Course: Operations Management

Internal Assignment for June 2023 Examination

1)
Ans:
Introduction:
The selection factors for choosing a location for a company setup and how they relate to the
installation of an EV charging station may be the subject of this essay. Owners of businesses
should think carefully about here to put the corporate headquarters. A company's website
may have a significant influence on its performance, and choosing the wrong one could be
fatal for the enterprise. One of the key factors affecting the performance of an electric vehicle
(EV) charging station is where it is located. The Small Business Management's Guide to
Selecting a Location for a Business served as the source for these requirements.

Concept & application:

Selecting an area based on the following selection criteria:

Competition: The ideal location for an electric vehicle charging station has few or no
surrounding stations. It's crucial to take into account local competition when selecting a
website for a business status quo. The location must not be in a place where there are plenty
of competing groups.

Accessibility: The selection factors for choosing a location for a company setup and how
they relate to the installation of an EV charging station may be the subject of this essay.
Owners of businesses should think carefully about where to put the corporate headquarters. A
company's website may have a significant influence on its performance, and choosing the
wrong one could be fatal for the enterprise. One of the key factors affecting the performance
of an electric vehicle (EV) charging station is where it is located. The Small Business
Management's Guide to Selecting a Location for a Business served as the source for these
requirements.

Cost: Cost is an important factor to take into account when choosing a location for a
company organisation. It is necessary to assess the value of an EV charging station's website
in relation to the potential income it may provide. The house fee need to be reasonable and
within the limits of the corporation's financial strategy.

Demographics: A location for electric vehicle (EV) charging stations should either be in a
space where EV owners pay close attention or where there is a substantial need for EV
charging stations. The area must be in one where there is a substantial population of potential
clients. It's important to take the neighborhood's demographics into account when choosing a
place to open a business.

Infrastructure: The region in issue must have access to energy, water, and other basic
services in order to meet the requirements for an electric vehicle (EV) charging station.
It is crucial to take the surrounding area's infrastructure into account when choosing a
location for a business to open. A sufficient number of parking space, adequate enough road
connections, and other facilities that could be needed should be there.

Inside the context of the setup of an electric automobile charging station:

While establishing an electric-powered The aforementioned factors are essential to

determining whether or not an automotive charging station will be effective. The following
are some considerations to keep in mind while using the above-mentioned selection criteria
on how to establish an electric vehicle charging station:

Accessibility: The location of the charging station must be convenient for owners of electric
motors and allow for enough parking. In order to be accessible, the electric car charging
station must be placed adjacent to busy roads, busy intersections, and well-traveled areas,
such as shopping centres and tourist attractions.

Demographics: The location needs to be in a neighbourhood with a lot of visitors and a

dense population. The neighbourhood where the electric vehicle (EV) charging station is
located should have a high concentration of individuals who currently own EVs or a high
volume of persons seeking for EV charging stations.

Price: The money generated by the charging station will be enough to pay the location value
and other expenses. The location's charge should be less expensive and within the limits of
the company's financial strategy.

Competition: In order to draw in more users, the charging station must also provide
competitive pricing and promotions. The area desires a possible number of additional
charging stations, and the charging station itself must differ in terms of its amenities and
functionalities.

Infrastructural skills: Water, electricity, and other necessities must be available at the area.
Additionally, the charging station should have all necessary equipment, including as cables,
charging stations, and other devices, to enable the charging of electrical motors.

Conclusion:

It must be easy to access, have a high concentration of capacity users, be uncompetitive or

have very little competition, be cost-effective, and have the infrastructure required to support
charging of electric vehicles. making a judgement while considering these factors.
A crucial goal that affects the degree of success of the firm is the choice of a domain for its
foundation. One of the most important aspects affecting the performance of a charging station
for electric vehicles (EVs) is its placement.
2.
Ans:

Introduction:

The entire strategy for operations control must include the plant format technique. For
businesses to succeed and remain competitive in the ever changing market of today, it is
essential. The design of the plant is crucial to operations management. It describes how
different resources are arranged inside a service or industrial facility, including people,
equipment, devices, and materials. It is a method of strategically arranging a facility's
physical layout to maximise the flow of goods, services, and information, hence assuring the
maximum levels of production and performance.

Concept & application:

Plant layout is a plan of optimum management of facilities which include; personnel,

operating equipment, storage space, material handling equipment, and all other support
services.It includes the arrangement and location of work centres and various service centres
like inspection, storage, and shipping within the manufacturing/factory building. The many
plant layout theories that can be used in operations management are listed below:

Configuration in combination:

The layouts used in this design approach include process, product, and fixed position layouts.
This strategy is suitable for companies that produce a variety of devices in various numbers,
whether or not these quantities are little or considerable.

