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Sem 2

(Spring/Feb 2013)

Master of Business Administration – MBA Semester 2

MB 0044 – Production and Operation Management (4 credits)

(Book ID: B1627 )

ASSIGNMENT- Set 1

Marks 60

Note: Assignment Set -1 must be written within 6-8 pages. Answer all questions.

 

 

Q1. State the important considerations for locating an automobile plant. 10 marks

 

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 transfer system which moves the parts by using handling machines which are also automated, we have an automated flow line.

Human intervention ma is needed to verify that the operations are taking place according to standards. When these can be achieved with the help of automation and the processes are conducted with self regulation, we will have automated flow lines established.

 

In fixed automation or hard automation, where one component is manufactured using 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 sequence 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 perusing, riveting, & crewing or even welding. Sensors will keep track of their activities and move the assembles to the next stage.

 

The machines are arranged in a sequence to perform operations according to the technical requirements.

The tools are loaded, movements are effected, speeds controlled automatically without the need for worker’s involvement.

 

The flexibility leads to better utilization of the equipments. It reduces the numbers of systems and rids in reduction of investment as well as a space needed to install them. One of 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, type of machinery required and develop techniques to overcome problems that may be encountered when 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. Their demands will have to be satisfied. In that sense they become constraints which restrict the maximization of productivity. Every business will have to meet the market demands of its various products in variety volumes of different time.

 

Flexibility is also needed to be able to develop new products or make improvements 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 implemented help firms to stay a head in business.

 

Q2. Explain essentials of Project Management Philosophy 10 marks(300-400 words)

 

 

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Q3. Several different strategies have been employed to assist in aggregate planning. Explain these in brief10 marks(300-400) words

 

Q4. Illustrate the different methods by which quality is sought to be achieved using various tools andtechniques10 marks(300-400) words

 

Q5. Explain the basic competitive priorities considered while formulating operations strategy by a firm?10 marks(300-400 words

 

Q6. Explain briefly the four classification of scheduling strategies?10 marks(300-400 words

 

 

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(Spring 2013)

Master of Business Administration- Semester 2

MB 004/MB5F 201 “FINANCIAL MANAGEMENT”

(4 credits)

(Book ID: B1628)

ASSIGNMENT- Set 1

Marks 60

Note: Each Question carries 10 marks. Answer all the questions.

Q1. What are the goals of financial management?(10 Marks)

Answer : Assuming that we restrict ourselves to for-profit businesses, the goal of financial management is to make money or add value for the owners. This goal is a little vague, of course, so we examine some different ways of formulating it in order to come up with a more precise definition.

Possible Goals

If we were to consider possible financial goals, we might come up with some ideas like the following:

  • Survive.
  • Avoid financial distress and bankruptcy.
  • Beat the competition.
  • Maximize sales or market share.
  • Minimize costs.
  • Maximize profits.
  • Maintain steady earnings growth.

Profit maximization would probably be the most commonly cited goal, but even this is not a very precise objective. Do we mean profits this year? If so, then we should note that actions such as deferring maintenance, letting inventories run down, and taking other short-run cost-cutting measures will tend to increase profits now, but these activities aren’t necessarily desirable.

 

The Goal of Financial Management

 

The financial manager in a corporation makes decisions for the stockholders of the firm. Given this, instead of listing possible goals for the financial manager, we really need to answer a more fundamental question: From the stockholders’ point of view, what is a good financial management decision?

If we assume that stockholders buy stock because they seek to gain financially, then the answer is obvious: Good decisions increase the value of the stock, and poor decisions decrease the value of the stock.

 

Given our observations, it follows that the financial manager acts in the shareholders’ best interests by making decisions that increase the value of the stock. The appropriate goal for the financial manager can thus be stated quite easily:

 

The goal of financial management is to maximize the current value per share of the existing stock.

The goal of maximizing the value of the stock avoids the problems associated with the different goals we listed earlier. There is no ambiguity in the criterion, and there is no short-run versus long-run issue. We explicitly mean that our goal is to maximize the current stock value.

 

If this goal seems a little strong or one-dimensional to you, keep in mind that the stockholders in a firm are residual owners. By this we mean that they are only entitled to what is left after employees, suppliers, and creditors (and everyone else with legitimate claims) are paid their due. If any of these groups go unpaid, the stockholders get nothing. So, if the stockholders are winning in the sense that the leftover, residual portion is growing, it must be true that everyone else is winning also.

 

Because the goal of financial management is to maximize the value of the stock, we need to learn how to identify those investments and financing arrangements that favourably impact the value of the stock. This is precisely what we will be studying. In fact, we could have defined corporate finance as the study of the relationship between business decisions and the value of the stock in the business.

 

A More General Goal

 

Given our goal as stated in the preceding section (to maximize the value of the stock), an obvious question comes up: What is the appropriate goal when the firm has no traded stock? Corporations are certainly not the only type of business; and the stock in many corporations rarely changes hands, so it’s difficult to say what the value per share is at any given time.

 

As long as we are dealing with for-profit businesses, only a slight modification is needed. The total value of the stock in a corporation is simply equal to the value of the owners’ equity. Therefore, a more general way of stating our goal is as follows: Maximize the market value of the existing owners’ equity.

 

Q2. Calculate the PV of an annuity of Rs. 500 received annually for four years when discounting factor is 10%.(10 Marks) (350-400 words)

 

 

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Q3. Suraj Metals are expected to declare a dividend of Rs. 5 per share and the growth rate in dividends is expected to grow @ 10% p.a. The price of one share is currently at Rs. 110 in the market. What is the cost of equity capital to the company?(10 Marks) (350-400 words)

Q4. What are the assumptions of MM approach?(10 Marks) (350-400 words)

Q5. An investment will have an initial outlay of Rs 100,000. It is expected to generate cash inflows.

Table 1.2 highlights the cash inflow for four years.

 

 

 

Table 1.2: Cash inflow

 

Year

 

Cash inflow

 

1 40000

 

2 50000

 

3 15000

 

4 30000

 

 

If the risk free rate and the risk premium is 10%,

 

a) Compute the NPV using the risk free rate

b) Compute NPV using risk-adjusted discount rate(10 Marks) (350-400 words)

 

Q6. What are the features of optimum credit policy?(10 marks) (350-400 words)

 

 

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Master of Business Administration- MBA Semester 2

MB0046 —Marketing Management – 4 Credits

(Book ID: B 1629)

Assignment Set -1 (60 marks)

Note: Assignment Set -1 must be written within 6-8 pages. Answer all questions.

 

Q1. Explain the stages in the new product development process.

Answer :  The new product development process has the potential to be haphazard because of the inherent uncertainty in the process, as well as the myriad methods available for product development. Setting up an organizing framework to identify the stages in the process, and the methods applicable to each stage, should help in bringing order to the process.

This is a straightforward way of looking at the process that starts with idea generation, moves to development of individual features and then to full product development and finally into product testing. Of course, this is one example of how the process can be viewed and not a rigid framework. There has to be considerable fluidity in the system to accommodate feedback, skipping of stages, use of new methods and perhaps introduction of new stages.

 

Idea Generation

Many methods are available for the idea generation stage such as brainstorming, Delphi and focus groups. The basic approach is to harness creativity in some form for the development of new ideas. While there is much to recommend for the more qualitative approaches, one of the drawbacks is the lack of quantitative validity to the ideas at this stage. That is, the ideas have not been shown to have popularity in the constituency that matters — the customers. We have found that the Smart Incentives approach can provide both creativity and validation in the same step.

 

Feature Development

Feature development is the process of identifying features that would be of interest to customers. Traditional methods such as Importance Scales can be used, but may not provide sufficient discrimination between features. Pair wise comparisons of features are a straightforward method for identifying feature importance. The task is simple, but can be tedious if a large list of features needs to be culled. More recently developed methods such as Max-Diff scaling can provide a better alternative.

 

Another alternative is the Kano method where the positive and negative aspect of each feature is rated in order to distinguish the “must have“ features from the “nice to have” features. The final method in this stage (that straddles this and the next stage) is the Self-explicated Method (SEM). Respondents rate the desirability of each level of each attribute as well as the importance of each attribute.

Product Development

In this stage, combinations of features are used to build or evaluate the product. The Configurator allows survey respondents to build their ideal product by selecting from a list of available features. Usually prices are provided at the feature level to ensure that respondents make realistic decisions. As respondents build their own ideal products, the most popular features and feature combinations rise to the surface, resulting in the automatic development of preference based market segments. The Optimizer is different in that respondents make choices from among fully formed products.

 

The various flavours of conjoint (such as traditional, discrete choice, adaptive) can also be used in this stage to identify feature importance. But care has to be taken to ensure that the basic assumptions are met and that the right type of conjoint is used.

 

Product Testing

Conjoint analysis can be fruitfully used in this stage also to estimate the interest in various product combinations and especially in running market simulations. The latter ability is very important in cases where a strong competitive market exists and reasonable estimates of take rates and ability to choose the ideal combination for the market are requisites. Concept testing is much more limited than conjoint and is usually used when the product is almost set except for perhaps one or two questions, often relating to price.

In short, the chaos of the product development process can be structured, and appropriate methods applied, to gain maximum benefit at different stages.

 

 

Q2. Explain the steps in Marketing Research Process 10 marks(350-400 words)

 

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Q3. Write a short notes on :

A. Marketing Plan

B. Marketing Planning process5+5 = 10 marks(200-250 wordseach)

 

Q4. Describe the international market entry strategies in brief 10 marks(350-400 words)

 

Q5. Discuss the various Price adjustment options adopted by the companies 10 marks(350-400 words)

 

Q6. Define Personal selling and also explain the personal selling process. 10 marks(350-400 words)

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Spring/Feb 2013

Master of Business Administration- MBA Semester 2

MB0047 —Management Information System -4 Credits

(Book ID:B1630)

Assignment Set -1 (60 marks)

Note: Assignment Set -1 must be written within 6-8 pages. Answer all questions.

