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Production And Operations Management Question Paper

Production And Operations Management

Course:Diploma Course In Management Section 2

Institution: Kenya Institute Of Management (Kim) question papers

Exam Year:2009

Diploma course in management

Section I

September 2009 Examination

Production and operations management

Time: 3 Hours

Instructions
1. Write your index number in the space provided in the answer booklet.
2. Answer any five questions
3. All questions carry equal marks
4. No writing should be done on this question paper
5. Candidates who break KIM examination rules and regulations or commit any malpractice will be Disqualified

1. Define the following (6 marks)

i) Direct time study
ii) Work sampling
iii) Pre-determined time study

b) Kwikfix corporation manger is considering undertaking work study in his organization. He consults you to understand its importance. What would be your advice. (14 marks)

2. Maplan executive director attended an awards ceremony where the guest speaker talked of the way successful organizations have adopted systems like 5s anf JIT Define JIT and outline the key aspects of JIT the director would need to know. (20 marks)

3. Define the following (8 marks)

i) Capacity cushion
ii) Designed capacity
iii) Effective capacity
iv) Achieved capacity

b) Finance manager of milk investiment corporation estimated the weekly cost of production as

C=100+23Q+1/2Q2

And weekly revenues as

R=1-Q-Q2

Where Q=Number of products produced weekly
C=Cost
r=Revenue

Determine

i) Level of output that would maximize profit
ii) The break even point
iii) When revenue is maximum (10 marks)

4. Makwacha dairy limited produces yoghurt and mala. The two products require processing in two equipments, pasteurizing and culturing. Yoghurt requires 1 hour in pasteurizing and 8 hours in culturing. Mala requires 1 hour in pasteurizing and 5 hours in culturing. Yoghurt yields Kshs 15 profit while mala yields Kshs 10 profit. There are 100 hours available in pasteurizing machine and 200 hours available in culturing machine. Determine graphically the optimum machines utilization schedule. (20 marks)

5. Explain five approaches of forecasting demand qualitatively (10 marks)

b) The data in the table below shows the demand of sunflower oil in tons over a certain period. Using exponential smoothing forecasting technique, determine the demand.
(10 marks)

PERIOD ACTUAL DEMAND FORECAST

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

Maxmix consortium is a consultancy firm dealing with rehabilitation of drug addicts. The table below shows the implementation program of the project. Construct a network diagram for the project and determine project duration and the associated costs. (20 marks)

ACTIVITY PRECEEDING ACTIVITY DUARATION IN MONTHS TOTAL COST

A - 8 1000
B - 2 750
C A 3 220
D A 7 20
E B 5 80
G D 11 550
H DE 13 15
O G 1 65

7. Waka Waka distillers in south Africa are seriously considering relocating from Cape town. Employees and shareholders do not understand why the organization wants to take such an action. Outline four factors that may have led to this decision (10 marks)

b) KIM school of Management has just concluded the construction of a state of the art school center for management purposes. Outline five goals that would guide the layout of the center. (10 marks)

Production And Operations Management Question Paper

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