Q. Define the term method study and state its objectives.

Method study is a scientific technique of observing, recording and critically examining the present method of performing a task or job or operation with the aim of improving the present method and developing a new and cheaper method. It is also known as methods improvement or work improvement. It encompasses the study of work processes, working conditions and equipments and tools used to carry out the job. Objectives of method study: To study the existing/proposed method of doing any job, operation or activity. To develop an improved method to improve productivity and to reduce operating costs. To reduce excessive materials handling or movement and thereby reduce fatigue of To improve utilisation of resources. To eliminate wasteful and inefficient motions. To standardise work methods or processes, working conditions, machinery, equipments and tools. Q. What do you mean by ergonomics? Ergonomics is the science of work. Ergonomics derives from two Greek words: ergon, meaning work, and nomoi, meaning natural laws. Combined they create a word that means the science of work and a persons relationship to that work. In application ergonomics is a discipline focused on making products and tasks comfortable and efficient for the user. Ergonomics is sometimes defined as the science of fitting the work to the user instead of forcing the user to fit the work. Examples: Using proper posture and body mechanics, good placement of computer equipment, comfortable handles and grips as well as efficient layout of kitchen appliances are all aspects of ergonomics. Where, Body Mechanics is the study of proper body movement to prevent and correct posture problems, reduce stress and enhance physical capabilities The International Ergonomics Association defines Ergonomics as follows Ergonomics (or human factors) is the scientific discipline concerned with the understanding of interactions among humans and other elements of a system, and the profession that applies theory, principles, data and methods to design in order to optimize human well-being and overall system performance. Physical ergonomics: is concerned with human anatomical, and some of the anthropometric, physiological and bio mechanical characteristics as they relate to physical activity. Cognitive ergonomics: is concerned with mental processes, such as perception, memory, reasoning, and motor response, as they affect interactions among humans and other elements of a system. Organizational ergonomics: is concerned with the optimization of socio technical systems, including their organizational structures, policies, and processes workmen.

Q. Define EOQ. What are its limitations? Economic Order Quantity model is the inventory management technique for determining the optimum order quantity which is the one that minimizes the total of its ordering and carrying costs. It also balances the fixed ordering costs against variable ordering costs. The EOQ is the optimum amount of goods to order each time to minimize total inventory costs. EOQ analysis should be applied to every product that represents a significant proportion of sales. Thus, the EOQ analysis provides answers to the following order quantity problems: How much of inventory should be bought in an order on each replenishment? Should the quantity purchased be large or small? Should the requirement of materials during a given period of time be purchased in one lot or should it be purchased in installments? Assumptions of EOQ model: Demand is known with certainty and is constant during the period. Depletion of stock is linear and constant. The time interval between placing an order and receiving delivery (lead time), is constant. The orders placed to replenish inventory stocks are received at exactly that point in time when inventories are zero. Limitations of EOQ Model: The assumption of constant usage and the instantaneous or immediate replenishment of inventories are not always practical. Safety stock is always required because deliveries from suppliers may be delayed for reasons beyond control. Also because there may be an unexpected demand for stocks. EOQ assumes that the demand is constant and known with certainty which always is not the case. Demand may rise and fall depending upon various factors leaving a certain degree of uncertainty behind it. Computational problems may arise and hence the number of orders to be placed may not be always 100% accurate if fractions or decimals are involved. Q. What do you understand by cellular manufacturing? In cellular manufacturing machines are grouped into cells, and the cells function somewhat like a product layout within a larger shop or process layout. Each cell in the cellular manufacturing layout is formed to produce a single parts family- a few parts, all with common characteristics, which usually means that they require the same machines and have similar machine settings. (refer Types of Plant layout- for details). Q. What is SIMO? (Simultaneous motion cycle)

It is a chart required to record in detail the simultaneous movement of different parts of the body of an operator during the performance of a single cycle of operation, the cycle time of which is very small. This is done with a help of SIMO. It is 2 handed process chart on a common time scale, designed to fulfil the function. If the movements are so fast that the naked eye of the operator cannot follow them, a cine-camera is employed to film the work. The film is then analyzed by projecting it as slowly as desired and recording on a common time-scale the simultaneous and specific diversions of movements performed by operator. While recording, it makes use of the Therblig symbols which represent the eliminatory movements of human activity. Uses: A better work distribution and loading of both the hands will be possible.Many unnecessary motions can be identified and eliminated. Q. What is Cost of quality? The concept of quality costs is a means to quantify the total cost of quality-related efforts and deficiencies. It was first described by Armand V. Feigenbaum in a 1956 Harvard Business Review article. Prior to its introduction, the general perception was that higher quality requires higher costs, either by buying better materials or machines or by hiring more labor. Furthermore, while cost accounting had evolved to categorize financial transactions into revenues, expenses, and changes in shareholder equity, it had not attempted to categorize costs relevant to quality. By classifying quality-related entries from a company's general ledger, management and quality practitioners can evaluate investments in quality based on cost improvement and profit enhancement. In short, Cost of quality refers to any cost that an organization incurs to ensure that the quality of the product or service is perfect. They can be classified into 4 important types: Internal failure, External failure, Appraisal and Prevention Costs. Q. Define operation layout? ( operational layout- functional layout- one of the types of layout) Operation layout refers to arrangement of machineries, equipments & other industrial facilities for the purpose of achieving quickest & smoothest production at the least cost. A plant layout or operation layout is a floor plan for determining and arranging the desired machinery and equipment of a plant. It also includes arrangement of facilities in the organisation. It includes arrangement of receiving & shipping depts., tool rooms, and maintenance room, employees rest room etc. Objectives of good layout:Provide enough production capacity. Reduce material handling cost. Reduce congestion in the movement of materials & people. Reduction in hazards to the employees. Better & effective utilization of labor. Increase in the employee morale. Reduction in industrial accidents.

