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    Master of Business adMinistration

    SemeSter -II

    ASSIGNMENT

    MB0044-Product ion & oPerations

    ManageMent Set- I

    SUBMITTED BY:

    NAME : VIJ AY KUMAR SHARMA

    ROL L NO : 520933061

    COUR SE : mba

    CEN TRE CODE : 3293

    CE NTRE CITY : NEW DELHI

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    Note: Note: Each question carries 10 Marks. Answer all the questions.

    Q.1 Explain Quality Circles and its importance? Explain how CAD and CIM aid in

    reducing the concept to market time

    Answer.

    Quality Circles Kaoru Ishikawa is generally considered to have promoted the

    concept of Quality Circles. It is well known that he is the originator of fishbone diagrams

    to identify the root cause of any problem. The causes for the existence of a problem are

    classified as pertaining to the material, processes or method or any factor that goes into

    production. The matter is further investigated and pursued till the exact cause is

    determined. Quality circles use these principles in solving problems. The teams select

    projects selected on the above basis and implement actions to achieve improvement inthe processes with a view to improve quality. Since these activities are carried out

    without affecting the regular day to day work and involve little involvement of the

    managers, team work gets reinforced and results in continuous improvement in methods

    and quality. The capital deployed is minimal, if at all and therefore productivity is

    enhanced. Quality circles are very efficient in incorporating low cost and nonintrusive

    methods of improving productivity and quality throughout the organization. They seek to

    involve all persons who are actually involved in the production system and the

    information they elicit and bring about improvements highly cost effective. They unveil

    creativity and encourage team work and bring about improvements almost on a day to

    day basis. They do not bring about dramatic changes, but continuous incremental

    changes in a harmonious way. They also tend to encourage identification of possible

    failures and seek methods of preventing things going wrong. Designers of products areincreasingly depending on Computer Aided Design. The software aids in creating or

    modifying an existing design. The images can be maneuvered on thescreen.Images of

    different components can be seen as assembled Sections taken and relative positions

    can be checked to great accuracies. Views can be made seen from different angles and

    positions, so that the visualization process of the designed component/product helps the

    designer to suggest alternatives to the customer and the production department. The

    drawings can be sent via intranet or internet to the concerned persons and their opinions

    taken. Corrections and incorporations can be made very quickly. The database can be

    prepared, updated continuously and their access to executive. The efficiency of designers

    increases by nearly 5 times The software can generate the volume, weights of

    components as also other engineering parameters like centre of gravity, deflections

    under estimated loads, and various other design parameters on complicate forms

    either single components or assemblies Laborious mechanical drawings need not be

    drawn. Nor complicated calculations done. This

    Aids in reducing the time required making a design or modifying a product and thus

    concept market period gets drastically cut. Integration occurs when a broad range of

    manufacturing and supporting activities are linked. Activities include engineering design,

    production planning, shop control, order processing, material control, distribution etc.

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    Information flow across all functions takes place with the help of computers.

    Transmission, processing, distribution and feedback happen almost in real time so that

    intended activities are conducted rapidly. This process helps in rapid production and also

    reduces indirect costs. As response times decrease, customer satisfaction increases

    resulting in better business. CIM helps in avoiding accumulation of materials resulting in

    better throughput and better utilization of space. Bar coded labels that accompany

    materials contain instructions for processing them which are read by sensing devices and

    display the status on monitors. This information is available to all concerned personnel

    responsible in planning, marketing etc. so that they will be aware of the status of any

    order and if expediting is needed to meet deadlines, and they will be able to seek

    intervention. Identifying shortages, ensuring faster deliveries becomes easy with CIM.

    Q.2 what is Differentiation Strategies? Briefly explain tools used for

    implementation of Operations.

    Answer:

    Differentiation Strategies

    Differentiation is a process by which a company distinguishes itself from its

    competitors and their offerings. The process includes adding a set of differentiators

    which are meaningful and adds value for the customer. The differences should be

    perceived by the customer as important, distinctive, superior and affordable.

