Smu Mba 2ND Sem Assignments

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MB0044 - PRODUCTION AND OPERATION MANAGEMENT
DRIVE: SUMMER 2014
MBA (SEM 2)

Q.NO.1.

Explain the four basic varieties of layouts for manufacturing facilities.
Description of each basic type of layout

ANS.

Description of each basic type of layout

Basic layout types

The chapter describes four basic layout types. Remember though, at the end of doing this the
chapter does make the point that most layout types are hybrids of two or more of these four
basic types. Nevertheless it is important to understand each of them so that their advantages
and disadvantages can be identified.

Fixed position layout

Q.NO.2.

The major decision areas in supply chain management have both strategic and operational elements .
Explain these decision areas in detail.
Explanation of decision areas
ANS.

Explanation of decision areas

Location Decisions

The geographic placement of production facilities, stocking points, and sourcing points is the natural first
step in creating a supply chain. The location of facilities involves a commitment of resources to a long-
term plan. Once the size, number, and location of these are determined, so are the possible paths by
which the product flows through to the final customer.

Production Decisions

Q.NO.3

Business process is a total response that a business undertakes utilising the resources and delivering
the outputs that create a value for the customer. Business process modelling refers to a set of
activities undertaken to optimise the business process. Business process modelling can be categorised
into two parts Logical processing modelling and physical process modeling. Explain in detail of the
two processes of modeling.

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Logical processing modeling
Definition
Steps to be followed to make the work smoother
Explanation of logical process model(including what it consists of , represents, improves and
identifies; logical modelling formats ;ways of representing logical process modeling)
Physical process modeling(definition, what it deals with , why objects during physical
modelling vary on the database software being used, outcomes)

ANS.

Definition

Logical process modelling is the representation of putting together all the activities of business
process in detail and making a representation of them.

Steps to be followed to make the work smoother

1. Capture relevant data in detail to be acted upon
2. Establish controls and limit access to the data during process execution
3. Determine which task in the process is to be done and also the subsequent tasks in that
process


Q.NO.4.

Write short notes on:
a) Dimensions of quality
b) Characteristics of project mindset

ANS.

a) Dimensions of quality

Eight dimensions of product quality management can be used at a strategic level to analyze
quality characteristics. Garvin's eight dimensions can be summarized as follows:

Performance:

Q.NO.5.

It is possible to work according to the project plan only by careful monitoring of the project progress.
There are various steps involved in monitoring and controlling a project from start to end. One of the
steps is progress control of a project which can be achieved by completing certain steps. Explain the
steps of progress control.
Explanation of each step of progress control

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ANS.

Explanation of each step of progress control

1. Establishing Standards:
Standards are criteria against which results are measured. They are norms to achieve the
goals. Standards are usually measured in terms of output. They can also be measured in non-
monetary terms like loyalty, customer attraction, goodwill etc. Some of the standards are as.

Q.NO.6.

Write short notes on
a) Pure strategies employed to assist in aggregate planning
b) Approaches to scheduling

ANS.

a) Pure strategies employed to assist in aggregate planning

Vary production to match demand by changes in employment (Chase demand strategy):
This strategy permits hiring and layoff of workers as required. When the output is to be
increased more workers are added and when the output is to be decreased, workers are
removed.

Produce at a constant rate and use inventories (Level production strategy):


MB0045 FINANCIAL MANAGEMENT
DRIVE: SUMMER 2014
MBA (SEM 2)

Q.NO.1.

TCS has emerged as India's most admired company ahead of Hindustan Unilever, ITC, and Infosys, says
global management consultancy Hay Group. TCS replaced last year's winner group company Tata Steel
by scoring highest on parameters such as corporate governance, financial soundness, and talent
management. Two criteria in particular, Leadership, and Creating Shareholder Value separated the
winners.
How do you think effective interaction between HR and finance department of a firm helps in
achieving its skills?
Do you think that TCS has preferred the profit maximization approach over the wealth maximization
approach?
Interaction between HR and finance functions
Goals of Financial management

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ANS.

Financial management is also related to human resource department as it provides manpower to
all the functional areas of the management. Financial manager should carefully evaluate the
requirement of manpower to each department and then allocate the required finance to the human
resource department as wages, salary, remuneration, commission, bonus, pension, and other
monetary benefits to the human resource department.

Q.NO.2.

