1.

Explain the various automated systems for transfer of materials in the produc
tion plant?
Illustrate your answer by considering an example of an automobile showroom.

Answer: Basically, automation system comes to reduce labour power and time in th
e production.
Here we can see the evolution systems with some examples. The goods requited by
society were
produces in small quantities by craftsman who would know the need of the communi
ty and produced
them by their own hands with simple tools. The apprentices or by another craftsm
an, who would make
them to meet the requests made.
The parts and components used to make these machines had to be replaced when the
y wore making parts
so that interchangeability was achieved made setting up standards and specifica
tions important for meeting
The craftsmen gave way to engineers, workers, superiors and inspectors. Division
of labour became
necessary to achieve efficiencies and the jabs that became specialized. Competit
ion has necessitated
improved quality, reduced sates and better services to the customer.
Automation systems cost huge sums of money and therefore a deep analysis of the
various factors has to be done.
For services, automation usually means labour saving devices in education, long
distance learning technology helps
in supplementing class room instruction. The facilitating goods that are used a
re web site and videos.
Automation in the banking sector has resulted in ATMs which same the banks a hug
e amount customer satisfaction.
Automation is ideas when the service provided or the product manufactured is hig
hly standardized.
Some extent of automation can be designed even with customization i. e. product
or service a meant
to produce or deliver low volume specific to a requirement. The advantages of a
utomation is it has
low variability and will be more consistent on a repetitive basis.
The machines have sensing and control devices that enable them to operate automo
bile.
The simplest of them called machine attachments replace human effort. They guide
, locate,
move and achieve revise position by means of came, optical sensing. Load sensin
g mechanisms
and activate the controls to remove human intention.
Robots are higher in the order of automation as they perform a variety of tasks.
They are designed to move movements according to programmers written into the co
mputer
that inside them. With the help of automation, inspection of component can be d
one 100%
ensures highest quality identification and movement of materials are helped by b
ar codes
which are read and fed into the system far monitoring quantity, location, moveme
nt etc.
They help the automated systems to start information and provide information for
effecting any changes
necessary. To make effective use of automated machines, we need to have the move
ment of materials from
 and to different time as stores, automated, Automated storage and Retrieval sys
tems- ASRS- receive orders
for materials from anywhere in the production area, collect materials in the wo
rks times. Computers and
information systems are used for placing orders for matters, give commands adjus
t inventory
records which show the location and quantity of materials needed.
Automated guided vehicle systems- AGVS are pallet trucks and unit load carriers
follow embedded
guide wires or paint strips to destinations as programmed. In an automobile show
room we can see all
the work automatically with latest machine.

[Link] the important considerations for locating an automobile plant?

Collect information on layout planning of an automobile plant from various sour
ces and furnish the same.

Answer: To locate an automobile company or plant many thing should be consider.

For an automobile plant automated flaw lines, automated assembly lines, flexible
manufacturing systems,
global transition rapid prototyping. Building manufacturing flexibility things
are necessity.
About the automated flow lines we can say it is a machine which is linked by a t
ransfer system
which moves the parts by using handling machines which are also automated, we ha
ve an
automated flow line.
Human intervention ma is needed to verify that the operations ate taking place a
ccording to
standards. When these cab be achieved with the help of automation and the proces
ses are
conducted with self regulation, we will have automated flow lines established.
In fixed automation or hard automation, where one component is manufactured usin
g services
operations and machines it is possible to achieve this condition. We assume that
product life
cycles are sufficiently stable to interest heavily on the automate flow lines to
achieve reduces cast
per unit.
Product layouts ate designed so that the assembly tasks are performed in the seq
uence they are designed
at each station continuously. The finished item came out at the end of the line.
In automated assembly lines
the moving pallets move the materials from station to station and
moving arms pick up parts, place them at specified place and system them by peru
sing, riveting,
& crewing or even welding. Sensors will keep track of there activities and move
the assembles to
the next stage.