 

Q1.Explain DFD & Data Dictionary? Explain in detail how the information requirement is determined for an organization?

Answer : DFD:- Data flow diagrams represent the logical flow of data within the system. DFD do not explain how the processes convert the input data into output. They do not explain how the processing takesplace.DFD uses few symbols like circles and rectangles connected by arrows to represent data flows. DFDcan easily illustrate relationships among data, flows, external entities stores.

DFD can also be drawn in increasing levels of detail, starting with a summary high level view and

proceeding o more detailed lower level views. Rounded rectangles represent processes that transform flow of data or work to be done. Rectangle represents external agents- the boundary of the system. Its source or destination of data.

– Choose meaningful names for the symbols on the diagram.

– Number the processes consistently. The numbers do not imply the sequence.

– Avoid over complex DFD.

– Make sure the diagrams are balanced

Data Dictionary

The data dictionary is used to create and store definitions of data, location, format for storage and

other characteristics. The data dictionary can be used to retrieve the definition of data that has

already been used in an application. The data dictionary also stores some of the description of data

structures, such as entities, attributes and relationships. It can also have software to update itself and to produce reports on its contents and to answer some of the queries. Determining the Information Requirement The sole purpose of the MIS is to produce such information which will reduceuncertaintyrisk in a given situation. The difficulty to determine a correct and complete set of information is on account of the factors given below:

 

1. The capability constraint of the human being as an information processor, a problem solver

and a decision-maker.

2. The nature and the variety of information in precise terms.

3. Reluctance of decision-makers to spell out the information for the political and the

behavioural reasons.

4. The ability of the decision-makers to specify the information. In spite of these difficulties,

methods are evolved based on the uncertainty scale, starting from the low to the high level

of uncertainty. If the uncertainty is low, seeking information requirement or needs is easy as

against a very high level of uncertainty.

 

There are four methods of determining the information requirements. They are:

  • Asking or interviewing
  • Determining from the existing system
  • Analysing the critical success factors
  • Experimentation and modelling.

 

Asking or Interviewing

In this method a designer of the MIS puts questions or converses with the user of the information and determines the information requirements. Putting the questions is an art and it should be used

properly to seek information. When the user has to select one answer from a finite set of answers a

closed question should be asked.

 

Determining from the Existing System

In a number of cases the existing system, which has been evolved after a number of years, and has

been designed out of experience gives straightaway the requirement of information. In any situations, systems from other companies can give additional information requirements.

The fund of knowledge is available from the textbooks, handbooks, research studies which can

determine the information requirement.

The managers in the operations and the middle management use the existing systems as a reference for determining the information requirements. This method is adopted when the rules and decision methods are outside the purview of the decision maker.

 

Analyzing the Critical Success Factors

Every business organization performs successfully on efficient management of certain critical success

factors. Other factors are important and play a support role in the functioning of the organization.

Many times a function is singularly critical to the successful functioning of a business organization.

 

Experimentation and Modelling

When there is total uncertainty, the designer and the user of the information resort to this method for determining the information requirement. The experimentation would decide the methodology for handling the complex situation. If the method is finalised, the information needs are determined as they have been evolved through the experimentation. Test marketing of a product is an approach of the experimentation to decide the correct marketing strategy. Sometimes models are used for

deciding the initial information needs and they are modified during the implementation stage.

 

 

Q2.What is MIS? Define the characteristics of MIS? What are the basic Functions of MIS? Give some Disadvantage of MIS?10 marks(350-400 words)

 

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Q3.Explain Knowledge based system? Explain DSS and OLAP with example?10 marks(350-400 words)

 

Q4.What are Value Chain Analysis & describe its significance in MIS? Explain what is meant by BPR? What is its significance? How Data warehousing & Data Mining is useful in terms of MIS?

10 marks(350-400 words)

 

Q5.Distinguish between closed decision making system & open decision making system? What is ‘What — if‘ analysis? Why is more time spend in problem analysis & problem definition as compared to the time spends on decision analysis?10 marks(350-400 words)

 

Q6.What is ERP? Explain its existence before and its future after? What are the advantages & Disadvantages of ERP? What is Artificial Intelligence? How is it different from Neural Networks?

10 Marks(350-400 words)

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Spring 2013

Master of Business Administration- MBA Semester 1

MB0048 —Operations Research- 4 Credits

(Book ID: B1631)

Assignment Set – 1 (60 Marks)

Note: Assignment Set -1 must be written within 6-8 pages. Answer all questions.

Q1.Explain the scope of Operations Research. What are the features of Operations Research?10 marks

Answer:  Role And Scope of Operations Research

The term operations research originated during second world war when U.S.A and Great Britain’s Armed Forces sought hesitance of scientists to solve complex and very difficult strategically and tactical problems of warfare, like making mines harmless or increasing the efficiency of antisubmarine aerial wafer etc.

 

Operations research employs mathematical logic to complex problems requiring managerial decisions. It signifies research on operations. However, it take-in consideration a particular view of operations and a particular kind of research. Operations research is the organized application of modern science, mathematics and computer techniques to complex military, government, business or industrial problems arising in the direction and management of large system of men, materials, money and machines.

 

The purpose is to provide the management with explicit quantitative understating and assessment of complex situations; to have sounder basis for arriving at best decisions. Operations research seeks the optimum state in all spheres and thus provides optimum solution to organizational problems. It is of considerable value in production management.

 

Characteristics of Operations Research

Operations research, an interdisciplinary division of mathematics and science, uses statistics, algorithms and mathematical modelling techniques to solve complex problems for the best possible solutions. This science is basically concerned with optimizing maxima and minima of the objective functions involved. Examples of maxima could be profit, performance and yield. Minima could be loss and risk. The management of various companies has benefited immensely from operations research.

 

Operations research is also known as OR. It has basic characteristics such as systems orientation, using interdisciplinary groups, applying scientific methodology, providing quantitative answers, revelation of newer problems and the consideration of human factors in relation to the state under which research is being conducted.

 

Systems Orientation

This approach recognizes the fact that the behaviour of any part of the system has an effect on the system as a whole. This stresses the idea that the interaction between parts of the system is what determines the functioning of the system. No single part of the system can have a bearing effect on the whole.

OR attempts appraise the effect the changes of any single part would have on the performance of the system as a whole. It then searches for the causes of the problem that has arisen either in one part of the system or in the interrelation parts.

Interdisciplinary groups

The team performing the operational research is drawn from different disciplines. The disciplines could include mathematics, psychology, statistics, physics, economics and engineering. The knowledge of all the people involved aids the research and preparation of the scientific model.

Application of Scientific Methodology

OR extensively uses scientific means and methods to solve problems. Most OR studies cannot be conducted in laboratories, and the findings cannot be applied to natural environments. Therefore, scientific and mathematical models are used for studies. Simulation of these models is carried out, and the findings are then studied with respect to the real environment.

 

New Problems Revealed

Finding a solution to a problem in OR uncovers additional problems. To obtain maximum benefits from the study, ongoing and continuous research is necessary. New problems must be pursued immediately to be resolved. A company looking to reduce costs in manufacturing might discover in the process that it needs to buy one more component to manufacture the end product. Such a scenario would result in unexpected costs and budget overruns. Ensuring flexibility for such contingencies is a key characteristic of OR.

Provides Quantitative Answers

The solutions found by using operations research are always quantitative. OR considers two or more options and emphasizes the best one. The company must decide which option is the best alternative for it.

Human Factors

In other forms of quantitative research, human factors are not considered, but in OR, human factors are a prime consideration. People involved in the process may become sick, which would affect the company’s output.

 

 

Q2.Six Operators are to be assigned to five jobs with the cost of assignment in Rs. given in the matrix below. Determine the optimal assignment. Which operator will have no assignment?

10 marks

 

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Operators                                                                   Jobs

                                     1                         2                          3                                 4                                 5

 

1

2

3

4

5

6

 

6 2 5 2 6
2 5 8 7 7
7 8 6 9 8
6 2 3 4 5
9 3 8 9 7
4 7 4 6 8

 

Q3.a. Explain the Monte Carlo Simulation.

 

b. b. A Company produces 150 cars. But the production rate varies with the distribution.

 

Production Rate

 

147

 

148

 

149

 

150

 

151

 

152

 

153

 

Probability

 

 

0.05

 

0.10

 

0.15

 

0.20

 

0.30

 

0.15

 

0.05

 

 

At present the track will hold 150 cars. Using the following random numbers determine the average number of cars waiting for shipment in the company and average number of empty space in the truck. Random Numbers 82, 54, 50, 96, 85, 34, 30, 02, 64, 47.

5 +5 = 10 marks(200 – 250 words each)

 

Q4.Explain the Characteristics and Constituents of a Queuing System.10 marks(300 – 350 words each)

Q5.a. What do you mean by dominance? State the dominance rules for rows and columns.

 

Q6.a What are the differences between PERT and CPM?

 

b. Find the saddle point of the following game and state the optimum strategies for players A and

 

A

 

1                                      2                                   3                             4                         5

 

9 3 1 8 0
6 5 4 6 7
2 4 4 3 8
5 6 2 2 1

 

1

 

B  2

 

3

 

4

 

 

5 +5 = 10 marks(200 – 250 words each)

 

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(Spring/Feb 2013)

Master of Business Administration – MBA Semester 2

MB0049 — Project Management (4 credits)

(Book ID:B1632 )

ASSIGNMENT- Set 1

Marks 60

Note: Assignment Set -1 must be written within 6-8 pages. Answer all questions.