A) The current price of an Ashok Leyland share is Rs. 30. The company is expected to pay a dividend of
Rs. 2.50 per share which goes up annually at 6%. If an investors required rate of return is 11%, should
he or she buy this share or not?
B) A bond with a face value of Rs. 100 provides an annual return of 8% and pays Rs. 125 at the time of
maturity, which is 10 years from now. If the investors required rate of return is 12%, what should be
the price of the bond?

ANS.

A) The current price of an Ashok Leyland share is Rs. 30. The company is expected to pay a dividend of
Rs. 2.50 per share which goes up annually at 6%. If an investors required rate of return is 11%, should
he or she buy this share or not?

Here the valuation is with constant growth in dividends of 6% annually.
The formula for calculating the share value with constant growth in dividends is as follows:
Po = D1 / (Ke g)


Q.NO.3

a) How do you think the trend of capital structure across the Indian corporates affect the economy as
a whole?
b) What proportion of debt and equity should be taken up in the capital structure of a firm?
c) Discuss the theories that are propounded to understand the relationship between financial leverage
and value of the firm.
Trend of capital structure
proportion of debt and equity
explain the theories
ANS.

The proper and strategic management of capital structure ensures access to the capital needed
to fund future growth and enhance financial performance. The key benefits of effective capital
structure management are increased capital access, added flexibility, and lower overall cost of
capital.

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Impact of liberalisation on capital structure of Indian corporate

Q.NO.4.

HPCL was established in 1952, operates from 500 different locations, including refineries, terminals,
LPG plants, aviation service facilities, etc. They developed a Lotus Notes workflow tool and deployed it
across the organisation so that any capital investment proposal from any operating location in the
country can be routed to relevant reviewers and approving authorities. With the implementation of
the new online system, the total cost savings as a result of reduced man-hours amounts to about Rs 25
lakh per annum.
1. What do you think would have been the complexities involved in implementing this new project at
HPCL?
2. What are the various phases in the capital budgeting process? To what extent do you believe that
automation can ease out the process?
capital budgeting process
phases in capital budgeting decisions
ANS.

1. Capital budgeting process
After the screening of proposals for potential involvement is over, the company should take up
the following aspects of capital budgeting process:A proposal should be commercially viable.
The following aspects are examined to ascertain the commercial viability of any investment
proposal:

Q.NO.5.

a) Indicate whether the operating cycle in the following industries is short (less than 30 days), medium
(less than 6 months) or long (more than 6 months)
Steel, rice, vegetables, fruits, jewelry, processed food, furniture, mining, flowers and textiles
b) Companies with the shortest working capital cycles have current ratios much lower than the firms
with longer cycles. What is your view on this statement? How do you think the operating cycle affects
operating profit margins?
c) Discuss the relationship between working capital management and market performance of a
company? Do you think the kind of relationship varies depending on the type of industry?
duration
operating cycle
need for working capital
ANS.

A. Operating Cycle:
Operating cycle of a firm involves the following elements:
Acquisition of resources from suppliers
Payment disbursements to suppliers
Conversion of raw materials into finished products

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Sale of finished products to customers
Collection of cash from customers for the goods sold
Q.NO.6.

Nirma acquired Core Healthcare Ltd. in FY 2007. To bring about improvement in terms of liquidity in
the script of the Company , it has gone for a stock split because it hasnt had any buyback in the recent
past. Nirma paid Interim dividend in 2007 to avoid the higher dividend tax announced in that years
budget.
Henkel, on the other hand, has a very weak Dividend Policy. The major reason being that the company
has weak operations and low margins. There is no record of Stock Splits and Buybacks by Henkel India
in the past.
Discuss the dividend polices of these two companies.
Analyse the dividend policies of the two companies for the last 10 years
Explain stock split and buyback of shares
ANS.

The dividends policy of a company is very important for various reasons as discussed bellow.
The two companies has different policies that it had applied.

A stock split is a method to increase the number of outstanding shares by proportionately
reducing the face value of a share.


MB0046- Marketing Management
DRIVE: SUMMER 2014
MBA (SEM 2)

Q.NO.1.

A brand is a composite set of beliefs and associations in the mind of consumers. In brand
development, as a part of branding strategy decision, the brand manager can decide to create new
brand elements for the new products, apply some of the existing brand elements to the new product,
or use a combination of existing and new brand elements to the existing and new products. Explain
the different branding strategies used by the companies for their range of products.
Definition of Brand
Advantages of Brand
Explanation of different branding strategies adopted by companies
ANS.