The machines are arranged in a sequence to perform operations according to the t
echnical requirements.
The tools are loaded, movements are effected, speeds controlled automatically w
ithout the need for worker s involvement.
The flexibility leads to better utilization of the equipments. It reduces the nu
mbers of systems and
rids in reduction of investment as well as a space needed to install them. One o
f the major cancers
of modern manufacturing systems is to be able to respond to market
Demands which have uncertainties.
Prototyping is a process by which a new product is developed in small number so
as to determine
the suitability of the materials, study the various methods of manufactured, typ
e of machinery
required and develop techniques to over come problems that my be encountered whe
n full scale
manufacture is undertaken.
Prototypes do meet the specification of the component that enters a product and
performance can be
measured on these. It helps in con be reforming the design and any shortcomings
can be rectified at low cost.
Flexibility has three dimensions in the manufacturing field. They are variety,
volume and time.
There demands will have to be satisfied. In that sense they become constraints w
hich restrict the
maximization of productivity. Every business will have to meet the market demand
s of its various
products in variety volumes of different time.
Flexibility is also needed to be able to develop new products or make improvemen
ts in the products fast
enough to cater to shifting marker needs. Manufacturing systems have flexibility
built into them to enable organization meet global
demand. You have understood how the latest trends in manufacturing when implemen
ted help
firms to stay a head in business.
[Link] are the players in a project management? What are the various roles and r
esponsibilities of the players in a project management?

Answer: The players: Individual and Organisations

That are actively involved in the project
Whose interest may be affected positively or
negatively by the outcome success or failure of the project
Exert influence over the project and its result
Players are also called stakeholders
of the projects
Project Manager-the individual responsible for managing the project
Customer-the individual or organization who will use the
product-the end result of the project
Performing organization-the enterprise whose employees are most directly involve
d in doing the work of the project.
Sponsor-the individual or group within or external to the performing organisati
on that funds the project
Roles and Responsibilities
There are number of projects which an organization works on.
4. What are the various steps in project monitoring and controlling a project?
Monitoring and Controlling Monitoring and Controlling consists of those processe
s performed to
observe project execution so that potential problems can be identified in a time
ly manner
and corrective action can be taken, when necessary, to control the execution of
the project.
The key benefit is that project performance is observed and measured regularly
to identify
variances from the project management plan.
Monitoring and Controlling Process Group
Processes Monitoring and Controlling includes: Measuring the ongoing project act
ivities (where we are); Monitoring the project variables (cost, effort, scope, e
tc.) against the project management plan and the project performance baseline (w
here we should be); Identify corrective actions to address issues and risks prop
erly (How can we get on track again); Influencing the factors that could circumv
ent integrated change control so only approved changes are implemented In multi-
phase projects, the Monitoring and Controlling process also provides feedback be
tween project phases, in order to implement corrective or preventive actions to
bring the project into compliance with the project management plan.
Project Maintenance is an ongoing process, and it includes: Continuing support o
f end users Correction of errors Updates of the software over time Monitoring a
nd Controlling cycle In this stage, auditors should pay attention to how effecti
vely and quickly user problems are resolved. Over the course of any construction
project, the work scope changes. Change is a normal and expected part of the co
nstruction process. Changes can be the result of necessary design modifications,
differing site conditions, material availability, contractor-requested changes,
value engineering and impacts from third parties, to name a few. Beyond executi
ng the change in the field, the change normally needs to be documented to show w
hat was actually constructed. This is referred to as Change Management. Hence, t
he owner usually requires a final record to show all changes or, more specifical
ly, any change that modifies the tangible portions of the finished work. The rec
ord is made on the contract documents usually, but not necessarily limited to, t
he design drawings. The end product of this effort is what the industry terms as
-built drawings, or more simply, as built. The requirement for providing them is a
norm in construction contracts.
When changes are introduced to the project, the viability of the project has to
be assessed again. It is important not to lose sight of the initial goals and ta
rgets of the projects. When the changes accumulate, the forecasted result may no
t justify the proposed investment.
