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1. Dear students get fully solved assignments
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DRIVE
Spring 2018
PROGRAM
MBA
SEMESTER
III
SUBJECT CODE & NAME
OM 0010 - OPERATIONS MANAGEMENT
1 Explain the concept of operation management. What are the elements of operations
management?
A
Answer:
Operations management is defined as that activity whereby resources, flowing within a defined
system, are combined and transformed in a controlled manner to add value in accordance with
policies communicated by management.
Whereas the term "production," in a narrow sense, is often associated with a quantity of goods,
or with an assembly or perhaps a chemical process, "production management" has always been
concerned with the
Q2 Explain the process of operation research in detail. Write down different Applications
of Operations Research.
A Process of operation research
Applications of Operations Research.
Answer:
Process of operations research
Operations research provides an integrated framework for making various business decisions.
Therefore, it is of utmost importance for an organization to have a clear understanding of this
framework to solve various business problems.
The steps involved in the framework of operations research are explained as follows:
Q3. An organisation has three production centres P1, P2 and P3 that supply products to
four warehouses W1, W2, W3 and W4. The monthly production capacities of the three

2. production centres are 160, 150 and 190 units, respectively. The monthly demand of
warehouses is 80, 90, 110 and 160 units, respectively. The transportation cost per unit (in
rupees) is shown in following Table
Warehouses
W1 W2 W3 W4Production Centres
P1 10 12 8 15
P2 12 14 18 9
P3 15 12 20 16
Discussion questions:
1. How many units should an organisation supply to warehouses so that the total
transportation cost is minimised?
2. Calculate Total Transportation Cost
Answer: Construct the transportation cost matrix table, which is as follows:
Availability = 160+150+190=500
Requirement = 80+90+110+160=440
In the given case, the total supply exceeds
Q4 Write Short notes on-
 Consumer Pricing Expectations Range
 Autonomous and derived demand
 SERVQUAL-Measuring Service Quality
 Service Blueprint
Answer: Consumer pricing expectations range
Consumer Pricing Expectations Range (CPER) is a term, which is commonly used in demand
forecasting. This term has two aspects, namely, consumer aspect and producer aspect. From
the consumer’s aspect, CPER implies that the consumer has an expectations range in case of
pricing.
Consumer forms opinion based on the price of the product. The expectations of the price
depend upon various factors such as environmental factors, paying capacity of the consumer
and the utility provided by the product. Hence
Q5. Solution for Sequence Problem is as follows
Job 1 2 3 4 5 6
Machine-1 9 7 8 6 8 12
Machine-2 4 5 3 6 2 5
Machine-3 12 10 8 9 15 11
Solution:

3. Q6 Elaborate the replacement of equipment that deteriorates with time. What are the
limitations of replacement models?
Replacement of equipment that deteriorates with time.
Limitations of replacement models.
Answer: Replacement of Equipment that Deteriorates with Time
When the operational efficiency of equipment goes on decreasing with the gradual passage of
time, it is economical to replace the same with a new one. The replacement decisions for such
equipment are taken based on the economic life cycle and monthly or annual operating costs
of the equipment. These costs increase with
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