v. m. patel institute of management (internal... · q# 1 explain in brief of the meaning of...

V. M. PATEL INSTITUTE OF MANAGEMENT Ganpat University

Mid Semester Examination, MBA Semester IV Entrepreneurship and Management of Innovations

Time: 2.5 Hrs. Date:26/03/2018 Wt: 30 Marks

Instructions: 1. This is a closed book examination. 2. All the questions are compulsory. 3. Figures to the right indicate weightage of an individual question.

Q # l "Entrepreneurship is the process of creating wealth". Do you (06) agree with the statement? Explain.

Q # 2 Identify the various reasons for the current growth of (06) entrepreneurship in India.

Q # 3 Define 'project' in the light of the subject of Entrepreneurship. (06) Also explain in detail the characteristics and types of project with illustration for each.

Q # 4 · Which aspects are considered while working on marketing (06) analysis of a project? Explain in detail.

Q # 5 Which variables would you like to evaluate while doing (06) preliminary analysis of the project?

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V M PATEL INSTITUTE OF MANAGEMENT

Ganpat University Mid Semester Examination, MBA Semester IV

Management Control Systems Time: 2.5 Hrs. Date: 27/03/2018 Wt: 30 Marks

Instructions: 1. Figures to the right indicate marks of each question. 2. All questions are compulsory. 3. This is closed book examination.

Q# 1 Explain in brief of the meaning of 'Responsibility Centre' and various (5)

types of responsibility centres with suitable examples.

Q#2 What are key success factors (KSFs)? How does one determine KSFs? (5)

How do use them in performance measurement?

Q#3 What is Goal congruence? What are the factors influencing goal (5)

congruence?

Q#4 Explain the concept of transfer pricing? Explain the different methods (5)

of transfer pricing.

Q#5 Read the case study and give the answer of the questions at the end of (10)

case study

Case 1vVal-Mart Stores, Inc. Founded by Sam Walton, the first Wal-Mart store opened in Rogers, Arkansas, in 1962. Sevent.cen years later, annual sales topped $1 billion. By the end of January 2005, Wal-Mart Stores, Inc. (Wal-Mart) was the world's largest retailer, with $288 billion in sales. (See Exhibit 1 for <'Otnparative financial data.) In 1995, Wal-Mart solcl no grocery; by 2005, the company was the > udl'kc t leader among supermarkets in the U.S. Wal-Mart was the largest private-sector employer in the world . The information technology that powered Wal-Mart's supply chain and logistics was the most powerful, next only to the computer capability of the Pentagon. The company owned over 20 aircrafts-which were used by managers to travel to its stores in far-flung locations. The number of miles flown by Wal-Mart managers in the company-owned aircrafts would place Wal Mart on par with R medium-sized commercial airline. Wal-Mart had the largest privately owned satellite communication network in the U.S. and broadcasted more television than any network TV. 1

Wal-Mart's winning strategy in the U.S. was based on selling branded products at low cost. Each week, about 138 million customers visited a Wal-Mart store somewhere in the world. The

EXHIBIT 1 Comparative Financial Data on Selected Companies ----~--~--~--~~--

" Flve~Year Average: 1999-2004.

'_fi

Return on equity (percentage)?, · Sales growtH (percentage) Operating incom~ gr~~h

Sales_($B) As percentage of soles:

Cost of goods sold

Wai-Mart Home DepQt

. 21.2: 1"1.6 -ll.l.,

76.3

Kroger , Costco

2Q': l '4:5 .

(13.§) ;;

BA 11.9 .10.0

-:~-'

48-.l·

Target

17.3 6.8

13.3

46:8'

68.7 31.3 Gross m~rgin "'"

Selling and aqf1linistr~tis} .of

20.9 ,,, • ''\ "

Operating income Net Income

··· Tt ' 6.8

lnv~Qtory tu~rover .. .... _, Return O'n equity (percent~ge

5.9;. 15.6

This case was writ ten by Professor Vijay Govindarajan and julie B. Lang (T'9 3) of the Tuck School of Business at Dartmouth. ©Trustees of Dartmouth College.

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Sources: The Quest for Global Dominance: Transforming Global Presence into Global Competitive Advantage by Vijay Govindarajan and Anil K. Gupta © 2001 by john Wiley & Sons, In c. Chapte r 4. What Management Is: How it works and why it 's everyone's business by joan Magretta, © 2002 The Free Press. Sam Walton, Made In America: My Story by Sam Walton, © 1992 Doubleday. http:/ /www.walmart.com 1"Wal Around Th e World, " The Economist, December 6, 2001; and "Can Wa i-Ma rt Conq uer Markets Outside The US, "

Finoncial Times, january 7, 2003.

