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com

L-3ff -2/EEE Date: 02/06/2014

BANGLADESH UNIVERSITY OF ENGINEERING AND TECHNOLOGY, DHAKA
L-3/T-2 B. Sc. Engineering Examinations 2011-2012

Sub: IPE 493 (Industrial Management)

Full Marks: 210 Time: 3 Hours

USE SEPARATE SCRIPTS FOR EACH SECTION
The figures in the margin indicate full marks.

SECTION-A
Ther,e are FOUR questions in this section. Answer any THREE.

1. (a) Describe four basic management functions that managers perform in an organization. .' (12)
(b) Discuss tMatrix'-typeorganizational structure along with it's advantages and
disadvantages. Also give an example of a matrix-type organization and explain why it is

matrix type. (12)

"

(c) Consider a worker, who is working in a shoe factory, has to produce 360 pieces. The
standard task is 80 pieces, where the low task is 75% of the standard task. If the wage
rate is $30 per hour ang the worker takes 4 hrs to complete the job, then calculate his

earning per hour, under Rowan Plan. (11)

2. (a) Describe 'different organization design approaches. (13)

(b) Discuss five sources of 'Power' with necessary examples. (10)
(c) Discuss and describe the steps of delegation of power. (12)

3. (a) Discuss Hemner's rules for behavioral modification. (13) ,

(b) Describe different stages of team development. (10)
(c) If you want to withdraw the following amounts over next five years from a savings
account that earns 7% interest compounded annually, how much do you need to deposit

now? (12)
Year Amount
2 $2000
3 -$3000
4 $6000
5 $8000

4. (a) Voltar Company manufactures and sells a telephone answering machine. The

company's contribution format income statement for the most recent year is as follows: (23)
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IPE 493/EEE
Contd ... Q. No. 2(a)

Total Per Unit Percent of Sales

Sales (20,000 units) - . $1,200,000 $60 100%
less variable expenses . 900,000 45 ?%
Contribution margin . 300,000 $15 ?%
Less fixed expenses . 240,000
Net operating income . $ 60,000

Management is anxious to improve the company's profit performance and has asked for
an analysis of a number of items.
(i) Compute company's CM. ratio and variable expense ratio.
(ii) Compute company's break even point in both units and sales dollars.
(iii) Assume that sales increases by $400,000 next year. If cost behavior patterns
remain unchanged, then by how much will the company's net operating income
increase? Use the eM ratio to determine your answer.
(iv) Refer t<? the original data. Suppose management want to sell high quality
speaker. The higher quality causes an increase in variable cost by $3 per unit.
Manager has, also eliminated one quality inspector who was paid $30,000 per
year. If he assumes it will increase the annual sale by 4000 units, then determine
whether he should make these changes.
(b) Memofax, Inc., produces memory enhancement kits for fax machines. Sides have
been very erratic, with SOlVemonths showing a profit and some months showing a loss.

The company's income statement for the most recent month is given below: (12)

Sales (13,500 units at $20 per unit) . $270,000

Less variable expenses . 189,000
Contribution margin . 81,000
Less fixed expenses . .90,000

Net operating loss . $ (9,000)

(i) Compute CM ratio and break even point in both units and dollars.
(ii) The sales manager feels that an $8,000 increase in the monthly advertising
budget, combined with intense effort by sales staff, will result in a $70,000
increase in monthly sales. How this change will affect the monthly net
operating income or loss?

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IPE 493/EEE

SECTION-B
There are FOUR questions in this section. Answer any THREE.

5. (a) Do you agree that EOQ model is a robust model? Justify your answer by providing
mathematical proof. (10)
(b) Briefly explain the "Power of two" policy. (10)
(c) An item sells for $25 a unit, but a 10% discount is offered for lots of 150 units or
more. A company uses this item at the rate of 20 units per day. Setup cost is $50 and
holding cost per unit per day is $0.30. The lead time is 12 days. Determine the optimal
inventory policy. (15)

6. (a) Briefly discuss the term "System nervousness" in MRP. State-and explain the ways
of overcoming this problem. (10)
(b) An end item A has a planned lead time of two weeks. There are currently 120 units
on hand and.no scheduled receipts. Setup cost is $400 and holding cost $2 per unit per
week. Master production schedule for the next 10 weeks is given below. (17)
Week 1 2 3 4 5 6 7 8 9 10

Demand: 41 44 84 42 84 86 7 18 49 30

Now compute the planned order releases and total cost using
(i) 'EOQ'
(ii) 'PPB' policy
(c) Briefly discuss different types of production systems with suitable examples. (8)

7. (a) A manager is trying to determine which forecasting method to use. He gathered the
following historical data (25)
Month Actual demand

I 62

2 65
3 67

4 68

5 71

6 73

Based on above data, please calculate the following:

(i) Single exponential smoothing forecast for periods 2-6 using an initial forecast
of61 and an a of 0.30
(ii) Exponential smoothing with trend adjustment forecast for periods 2-6 using
initial trend forecast of 1.8, an initial exponential smoothing forecast of 60, an
a of 0.30 and ~ of 0.30
(iii) Calculate MAD for the forecast made by above (i) and (ii) technique in periods
4-6. Which forecasting method do you prefer and why?
(b) Discuss about different demand options in aggregate planning. (10)
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IPE 493/EEE

8.. (a) Suppose you have the alternative of receiving either $10,000 at the end of five years
or 'P' dollars today. Currently, you have no need for the money, so you deposit the 'P'
dollars into a bank account that pays 6% compound interest annually. What value of 'P'
would make you indifferent in your choice between 'P' dollars today and promise of

$10,000 at the end of five years? (3)

(b) How would you conduct a marketing research? (12)
(c) For the information shown below:

(i) prepare a schedule of cost of goods manufactured. (7)

(ii) computethe cost of goods sold (6)
(iii) prepare an Income statement. . (7)
The following information has been taken from the accounting records of Klear-Seal
Company for five years:

selling expenses ••••••••••.••..••....•...••..•.... $ 140,000

Raw matenals inventory, January 1 .•••••••••••••...... 90,000
Raw matenals inventory, December 31 ..••••.••.......• 60,000
Utilities, factory; •....•.•.•.•.............•......... 36.000
Direct labor cosl ....................•....•....•...• 150,000
Depreciation, factory : , •.....••••..•..••. 162,000
Purchases of raw malenals . 750,000
Sales " : . 2,500,000
Insurance, factory ........•••••..•...•.............. 40,000
Suppli~, factory •••.•. ~•..••• : .•.......•.•..••...•• 15,000
Administrative expenses ..••.....•......•.••.•.....•. 27Q,Ooo
Indirecllabor .••••.......•..•..•••.•...•••••.••••••• 300,000
Maintenance, factory ...••.•.....••.•.•••••••.•.•... 87,000
Work in process inventory, January 1. ................•. 180,000
Work in process inventory, December 31 .•••.••••••••.•. 100,000
Rnished goods inventory, January 1 •.......••.•••...•. 260.000
Finished goods inventory, December 31 .....•.......... 210,000
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L-3/T -2/EEE Date: 16/0112015

BANGLADESH UNIVERSITY OF ENGINEERING AND TECHNOLOGY, DHAKA
L~3/T-2 B. Sc. Engineering Examinations 2012-2013

Sub: IPE 493 (Industrial Management)

Full Marks : 210 Time: 3 Hours
The figures in the margin indicate full marks.
USE SEP ARA TE SCRIPTS FOR EACH SECTION

SECTION -A
There are FOUR questions in this Section. Answer any TRHEE.

1. (a) Dany Steel fabricates various products from two basic inputs, bar stock and sheet
stock. Bar stock is used at a steady rate of 1000 units per year and cost $200 per bar.
"
Sheet stock is used at a rate of 500 units per year and costs $ 150 per sheet. The company
policy of computing annual holding cost is 20% of purchasing price. The fixed cost to
place an order is $ 50 of which $ lOis cost of placing the purchase order and $ 40 is the
fixed cost of truck delivery. The Plant runs 365 days a year.
(i) Use EOQ formula to compute the optimal order quantities, order interval_and annual
cost for bar stock and sheet stock. What fraction of total annual cost consists of fixed

trucking cost? (10)

(ii) Using a week as the base interval, round the order intervals for bar stock and sheet
stock to the nearest Power of two. If you charge the fixed trucking fee only once for

deliveries that coincides. What is the annual cost now? (10)

(b) A Chemical firm produces sodium bisulfate in 100 pound bags. Demand for this
product is 20 tons per day. The capacity for producing the product is 50 tons per day.
Setup cost is $ 100 and storage cost is $ 5 pet ton per year. The firm operates 200 days a

year. Now please find out the following: (15)

(i) How many bags per tun are optimal?
(ii) What would be the average inventory for this lot size?
(iii) Approximate length of production run in days
(iv) The nu~ber of runs in a year.
Note: I ton = 2000 pounds.

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IPE 493
Contd ... Q. No. 2(c)
Job W orkcenter 1 Workcenter 2
A 6 12 -
B 3 7
C 18 9
D 15 14
E . 16 8
F 10 15

3. (a) Briefly discuss about different capacity options available in aggregate planning with

relevant examples. Why aggregate planning is called "Rolling Planning Horizon? (10+2=12)
(b) Differentiate continuou's and discontinuous manufacturing with examples. (10)
(c) Develop a "PPB" solution and calculate total cost for the data given below: (13)
Period 1 2 3 4 5 6 7 8 9 10 11 12
Gross requirement 30 - 40 - 30 70 20 - 10 80 - 50
Holding cost = $2. SO/unit/week, setup cost = $ 150, lead time = 1 weak, beginning
inventory == 40.

4. (a) A dependent demand inventory model requires information on five different items.
Briefly explain these items with examples. (12)
(b) Discuss the significance of five forces in determining segment structural
attractiveness. Analyze the following situations using Five force model. (15)
(i) Starting a stationary shop .equipped with photocopy machines along with other
stationary products just besides your university.
(ii) Entrance of a new mobile company in Bangladesh.
(c) Suppose an agent from life insurance company (LICO) came to you at your office and
tried to convince you to have an insurance policy. He mentioned different policies offered
) by 'LI~O' i.e. life insurance, health and accidental benefits, retirement savings etc.

Which marketing concept did 'LICO' follow and provide reasoning behind your answer. (8)

SECTION -B
There are FOUR questions in this Section. Answer any THREE.