5. Explain the necessity and objectives of SCM? Answer. SCM is the abbreviation
of supply chain Management. It is considered by many express worldwide as the ul
timate solution towards efficient enterprise management. Now, we explain the nec
essity and objectives of SCM- SCM is required by and enterprise as a tow to enha
nce management effectiveness with a following organizational objective: Reductio
n of inventory Enactment in functional effectiveness of existing systems like E
RP, Accounting. Software and Documentation like financial reports statements ISO
9000 Documents etc. Enhancement of participation level and empowerment level Ef
fective integration of multiple systems like ERP, communication systems, documen
tation system and secure, Design R&D systems etc. Better utilization of resource
s- men, material, equipment and money. Optimization of money flow cycle within t
he organization as well as to and from external agencies. Enhancement of value o
f products, operations and services and consequently, enhancements of profitabil
ity. Enhancement of satisfaction level of customer and clients, supporting insti
tutions, statutory control agencies, supporting institutions, statutory control
agencies, suppliers and vendors, employees and executives.
Enhancement of flexibility in the organization to help in easy implementation of
schemes involving modernization, expansion and divestment, merges and acquisiti
ons. Enhancement of coverage and accuracy of management information systems. Wit
h the objectives of SCM its implementation are required. Implementation is in th
e form of various functional blocks of an organization interpenetrated through w
hich a smooth flow of the product development is possible.
A relatively new SCM option involves web based software with a browser interface
. Several electronic marketplaces for buying and selling goods and materials. 6
. What are the steps involved in SCM implementation? Answer- There is many steps
which involved in SCM implementation are- Business Process, sales and marketing
. Logistics, costing, demand planning, trade- off analysis, environmental requir
ement, process stability, integrated supply, supplier management, product design
, suppiers, customers, material specifications, etc.
Some important aspect of SCM- The level of competition existing in the market an
d the impact of competitive forces on the product development. Designing and wor
king on a strategic logic for better growth through value invention. Working out
new value curve in the product development along with necessary break point. Us
ing it to analyses markets and the economies in product design. Tine, customer,
quality of product and the concept of survival of fittest. Steps of SCM principa
ls: Group customer by need: Effective SCM groups, customer by tietinct service m
eeds those particular segment. Customize the logistics networks: In designing th
eir logistics network, companies need to focus on the service requirement and pr
ofit potential of the customer segments identified. Listen to signals of market
demand and plan accordingly- sales and operations planners must monitor the enti
re supply chain to detect early warning signals of changing customer demand and
needs.
Differentiate the product closer to the customer-companies today no longer can a
fford to stock pile inventory to compensate for possible forecasting errors, in
stead, they need to postpone product differentiation in the manufacturing. Proce
ss closer to actual customer demand. Strategically manage the source of supply-b
y working closely with their key suppliers to reduce the overall casts of owning
materials and services; SCM maximizes profit margins both for themselves, and t
heir supplies.
Develop a supply chain wide technology strategy- as one of the cornerstones of s
uccessful SCM information technology must be able to support multiple levels of
decision making. Adopt channel spanning performance measures- Excellent supply p
erformance measurement systems do more than just monitor internal functions. The
y apply performance criteria that embrace bathe service and financial metrics, i
ncluding as such as each accounts true profitability.
ASSIGNMENTS
Subject code: MB0028
(3 credits)
Set 2
Marks 60
SUBJECT NAME : PRODUCTION & OPERATIONS MANAGEMENT
Note: Each Question carries 10 marks [Link] how material flow information hel
ps in work centre decision. Consider the example of a shopping centre to illustr
ate your answer. Answer: The decision which involves during uses of material flo
w information has below- A work center is a production facility comprising of on
e or more machines and one or more workmen considered as a single unit for purpo
ses of estimation of capacity. This unit may have a single operation or a number
of them conducted on the input items. In the pipeline of production, each work
center s contribution is vital as materials are scheduled, routed and loads to be
sent to it.