An example would be a food processing factory where the raw materials would go through a
number of processes before being expanded into finished goods.

The layout of the product:

This type of format arranges the resources at hand to take into account the proper sequencing
of the multiple production stages. This design works good for manufacturing procedures that
result in uniform items, such as assembly stress.
Consider an automotive manufacturing facility where the assembly line is set up
consecutively.

Association in a set role:

This setup keeps the product in a single area throughout the process and adds all necessary
resources to a single location. This design is excellent for companies that manufacture
enormous, difficult-to-transport products like ships, bridges, and aeroplanes and, as a result,
need a layout with these features.

An example of this would be to construct a large aeroplane, which could have all necessary
resources shipped there and would stay in one location during the construction process.

Flowchart of the process:

This arrangement is top-notch and appropriate for businesses that produce a variety of things
in small quantities, such as activity shops, hospitals, and repair facilities. On this style of
architecture, materials are carried from one branch to another and equipment or machines that
perform similar duties are grouped together. An example of this is a printing press, where the
various printing equipment is placed according to where it would be used.

Cloud Kitchen vs. Dine-In restaurant format:

A restaurant known as a "cloud kitchen" solely accepts online orders and lacks any real
dining areas for patrons. On the other hand, a dine-in restaurant offers customers a physical
dining area where they may interact and eat. The following is a summary of some of the key
differences between the layout of a cloud kitchen and that of a regular dining establishment
with tables for patrons to dine at:

Equipment:

Specialised household appliances, such as commercial ovens, refrigerators, and dishwashers,

are needed for a cloud kitchen. On the other hand, a typical restaurant has to include tables,
chairs and cutlery.

Workflow:

To guarantee that meals can be planned, delivered accurately, and organised, the workflow in
a cloud kitchen must be optimised. Instead, a restaurant that allows diners to eat at their tables
needs a process that makes sure that patrons are seated, orders are distributed, and meals are
placed to the table rapidly and effectively.

Space requirements:

A cloud kitchen occupies substantially less space than a conventional dining establishment
since client seats may not be necessary.

Staffing:

A cloud kitchen may be able to operate with far less staff than a regular restaurant because
there is no need for waiters or other workers to cater to customers.

A dine-in restaurant layout, on the other hand, is created to give customers a comfortable and
enjoyable dining experience. A dining area, a bar area, and a cooking area are frequently
included in the concept. The kitchen area is set up to allow for the cooking and preparation of
food for dine-in clients. The emphasis is on fostering a tranquil workplace, and the
arrangement is designed to make sitting and staff movement simple.

In a cloud kitchen arrangement, the kitchen is set up such that it can only process transport
orders. The emphasis in this plan is on increasing kitchen productivity and reducing operating
costs. The kitchen is geared towards the preparation and delivery of fast meals and is built to
make worker and equipment movement simple. A cloud kitchen architecture is appropriate
for restaurants that need to increase their delivery services but don't want to invest in physical
dining space.

A cloud kitchen format's key advantage is that it reduces operating costs by eliminating the
need for a physical eating area. Additionally, this style is incredibly effective and well-suited
for the preparation and distribution of fast meals.

Conclusion:

A crucial component of operations control is the plant format. The many concepts of plant
layout, such as way format, product format, fixed role layout, and combination layout,
provide businesses a range of choices to choose from to satisfy the needs that might be
particular to their operations. To reach the highest levels of efficiency and profitability, it is
crucial to keep in mind the differences between a dine-in restaurant layout and a cloud
kitchen layout. It guarantees that the performance and productivity of the production and
provider centres is at its highest level. These differences in space requirements, systems,
workflow, and staffing must be taken into account.

3 (a).
Ans:

Introduction:

The success of starting a new pastry business depends on careful planning and execution.
This article will provide advice on the AOP approach a patisserie firm may employ for its
brand-new mid-sized pastry store, given a year. One of the key components of this planning
is the development of a mix operation plan (AOP), which outlines how the organisation will
utilise its resources to achieve its objectives.

Applications and concepts:

A corporation's overarching strategy for accomplishing its production goals over time is
described by combination running plans (AOPs). The AOP is crucial for managing the
production cycle and making sure the agency meets its financial and operational objectives. It
takes into account the demand for the product, the available resources, and any other
constraints like staff, system, and stock levels.

The bakery might use the following strategies for its AOP during its first year of operation:

Chase strategy: In order to keep up with demand, the organisation could raise production
when demand is high and decrease production when demand is low to avoid stockpiling too
much inventory. If this strategy is to be carried out, the company may require a good
mechanism to adjust output as needed.
Level strategy: The pastry shop could maintain a steady production throughout the year with
the help of this approach. Using this approach, the employer might be able to keep a stable
personnel and device usage while minimising changes to inventory tiers. The goal is to make
enough high-quality pastries to meet the annual average demand while staying under that
limit.