5. (li) Explain different management levels and the skills needed for effective perfonnance
at different levels. (14)
(b) Write down the names of roles performed by managers according to Henry

Mintzberg. What is the difference between disseminator and spokesperson? (5+2)

(c) What are the principles of management according to Fayol? (6)
(d) Describe the contingency approach. (8)
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IPE 493

6. (a) Give examples of different types of departmentalization. (5)

-'
(b) What do you mean by formalization? Differentiate between mechanistic and organic

structure. (7)
(c) What is delegation? What are the pre-requisites and advantages of delegation? (13)
(d) Assume guaranteed base rate is 25 Tk./hour. Total number of pieces to'be produced is
300 pieces. Low task is 100 pieces/hour which is 75% of standard task. The worker takes
2 hours to complete the job and his share is 40%. Calculate the rate of incentive for

worker'according to Halsey plan. (10)

7. (a) Describe Maslow's hierarchy of needs. (8)

(b) What is a competitive strategy? Briefly explain different competitive strategies with

appropriate examples. (10)

(c) Differentiate between rationality and bounded rationality. (5)

(d) Explain how BeG matrix can be helpful to develop competitive strategies. How

strategic flexibility can be achieved? (7+5)

8. (a) Explain different performance appraisal methods along with their advantages and

disadvantages. (13)
(b) What are the typical strategies available for market leaders to defend their Market

share? Elaborate each of them with relevant examples. (14)

(c) Briefly explain the concept of niche marketing by providing a suitable example. (8)
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L-3/T-2/EEE Date: 17/0112016

BANGLADESH UNIVERSITY OF ENGINEERING AND TECHNOLOGY, DHAKA
L-3/T-2 B. Sc. Engineering Examinations 2013-2014

Sub: IPE 493 (Industrial Management)

Full Marks: 210 Time: 3 Hours

USE SEP ARA TE SCRIPTS FOR EACH SECTION
The figures in the margin indicate full marks.

SECTION-A
There are FOUR questions in this section. Answer any THREE.

1. (a) Discuss different organizational design approaches. (15)

(b) Assume that Product Z is made of two units of A and four units of B. A is made of
three units of C and four of D. D is made of two units of E. Lead times for purchase or
fabrication of each unit to final assembly are: Z takes two weeks; A, B, C, and D take
one week each; and E takes three weeks. 50 units of Z are required in Period 10 and 20
units of D are required in Period 7. Inventory on hand for A is 15, for B is 20. Assume

that there is currently no inventory on hand for the other items. (20)
(i) Show the product structure tree.
(ii) Develop an MRP planning schedule showing gross requirement, net
requirements, order release and order receipt dates.

2. (a) Discuss Henry Fayols fourteen principles of management. (20)

(b) A certain automobile repair shop uses 925 tires a year which are priced as follow: for
1 to 49 units, $6.5 each; for 50 to 99 units, $5.75 each; and for 100 units or more, $4.5
each. It costs approximately $20 to prepare an order and receive it and holding costs are
80 percent of purchase price per unit on an annual basis. Determine the optimal order

quantity and the minimum total annual cost. (15)

3. (a) Discuss different aspects of quality that customers may value. (20)
(b) In 'Funland Toy Factory', a worker has to produce 360 units of toys. The standard
task is 80 units, where the low task is 75% of the standard task. If the wage rate is $30
per hour and the worker takes 4 hours to complete the task, than calculate his earnings
per hour under Rowan plan. How much more or less he will earn per hour if the

company uses Halsey plan? Assume a worker has 40% contribution in his saved time. (15)

4. (a) Describe Hemner's rules for behavioral modification with necessary examples. (13)

(b) Discuss five basic sources of power with necessary examples. (12)

(c) Discuss different advantages and disadvan.tages of using 'product layout'. (10)
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IPE 493

SECTION -B
There are FOUR questions in this section. Answer any THREE.

5. (a) Describe how market can be segmented on the basic of demographic variables with

suitable examples. (17)

(b) Explain the five forces that determine the intrinsic long-run attractiveness of a

market with suitable examples. (10)

(c) Define the following terms: (8)
(i) Marketplace
(ii) Marketspace
(iii) Metamarket
(vi) Customerization

6. (a) Paul Swanson has an opportunity to acquire a franchise from The Yogurt Place, Inc.,
to dispense frozen yogurt products under The Yogurt Place name. Mr. Swanson has
assembled the following information relating to the franchise:
(i) A suitable location in a large shopping mall can be rented for $3,500 per
month.
(ii) Remodeling and necessary equipment would cost $270,000. The equipment
would have a IS-year life and an $18,000 salvage value. Straight-line
depreciation would be used, and the salvage value would be considered in
computing depreciation.
(iii) Mr. Swanson estimates that sales would total $300,000 per year.
(iv) Ingredients would cost 20% of sales.
(v) Operating costs would include $70,000 per year for salaries, $3,500 per year
for insurance, and $27,000 per year for utilities. In addition, Mr. Swanson
would have to pay a commission to The Yogurt Place, Inc., of 12.5% of sales.
Required:
1. Prepare a contribution format income statement that shows the expected net

operating income each year from the franchise outlet. (9)

II. Compute the simple rate of return promised by the outlet. If Mr. Swanson

requires a simple rate of return of at least 12%, should he acquire the franchise? (3)
III. Compute the payback period on the outlet. If Mr. Swanson wants a payback of

four years or less, will he acquire the franchise? (3)

(b) Describe the technology life cycle of a product. (10)
(c) What is bottom-up budget? What are its merits and demerits? (10)
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IPE 493

7. (a) Selected account balances for the year ended December 31 are provided below for
Superior Company:

Selling and administrative salaries. . . . . . . . $110,000

Insurance, factory. . . . . . . . . . . . . . . . . . . . . $8,000
Utilities, factory. . . . . . . . . . . . . . .. . . . . . . . $45,000
Purchases of raw materials $290,000
Indirect labor. . . . . . . . . . . . . . . . . . . . . . . . . $60,000
Direct labor . . . . . . . . . . . . . . . . . . . . . . . . . . ?
Advertising expense . . . . . . . . . . . . . . . . . . . $80,000
Gleaning supplies, factory $7,000
Sales commissions. . . . . . . . . . . . . . . . . . . . $50,000
Rent, factory building $120,000
Maintenance, factory $30,000
Inventory balances at the beginning and end of the year were as follows:
BegiQhingof End of
the Year the Year

Raw materials . $40,000 $10,000

Work in process . ? $35,000
Finished goods . $50,000 ?

The total manufacturing costs for the year were $683,000; the goods available for sale
totaled $740,000; and the cost of goods sold totaled $660,000.
Required:
I. Prepare a schedule of cost of goods manufactured and the cost of goods sold
section of the company's income statement for the year. (12)
II. Assume that the dollar amounts given above are for the equivalent of 40,000
units produced during the year. Compute the average cost per unit for direct
materials used and the average cost per unit for rent on the factory building. (2)
III. Assume that in the following year the company expected to produce 50,000
units. What average cost per unit and total cost would you expect to be incurred
for direct materials? For rent on the factory building? (Assume that direct.
materials is a variable cost and that rent is a fixed cost.) (4)
IV. As the manager in charge of production costs, explain to the president the
reason for any difference in average cost per unit between (II) and (III) above. (2)
(b) Northwood Company manufactures basketballs. The company has a ball that sells
for $25. At present, the ball is manufactured in a small plant that relies heavily on direct
labor workers. Thus, variable costs are high, totaling $15 per ball. Last year, the
company sold 30,000 of these balls, with the following results:

Sales (30,000 balls) . $750,000

Less variable expenses . 450,000
Contribution margin . 300,000
Less fixed expenses . 210,000
. Net operating income . $ 90,000

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IPE 493
Contd ... Q. No. 7(b)

Required:
I. Compute (a) the CM ratio and the break-even point in balls, and (b) the degree

of operating leverage at last year's sales level. (5)

II. Due to an increase in labor rates, the company estimates that variable costs will
increase by $3 per ball next year. If this change takes place and the selling price
per ball remains constant at $25, what will be the new CM ratio and break-even

point in balls? (5)

III. Refer to the original data. The company is discussing the construction of a new,
automated manufacturing plant. The new plant would slash variable costs per
ball by 40%, but it would cause fixed costs per year to double. If the new plant
is built, what would be the company's new CM ratio and new break-even point

in balls? (5)

8. (a) What are the steps of power delegation? Describe. (12)

(b) Discuss the expectancy theory of motivation. (12)
(c) Explain Gantt plan. How is it different from Taylor's plan and Halsey's plan? (11)
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L-4/T-lIEEE Date: 27/07/2016

BANGLADESH UNIVERSITY OF ENGINEERING AND TECHNOLOGY, DHAKA
L-4/T-l B. Sc. Engineering Examinations 2014-2015

. Sub: IPE 493 (Industrial Management)

Full Marks: 210 Time: 3 Hours
The figures in the margin indicate full marks.
USE SEP ARA TE SCRIPTS FOR EACH SECTION

SECTION -A
There are FOUR questions in this Section. Answer any THREE questions.

1. (a) Write down different demand states with suitable examples. (10)
(b) Explain different patterns of target market selection. (10)
(c) What are the five forces that detennine the long-run attractiveness of a market

segment? Explain with suitable example. (15)

.2. (a) What is top down budgeting? Mention its advantages and disadvantages. (8)
(b) Define leader and leadership. Explain why managers should be leaders. (12)
(c) What is technological life cycle? Explain why market growth is different at different

stages of technological life cycle. (15)

3. (a) Venus Company produces toys and other items for use in beach and resort areas. A
small, inflatable toy has come onto the market that the company is anxious to produce
and sell. The new toy will for $3 per unit. Enough capacity exists in the company's plant
to produce 16,000 units of the toy each month. Variable costs to manufacture and sell one
unit would be $1.25, and fixed costs associated with the toy would total $35,000 per
month. The company's Marketing Department predicts that demand for the new toy will
exceed the 16,000 units that the company is able to produce. Additional manufacturing
space can be rented from another company at a fixed cost of $1,000 per month. Variable
costs in the rented facility would total $1.40 per unit, due to somewhat les efficient

operations than in the main plant. (20)

Required:
(i) Compute the monthly break-even point for the new toy in units and in total sales
dollars. Show all computations in good form.
(ii) How many units must be sold each month to make a monthly profit of $12,000?
(iii) If the sales manager receives a bonus of 10 cents for each unit sold in excess of
the berak-even point, how many units must be sold each month to earn a return of
25% on the monthly investment in fixed costs?
(b) Windhoek Mines, Ltd., of Namibia, is contemplating the purchase of equipment to
exploit a mineral deposit on land to which the company has mineral rights. An
engineering and cost analysis has been made,
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IPE 493
Contd ... Q. No. 3(b)
and it is expected that the following cash flows would be associated with opening and
operating a mine in the area:
Cost of new e ui ment and timbers R 282,950
Working ca ital re uired R 100,000
Net annual cash recei ts R 120,000
Cost to construct new roads in three years R 40,000
Salvage value of e ui ment in four years R 65,000
The currency in Namibia is the rand, denoted here by R. It is estimated that the mineral
deposit would be exhausted after four years mining. At that point, the working capital
would be released for reinvestment elsewhere. The company's required rate of return is

20%.