Effective utilization of space within the factory. Ensure better supervision. Provide coordination & face to face communication wherever necessary. Ensure hygienic working condition Q. Difference between process design and operation design? Process design is the process in which product is characterized by high volume and very low variety. Importance is given to flow balancing, maintenance, capacity utilization and backward integration. Management is mostly concerned with the line balancing, maintenance management, process optimization planning and product layout design. Operation design is the process in which is characterized by very high variety and high volume. Importance is given to capacity estimation, scheduling, production control and cost estimation. Management is concerned with scheduling, capacity planning and scheduling, functional layout design. Job order costing. Q. What do you mean by total productive maintenance? Total productive maintenance (TPM) is an approach which brings the concept of total quality management in the practice of preventive maintenance. It involves the concept of reducing variability through employee involvement and excellent maintenance records. Total productive maintenance is a method designed to eliminate the losses caused by breakdown of machines and equipments by identifying and attacking all causes of equipment breakdown and systems down-time. It places a high value on teamwork, consensus building and continuous improvement. Q. What are the benefits of ISO 9000? State the steps involved in obtaining the certification. ISO-9000 is a Quality Management model comprising of 20 sets of quality system requirements known as elements. The model was initially designed for the manufacturing sector and affects virtually every aspect of a business. The following are the benefits of ISO 9000: 1. ISO-9000 forces an organization to focus on "how they do business". Each procedure and work instruction must be documented and thus, becomes the springboard for Continuous Improvement. 2. Documented processes are the basis for repetition and help eliminate variation within the process. As variation is eliminated, efficiency improves. As efficiency improves, the cost of quality is reduced. 3. With the development of solid Corrective and Preventive measures, permanent, company-wide solutions to quality problems are found. 4. Employee morale is increased as they are asked to take control of their processes and document their work processes. 5. Customer satisfaction, and more importantly customer loyalty, grows. As a company transforms from a reactive organization to a pro-active, preventative organization, it becomes a company people want to do

business with. 6. Reduced problems resulting from increased employee participation, involvement, awareness and systematic employee training. 7. Better products and services result from Continuous Improvement processes. 8. Fosters the understanding that quality, in and of itself, is not limited to a quality department but is everyone's responsibility. 9. Improved profit levels result as productivity improves and rework costs are reduced. 10. Improved communications both internally and externally which improves quality, efficiency, on time delivery and customer/supplier relations. The steps involved in obtaining ISO certification are as follows: 1. Decide what it is that the firm is looking to get out of new ISO quality system: Is there a particular area that needs help with organization and planning? Is quality suffering in some areas more than others? Do you need to focus your efforts more in certain places, or just a general company tune-up? Is your firm more interested in bettering your customer satisfaction and profits? Or do you simply want a pretty certificate to hang on the wall and show to customers? 2. Prepare the documentation in accordance with the ISO quality standard, and also in accordance with the company's quality goals. The basic documentation needed is a Quality Manual and a set of Quality System Procedures. Most companies will also have some forms as a part of their quality system. 3. Training your people: Everyone at your company will have to be on board in order to make your ISO quality system successful, and everyone will require some training. A few key people will have to be trained in all areas of your quality system. There are a few sections in ISO that all your employees will have to know. However, most people will only need to learn about a few sections in ISO, those that generally apply to everyone, and those sections that apply directly to the persons job responsibilities. 4. Find a registrar: There are many, many ISO registrars. Call a few of them and interview them. Try to get a feel for how they operate, and see which one best fits your style and budget. Some ISO registrars use independent auditors who might have to fly in from halfway across the country at your expense. Some ISO registrars use their own local employees, which can save a lot of money by not having to pay travel and lodging expenses for an out-of-town auditor. 5. Set a date for your certification audit: At least 2 to 3 months of experience with your new ISO quality system before you get audited. You will want to have evidence that you are doing what you say. You will need to have training records, possibly inspection records, customer feedback records, etc. For most small to mid-size companies, two to three months should be sufficient time to give you the practice and experience needed to pass your certification audit. Youll probably want to perform an internal audit and have a management review of your quality system about two weeks before your certification audit. This will give you a last chance to fine tune your quality system, and it will also provide more evidence to the auditor that you have truly implemented your ISO quality system. 6. Get your certification audit. ( do not make use of YOU.. write in passive voice) Q. Bring out the various techniques of Forecasting.