    Nonetheless, they have to make the companys offerings i.e. the products and services

    profitable. To derive competitive advantage the study of the processes to adapt

    innovations which should be of such nature as being preemptive is important. Here, we

    are not considering the situation of an entirely new product but those which are alreadycontributing to the company revenues and the threat of competitors has to be met.

    According to Midland Lele (Miland M.Lele, Creating Strategic Leverage: New York, John

    Wiley 1992) companies have different potential in terms of maneuverability along with

    target market, place (channels), promotion and price. These are affected by the

    companys position in the market, the industry structure. BCG has classified (Philip

    Kotler) four types of industries and the approaches available, depending on the cell the

    particular industry fits into.

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    Tools for implementation of Operations

    All functions in the organization including administration, finance, materials,

    purchase, marketing, production, logistics, communication and others, can be considered

    operations. The reason is all of them use some inputs like materials or information either

    on a person to person basis or through a flow line. They are required to use some

    process and convert them into outputs usable in the next stage of the value chain. For

    example, when an invoice is received for payment, it contains information about a

    material or a service, the person who needed it, the price to be paid, the supplier,

    transportation, insurance, quantity, tax to be paid,etc. The bills payable section will have

    to verify data regarding the above, seek inspectionreportsfrom the quality control

    department/user department to certify the bill for payment. Before actual payment is

    made verification of the terms of payment, availability of funds etcare done you will

    notice that information is sought or given, materials received and transferred,

    papers/instructions are received / issued for initiating activities. All these are also

    operations. However, for our study we will limit our focus to operations involvingmanufacture. We identify a set of specialized techniques call them tools which can be

    standardized for ease of implementation and control. Implementation of Operations

    Implementation is the process of executing the planned operations. Estimating, routing

    and loading are the planning processes and dispatching and progressing are processes

    which are conducted while the manufacturing is going on. We call the former planning

    and the latter controlling function. Put together they are considered implementation.

    Estimating gives the quantities to be made at each workstation depending on the sales

    forecast, provision for buffer stock, quantities bought out, or services outsourced,

    Likely shortfalls etc. It is done on the basis of capacity. The next step, routing,

    determines the sequence of operations and the machines that do them so that work flow

    as determined by the processes is smooth resulting in minimum inventory. Scheduling is

    mainly concerned with allocating time slots for different jobs. It specifies as to when jobs

    start and end at particular workstations. The purpose is to prevent imbalances among

    work center sand utilize labor hours in such a way that established lead times are

    maintained. Dispatching is concerned with actually moving the materials with tools, jigs

    and fixtures to specific machines along withdrawing and ensuring inspections at specific

    nodes, so that the materials move in thesupplychain, Expediting is mainly to ensure that

    all the above are being done properly. Reports are generated and any bottleneck that

    gets created is removed. Tools for implementation GANTT charts are used to record

    progress comparing the actual against the planned activities and keep track of the flow

    of the material. Line balancing and line of balance are two more tools to ensure that

    machining centers are loaded as uniformly as possible to prevent build up stocksatintermediatestages. Simulation models are used to predict utilization of machines and

    production levels. Various inventory models help us to determine when to order and how

    many to order and also give us an insight to the risks and opportunities that come up for

    our consideration. Proper maintenance and analysis of records help us to see the gaps

    that have crept into the operations system. Learning that happens across functions will

    make the tools used more realistically and increase efficiency. ManyERP software,

    especially SAP have many modules that store, sort and analyze data and make them

    available to the staff across the globe in many plants enabling managers to streamline

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    their operations. Software specific to functions, applications or organization can be

    obtained. Microsoft Operations Manager 2005 is a useful tool in this regard.

    Q.3 Differentiate between Automated flow line and automated assembly linewith example. Write a note on Rapid Prototyping.

    Answer.