 

Q1. Describe the CPM model. Briefly explain   10 marks

 

Answer : As with Gantt Charts, the essential concept behind Critical Path Analysis is that you cannot start some activities until others are finished. These activities need to be completed in a sequence, with each stage being more-or-less completed before the next stage can begin. These are ‘sequential’ activities.

Other activities are not dependent on completion of any other tasks. You can do these at any time before or after a particular stage is reached. These are non-dependent or ‘parallel’ tasks.

Drawing a Critical Path Analysis Chart

Use the following steps to draw a CPA Chart:

Step 1. List all activities in the plan

For each activity, show the earliest start date, estimated length of time it will take, and whether it is parallel or sequential. If tasks are sequential, show which stage they depend on.

For the project example used here, you will end up with the same task list as explained in the article on Gantt Charts (we will use the same example as with Gantt Charts to compare the two techniques). The chart is repeated in Figure 1 below:

 

Figure 1. Task List: Planning a custom-written computer project

 

Task Earliest start Length Type Dependent on…
A. High level analysis Week 0 1 week Sequential
B. Selection of hardware platform Week 1 1 day Sequential A
C. Installation and commissioning of hardware Week 1.2 2 weeks Parallel B
D. Detailed analysis of core modules Week 1 2 weeks Sequential A
E. Detailed analysis of supporting modules Week 3 2 weeks Sequential D
F. Programming of core modules Week 3 2 weeks Sequential D
G. Programming of supporting modules Week 5 3 weeks Sequential E
H. Quality assurance of core modules Week 5 1 week Sequential F
I. Quality assurance of supporting modules Week 8 1 week Sequential G
J.Core module training Week 6 1 day Parallel C,H
K. Development and QA of accounting reporting Week 5 1 week Parallel E
L. Development and QA of management reporting Week 5 1 week Parallel E
M. Development of Management Information System Week 6 1 week Sequential L
N. Detailed training Week 9 1 week Sequential I, J, K, M

 

Step 2. Plot the activities as a circle and arrow diagram

Critical Path Analyses are presented using circle and arrow diagrams.

In these, circles show events within the project, such as the start and finish of tasks. The number shown in the left hand half of the circle allows you to identify each one easily. Circles are sometimes known as nodes.

An arrow running between two event circles shows the activity needed to complete that task. A description of the task is written underneath the arrow. The length of the task is shown above it. By convention, all arrows run left to right. Arrows are also sometimes called arcs.

An example of a very simple diagram is shown below:

 

 

This shows the start event (circle 1), and the completion of the ‘High Level Analysis’ task (circle 2). The arrow between them shows the activity of carrying out the High Level Analysis. This activity should take 1 week.

Where one activity cannot start until another has been completed, we start the arrow for the dependent activity at the completion event circle of the previous activity. An example of this is shown below:

 

 

 

Here the activities of ‘Select Hardware’ and ‘Core Module Analysis’ cannot be started until ‘High Level Analysis’ has been completed. This diagram also brings out a number of other important points:

Within Critical Path Analysis, we refer to activities by the numbers in the circles at each end. For example, the task ‘Core Module Analysis’ would be called activity 2 to 3. ‘Select Hardware’ would be activity 2 to 9.

Activities are not drawn to scale. In the diagram above, activities are 1 week long, 2 weeks long, and 1 day long. Arrows in this case are all the same length.

In the example above, you can see a second number in the top, right hand quadrant of each circle. This shows the earliest start time for the following activity. It is conventional to start at 0. Here units are whole weeks.

A different case is shown below:

 

 

Here activity 6 to 7 cannot start until the other four activities (11 to 6, 5 to 6, 4 to 6, and 8 to 6) have been completed.

Click the link below for the full circle and arrow diagram for the computer project we are using as an example.

Figure 5: Full Critical Path Diagram

This shows all the activities that will take place as part of the project. Notice that each event circle also has a figure in the bottom, right hand quadrant. This shows the latest finish time that’s permissible for the preceding activity if the project is to be completed in the minimum time possible. You can calculate this by starting at the last event and working backwards. The latest finish time of the preceding event and the earliest start time of the following even will be the same for circles on the critical path.

You can see that event M can start any time between weeks 6 and 8. The timing of this event is not critical. Events 1 to 2, 2 to 3, 3 to 4, 4 to 5, 5 to 6 and 6 to 7 must be started and completed on time if the project is to be completed in 10 weeks. This is the ‘critical path’ — these activities must be very closely managed to ensure that activities are completed on time. If jobs on the critical path slip, immediate action should be taken to get the project back on schedule. Otherwise completion of the whole project will slip.

 

 

 

Q2. Define risk management. What are the different types of risks that can affect a project?10 marks(300-400) words

 

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Q3. Briefly discuss the steps to close the project 10 marks(300-400) words

 

Q4. Discuss the various steps of PMIS planning.10 marks(300-400) words

 

Q5. What are the important approaches to project control? 10 marks(300-400) words

 

Q6. Describe the project planning process and explain it in detail.10 marks(300-400) words

 

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MB0044_MBA_Sem2_Fall/August 2012

Master of Business Administration – MBA Semester 2

MB0044 — Productions & Operations Management- 4 Credits

Assignment Set- 1 (60 Marks)

Note: Each question carries 10 Marks. Answer all the questions.

Q.1 What do you understand by Vendor-Managed Inventory (VMI)?

Answer :  Vendor-managed inventory (VMI) is a family of business models in which the buyer of a product provides certain information to a supplier of that product and the supplier takes full responsibility for maintaining an agreed inventory of the material, usually at the buyer’s consumption location (usually a store). A third-party logistics provider can also be involved to make sure that the buyer has the required level of inventory by adjusting the demand and supply gaps.

As a symbiotic relationship, VMI makes it less likely that a business will unintentionally become out of stock of a good and reduces inventory in the supply chain. Furthermore, vendor (supplier) representatives in a store benefit the vendor by ensuring the product is properly displayed and store staff are familiar with the features of the product line, all the while helping to clean and organize their product lines for the store.

One of the keys to making VMI work is shared risk. In some cases, if the inventory does not sell, the vendor (supplier) will repurchase the product from the buyer (retailer). In other cases, the product may be in the possession of the retailer but is not owned by the retailer until the sale takes place, meaning that the retailer simply houses (and assists with the sale of) the product in exchange for a predetermined commission or profit (sometimes referred to as consignment stock). A special form of this commission business is scan-based trading whereas VMI is usually applied but not mandatory to be used.

This is one of the successful business models used by Wal-Mart and many other big box retailers. Oil companies often use technology to manage the gasoline inventories at the service stations that they supply (see Petrolsoft Corporation). Home Depot uses the technique with larger suppliers of manufactured goods (i.e. Moen, Delta, RIDGID, Paulin). VMI helps foster a closer understanding between the supplier and manufacturer by using Electronic Data Interchange formats, EDI software and statistical methodologies to forecast and maintain correct inventory in the supply chain.

Vendors benefit from more control of displays and more customer contact for their employees; retailers benefit from reduced risk, better store staff knowledge (which builds brand loyalty for both the vendor and the retailer), and reduced display maintenance outlays.

Consumers benefit from knowledgeable store staff who are in frequent and familiar contact with manufacturer (vendor) representatives when parts or service are required. Store staff have good knowledge of most product lines offered by the entire range of vendors. They can help the consumer choose from competing products for items most suited to them and offer service support being offered by the store.

 

 

 

 

Q.2 Explain briefly the four classification of scheduling strategies & its approaches.

Answer : Scheduling strategies

A typical scheduling strategy used in Argentinian radio and television is called “pase” (Spanish for a “pass” as in a player passing the ball to another player of the same team). A few minutes before the end of a live broadcast show, followed by another live broadcast show, people from both programmes will share some air time together. This may be used for people from the starting programme to anticipate its contents of the day, or to participate in an ongoing discussion in the previous show, or simply for an entirely independent debate or chat that will not be furthered after the “pase”. On the radio, where newscasts are usually broadcast every thirty minutes, often in coincidence with the end of a show, the “pase” may take some minutes before the news, and sometimes some minutes afterwards, too.

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Q.3 Define production management. What are the various functions involved in production management?

 

Q.4 Explain the various phases in project management life cycle.

 

 

Q.6 Define the term quality. Explain the concept of quality at source.

Answer :  In order thoroughly to examine costs and benefits of schemes aimed at differentiating products and processes on the basis of quality criteria, it is important to define the concept of “quality”. Following the definition developed by Grunter and used by Burrell at al. in their report to

.

 

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MB0044_MBA_Sem2_Fall/August 2012

Master of Business Administration – MBA Semester 2

MB0044 — Productions & Operations Management – 4 Credits

Assignment Set- 2 (60 Marks)

Note: Each question carries 10 Marks. Answer all the questions.

Q.1 What is value engineering? Explain the steps involved in Value analysis.

Answer :  Value engineering (VE) is a systematic method to improve the “value” of goods or products and services by using an examination of function. Value, as defined, is the ratio of function to cost. Value can therefore be increased by either improving the function or reducing the cost. It is a primary tenet of value engineering that basic functions be preserved and not be reduced as a consequence of pursuing value improvements.[1]

In the United States, value engineering is specifically spelled out in Public Law 104-106, which states “Each executive agency shall establish and maintain cost-effective value engineering procedures and processes.” [2]

Value engineering is sometimes taught within the project management or industrial engineering body of knowledge as a technique in which the value of a system’s outputs is optimized by crafting a mix of performance (function) and costs. In most cases this practice identifies and removes unnecessary expenditures, thereby increasing the value for the manufacturer and/or their customers.