The forecasting techniques can be classified into Qualitative and Quantitative methods. They are explained as below: Qualitative Methods: Jury of Executive Opinion: it is a forecasting technique in which the opinions of a small group of high- level executives (managers) are taken, based on which a group estimate of demand is obtained as the forecast. Sales force Composite Method: This is also known as pooled sales force estimate method. Each sales person estimates what sales will be in his or her territory. These estimates are then reviewed to ensure that they are realistic. Market research method (consumer survey method): This is a systematic approach to determine consumer interest in a product or service by conducting a consumer survey and sample consumer opinions. This method may be used to forecast demand for the short, medium and long term. Other judgemental methods: Delphi method: It is a judgemental method which uses a group process that allows experts to make forecasts. The decision makers consist of a group of 5 to 10 experts who will be making the actual forecast. The staff personnel assist decision makers by preparing, distributing, collecting and summarising a series of questionnaires and survey results. Quantitative Methods: Nave Approach: The simplest way to forecast is to assume that forecast of demand in the next period is equal to the actual demand in the most recent period (i.e., the current period). Moving averages method: A moving average forecast uses a number of most recent historical actual data values to generate a forecast. The moving average for n number of periods in the moving average is calculated as : MA= Demand in the previous n periods Exponential smoothing method: It is a sophisticated weighted moving average method that is still relatively easy to understand and use. It requires only three items of data: this periods forecast , the actual demand for this period and alpha which is referred to as smoothing constant and having a value between 0 and 1. Q. State the objectives and benefits of work study. Objectives of work study: To provide more and improved physical means to motivate the workers. To improve the basic process by research and development. To improve methods of operation. To simplify and improve the product and reduce the variety, i.e., standardise the product. To improve organisations product planning and control. To improve manpower efficiency at all levels. Benefits of work study:

Increased productivity and operational efficiency. Reduced manufacturing costs. Improved work place layout. Better manpower planning and capacity planning. Fair wages to employees. Better working conditions to employees. Improved workflow. Reduced material handling costs. Provides a standard of performance to measure labour efficiency. Better industrial relations and employee morale. Basis for sound incentive schemes. Provides better job satisfaction to employees. Q. Different methods used in work measurement. (A) Direct method/repetitive method i) Time study/stopwatch study: Time study is concerned with the determination of the amount of time required to perform a unit of work. It consists of process of observing and recording the time required to perform each element of an operation so as to determine the reasonable time in which the work should be completed. ii) Activity sampling: Work sampling does not involve stopwatch measurement, as do many of the other techniques; instead, it is based on simple random sampling techniques derived from statistical sampling theory. The purpose of the sampling is to estimate what proportion of a workers time is devoted to work activities. Work sampling is also known as activity sampling, ratio delay, snap reading method of observing. B) Indirect method/non-repetitive method i) Analytical estimating: This technique of work measurement is used to determine the time values for jobs, having long and non-repetitive operations. The time values are determined by using synthetic data or on the basis of the past experience of the work study engineer, when no synthetic or standard data is available. It is essential, that the estimator must have adequate experiences of estimating, motion study, time study and the use of standard data. ii) Predetermined Motion Time System (PMTS): PMTS is defined as a work measurement technique by which normal or basic times are established for basic human motions and these time values are used to build up the time for a job at a defined level of performance. It is a work measurement technique that involves observing or thinking through a job, recording job elements, recording pre-established motion units, and calculating a performance standard. PMTS is an improvement over motion study because, besides affording detailed analysis of the motion, it makes it possible to set a measure of the time that a series of motion ought to take.

Q. Briefly explain process layout with advantages and disadvantages. Definition of Process Layout: -Process Layout is based on the function performed by a department. -In process Layout, similar process or machines or equipment of the same function are grouped together in a separate department. -In Process Layout, separate department is established for each specialized operation of production and machine relating each functions are assembled there. Example: Welding department will perform welding operations for the benefit of all the lines of production Advantages: Reduce investment of machines as they are general purpose machines. Greater flexibility in the production. Better and more efficient supervision is possible through specialization. There is greater scope for expansion as the capacities of different lines can be easily increased. This type of layout results in better utilization of men and machines. It is easier to handle breakdown of equipment by transferring work to another machine or station. There is a greater incentive to individual worker to increase his performance. Disadvantages: There is difficulty in the movement of materials. Machines devices for handling materials cannot be conveniently used. This type of layout requires more floor space. There is difficulty in production control. The production time is more as work In progress has to travel from place to place in search of machines. There is accumulation of work In progress at different places. Diagram: Inward goods store Planners Milling Automatics Grinders Packing and Shipping

Machine Raw material holding store Central Inspection Heat Treatment shop Area Drilling shop Electroand shop Turning shop(Lathes) Painting shop plating Assembly Finished goods storage