    Automated flow lines:

    When several automated machines are linked by a transfer system which moves the

    parts by using handling machines which are also automated, we have an automated flow

    line. After completing an operation on a machine, the semi finished parts are moved to

    the next machine in the sequence determined by the process requirements a flow line is

    established. The parts at various stages from raw material to ready for fitment or

    assembly are processed continuously to attain the required shapes or acquire special

    properties to enable them to perform desired functions. The materials need to be moved,

    held, rotated, lifted, positioned etc. for completing different operations. Sometimes, a

    few of the operations can be done on a single machine with a number of attachments.

    They are moved further to other machines for performing further operations.

    Human intervention may be needed to verify that the operations are taking place

    according to standards. When these can be achieved with the help of automation and the

    processes are conducted with self regulation, we will have automated flow lines

    established. One important consideration is to balance times that different machines

    take to complete the operations assigned to them. It is necessary to design the

    machines in such a way that the operation times are the same throughout the sequence

    in the flow of the martial. In fixed automation or hard automation, where one componentis manufactured using several operations and machines it is possible to achieve this

    condition or very nearly. We assume that product lifecycles are sufficiently stable to

    invest heavily on the automated flow lines to achieve reduced cost per unit. The global

    trends are favoring flexibility in the manufacturing systems. The costs involved in

    changing the set up of automated flow lines are high. So, automated flow lines are

    considered only when the product is required to be made in high volumes over relatively

    long period. Designers now incorporate flexibility in the machines which will take care of

    small changes in dimensions by making adjustments or minor changes in the existing

    machine or layout. The change in movements needed can be achieved by programming

    the machines. Provision for extra pallets or tool holders or conveyors is made in the

    original design to accommodate anticipated changes. The logic to be followed is to find

    out whether the reduction in cost per piece justifies the costs of designing,manufacturing and setting up automated flow lines. Group Technology, Cellular

    Manufacturing along with conventional Product and Process Layouts are still resorted to

    as they allow flexibility for the production system. With methodologies of JIT and Lean

    Manufacturing finding importance and relevance in the competitive field of

    manufacturing, many companies have found that well designed flow lines suit their

    purpose well. Flow lines compel engineers to put in place equipments that balance their

    production rates. It is not possible to think of inventories (Work in Process) in a flow line.

    Bottlenecks cannot be permitted. By necessity, every bottleneck gets focused upon and

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    solutions found to ease them. Production managers see every bottleneck as an

    opportunity to hasten the flow and reduce inventories. However, it is important to note

    that setting up automated flow lines will not be suitable for many industries

    Automated Assembly Lines:

    All equipments needed to make a finished product are laid outing such a way as to follow

    the sequence in which the parts or subassemblies are put together and fitted. Usually, a

    frame, body, base will be the starting point of an assembly. The frame itself consists of a

    construction made up of several components and would have been assembled or

    fabricated in a separate bay or plant and brought to the assembly line. All parts or

    subassemblies are fitted to enable the product to be in readiness to perform the function

    it was designed to. This process is called assembly. Methodologies of achieving the final

    result may vary, but the basic principle is to fit all parts together and ensure linkages so

    that their functions are integrated and give out the desired output. Product Layouts are

    designed so that the assembly tasks are performed in the sequence they are designed.

    You will note that the same task gets repeated at each station continuously. The finisheditem comes out at the end of the line

    The material goes from station 1 to 5 sequentially. Operation 2 takes longer time, say

    twice along. To see that the flow is kept at the same pace we provide two locations 2a

    and 2b so that operations 3, 4 and 5 need not wait. At 5, we may provide more

    personnel to complete operations. The time taken at any of the locations should be the

    same. Otherwise the flow is interrupted. In automated assembly lines the moving pallets

    move the materials from station to station and moving arms pick up parts, place them at

    specified places and fasten them by pressing, riveting, screwing or even welding.

    Sensors will keep track of these activities and move the assemblies to the next stage. An

    operator will oversee that the assemblies are happening and there are no stoppages. Themain consideration for using automated assembly lines is that the volumes justify the

    huge expenses involved in setting up the system.