Hybrid strategy: The company should be able to fulfil increasing demand using this
technique during periods of high usage while maintaining steady staff and system utilisation
during periods of low demand. With this strategy, the bakery might include the extent and
chasing strategies. When business was sluggish, the corporation would keep its
manufacturing charge the same; but, when business was brisk, it would eventually raise it to
meet demand.
It is important to keep in mind that the AOP approach will rely on a number of factors, such
as the expected demand for the product, the availability of resources, and the financial goals
of the organisation. The pastry store should consider these elements and decide which
strategy best suits its needs.

Other factors:

The right mix of personnel with the necessary skills must be present inside the organisation to
meet production demands, therefore staffing numbers must be carefully managed. The
company may also need to control inventory levels to make sure they have the right amount
of finished items and raw materials to satisfy customer demand without compromising
accessibility.

The pastry keeper may need to bear in mind additional factors and select an appropriate AOP
strategy, such as personnel numbers, stock control, and advertising. These elements are
crucial to the satisfaction of the business and have an impact on the performance of the
chosen AOP strategy.

The success of the company would depend on its marketing efforts. To attract and keep
customers, the bakery must develop effective marketing strategies. This may involve
establishing an online presence, offering deals and discounts, and offering exceptional
customer service.
Conclusion:

It's important to keep in mind that aspects like marketing, stock management, and the size of
the team of workers will influence how well the AOP strategy works. By carefully weighing
each of these factors, the pastry industry may be able to succeed in the competitive pastry
market. A effective aggregate operating strategy is necessary for the success of any company,
even a pastry shop. The chosen AOP strategy might be influenced by a number of factors,
including the anticipated call for, the resources available, and the financial objectives. By
carefully studying those components and selecting an appropriate strategy, the commercial
pastry firm could effectively manage its suppliers and realise its production goals.

3 (b).
Ans:

Introduction:

Inventory management is essential for every business, including pastry shops. One technique
for manipulating stock is the order techniques Q and P, which are often used in the
manufacturing and retail industries. We may discuss Q and P ordering structures in this post,
as well as any issues with utilising them to manage inventory in a pastry business.

Concept & application:

In both industrial and retail, Q and P ordering structures are two popular inventory control
techniques. The financial Order quantity (EOQ) model, often known as the Q device, is used
to determine the optimal order quantity for a given product. Based on the cost of placing
orders and keeping stocks, the Q machine chooses the order quantity. As seen below, the
EOQ is determined:

EOQ = √ (2DS/H)

S stands for the ordering price in accordance with the order, D stands for the product's annual
demand, and H stands for the holding cost in accordance with the unit per year.
The Periodic Evaluation Machine, or P-device, determines when it is best to place an order
for a certain item. To keep the goal level constant, the P system continuously evaluates the
stock and potential filling spots. Calculating the order amount involves making a contrast
between the desired and current stock ranges.

It would be impossible to properly utilise the Q and P systems for stock control in a pastry
business due to their considerable shortcomings.

Issues in inventory control for bakeries:

Demand Variability:

Demand fluctuation is one of the biggest challenges in stock manipulation for bakeries.
Depending on the time of year, special occasions, and other elements, the demand for pastries
might vary greatly. The Q system anticipates a regular demand fee, which might not occur in
a bakery. This might result in wasteful or lost sales due to goods being over- or under-
stocked.

Short Shelf life:

Stock desires must be meticulously kept in order to prevent waste and spoiling. The P
approach implies that the call would continue as normal throughout the review period.
Pastries could now be an exception to this, though. Pies only have a short shelf life since they
are perishable. This can also result in stock overstocking, which can waste and ruin food.

Inventory holding expenses:

According to a unit in step 12 months, the Q device calculates the order amount and how
much maintenance is used. The high holding costs associated with the Q method may make
selecting the optimal order quantity problematic. However, pastry parking costs might be far
higher than the price of the pastry. Pie handling and storage with care may result in an overall
costlier preservation process.

Seasonal demand:

Seasonal demand is a common occurrence for pastry shops, which can make inventory
management challenging. The demand for pastries may be enormous or underwhelming
depending on the season. Depending on when the orders were placed, this can cause the
inventory to be either overstocked or understocked. When it comes to bakeries with seasonal
demand, the P method makes the false assumption that the call is continuous.
Conclusion:

The Q and P ordering structures may be rented by pastry companies as effective inventory
control strategies. However, their use may also be constrained by the need for cyclists, a
product's short shelf life, expensive storage costs, and seasonal demand. To solve these
issues, pastry shops could use a hybrid approach that combines elements of the Q and P
systems. The Q system and the P system would both be used to determine the appropriate
order amount and time for this approach.