| Post-Graduate Programme in Management (PGFM: 2u14~14) Section: A and B Term: Il (Sep-Dec, 2012) : OPERATIONS MANAGEMENT-1 Date: Thursday, 20" Dec Dates Tred, 20" Deo 2012 End-Term Examination Time: 02:16 PM 04:45 PM tae (OPEN BOOK, Laptops not allowed) Max Marks: 35 stage 355) puso Mars ar ndiates pais ecn gusto. spot. Trae fa Sk into ns pape, The Gurion apr pes ‘on THREE pages, Manage You oT 12g your te well (any coming Dacha Mi escheat wel any caring Back ar mistake wil waste you precios ie) So do cook ears te, We an ence the min Provious years answer sheets ar0 sire ly Prohibited in elther form, so do not kop thom with you.(t wil be ieated as VFM) Denctwite anything en queston pape. Slat each question fom nest FRESH page : 1 GuestonNo. | autee | peter | pee, | sume, | mesa | 2sice — set Betton sachin Pisning ius Statfon | tntesp terre 05 05 05 05 05 RelCeT ey meat ify and wrto the name of concey Answer them by reproducing ate ct sat frat ‘of NCQ. is table, eave a blonkif not atempted, 4.4. | They are of two types: pacdd and un-paced. Identiy them. — 4.2. | ————s the design of physical environment (including signs, symbois, () cs ‘and artifacts) in which a service takes place. It uses non-quantitative input and relationship digramming to produce a 4.3. | feasibi a if i feasible layout for upto 45 departments and cifferent building shapes. denty When two parts, supposed ta , Supposed to be assembled together, are near to oppos tolerance limit ths hed of quality problem occurs lente PPow For the diagram (given In right side, Fig. 1) devise @ mathematical logis to 4.8 | ascertain that ineect is inside oF outside the closed two dimensional cry prison of any shape lke the bottom one. This concept holds company responsible for their product even after its useful | S™*rwesoE cn onscems cine mscer| 1.8 | life. entity it? Fig. 4 4.7. | This is also known as ISO 10303. analysis reorders part routing matrices to Identify families of parts with similar processing requirements. The advantage of these two types Is that they encourage customer circulation throughout the entire store and increase customer sightlines & exposure to products. ’ in fanking variable costs for layouts from highest to lowest, which ofthe following is correct? 4.40 ‘A. Fixed-Position, Process, Product B. Product, Process, Fixed-Position C. Fixed-Position, Product, Process D. Process, Product, Fixed-Position YS lier Resource Deficiency ‘Aggrawal Travels of Mumbai plan thelr capacity in terms of ‘coach-days’. They ‘classify their business as either ‘full day’, which are long distance Journeys, or ‘half day' which are shorter runs. Forecasts show expected annual demands to average 400,000 full-day passengers and 750,000 half-day passengers. ‘You can assume two ball days equal fone ull day. ‘Aggrawal Travels have 61 coaches, each with an effective capacity of 40 passengers a day for 300 days a year. Breakdowns and other unexpected problems reduce efficiency to 90%. They employ 86 drivers who work an average Prg20 days a year, but iliness and other absences reduce their efficiency to 85%. an ptt ney nna) [Donetunnecessarly assime any eet forecasted ‘A. Calculate the No. of additional COACHES to be purchased by Aggrawal Travels in order to mt demand? 2 B._ Calculate the No, of additional DRIVERS tobe hired by Agrawal Travels in order to meet forecasted demand?Buffer on Machine Mz Raving processing sequence as M;>Mz>M,>™y (Toeis noon : cee) For this four mle prot Ide lesired optimal job sequence is only (and only) one and as. a) A B E | A. What must be the fange of the value of y on machine M; for job D, h that the optimal sequence (ment y 1 for job D, suc P a (mentioned above) remains, still the only (and only) optimal answer and is not disturbed? ° B. Find total determin, ecivalue of 32 time (TPT) of the system in both situations, i.e. for both upper and lower thus C. Find also idle ti value of y ime of only machine M, in both situations, I.e. for both upper and lower thus determined Value of y can only be an integer and y > 0. Eee) (05) Monthy = Production volume . Sequence of » 1 of Parts “Operations aed 200 ASB2C9B9D Part-2 100 AdceD Part-3 300 coBoD Inter-Block distances There are three parts to be manufactured in four different shops, A, B, C and D. The quantity and sequence in which these parts will be processed in these shops is mentioned above. There are four possible places as shown in upper diagram (|, Il, Il and IV) to allocate to these four shops. You are supposed to do mapping of the name of SHOP (A, B, C and D) in front of each fixed BLOCK (namely 1,1, Ill and IV) in optimal layout. to minimize the total inter-facility parts movement. Also draw final optimal layout(s) (a,itmore nan one opima. by naming SHOP at the appropriate BLOCK. rite: Conigratn of th land Vs eed as per the dlogram and cannot are. Al blocks are perfect square anddencal im sze and shape) a A e Take inter-facility movement distances only as given, do not make any unnecessary assumption) fel Hub and Spoke Bus Station (05) Determine min no. of Distance from | No.of Round buses needed, based on Name of Bus Stop Bee oe data given in the table. a greed sctemete, FM (Assume that each bus can | Anand Vihar (AV) 30 —— 201m. carry passengers fo at | Badar Pur (BP) 50 16 s one stop at |’ chandani Chowk (CC) 60 5 a time, ie. ; trip can | Darya Gan} (06) 80 a nen happen between isaT LOSYaCSN ipa day and only that stop.) “The Buses can travel at a speed of 20 km/hr. Consider buses operate for fll 24 hrs in @ ay say seve any other vba inti exclation tn bed ony dala Ah Ore ine anu ithe dt)Celie GILLE Introducing New: