BBA 5th Semester
Operations Management Board Question Paper 2025

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TRIBHUVAN UNIVERSITY
FACULTY OF MANAGEMENT
Office of the Dean
May 2025
Full Marks:100 Pass Marks:50 Time:3 Hrs
BBA / BBM
Fifth Semester /
MGT 205:
Operations Management

Candidates are required to give their answers in their own words as for as practicable.
The figures in the margin indicate full marks

Long Answer Questions
Section "A"

Brief Answer Questions:

[10 × 2 = 20]
1.

Write the meaning of product design with an example.

2.

List down the characteristics of Intermittent Production system.

3.

Write the meaning of value analysis.

4.

Define EMV criterion.

5.

What is Inventory management?

6.

What do you mean by ISO 9000 series?

7.

Give a concept of dummy variable in Transportation Problem.

8.

Define saddle point.

9.

Determine whether the given two-person zero sum game is strictly determinable and fair.

Player APlayer B
B1B2
A113
A242

10.

The demand of an item is uniform at a rate of 25 units per month. The fixed cost is Rs 30 each time a production is made. The production cost is Rs 2 per item and the inventory carrying cost is 50 paisa per unit per month. If the shortage cost is Rs 3 per item per month, determine how often to make a production run and of what size?

Section "B"

Short Answer Questions (Attempt any SIX Questions)

[6 × 5 = 30]
11.

What is Operations Management? Also, explain its scope.

12.

Explain the linkage between corporate, business and operations strategy.

13.

Write about product design and its principles.

14.

At a service station customers arrive in a Poisson Distribution fashion with an average time of 5 min between arrivals. The interval between services at the station follows exponential pattern and the mean time for the purpose comes to 2 minutes. In the light of the above information, determine:
a. the average number of customers in queue.
b. the time spent by a customer in the queue.

15.

From the given payoff table give decision according to i) Minimax Regret criterion ii) Laplace criterion iii) Hurwitz criterion, if the coefficient of optimism is 0.40.

State of natureStrategies
S1S2S3
A4-27
B063
C-592
D314

16.

You are given the values of sample means and the range for 10 samples of size 5 each.

Sample No.12345678910
Mean43493744453751464347
Range5657748646
(Conversion factors for n = 5 is A2 = 0.58, D3 = 0, and D4 = 2.115)
Draw mean chart and comment on the state of control of the process.

17.

Reduce the following two-person zero sum game to 2x2 order by dominance rule and obtain the optimal strategies for each player and the value of the game.

Player APlayer B
B1B2B3B4
A13240
A24424
A34240
A40408

Section "C"

Long Answer Questions(Attempt any THREE Questions)

[3 × 10 = 30]
18.

Explain the strategic role of operations in an organization.

19.

Determine the minimum transportation cost from the following matrix.

WarehousesMarketSupply
IIIIIIIV
M1635422
M2592715
M357868
Demand71217945

20.

A vendor buys book at the rate of Rs 10 and sells them at the rate of Rs 15. The unsold copy will be worthless. The number of book demanded and their corresponding probabilities are given below:

Demanded copies1011121314
Probability0.200.200.250.200.15
a. How many books should be bought in order to maximize the expected profit?
b. How many books should be bought based on EOL criterion?
c. Comment on results obtained from a and b.

21.

The midtown realty company wishes to assign each of its six real estate salespersons to one of six areas in midtown. Using the demography of the six areas and the past performance of their six salespersons, the company estimates that sales of property, in hours per year, would be as follows:

SalespersonArea
A1A2A3A4A5A6
A1398101214
B1287111413
C109691212
D1211991011
E9788910
F141210101114
Determine to which area each of the six salespersons should be assigned in order to maximize the total annual sales of houses.

Section "D"

Comprehensive Answer / Case / Situation Analysis Questions:

[20]
22.

Analyze the following case carefully and answer the questions that follow:

BIROI is a rapidly expanding electronics and technology manufacturing company with a focus on smart home appliances and customer care. The CEO observed increasing production and service delivery inefficiencies as the company grew quickly over the previous two years. The company's operational system was thoroughly reviewed by the operations manager, Ms. Shrestha, who started by mapping the transformation process, categorizing production as intermittent because of the variety of customisable items, and examining productivity kinds across departments. She also emphasized the increasing conflict between production and service operations, especially when it comes to coordinating factory floor objectives with customer service teams.

In order to correspond with business objectives, Ms. Shrestha implemented an operations plan after realizing the necessity for an organized approach. She promoted a customer-centered service approach and a hybrid production strategy to reduce waste. Using concurrent engineering and quality function deployment (QFD), BIROI made investments in the design of products and services at the same time, emphasizing high-value features and customer feedback loops. However, there were difficulties in putting new inventory management systems into place, especially when it came to responding to fluctuating demand while maintaining economic order numbers. In order to reduce faults and apply statistical process control, the quality team simultaneously started implementing Six Sigma and ISO 9000 techniques, tracking variables with control charts.

In order to enhance supply-chain decisions, BIRO also started applying decision theory. This included assessing opportunity losses and expected monetary values in the face of uncertainty. In order to maximize shipping and manpower allocation, the operations research team addressed logistical challenges related to transportation and assignment problem-solving strategies. Most recently, management used game theory to simulate the negotiation and examine methods with and without saddle points after a pricing dispute with a major distributor. Under Ms. Shrestha's direction, the business underwent a transition that demonstrates how interrelated operations management principles foster sustained competitive advantage.

a. How did Ms. Shrestha coordinate BIRO's production and service functions using the concepts of operations management?
b. How did decision-making in various departments change as a result of the integration of operations strategy?
c. How did inventory control and quality systems contribute to increased operational effectiveness?
d. How might tools from game theory and decision theory improve operations' strategic planning and negotiations?