Required:
(i) Determine the net present value of the proposed mining project. Should the project be
accepted? Justify your choice.

4. (a) What are the essential skills of a manager? (7)

(b) What are the contributions of Frank and Lillian Gilbreth in the field of management?

How does today's manager use them? (8)

(c) As part of a major plant renovation project, the industrial engineering department has
been asked to balance a revised assembly operation to achieve an output of 240 units per

eight-hour day. Task times and procedure relationships are as follows: (20)
Task Duration Immediate
(minutes) Predecessor
a 0.2 -
b 0.4 a
c 0.2 b
d 0.4 -
e 1.2 d
f 1.2 c
g 1.0 e, f
Do each of the following:
(i) Draw the precedence diagram.
(ii) Detennine the minimum cycle time, maximum cycle time, and the calculated
cycle time.
(iii) Determine the minimum number of stations needed.
(iv) Assign tasks to workstations on the basis of greatest number of following tasks.
Use longest processing time as a tiebreaker. If ties still exist, assume indifference in
choice.
(v) Compute the percentage of idle time for the assignment in part d.

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IPE 493
SECTION -B
There are FOUR questions in this Section. Answer any THREE questions.

5. (a) Discuss Matrix type organizations with necessary examples. What are its advantages

and disadvantages? (15)

(b) One unit of A is made of two units of B and one unit of C. B is made of three units of
D and one unit ofF. C is composed of three units ofB, one unit ofD, and four units ofE.
D is made of one unit E and one unit F. Item C has a lead time of one week. Items A, B,
E and F each have a two-week lead time and Item D has lead time of three weeks. The
amount of on-hand inventories for items A, B, D, and E are 5, 10, 60 and 50 respectively.
All other items have zero beginning inventories. We are scheduled to receive 10 units of
A in Week 3, 20 units of B in Week 7, 40 units of F in Week 5, and 60 units of E in
Week 2. There are no other scheduled receipts. If 20 units of A are required in Week 10,

then

(i) Show the product structure tree.

(ii) Develop an MRP planning schedule showing gross requirement, net requirement,
order release and order receipt dates.

6. (a) Discuss ERG theory of motivation. What are the differences between ERG theory and

Maslow's need theory? (10)

(b) Discuss different types of formal teams with necessary examples. (10)
(c) A particular raw material is available to a company at three different pnces, ..
~-, :

depending on the size of the order: (15)

Less than 100 ounds $20 er pound
100 pounds to 1,000 ounds $19 er pound
More than 1,000 pounds $18 per pound
The cost of placing an order is $40. Annual demand is 3,000 units. Holding (or carrying)
cost is 25 percent of the martial price. What is the economic order quantity to buy each
time?

7. (a) Discuss different types of cost of quality. (20)

(b) Seven jobs must be processed in two machines - A and B. All seven jobs must go
through first A, then B - in that order. Using the processing times given below, determine
the optimal order in which the jobs should be sequenced through the two machines.
Also draw the optimum schedule with time indication and calculate total processing

time and total idle time from that schedule. (15)

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IPE 493
Contd ... Q. No. 7(b)
Job Process A Process B
1 9 6
2 8 5
3 7 7
4 6 3
5 1 2
6 2 6
7 4 7

8. (a) What is leadership? Which traits must be present in a leader, according to trait theory?' (2+8)
(b) What are the assumptions of Fiedler's model? Explain Hersey and Blanchard's

Situational Leadership Theory? (3+7)

(c) Assign nine automobile service departments to bays in a 3-3 grid so that the closeness
ratings in the following matrix are satisfied. The location of department 4 must be in the

bottom right-hand comer ofthe grid to satisfy a town ordinance. (15)

Department l'

Department 2.

Department 3

Departinent 4

Department 6>

Department 6

Department 7'

Department B

Department 9 ./

FdY' oz.. gee)

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'2 O~925 0,9070:890 0~8~3: 0.8570;842. 0.826 O:S1-f 9.7910;.183 0.76~ 0.756, R7A3 0.7'31 '0.718<J.7069.694 O;6i}3(j:672
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4 9",8~? 0.8?3 0?~2 O:7€?;3:0]3?O.10a O'.,683,O.69~().q36 0.6.1~ 0.5~2 p.~7?9;5:5,4 0.534 q.51:6, O,'~~igO.4{3.~ 0,467 9:4~t,
~, (),82? 0.7.~; 0.747, O,.1t3 0,68.1 "Q:6f>0 CU?21 9.593 :9,q67 O.54~p.51Q 9.497 QA7pOA513. OA3,! Q04t9 O;40? p.3e9 W~70
6 \1.7.9[)0;?4ll i:j.i950.~ 06300'.596 0,564 0.535 0.507 OA8~0.4!i~ 0432 OAlnO.SQO 0.370 o.~ '''sa5 0.319 0:J63
7 0:760 0,71:1'0.6?5 0.?23 0,583 :O.S~7 Q.513 OA8~ O.~52().425 0.4000.376 9:35.4 0:333 0:314 0;296 Q:279 0.263 0:249
'.~'_' '0:731 O.I$IT 0,627 0..582 0 ..54,00,,602 0.467 0;,434~t~04 9.:3;76 0.351 0:327' Q:.3Q,\?'
0.2~5 0:26,6 9,.249 0~33 0:218 0.2~
,9; Q.79~' O.~?;O;P~c4 9.!:i44 9:?OO ,0:460 OA2~.o;3Q1 'Q.3,61,Q;~~~(P9~ ~.2~ 0,.4~ O~243,q.:2.?~,9.?P~0)~4 (psq, O}~7
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,.7 OSI~. 0.4$i; 11,$7' O;:!l70270 0.23'. 0"98 Oil;"o '~-t"" 0.12!i,).i()8,O.093 OCQ8b""llP9 0060 0.1152.004$' 0.039 o;o3il
1,8 ,0A~:1:: 0;4;t6 0;350, O.2~6 Q:g5QO.2:l2 O.t800;15~' 0,130 0;1-11 OJ),950.,oB1 0..069. 0.:059 0.051P~~ 0~03Ei 0,O~2 0:02~
Hl :0,'175:9.~M :O;?~1'():,277,~.g~2 . 0.194 O~o1~"Q:13~o.1H>.o;g~80.0!:l3 O.(FQ~~9E?P.0.051 O!043,9:()3]' O;"o.~~oQ.o:n ().02~'
gO: 'Q,46~. 0~3Tl 0:3.12 0;258, 9:21.50;178 0:~49 0:1,24 9JJ}\t P:Q87(l.'073Q:O~H 0,0.51 0.Q43 O.037~);O.31 . O.-{)26 0,0220.0.19
21" 0:439, 0.359o.i94:0:242Q:199'<:t-i&i 0.135' o.,H20.093'o">n "0:'054 6.653 o..o.M.(io37 OJ;)31::6jj26 6.:022'0.01'8' o.ms
'22' O.4~?:o'.3Az'tf278. O.~6; {{1:S4 hisd ti.12?~;t01(t~~~ O:b68'b.~~6 '():~69:03~ q~03~"d.0~6'6.Q~: ,0;0180.01:5 '{).ot3.'
23o.Ao.6 0..326 0;262 0.211' 0.1.70 o.,t38 o.~t12 0.091 0.0740.,060 0.049 -0.0.40 0.:033 0;027 0..0.22 b.018, Oio.1S' .0;012 o..Q1o.'
'24 0..390. (t3W 0:24t"O,1970.1.5a 0.:126 0..1020,082 '({066 0:0530..043 0.,0.35 0.,028'Oj023 O:C)190,(Ji:S 0;013"0.010 0.008
29, '9'.~i~Q;2;9?' O.2~30:184,0:146 0.116 ci.mi2 '9:074 '<il~5~'O.047 '0)038 Q:O~O O.02,~O.Q20 O:PH> O;Q'r3 O;OJO ;()~Qo9.0.:<>67

Table 1: Present Value of $1

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L-3/T -21EEE Date: 09/08/2017

BANGLADESH UNIVERSITY OF ENGINEERING AND TECHNOLOGY, DHAKA
L-3/T-2 J. SC. Engineering Examinations 2015-2016

Sub: IPE 493 (Industrial Management)

Full MarRs: 210 Time: 3 Hours

USE SEPtRA TE SCRIPTS FOR EACH SECTION
The figures in the margin indicate full marks.
_________ __
.__ __..L__.. . . ._. .. .. ..

. I SECTION - A
There are FOUj questions in this section. Answer any THREE.

1. (a) Discuss Henry Fayol's fourteen principles of management. (15)

(b) Describe Organizatioh according to systems approach. (10)
(c) Explain Maslow's hJrarchy of needs. (10)
. I
2. (a) What are two different sets of assumptions about employees identified by
McGregor? (10)
(b) Suppose, you are a manager of a company. An employee under your supervision
often comes late in the ~ffice. How can you apply reinforcement theory of motivation
to change this behavior? (07)
(c) Explain the four specific functions of a manager. (08)
(d) Draw the managerial grid and identify different types of leadership in it. (10)

3. (a) Describe 'Fiedler Model'. (15)

(b) What do you mean Jy validity and reliability of a selection tool? Show the human
resources management Jrocesses in a flow chart. (10)
(c) Discuss various e~'ployee selection tools with their relative advantages and
disadvantages. (10)

4. (a) Describe different stages of group development. (10)

(b) What is a boundarlrless organization? Explain different types of boundaryless
organization. I (10)
(c) Differentiate consumer market and business market. Discuss five patterns of target
market selection. (10)
(d) Mention the steps to improve marketing intelligence. (05)

SECTION-B
There are FOUR questions in this section. Answer any THREE questions.

5. (al In June 2017, five Jan projects namely A, B, C, D and E are assigned to students
of EEE in Industrial MJnagement course. The course teachers advised the students to
do the projects in group.

Contd P/2
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=2=

IPE 493/EEE
eoutd ... Q. NO.5 (a)

Each group must not contain more than two members. Suppose, Mr. X and Mr. Y were
included in Group 1 in ~ection A. They split the work as follows: Mr. X collects data
and performs all neceJsary calculations while Mr. Y writes and edits the reports.
Assume that Mr. Y stads his work on a report as soon as Mr. X is finished with it and
that Mr. Y works contiJuously. Times for the reports (in hours) are as follows: (5+5+5+5=20)
I
! Projects Mr.X Mr.Y
I A 4 2
I B 3 5
C 5 1
D 7 3
E 8 6

(i) What is the ortr of the projects using Johnson's rule?

