
Facilities are organized around specific activities or processes
General purpose equipment and skilled personnel
High degree of product flexibility
Typically high costs and low equipment utilization
(i) Propose the Process Strategy for Process X. Justify the proposal.
(8 marks)
(ii) What is the main challenge for Process X from Operation
Management perspective?
(2 marks)
(c) Service blueprint is a process analysis technique that focuses on the
service provider’s interaction with the customer. Describe the activities at
level 2 and level 3 of service blueprint.
(5 marks)
2
2. A global clothing chain is considering two different locations for a new retail
outlet, Kuala Lumpur or Bangkok. The organization has identified the four
factors listed in the following table as the basis for evaluation, and it has assigned
weights as shown. The manager has rated each location on each factor, on a 100-
point basis (higher scores are better), as shown under the respective columns for
Kuala Lumpur and Bangkok.
Table 1: Location evaluation
Rating
Factor Factor Description Weight Kuala
Bangkok
Lumpur
Average community
1 0.40 75 70
income
Community growth
2 0.25 60 80
potential
Availability of public
3 0.15 45 90
transportation
4 Labor cost x 80 60
(a) State the main difference between location strategy for service and
manufacturing industries.
(6 marks)
(b) Which site should be chosen? Justify your answer.
(10 marks)
(c) Is there any concerned on the weight sensitivity of this solution? Justify
your comment.
(4 marks)
3
3. (a) K-Chips Sdn Bhd, maker of superfast dram chips located at Pasir Gudang,
has organized its 10 inventory items on an annual Ringgit-volume basis. The
stock number, annual volume, unit cost, annual Ringgit-volume and
percentage are shown in the following table. The company would like to
categorize the inventory items based on ABC analysis method.
Table 1: K-Chips Sdn Bhd Inventory
4
4. (a) Scheduling decision is to address the problem of matching productivity to
fluctuating demands. Figure 1 illustrates the forecast MyKits Sdn Bhd Sdn
Bhd.