    Rapid Prototyping:

    Prototyping is a process by which anew products developed in small numbers so as to

    determine the suitability of the materials, study the various methods of manufacture,

    type of machinery required and to develop techniques to overcome problems that may

    be encountered when full-scale manufactures undertaken. Prototypes do meet the

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    specifications of the components that enter a product and performance can be measured

    on those. It helps in confirming the design and any shortcomings can be rectified at low

    cost. If serious defects or problems arise during the manufacture, a thorough change in

    design or even its replacement may be considered. To arrive at decisions to make use of

    the advantages stated above, it is important that the prototypes are made within the

    shortest possible time. Rapid prototyping facilitates this. It uses virtual designs from

    Computer Aided Design CAD or animation modeling which transforms dimensional data

    to 3dimensional views. The physical space of the product is amenable to have cross

    sections made. Cross sections taken at very close positions gives thin layers which

    enable the generation of a solid model of the designed product. The data that is thus

    created helps build a solid model exactly as per the drawings. Any shape can be

    generated in this method.Advancedtechnologies like SLS (Selective Laser Sintering),

    FDM (Fused Deposition Modeling), LOM (Laminated Object Manufacture), EBM (Electronic

    Beam Melting) are some of RapidPrototypeModeling Processes. Since the basis data

    about the product is already available in CAD, the above processes can produce models

    in a matter of a few days. Conventional machines like lathes, milling machines, grindingmachines, EDM (Electro Discharge Machining) also help in the production of prototypes.

    Because of their advantages Rapid Prototyping is being increasingly used. A bimonthly

    magazine TCT Magazine calling the Rapid Prototyping as Time Compressing Techniques

    is dedicated to the publication of latest developments in this field as researched and

    developed by practitioners around the world.

    Q.4 Explain the different factors influencing plant location. Write a brief note on

    Product layout with an example.

    Answer.

    Factors influencing plant location:-

    1. Nature of the product: The nature of the product to be manufactured will

    significantly affect the layout of the plant. Stationary layout will be most suitable for

    heavy products while line layout will be best for the manufacture for the light products

    because small and light products can be moved from one machine to another very easily

    and, therefore, more attention can be paid to machine locations can be paid to machine

    locations and handling of materials.

    2. Volume of production: Volume of production and the standardization of the product

    also affect the type of layout. If standardized commodities are to be manufactured on

    large scale, line type of layout may be adopted.

    3. Basic managerial policies and decisions: The type of layout depends very much

    on the decisions and policies of the management to be followed in producing the

    commodity with regard to the size of plant, kind and quality of the product, scope for

    expansion to be provided for, the extent to which the plant is to be integrated, amount

    of stocks to be carried at anytime, the kind of employee facilities to be provided etc.

    4. Nature of plant location: The size shape and topography of the site at which the

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    plant is located will naturally affect the type of layout to be followed in view of the

    maximum utilization of the space available .For e.g., if a site is near the railway line the

    arrangement of general layout for receiving and shipping and for the best flow of

    production in and out the plant may be made by the side of the railway lines .If space is

    narrow and the production process is lengthy, the layout of plant may be arranged on

    the land surface in the following manner:

    5. Type of industry process: This is one of the most important factors influencing the

    choice of type of plant layout. Generally the types of layout particularly the arrangement

    of machines and work centers and the location of workmen vary according to the nature

    of the industry to which the plant belongs. For the purpose of lay out, industry may

    Be classified into two broad categories:

    (I) Intermittent and (ii) continuous. Intermittent type of industries is those, which

    manufacture different component or different machines.

    Such industries may manufacture the parts, when required according to the marketneeds. Examples of such industries are shipbuilding plants. In this type of industry

    functional layout may be the best. The second type of industry in continuous industry.

    In this type of industry raw material are fed at one end and the finished goods are

    received at another end. A continuous industry may either be analytical or synthetic. An

    analytical industry breaks up the raw material into several parts during the course of

    production process or changes its form, e.g. oil and sugar refineries. A synthetic industry

    on the other hand mixes the two or more materials to manufacture one product along

    with the process of production or assembles several parts to get finished product.

    Cement and automobiles industries are the examples of such industry. Line layout is

    more suitable in continuous process industries.

