Project Assignment

Project conducted under the subject:

Submitted by: Arnab Bhattacharya Roll: BUR DMBA No.: Jan2010/12

Production & Operations Management

Attempt any four topics: 1. Highlight the sayings of the following four quality gurus: W.E. Deming, J.M. Juran, Philip Crosby and A.V. Feigenbaum. Prepare a write up on the topic Quality Gurus Similarities and differences in their sayings. 2. It is often said that the operation management is a transformation process. Do you agree with this statement? Support your answer with reasons. 3. Discuss the impact of information technology on production and operation management. The impacts of Information Technologies on manufacturing, where

manufacturing is understood as the process of producing the product capabilities according to customer needs, covering all the steps in the value adding chain are discussed. Information Technology has impact on changes in society and industry with a focus on employment and industrial relations. The second impact is on dynamics of technological and business processes by usage of simulation as an interdisciplinary acceleration tool. Its impact deals with both electronics and software as value adding core elements of products. All forms of organizations use IT as a net substitute for labour. The MIS system is the base of the production process. As communication easier, new technology can be introduced from global market for better operation and production. It may be identified on classic products, where sensor technologies speed up production processes with a significant quality enhancement. The impact of information technology on the human user itself is addressed. Cultural change is shown to be necessary and inevitable to tackle the future economical risks of the information age.

Bur DMBA Jan2010/12

Production & Operations Management

4. Discuss the key factors you would consider while locating the following? a. Nursery School: Now a day the primary education is freely provided by Government. But Nursery school is very essential in all the area, especially in the urban area. So now-a-days nursery school running is considered as a business. To set up a Nursery school few important things must kept on the mind. Some raw data are required to analyze the feasibility for setting up a new Nursery School. Census Data: Child population of 0-6yrs & 6-12 Yrs is considered of the covering locality of that school, the Birth Rate of that area and rate of change in population. Socio-economic Status of that area, so that people can afford the private Nursery School. Presently established nursery schools in that locality, their student strength, infrastructures-environment and the facilities provided. Comparative analysis of the competitor Nursery Schools. From population data the Education level of the locality, so that the employees can be recruited from the locality. Environment & infrastructures of the area for the proposed site of school safety of the children, transportation facilities, etc. Ability of Investment and the returns from business.

b. Thermal Power Plant: In India Thermal Power is the main source of Electricity. To set up a Thermal Power plant so factors are considered. The capacity of the power generation The cost of the project.
Bur DMBA Jan2010/12

Production & Operations Management

Return value of the project. Fulfil the environmental norms for emission of smoke. And precaution for environmental protection. Nearer to the coal mine so the raw material cost will be lesser. As large amount of water is required, the project site must be on river side. The main raw material is Coal, so the location must be connected with Railways to get the raw materials. The road communication should also be very good. The requirement and distribution process of electricity. As large no of employees required, and the location must not be with a town, so township for employees is required.

c. Nuclear Power plant Nuclear Power plant treated as highly secured industry so in time of build a Nuclear Power Plant lots thinks should keep in mind. Site should be remote from the locality Site might be seaside or in Delta region as large amount of water is required. The security of that place must be very high. Well communicated by road transportation. Highly specialised engineering works required during construction and skilled people required to operate the plant and situated in remote area. So Local labour may not be introduced, Township for the employees is essential. Emergency medical facilities must be there. All the environment protection measure must be taken.

Bur DMBA Jan2010/12

Production & Operations Management

d. Gas based fertiliser plant For selecting the site for gas based fertiliser plant few factors are to be considered. The basic raw material is gas, so the production site must be located near the gas rig. The market for fertilizer nearer to the plant. Environment protection must be there. Lots of labours are required, so cost of labour must be low. The price of the fertiliser is not decontrolled, so the cost of production must be lesser.

e. Fast food restaurant To set up a fast food restaurant few factors are considered. The investment is very less and the profit from fast food restaurant is very high. So the return of investment is very faster than any other businesses. Factors to be considered: Socio-economic structure of the location. Teenagers are more attracted towards fast food, so restaurant must be located where more teenagers can be covered. The fast food restaurant should be located near schools and colleges. So that more teenagers can be covered. Location may be located nearer to the railways stations, shopping malls, and entertainment parks etc, where more people go for day out. Making of menu according to the taste of the local people. Similarly rare menu item makes the restaurant popular. E.g. Pao-bhaji, bara-pao is not so common in Kolkata, so the demand of those menus will be very high.

Bur DMBA Jan2010/12

Production & Operations Management

f. Five Star Hotel Hotel business is now-a-days very profiting business through out the world. To setup a five star hotel some factors are considered which have direct impact on business. Those factors are discussed below: The selection of city or town is important. The economic structure of the city, Economic importance, main business houses are to be considered. Tourism of that place and nearby areas. Communication by Airlines, roadways and railways. Certifications for the services, Presently situated competitor hotels and the facilities they provide. Competitive price factors with facilities and services. 5. Compare and contrast different production processes. There are several different methods of producing goods and services. Job production: It involves the production of single, individual items. For example, a boat-builder might get an order to produce a one-off yacht, or a hairdresser may be asked to create a style for one person for a special occasion. Job Production is usually motivating for workers, because it gives the workers an opportunity to produce the whole product and take pride in it. Firms might specialise in producing one-off jobs such as customized motor bikes. Batch production: It means the production of batches of similar products. Batch production is used in many different ways and is most suited to when there is a need for a quality/quantity balance. For example, a bakery produces each different type of bread separately and so on. The more standardized method of batch production is boutique manufacturing. Flow production: It involves passing sub-assemblies/parts from one stage of production to another in a regular flow. The production method is financially

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Production & Operations Management

the most efficient and effective, because there is less of a need for skilled workers. Each stage adds to the products. For example a modern bottling plant used by Coca-Cola or Cadbury Schweppes would use this approach. Mass production: It involves the production of products on a large scale. This sometimes involves flow production, but there may be only one stage in the production process. Most of the FMCG products fall under this group. Of mass produced products using continuous flow techniques include: bottling plant e.g. Coca-Cola car manufacturing e.g. Audi printing e.g. Polestar Construction e.g. Portakabin.

6. Describe the factors that influence the development of Operation strategy. The missions, vision, market, environment and competencies are the main factors to create business strategies. According to the business strategies the operation strategies are determined. Two major trends that have significantly impacted the role of operations strategy within an organization are an increasing trend towards the globalization of business and advances in technology, especially information technology. Strategy in a business organization is essentially about how the organization seeks to survive and prosper within its environment over the long-term. The decisions and actions taken within its operations have a direct impact on the basis on which an organization is able to do this. The way in which an organization secures, deploys and utilizes its resources will determine the extent to which it can successfully pursue specific performance objectives. 1. Cost: The ability to produce at low cost. 2. Quality: The ability to produce in accordance with specification and without error.

Bur DMBA Jan2010/12

Production & Operations Management

3. Speed: The ability to do things quickly in response to customer demands and thereby offer short lead times between when a customer orders a product or service and when they receive it. 4. Dependability: The ability to deliver products and services in accordance with promises made to customers (e.g. in a quotation or other published information). 5. Flexibility: The ability to change operations. Flexibility can comprise up to four aspects: a. The ability to change the volume of production. b. The ability to change the time taken to produce. c. The ability to change the mix of different products or services produced. d. The ability to innovate and introduce new products and services. Excelling at one or more of these operations performance objectives can enable an organization to pursue a business strategy based on a corresponding competitive factor.

Bur DMBA Jan2010/12