Q. Bring out the Merits and Demerits of automation . It is a technology dealing with the application of Mechatronics, computers for production of goods and services. Automation is broadly classified into Manufacturing automation and Service automation. Examples: Robots, CNC machine tools, ASRS, security systems, CAD/CAM systems, logistics support tools, automated Inspection systems, material handling systems. The advantages of automation are: Increased Output and Enhanced Productivity: Automation results in enhanced productivity and production because it increases the speed of production, eliminates production bottlenecks and reduces dead time (the time a machine is not working due to certain factors like lack of cutters, fixtures or materials). Improved and Uniform Quality: The quality of production is immeasurably improved because the entire production process, beginning with raw materials and ending with end products, is handled by machines.There is uniformity in the quality of the product and factor which earns or spoils the customers goodwill. Reduced Cost: Automation results in reduced total cost per unit of output. It is evident that after automation, the manufacturing cost is reduced by 34 percent per unit. The saving in the cost is mainly due to the virtual elimination of labor. Fewer Accidents: Automation results in a virtual elimination of labor and therefore reduced number of accidents. Better Production Control: Automation results in better control of the speed and flow of production as a result of highly mechanical sequencing. Disadvantages Automation creates certain problems which must be borne in mind by the management .These problems are: Heavy Capital Investment: Automation involves higher capital outlay, and the consequential problems of the cost of capital, depreciation power consumption, etc. Automation is therefore, a luxury for small firms.

Displacement of Labor: In spite of assurances to the contrary, automation does not result in worker replacement, and often in management replacement as well. Workers in unions oppose the move for automation .The LIC installed five computers successfully. The Trade Unions installed one of the computers in the Bombay office .The Trade Unions also saw to it that no LIC employee was retrenched because of the automation .They are still unhappy due to the instalment of the Computer in the Bombay office, due to which future employee opportunities have been closed in that office. Benefit of Employee Suggestion Lost: Labor being displaced, the benefit of suggestions from employees is lost .This is an irreparable loss to the management. Tighter specification may be needed: In an un-automated factory, when there are slight deviations from the specifications of the materials that have been received, workers are still able to use them after making minor adjustments. This can never be done in an automated plant because machines are not as flexible as human beings .Inevitably; increasingly automation will bring demands on suppliers to adhere more rigidly to specifications .This may raise the costs of purchased materials slightly. It may also increase the probability of supply failure due to poor quality Costs of Supply Failure Increase: If the supplier fails to deliver the goods in time or stock of the material is exhausted, the inevitable result is to shut down the plant. The cost of shut-down in an automated plant is far more than that of a non-automated plant. In the latter case, workers can be sent home, and in the former case the workers can be sent home because they are very few. Substitute for the Workers is a tremendous investment as the equipment goes on depreciating, whether it is being used or not. Slack Season would be Disastrous: Automation results in increased production if increased production does not find a ready market, the prices will fall and the result will be disastrous. The management should, therefore, be sensitive to the demands .Automation based on a hopeful market expansion is a direct road to bankruptcy. Dehumanization: Automation, carried to its logical end, dehumanizes the plant and generates a peculiar atmosphere in it. True, it offers several advantages .It is also true that an automated plant frees the management from labor troubles .At the same time, it should not be forgotten that the employment of thousands of persons in a single plant carries its own charm and gives a sense of pride and satisfaction in achievement which hundreds of computers and robots cannot. Q. What is capacity planning? What strategies do you follow to suit the demand? Capacity planning is the long term strategic decision that establishes a firms overall level of resources. The decisions are strategic, because they often commit the resources of the organization for long periods for e.g.: reliances decision to put up an ethylene cracker required an investment of hundreds of crores of rupees. Similarly, large investments are required to build, a refinery, or a caustic soda plant. As these expenditures are usually for fixed assets (plant and equipment) they are expensive as well as expensive to change. Capacity decisions affect product lead times, customer responsiveness, operating costs and firms ability to compete effectively with its competitors. Capacity expansion strategies: 1.Demand leading. 2. Demand trailing 3. Demand matching 4.Steady expansion 1. Demand leading: By maintaining excess capacity, this strategy allows the company to respond quickly to unexpected increase in demand, and it provides fast delivery to customers without overtime costs or production disruptions. Advantages 1. Can accommodate new or unexpected demand

2. Can provide quick response and delivery to customers 3. Low overtime and subcontracting costs 2. Demand trailing strategy: At the opposite extreme is maximizing utilization of existing capacity by not adding capacity until demand is expected to exceed current capacity over the long term Advantage is that it minimizes facility and equipment costs Disadvantages 1Cannot accommodate new or unexpected demand 2At peak times, response and delivery to customers are slow 3 often forced to add capacity during peak of business cycle, when costs of expansion are high 3. Demand matching strategy: The intermediate approach of trying to match capacity to demand is most effective when demand can be accurately predicted, growth in demand occurs at a relatively steady rate, and there is no substantial lumpiness in capacity additions. When these conditions exist, this strategy will usually minimize the combined costs of facility under-utilization, lost sales due to shortages, and inventories Advantages 1 balances capacity and other costs 2 provides reliable service and ability to respond to unexpected demand Disadvantages 1must be able to predict demand well or demand must be relatively constant 4 Steady expansion strategy : a major disadvantage of the demand trailing and demand matching strategies is that capacity is often not added until the upswing or peak of a business cycle, which is the same time competitors are adding capacity, so the prices for extra capacity are usually high and the lead time for adding is long In addition, the capacity option does not become available until the business cycle has turned down, so the company added capacity at a high price but could not use it when needed. A strategy that is similar to dollar cost averaging in stock investing is to add capacity at regular time intervals based on long term rather than shorter-term demand fluctuations. Thus, the company will buy some capacity at low prices during weak periods of business cycle. Advantages 1. Do not have to outguess competitors. 2. Price risk from adding capacity during peak demand periods is reduced. Q. Discuss various techniques of inventory control and also explain ABC analysis?