(ii) How many hdurs will it take them to finish all the reports?
(iii) How many hburs is Mr. X idle?
(iv) How many hburs is Mr. Y idle?
(b) Suppose, some stubents of EEE are investing in a small renewable project. The
investment and retumJ from the project are given by the sequence of cash flows as
below: (15)
Year (n) Cash flow (Cn)
0 -4000
1 1200
2 1410
3 1875
4 1050
Find the IRR of the project.

6. (a) The demand for a! certain soft drink in the past four years is given below on a
quarterly basis. (15)

Year Period Demknd (In Millions)

I
Year Period Demand (In Millions)
1 Spring I 15 3 Spring 20
Summer I 25 Summer 30
Fall I 16 Fall 18
Winter I 8 Winter 11
2 Spring I 17 4 Spring 18
Summer I 29 Summer 32
Fall I 14 Fall 19
Winter I 10 Winter 12

Develop the forecastlg equation using the least square regression method. Show all
necessary calculationJ. .

Contd P/3
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IPE 493/EEE
Contd ... Q. NO.6

(b) Consider the following Bill of Materials (BaM).

\ -.--

, '

Figur~ for Q.6(b) , I

Suppose that the master/ production schedule for part A is as follows: (20)

t (week) 11 2 3 4 5 6 7 8

Demand 10 15 10 20 20 15 15 15
1

Further, assume the fOlLwing data.

I
Part number Current on hand inventory Lot-sizing rule Lead time
I
A
I 40 FOP, 2 weeks 2 weeks
X 80 Lot-for lot 2 weeks
I
y 80 Lot-for lot 1 weeks
I
Z
I 80 Lot-for lot 1 weeks

Prepare a MRP report for part Z.

I .

7. (aJ The following infoLation is known for a project. Draw the network diagram and
find the critical path ank critical time. Show ES, EF, LS, LF on the diagram. (20)
I
Activity Imrriediate successors Expected activity time (Days)
I
A
I D 3
B C, I 5
I
C
I D,F 3
D
I E 4
E
I J 8
F G,H 2
I
J
G
I 4

H
I J 2
I
I - 5
J
I - 3

Contd. ......... P/4

,
.
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IPE 493/EEE
Contd ... Q. NO.7

(b) What is economic order quantity (EOQ)? Derive the EOQ formula for discrete
demand case with neceskary assumption. (5+ 10=15)

8. (a) What is innovation cycle? Describe different stages of S-curve for technological
progress. (11)
(b) Discuss the advantages and limitations of different incentive plans. (12)
(c) Discuss five basic sdurces of power with necessary examples. (12)
, . www.prokoushol.com

L-3/T-2/EEE Date: 28/02/2018

BANGLADESH UNIVERSITY OF ENGINEERING AND TECHNOLOGY, DHAKA
L-3/T-2 B. Sc. Engineering Examinations 2016-2017

Sub: IPE 493 (Industrial Management)

Full Marks: 210 Time: 3 Hours

USE SEPARATE SCRIPTS FOR EACH SECTION
The figures in the margin indic~te full marks.

SECTION-A
There are FOUR questions in this section. Answer any THREE questions.

1. (a) The following table contains information on the cost to run three jobs on four
available machines. Determine an assignment. plan '.that will minimize costs and
..
compute the total minimum costs. (12)

Machine
A B C D
1 12 16 14 10
Job 2 9 8 13 7 ~;:
'.

3 15 12 9 11

(b) A group of six jobs is to be processed through a two-machine flow shop. The first
. .~.
operation involves cleaning and the second involves welding. Determine a sequence
that will minimize the total completion time for this group of jobs. Also construct a
Gantt chart to reveal flow time and idle time information. (15)

Processing Time (Hours)"

Jobs Work Center 1.' I,. Work Center 2
A 5 ,,5
B 4' . /: "3

C 8 9
~// .

D 2 7
E 6. 8
F 12 15

(c) Write down Taylor's Scientific Management Principles. (8) :

2. (a) Explain the types of problems and decisions. (12)

(b) Using the given data in following Table - 1, prepare a forecast for period 6 using
each of these approaches: (13) .1

(i) The appropriate naive approach.

(ii) The three-period moving average.
(iii) A weighted average using weights of 0.50 (most recent), 0.30, and 0.20.
(iv) Exponential smoothing with a smoothing constant of 0.40.
Contd P/2
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IPE 493/EEE
Contd ... Q. No. 2(b)

Table-l
Period Number of Complaints
1 60
2 65
3 55
4 58
5 64

(c) A toy manufacturer uses approximately 32,000 silicon chips annually. The chips are
used at a steady rate during the 240 days a year that the plant operates. Annual holding
cost is $3 per chip, and ordering cost is $120. Determine the optimal order quantity and
the number of work days in an order cycle. (10) .~

3. (a) Contrast mechanistic and organic organizations. (10)

(b) Given the following production schedule in units and the production standards for
labor and machine time for this product, determine the labor and machine capacity
requirements for each week. Then compute the percentage utilization of labor and
machines in each week if labor capacity is 200 hours per week and machine capacity is
250 hours per week. (10)

Production Schedule:
Week 1 2 3 4
Quantity 200 300 100 150

Standard Time:
Labor 0.5 hour/unit
Machine 1.0 hour/unit

(c) The Dine Corporation is both a producer and a user of brass couplings. The firm
operates 220 days a year and uses the couplings at a steady rate of 50 per day.
Couplings can be produced at a rate of 200 per day. Annual storage cost is $2 per
coupling, and machine setup cost is $70 per run. (10)
(i) Determine the economic run quantity.
(ii) Approximately how many runs per year will there be?
(iii) Compute the maximum inventory level.
(iv) Determine the length of the pure consumption portion of the cycle.
(d) What are the requirements for effective inventory management? (5)

4. (a) Describe the elements of a good forecast. What are some of the consequences of
poor forecasts? Explain. (12)
(b) Explain the contingency factors that affect organizational design. (9)
(c) What guidelines should managers practice for making effective decision in today's
world? Explain. (14)
Contd P/3
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IPE 493/EEE
SECTION-B
There are FOUR questions in this section. Answer any THREE questions.

5. (a) Advanced Modular Technology (AMT) typically exhibits net annual revenues that
increase over 5 years as expressed by the following formula. (20)
Net revenues in the year k = $20,000+$10,000 x (k-1)
The capital investment at the beginning of the project was $100,000. AMT obtains a
salvage value of $10,000 at the end of the project by selling some of its unused
machineries to a third party.
(i) Draw the cash flow diagram.
(ii) Compute the IRR.
(iii) Compute the discounted payback period.
(iv) Evaluate this AMT project if the MARR is 20% per year and the maximum
allowable discounted payback period is 3 years.
(b) What do you understand by contingency theories of leadership? Briefly explain

Fiedler contingency model and its limitations. (15)

6. (a) What is marketing? What are the scopes of marketing? Give at least one example in

each of the scope. (15)

(b) How do you describe consumer market, business market and global market? What

are the popular marketing concepts? Provide an example for each of the case. (20)

7. (a) What do you understand by "Total Quality Management"? How does it help Japan

to achieve high quality products over USA? (10)

(b) Explain the universality of management concept. Does it still hold true in today's

world? Why or why not? (10)

(c) How do goal-setting theory and three-needs theory explain employee motivation? (15)

8. (a) Due to erratic sales of its sole product- a high-capacity battery for laptop

computers-PEM, Inc., has been experiencing difficulty for some time. The
company's contribution format income statement for the most recent month is given

below: (25)
Sales (19,500 units x $30 per unit)............... $585,000

Variable expenses.. 409,500

Contribution margin................................. 175,500

Fixed expenses................. 180,000

Net operating loss.......................... $(4,500)

Contd P/4
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IPE 493/EEE
Contd ... Q. No. 8(a)

(i) Compute the company's CM ratio and its break-even point in both units and
dollars.
(ii) The president believes that a $16,000 increase in the monthly advertising
budget, combined with an intensified effort by the sales staff, will result in an
$80,000 increase in monthly sales. If the president is right, what will be the effect
on the company's monthly net operating income or loss?
(iii) Refer to the-original data. The sales manager is convinced that a 10%
reduction in the selling price, combined with an increase of $60,000 in the
monthly advertising budget, will cause unit sales to double. What will the new
contribution format income statement look like if these changes are adopted?
(b) Suppose that a father deposits an amount of $10,000 in a savings account on the
day his son is born. If the father wants his son to get $50,000 on his 18th birthday, what

should be the nominal interest rate compounded half-yearly? (10)

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L-3ff -21EEE Date: 10/0412019

BANGLADESH UNIVERSITY OF ENGINEERING AND TECHNOLOGY, DHAKA

L-3/T-2 B. Sc. Engineering Examinations 2017-2018

Sub: IPE 493 (Industrial Management)

Full Marks: 210 Time: 3 Hours
The figures in the margin indicate full marks.
USE SEPARATE SCRIPTS FOR EACH SECTION
SECTION-A

There are FOUR questions in this section. Answer any THREE.