)( - .... . :

company employed more than 1.6 million associates (Wal-Mart's term for employees) worldwide through more than 3,700 stores in the United States and more than 1,600 units in Mexico, Puerto Rico, Canada, Argentina, Brazil, China, Korea, Germany, and the United Kingdom. (The first international store opened in Mexico City in J 991.) Wal-Mart also obtained a 38% controlling share in the Japanese retail chain Seiyu in order to capture a slice ofthe world's second largest market estimated at $1.3 trillion.

In 2002, Wal-Mart was presented with the Ron Brown Award for Corpora:te Leadership, a presidential award that recognizes companies for outstanding achievement in employee and community relations. In 2004, Fortune magazine placed Wal-Mart in the top spot on its "Most · Admired Companies" list for the second year in a row.

By 2005, Wal-Mart held an 8.9% retail store market share in the United States. Put simply, of every $100 that Americans spent in retail stores, $8.9 was spent in Wal-Mart. Procter & Gamble, Clorox, and Johnson & Johnson were among its nearly 3,000 suppliers. Though WalMart may have been the Lup customer for consumer product manufacturers, it deliberately ensured it did not become too dependent on any one supplier; no single vendor constituted more than 4 percent of its overall purchase volume. In order to drive up supply chain efficiencies, Wal-Mart had also persuaded its suppliers to have electronic "hook-ups" with its stores and adapt to the latest supply chain technologies like RFID which could increase monitoring and management of the inventory.

Wal-Mart used a "saturation" strategy for store expansion. The standard was to he able to drive from a distribution center to a store within a day. A distribution center was strategically placed so that it could eventually serve 150-200 Wal-Mart stores within a day. Stores were built as far away as possible but still within a day's drive of the distribution center; the area then was filled back (or saturated back) to the distribution center. Each distribution center operated 24 hours a day using laser-guided conveyer belts and cross-docking techniques that received goods on one side while simultaneously filling orders on the other. Wal-Mart's distribution system was so efficient that they incurred only 1.3% of f:!3.les as distribution costs compared to 3.5% for their nearest competitor.

The company owned a fleet of more than 6,100 trailer trucks and employed over 7,600 truck drivers making it one of the largest trucking companies in the United States. (Most competitors outsourced trucking.) Wal-Mart had implemented a satellite network system that allowed information to be shared between the company's wide network of stores, distribution centers, and suppliers. The system consolidated orders for goods, enabling the company to buy full truckload quantities without incurring the inventory costs.

In its early years, Wal-Mart's strategy was to build large discount stores in small rural towns. By contrast, competitors such as Kmart focused on large towns with populations greater than 50,000. Wal-Mart's marketing strategy was to guarantee "everyday low prices" as a way to pull in customers. Traditional discount retailers relied on advertised "sales."

Management Systems

Each store constituted an investment center and was evaluated on its profits relative to its inventory investments. Data from over 5,300 individual stores on items such as sales, expenses, and profit and loss W8re collected, analyzed, and transmitted electronically on a real-time

basis, rapidly revealing how a particular region, district, store, department within a store, or item within a department was performing. The information enabled the company to reduce the likelihood of stock-outs and the need for markdowns on slow moving stock, and to maximize inventory turnover. The data from "outstanding'' performers among 5,300 stores were used to improve operations in "problem" stores.

One of the significant costs for retailers was shoplifting, or pilferage. Wal-Mart addressed tb i ~> issue by instituting a policy that shared 50 percent of the savings from decreases in a slore's pilferage in a particular store, as compared to the industry standard, among that store's <~FlT)loyees through store incentive plans. .