In most organization, they are even considered as cash centers. Location trust m
eans relative position of different centers so as to minimize the movement of ma
terials, meet technological sequences, to reduce congestion, maximize throughput
, improve part tracking ability and avoid repetitive movements. In addition anot
her consideration is to provide for expansion of production.
Each work center receives information along with material that enter it the mate
rial also leaves the word center with information. The route sheet contains info
rmation about the material, process, quantities, and inspection procedures. Etc.
the drawings or instructions tell the condition of the malarial of entry and th
e required condition at exit.
In this sense every operation consists of material transformation occurring on t
he basis of information. Activities conducted are on the basis of information th
at flows with material. Different locations have to accommodate the constraints
of the basis of darning maximums benefit of the information that is available.
Basically, each location is determined on the basis of from and to: where does i
t receive material goes. Some centers have to close as a matter of necessity, so
me need not to be and some need to be as for away as possible.
This aspect has been given a rating scale in terms of alphabets as under: Absolu
tely necessary to be close
Essential to be close
Ordinary closeness
Ordinary closeness
Unimportant that they are close or not
Not desirable that the centers are close
It can be seen that this is only a guide for Indian location as the work centers
as there will many competing factors that have to be accommodated. [Link] are t
he reasons for failure of a project? Give suitable examples. Answer: Before know
ing the reasons of failure we have to know about project. Project is a set of ac
tivities which are networked in order and aimed towards achieving goal of a proj
ect. Now, the reasons are project failure: Incidence of Project failure
Projects being initiated of random at all levels
Project objective not in line with business objective
Project management not observed
Project manager with no prior experience in the related project
Non- dedicated team
Lack of complete support from clients
Factors contributing to project success not emphasized: Project objective in al
ignment with business objective
Working within the framework of project management methodology
Effective scoping planning, estimation, execution, controls and reviews, project
bottlenecks
Communication and managing expectations effectively with clients, team merits an
d stake holders Prior expectance of PM in a similar project Overview of informat
ion and communication Technologies (ICT) project: Involve information and commun
ication technologies such as the word wide web, e-mail, fiber- optics satellites
Enable societies to produce, access, adapt and apply information in greater amo
unt, more rapidly and at reduce casts
Offer enormous opportunities for enhancing business and economic viability
Common problems encountered during projects
No prioritization of project activity from an organizational position
One or more of the stages in the project mishandled
Less qualified non-dedicated manpower
Absence of smooth flow of communication between the involved parties
These basic reasons lead a project to failures. In the project failures business
management and project management is directly involved. From the management poi
nt of view it is basic things to care above topics to success of a project. Proj
ect is the core business of a company.
3. Explain the various phases in project management life cycle? Answer: This is
the initial phase of any project. In this phase information is collected from th
e customer pertaining to the project and the requirements are analyzed. The enti
re project has to be planned and it should be done in a strategic manner. The p
roject manager conducts the analysis of the problem and submits a detailed repor
t to the top project justification, details on what the problem is a method of s
olving the problem, list of the objectives to be achieved, project budget and th
e success rate of completing the project. The report must also contain informati
on and the project feasibility, and the risks involved in the project.
Project management life cycle is the integrated part of management. It is attach
 with project responsibility or failure of a project. The important tasks of thi
s phase are as follows: Specification Requirements Analysis (SRA): It has to be
conducted to determine the essential requirements of a project in order to achie
ve the target. Feasibility study: To analyze whether the project is technically,
economically and practically feasible to be undertaken. Trade off analysis: To
understand and examine the various alternatives which could be considered. Estim
ation: To estimate the project cost, effort requires for the project and functio
nality of various process in the project. System design: Choose a general design
that can fusil the requirements. Project evolution: Evaluate the project in ter
ms of expected profit, cost and risks involved marketing phase. A project propos
al is prepared by a group of people including the project manager. This proposal
has to contain the strategies adopted to market the product to the customers. D
esign phase: This phase involves the study of inputs and outputs of the various
project stages. Execution phase: In this phase the project manager and the team
s members work on the project objectives as per the plan. At every stage during
the execution reports are prepared. Control Inspecting, Testing and Delivery pha
se during this phase. The project team works under the guidance of the project m
anager. The project manager has to ensure that the team working under his, imple
ments the project designs accurately, the project manager has to ensure ways of
managing the customer, perform quality control work.