Inventory control is the supervision of supply, storage and accessibility of items in order to ensure an adequate supply without excessive oversupply. It can also be referred as internal control - an accounting procedure or system designed to promote efficiency or assure the implementation of a policy or safeguard assets or avoid fraud and error etc. 1. FIFO: If you deal in perishable items, FIFO (first in, first out) is an important concept to understand and maintain throughout the supply chain. 2. Cutting Edge Control: For a great deal of stock that needs constant management, consider bar codes or RFID (radio frequency identification) where hand-held readers can immediately tell you where valuable merchandise is. 3. Costs versus Convenience: A business owner must balance space available for extra stock versus speed of product turnover, fees for storage, cost in bulk versus regular ordering, and whether clients/end users would be willing to wait. 4. Stock Levels: Defining your minimum stock level will allow you to set up regular inspections and re-ordering of supplies. Take into account emergencies and vendors taking longer than average to replenish stock. This will aid you in arriving at JIT (just in time) ordering, where stock is held for a minimum amount of time before moving on to the next stage in the supply chain. 5. Stock Security: Stock security is a necessary cost. Many experts recommend separating staff that is responsible for stock management from staff that has financial responsibility. Many times, shoplifting and thievery is committed by employees rather than a stranger. 6. Stock on Hand: Having a great deal of stock on hand has both positive and negative consequences. Having an immediate supply means that end users get their product that much sooner. Speed and immediate gratification for a client can make the difference not only in a sale, but recommendations, repeat business and client loyalty. ABC analysis The ABC analysis is a business term used to define an inventory categorization technique often used in materials management. It is also known as Selective Inventory Control. It stands for Always Better Control. Policies based on ABC analysis: A ITEMS: very tight control and accurate records B ITEMS: LESS TIGHTLY CONTROLLED and good records C ITEMS: simplest controls possible and minimal records The ABC analysis provides a mechanism for identifying items that will have a significant impact on overall inventory cost, while also providing a mechanism for identifying different categories of stock that will require different management and controls. The ABC analysis suggests that inventories of an organization are not of equal value. Thus, the inventory is grouped into three categories (A, B, and C) in order of their estimated importance. 'A' items are very important for an organization. Because of the high value of these A items, frequent value analysis is required. In addition to that, an organization needs to choose an appropriate order pattern (e.g. Just- in- time) to avoid excess capacity. 'B' items are important, but of course less important, than A items and more important than C items. Therefore B items are intergroup items. 'C' items are marginally important. Q. State and explain Jurans Quality Trilogy? Joseph M. Juran made many contributions to the field of quality management. He revolutionized the Japanese philosophy on quality management and in no small way worked to help shape their economy into the industrial leader

it is today. Dr. Juran was the first to incorporate the human aspect of quality management which is referred to as Total Quality management. Juran developed a quality trilogy ( quality planning, quality control and quality improvement ) to assist management in the implementation of strategic quality planning. The trilogy provides explanation of the below process and expands on other key Juran philosophies.

QUALITY PLANNING

QUALITY QUALITY CONTROL QUALITY IMPROVEMENT

CONTROL

Quality Improvement:- The organized creation of beneficial change; the attainment of unprecedented levels of performance. Juran believes the improvement process starts here, rather than with quality planning, because it provides an early and measurable return on investment. Quality Improvement follows the following sequence: Establish a quality. Project selection. Project team selection. Assign team responsibilities. Provide recognition for the team. Progress review. Quality planning:- This planning activity includes discovering customer needs and developing products and processes to meet those needs. Jurans input-outputs chain links the steps in this processes which are linked (one step becomes the input for the next step). Quality planning involves the following steps: Identify the customers. Determine the customer needs. Translate the needs. Develop product features. Develop processes. Transfer the resulting processes.

Quality control:- the managerial processes used to evaluate actual performance, compare actual performance to goals, and take action on the differences. It is based on a feedback loop and involves the following basic steps: Evaluate actual operating performance. Compare actual performance to goals. Act on the difference(s).

Jurans trilogy drives control of processes, reduced QC costs, reduced operating costs, and the cyclical nature of the
approach. Q. What is time study, its objectives , briefly discuss the steps involved in time study using stop watch. According to ILO, Time study is a work measurement technique for recording the times and rates of working for the elements of a specified job carried out under specified conditions and for analyzing the data so as to obtain the time necessary for carrying out the job at a defined level of performance. Objectives of time study are: 1. To furnish a basis a comparison for determination operating effectiveness. 2. To set labour standard for satisfactory performance. 3. To compare alternative methods in method study in order to select the best method. 4. To determine standard costs. 5. To determine equipment and labour requirements. Steps involved in time study are: 1. Select the job to be studied: The reasons for selecting a job for time study are: a. New job taken for production. b. Change in manufacturing method. c. Design change. 2. Select the worker to be studied: The ideal worker would be the qualified worker, since the ideal worker or qualified worker may not be available in the organization, the best available worker is chosen and his rating is determined as compared with the qualified worker. 3. Conducting stop watch time study: In this step, the various activities involved are: a. Obtain and record all information available about the job, operator and worki8ng conditions. b. Record the method of doing the job break down the job into elements. c. Examine the various elements to ensure that the most effective motions are used in the elements of job performed.