1. (a) Mr. Brown has received his annual salary of $40,000 in I st January 2019 which is
considered as present time. Under normal conditions he will retire 16 years from the present.
His annual retirement income will be 60% of his last year's salary, with his first annual
payment occurring at the moment of retirement payment. He expects to receive 20 equal

annual retirement payments. (16)

Because Mr. Brown served for three years in the military before being employed by this
present firm, the current pension system allows him the option of purchasing 3 years of
credit. That is, if he pays a single amount now, he will be able to retire 3 years earlier. For
this option he will receive 60% of his last year's salary beginning at the moment of
retirement. In this case he expects to receive 23 equal annual payments.
He expects his salary to increase at the rate of 6% per year, and inflation rate for 46 years
starting from 2019 is shown in Table I(a). If the market rate of interest 4.881% resulting
from compounded quarterly with a time interval of half year, what is the maximum amount
he would pay for the improved net advantage in retirement income if he retired early rather at
the normal time? _~~~.____ .
~,-:- Tabl~(~-):-F-r-e-q-u-e-nc-y~o-f-v-ar-i-o-us-in-fl-a-t-io-n-r-a-t-e
from 2019 to 2,,054 -_.,
..-

I ~~-"---'-----'i;:;fl;rtio~;:-ate-fro;:;;-201 9 to 2031
,

I
, Inflation rate (%)
Number of years
'J 3.5
~ 4.0
-'
I 2.5

4 5.0

3 3.5

Inflation rate from 2032 to 2034

Number of years Inflation rate (%)

I 3.5

2 4.25

Inflation rate from 2035 to 2054

Number of years rnflation rate (%)

5 3.5

5
. 4.5

5 5.0
..
3.0
5
.---
. .......... _ ...... _-_._-
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IPE 493
Coutd ... Q. No.1

(b) Consider a project named 'Surplus inventory at project X'. The project team consists of

the following members: (10)

- Project Management Director
- Supply Chain Director
- Engineering Project management Director
- MMI Deputy Manager of Welding
- Manufacturing purchasing Manager
The problem description under the project is a follows:
Surplus inventory for Project X (tubes and plates)
Surplus after job closing: 3.92% of total purchase
Cost: 4,103,103 RMB
Build a '5W2H analysis' using the above information under the project called 'Surplus
inventory at project X'. Also, sepearately relate corresponding tool(s) from the seven tools of
TQM that should be used to answer each of the seven questions from '5W2H analysis'.
(c) Do you think anyone market segmentation basis is independent of others? JustifY your
answer with suitable examples. Also, provide a marketing example that focuses at least three
marketing segmentation bases at a time. (5)
(d) Do marketing shape consumer needs or merely reflect the needs and wants of consumers?
Support your answer with proper examples. (4)
2. (a) K9 is a German petrochemical company. The firm's management intends to renovate its
,.
production and distribution network, which is presently composed of two refining plants, two
DCs and hundreds of sales points (gas pumps and liquefied gas retailers). After a series of
meetings, it was decided to relocate the DCs, leaving the position and features of the two
production plants unchanged. The products of K9 are subdivided into two homogenous
commodities: fuel for motor transport and liquefied gas (the latter sold in cylinders). There
are four potential sites suited to receive a DC and their maximum daily throughputs
(expressed in hectoliters) are, respectively, 1500, 1200, 2300 and 2500. Minimum daily
throughputs (expressed in hectoliters) expected from these four DCs, are respectively, 800,
700, 1100 and 1200. The sales points have been grouped into three districts characterized by
the daily demands shown in Table 2(a-i). The annual fixed costs (in€,) of the distribution
centers are the following: 960000, 880000, 1540000, 1610000. The daily storage facility
costs are, respectively, 0.15, 0.14, 0.20 and €'0.25/h1. The transport costs are obtained by
multiplying the cost per kilometer and per hectoliter (equal to~0.0067 for fuel and to \:0.0082
for liquefied gas) by the return trip distances between the manufacturing plants and the
centroids of the sales districts through DC (see Table 2(a-ii)). Finally, Table 2(a-iii) shows
the daily average quantities of the two commodities available at the two manufacturing
plants. Build a mathematical model to find two optimal facility locations for DCs considering

220 working days annually .. (21)

Coutd P12
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IPE 493
Could ... Q.J'io. 2(a) .... _~' ' '
- ------ -----...-. ~--- -
TaJjle2(a-i): Average daily sales districts demand (in hI) of the two
..
coinmodities
. -
in the K9 problem
- -
;
Commodity
,

District I .'. 2 i
I 800
~
300
1
,-
j
;
2 600 400 ;

3 700 500 I,
I'
- --
I Table 2(a-ii): Kilometric distances between the refining plants and the
centroids of the sales districts through the potential DC in the K9 problem.
/, . - Sales Di'strict
Refining plant DC 1 2 3
. I 423 612 1108
2 613 434 927
I
3 1031 631 918
4 1628 1236 954
I 826 1028 1531
2 864 638 1158
2
3 838 464 782
4 -- . ''''''-''-1227' -
871 544
-'

I Table 2(a-iii): Average daily quantity (in hi) of the two commodities available
: at the refining plants in the K9 problem.
Commodity
Refining plant I 2
, 1 1200 500
2 1500 800
, -
(b) A series of 'why' questions for investigating the reasons of poor gas mileage of an

automobile are listed below: (9)

--------- --
'(2: Why~as the driver using the wrong ge'al'?-
A: The driver couldn't hear the engine.
i Q; Why couldn't the driver hear the engine?
A~ The radio was too loud. A: Poor hearing
,Q: Why were the tires underinflated?
'A: No record of tire pressure
A: Difficultair stems
Q: Why were the air stems difficult?
A: Poor design.
Q: Why was maintenance poor?
A: Lack of money
A: No awareness
Q: Why was wrong octane gas used?
A: Didn't know recommended octane
,Q: Why wasn't recommended .octane kn;~~?
• ~i A: No owner's manual
_
Contd P/4
--
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=4=

IPE 493
Contd ... Q. No. 2(b)

Now build a cause-enumeration type fishbone diagram incorporating all the above why
questions and their answers in detail.
(c) How does co-branding influence customers' usage trait psychologically? Briefly describe
with a suitable example. Also, provide a suitable marketing example that influences the
customers' usage trait in a similar fashion as done by co-branding, however, is mainly

introduced focusing on a demographic market segmentation basis. (5)

3. (a) MCE is an international freight forwarder headquartered in New Zealand with more than
500 terminals and representatives around the world. The daily sales (in NZ$) at the

Wellington center during the past 16 days are shown in Table 3(a). (10)

.. ~
,
., j
Period
. '
Revenue -
;:-".
...
. _.r
,-0"
\

I 215 -. c

! ~- ./-:
.. "1. 2 1768 ;

3 10331 .

- ,
4 287
5 10689
'6 4003
,
7 2801 .,
8 4056
9 10989
10 6520 .,,.
J 1 5790
,
12 9685
13 2366
14 1119
15 9991,
16 10252
~-

(i) Predict the sales in 17th day using winter method with proper quantitative justification.
(ii) Do you see any anomaly while pursuing the enumeration in 3(a)-(i)? If yes, with
proper justification, suggest three methods to deal the anomaly.

(b) What do you mean by business cycle? Which type of time series can be used for its

forecasting? JustitY your answer. (4)

Contd PIS
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IPE 493
Coutd ... Q. NO.3

(c) On which traditional marketing mix 4 p's do 'discount' and 'allowance' lie? Differentiate
'discount' and 'allowance' with suitable examples. Also, relate the modem marketing mix
4p's with the corresponding traditional marketing mix 4p's and fundamental bases of holistic

marketing with proper reasoning. (7)

(d) The lognormal distribution is closely related to the normal distribution. If x is distributed
lognormally with parameters J.l and 0', then log(x) is distributed normally with mean J.l and

standard deviation 0'. The lognormal distribution is applicable when the quantity of interest
must be positive, since long(x) exists only when x is positive. The pdf, mean, and variance of

lognormal distribution is defined, respectively, as (7)

j(x \ 1-',CT)= 1 exp{- (log x; I-' Y}

xCT.J27r 2CT

""2 J
2
• ( CT
Mean = exp I-' +

var=exp(1-' + ~2 }exP(CT2 )-1)

Assume, outcomes from two portfolio (A and B) are denoted as XI and X2 which are
lognormally distributed with parameters (1,1) and (0,5,1.5), respectively. Which portfolio
apparently will be preferable to one' who has inclination to risk-averse decision making?
Change in which parameter will affe.ct his decision making more?
(e) How can you explain the consistency in production requirement of product mix of RFL
group? Also, explain how the vertical integration approach in RFL is exploited through the

'RFL Best Buy'. (7)

4. (a) 'Use of IRR method compared to NPV method in capital budgeting becomes .ineffective
in presence of (i) varying discount rate, (ii) unpredictable cash flows, (iii) unequal risk, and
(iv) a longer time horizon.' - Verify the claim for each of the four scenarios with proper

quantitative examples. (18)

(b) Motivational force: force directing specific alternatives = perceived likelihood that effort
will lead to performance x perceived likelihood that performance will lead to desired rewards
x value of expected rewards to the individual. Which motivational theory is comprised of
three multiplicative factors as defined in the definition of motivational force above? Name
each of these three multiplicative factors. Also, range the value each of these three
multiplicative factors can hold with proper implication of each of the value in the

corresponding range. (6)

Contd P/6
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=6=

IrE 493
Could ... Q. No.4

(c) Having a car to get to work is a necessity for many workers. When two crucial employees
of Vurv Technology, in Jacksonville, Florida, had trouble getting to work, owner Derek
Mercer decided to buy two inexpensive used cars for the employees. He said, "I felt that they
were good employees and valuable asset to the company." One of the employees who got
one of the cars said, "It wasn't the prettiest car. But boy did my overwhelming feeling of
dread go to enlightenment. The 80-hour weeks we worked after that never meant anything. It
was give and take. I was giving and the company was definitely giving back." Which
motivation theory can properly help Mercer to motivate the employee after understanding the

present situation? Explain with proper justification. (7)

(d) What do you mean by 'milking cash cows' from marketing management perspective?

Briefly discuss with example.

SECTION -B

There are FOUR questions in this Section. Answer any THREE.

5. (a) What do you understand by margin of safety and degree of operating leverage? If
variable expense is increased keeping everything else constant, will margin of safety and

degree of operating leverage increase or decrease? Justify your answer. (2+8)

(b) Because of an increase in the volume of sales, Mr. John Doe, the owner of Melder, Inc., a
small manufacturing firm located in Indiana, has decided to expand production capacity. A
new wing has been added to the plant that will house four machines: (i) a punch press, (ii) a
grinder, (iii) a lathe, and (iv) a welding machine. There are six possible locations for these
machines, say A, B, C, D, E and F. However, the welding machine, which is the largest
machine, will not fit in location B. The plant foreman has made estimates of the handling
cost oflocating each of the machines in each of the possible locations. These costs, expressed

in tel1TIsof dollars per hour, are represented in the following table . (25)
- . - .. .

. _~::. ...
,.::.••

A
Locations
B C D E F
lI

1 94 13 62 71 82 25
.. 2 62 19 84 96 24 29
Machines
3 75 88 18 80 16 78
4 11 - 81 21 45 14
- - ...

How M~. John Doe should allocate the machines to the available locations economically?

Conla PI?
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IPE 493

6. (a) What is product life cycle? How can you increase the value of a product with respect to

products entire life cycle? . (7)

(b) Compare productla)iout with process layout. Which one is better? (8)
(c) An assembly consists of the following elements as gi~en in the table below.

---- --------------.- ~
Task A B C G 0 .... E F I H K ~J_
.-
..
'.'
Followcr B
C,D
G H G I
Jt::. _ '-~.
J K L ~-;ff -~
Task
,E,F -.- I
12 6 6 7 2 2 12 1 5 6 4
Timc
-

The production rate required is one assembly every 15 minutes. Assign the tasks to suitable

workstations in order of the greatest positional weight. Also determine the following: (20)
(i) Minimum number of workstations required
(ii) Idle time and efficiency.