VE follows a structured thought process that is based exclusively on “function”, i.e. what something “does” not what it is. For example a screw driver that is being used to stir a can of paint has a “function” of mixing the contents of a paint can and not the original connotation of securing a screw into a screw-hole. In value engineering “functions” are always described in a two word abridgment consisting of an active verb and measurable noun (what is being done – the verb – and what it is being done to – the noun) and to do so in the most non-prescriptive way possible. In the screw driver and can of paint example, the most basic function would be “blend liquid” which is less prescriptive than “stir paint” which can be seen to limit the action (by stirring) and to limit the application (only considers paint.) This is the basis of what value engineering refers to as “function analysis”.[3]

Value engineering uses rational logic (a unique “how” – “why” questioning technique) and the analysis of function to identify relationships that increase value. It is considered a quantitative method similar to the scientific method, which focuses on hypothesis-conclusion approaches to test relationships, and operations research, which uses model building to identify predictive relationships.

Value engineering is also referred to as “value management” or “value methodology” (VM), and “value analysis” (VA).[4] VE is above all a structured problem solving process based on function analysis–understanding something with such clarity that it can be described in two words, the active verb and measurable noun abridgement. For example, the function of a pencil is to “make marks”. This then facilitates considering what else can make marks. From a spray can, lipstick, a diamond on glass to a stick in the sand, one can then clearly decide upon which alternative solution is most appropriate.

 

The Value Analysis process

 

Value Analysis is based on the application of a systematic work plan that may be divided in six steps, as shown in figure 3.

Figure 3

Steps involved in the application of Value Analysis

 

 

 

1: orientation/preparation

 

Identify what is to be analysed. This will typically be one of:

 

  • A manufactured item. This can be anything from a screw to an engine, although a more complex item is likely to result in a more complex and time-consuming analysis.
  • A process or service. Again, all levels can be analysed, from a hand assembly process to a complete customer service organisation.

2: information

 

Identify and prioritise the customers of the item from step 1. This may include external customers, such as ‘auto suppliers’ and internal customers, such as ‘finance manager’.

 

Note that external customers are usually more important than internal customers, and that seniority does not necessarily equate with priority. A customer’s preference for a product feature should be more important than the opinion of a senior designer.

 

3: analysis

 

In this phase the functions of the product are analysed by Functional Analysis, which is aimed at identifying functions given by a product or part of it. Functions have an importance (weight) and a cost. These costs are quantified and this leads to a list of functions ordered by their importance and value. This means that there is an analysis of how each function satisfies customer needs, and then, an analysis of what the cost of those functions is.

 

This phase of Value Analysis may be considered as the key one of the whole methodology as it represents the translation of needs to functions (see the specific technique).

 

4: innovation/creativity

 

For this phase it is necessary to use creative techniques that generate alternatives. Starting from the analysis of functions and costs, there is a search for means that allow elimination, change or improvement of components and functions.

 

It is important to look for different ways of satisfying the basic functions, even if it means rejecting the current approach and starting again with a clean drawing board. This requires the product or process to be ‘mentally destroyed’ and then rebuild a new one.

 

5: evaluation

 

It represents a confrontation of ideas, a collection of information about the feasibility and cost of those ideas, and measures the value of the best alternatives.

 

This analysis or evaluation uses the same techniques of value measurement that have been used in previous steps. At this point an examination is done about the grade of functional accomplishment and the economical analysis of those alternatives that offer the higher value. Some of the techniques are well-known such as Cash-flow analysis and break-even point.

 

The team involved in Value Analysis needs an objective analysis of the ideas generated through the innovation phase. The evaluation phase is carried out in two main steps:

 

  • A qualitative analysis of value regarding objectives in design, cost, implementation facilities, etc.
  • A quantitative analysis using numerical techniques of value measurement that leads to a few alternatives of high value that will be analysed in depth.

This process usually involves determining the cost and select those ideas that can be practically implemented. This may include work to develop and refine promising ideas into practical and optimum solutions.

 

6: implementation and monitoring

 

In this phase it is necessary to prepare a report that summarizes the work that has been done, including conclusions and specific proposals. It will be also necessary to describe actions plans for implementation, in which project management techniques would be useful.

 

Finally a plan should be included for monitoring of the actions. This should be based in the accomplishment of objectives.

 

The application of Value Analysis only needs to make use of Basic Techniques such as matrixes, pare to chart, pert and Gantt diagrams, etc., in most of the Value Analysis steps.

 

Table 2

Specific techniques to be applied in Value Analysis

Value analysis step Specific technique
1 orientation/preparation basic techniques
2 information
3 analysis functional analysis, basic techniques
4 innovation/creativity basic techniques
5 evaluation
6 implementation and monitoring

 

Nevertheless, there is one very specific technique worth to be mentioned, such as Functional Analysis, described in a specific section.

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Q.2 Describe dimensions of quality. Which are the quality control tools?

Q.3 What are the objectives of layout? Explain the classification of layouts.

Answer :  The main objectives of plant layout is to optimising the process of production process within the plant. such an optimizing results in :

Q.4 List the benefits of forecasting. Discuss the role of forecasting in modern business context.

Answer : Forecasting benefits

NOT MANY PEOPLE have trouble calculating costs. It takes a little more ingenuity to pin down the

 

Q.5 Mention the significance of plant location decision. Explain the location decision sequence.

Answer :   Units concerning both manufacturing as well as the assembling of the products are on a very large scale affected by the decisions involving the location of the plant. Location of the plant itself becomes a very important factor concerning service facilities, as the plant location decisions are strategic and long-term in nature.

 

Q.6 What is meant by business process? Explain logical process modelling?

Answer :  What Is a Business Process?

A process is a coordinated set of activities designed to produce a specific outcome. There are processes for saving a file, constructing a building, and cooking a meal. In fact, there is a process for almost everything we do. A business process is a type of process designed to achieve a particular

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MB0045_MBA_Sem2_Fall/August 2012

Master of Business Administration – MBA Semester 2

MB0045 —Financial Management – 4 Credits

Assignment Set- 1 (60 Marks)

Note: Each question carries 10 Marks. Answer all the questions.

Q.1 Considering the following information, what is the price of the share as per Gordon’s Model?

Details of the Company

 

 Net sales Rs.120 lakhs
Net profit margin 12.5%
Outstanding preference shares Rs.50 lakhs@ 12% dividend
No. of equity shares 25, 000
Cost of equity shares 12%
Retention ratio 40%
Rate of interest (ROI) 16%

 

Answer :

Solution:

Gordon formula of P = 

Where P is the price of the share,

E is Earnings per share,

b is Retention ratio,

(1 — b) is dividend payout ratio,

Ke is cost of equity capital,

br is growth rate in the rate of return on investment

Earnings per share, E = (Net profit after tax − Preference dividend) / No. of equity shares

 

Q.2 Examine the components of working capital & also explain the concepts of working capital.

Answer :  There are two important concepts of Working Capital — gross and net

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Gross Working  Capital:  Gross Working Capital refers to  the  amounts invested  in  the  various components of current assets.  This concept has the following practical relevance.

 

Q.3 Internal capital rationing is used by firms for exercising financial control. How does a firm achieve this?

Answer :  Capital budgeting decisions involve huge outlay of funds. Funds available for  projects may be limited. Therefore,

Q.4 What are the objectives of working capital management? Briefly explain the various elements of operating cycle.

Answer :  Aim of Working Capital Management

 

Q.5 Define risk. Examine the need for assessing the risks in a project.

Answer :  Risk is the potential that a chosen action or activity (including the choice of inaction) will lead to a loss (an undesirable outcome). The notion implies that a

 

Q.6 Briefly examine the significance of identification of investment opportunities in capital budgeting process

Answer :  The extent to which the capital budgeting process needs to be formalized and systematic procedures established depends on the size of the

 

 

 

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MB0045_MBA_Sem2_Fall/August 2012

Master of Business Administration – MBA Semester 2

MB0045 — Financial Management – 4 Credits

Assignment Set- 2 (60 Marks)

Note: Each question carries 10 Marks. Answer all the questions.

Q.1 Examine the reasons for holding inventories by a firm & also discuss the techniques of inventory control.

Answer : Whether a business is in retailing or manufacturing, there are several cogent reasons for holding inventory. Businesses may hold stocks of raw materials, spare parts for machinery, work in progress or finished goods. Given that there are costs involved with purchases, orders and carriage inwards, a firm might want to minimize its order costs and utilize storage space efficiently. While a business would incur holding costs when storing inventory, these costs can be offset if there are good business reasons for so doing.

 

 

== To meet expected demand ==

 

A business must ensure that it has adequate supplies to meet expected demand for its goods, regardless of whether it is a retailing or production environment. Particularly where a business has a high demand and rapid turnover, having stock in storage ensures that the firm can comfortably meet anticipated demand.

 

== To guard against shortages ==

Holding inventory can act as insurance against future shortages. Unexpected shortages in the supply of raw materials or finished goods can affect the production run of a business or its ability to meet demand. Holding inventories allows a degree of continuity for the activities of an enterprise.

 

== To benefit from discounts ==

Suppliers often offer trade discounts for bulk purchases, once those purchases are above a certain amount. A business can reduce the unit cost of materials and its ordering costs (delivery, import duties) by purchasing a large amount of goods/ raw materials to hold in stock.

