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DRIVE SPRING 2016
PROGRAM MBA
SEMESTER III
SUBJECT CODE & NAME OM 0010 - OPERATIONS MANAGEMENT
1
Write short notes on :
a.
Origin of operations research
b.
Levels of Strategies in an Organisation
c.
Consumer Pricing Expectations Range
Answer: Origin of operations research
Operations
research as a discipline originated in Britain during World War II. At that
time, the military forces were having very limited resources and they were
forced to allocate those scarce resources in an effective manner. To deal with
this problem, the British military management hired a number of scientists and
asked them to perform research on military operations. The scientists
2
Explain following Models of Operations Research
a.
Iconic model
b.
Analogue model
c.
Symbolic model
d.
Descriptive model
Answer: Iconic model: This
model is an exact representation of a particular entity. It includes various
diagrams, graphs, and charts that aid a manager in the decision-making process.
This model can be full-scale, scaled-down or scaled-up in size, as discussed below:
·
A full-scale model
3.
Case Study: Services Operations Management at XYZ Restaurant
XYZ
restaurant has been performing satisfactorily over the last 30 years. It opened
its first outlet in the year 1980 in Pune, and since then it has grown to 1000
outlets in the mid-east Asia. In the year 2000, XYZ restaurant enjoyed the
maximum footfall in almost all the nations it was present. By 2005, it added
Italian and French food in its menu to compete with the established international
brands in this field. XYZ followed a process of service operations management, which
focuses on delivering excellent services to the customers.
After
some time, XYZ faced a problem of low quality of French and Italian food that
was not at par with other restaurants. The nations of mid-east Asia did not
welcome the change in the image of XYZ from local food chain restaurant to
international restaurant. The customers found lower quality of French and
Italian foods in XYZ than they used to get in other restaurants. The offering,
delivery and image of XYZ could not match the new services and customers
avoided to visit XYZ for Italian and French foods. The market of this restaurant
was still favouring its local sense of cooking food. XYZ soon reverted to the
earlier service operations and policies of local belongingness and thus
recovered the lost customers.
Discussion
questions:
1.
What can be the reasons for the failure of XYZ restaurant in introducing French
and Italian foods?
2.
What strategies could have helped XYZ restaurant while introducing new
services?
1. What can be the reasons for the
failure of XYZ restaurant in introducing French and Italian foods? (Hint: The
reasons can be failure of making planning activities, monitoring and
controlling activities and quality assurance activities)
2. What strategies could have helped XYZ
restaurant while introducing new services? (Hint: Following SERVQUAL and evaluating
the performance of services)
Answer: 1. Service
operations management can be defined as a process that focuses on delivering
excellent services to the customers. Other definitions are as follows:
·
Service operations management ensures
that the attention is given to the correct functional service delivery areas.
·
Service
4 Explain the
following criterions that a decision maker may adopt under uncertain
conditions.
a.
Maximax Criterion
b.
Maximin Criterion
c.
Minimax Regret Criterion
d.
Realism Criterion
e.
Insufficient Reason Criterion
Answer: Maximax
Criterion: It is the criterion in which a decision maker selects the alternative
that provides the maximum payoff. This criterion is based on the assumption
that all available alternatives would provide the best possible outcome.
Maximax criterion is a strategy that
5.
Solve the assignment problem shown in the following table:
|
|
1
|
2
|
3
|
4
|
|
A
|
10
|
12
|
19
|
11
|
|
B
|
5
|
10
|
7
|
8
|
|
C
|
12
|
14
|
13
|
11
|
|
D
|
8
|
15
|
11
|
9
|
Also
determine the total assignment cost.
Optimal assignment total assignment cost
Answer: Conduct
row and column operations as the assignment problem is balanced. The row
operations involve selecting an element having a minimum value in each row
starting from row A and subtracting that element from all other elements in
that row. After
6 There
are four jobs, namely D, E, F, and G, which need to be sequenced on two
machines, namely machine 1 and machine 2. The processing time of the jobs D, E,
F, and G on machine 1 are 2, 6, 4, and 8, respectively. However, on machine 2,
the processing time of D, E, F, and G is 3, 5, 7, and 4, respectively.
Determine the job sequencing for this problem and Total flow time for four
jobs.
Optimum Sequence
Total flow time
Answer: The
steps involved in solving the preceding sequencing problem are as follows:
1. Prepare
a table that contains the processing time of the four jobs on the two machines,
as shown in Table
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