7. (a) What are some basic out of control indications in control charts? Explain with examples. (7)
(b) Calculate the total earnings of a worker where payment of bones is under (i) the Halsey

scheme and (ii) the Rowan scheme from the particulars mentioned below: (8)
Basic wage rate per hour - $10.80, Time allowed for the job - 48 hours, Actual time taken -
36 hours.
(c) At the end of each month, a research and development team writes status reports for the
projects at work. The team leaders, Andrew and Julie, submit them to the R&D director on
the first Monday of each month. Unfortunately, they forgot to check their calendar once and
to their surprise, they discovered that the reports were due the following Monday morning.
As they had not started writing them, they decided to come to work early Saturday morning,
so they could finish the reports before Monday morning. They split the work as follows:
Andrew collates data and draws all the necessary graphs and Julie writes and edits the
reports. Assume that Julie starts her work on a report only after Andrew is finished with it

and that Andrew works continuously. Times for the reports (in hours) are as follows: (20)

Coritd 1'/8

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IPE 493
Contd ... Q. No. 7(c)

--,
Project Julie Andrew I

I
A 2 4 i
.;

B 5 3 I,
.
C 1 5 ..
I
D 3 7
E' I 6 I 8 I
I

(i) What is the order of the tasks using Johnson's rule?

(ii) How many hours will it take them to finish all the reports?
(iii) How many hours are Andrew and Julie idle?

8. (a) State some reasons for and against keeping inventory. (5)

(b) Explain the managerial roles described by Henry Mintzberg. (10)

(c) Explain Hersey and Blanchard's Situational Leadership Theory model. How do you think

follower readiness changes according to this theory? (10)

(d) Briefly describe the divisional structure of an organization. Write down the advantages

and disadvantageous. (10)

 www.prokoushol.com

L-3ff -2/EEE Date: 2010112021

BANGLADESH UNIVERSITY OF ENGINEERING AND TECHNOLOGY, DHAKA

Ir3rr-2 B. Sc. Engineering Examinations (January 2020 Tcrnl)
Sub: IPE 493 (Industrial Managcmcnt)
Full Marks: 180 Section Marks: 90 Timc: 2 Hours (Sections A + B)
USE SEPARATE SCRIPTS FOR EACH SECTION
Thc figures in thc margin indicate full marks.

SECTION-A
Thcrc are THREE questions in this section. Answcr any TWO.
I. (a) Lockheed Martin, the world's largest weapon and military vehicle manufacturer has just (25)
completed a feasibility study of what to do with the 16,000 tons of wastc it produces evcry
year. Thc company's CEO asked thc board of dircctors, "Why pay anothcr company to dig out
our wastc out of our own landfills and thcn pay another company to put our waste into another
landfill? Why not simply burn the wastc ourselves?" Thus, thc company has decided to build a
10 million dollar incinerator to bum its waste as fucl, and thus saving $2.8 million per year in
gasoline purchascs. Engineers have estimated that after using the incinerator for four years, it
can bc sold to a local power company for $5 million.
(i) Draw thc cash-flow diagram.
(ii) Chcck for multiple IHR. What is the IRR oftllis proposed project?
(iii) If the company's MARR is 15% per year, what is your recommcndation about the
acceptancc of tl,is project?
According to the estimation of thc cngii,ccrs, the salvage value of tl,e plant is $5 million aftcr
four ycars. What is the lowest acccptabic salvagc value to ensure the acceptability of the
projcct?
(b) Bricfly describe the factors that influencc the "valuc of money" with suitable real life (10)
examples.
(c) Briefly describe the relative importance of basic managerial skills for different Icvels of (J 0)
managers.

2. (a) Kiestler GmBH is a local bicycle manufacturer based on Dusseldorf, Germany. They want (25)
to develop a precedencc diagram for the bicycle assembly tasks. The time requirement of these
tasks and thcir scquence of completion arc givcn in the table below. There are 480 productivc
minutes of work available per day in Dusseldorf, Germany. Furthcrmore, the company is
required to produce 40 bicycles pcr working day to satisfy the customcr dcmand.

Tll~k Assembly Time (minutes) Leading I Preceding Task

A 10 ---
B II. A
C 5 B
D 4 B
E 12 A
F 3 C,D
G 7 F
H II E
I 3 G,H

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L-3rr -2/EEE Date: 20101/2021

Required:

(i) Precedence diagram

(ii) Cycle time

(iii) Grouping of the tasks into workstations

(iv) Line efficiency

(b) State and explain the different roles played by the managers according to Henry (I 0)
Mintzberg.

(c) Differentiate betwccn the differential and multiple piece rate incentive plans. Provide (I 0)
suitable examples and write down their relativc advantages and disadvantages.

3. (a) What is the span of management control? How is it important in the context of the (15)

hierarchy of an organization? Describe the factors that influence the span of control.
(b) Differentiate between: (15)

(i) Product and process layout

. (ii) Nominal and effective interest rate

(c) What is the present equivalent of $18,000 to be received in 15 years when the interest rate (8)

is 7% per year compounded .semiannually? What will be the present equivaient if the

compounding is done c01itinuously?

(d) Explain the factors that should be taken into consideration when deciding the right location (7)

for a manufacturing facility. Wllich assnmptions do you make when solving continuous
location problems?

SECTION-B
There arc THREE questions in this section. Answer any TWO.
4. (a) What is the 'Pareto Rule'? How docs this rule help to find out 'Vital Few' and 'Trivial (I 0)
Many' causes? Explain with example.

(b) Aecording to Juran, 100% good quality level may not be of interest to the company in (15)

terms of cost. If this is true, then the 7.cro-defect. concept is not economically beneficial. Do
you agree? JustilY with schematic diagrams.

(c) For the following order table, decide the sequence of jobs to be processed based on (20)
Johnson's Rule. Also, show the jobs' duration in a time frame.

Processing Time (days)

Job Station I Station 2 Station 3
A 7 2 3
B 6 4 2
C 8 5 4
0 9 2 5
E 10 3 7

5. (a) List at least 5 (five) groups/individuals who can conduct performance appraisals. (5)
(b) A rccent study showed that CEOs of suecessful companies have hard-nosed personal traits, (15)
such as persistence, efficiency, attention to detail, and a tendency to set high standards, rathcr

than softer strength, such as teamwork, enthusiasm, and flexibility. How do you explain this in

light of the leadership theories?

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L-3rr-2/KEE Date: 20/0112021

(c) Hewlett-Packard (HP) builds three computer printcr models: Inkjet, Laser, and Color (25)
Laser. Information for these three products is given in the following table. How do you answer
the following questions?A$.svm.<L ?>-":) y"..l---.e... ~.... -(-.fLo- 17~ ~~-
Inkjet La.~cr Color Laser Total
Selling price
250 400 1600
per unit ($)
Variable cost
100 150 800
per unit ($)
Sales mix (%) 60 30 10 100

(i) How many printers in total lIiust be sold to break even?

(ii) How many units of each printer model must be sold to break even?
(iii) How many printers in total must be sold to cam an annual profit of $1,OOO,OOO?
(iv) How many ullits or cach printcr must bc sold to cam an annual profit of $1,000,0007

6. (a) A company projects its total sales and profits through plans for cxisting businesses. The (10)
projccted sales are less than what management desires. What are the growth opportunities you
will suggest this cOlllpany to explore in order to minimize the gap between projected sales and
desired sales? Explain with suitable cxample.
(b) How dirrerent phases or the Teehnology Life Cycle (TCL) atTect strategic analysis and (15)
investment planning? Explain with suitablc example.
(c) A normally.distributed quality charactcristie is controlled by x and R charts having the (20)
rollowing parametcrs (n = 4, both charts are in control):
R Chart x Chart
UCL= 18.795 UCL =626
Center Line = 8.236 Center Line - 620
LCL-O LCL - 614

(i) WI,at is the estimated standard deviation or thc quality characteristic x?

(ii) Ir specifications arc 61O:C15,eommcnt on process capability by observing thc graphical
distribution and mathematical mcasures.

Page 3 of3
•
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Table B. Factors used in 30' Quality Control Charts.

X charts S charts R charts

Sample Factors for control Factors Factors
size n limits for central Factors for control limits for ccntral Factors for controllimils
linc linc
A A2 A) c. 8.1 8.1 Bs 136 th d.l. 01 O2 0.1 D.
2 2.121 1.880 2.659 0.7979 0 3.267 0 2.606 1.128 0.853 () 3.686 0 3.267
3 1.732 1.023 1.954 0.3362 () 2.568 0 2.276 1.693 0.888 0 4.358 0 2.574
4 1.500 0.729 1.628 0.9213 0 2.266 0 2.088 2.059 0.880 0 4.698 0 2.282
5 1.342 0.577 1.427 0.9400 0 2.089 0 .1.964 2.326 0.864 0 4.918 0 2.114
6 1.225 0.483 1.287 0.9515 0.030 1.970 0.029 1.874 2.534 0.848 0 5.078 0 2.004
7 1.134 0.419 1.182 0.9594 0.118 1.882 0.113 1.806 2.704 0.833 0.204 5.204 0.076 1.924
8 1.061 0.373 1.099 0.9650 0.185 1.815 0.179 1.751 2.847 0.820 0.388 5.306 0.136 1.864
9 1.000 0.337 1.032 0.9693 0.239 1.761 0.232 1.707 2.970 0.808 0.547 5.393 0.184 1.816
10 0.949 0.308 0.975 0.9727 0.284 1.716 0.276 1.669 3.078 0.797 0.687 5.469 0.223 1.777
11 0.905 0.285 0.927 0.9754 0.321 1.679 0.313 1.637 3.173 0.787 0.811 5.535 0.256 1.744
12 0.866 0.266 0.886 0.9776 0.354 1.646 0.346 1.610 3.258 0.778 0.922 5.594 0.283 1.717
13 0.832 0.249 0.850 0.9794 0.382 1.618 0.374 1.585 3.336 0.770 1.025 5.647 0.307 1.693
14 0.802 0.235 0.817 0.9810 0.406 1.594 0.399 1.563 3.407 0.763 1.118 5.696 0.328 1.672
en
()
15 0.775 0.223 0.789 0.9823 0.428 1.572 0.421 1.544 3.472 0.756 1.203 5.741 0.347 1.653
OJ 16 0.750 0.212 0.763 0.9835 0.448 1.552 0.440 1.526 3.532 0.750 1.282 5.782 0.363 1.637
::J 17 0.728 0.203 0.739 0.9845 0.466 1.534 0.458 1.5ll 3.588 0.744 1.356 5.820 0.378 1.622
::J
C1l 18 0.707 0.194 0.718 0.9854 0.482 1.518 0.475 1.496 3.640 0.739 1.424 5.856 0.391 1.608
c..
19 0.688 0.187 0.698 0.9862 0.497 1.503 0.490 1.483 3.689 0.734 1.487 5.891 0.403 1.597
:;E
;::+- 20 0.671 0.180 0.680 0.9869 0.510 1.490 0.504 1.470 3.735 0.729 1.549 5.921 0.415 1.585
~ 0.9876 0.523 1.477 0.516 1.459 3.778 0.724
21 0.655 0.173 0.663 1.605 5.951 0.425 1.575
()
OJ 22 0.640 0.167 0.647 0.9882 0.534 1.466 0.528 1.448 3.819 0.720 1.659 5.979 0.434 1.566
3 23 0.626 0.162 0.633 0.9887 0.545 1.455 0.539 1.438 3.858 0.716 1.710 6.006 0.443 1.557
en
() 24 0.612 0.157 0.619 0.9892 0.555 1.445 0.549 1.429 3.895 0.712 1.759 6.031 0.451 1.548 i
OJ 25 0.600 0.153 0.606 0.9896 0.565 1.435 0.559 1.420 3.931 0.708 1.806 6.056 0.459 1.541 I
::J
::J
...•
C1l
330