 

== To deal with variations in usage or demand ==

“Usage” refers to production consumption in a manufacturing process. Increased usage can increase the demand for materials. This is the result of either increased inefficiency or increased production levels. Sometimes a business might cater for special orders or have high seasonal demand that it must address, requiring additional stock to facilitate such occurrences.

 

== To facilitate the production process ==

Stock can allow the manufacturing process to flow smoothly and help the business to respond quickly and effectively to contingencies.

 

== In times of high inflation/ supply shortages ==

Holding vast supplies of inventories can be a deliberate strategy in response to unusual or difficult economic circumstances. In times of high inflation, a business might not wish to purchase stock at increasingly higher prices. Once the business determines that it is feasible to hold additional inventory beyond the usual levels, this is a very sensible strategy.

 

== Some processes require holding work in progress ==

Inventory can also include work in progress. Some products might have longer production cycles than others (like wine or cheese for instance). It is necessary to hold a high volume of inventory to cater for the inherent nature of production in some business contexts.

 

Techniques of Inventory control

Naturally, there are restrictions on how much inventory a business could or should hold. The nature of the product, regulations and maximum storage capacity are some elements that limit or deter a business from holding too much inventory.  Once a business decides to hold inventory, then a proper inventory management and control system is necessary to optimize both the stock levels and inventory costs.

 

There are several techniques a person can use to increase profitability and streamline workflow via proper inventory control. Through research, competitive analysis and experience, an effective business leader can balance costs versus benefits to storing and ordering the necessary supplies to ensure business vitality. The supply chain is made of all materials that help you to produce, market and supply your product. Inventory control means that you have identified every facet of your supply chain and its logistics.

 

 

FIFO

If you deal in perishable items, FIFO (first in, first out) is an important concept to understand and maintain throughout the supply chain. If a grocery store did not rotate their stock, new stock coming in would get taken immediately and older stock would expire, causing great loss. Stock must be arranged by date received.

 

Cutting Edge Control

For a great deal of stock that needs constant management, consider bar codes or RFID (radio frequency identification) where hand-held readers can immediately tell you where valuable merchandise is. Many IT inventory programs on the market provide a wealth of features including tie-ins to USPS, Fed-Ex and/or UPS to track merchandise and provide real-time logistics.

 

Costs versus Convenience

A business owner must balance space available for extra stock versus speed of product turnover, fees for storage, cost in bulk versus regular ordering, and whether clients/end users would be willing to wait.

 

Stock Levels

Defining your minimum stock level will allow you to set up regular inspections and re-ordering of supplies. Take into account emergencies and vendors taking longer than average to replenish stock. This will aid you in arriving at JIT (just in time) ordering, where stock is held for a minimum amount of time before moving on to the next stage in the supply chain.

 

Your Security

Stock security is a necessary cost. Many experts recommend separating staff that is responsible for stock management from staff that has financial responsibility. Many times, shoplifting and thievery is committed by employees rather than a stranger. Security guards, cameras, bar codes and security devices are used by most businesses since the cost of security is minimal compared to the millions of dollars that U.S. businesses lose each year to stolen goods. Training staff in identifying potential security issues and having a clear method of reporting violations is important in reducing crime. Often, shoplifters and thieves use standard techniques to distract employees and take stock.

 

Stock on Hand

Having a great deal of stock on hand has both positive and negative consequences. Having an immediate supply means that end users get their product that much sooner. Speed and immediate gratification for a client can make the difference not only in a sale, but recommendations, repeat business and client loyalty. In the modern business environment where every business is a global business, an emergency or unforeseen circumstance anywhere in the world can render competition without resources you have on hand. Of course, one must take into account using capital in bulk buys, management and insurance costs as well as goods perishing or becoming obsolete.

 

 

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Q.2 a.) A bond of Rs. 1000 value carries a coupon rate of 10% and has a maturity period of 6 years. Interest is payable semi-annually. If the required rate of return is 12%, calculate the value of the bond. ( 5marks)

Answer :  solution Value of bond =Rs50 (PVIFA 6%,12Yeaes ) +1000 PVIF 6%,12 Years. Rs 50 (8.384 ) +1000 (0.497) = Rs 419.2+ 497 = Rs 916.20

Q.3 Examine the features & evaluation of decision-tree approaches.

Answer : Decision-tree Approach

The Decision-tree Approach (DT) is another useful alternative for evaluating risky investment proposals. The outstanding feature of this method is that it

 

Q.5 Critically examine the pay-back period as a technique of approval of projects.

Answer :  Definition: An investment’s payback period in years is equal to the net investment amount divided by the average annual cash flow from the investment.

 

 

What it means: How long will it take to get my money back?

 

Strengths: It’s easy to compute, easy to understand and provides some indication of risk by separating long-term projects from short-term projects.

 

Q.6 Two companies are identical in all aspects except in the debt-equity profile. Company X has 14% debentures worth Rs. 25,00,000 whereas company Y does not have any debt. Both companies earn 20% before interest and taxes on their total assets of Rs. 50,00,000. Assuming a tax rate of 40% and cost of equity capital to be 22%, find out the value of the companies X and Y using NOI approach.

Answer : Solution

S= 1000,000/.22 =4545454.5

B=25,00,000

 

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MB0046_MBA_Sem2_Fall/August 2012

Master of Business Administration – MBA Semester 2

MB0046 — Marketing Management – 4 Credits

Assignment Set- 1 (60 Marks)

Note: Each question carries 10 Marks. Answer all the questions.

Q.1 Marketing involves satisfaction of consumer needs’. Elucidate the statement.

Answer :  Customer satisfaction refers to the extent to which customers are happy with the products and services provided by a business. Customer satisfaction levels can be measured using survey techniques and questionnaires. Gaining high levels of customer satisfaction is very important to a business because satisfied customers are most likely to be loyal and to make repeated orders and to use a wide range of services offered by a business.

The need to satisfy customer for success in any commercial enterprises is very obvious. The income of all commercial enterprises is derived from the payments received for the products and services to its external customers. Customers are the sole reason for the existence of commercial establishments.

Since sales are the most important goal of any commercial enterprise, it becomes necessary to satisfy customers. For customer satisfaction it is necessary to establish and maintain certain important characteristics like:

a. Quality

b. Fair prices

c. Good customer handling skills

d. Efficient delivery

e. Serious consideration of consumer complaints.

Satisfaction is the feeling of pleasure or disappointment attained from comparing a products perceived performance (outcome) in relation to his or her expectations. If the performance falls short of expectations, the customer is dissatisfied. If the performance matches the expectations, the customer is satisfied. If the performance exceeds expectations, the customer is highly satisfied or delighted.

 

A. Discovering Consumer Needs

Marketing’s first objective is discovering the needs of prospective consumers.

  • The Challenge of Launching Winning New Products Discovering and satisfying needs can be difficult.
  • Companies invest huge sums on marketing and technical research that reduces, but cannot eliminate, new-product failures.
  • Discovering needs involves looking carefully at prospective customers.
  • A firm’s marketing department must understand

 

 

  • what its customer needs,
  • industry trends,
  • competitors’ products,
  • and needs of a customer’s customer.

 

Consumer Needs and Consumer Wants

  • A need occurs when a person feels physiologically deprived of basic necessities, such as food, clothing, and shelter.
  • A want is a felt need that is shaped by a person’s knowledge, culture, and personality. Marketing does not create the need for a product, but shapes a person’s wants.

ETHICS AND SOCIAL RESPONSIBILITY ALERT

 

  • Potential consumers make up a market,
  • which is people with
  • the desire and
  • with the ability
  • to buy a specific product.

 

 

B. Satisfying Consumer Needs

  • An organization does not have the resources to satisfy the needs of all consumers.
  • It focuses on the needs of its target market

Target Market one or more specific groups of potential consumers toward which an organization directs its marketing program.

 

Global Competition, Customer Value, and Customer Relationships

  • Intense domestic and global competition has prompted many firms to focus on providing customer value.
  • Firms try to place a dollar value on a loyal, satisfied customer.

Customer value          the unique combination of benefits received by targeted buyers that includes quality, price, convenience, on-time delivery, and both before-sale and after-sale service.

 

Relationship Marketing and the Marketing Program

1. Easy to Understand

1.Relationship marketing links the organization for mutual long-term benefits to

  • individual customers,
  • employees,
  • suppliers,
  • other partners.

2.Difficult to implement on a long term basis

3. critical in developing effective customer relationships

 

C. The Marketing Program:  marketing program   a plan that integrates the marketing mix to provide a good, service, or idea to prospective buyers.

  • This process is continuous:
  • Consumer needs trigger product concepts
  • that become actual products
  • that stimulate further discovery of consumer needs.

 

 

Q.2 Conduct a SWOT analysis for any one automobile brand of your choice. How will this analysis help in planning marketing strategies for the brand?

Answer :  SWOT is an acronym for strengths, weaknesses, opportunities and threats, and represents the key categories for a particular type of business analysis. Car dealerships use it to determine how they fare versus competitors in their local markets.

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Q.3 Explain in brief the process involved in personal selling.

Answer

Q.4 Describe the stages of business buying process.

Answer :  20 Steps to Business Buying

VR’s Proven 20 Step Buying Process for Buying an Existing Business summarizes the Buying Process and is an excellent “road map” for new buyers to understand before they embark on this exciting path of controlling their own future.

Q.5 Why is rural market important? What should marketers keep in mind when catering to this market?

Answer :  Marketers should know one basic rule-India is second largest consumer market in

not on margins in rural markets.

 

Q.6 Explain the core concepts of marketing. Define service and explain its relevance in modern society

Answer :  Marketing as a subject of study is now attracting attention from business firms, companies, institutions and even from countries.