Closure and post completion analysis phase upon satisfactory completion and deli
very of the intended product or service the staff performance has to be evaluate
d. Document the lessons from the project. Prepare the reports on project feedbac
k analysis followed by the project execution report.
The phase which involve in the above are: The preparation stage involves the pre
paration and approval of project outline, project plan and project budget. The n
ext stage involves selecting and briefing the project team about the proposals f
ollowed by discussions on the roles and responsibility of the project member and
the organization. The project management life cycle: A Life cycle of a project
consists of the following: Understanding the scope of the project
Establishing objectives of the project
Formulating and planning various activities
Project execution and
Monitor and control the project resources. 4. What are the seven principles of
SCM? Answer: Seven principles of SCM are: Group customer by needs- Effective SCM
groups, customer by distinct service needs, regardless of industry and then tai
lors services to this particular segment. Customize the logistic network- In des
igning their logistics network; companies need to focus on the service requireme
nt and profit of the customer segments identified. Listen to signals of market d
emand and plan accordingly- Sales and operations planners must monitor the entir
e supply chain to detect early warning signals of changing customer demand and n
eeds. This demand driven approach leads to more consistent forecast and optimal
resource allocation.
Differentiate the product closer to the customer- companies today no longer can
afford to stock pile inventory to compensate for possible forecasting errors. In
stead, they need to postpone product differentiation in the manufacturing proces
s closer to actual consumer demand. This strategy allows the supply chain to res
pond quickly and cost effectively to change in customer needs.
Strategically manage the sources of supply- by working closely with their key su
ppliers to reduce the overall costs of owning materials and services; SCM maximi
zes profit margins both for themselves and their suppliers.
Develop a supply chain wide technology strategy- as one of the cornerstones of s
uccessful SCM information technology must be able to support multiple levels of
decision making. It also should afford a clear view and ability to measure the f
low of products, services and information.
Adopt channel spanning chain performance measures- Excellent supply chain perfor
mance measurement system do more than just monitor internal functions. They app
ly performance criteria to every link in the supply chain-criteria that embrace
both service and financial metrics. [Link] what is meant by bullwhip effect a
nd how it could be prevented? An unmanaged supply chain is not inherently stable
. Demand variability increases as one moves up the supply chain away from the re
tail customer, and small changes in consumer demand can result in large variatio
ns in orders placed upstream. Eventually, the network can oscillate in very larg
e swings as each organization in the supply chain seeks to solve the problem fro
m its own perspective. This phenomenon is known as the bullwhip effect and has b
een observed across most industries, resulting in increased cost and poorer serv
ice.
Causes of the Bullwhip Effect Sources of variability can be demand variability,
quality problems, strikes, plant fires, etc. Variability coupled with time delay
s in the transmission of information up the supply chain and time delays in manu
facturing and shipping goods down the supply chain create the bullwhip effect. T
he following all can contribute to the bullwhip effect:
Overreaction to backlogs Neglecting to order in an attempt to reduce inventory N
o communication up and down the supply chain No coordination up and down the sup
ply chain Delay times for information and material flow Order batching - larger
orders result in more variance. Order batching occurs in an effort to reduce ord
ering costs, to take advantage of transportation economics such as full truck lo
ad economies, and to benefit from sales incentives. Promotions often result in f
orward buying to benefit more from the lower prices.
