Aim - To develop an understanding of overall concepts of various management functions.
International airport is hybrid - Nationalized bank is process - Parking or of malls is product - HR department of multinational company is hybrid
Learning Outcomes
- Understand the selection of appropriate layouts for particular applications.
- Analyze management accounts and evaluate break-even point.
- Describe the underlying principles of production planning and control.
- Understand the main decision areas of marketing, how marketing policy is developed and be able to analyze goods and markets.Task(s)
Task 1) M /S Rusayl Corporation is currently manufacturing an item at variable cost of OR 5.00 per unit. Annual fixed cost of manufacturing this item is OR 140,000. The current selling price of the item is OR 10.00 per unit, and the annual sales volume is 30,000 units.
a) Rusayl corporation can substantially improve the item's quality by installing new equipment at additional annual fixed cost of OR 60000. Variable costs per unit would increase by OR1.00, but, as more of the better quality product could be sold, the annual volume would increase to 50,000 units. Should the company buy the new equipment and maintain the current price of the item? Give justification for the answer.
b) First alternatively, the company could increase the selling price to OR 11.00 per unit .However the annual sales volume would be limited to 25,000 units. Considering all the strategies above should the company buy the new equipment and raise the price of the item? Give justification for the answer.
c) Second alternatively, the company could decrease the selling price to OR 8.00 per unit. However the annual sales volume would be limited to 35,000 units. Should the company buy the new equipment and decrease the price of the item? Give justification for the answer. Considering the first and second alternate which pricing strategy would result in the greater total contribution to profits? Give justification for the answer.
d) What other considerations would be crucial to the final decision about installing new equipment or about price variation of the item in the company?
Task.2) Layout decisions go beyond placement of economic activity centers. There are four layout types: Process, product, hybrid and fixed position. Management's choice should reflect its flow strategy. Capital investment, material handling cost and flexibility are important criteria in judging most layouts. Identify the types of layout performance criteria that might be most important in the following settings.
a) International Airport
b) Nationalized Banks
c) Parking lot of Malls
d) Human Resource department of a multinational company.
Task.3) Green Grass, Inc., is expanding its product line to include a new fertilizer spreader called the Big Broadcaster. Operations plans to make the Big Broadcaster on a new assembly line, with most parts purchased from outside suppliers. The plant manager obtained the information as shown in the table, concerning work elements, labour standards and immediate predecessors for the Big Broadcaster.
a) Construct a precedence diagram for the Big Broadcaster.
b) Calculate the cycle time for the Big Broadcaster?
c) Evaluate the theoretical minimum number of work stations that can be provided by the Big Broadcaster.
d) Find a line balancing solution using the longest work element time rule so that the line will produce 40 Big Broadcasters per hour.
e) Calculate the resulting efficiency and balance delay percentages which the company will achieve?
|
Work Element
|
Time
(Sec)
|
Immediate
Predecessor(s)
|
|
A
|
40
|
None
|
|
B
|
80
|
A
|
|
C
|
30
|
A
|
|
D
|
25
|
B
|
|
E
|
20
|
C
|
|
F
|
15
|
B
|
|
G
|
60
|
B
|
|
H
|
45
|
D
|
|
I
|
10
|
E,G
|
|
J
|
75
|
F
|
|
K
|
15
|
H,I,J
|
Task.4) "Marketing is the performance of business activities that direct the flow of goods and services from the producer to the consumer". Relationship marketing is the one of the hottest trends in marketing today. Experts have defined the term in many ways-but the bottom line is always "getting to know your customers (clients, publics, etc.) better so you can meet their wants and need better.
Task required in this question is to conduct a local market study, survey and analysis of any ONE product (electronics, automobiles, any consumer products) available in Sultanate of Oman.
a) Mention all the details of the product (Name, specifications of the product, prices, manufactures etc...)
b) Discuss the potential target segmentation of the product and analyze who are the major competitors in this field.
c) Discuss the Marketing Mix (4P's) being followed by the company and how it influences the sales promotion.
d) Discuss how the company use its Web site for cost effective customer- relationship building.
e) Discuss the advertising strategies adopted by the company to increase the sales volume of the company.