Definition of Brand

A traditional definition of brand stands as a name, word, mark, symbol, device, or a combination
thereof, used to identify some product or service of one seller and to differentiate them from

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those of the competitors. The definition clearly focuses on the function of a brand, that is, to
identify, irrespective of the specific means employed for the identification. A modern
definition talks about the brand as a vehicle for delivering a certain value to the consumers.
Hence, a brand is a mental patent and set of associations that delivers a set of functional and
emotional value to the consumer in a unique way as compared to others in the business.

Advantages of Brand

The following are the advantages of branding.


Q.NO.2.

Describe the international market entry strategies in brief.
Joint ventures
Strategic alliances
Direct investment
Contract manufacturing
Franchising
ANS.

Joint ventures

A joint venture is a strategic alliance where two or more parties, usually businesses, form a
partnership to share markets, intellectual property, assets, knowledge, and profits. A joint
venture differs from a merger, in the sense that there is no transfer of ownership in the deal.
For example, Best Price Modern Wholesale is a joint venture between Wal- Mart and Bharti
Enterprises. American retail giant Wal-Mart chose this route to enter the Indian market.

Strategic alliances

Q.NO.3

Explain the classification of market based on nature of Competition and area.
Definition of market
Classification of market based on nature of Competition and area
ANS.

Definition of market

A market can be defined as a group of customers who exhibit similar needs and have the
ability to satisfy those needs. Market can also be defined in terms of the benefits sought by the
customer, not in terms of particular products or technical specifications. In this unit, we will

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discuss ways in which the marketing strategists can enhance their product or service position in
the mind of the targeted customer.

Classification of market based on nature of Competition and area


Q.NO.4.

Personal selling focuses in on personal or one to one selling. It involves an individual salesman or a
sales team establishing and building a profitable relationship with customers over a period of time
through a series of steps. Explain the steps in the personal selling process which helps in the successful
sales.
Definition of Personal Selling
Explanation of steps in the Personal selling process
ANS.

Definition of Personal Selling

Personal selling is an activity which involves a face-to-face interaction with the customers
wherein there is a quick response and personal confrontation. This allows for more specific
adjustment of the message. Here, the communication message can be adjusted as per the
customers specific needs or wants. It offers you the opportunity to develop long-term
familiarity and relationship.

Explanation of steps in the Personal selling process
Q.NO.5.

List out the various methods of pricing and explain the product mix pricing strategies in detail with
examples.
Define pricing
List of Various methods of pricing
product mix pricing strategies with examples

ANS.

Define pricing

In the previous unit we studied the important concepts of product management. We discussed
how brand equity, brand name selection, brand sponsorship, and brand positioning affects the
product management and how brand development process is carried out. We, as a consumer,
pay a particular price for any product that we purchase. We buy different products at different
prices. Our buying pattern to a large extent depends upon the price range of the product or
service we intend to purchase.

List of Various methods of pricing

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Q.NO.6.

Do you think the argument of some theorists that the traditional Ps are not enough for services
marketing? Give suitable examples to prove your point.
Define Service Marketing
Explanation of 4ps
Explanation of Additional 3 ps
ANS.

Define Service Marketing

Service sector is one of the key contributing factors for the growth of our economy and
civilisation. Though marketing literature is dominated by manufacturing and product-centric
business practices, service marketing constitutes a strategic area, which has propelled growth
and success for many organisations. Pure services and products are hypothetical extremes
as every product today is associated with some level of service. Alternatively, physical
evidences are created for augmenting services and reducing customers perception of risk.

Explanation of 4ps


MB0047 MANAGEMENT INFORMATION SYSTEM
DRIVE: SUMMER 2014
MBA (SEM 2)

Q.NO.1.

In the current e-world any organisations massive operations are managed by various types of
information systems that help them to achieve their goals of servicing their clients. This can be done
by the growth of modern organization. Discuss some of the essential features of modern organisation.
Listing the features
Explaining each of them in brief
ANS.

Listing the features

1. Statement of values
2. Code of conduct
3. Example of senior executives


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Q.NO.2.

Marketing managers are keener to look for a least cost route that also allow a sales person to meet all
his customers. Identifying a least cost route with this features is slightly complicated. Therefore,
managers depend on decision support tools to find the most cost effective routes to cover the market.
The travelling salesman problem is one of such tool. Describe the tool with a diagram.
Graphical representation of Travelling salesman problem
Describing the problem
ANS.