d. Determination of normal or basic Time : Once a particular rating scale is chosen and the rating of the worker under observation is assessed as compared to the standard rating of the qualified worker. e. Determine the Relevant Allowances: Once the basic time per cycle required by the qualified worker to perform each element at standard rate of working is determined, the next step is to determine the time allowance to be given to the operator for relaxation, fatigue, contingency ,etc. Usually these allowances are taken as a percentage of basic or normal time. Q. Explain briefly the different types of forecasting. ( This answer is for Forecasting techniques) Forecasting is the first step in planning. It is defined as estimating the future demand for products and services and the resources necessary to produce these outputs. Estimates of the future demand for product and services are commonly referred to as sales forecasts. The sales forecasts or demand forecasts are the starting point for the entire planning in production and operation management. For example, material planning, capacity planning, manpower planning, financial planning and production scheduling, all depend on sales forecasting. Forecasting methods may be boned on mathematical models that are available historical data or in qualitative methods that draw on managerial experience and judgment or they may be boned on a combination of both. The various methods of forecasting demand may be grouped under the following categories. Forecasting Model

Qualitative model Consumer survey method Time series analysis

Quantitative model

Salesforce composite method Delphi method past analogy

linear regression Econometric model

Qualitative methods consist mainly of subjective inputs, often of non-numerical description Consumer survey method: This is a systematic approach to determine consumer interest in a product or service by conducting a consumer survey and sample consumer opinions. This method may be used to forecast demand for the short, medium and long term. Advantage: is that consumers opinion regarding their future purchasing plans are better than executive opinion or sales force opinion because it is the consumer who ultimately determine demand.

Disadvantage: 1. It may not be possible to contact every customer are obtained from sample customers which may lead to forecast error if the sample size is inadequate. Surveys require considerable amount of knowledge and skill to handle correctly. The response rate for mailed questionnaire may be poor. Salesforce composite method: this is also known as Pooled salesforce estimate method. Each sales person estimates what sales will be in his or her territory. These estimates are then reviewed to ensure that they are realistic. Then they are combined at the district and national level to arrive at the overall forecast. Advantage: The sales force is the group closest to the customer. Sales territories often are divided into districts or regions and forecasts for districts or regions will be useful in inventory management, distribution and salesforce staffing. Disadvantage: Individual biases of sales people may affect the sales forecast. Sales people may be unable to distinguish between what customers would like to do and what they actually will do. Delphi method: In this method opinions are solicited from a number of others mangers and staff personnel. The decisions makers consist of a group of 5 to 10 experts who will be making the actual forecast. The staff personnel assist decision makers by preparing, distributing, collecting and summarizing a series of questionnaires and survey results. Advantage: This method can be used to develop long-range forecasts of product demand and sales projections for new products. A panel of experts may be used as participants. Disadvantage: The process can take a long time. Response may be less meaningful because respondents are not accountable due to anonymity. High accuracy may not be possible. Qualitative methods: involve either projection of historical data or the development of association models which attempt to use causal variables to arrive at the forecasts. Time series forecasting: A time series is a time-ordered sequence of observation taken at regular intervals over a period of time. The data may be measurement of demand, earning, profits, outputs, productivity, consumer price index etc.

According to Morris Hamburg, A time series is a set of observation arranged in chronological order. The essential requirements of a time series are: The time gap, between various as far as possible must be equal. It must consist of a homogenous set of values. Data must be available for a long period. Linear regression analysis: In linear regression the dependent variable is related to one or more independent variables by a linear equation. Regression analysis is used to establish if there is a relationship between a dependent variable and one or more independent variables. In case of a time series, the independent variable is the time period whereas the dependent variable is what is to be forecasted. For example, in case of a hospital, number of in the hospital is independent variable and the sale of soft drinks in the canteens is a dependent variable .in simple linear analysis ,there is only one independent variable, where as the number of independent variable can be two or more in case of multiple regression analysis. Econometric Model: Two popular application of this include Econometric modeling And technology forecasting .In econometric macro economics performance is predicted for a variety of planning purposes using a large number of variables. These variables are typically included in a multiple regression model and relationship between these variables and the dependent variable is established. using such relationship, several predictions are made variable at the macroeconomic level and planning exercise are undertaken. In technological forecasting, a similar approach is taken to identify a host of variables pertaining to the alternative technology verses in question and a multiple regression model is developed to predict the impact and trends in using alternative technologies in the future. The econometric model forecasting involves estimating several simultaneous equations, which are, generally behavioral equations, mathematical identities and market-clearing equations. 10 marks: Q. What are the different functions of production manager in industrial relations? DEFINITION:'' Industrial relation is a relation between employer and employees, employees and employees and trade union''. FUNCTIONS : 1. Top management support : Since industrial relation is a functional staff service, it must necessarly derive its authority from the line organization. This is ensured by providing that the industrial relation director should report to a top line authority to the president, chaireman or vice president of an organization. 2. Sound personnel policies : These constitute the business philosophy of an organization and guide it in arriving at its human relations decisions. the purpose of such policies is to decide before any emergency arises, what shall be done about the large number of problems which crop up every day during the working of an organization. Policies can be succesful only when they are followed at all the level of an enterprise from top to bottom. 3. Adequate practices should be developed by professionals: In the field to assist in the implementation of the policies of an organizatio. A system of procedures is essential if intention is to be properly translated into action. The procedures and practices of an IR department aer the ''tool of management'' which enables a supervisor to keep a head of his job that of the time keeper, rate adjuster, grievance reporterand merit rater.

