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1. Institute of Business & Management UET lhr
Assignment#1 Operations Management
Submitted by: Muhammad Akmal
Roll #: EX/ SPR 11003
Answer to Q#1
Processes for the Production of Automobile
Company Millat Tractors Limited
1. Vendor Selection
2. Order Placing
3. Material receiving from vendors
4. Machining
5. Quality Inspection
6. Segregation of material
7. Cycle wise issuance of material on lines
8. Assembling
9. Painting
10. Quality checking
11. Assembling
12. Quality assurance on lines
13. Pre –Delivery inspection of final product
14. Handing over to Marketing Department

2. Inputs Value Outputs
Addition
1. Machining 1. Tractors
1. Human resource 2. Assembling 2. Fork lifters
2. Raw material 3. Painting 3. Prime
3. Machines/presses 4. Functionality movers
4. SOPs/Work testing 4. Generators
Instructions
5. Tools &
Equipment
6. Financial
resources
Answer to Q#2
The Critical Decision areas in my company for operations
Manager
How much to plan?
How much inventory to be acquired?
How much workforce is required for certain
production target?
How to handle Labor issues?
Who to downsize if required

3. Processes Decisions Required
Forecasting How much need to be
produced in a particular Year
& Month (Master
Scheduling)
Vendor Selection Which vendor has capacity to
meet the industrial
Requirements? Who can
produce Quality components?
Order Placing for Raw- How much material need to
material be purchased for particular
time period to keep the
optimum inventory level
Machining Which machinery is required
to meet critical
specifications? How to
control the Errors or failure
rate
Quality Inspection Which components need to
be rejected and which to be
selected, How much sampling
size should be? What should
be the Quality acceptance
level

4. Answer to Q#3:
Position in terms of Cost:
Lot of cost is involved in manufacturing of the product. Which
cannot be controlled but cost associated with failures and
mishandling can be controlled which is high
Position in terms of speed:
Delivery time is 2 to 3 Months
Position in terms of Quality:
Better than local competitors but not good in comparison
with the international competitors. Also warranty claims
are too high which shows the poor quality.
Position in terms of Flexibility:
Highly flexible in terms of changing the production requirements