erica Read the givon caso carefully and answer questions given at the end, Be erticalin yur analyst Inroduction eee eae tr.Zeien, chairman and’ chit executive offleer of ile ‘of experimental Gillette Blades In his office for trying out. — reluctantly—a dis-posable razor in 1976 to fend off French rival Coated Stainless Steel Blades But Gillette is one of America's noteworthy corporate suc-cesses fhot just because it has done so well, but also because it once Blundered so remarkably—and came back. Back In 1962, Gillette's U.S, market _share had Just reached its highest point Guer72%. "We have,” an executive boasted to Forbes magazine fn 1962, “no complaints on how things are going.” ‘They soon would. Wilkinson Sword, which forged the famous Swords for British cavalry at the height of the empire, but by the 3960s mostly made garden tools, decided to get into razor blades. iis Super SwordEdge stainless-steel blade, coated with a thin ‘Chomical film to protect the edge, lasted up to 12 shaves, or two cPthres times ae many as Gilletfe%s own coated Super Blue Blade, Sade of softer carbon steel, Gillette was stunned. “They were the aik of the town," recalls shaving-divisior. vice president Scott Roberts, then a'salesman In New York. “Our leadership was fireatened.” Gillette knew stainless steel was harder than carbon steel Italso knew about stainless blade coatings—in fact, Wilkinson later had to license technology for making Its coated Blade from. Gillette, which had a patent. But making a Stainless steel blade would have made much of Gillette's ‘manufacturing equipment obsolete. It was tempted to do what many big companies do: Ignore its rival, hoping the market niche would remain small, or improve its ‘existing carbon-blade technology. Eventually, Gillette decided it had no choice and introduced a stainless steel blade in lato 1963, By then, two other small players had introduced stainless stee! blades, and Gilette's U.S. markot share had begun a precipitous drop that would bottom out at around 50% In 1965. In retrospect, Gillette was lucky Wilkinson didn’t have the firepower to explolt its weakness. “I had nightmares thinking that ‘Someone at Procter & Gamble would shave with a stainless blado and decide to get in the business or buy out Wilkinson,” confesses William G. Salatich, a retired Gillette executive. (Unable fo duplicate the breakthrough Itmade with stainless blades, Wilkingon hes become a minor player in most countries; Gillett, In fact, eventually bought Wilkinson's blade business outside Disposable Razors 4, the Wilkinson Sword debacle galvanized Trevor threat wouldn't have. Russell B. Adams fe biography for the com-pany, says, “It th and folklore: This Is what happens keeping ahead of the market ‘Though short Gillette In a way 2 ‘ta author of a corporat has become part of the my! to you it you're not up ther to you If youre, epared cites for tho next major challenge tone taror and blade business—disposable razors. In 1974, Ble we ta tirat Inexpensive dispos-ables In Crocco. There was ‘tepticism at Gillette about the product because it offered a seer thave, not a better one, “We'd get samples and 1 would try Thom ond wonder why anybody would compromise thelr shave tO eee a iitte money,” remembers Mr. Scott, the Gillette vice president. Moreover, why come out with a new razor that cost more to make (because disposables had a handle and blade, as opposed to a cartridge that fit on an existing razor) butsold for less—especially when it might take sales from more profitable brands? It was. similar to the Issue Detroit. wouldfaco. when the Japanese invaded the U.S. with small “There was sizable debate whether we should of shouldn't make a tisposable,” says Robert E. Ray, a former overseas manager at Gillette si you sit down with pencil and paper, you conclude, ‘This ain’t such J hot idea, we're going to make less money.’ But after a while you didn’t have to be a rocket scientist to figure Out that consumers wanted disposables.” With the 1960s disastor inmind, Gillette began a crash program to develop a disposable. Gillete rolled outite Good News disposable—using the Trac ll ‘winblade technology, compared with Bie’s single blade— nationwide in April 1976, months before Bic introduced its razor fegionally. Says former prosident Stephen Griffin: “We were ‘giving up profitably, but we had to do that to maintain our ‘eustomers.” Blocking Out Competitors ‘One of the say developments of Gillette researchers over the past 20 years has been to design razors that are hard for competitors to make. In the days of the double-edge blade, twas easy for others to mak blades that fit Gilets's razors; Trac Il and other twin-blade razors changed that, Rivals ‘generally come outwith cartridges compatible with new Gillette razors, but only after a lag. ‘At any given time, Gillette has up to 20 experimental razors in ‘ovelopment, One promising prototype has been in the works for four :sars—and won't be ready for elght more. And in anothé moves from the Japanese playbook, the next generation razor isn Iikely to be Introduced frst in the United States, says Mr. Zeien, the chairman. "This Is what the auto companies leamed from the Japanese,” ho says. If you want to be a leader on a global basis, you can't Just Teader in your home market.” DISCUSSION QUESTIONS: ‘A With regard to developing and introducing new products, what lessons did Gillette learn from the Wilkinson Sword and Bic experiences? 5. Why do you think Gillette was so slow In introducing coated stainloss steel blades, even though the Company was familiar withthe technology? Europe and the United States.)