Early in Wa1-Mart's history, Sam Walton implemented a process requiring store managers to fill out "Best Yesterday" ledgers. These relatively straightforward forms tracked daily sales performance against the numbers from one-year prior. Recalled Walton, "We were really trying to become the very best operators-the most professional managers-that we could .... I have always had the soul of an operator, someone who wants to make things work well, then better, then the best they possibly can."2 His organization was really a "store within a store," encouraging department managers to be accountable and giving them an incentive to be creative. Successful experiments were recognized and applied to other stores. One example was the "people greeter," an associate who welcomed shoppers as they entered the store. These greeters not only provided a personal service, their presence served to reduce pilferage. The "10-FootAttitude"was another customer s'ervice approach Walton encouraged. When the founder visited his stores, he asked associates to make a pledge, telling them, "I want you to promise that whenever you come within 10 feet of a customer, you will look him in the eye, greet him, and ask him if you can help him."3

In return for employees' loyalty and dedication, Walton began offering profit sharing in 1971. "Every associate that had been with us for at least one year, and who worked at least 1,000 hours a year, was eligible for it," he explained. "Using a formula based on profit growth, we contribute a percentage of every eligible associate's wages to his or her plan, which the associate can take when they leave the company, either in cash or in Wal-Mart stock."4 In fiscal 2005, Wal-Mart's annu3l company contribution totaled $756 million.

Wal-Mart also instituted several other policies and programs for its associates: incentive bonuses, a discount stock purchase plan, promotion from within, pay raises based on performance not seniority, and an open-door policy.

Sam Walton, the founder ofWal-Mart, believed in being frugal. He drove an old beat-up truck and flew economy class, despite being a billionaire. He instilled frugality as part ofWal-Mart's DNA.

Discussion Questions

1. What is Wal-Mart's strategy? What is the basis on which Wal-Mart builds its competitive advantage?

2. How do Wal-Mart's control systems help execute the firm's strategy?

2joan Magretta, What Management Is: How It Works and Why It's Everyone's Business (The Free Press, 2002), 189. 3http:/ /www.walmart.com 4Sam Walton, Sam Walton, Made In America: My Story (Doubleday, 1992), 132.

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V M PATEL INSTITUTE OF MANAGEMENT

Ganpat University Mid Semester Examination, MBA Semester IV

Insurance Management Time: 2.5 1-Irs. Date: 28/03/2018 Wt: 30 Marks

Instructions: 1. Figures to the right indicate marks of each question. 2. All questions are compulsory. 3. This is closed book examination.

Q # 1 Discuss the history of Insurance in India.

Q # 2 What is reinsurance? Discuss the benefits of reinsurance to ·other · . . msurance compames.

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Q # 3 Discuss the types of health insurance products (6)

Q # 4 Write short note on types of life insurance products (6)

Q # 5 (a) What is right of subrogation? ( 6) (b) Suppose a person is having any property worth Rs 10,00,000 and

for that fire insurance has been taken for sum assured (S.A) Rs 4,00,000 from company X and (S.A. of) Rs 5,00,000 from company Y and due to the fire the actual loss to the property is Rs 5,00,000 then how the payment will be done by the companies in this case.

END OF PAPER

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V . M. PATEL INSTITUTE OF MANAGEMENT Ganpat University

Mid Semester Examination, MBA Semester IV Managing Hospitality Services

Time: 2.5 Hrs. Date: 28/03/2018 Wt: 30 Marks

Instructions: 1) All the questions are compulsory 2) It is a closed book examination 3) Figure on the right indicates marks of the question.

Q#l Discuss current trends in Hotels & Hospitality Industry in India. (5)

Q#2 After the service is completed, there are certain after-service duties that (5) must be carried by the Food and Beverage personnel. Explain the duties of barperson, restaurant manager and chef should perform at the end of services provided.

Q#3 Explain the organizational chart of the front office with suitable example. (5) Explain in detail the types of hotel registration record.

Q#4 Explain co-ordination of House-keeping with other departments. (5)

Q#5 Write a short note on the following: (1 0) l)Hotel classification on basis of ov.rnership 2) International trends in hotel

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Mid Semester Examination, MBA Semester IV Working Capital Management

Time: 2.5 Hrs. Date: 29.03.18 Wt: 30 Marks

INSTRUCTION: • Right hand side indicates marks • Answer to the point. Give appropri ate example when needed.

Q# l Briefly illustrate different working capital policy. (4)

Q#2 What do you mean by lock box? Give one company name around you that use ( 4) lock box system. Illustrate its importance.

Q#3 Explain different component of net working capital cycle. ( 4)

Q#4 A) A firm receives three items each month . Calculate individual item float (6)

Q#5

and average daily float. Item 1- Rs 55,00,000 delayed by 3 days Item 2- Rs 10.00,000 delayed by 4 days

B) S.N Company currently maintains a centralized billing system at its

home office to handle average daily collection of Rs.2 ,50,000. The total

time for mailing, processing and clearing has been estimated at 4 days. If

the companies opportunity cost on short term fund is I 8%, how much

this time lag of 4 days is costing the company? If at cost of Rs.52000 per

year it is possible to reduce floating time by Y2 day, what you will do?