 


 

MB0046_MBA_Sem2_Fall/August 2012

Master of Business Administration – MBA Semester 2

MB0046 — Marketing Management – 4 Credits

Assignment Set- 2 (60 Marks)

Note: Each question carries 10 Marks. Answer all the questions.

Q.1 Explain the various steps involved in the design of a distribution channel.

Answer : Distribution is one of the classic “4 Ps” of marketing (product, promotion, price, placement a.k.a. “distribution”). It’s a key element in your entire marketing strategy – it helps you expand your reach and grow revenue.

 

B2B and B2C companies can sell through a single channel or through multiple channels that may include:

 

  • Wholesaler/Distributor
  • Direct/Internet
  • Direct/Catalo
  • Direct/Sales Team
  • Value-Added Reseller (VAR)
  • Consultant
  • Dealer
  • Retail
  • Sales Agent/Manufacturer’s Rep

 

: Here are three distribution examples

DIRECT TO END USERS SELL THROUGH A DEALER NETWORK SELL THROUGH A VAR (VALUE-ADDED RESELLER)
You have a sales team that sells directly to Fortune 100 companies.You have a second product line for small businesses. Instead of using your sales team, you sell this line directly to end-users through your website and marketing campaigns.

You have two markets and two distribution channels.

You sell a product through a geographical network of dealers who sell to end-users in their areas. The dealers may service the product as well.Your dealers are essentially your customers, and you have a strong program to train and support them with marketing campaigns and materials. You sell a product to a company who bundles it with services or other products and resells it. That company is called a Value Added Reseller (VAR) because it adds value to your product.A VAR may work with an end-user to determine the right products and configurations, and then implement a system that includes your product.

 

To create a good distribution program, focus on the needs of your end-users.

 

  • If users need personalized service, you can utilize a local dealer network or reseller program to provide that service.
  • If your users prefer to buy online, you can create an e-commerce website and fulfilment system and sell direct; you can also sell to another online retailer or distributor that can offer your product on their own sites.
  • You can build your own specialized sales team to prospect and close deals directly with customers.

Wholesalers, resellers, retailers, consultants and agents already have resources and relationships to quickly bring your product to market. If you sell through these groups instead of (or in addition to) selling direct, treat the entire channel as a group of customers — and they are, since they’re buying your product and reselling it. Understand their needs and deliver strong marketing programs; you’ll maximize everyone’s revenue in the process.

Best Case Neutral Case Worst Case
You’ve used one or more distribution channels to grow your revenue and market share more quickly than you would have otherwise.Your end-users get the information and service they need before and after the sale.

If you reach your end-user through wholesalers, VARs or other channel partners, you’ve created many successful marketing programs to drive revenue through your channel and you’re committed to their success.

You’re using one or more distribution channels with average success. You may not have as many channel partners as you’d like, but your current system is working moderately well.You devote resources to the program, but you wonder whether you’d be better off building an alternative distribution method – one that could help you grow more aggressively than you are growing now. You probably aren’t hitting your revenue goals because your distribution strategy is in trouble.With your current system, you may not be effectively reaching your end-users; your prospects probably aren’t getting the information and service they need to buy your product.

Your current system may also be difficult to manage. For example, channel members may not sell at your suggested price; they don’t follow up on leads you deliver; they don’t service the product very well and you’re taking calls from angry customers.

 

Distribution Channels Key Concepts & Steps

Before you begin

 

You can evaluate a new distribution channel or improve your channel marketing / management at any time. It’s especially important to think about distribution when you’re going after a new customer segment, releasing a new product, or looking for ways to aggressively grow your business.

 

Evaluate how your end-users need to buy

Your distribution strategy should deliver the information and service your prospects need. For each customer segment, consider:

 

  • How and where they prefer to buy
  • Whether they need personalized education and training
  • Whether they need additional products or services to be used along with yours
  • Whether your product needs to be customized or installed
  • Whether your product needs to be serviced

 

 

Match end-user needs to a distribution strategy

 

  • If your end-users need a great deal of information and service, your company can deliver it directly through a sales force. You can also build a channel of qualified resellers or consultants. The size of the market and your price will probably dictate which scenario is best.
  • If the buying process is fairly straightforward, you can sell direct via a website/catalo or perhaps through a wholesale/retail structure. You may also use an inbound telemarketing group or a field sales team.
  • If you need complete control over your product’s delivery and service, adding a channel probably isn’t right for you.

 

Identify natural partners

 

If you want to grow beyond the direct model, look for companies that have relationships with your end-users. If consultants, wholesalers or retailers already reach your customer base, they’re natural partners.

 

Build your distribution channel

 

If you’re setting up a distribution channel with one or more partners, treat it as a sales process:

 

  • Approach the potential channel partner and “sell” the value of the partnership.
  • Establish goals, service requirements and reporting requirements.
  • Deliver inventory (if necessary) and sales/support materials.
  • Train the partner.
  • Run promotions and programs to support the partner and help them increase sales.

 

Minimize pricing conflicts

If you use multiple channels, carefully map out the price for each step in your channel and include a fair profit for each type of partner. Then compare the price that the end-user will pay; if a customer can buy from one channel at a lower price than from another, your partners will rightfully have concerns. Pricing conflict is common, and it can jeopardize your entire strategy, so do your best to map out the price at each step and develop the best solution possible.

 

Drive revenue through the channel

 

Service your channel partners as you’d service your best customers and work with them to drive revenue. For example, provide them with marketing funds or materials to promote your products; run campaigns to generate leads and forward them to your partners.

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Q.2 Will the pricing and product policy of a multinational firm be different in a developed and an underdeveloped country? Justify your answer.

 

Q.3 Explain the consumer decision making process

Answer :

 

Q.4 What is integrated marketing communication? Explain the integration marketing communication development process.

Answer :  Integrated Marketing Communications is a

 

Q.5 Explain the types of advertisements and characteristics of major media.

Answer :  Types of Media and Their Characteristics

 

Q.6 What are the advantages of branding? What value does the organisation and customers get out of the branding process?

Answer : Branding is the process of creating distinctive and durable perceptions

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Feb/Spring 2012


 

Master of Business Administration – MBA Semester II

MB0047 — Management Information Systems – 4 Credits

(Book ID: B1136)

Assignment – Set- 1 (60 Marks)

Marks-60

 

Attempt each question. Each question carries 10 marks:

1. What is MIS? Define the characteristics of MIS? What are the basic Functions of MIS? Give some Disadvantage of MIS?

The industrial revolution has slowly replaced man power with machines. There emerged the use of computer for data processing. The digital computer was mainly designed to handle scientific calculations. During 1940 to 1960 computers were used commercially for census and payroll work which involved large amount of data processing. Since then the commercial application exceeded the scientific applications.

Computer Based Information systems are of vital importance in modern organization. Systems professionals analyze, design, develop, implement and manage state-of-the-art telecommunications, multi-media and other computer-based information systems. In addition to maintaining traditional transaction processing systems, today’s IS professionals are involved in exciting developments in computing systems, such as decision support and expert systems, database development and enhancement, development and use of Graphical User Interfaces (GUI), systems design using object oriented programming, design and management of telecommunications systems, and the management of end-user computing. So you can define MIS is a method of generating information which is used by management or organization for decision making, control of activities and operations etc

 

 MIS characteristics

· It supports transaction handling and record keeping.

· It is also called as integrated database Management System which supports in major functional areas.

· It provides operational, tactical, and strategic level managers with east access to timely but, for the most, structured information.

· It supports decision —making function which is a vital role of MIS.

· It is flexible which is needed to adapt to the changing needs of the organization.

· It promotes security system by providing only access to authorized users.

· MIS not only provides statistical and data analysis but also works on the basis on MBO (management by objectives). MIS is successfully used for measuring performance and making necessary change in the organizational plans and procedures. It helps to build relevant and measurable objectives, monitor results, and send alerts.

· Coordination: MIS provides integrated information so that all the departments are aware of the problem and requirements of the other departments. This helps in equal interaction of the different centers and connects decision centers of the organization.

· Duplication of data is reduced since data is stored in the central part and same data can be used by all the related departments.

· MIS eliminates redundant data.

· It helps in maintaining consistency of data. It is divided into subsystems. Handlings with small systems are much easier than an entire system. This helps in giving easy access of data, accuracy and better information production.

· MIS assembles, process, stores, Retrieves, evaluates and disseminates the information.

Function of MIS

The main functions of MIS are:

· Data Processing: Gathering, storage, transmission, processing and getting output of the data. Making the data into information is a major task.

· Prediction: Prediction is based on the historical data by applying the prior knowledge methodology by using modern mathematics, statistics or simulation. Prior knowledge varies on the application and with different departments.

· Planning: Planning reports are produced based on the enterprise restriction on the companies and helps in planning each functional department to work reasonably.

· Control: MIS helps in monitoring the operations and inspects the plans. It consists of differences between operation and plan with respect to data belonging to different functional department. It controls the timely action of the plans and analyzes the reasons for the differences between the operations and plan. Thereby helps managers to accomplish their decision making task successfully.

· Assistance: It stores the related problems and frequently used information to apply them for relative economic benefits. Through this it can derive instant answers of the related problem.

· Database: This is the most important function of MIS. All the information is needs a storage space which can be accessed without causing any anomalies in the data. Integrated Database avoids the duplication of data and thereby reduces redundancy and hence consistency will be increased.

· The major function of MIS lies in application of the above functions to support the managers and the executives in the organization in decision-making.