Graphical representation of Travelling salesman problem

TSP can be modelled as an undirected weighted graph, such that cities are the graph's vertices,
paths are the graph's edges, and a path's distance is the edge's length. It is a minimization
problem starting and finishing at a specified vertex after having visited each other vertex exactly
once. Often, the model is a complete graph (i.e. each pair of vertices is connected by an edge).
If no path exists between two cities, adding an arbitrarily long edge will complete the graph
without affecting the optimal tour.

Q.NO.3

There are many examples of digital goods. Companies such as Amazon.com are selling digital versions
of books over their site. These digital books can be read on special readers that display the pages on a
screen.
a. List the important properties of information goods
b. Explain positive feedback with diagrams
Listing the properties
Two diagrams
Explanation on positive feedback

ANS.

Listing the properties

Information good in economics and law is a type commodity whose main market value is
derived from the information it contains.


Q.NO.4.

Decision support systems (DSS) are used extensively across organisations to assist managers with
making decisions. Decision making by managers involves the phases of intelligence, design, and
choice, and DSS help mainly with the choice part as they support structured and unstructured types of
decisions.
a. What is it that managers do when they make decisions?

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b. Explain the different types of decisions
Explaining decision making process
List and describing the different types of decisions
ANS.

Explaining decision making process

Before making a decision managers spend a lot of time and effort in gathering and analysing information.
Decision Support Systems (DSSs) were created to assist managers in the task of data gathering and
analysing.
Q.NO.5.

What is crowdsourcing? How does the site Galaxy Zoo manage crowdsourcing?
Crowdsourcing definition
Explaining site Galaxy Zoo management
ANS.

Crowdsourcing definition

Crowdsourcing is the process of obtaining needed services, ideas, or content by soliciting
contributions from a large group of people, and especially from an online community, rather than
from traditional employees or suppliers.This process is often used to subdivide tedious work or
to fund-raise startup companies and charities,

Q.NO.6.

Data and information relating to individuals could be of sensitive nature. Give some examples of such
kind of data
Explaining five examples

ANS.

Explaining five examples

Information relating to individuals, called personal data, is collected and used in many aspects
of everyday life. An individual gives personal data when he/she, for example, registers for a
library card, signs up for gym membership, opens a bank account, etc. Personal data can be
collected directly from the individual or from existing data base.


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MB0048 OPERATIONS RESEARCH
DRIVE: SUMMER 2014
MBA (SEM 2)

Q.NO.1.

Discuss the various stages involved in the methodology of Operations Research. Briefly explain the
techniques and tools of Operations Research.
Operations Research Methodology
Techniques and tools of Operations Research
ANS.

Operations Research Methodology:

The first and the most important step in the OR approach of problem solving is to define the problem.
One needs to ensure that the problem is identified properly because this problem statement will
indicate the following three major aspects:

Q.NO.2.

Explain the steps involved in linear programming problem formulation with an example. Discuss in
brief the advantages of linear programming.
Steps involved in LPP
Example
Advantages of LPP

ANS.

Steps involved in LPP

STEP1: Study the given situation to find the key decisions to be made.

STEP2: Identify the variables involved and designate them by symbols X
j
(j=1,2)

STEP3: State the feasible alternatives which generally are : X
j
>= 0, for all j.


Q.NO.3

a. What is degeneracy in transportation problem? How it can be resolved?
b. Solve the following transportation problem using Vogels approximation method.

Factories Distribution Centres Supply
C1 C2 C3 C4
F1 3 2 7 6 50

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F2 7 5 2 3 60
F3 2 5 4 5 25
Requirements 60 40 20 15
Degeneracy in transportation problem and resolving it
Computation/Solution to the problem

ANS.

Degeneracy in transportation problem and resolving it:
A basic solution to an m-origin, n destination transportation problem can have at the most m+n-
1 positive basic variables (non-zero), otherwise the basic solution degenerates. It follows that
whenever the number of basic cells is less than m + n 1, the transportation problem is a
degenerate one. The degeneracy can develop in two ways:

Q.NO.4.

a. Explain the steps in Hungarian method. Differentiate between Transportation and Assignment
problem.
b. Find the optimal assignment of four jobs and four machines when the cost of assignment is given by
the following table:

J1 J2 J3 J4
M1 10 9 8 7
M2 3 4 5 6
M3 2 1 1 2
M4 4 3 5 6
Steps in Hungarian method
Differences between Transportation and Assignment problem
Computation/Solution to the problem

ANS.

Steps in Hungarian method.

The following steps are adopted to solve an AP using the Hungarian method algorithm.