Reliable Industries Ltd. (RIL)

The RJL is presently managing its account receivables internally by the sales and credit department. Its credit terms for sales are 2/ 10 net, 30. The past experience of RTL has been that on an average 30 per cent of the customers' avail of the discount, while the balance of the receivables is collected on an average 60 days after the invoice date. Further, 2 per cent of the sales turnover results into bad debts .

The firm is financing its investments in receivables through a mix of bank finance and long-term finance in the ratio of 2:1. The effective rate of interest on bank finance is 22 per cent and the cost of own funds is 30 per cent.

The projected sale for the next year is Rs .500 lakh . The credit and collection department spends on an average one-fourth of its time on collecting receivables.

A proposal to avail of factoring service from Fair growth Factor Ltd.(FFL) as an alternative to in-house management of receivables collection and credit monitoring is

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under the consideration of the Board of Directors (BoD) of the RIL. If the proposal, details of which are given below, is accepted it is expected that the projected sale for the next year can increase by Rs.50 lakh as result of the diversion of the time of the executives of the sales, credits and collection department to sales promotion. For the type of product that RIL is producing, the gross margin on sales in the past has been 20 per cent. Moreover, there would be a saving in administrative overheads amounting to Rs.2.5 lakh due to discontinuance of sales ledger administration and credit monitoring. According to the factoring proposal, the FFL offers a guaranteed payment of 30 days. The other details are listed below:

The FFL would advance 80 per cent and 85 per cent in case of recourse (R) and non-recourse (NR) factoring deal respectively; the balance would be retained as factor reserve. The discount charge in advance (up-front) would be 22 per cent and 21 per cent for R and NR respectively. The FFL would also charge a commission (up-front) @ 2 per cent and 4 per cent for Rand NR respectively.

Before taking decision on the proposal, the BoD seeks your advice, as a financial consultant, on the course of action. What advice would you give? Support your answer with necessary calculation.

END OF PAPER

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Mid Semester Examination, MBA Semester IV International Financial Management

Time: 2.5 Hrs. Date:30/03/2018 Wt: 30 Marks

Instructions: 1. This is a closed book examination. 2. All the questions are compulsory. 3. Figures to the right indicate marks of an individual question.

Q # 1 Explain the causes of discrepancies in Balance of Payments. (06)

Q # 2 Discuss the types of risks involved in the international monetary (06) transactions.

Q#3 The Australian Dollar is trading at AUD 1.40/US$, the euro 1s trading at € 1.39/US$.

A. Calculate AUD/€ eros's rate. B. If the cross rate between the Australian dollar and the euro

is AUD1.05/€, is there any scope for triangular arbitrage? A market participant has USD 1 0,00,000. What is his profit/loss when he moves from one currency to another?

(06)

Q # 4 Suppose spot rate on April 01 is $1.685/£. Pound futures contract (06) is sold at $ 1.690 for June delivery and at $ 1.685 for September delivery. Expecting that pound will depreciate fast after June, a speculator buys the former and sells latter. Later, he finds that pound may appreciate by June but may not depreciate subsequently. So, he reverses the two contracts respectively at $ 1.680 and $ 1.660. Suppose, the exchange rate on both maturity dates is $ 1.695/£. Find out how much the speculator gains/losses.

Q # 5 Explain the need for forecasting foreign exchange rate? Also (06) discuss find the foreign exchange rate risk exposure.

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Mid Semester Examination, MBA Semester IV

Time: 2.5 Hrs. Strategic Financial Management

Date: 31.03.18 Wt: 30 Marks

INSTRUCTION: • Right hand side indicates marks • Answer to the point. Give appropriate example when needed.

Q# l Explain need and importance of vertical merger as strategy in business. Support (4) your answer with suitable example.

Q#2 List down possible reasons for the failure in merger and acquisitions. (4)

Q#3 Explain form of deal structuring in merger and acquisitions with suitable ( 4) example.

Q#4 Currently. Idea and Vodafone are planning for merger. However, Idea is listed (6) and Vodafone is unlisted company. Hence, each shareholder of Vodafone may get equity share of Idea with some fix ratio. Vodafone sales, book value and net income are Rs.63, Rs.l25 and Rs.5 per share respectively. If price of Idea is Rs.90 during exchange ratio decision and average ratio in past merger for P/E, P/B and P/S are 20, 0.8 and 1.5 respectively, then what should be price of Vodafone share? Using comparable approach find out exchange ratio between Idea and Vodafone.