Disadvantages of MIS

The following are some of the disadvantages of MIS:

· MIS is highly sensitive: MIS is very helpful in maintaining logging information of an authorized user. This needs to monitor constantly.

· Quality of outputs is governed by quality of inputs.

· MIS budgeting: There is difficulty in maintaining indirect cost and overheads. Capturing the actual cost needs to have an accrual system having true costs of outputs which is extremely difficult. It has been difficult to establish definite findings.

· MIS is not flexible to update itself for the changes.

· The changes in the decision of top level management decrease its effectiveness.

· Information accountability is based on the qualitative factors and the factors like morality, confidence or attitude will not have any base.

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2. Explain Knowledge based system? Explain DSS and OLAP with example?

Knowledge Based System (KBS)

 

3. What are Value Chain Analysis & describe its significance in MIS? Explain what is meant by BPR? What is its significance? How Data warehousing & Data Mining is useful in terms of MIS?

 

Product Differentiation and Value Chain

 

4. Explain DFD & Data Dictionary? Explain in detail how the information requirement is determined for an organization?

 

DFD

 

5. What is ERP? Explain its existence before and its future after? What are the advantages & Disadvantages of ERP? What is Artificial Intelligence? How is it different from Neural Networks?

 

 

6. Distinguish between closed decision making system & open decision making system? What is ‘What — if‘ analysis? Why is more time spend in problem analysis & problem definition as compared to the time spends on decision analysis?

 

The decision-making systems can be classified in a number of ways. There are two types of systems based on the manager’s knowledge about the environment. If the manager operates in a known environment then it is a closed decision-making system. The conditions of the closed decision-making system are:

 

 

 

 

 

 

 

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Master of Business Administration – MBA Semester II

MB0047 — Management Information Systems – 4 Credits

(Book ID: B1136)

Assignment – Set- 2 (60 Marks)

Marks-60

Attempt each question. Each question carries 10 marks:

1. How hardware & software support in various MIS activities of the organization?

Explain the transaction stages from manual system to automated systems?

 

Hardware support for MIS

Generally hardware in the form of personal computers and peripherals like printers, fax machines, copier, scanners etc are used in organization to support various MIS activities of the organization.

1.6.1 Advantages of a PC: you can find the following advantages a personal computer offers:

a) Speed — A PC can process data at a very high speed. It can process millions of instructions within fraction of seconds.

b) Storage — A PC can store large quantity of data in a small space. It eliminates the need of storing the conventional office flat files and box files which requires lots of space. The storage system in a PC is such that the information can be transferred from one place to another place in electronic form.

c) Communication — A PC on the network can offer great support as a communicator in communicating information in the form of text and images. Today a PC with internet is used as a powerful tool of communication for every business activity.

d) Accuracy — A PC is highly reliable in the sense that it could be used to perform calculations continuously for hours with a great degree of accuracy. It is possible to obtain mathematical results correct up to a great degree of accuracy.

e) Conferencing — A PC with internet offers facility of video conferencing worldwide. Business people across the globe travel a lot to meet their business partner, colleagues, and customers etc to discuss about business activities. By video conferencing inconvenience of traveling can be avoided.

A block diagram of a computer may be represented as-

 

Fig. : Block diagram of a Computer

Input unit is used to give input to the processor. Examples of input unit —Keyboard, scanner, mouse, bar code reader etc.

A processor refers to unit which processes the input received the way it has been instructed. In a computer the processor is the CPU — Central Processing Unit. It does all mathematical calculations, logical tasks, storing details in the memory etc.

Output unit is used to give output s from the computer.

Examples of output unit — Monitor, printer, speakers etc.

 

 

2. Explain the various behavioral factors of management organization? As per Porter, how can performance of individual corporations be determined?

 

Behavioral factors

 

 

3. Compare various types of development aspect of Information System? Explain the various stages of SDLC?

 Planning of Information Systems

a) Development of Long Range Plans of the MIS

4. Compare & Contrast E-enterprise business model with traditional business organization model? Explain how in E-enterprise manager role & responsibilities are changed? Explain how manager is a knowledge worker in E-enterprise?

 

5. What do you understand by service level Agreements (SLAs)? Why are they needed? What is the role of CIO in drafting these? Explain the various security hazards faced by an IS?

A service-level agreement (SLA) is a contract between a network service provider and a customer that specifies, usually in measurable terms, what services the network service provider will furnish. Many Internet service providers (ISP)s provide their customers with an SLA. More recently, IS departments in major enterprises have adopted the idea

 

6. Case Study: Information system in a restaurant.

 

A waiter takes an order at a table, and then enters it online via one of the six terminals located in the restaurant dining room. The order is routed to a printer in the appropriate preparation area: the cold item printer if it is a salad, the hot-item printer if it is a hot sandwich or the bar printer if it is a drink. A customer’s meal check-listing (bill) the items ordered and the respective prices are automatically generated. This ordering system eliminates the old three-carbon-copy guest check system as well as any problems caused by a waiter’s handwriting. When the kitchen runs out of a food item, the cooks send out an ‘out of stock’ message, which will be displayed on the dining room terminals when waiters try to order that item. This gives the waiters faster feedback, enabling them to give better service to the customers. Other system features aid management in the planning and control of their restaurant business. The system provides up-to-the-minute information on the food items ordered and breaks out percentages showing sales of each item versus total sales. This helps management plan menus according to customers’ tastes. The system also compares the weekly sales totals versus food costs, allowing planning for tighter cost controls. In addition, whenever an order is voided, the reasons for the void are keyed in. This may help later in management decisions, especially if the voids consistently related to food or service. Acceptance of the system by the users is exceptionally high since the waiters and waitresses were involved in the selection and design process. All potential users were asked to give their impressions and ideas about the various systems available before one was chosen.

Questions:

  1. In the light of the system, describe the decisions to be made in the area of strategic planning, managerial control and operational control? What information would you require to make such decisions?
  2. What would make the system a more complete MIS rather than just doing transaction processing?
  3. Explain the probable effects that making the system more formal would have on the customers and the management.

Solution:

1. A management information system (MIS) is an organized combination of people,     hardware, communication networks and data sources that collects, transforms and distributes information in an organization. An MIS helps decision making by providing timely, relevant and accurate information to managers. The physical components of an MIS include hardware, software, database, personnel and procedures.

 

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MB0048_MBA_Sem2_Fall/August 2012

Master of Business Administration – MBA Semester 2

MB0048 — Operations Research- 4 Credits

Assignment Set- 1 (60 Marks)

Note: Each question carries 10 Marks. Answer all the questions.

Q.1 Maximise z = 3×1 + 4×2

Subject to constrains 5×1 + 4×2ï‚£ 200;

3×1 + 5×2ï‚£ 150;

5×1 + 4×2 100;

8×1 + 4×2 80,

x1 0, x2 0

 

Solution
Find Solution Using Simplex Method

Cj

3

4

0

0

0

0

B

CB

XB

X1

X2

S1

S2

S3

S4

MinRatio

S1

0

200

5

4

1

0

0

0

50

S2

0

150

3

5

0

1

0

0

30

S3

0

100

5

4

0

0

1

0

25

S4

0

80

8

4

0

0

0

1

20

Zj

0

0

0

0

0

0

Cj – Zj

3

4

0

0

0

0

Entering = X2, Departing = S4, Key Element = 4
R4(new) = R4(old) / 4 = R4(old) × 1/4
R1(new) = R1(old) – 4 R4(new)
R2(new) = R2(old) – 5 R4(new)
R3(new) = R3(old) – 4 R4(new)

Cj

3

4

0

0

0

0

B

CB

XB

X1

X2

S1

S2

S3

S4

MinRatio

S1

0

120

-3

0

1

0

0

-1

S2

0

50

-7

0

0

1

0

-5/4

S3

0

20

-3

0

0

0

1

-1

X2

4

20

2

1

0

0

0

1/4

Zj

8

4

0

0

0

1

Cj – Zj

-5

0

0

0

0

-1

Optimum Solution is arrived at with value of variables as :
X1 = 0
X2 = 20
Maximise Z = 80

 

Q.2 State the ways in which customers in a queue are served.

Answer :  Queuing theory is the mathematical study of waiting lines, or queues. In queuing theory a model is constructed so that queue lengths and waiting times can be predicted.

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Q.3 Explain the use of simulation in networks? What are the advantages of using simulation?

Answer :   Simulation: is a representation of reality through the use of a model or other device, which will react in the similar manner as reality under a given set of conditions.

 

 

Q.4 Explain maximin-minimax principle. Briefly describe the characteristics of competitive game

Answer :  Maxim in — Minima Principle

 

Q.5 A project has 10 activities. The following table shows the information about the activities.

 

 Table 14.5: Activities information Activity Preceding activity Duration in weeks
A 6
B 3
C A 5
D A 4
E A 3
F C 3
G D 5
H B, D, E 5
I H 2
J I, G, F 3

 

ï‚· Draw the network

ï‚· Find the project duration

ï‚· Identify the CPM

ï‚· Prepare the schedule

 

Solution:


 

MB0048_MBA_Sem2_Fall/August 2012

Master of Business Administration – MBA Semester 2

MB0048 — Operations Research – 4 Credits

Assignment Set- 2 (60 Marks)

Note: Each question carries 10 Marks. Answer all the questions.

Q.1 Explain project management (PERT) & Project scheduling of PERT.

Answer :  Some key points about PERT are as follows:

 

1. PERT was developed in connection with an R&D work. Therefore, it had to cope with the uncertainties that are associated with R&D activities. In PERT, the total project duration is regarded as a random variable. Therefore, associated probabilities are calculated so as to characterise it.