Step 1: Prepare row ruled matrix by selecting the minimum values for each row and subtract it from the
other elements of the row.
Q.NO.5.

Define Simulation. Explain the Simulation procedure. Discuss the use of Simulation with an example.
Meaning of Simulation
Simulation procedure
Use of simulation with an example
ANS.

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Meaning of Simulation:

Simulation is a numerical technique for conducting experiments that involve certain types of
mathematical and logical relationships necessary to describe the behavior and structure of a complex
real world system over an extended period of time. In other words, it is a quantitative technique that
utilises a computerised mathematical model in order to represent actual decision making under
conditions of uncertainty for evaluating alternative courses of action based upon facts and assumptions.

Simulation procedure:

Q.NO.6.

Explain the following:
a. Integer programming model
b. PERT and CPM
c. Operating Characteristics of a Queuing System

ANS.

Explanation of Integer programming model:

The IPP is a special case of Linear Programming Problem (LPP), where all or some variables
are constrained to assume non-negative integer values. In LPP, the decision variables as well
as slack or surplus variables were allowed to take any real or fractional value.


MB0049 - PROJECT MANAGEMENT
DRIVE: SUMMER 2014
MBA (SEM 2)

Q.NO.1.

There cannot be a single ideal structure for all organisations as different organisations have different
size, environment, resources, technologies, and goals. There are many different ways in which people
can be organised to work on projects.Explain in brief the concept of organisational structure.
Brief explanation following organisation structures, advantages, disadvantages and examples
for each type of structure
ANS.

Brief explanation following organisation structures, advantages, disadvantages and examples for each
type of structure

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There cannot be a single ideal structure for all organisations as different organisations have
different size, environment, resources, technologies, and goals. There are many different ways
in which people can be organised to work on projects.

Q.NO.2.

Write short notes on:
Work Breakdown Structure(WBS)
Rules for network construction
Risk retention
Emerging methods of communication
ANS.

Work Breakdown Structure(WBS)

The projects Work Breakdown Structure (WBS) provides the relationship among all the
components of the project and the project deliverables.

Rules for network construction

1. Each event must have a distinct number. The number specified to an event can be chosen in
any way, provided this condition is fulfilled.


Q.NO.3

Purchase cycle is a standard process that corporations and individuals progress through (in order)
when purchasing a product or service. It is also known as the 'buying cycle' or 'purchase process'.
Explain the elements of the purchase cycle of a project.
Elements of the purchase cycle
Conclusion
ANS.

Elements of the purchase cycle

Purchase cycle is a standard process that corporations and individuals progress through (in
order) when purchasing a product or service. It is also known as the 'buying cycle' or 'purchase
process'. This cycle discusses about the decision points that the buyer or the purchasing team
goes through. Usually, purchase cycle of a project consists of the following
elements.

Indent goods

Q.NO.4.

Write a note on Earned Value Method (EVM)

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EVM explanation
Parameters to calculate performance measures
Plot of BCWS versus time
Plots BCWS, ACWP, and BCWP for a typical project
ANS.

EVM explanation

The Earned Value Method (EVM) is a useful tool that allows the calculations
of cost and schedule performance measures including cost variance,
schedule variance, cost and time over-runs for a project.

Parameters to calculate performance measures

Q.NO.5.

What are the common features available in PM software packages?
Common features available in PM
Conclusion
ANS.

Common features available in PM

Project data and calendar: A project start date is specified. A calendar can be used to define
the working days and hours for each individual resource on a project. The calendar is used in
calculating the schedule for the project.

Q.NO.6.

A project should earn sufficient return on the investment. The very idea of promoting a project by an
entrepreneur is to earn attractive returns on investment on the project.
If there are many alternative projects, all of which, at first sight, appear to be more or less equal in
profit earning capacity, the investor should make a comparative study of the return on the different
alternative proposals before choosing one. Such financial analysis broadly falls under two categories.
They are:
No discounted cash flow techniques
Discounted cash flow techniques
Explain the subdivisions within the above two categories.
Explanation of subdivisions of No discounted cash flow techniques
Explanation of subdivisions of discounted cash flow techniques

ANS.

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In finance, discounted cash flow (DCF) analysis is a method of valuing a project, company, or
asset using the concepts of the time value of money. All future cash flows are estimated and
discounted to give their present values (PVs)the sum of all future cash flows, both incoming
and outgoing, is the net present value (NPV), which is taken as the value or price of the cash
flows in question.


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