"
 www.prokoushol.com

L-3ff-2/EEE Date: 02/04/2022

BANGLADESH UNIVERSITY OF ENGINEERING AND TECHNOLOGY, DHAKA
L-3/T.2 B. Sc. Engineering Examinations 2019-2020

Sub: IPE 493 (Industrial Management)

Full Marks: 210 Time: 3 Hours

USE SEPARATE SCRIPTS FOR EACH SECTION
The figures in the margin indicate full marks
Assume reasonable value for missing data, IF ANY .
._._-_._----------------_ .•_----------_._---------------,.,-----------------_. __ ._--------------------
SECTION-A
There are FOUR questions in this section. Answer any THREE questions.

I. (a) The Following tasks must be performed on an assembly line in the sequence and
times specified in Table I. (10+5+20=35)

Table 1 for Question 1.

Task Task Time (Seconds) Tasks That Must Precede other Tasks
A 50 ---
B 40 ---
C 20 A
D 45 C
E 20 C
F 25 D
G 10 E
H 35 B, F,G

(a) Draw the precedence diagram.

(b) What is the theoretical minimum number of stations required to meet a forecast
demand of 400 units per eight-hour day?
(c) Use the longest-task-time rule (primary rule) and maximum number of following
tasks rule (Secondary rule) and balance the line in the minimum number of stations.

2. (a) A company makes bicycles. It produces 450 bicycles a month. It buys the tires for
bicycles from a supplier at a cost of $20 per tire. The company's inventory carrying
cost is estimated to be 15% of cost and the ordering is $50 per order. Compute the

economic order quantity (EOQ). Also calculate the cycle length in days. (20)
(b) Expected cash flows from an investment are as follows. Given the bank interest rate
(cost of capital) of 13%, should you invest in this project by taking loans from the
bank? Make your decision based on evaluating the internal rate of return (IRR). Show

all the required calculations. (15)

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=2=
IPE 493
eouid ... Q. No. 2(b)

Table 2 for Question 2(b).

Year Cash Flow ($)
0 -250,000
I 50,000
2 100,000
3 200,000

3. (a) The production scheduler for XYZ Machine Shop has six jobs ready to be
processed that can each be assigned to any of six different workstations. Due to the
characteristics of each job and the different equipment and skills at the workstations,
the time to complete a job depends on the station it is assigned to. Table 3 shows the

data on the jobs and the time it would take to do each job at each workstation. (25)
Table 3 for Question 3(a).
Job Completion Time at Workstation (hours)
Job I 2 3 4 5 6
A 3.2 3.5 2.9 3 4 3.6
B 2.7 2.9 2.3 3 3.1 3.7
C 3.8 4 4.3 4.5 4.1 3.6
0 2.8 2.1 2.9 2.5 3 2.2
E 6.1 6.5 6.7 7 6 6.2
F 1.5 1.3 1.9 2.9 4 3.6
Required:
Using the Hungarian method, assIgn each job to a machine to mU11lTIlzetotal
processing time.
(b) Suppose you are a safety manager of a plastic manufacturing company. You are
asked to find the possible root causes of electrical fire at the factory. How can you

apply the idea of the Fishbone diagram to examine the root causes? (10)

4. (a) A company that operates 10 hours a day manufacturers three products on three

processes. Table 4 summarizes the data. (27)

Table 4 for Question 4(a).
Minutes per unit
Product Process I Process 2 Process 3 Unit price
I 10 6 8 $4.50
2 5 8 10 $5.00
3 6 9 12 $4.00
Required:
Using the Simplex method, determine the optimal product mix to maximize the profit.
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=3=
IPE 493
Contd ... Q. No.4

(b) What is a product structure tree? Provide examples. (8)

SECTION -8
There are FOUR questions in this section. Answer any THREE questions.

5. (a) According to Henry Fayol, what are the different skills that managers need to
possess? Explain their variations at different Managerial levels with necessary
example. (6)
(b) List the 14 management principles identified by Henry Fayol with necessary
examples. (14)
(c) Discuss the contributions of Frank and Lillian Gilbreth. (7)
(d) Elaborate Hawthorne experiment. What are the insights obtained from it? (8)

6. (a) Discuss the origin of the 'Management Science School'. Explain how wars like

World War II and Vietnam war influenced this school. (13)

(b) Explain Maslow's need theory with necessary example. (7)
(c) Elaborate Matrix type organizational structure. What are its advantages and
disadvantages? (8)
(d) Briefly explain 'Task technology approach' of organizational design. (7)

7. (a) Discuss five bases of power with necessary examples. (10)

(b) Explain the advantages of delegation. What are the Steps of Delegation? (10)
(c) A company has the following actual demands in units over the 12 months period in
2021. Forecast their demand on January 2022. Use exponential smoothing technique to
forecast. Assume the smoothing constant value to be 0.15. Also calculate the
corresponding MAD, MAPE and TS. (IS)
Months I 2 3 4 5 6 7 8 9 10 II 12
in 2021
Actual 40 39 42 43 36 45 38 40 35 38 42 44
Demand

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=4=
IPE 493

8. (a) Discuss 'Reinforcement theory' with necessary examples. (8)

(b) Discuss different types of formal team. What are the stages of team development? (8+7=15)
(c) For a certain industry worker, working in a factory, the following data is given.
Guaranteed base rate = Tk 35 per hour. Total piece to be produced = 500 pieces.
Standard Task = 200 pieces/hour, Low task would be 75% of the standard task. The
worker took 3 hours to complete the job. Percentage of the workers' share in the gain

of above task is 35%. Now, calculate the rate of incentive per hour for that worker- (12)
i. If the company follows Halsey's plan
ii. If the company follows Rowan's plan
 www.prokoushol.com
, ,

L-3rr -2/EEE Date: 12/04/2023

BANGLADESH UNIVERSITY OF ENGINEERING AND TECHNOLOGY, DHAKA
L-3/T-2 B. Sc. Engineering Examinations 2020-202 I

Sub: IPE 493 (Industrial Management)

Full Marks: 2 I0 Time: 3 Hours

USE SEPARATE SCRIPTS FOR EACH SECTION
The figures in the margin indicate full marks
---------------------_ .•._._-_._-----_._--------------._------_._---

SECTION-A
There are FOUR questions in this section. Answer any THREE questions.
Assume any approximate values for missing data

1. (a) Define the following temlS with an appropriate example: Direct cost, Indirect cost,
Product cost and Period cost (15)
(b) Lamar Company is considering a project that would have a five-year life and
require a $2,400,000 investment in equipment. At the end of live years, the project
would terminate and the equipment would have no salvage value. The project would

provide network operating income each year as follows: (20)

Sales •.•.•..•••••.....•••..•...••..•.... $3.200.000

V3Tiableexpenses .•.......•.•............. 1.600.000
Contribution margin .•..........•..•...•.... 1,400.000
FIXed expenses:
Advertising, salaries. and other
fixed out-ol-pocket costs .•.........•.... $700.000
Depreciation •.•••..••...•.•....••.....•. 300.000
TOlal fixed expenses ••.•••••...•..••....... 1.000,000
Net operating income ..•.•..............•.. S 400.000

The company's discount rate is 12%.

Required:
I. Compute the annual net cash inflow from the project.
2. Compute the project's net present value. Is the project acceptable?
3. Compute the project's payback period.

2. (a) What do you understand by margin of safety and degree of operating leverage? If
variable expense is increased keeping everything else constant, will the margin of

safety and degree of operating leverage increase or decrease? Justify your answer. (10)
(b) Why aren't actual manufacturing overhead costs traced to jobs just as direct
materials and direct labor costs are traced to jobs? Explain the process used to compute

a predetermined overhead rate. (10)

(c) Lucido Products markets two computer games: Claimjumper and Makeover. A
contribution fOllilat income statement for a recent month for the two games appears

below: (15)

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IPE 493/EEE
Contd ... Q. NO.4

Claimjuniper. Makeover
Sales .•••...••..•..•.••••
Variable expanses •....•...•
$30,000
20,000
$70,000
50.000
$100,000 I
70,000 /'
-~-,

.
Contribution margin ....•••.. $20,000 30,000 I
~
Fixed expenses ......••...• 24,000 '
Net operating income ....••..
.
$ 6,000
.-
Required:
I. Compute the overall contribution margin (CM) ratio for the company.
2. Compute the overall break-even point for the company in dollar sales.
3. Verify the overall break-even point for the company by constructing a
contribution format income statement showing the appropriate levels of sales for the
two products.

•
j. (a) Define Market Segmentation, Market Targeting, and Market positioning . (10)
(b) Explain 4 major geographic segmentation variables for consumer markets with

appropriate examples. (15)

(c) The Lakeshore Hotel's guest-days of occupancy and custodial supplies expense over

the last seven months were: (10)

•.•..~-
••••••• I-Days
~,.
Custodial
of Occujxincy, Supplleli ExPllOSll ,
• •
M8ICh ••••••••••••••••••••• 4.000 $7,500
April •......•..•.•..•.•••..• 6,500 $8,250
May •.•.••.••.•.••.•.•.•.•. 8,000 $10,500 i
June .•...•....••...••.•....
10,500 $12,000 It
July •.•••••.•..•.•••••••.•• 12,000 $13,500
August •...•.•..•...•..•.•..