Q#5 Kingfisher Ltd. Currently has following liabilities and assets: (8) ~ Liabilities

~ Assets

Account payable = Rs.950000, Note payable (bank), 8 percent = 220000, Accrued wages = 90000 , Tax payable = 230000, Mortgage, 6 percent = 315000 and Subordinated debentures to bank note payable, 12 percent = 300000

Current Asset = Rs.2000000 and Fixed Asset = Rs.2250000 ~ Equity

Preferred Stock = Rs.250000, CS = Rs.1500000 and Retain Earnings = Rs.395000

~ Liquidation Realization Current Asset = Rs.1200000 and Net Property = Rs .300000 (currently mortgage)

In case of bankruptcy show the claim settlements if fees for bankruptcy proceedings = 350000

Q#6 Differentiate acquisition, joint ventures and strategic alliance.

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V M PATEL INSTITUTE OF MANAGEMENT Ganpat University

Mid Semester Examination, MBA Semester IV Services Marketing

Time: 2.5 Hrs. Date: 29.03.2018 Wt: 30 Marks Instructions: (I) This is a closed book examination and all questions are compul sory.

(2) Figure right to the question indicates the weight ofeach quest ion.

Q#l Describe several instances in which a service company's explicit service (5)

promises were inflated and led you to be disappointed with the service outcomes. How service marketers can control this?

Q#2 How is information search behaviour different in case of services as compared (5)

to goods? Explain giving suitable examples.

Q#3 What is service quality? Discuss how SERVQUAL model is applicable in the (5)

case of fitness centers to enhance customer satisfaction.

Q#4 Why is it important for a service firm to have strong recovery strategy? Think (5)

of a time when you received less-than-desirable service from a particular

service organization. Was any effort made to recover? What should have been done differently?

Q#5 "Service blueprints are companions to customer-journey maps : they help (5)

organizations see the big picture of how a service is implemented by the company and used by the customers". Discuss this statement by taking suitable example.

Q#6 Briefly explain following terms: · (a) Service guarantee

(b) Customer gap (c) Service encounter

END OF PAPER

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Mid Semester Examina'lion, MBA Semester· IV

Strategic Marketing & Brand Management Time: 2.5 llt·s. Date: 30/03/2018 Wt: 30 Marks

Instructions: I. Figures to the right indicate marks of each question. 2. All questions arc compulsory. 3. This is closed book examination.

QNI Suppose you have been hired by a jewelry manul'"acturer as a b1·and consulta11L. Tile (OG) manutacturer has been making private-label-jewelry for 60 years but interested in developing its own brand of jewelry. Discuss the advantages and disadvantages or such a strategy.

Qf./.2 ldentif) a specific company that has rece,ntly introduced new brand extensions to (OG) the marketplace. Discuss whether you believe the brand extensions example you pmvidcd will benefit or har111 l11e firm.

Q#3 You are hired by a small but popular chain of bakery products namely "Campus (OG) Bakers" which is interested in d istri buti ng its product through super markets. The market for the bakery·s product has been steadily growing and it is time to expand distribution now that the bakery has expanded its production capacity. While convincing super market owner, you are told to pay 10,000 INR as a fcc to get entry in the super market. You know that the bakery cannot afTord to pay the ICes. What should you do novv?

Q/t4 Consider yourself as a strategic market head ofi'"ashion brand ·'Zara". Discuss the (OG) strategy for luxury brand which are new to rurban area.

QfiS l'xplain lhand cannibalization with its application in automobile industry in India. (OG)

END OF PAPI~:R

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Mid Semester Examination, MBA Semester IV Retail Management

Time: 2.5 Hrs. Date: 31103/2018 Wt: 30 Marks

Instructions: 1) All the questions are compulsory 2) It is a dosed book examination 3) Figure on the right indicates marks of the question.

Q#l In the· context of Big Bazaar retail mix strategy, evaluate the scope for (5) organized retailing in India.

Q#2 Differentiate between store based strategy and non-store based retailing. (5) Explain various types of non-store based retailing.

Q#3 How far do you agree with the view that sales promotions only have short (5) term effects and cannot be used to build the retail brand image?