    6. Types of methods of production: Layout plans may be different according to the

    method of production proposed to be adopted. Any of the following three methods may

    be adopted for production- (1) Job order production, (2) batch production, and (3) mass

    production. Under job production goods are produced according to the orders of the

    customers and therefore, specification vary from customer to customer and the

    production cannot be standardized. The machines and equipment can be arranged in a

    manner to suit the need of all types of customers. Batch production carries the

    production of goods in batches or group at intervals. In this type of manufacturing the

    product is standardized and production is made generally in anticipation of sales. In such

    cases functional or process layout may be adopted. In case of mass production of

    standardized goods, line layout is most suitable form of plant layout.

    7. Nature of machines: Nature of machines and equipment also affects the layout of

    plants. If machines are heavy in weight or create noisy atmosphere, stationery layout

    may reasonably be adopted. Heavy machines are generally fixed on the ground floor.

    Ample space should be provided for complicated machines to avoid accidents.

    8. Climate: Sometimes, temperature, illumination and air are the deciding factors in the

    location of machines and their establishments. For example, in lantern manufacturing

    industry, the spray-painting room is built along the factory wall to ensure the required

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    temperature control and air expulsion and the process of spray painting may be

    undertaken.

    9. Nature of material: Design and specification of materials, quantity and quality of

    materials and combination of materials are probably the most important factors to be

    considered in planning a layout. So, materials storage, space, volume and weight of raw

    materials, floor load capacity, ceiling height, method of storing etc. should be given

    special consideration. This will affect the space and the efficiency of the production

    process in the plant. It will facilitate economic production of goods and prompt materials

    flow and soundly conceived materials handling system.

    10. Type of machine: Machines and equipment may be either general purpose or

    special purpose. In addition certain tools are used. The requirements of each machine

    and equipment are quite different in terms of their space; speed and material handling

    process and these factors should be given proper consideration while choosing out a

    particular type of layout. This should also be considered that each machine andequipment is used to its fullest capacity because machines involve a huge investment.

    For instance, under product layout, certain machines may not be used to their full

    capacity so care should be taken to make full use of the capacity of the machines and

    equipment.

    12. Human factor and working conditions: Men are the most important factor of

    production and therefore special consideration for their safety and comforts should be

    given while planning a layout, specific safety items like obstruction-free floor, workers

    not exposed to hazards, exit etc. should be provided for. The layout should also provide

    for the comforts to the workers such as provision of rest rooms, drinking water and other

    services etc. sufficient space is also to be provided for free movement of workers.

    13. Characteristics of the building: Shape of building, covered and open area,

    number of storeys, facilities of elevators, parking area and so on also influence the

    layout plan. In most of the cases where building is hired, layout is to be adjusted within

    the spaces available in the building. Although minor modification may be done to suit the

    needs of the plants and equipment. But if any building is to be constructed, proper care

    should be given to construct it according to the layout plan drawn by experts. Special

    type of construction is needed to accommodate huge or technical or complex or

    sophisticated machines and equipment.

    Product layout

    Product layout is also called as production lines or assembly lines. They are designed andlaid out in such a way that only a few products are capable of being manufactured or

    assembled. Materials flow through the various facilities. These use special machines to

    perform specific operations to produce only one product at one time. So, companies

    should set different set of machines for different products. Workers perform a narrow

    range of activities to complete the operations on the product as it moves in a flow line.

    The operation times, the sequence of movements and routing procedures are highly

    standardized to meet production requirements which are synchronized with many such

    products to complete finished goods to meet demands. Using special machines and

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    implementing standardization in operations have many advantages which are listed

    below:

    The skill required of the workers is low

    Supervision is minimal

    Training needs are small

    Precautions to be taken are:

    Constant check on the processes needs to be performed so that quality is

    assured.

    Corrective measures have to be implemented immediately to avoid rejections,

    since, the quantities that get manufactured will be continuous.

    Check for the behavioral attitude of the worker. As jobs are repetitive, workers

    tend to be bored and lose concentration. This may affect productivity and quality.

