M.B.A. (Part II) (Semester III) (Old-CBCS) Examination, 2018
gr.E PRODUCTION AND MATERIALS MANAGEMENT
Paper I Purchasing and Inventory Management (Paper XIX)
Day and Date Thursday, 13-12-2018 Total Marks 70
Time 10.30 a.m. to 1.00 p.m.
1. multiple choice questions (One mark each) 14
is management of goods, supplies and inventory needed
for the organisation and related aspect of purchase.
Inventory management Purchase management
Employee management Operations management
The first step in purchase cycle is
Analyzing order Receiving material requirement
Processing purchase order Perceiving purchase requisition
is a place where excess material is kept which will be
used as and when required.
Locker Garage
Warehouse Store
A place where all items and material is stored at a central place is
called
Decentralised store Virtual store
Centralised store Enterprise store
is a process of taking position in future market rather than
physical market with an objective of reducing risk associated with price
changes.
Futures and options Forward trading
Hedging Risk taking
is a discipline that primarily specifies the shape and
placement of stalked goods.
Inventory management Store management
Material management Stock management
P.T.O.
Set P Seat
No.
Set P
SLR-CL 49 *SLRCL49*
is the goods and materials that a business holds for the
ultimate goal of re-sale in business.
Stocks Goods
Inventory Products
EOQ in inventory management stands for
Equal order quantity Environmental order quantity
Equity order quantity Economic order quantity
This is the process of establishing standard units of measure by which
quality, quantity and value of material may be compared and measured.
Codification Decentralisation
Standardisation None of the above
10) refers to a process of predicting future demand for firm's
goods and services.
Demand forecasting Demand estimation
Demand predicting Demand analysis
11) Economic forecasting relates to macro-economic business environment
that forecast
Interest rate Inflation rate
Economic rate Equity rate
12) is the act of making a strategic choice between producing an
product internally or buying it externally.
Outsourcing Make or buy decision
In-house solution Purchase from outside supplier
13) MRPII in organisation stands for
Money requirement planning
Material requirement planning
Manufacturing resource planning
Money resource planning
14) is an effective tool for cost reduction and improve value
effectiveness of work.
Cost analysis Value analysis
Demand analysis Risk analysis
Set P
*SLRCL49* SLR-CL 49
2. Short notes 14
Hedging. 7
Stores layout. 7
3. Write short notes 14
Demand forecasting and its objectives. 7
Introduction to MRP II systems. 7
4. Attempt the following 14
Explain the concept of Purchase Management. Also explain objectives of
purchasing, Responsibilities of purchase department. 14
OR
What is inventory management Explain concept, functions and classification
of materials in inventory management. 14
5. Case study 14
Professional cooling and Control Systems (PCACS) provide commercial facility
management services with high-performance building automation and HVAC
systems. for years, they used an informal approach to tracking inventory.
Employees would log incoming and outgoing items on spreadsheets but did
not manage the stationary items that were already in stock. Having such a
relaxed system ultimately resulted in several major issues that cost PCACS's
valuable time and money. "We were continually missing items that we thought
were in stock. Often times when we would order a certain part for a particular
job, it would be used for a different job and we would have no idea," explained
Tommy Gugliotta, Operations Manager of PCACS. " On numerous occasions,
we had to have inventory shipped overnight because our tracking system was
so inefficient. We wasted countless dollars and time searching for specific
items to replace a part of repair a machine."
When Tommy Gugliotta joined the PCACS team, his first task was to repair
the inventory management system that had been in place for over 20 years.
He witnessed the ineffective nature of manually traking inventory and knew
there must be a better way to streamline the process and save his company
money. Gugliotta began researching inventory software programs and came
across Wasp's inventory control solution. "I tested several software programs
but was immediately drawn to Wasp Inventory Control. I started out with a
Set P
SLR-CL 49 *SLRCL49*
30-day trial and was impressed with how easy it was to use," noted Gugliotta.
" Inventory Control offered all of the features that PCACS needed, like multiple
PC licenses, and the option to purchase barcode printers and mobile scanners
to accompany the software."
While testing Inventory Control, PCACS was starting several big projects that
required a trustworthy, easy-to-use inventory tracking system. "After just two
and a half weeks, I was convinced that Wasp Inventory control was the answer
to our inventory issues. It was a simple program that would be easy to teach
to other employees." explained Gugliotta.
PCACS purchased Wasp Inventory Control Professional, which included five
PC licenses and one mobile license. PCACS also purchased a handheld
WDT3200 mobile computer and WPL305 barcode printer.
PCACS has been using Wasp Inventory Control for approximately one year.
"Since deploying Wasp Inventory Control, we now have in-depth insight into
our entire inventory not just the incoming and outgoing items." stated Gugliotta.
One of the greatest benefits of Wasp Inventory Control has been financial
savings. "Once we began using the software, the issue of overnighting items
completely ceased. We no longer had to spend excessive amounts on shipping
items we thought we had in stock. Ultimately, Wasp Inventory Control paid for
itself within 6 months. We no longer are subject to missing inventory and have
significantly cut down the amount of time spent looking for items. Now, it only
tasks one or two seconds to look up a certain part, versus scouring through
pages and pages of spreadsheets," stated Gugliotta.
Analyze the case. 5
Identify the problem. 2
Identifying Alternative solutions. 5
Giving the best solution. 2