Q#4 Comment on this statement: "A good location may let a retailer succeed (5) even if its strategy mix is mediocre." Is it always true? Give examples.

Q#5 Evaluate the loyalty programme of any pharmaceutical retail store of your (5) choice in the organized sector. How does its strategy compare with that of a small chemist in the same locality?

Q#6 Comment on this statement: "The quality of store maintenance efforts (5) affects consumer perceptions of the retailer, the life span of facilities, and operating expenses."

----END OF PAPER----,.


Mid Semester Examination, MBA Semester IV Legal Environment of HRM



Q #1 Explain the major provisions of safety as per The Factories Act, 1948. (06)

Q#2 Who is eligible for bonus according the Payment of Bonus Act? How (06) is bonus calculated? What are the limits of minimum and maximum amount that can be paid as bonus? Also describe the tax implications of bonus on employees.

Q#3 Describe the provisions related to the Welfare and Health of Contract (06) Labour as per the 'Contract Labour (Regulation and Abolition) Act, 1970.

Q#4 What are the objectives of the Payment of Wages Act, 1936? What are (06) the authorized deductions under it?

Q#S Write a short note on the following : (06) (a) Mines Act 1952 (b) Equal Remuneration Act, 1976



Mid Semester Examination, MBA Semester IV Strategic Human Resource Management



Q #1 Explain the difference between Strategic HRM and Traditional HRM. (06)

Q #2 How HR can influence organizational performance? Explain. (06)

Q#3 Do you think investment in training and development justified? How? (06)

Q#4 Do you see application of strategic human resource department in (06) family run organization? Write pros and cons of that.

Q#S Write a short note on the following : (06) (a) Employee Assistance Programme (b) HRM for competitive advantage



Mid Semester Examination, MBA Semester IV International Human Resource Management

Time: 2.5 Hrs. Date: 31103/2018 Wt: 30 Marks


Q #1 Differentiate domestic HRM from international HRM. (06)

Q #2 What is the importance of cross cultural leadership in cross cultural (06) management? Explain.

Q#3 Enumerate the various factors affecting the HR policy in global (06) organization.

Q#4 What are the different leadership styles adopted by different cultures, (06) give appropriate 4 examples.

Q#S Write a short note on the following: (06) (a) Hofstede Study on cross cultural (b) Cross cultural communication and negotiation



Mid Semester Examination, MBA Semester IV Global Supply Chain Management

Time: 2.5 Hrs. Date: 31.03.2018 Wt.: 30 Marks

Instructions: This is a closed book examination.

Q# 1

Q#2

Q#3

All questions are compulsory. Figures to the right indicate marks of each question.

What is cross-docking? What are the benefits of cross-docking? What are the (6) difficulties in implementing cross-docking?

There are two types of supply chains, 1) Efficient supply chain and 2) Responsive (6) supply chain. Which kind of supply chain is appropriate for functional products? Justify your answer with example and explanation.

A company that currently has 16 regional stock points and has been serving its dealers ( 6) from the stock point that is closest. This firm wants to explore the possibility of centralizing its stock holding. This will mean that stock will be held only at one central point and all the dealers will be served from this central point. Obviously, this is going to increase the time that the firm will take to service dealers or customers. As this will result in higher inventory at the dealer's end, the firm will have to use a faster mode of transport so as to provide more or less the same delivery time as in the decentralization case. Since the firm cannot force dealers to hold higher inventory, it will have to work with a faster and more expensive mode of transport to maintain the same service level. As a result, the company will reduce inventory-related costs but will have to pay higher transport cost. Each region has similar demand distribution with mean daily demand as 100 and standard deviation of demand being 30. Each of the stock points (in both centralization and decentralization cases) gets served from the plant and that takes a lead time of exactly 15 days. In decentralization case the average transport cost was Re. 1 per unit and in centralization case the transport cost will increase by 10 per cent to Rs. 1.10 per unit. The total working days in a year are 300. Ordering cost is Rs 256. Inventory carrying cost per unit is Rs. 6. Required service level is 97.7 per cent. Should the company move to centralize distribution instead of decentralized distribution system? Z value required at 97.7 percent service level is 2.00.

Q # 4 What is SCOR model? Which are the criteria in this model? Why is it difficult to (6) apply this model in Indian context?

Q # 5 Explain make to stock and make to order m the context of supply chain with (6) examples.

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v. m. patel institute of management (internal... · q# 1 explain in brief of the meaning of...

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