    Product Layout Example: Let consider an example of Work allocation at an airport

    Activity Average time, seconds

    1. Deplane 20

    2. Immigration 16

    3. Baggage claim 40

    4. Customs 24

    5. Check baggage 18

    6. Board domestic flight 15

    Q.5 Describe Write a brief note on PDCA cycle, Juans Quality Trilogy and

    Crosbys Absolutes of Quality. List all the Quality Tools.

    Answer.

    PDCA cycle:-

    PlanDoCheckAct Cycle Also called: PDCA, plandostudyact (PDSA) cycle, Deming

    cycle, Stewart cycle.

    Description

    The plandocheckact cycle is a four-step model for carrying out change. Just as a

    circle has no end, the PDCA cycle should be repeated again and again for continuous

    improvement.

    When to Use Plan-Do-Check-Act

    As a model for continuous improvement.

    When starting a new improvement project.

    When developing a new or improved design of a process, product or service.

    When defining a repetitive work process.

    When planning data collection and analysis in order to verify and prioritize

    problems or root causes.

    When implementing any change.

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    Plan-Do-Check-Act Procedure

    Plan. Recognize an opportunity and plan a change.

    Do. Test the change. Carry out a small-scale study.

    Study. Review the test, analyze the results and identify what youve learned.

    Act. Take action based on what you learned in the study step: If the change did

    not work, go through the cycle again with a different plan. If you were successful,

    incorporate what you learned from the test into wider changes. Use what you

    learned to plan new improvements, beginning the cycle again.

    Juans quality trilogy

    Juran uses his famous Universal Breakthrough Sequence to implement quality

    programmers. The universal breakthrough sequences are:

    1. Proof of need: There should be a compelling need to make changes.

    2. Project identification: Here what is to be changed is identified. Specific projectswith time frames and the resource allocation are decided.

    3. Top management commitment: Commitment of the top management is to assign

    people and fix responsibilities to complete the project

    4. Diagnostic journey: Each team will determine whether the problems result from

    systemic causes or are random or are deliberately caused. Root causes are

    ascertained with utmost certainty.

    5. Remedial action: This is the stage when changes are introduced. Inspection,

    testing, and validation are also included at this point.

    6. Holding on to the gains: The above steps result in beneficiary results. Having

    records or all actions and consequences will help in further improvements. The

    actions that result in the benefits derived should be the norm for establishing

    standards.

    Juran has categorized cost of quality into four categories:

    1. Failure costs Internal: These are costs of rejections, repairs in terms of

    materials, labor, machine time and loss of morale.

    2. 2. Failure costs External: These are costs of replacement, on-site rework

    including spare parts and expenses of the personnel, warranty costs and loss of

    goodwill.

    3. Appraisal costs: These are costs of inspection, including maintenance of records,

    certification, segregation costs, and others.

    4. Prevention costs: Prevention cost is the sequence of three sets of activities,

    Quality Planning, Quality Control, and Quality Improvement, forming the trilogy

    to achieve Total Quality Management.

    Crosbys absolutes of quality:-

    Like Deming, Crosby also lays emphasis on top management commitment and

    responsibility for designing the system so that defects are not inevitable. He urged that

    there be no restriction on spending for achieving quality. In the long run, maintaining

    quality is more economical than compromising on its achievement. His absolutes can be

    listed as under:

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    1. Quality is conformance to requirements, not goodness

    2. Prevention, not appraisal, is the path to quality

    3. Quality is measured as the price paid for non-conformance and as indices

    4. Quality originates in all factions. There are no quality problems. It is the people,

    designs, and processes that create problems

    Crosby also has given 14 points similar to those of Deming. His approach emphasizes on

    measurement of quality, increasing awareness, corrective action, error cause removal

    and continuously reinforcing the system, so that advantages derived are not lost over

    time. He opined that the quality management regimen should improve the overall health

    of the organization and prescribed a vaccine. The ingredients are:

    1. Integrity: Honesty and commitment help in producing everything right first time,

    every time

    2. Communication: Flow of information between departments, suppliers, customers

    helps in identifying opportunities3. Systems and operations: These should bring in a quality environment so that

    nobody is comfortable with anything less than the best.

