Question-

(a) Briefly explain how Operations Management can contribute to the success of an organization.

(b) Discuss some of the changes taking place in the business environment and what are the responses of the Operations function to these changes.

(c) With the help of a garment manufacturing and marketing firm as illustration , differentiate between core and support functions.

Question-

(a) 'Stock is often said to be the biggest evil of businesses. However firms still keep stocks'. Discuss the reasons for keeping stocks.

(b) Discuss the various costs associated with keeping stocks.

(c) A retailer expects to sell regarding 200 units of a product per year and the storage space taken up in his premises by one unit of this product is costed at Rs 20 per year.

 i) If the cost associated with ordering is Rs35 per order what is the economic order quantity, given that interest rates are expected close to 10% per year and the total cost per unit is Rs100.

ii) Compute the total cost for the 200 units.

Question-

(a) Discuss how the decisions taken by operations managers in devising their capacity plans affect the different aspects of performance.

(b) In order to ensure maximum capacity utilization many hotels in Mauritius practise the overbooking strategy.

i) Describe what you understand by the term overbooking.

ii) What problems can this strategy reason?

(c) Bright Ltd is facing a problem of lack of manufacturing capacity and the Operations manager is contemplating expanding capacity by the setting up of a new plant .However the Managing Director feels that other options should be considered.

i) According to you what is the most important factor which should be considered before investing on a new plant?

ii) Discuss the other options available to the Operations manager.

iii) Which strategy must be adopted?