Shortage gaming: customers order more than they need during a period of short su
pply, hoping that the partial shipments they receive will be sufficient. Demand
forecast inaccuracies: everybody in the chain adds a certain percentage to the
demand estimates. The result is no visibility of true customer demand. Free retu
rn policies Countermeasures to the Bullwhip Effect While the bullwhip effect is
a common problem, many leading companies have been able to apply countermeasures
to overcome it. Here are some of these solutions: Countermeasures to order batc
hing - High order cost is countered with Electronic Data Interchange (EDI) and c
omputer aided ordering (CAO). Full truck load economics are countered with third
-party logistics and assorted truckloads. Random or correlated ordering is count
ered with regular delivery appointments. More frequent ordering results in small
er orders and smaller variance. However, when an entity orders more often, it wi
ll not see a reduction in its own demand variance - the reduction is seen by the
upstream entities. Also, when an entity orders more frequently, its required sa
fety stock may increase or decrease; see the standard loss function in the Inven
tory Management section.
Countermeasures to shortage gaming - Proportional rationing schemes are countere
d by allocating units based on past sales. Ignorance of supply chain conditions
can be addressed by sharing capacity and supply information. Unrestricted orderi
ng capability can be addressed by reducing the order size flexibility and implem
enting capacity reservations. For example, one can reserve a fixed quantity for
a given year and specify the quantity of each order shortly before it is needed,
as long as the sum of the order quantities equals to the reserved quantity.
Countermeasures to fluctuating prices - High-low pricing can be replaced with ev
ery day low prices (EDLP). Special purchase contracts can be implemented in orde
r to specify ordering at regular intervals to better synchronize delivery and pu
rchase. Countermeasures to demand forecast inaccuracies - Lack of demand visibil
ity can be addressed by providing access to point of sale (POS) data. Single con
trol of replenishment or Vendor Managed Inventory (VMI) can overcome exaggerated
demand forecasts. Long lead times should be reduced where economically advantag
eous.
Free return policies are not addressed easily. Often, such policies simply must
be prohibited or limited. [Link] do you understand by Line Balancing? What is t
he importance of order picking in material handling? Give suitable examples. Ans
wer - Production lines have a number of work centers in a particular sequence so
that the material that gets proceed has to move further without encountering an
y bottlenecks. The quantities produced the rate of production at each center, th
e number of operations and the total production required are factors taken into
account.
The purpose of taking place between work centers and minimum inventory gets crea
ted. We use the principles of JIT and lean Manufacturing to achieve these. Linea
r programming, Dynamic programming and other mathematical models are used to stu
dy these problems.
In order picking important pants are: Order picking is a process by which items
of products for supply is to be made haves to be retrieved from specific storage
location. It is found to take 60% of labour activities in the warehouse. Since
it is critical to the business to meet customer s demand expeditiously and accurat
ely, lot of attention is being given to this aspect of operations. In the manufa
cturing arena, we desire to move towards small lot sizes and cycle time reductio
ns.
Efficient order picking is necessary for being competitive. In the supply chain
Storage, retrieval and delivery do not add value to the product, but are necessa
ry.
Material Handling:
The purpose is to take the job through the technological steps in which the proc
essing needs to be
done for the transformation that is to be effected on the material that is getti
ng processed. The major concerns are about the quantities that need to be proces
sed and the time that the different operations required. In case the product ha
s to enter assembly, along with other parts that are being manufactured parallel
, will all the required parts arrive at that point at the same time. Some compon
ents may be outsourced. To handle different parts, we have material handling equ
ipments such as cranes lifting forks, trucks etc.
The problem for the manager is the limited supply of these equipments and the ne
ed to optimize utilization of the equipment and see that the manufacturing line
has smooth flow. Our concern is to reduced inventory, minimums movement and time
ly availability.
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Collection Type:public - locked public - moderated private
public locked: only you can add to this collection, but others can view it
public moderated: others can add to this collection, but you approve or reject a
dditions
private: only you can add to this collection, and only you will be able to view
it
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