    Quality Tools:-

    1. Cause-and-effect diagram (also called Ishikawa or fishbone chart): Identifies

    many possible causes for an effect or problem and sorts ideas into useful

    categories.

    2. Check sheet: A structured, prepared form for collecting and analyzing data; a

    generic tool that can be adapted for a wide variety of purposes.

    3. Control charts: Graphs used to study how a process changes over time.

    4. Histogram: The most commonly used graph for showing frequency distributions,

    or how often each different value in a set of data occurs.

    5. Pareto chart: Shows on a bar graph which factors are more significant.

    6. Scatter diagram: Graphs pairs of numerical data, one variable on each axis, to

    look for a relationship.

    7. Stratification: A technique that separates data gathered from a variety of sourcesso that patterns can be seen (some lists replace stratification with flowchart or

    run chart).

    Q. 6 Define project cycle, project management, and scope of project. List the

    various project management knowledge areas? What are the reasons for

    failure of a project?

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    Answer: Project cycle

    A project cycle consists of the various activities of operations, resources, and the

    limitations imposed on them.

    Project management:-

    It is the discipline of planning, organizing, securing, and managing resources to achieve

    specific goals. A project is a temporary Endeavour with a defined beginning and end

    (usually time-constrained, and often constrained by funding or deliverables), undertaken

    to meet unique goals and objectives, typically to bring about beneficial change or added

    value. The temporary nature of projects stands in contrast with business as usual (or

    operations), which are repetitive permanent, or semi-permanent functional activities to

    produce products or services. In practice, the management of these two systems is often

    quite different, and as such requires the development of distinct technical skills and

    management strategies.

    Project Scope:-The project scope is the definition of what the project is supposed to accomplish and the

    budget of both time and money that has been created to achieve these objectives.

    Best results are achieved when both the definition and the budget are precise and

    detailed. A good project scope document defines specifically what tasks are to be

    performed or results delivered. It defines the specific date when these deliverables are

    due and lists the budget allocated for them.

    Project management knowledge areas

    The knowledge areas of project management are the following:

    Project integration management, cost management, communications management

    Project scope management, quality management, risk management

    Project time management, human management, procurement management

    For a project to be successful, it is necessary to understand its relationship with other

    management disciplines. Other management supporting disciplines are business legal

    issues, strategic planning, logistics, human resource management, and domain

    knowledge.

    Project failure

    A project may fail because of one or more of the following reasons:

    Incidence of project failure

    Factors contributing to project success not emphasized

    Overview of Information and Communication Technologies (ICT) projects

    Common problems encountered during projects

    The reasons for the failure of a project in detail:-

    Incidence of project failure: The incidents of project failure are due to following

    reasons:

    1. Projects being initiated at random at all levels

    2. Project objective not in line with business objective

    3. Project management not observed

    4. Project manager with no prior experience in the related project

    5. Non-dedicated team

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    Master of Business Administration Semester-II MB0044 Production & Operations Management

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    6. Lack of complete support from clients

    Factors contributing to project success not emphasized:

    1. Project objective in alignment with business objective

    2. Working within the framework of project management methodology

    3. Effective scoping, planning, estimation, execution, controls and reviews, closure

    intertwined with quality

    4. Proactive approach towards project bottlenecks

    5. Communication and managing expectations effectively with clients, team members,

    and stake holders

    6. Prior experience of project manager in a similar project

    Overview of Information and Communication Technologies (ICT) projects:

    1. Involve information and communications technologies such as the World Wide Web,

    e-mail, fiber-optics, and satellites

    2. Enable societies to produce, access, adapt and apply information in greater amounts,more rapidly and at reduced costs

    3. Offer enormous opportunities for enhancing business and economic viability

    Common problems encountered during projects:

    1. No prioritization of project activity from an organizational position

    2. One or more of the stages in the project mishandled

    3. Less qualified/non-dedicated manpower

    4. Absence of smooth flow of communication between the involved parties.

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