Faculty of Economics and Business Administration

EXAMPLE Questions
Course : Code : Date Time Location Operations Management : : :

NOTE : This is not an entire exam Questions are stripped from old exams of a predecessor course 1. Project Management
Consider a project consisting of 4 activities A, B, C, and D with precedence relations as depicted in the figure below.
A Start B Finish C D

The time estimates for these activities, in days, are given in the table. Activi ty A B C D optimist ic 2 2 2 1 expecte d 3 3 5 2 pessimist ic 4 4 10 3

a. What is the critical path, the expected completion time of the project, and what is the worst-case completion time of the project? Assuming that everything works as expected, what is the slack of the activities? b. Using the PERT methodology, calculate the variance for all activities, and calculate the probability that the project is completed within 9 days. c. Critically discuss the outcome of the PERT methodology, using the above example. Also point out which of the (implicit) assumptions underlying the PERT methodology is violated.

2.
2a) Using the information given below, develop a complete MRP material plan. It takes one unit of B and two units of C to make one unit of A. At the beginning of time period 1, the following information is available:
Item ID A B C Quantity on Hand 100 150 80 Lead Time 1 2 1

The gross requirements of item A are 200 units for period 4 and 250 units for period 5.

Period Item A Cross requirement On-hand scheduled receipts Net requirement Planned order releases 1 2 3 4 5

Period Item B Cross requirement On-hand scheduled receipts Net requirement Planned order releases Period Item C Cross requirement On-hand scheduled receipts Net requirement Planned order releases 1 2 3 4 5 1 2 3 4 5

2b) If the lead time for item A increases by one week, and the lead time for item C also increases by one week, what will the revised materials plan look like? Are there any problems which need immediate attention. Period Item A Cross requirement 1 2 3 4 5

Period On-hand scheduled receipts Net requirement Planned order releases

Period Item B Cross requirement On-hand scheduled receipts Net requirement Planned order releases Period Item C Cross requirement On-hand scheduled receipts Net requirement Planned order releases 1 2 3 4 5 1 2 3 4 5

3.
A cereal manufacturer fills boxes to an average weight of 15 ounces, and has an average range of R = 0.75 ounces when the filling process is under statistical control (using three-sigma limits). A sample size of n = 10 boxes is used in sampling the process. a. What is the central line, and lower and upper control limits for the R-chart? b. What is the central line, and lower and upper control limits for the x Chart? c. A sample with the following measurements has just been taken: 15.00, 15.05, 14.95, 14.97, 14.99, 15.02, 15.02, 15.00, 14.95, 14.80. Is the process still under control? d. Is action required, and if so, why exactly?

4.
Work center A produces parts that are then processed by work center B. Kanban containers used by the work centers hold 100 parts. The overall rate of demand is 5.4 parts per minute at work center B. The table below shows setup, run, move and wait times for parts at each of the work centers.
Work center A Setup Run time per unit Move time Wait time 5 0.2 2.5 11 4 0.5 7 23 B

What is the minimum number of containers needed between these two work centers? Etc