---_ .. -----._-.-.-.
9,000 $10,750
September ••..••....•.•.•.•. t
7,500 $9,750'
_.,_._, __ ._ .-,......,..-- ...•.1

Guest-days is a measure of the overall activity at the hotel. For example, a guest who
stays at the hotel for three days is counted as three guest-days.
Required:
I. Using the high-low method, estimate a cost formula for custodial supplies
expense.
2. Using the cost formula you derived above, what amount of custodial supplies
expense would you expect to be incurred at an occupancy level of 11,000 guest-
days?
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IPE 493/EEE

4. (a) Let's say you work for a company that makes prepared breakfast cereals like corn
t1akes. Your company is planning to introduce a new hot breakfast product made from
whole grains that would require some minimal preparation by the consumer. This
would be a completely new product for the company. How would you propose

forecasting initial demand for this product? (08)

(b) Demand for stereo headphones and MP3 players for joggers has caused Nina
Industries to grow almost 50 percent over the past year. The number of joggers
continues to expand, so Nina expects demand for headsets to also expend, because, as
yet no safety laws have been passed to prevent joggers from wearing them. Demand for

the players for last year was as follows: (17)

Demand
Month Demand
____--.!':'.nits) Month (units)
January 4.200 July
-----
5.300
February 4.300 August 4.900
March 4.000 September 5.400
April 4.400 October 5.700
MllY 5.000 November 6.300
June 4.700 December 6.000

Using linear regression analysis, what would you estimate demand for the first four
months of the next year?
(c) Demand for an item is constant at 200 units a month. The item can be made at a
constant rate of 400 units a month. Unit cost is $50, batch set-up cost is $650, and
holding costs is 30 per cent of value a year. Form the production, the stock is
replenished gradually. What is the optimal batch size for the item? If production set-up

time is 2 weeks, when should this be started? (10)

SECTION -B
There are FOUR questions in this section. Answer any THREE.

5. (a) Explain the universal need for management concept. Does it still hold true in todays

world? Why or why not? (10)

(b) Discuss Hersey and Blanchard's Situational Leadership Theory model. How do you

think follower readiness changes according to this theory? (15)

(c) Explain the contingency factors that affect organizational design. (10)

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IPE 493/EEE
Coutd ... Q. No.4

6. (a) Draw the managerial grid and explain the different categories of managerial styles. (12)
(b) Discuss the advantages and disadvantages of ditferent performance appraisal

methods. (15)

(c) Write down Taylor's Scientific Management Principles. (8)

7. (a) How is Maslow's Hierarchy of Needs related to motivation in a organization?

Discuss the limitations of this theory. (12)

(b) Differentiate between traditional and contemporary organization. (8)

(c) Atlas is a computer hardware company. A recent survey revealed that the
employees have developed a practices of coming late to work. How can you apply

reinforcement theory of motivation to change this behavior? (7)

(d) Discuss the elements of the process of delegation. Briefly explain the principles of

delegation of authority. (8)

8. (a) A construction project is broken down into the following 10 activities: (15)
Activity Immediate Predecessor Time (weeks)
1 ---- 4
2 1 2
,
j 1 4
4 I 3
5 2,3 5
6 3 6
7 4 2
8 5 3
9 6, 7 5
10 8,9 7
Answer the following questions:
i. Draw the network diagram.
ii. Find the critical path.
(b) Some tasks and the order in which they must be perfomled according to their
assembly requirement are shown in the following table. These are to be combined into
workstations to create an assembly line. The assembly line operates 7 + hours per day.
The output requirement is 1,000 units per day. (20)

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IPE 493/EEE
Contd ... Q. No. 8(b)

Task Preceding Tasks Time (Seconds)

A --- 15
B A 24
C A 6
0 B 12
E B 18
F C 7
G C 11
H 0 9
I E 14
.I F,G 7
K H, I 15
L .I, K 10

Answer the following questions:

i. What is the workstation cycle time required to produce 1,000 units per day?
ii. Balance the line using the longest task time based on the 1,000-unit forecast,
stating which tasks would be done in each workstation.
iii. What is the efficiency of the line?
 www.prokoushol.com

L-3/T-2/EEE Date: 12/1012023

BANGLADESH UNIVERSITY OF ENGINEERING AND TECHNOLOGY, DHAKA
L-3/T-2 B. Sc. Engineering Examinations 202 I -2022

Sub: IPE 493 (Engineering Management)

Full Marks: 2 I0 Time: 3 Hours
The figures in the margin indicate full marks.
USE SEPARATE SCRIPTS FOR EACH SECTION
SECTION -A
There are FOUR questions in this section. Answer any THREE.

I. (a) How can the choice of facility layout impact the efficiency and productivity of a
manufacturing plant, and what factors should be considered when designing an optimal

layout for a new facility? (10)

(b) Some tasks and the order in which they must be performed according to their
assembly requirements are shown in the following table. These are to be combined into

workstations to create an assembly line. The assembly line operates 7 liz hours per day.

The output requirement is 1,000 units per day. (18)

Task Preceding Tasks Time (seconds)
A - 15
B A 24
C A 6
D B 12
E B 18
F C 7
G C 1I
H D 9
I E 14
J F,G 7
K H, I 15
L J, K 10

(i) What is the workstation cycle time required to produce 1,000 units per day?
(ii) Balance the line using the shortest task time as the primary and highest number of
followers as the secondary based on the I,OOO-unit forecast, stating which tasks
would be done in each workstation.
(iii) For (ii), what is the efficiency of your line balance. assuming it is running at the
cycle time from part (i)?
(iv) After production was started. Marketing realized that it understated demand and
must increase output to I, I 00 units. What action would you take? Be specific and
quantitative in your answer.
(c) Explain how the factor rating system can be used in selecting a location for setting up

an automobile manufacturing facility. (7)

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IrE 493

2. (a) "Project control should always focus on the critical path:' Explain with a suitable

example. (6)
(b) A construction project is broken down into the following II activities: (22)
Activity Immediate Predecessor Time(weekS)
A - 4
B A 2
C A 4
D A 3
E B,C 5
F C 6
G D 2
,
H E ~
I F. G 5
J H.I 7
K H, I 4

(i) Draw the network diagram and find the project duration.
(ii) Find the critical path and slack time for each non-critical activity.
(c) Differentiate between fixed order and fixed time period inventory models. (7)

3. (a) Monthly demand for a product is 6500 units. The company will incur Tk. 55,000 to
carry out 2 orders. Annual holding cost for 100 units is 12% of cost per unit. The cost per
unit is Tk. 12,000. The lead time is 2 weeks. Determine economic order quantity, reorder
point. and total cost of inventory. (12)
(b) Sales for twelve quarters of the year 202 I to 2023 are given below. Predict the sales
for each quarter of the year 2024 using the appropriate method. (23)

-..•---------~----------------
Year 2021 Sales Year' 2022 I Sales __LYear' ~123 i Sales
1,1 <)uart.:r X()O I 1'1 Quarter i 1990 I 1'1 Quarter I JJOO
2".1 (Juart.:r 2""Quarter ',920 ----!2';'rQua~.I~. "'35()O
J rd Quart.:r : 1090 :3:_Quart.:r I 2190 ; Y" ()L1~~rter! J690
I ..jIlt - Qw;-;:tel:-j 17..j0 i ..jIlt Quarter j 28(;0-- i ~11t-Quarter ..j 750

4. (a) Explain how Fredrick Herzberg's "Two Factor" theory of motivation can help
managers to motivate employees in an organizational setting. (12)
(b) Discuss the contingency approach ofleadership. (12)
(c) Explain the problems to be avoided in appraising performance and how you can avoid
those problems during appraising performance of the employees. (II)

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IPE 493
SECTION -B
There are FOUR questions in this section. Answer any THREE.

Assume any appropriate value for missing data.

5. (a) "The variable cost per unit varies with output. whereas the fixed cost per unit IS

constant." Do you agree? Explain. (8)

(b) When would job-order costing be used instead of process costing? (7)
(c) Sierra Company incurs the following costs to produce and sell a single product. (20)
Variable costs per unit:
Direct materials $9
Direct labor $10
Variable manufacturing overhead $5
Variable selling and administrative expenses $3
Fixed costs per year:
Fixed manufacturing overhead $150.000
Fixed selling and administrative expenses $400.000

During the last year. 25.000 units were produced and 22,000 units were sold. The
Finished Goods inventory account at the end of the year shows a balance of $72,000 for
the 3,000 unsold units. Is the company using absorption costing or variable costing to
cost units in the Finished Goods inventory account? Show computations to support your
answer.

6. (a) In what fundamental ways does activity-based costing differ from traditional costing

methods? (10)
(b) Explain how fixed manufacturing overhead costs are shifted from one period to

another under absorption costing. (10)

(c) Osborn Manufacturing uses a predetermined overhead rate of $18.20 per direct labor
hour. This predetermined rate was based on 12,000 estimated direct labor hours and
$218,400 of estimated total manufacturing overhead. The company incurred actual total
manufacturing overhead costs of $215,000 and 11,500 total direct labor hours during the
period. (IS)
Required:
(i) Determine the amount of underapplied or overapplied manufacturing overhead for
the period.
(ii) Assuming that the entire amount of the underapplied or overapplied overhead is
closed out to the Cost of Goods Sold, what would be the effect of the underapplied or
overapplied overhead on the company's gross margin for the period?

7. (a) Briefly explain the Technology-Price relationship. (10)

(b) Mention the names of the components of an innovation cycle. (5)
(c) The budgeted unit sales of Weller Company for the upcoming fiscal year are provided
below: (20)
1st Quarter 2nd Quarter 3rd Quarter 4th Quarter
Budgeted unit sales 15,000 16,000 14,000 13,000

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IPE 493
Contd ... Q. No. 7(b)

The company's variable selling and administrative expense per unit is $2,50. Fixed
selling and administrative expenses include advertising expenses of $8,000 per quarter,
executive salaries of $35,000 per quarter, and depreciation of $20,000 per quarter. In
addition, the company will make insurance payments of $5,000 in the first quarter and
$5.000 in the third quarter. Finally. property taxes of $8,000 will be paid in the second
quarter. Prepare the company's selling and administrative expense budget for the
upcoming fiscal year. (20)

8. (a) What is the span of management control? How is it important in the context of the
hierarchy of an organization? Describe the factors that influence the span of control. (15)
(b) According to Henry Fayol, what are the different skills that managers need to
possess? Explain their variations at different Managerial levels with necessary examples. (10)
(c) Discuss the five bases of power with necessary examples. (10)