 

2. It is an event-oriented network because in the analysis of a network, emphasis is given on the important stages of completion of a task rather than the activities required to be performed to reach a particular event or task.

 

3. PERT is normally used for projects involving activities of non-repetitive nature in which time estimates are uncertain.

 

4. It helps in pinpointing critical areas in a project so that necessary adjustment can be made to meet the scheduled completion date of the project.

 

Project scheduling by PERT-CPM

It consists of three basic phases: planning, scheduling and controlling

 

1. Project Planning:

In the project planning phase, you need to perform the following activities:

 

I) Identify various tasks or work elements to be performed in the project.

ii) Determine requirement of resources, such as men, materials, and machines, for carrying out activities listed above.

iii) Estimate costs and time for various activities.

iv) Specify the inter-relationship among various activities.

v) Develop a network diagram showing the sequential inter-relationships between the various activities.

 

2. Project Scheduling:

Once the planning phase is over, scheduling of the project is when each of the activities required to be performed, is taken up. The various steps involved during this phase are listed below:

1.   Estimate the durations of activities. Take into account the resources required for these execution in the most economic manner.

2. Based on the above time estimates, prepare a time chart showing the start and finish times for each activity. Use the time chart for the following exercises.

  • To calculate the total project duration by applying network analysis techniques, such as forward (backward) pass and floats calculation
  • To identify the critical path
  • To carry out resource smoothing (or levelling) exercises for critical or scarce resources including re-costing of the schedule taking into account resource constraints

project.

 

Q.2 Write a short note on Monte-Carlo simulation? What are the Limitations of using Simulation?

Answer :

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Q.3 In a rectangular game, pay-off matrix of player A is as follows:

 

I) Solve the game.

Answer :

 

ii) Write down the pay-off matrix of B and then, solve the game.

Answer :

 

 

Q.4 A marketing manager has 5 salesmen and 5 sales districts. Considering the capabilities of the salesman and the nature of districts, the marketing manager estimates that the sales per month (in hundred rupees) for each salesman in each district would be as follows.

A B C D E
1 32 38 40 28 40
2 40 24 28 21 36
3 41 27 33 30 37
4 22 38 41 36 36
5 29 33 40 35 39

 

Find the assignment of salesman to districts that will result in maximum sales.

 

Answer:

 

Q.5 Define PERT & CPM. Write down the basic difference between PERT and CPM.

Answer :

Q.6 Explain Linear programming problem by giving two examples & write any 3 applications of Linear Programming problem Salesman

Answer :  The LPP is a class of mathematical programming where the functions representing the objectives and the constraints are linear. Optimisation refers to the maximisation or minimisation of the objective functions.

You can define the general linear programming model as follows:

Maximise or Minimise:

Z = c1 x1 + c2 x2 + – – – – + can an

Subject to the constraints,

a11 x1 + a12 x2 + –— + a1n an ~ b1

a21 x1 + a22 x2 + –— + a2n an ~ b2

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–––––––––––––-

MB0049_MBA_Sem2_Fall/August 2012

Master of Business Administration – MBA Semester 2

MB0049 — Project Management – 4 Credits

Assignment Set- 1 (60 Marks)

Note: Each question carries 10 Marks. Answer all the questions.

Q.1 Define Project Management Information Software. Discuss the various steps of PMIS planning.

Answer :  Project Management Information System (PMIS)

An information system is mainly aimed at providing the management at different levels with information related to the system of the organisation. It helps in maintaining discipline in the system.

An information system dealing with project management tasks is the project management information system. It helps in decision making in arriving at optimum allocation of resources. The information system is based on a database of the organisation. A project management information system also holds schedule, scope changes, risk assessment and actual results.

The information is communicated to managers at different levels of the organisation depending upon the need. Let us find how a project management information system is used by different stakeholders.

Who needs information and why

Upper managers To know information on all projects regarding progress, problems, resource usage, costs and project goals. This information helps them take decisions on the project. They should review the projects at each milestone and arrive at appropriate decision
Project manager and department managers To see each project schedule, priority and use of resources to determine the most efficient use across the organisation.
Project team members To see schedule, task lists and specification so that they know what needs to be done next.

 

The four major aspects of a PMIS are —

a. Providing information to the major stakeholders

b. Assisting the team members, stakeholders, managers with necessary information and summary of the information shared to the higher level managers

c. Assisting the managers in doing what if analyses about project staffing, proposed staffing changes and total allocation of resources

d. Helping organisational learning by helping the members of the organisation learn about project management

Usually, the team members, and not the systems administrators of the company, develop a good PMIS. Organisations tend to allocate such responsibility by rotation among members with a well designed and structured data entry and analytical format.

 

 

Q.2 Explain procurement process . What are the key steps involved in purchase cycle?

Answer :  Procurement process is the term used by businesses to describe the buying process, and can refer to the purchase of supplies or services.

 

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Q.3 Define project-type organisation and discuss it in detail

Answer : Project Type is one of the root characteristics of a project, which points its nature. Usually project type is a high-level definition of a project that helps

Q.4 Define value engineering. Discuss the scope of applying VE in project.

Answer :  Value engineering (VE) is a systematic method to improve the “value” of goods or products and services by using an examination of function. Value, as defined,

Q.5 Define project management, resource, process, and project cycle. Why is project management important?

Answer : Project management is the discipline of planning, organizing, securing, managing, leading, and controlling resources to achieve specific goals.

Q.6 What are the key steps included in risk management process? What are the strategies used to reduce risk?

Answer : Risk Management – Key Steps in Risk Management

 

 

 

MB0049_MBA_Sem2_Fall/August 2012

Master of Business Administration – MBA Semester 2

MB0049 — Project Management – 4 Credits

Assignment Set- 2 (60 Marks)

Note: Each question carries 10 Marks. Answer all the questions.

Q.1 Define activity, event, and path as used in network development. What is a dummy activity? Describe the CPM model.

Answer : Activity : It is physically identifiable part of a project which require time and resources for its execution. An activity is represented by an arrow, the tail of which represents the start and the head, finish of the activity.

 

Event: The beginning and end points of an activity are called events or nodes. Event is a point in time and does not consume any resources.

 

The critical path : is determined by adding the times for the activities in each sequence and determining the longest path in the project. The critical path determines the total calendar time required for the project. If activities outside the critical path speed up or slow down (within limits), the total project time does not change. The amount of time that a non-critical path activity can be delayed without delaying the project is referred to as slack time.

 

Dummy activity : An activity, which only determines the dependency of one

activity on the other, but does not consume any time, is called a dummy activity.

Logic Dummies

When the arrow diagram was developed, there were two important problems associated with the method. The first problem is that, since an arrow served to represent both the sequence and duration of an activity, there are cases where showing sequence with a single arrow is inadequate. The diagrams below shows several examples where a single activity arrow cannot graphically express the sequence needed in an activities list.

The first example shows how Arrow Diagramming has problems representing a sequence of activities where sets of activities share some, but not all, of the prior activities. In this example, Activity C has a prior of A and Activity B has both A and B as priors.

Activity Prior Activity
A None
B None
C A
D A, B

 

 

Notice that when we try to create an Arrow Diagram with this pattern the standard notation shown in the figure below is incorrect.

 

The developers of the Arrow Diagram created the “logic dummy.” The logic dummy, an activity with zero duration, links together activities whose sequence would otherwise not be shown. To designate the dummy activity, a dashed arrow is used. As shown on the figure below, the logic dummy is used to show the sequence between activity A and D without the problem of linking Activity B with Activity C. One way to know if a logic dummy is needed is to look at the activity list and find those activities that share some, but not the entire set of prior activities.

 

Logic dummies are quite versatile. Consider the example schedule shown below. Notice that Activities D, E, and F do not all share the same set of prior activities. As a result, two logic dummy activities are needed to properly show the sequence of tasks on this project.

Activity Prior Activity
A None
B None
C None
D A, B
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E

B
F B, C

 

 

Another example where logic dummies are needed is shown below. Notice that Activities C, D, and E do not share the same set of prior Activities. Since Activities C, D, and E do not share both Activities A and B as priors, logic dummies are needed to properly show the sequence using an arrow diagram.

Activity Prior Activity
A None
B None
C A
D A, B
E B

 

While the logical dummy is a very useful tool to allow the arrow diagram to show all the required sequence contained in a set of activities, the logical dummy should only be used when necessary to show the proper sequence. The figure below gives an example of when not to use the logical dummy.

 

In the diagram above, only prior activity to Activity D is Activity A. In this case a logic dummy is not needed between Activity A and Activity D. Logic dummies are one of the most common problem areas in the Arrow Diagramming Method. In the next section, we introduce the other area that causes problems with Arrow Diagramming, the numbering dummy.

 

 

 

CPM.:

1. CPM is activity oriented i.e., CPM network is built on the basis of activities.

2. CPM is a deterministic model. It does not take into account in uncertainties involved in the estimation of time.

3.

CPM places dual emphasis on project time as well as cost and finds the trade off. between project time and project cost.

4. CPM is primarily used for projects which are repetitive in nature and comparatively small in size.

 

 

 

Q.2 Discuss the advantages of using PM software package. What are the common features available in PM software packages?

Answer : advantages of using PM software package

Q.3 Define risk management. What are the different types of risks that can affect a project?

Answer : Risk Management

 

Q.4 What are the roles and responsibilities of project leader? Describe the leadership styles for project managers.

Answer : Project Leader Roles and Responsibilities

Project Leader Role Description

Q.5 Explain the life cycle of a project. Describe the various phases of project management life cycle.

 

Q.6 What is project control? Discuss the various elements of project control.

 

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