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OPM611S - Operations Management - 1st Opp - June 2023 |
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nAmlBIA unlVERSITY
OF SCIEnCE Ano TECHnOLOGY
FACULTY OF COMMERCE, HUMAN SCIENCESAND EDUCATION
DEPARTMENT OF GOVERNANCE AND MANAGEMENT SCIENCES
QUALIFICATION: BACHELOR OF BUSINESS MANAGEMENT
QUALIFICATION CODE: 07BBMN
LEVEL: 7
COURSE CODE: OPM611S
COURSE NAME: OPERATIONS MANAGEMENT
SESSION: JUNE 2023
DURATION: 2 HOURS
PAPER: PAPER 1/1
MARKS: 100
EXAMINER(S)
FIRST OPPORTUNITY EXAMINATION QUESTION PAPER
MSC KAUAMI
MS B NDUNGAUA
MR BRAMWELL KAMUDYARIWA
MODERATOR: MR ERNEST MBANGA
INSTRUCTIONS
1. Answer ALLthe questions.
2. Show all formulae and calculations as marks will be
awarded for them.
3. Write clearly and neatly.
4. Number the answers clearly.
PERMISSIBLE MATERIALS
1. Calculator.
THIS QUESTION PAPER CONSISTS OF 6 PAGES (Including this front page)
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Section A:
[10 Marks]
Multiple Choice - Choose the correct Answer.
(Kindly note that questions 4 & 8 are 2 marks each, the rest 1 mark each)
1. _______
allows organisations to minimize costs and involves bulk
buying, movement and bulk storage of raw materials and finished goods.
A. Economies of scale.
B. Product availability.
C. Risk management.
D. Uncertainty.
2. According to the Theory of Constraints (TOC), bottlenecks can be caused by:
A. Equipment and how it is used
B. Policies
C. Employee capability
D. All of the above
E. A&C
3. When measuring system performance, load refers to:
A. Ratio of production output to effective capacity
B. Actual vs design capacity
C. Backlog in system
D. Productivity of facilities
E. Noneoftheabove
4. How many minutes will it take to produce a pen if the backlog is 20 pens with a
capacity to produce 30 pens an hour.
A. 1 hour and 30 minutes
B. 40 minutes
C. 67 minutes
D. 90 minutes
E. None of the above
5. Among the reasons why quality has become a priority is because of information
revolution that allows ease of information collection and dissemination
A. True
B. False
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6. Quality control (QC) is a systematic approach to guarantee quality by providing
evidence that establishes confidence in a product.
A. True
B. False
7. Total Quality management (QM} entails the following except:
A. integrates control and assurance of activities
B. tasks of planning and providing resources
C. motivating and rewarding employees
D. recruitment and retrenchment
E. conforming to quality
8. If an organisation manufactures 480 hats per week that they plan to sell at
N$150 per hat and the total cost to produce the hats is N$38200, what will the
productivity ratio be?
A. 18.84
B. 188.4
C. 1.884
D. 0.188
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Section B
[61 Marks]
Question 1: Operations Management
(10)
Using a diagram, illustrate and briefly describe the operations transformation
process/system.
Question 2 - Supply Chain
(10)
Describe the main objective of designing supply chain networks and discuss the
different process design elements.
Question 3: Design of goods and services
(12)
You have been appointed as design manager of Namibflix, a Namibian equivalent of
Netflix aimed at bringing revolutionary entertainment promoting specifically the Sub-
Saharan African heritage and culture. You are preparing for a session with the team
on a new design strategy for what you consider to be breakthrough offerings.
i. List and briefly explain three factors that influence the need for design of new
products/ services.
(6)
ii. Since creativity and innovation is the lifeblood of Namibflix, briefly discuss three
techniques you suggest for generating ideas in view of the new strategy. (6)
Question 4: Process Design
(9)
Identify and explain in your own words the process structures for services, with one
appropriate example.
Question 5: Aggregate planning
(10)
Summarize the service supply management strategies that can be used for aggregate
planning.
Question 6: Lean Systems management
(10)
List and briefly explain 5 costs incurred as a result of waste.
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Section C
[29 Marks]
Question 7: Forecasting
(15)
Actual demand/sale of Toyota Landcruiser at Gobabis Toyota in Namibia for the first
six months of 2022 were as follows:
Month:
Actual demand:
January
55
February
75
March
121
April
98
May
103
June
130
Use this information and determine in whole numbers:
i. The average monthly sales for that period
(2)
ii) Considering an upward trend in sales, increase the demand in June for the next
three months by 10% in month 1; 8% in month 2; and 3% in month 3,
respectively.
(3)
iii) SMA: make a forecast for July using a four-months simple moving average. (3)
iv) WMA: make forecast for January, using three months weighted moving average
where the weights are 0.6 for the most recent period; 0.3 for the second most
recent period, 0.1 for the third most recent period, respectively.
(4)
v) Make a forecast for July, using the exponential smoothing technique, if the
forecast for June was 120 and the smoothing constant is 0.4.
(3)
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Question 8: ABC Classification of Inventory
(14)
Listed below are some parts Legal's Engineering uses in their production process. Use
this information to classify the different items according to the ABC classification of
inventory.
Part/
component
Kl
K2
K3
K4
KS
Ll
L2
L3
L4
LS
Ml
M2
M3
M4
Unit price
N$
500
25
0.5
300
80
75
50
90
5
1.5
140
75
8
15
Annual
demand/usage
10
90
800
16
6
25
40
10
100
200
25
30
200
80
-END-
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