4. Detailed supervisory training : To ensure the organizational policies and practices are properly implemented and carried into effect by the IR staff, job supervisors should be trained throughly, so that they may convey to the employees the significance of those policies and practices they should moreover be trained in leadership and in communications. 5. Follow - up - Result : A constant review of an IR programe is essential so that existing practices may be properly evaluated and a check may be exercised on certain undesirable tendencies should they manifest themselves. A follow up of turnover, absenteeism, department morale, employee grievances and wage administration etc. Should be supplemented by continuous research to ensure that the policies that have been pursued are best fitted to company needs and employee satisfaction. Q. What are the factors effecting the location of cement industry? Decisions regarding industrial location have an unique place in the fields of industrial management and regional planning because such decisions have long-term implications for the health and well-being of an economy and because they are almost irreversible. Most industries involve huge investments, which generate cash flows over a long period of time and the history testifies that the success of an industry depends significantly upon the appropriateness of its location. Factors Affecting Location: The optimum location of an industry depends upon demand in relation to supply (market for its product), availability of raw-material. Production cost, distribution cost (transport cost in particular), prospects for profit, managements regional interest, and government policy concerning regional development. It should be pointed out that all these factors are not mutually exclusive. Location A is better than location B for industry if region A has a bigger market, greater availability of raw material, lower production, lower transport cost, greater prospects for profit, greater favour from managements' regional interest and/or greater encouragement from government than region B. This is a simple rule. Regional Demand and Supply The region-wise demand for, and capacity and production of cement, the latest year for which data are available. They indicate that demand is in excess of supply in the Eastern and the Northern regions, while quite the reverse is true for the Western and the Southern regions. An examination of the past data indicated that this trend has been prevailing for long. Thus, the market criterion alone would argue for expansion of cement industry in the Eastern and the Northern regions and for its contraction in Western and Southern regions. Availability of Raw Material The various determinants of the optimum location of a particular industry play varying role in the location of different industries. In the cement industry, availability of raw material and fuel, and transport cost are more significant than the other factors because cement is a weight losing and bulky product. Its weight losing nature argues for location near raw materials while bulkiness favours location near the market. As a result cement factories are, in fact, located in close proximity to the sources of raw materials. Most cement manufacturing units are established within a radius of 15 to 20 kilometers of limestone deposits. The raw materials required for cement are limestone, clay, and gypsum. The availability of gypsum may not affect location for its requirement is only about four per cent. Cement, in most plants in India, is manufactured through the wet process and thus large quantities of water are needed. However, as water is available in good quantities throughout our country, this does not affect location. The only important consideration seems to be the availability of coal since diesel, the alternative source of fuel, is considerably more expensive.

Production Cost and Profit Prospects Cost for any industry is usually classified into fixed cost and Variable cost. Fixed cost includes cost of land, buildings, machines, etc., and variable cost comprises costs of raw materials, fuel, labour, transport, etc. Buildings and machines costs are about the same in different regions. Land cost varies over regions but exerts no significant influence on locational decisions, for it is a small part of the total cost. Variable cost is significant because it is influenced by the availability of raw materials and labour, transport cost, etc. Management's Interest The choice of location of a new factory to a certain extent depends on the management's interest in a particular region. If the management has country-wide industrial interest, perhaps this factor would not merit attention in location studies. However, if the management has regional or local industrial interest this factor becomes a decisive one Government Policy For quarrying of limestone, the cement industry has necessarily to depend on the government for lease terms. Besides, encouragement and facilities or discouragement and hindrance from government do exert their influence on location. This is facilitated through the policy of freight equalization. Under this policy, cement is sold at uniform price at all railway stations in the country. Recently, the government has decided to grant subsidies even for road transportation to districts having poorrail links. Since the various location determining factors do not argue consistently for a particular location, it is not possible to specify clearly the locational advantages of various regions for the cement industry. This distribution of output is inconsistent with most of the determinants of location, including the criteria of demand-supply, the availability of raw material, and the production cost-profit. Conclusion If the quantitative data on all the determinants of location of an industry are available, the principal component method can be used to prioritise various regions according to suitability. The government could perhaps take steps such as a suitable licensing policy, and tax incentives to expedite the process. Q. Briefly explain the Product and Process type of Production Layout and compare their advantages and disadvantages. PRODUCT LAYOUT A Product Layout involves the arrangement of machines in one line depending on the sequence of operations. It is also called as Straight-line layout or layout for serialized manufacture. In Product layout, materials are fed into the first machine and finished products come out of the last machine. In between, partly finished goods travel automatically, from machine to machine the output of one machine becoming the input for the next. It is a feast for the eyes to watch the way sugarcane, fed at one and of the mill, comes out as sugar the other end. Similarly, in paper mill, bamboos are fed into the machine at one end and paper comes out at the other end. In Product layout, if there are more than one line of production, there are as many lines of machines. The emphasis here, therefore, is on special purpose machines in contrast to general purpose machines, which are installed in the Process layout. Consequently, the investment on machines in a Straight- line layout is higher than the investment on machines in a Functional layout. The grouping of machines should be done, on Product line, keeping in mind the following principles:

a) All the machine tools or other items of equipment must be placed at the point demanded by the sequence of operations. b) There should be no points where one line crosses another line. c) Materials may be fed where they are required for assembly, but, not necessarily all at one point d) All the operations, including assembly, testing and packing should be included in the line. The Product layout may be advantageously followed in plants manufacturing standardized products on a mass scale such as chemical, paper, sugar, rubber, refineries and cement industries. ADVANTAGES 1.There is mechanization of materials handling and consequently reduction in materials handling cost. 2.This type layout avoids production bottlenecks. 3.There is economy in manufacturing time. 4.This type of layout facilitates better production control. 5.This type of layout requires less floor area per unit of production. 6.Work-in-progress is reduced and investment thereon is minimized. 7.Early detection of mistakes and badly produced item is possible. 8.There is greater incentive to a group of workers to raise their level of performance. DISADVANTAGES 1.Product layout is known for its inflexibility. 2.This type of layout is also expensive. 3.There is difficulty of supervision. 4.Expansion is also difficult. 5. Any break down of equipment along a production line can disrupt the whole system. PROCESS LAYOUT Process layout involves a grouping together of like machines in one department. It is also called the Functional layout, layout for job lot manufacture or batch production layout, the process layout involves a grouping together of like machines in one department. For example, machines performing drilling operations are fixed in the drilling department; machines performing casting operations are grouped in the casting department; and so on. In this way, there would be a heating department, a painting department, a machining department and the like, where similar machines are installed in the plants which follow the Process layout. The Process arrangement is signified by the

grouping together of like machines based upon their operational characteristics. For example, engine lathes will be arranged in one department, turret lathes in a second department, and milling machines in a third department. While grouping machines according to the Process type, certain principles must be kept in mind. These are: a)The distance between the departments needs to be as short as possible with a view to avoiding long-distance movement of materials. b)Though like machines are grouped in one department, the departments themselves should be located in accordance with the principles of sequence of operations. c)Convenience for inspection. d)Convenience foe inspection. Process layout may be advantageously used in light and heavy engineering industries, made-to-order furniture industries and the like. ADVANTAGES 1.Reduced investment of machines as they are general purpose machines. 2.Greater flexibility in the production. 3.Better and more efficient supervision is possible through specialization. 4.There is greater scope for expansion as the capacities of different lines can be easily increased. 5.This type of layout results in better utilization of men and machines. 6.It is easier to handle breakdown of equipments by transferring work to another machine or station. 7.There is full utilization of equipment. 8.The investment of equipment would be comparatively lower. 9.There is greater incentives to individual worker to increase his performance. DISADVANTAGES 1.There is difficulty in the movement of materials. Mechanical devices for handling materials cannot be conveniently used. 2.This type of layout requires more floor space. 3.There is difficult in production control. 4.Production time is more as work-in-progress has to travel from place to place in search of machines. 5.There is accumulation of work-in-progress at different places. Q. Difference between CAD and CAM, MRP1 and MRP2.

Difference between Computer Aided Design (CAD) and Computer Aided Manufacturing (CAM): CAD is the process of creating a design by using computer technology, whereas CAM is the use of computers and computer software to guide machines to manufacture something. CAD has many functions that do not necessarily involve CAM, whereas CAM is heavily dependent upon CAD. A CAD user will typically be an engineer with training in CAD software, whereas a CAM user will usually be a specially trained machinist .These types of machinists are highly skilled and are comparable to a computer programmer or mechanical engineer. Computer Aided design (CAD) involves creating computer models defined by geometrical parameters. Whereas CAM uses geometrical design data to control automated machinery. CAD is the use of computers for designing in simple language. Whereas CAM is the use of computer based tools that assist engineers. Difference between Material Requirements Planning (MRP1) and Manufacturing Resource Planning (MRP2): Early manufacturing software systems were designated MRP (Materials Resource Planning) programs. The basic functions of MRP systems included inventory control, bill of material processing and elementary scheduling. With the later addition of scheduling functionality, MRP became MRP II MRP II was advanced further when routings became a standard part of software architecture, and was dubbed ERP. The capabilities of ERP systems expanded up those of MRP; in addition to manufacturing, this new system handled logistics, distribution, inventory, shipping, invoice, and accounting. Soon, ERP software became even more comprehensive, serving the operations of a number of other business activities, including: sales and marketing; production management and quality assurance; and human resource management. MRP1 is a computer based information system for ordering and scheduling of dependent demand inventories, whereas MRP2 is a broad based resource co-ordination system involving other areas of a firm in the planning process, such as marketing, finance and human resource. MRP1 focuses upon priorities of materials, whereas MRP2 is a natural outgrowth of Materials Requirement Planning (MRP1).